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Deferrals at a Glance
Development and Expansion of Businesses and Commerce
Program: This deferral program is designed to encourage the development and expansion of businesses and commerce within the City of Modesto by deferring payment of Capital Facilities, Water Connection and/or Wastewater Capacity Fees for a period of five years.
Qualifications: Any non-residential project in the City of Modesto or within the City of Modesto's sphere of influence.
Conditions: 20% of the Capital
Facilities, Water Connection and/or Wastewater Capacity
Fees are to be paid at the time a permit is issued.
The remaining 80% of the Capital Facilities, Water
Connection and/or Wastewater Capacity Fees, plus
interest, shall be paid in equal installments over five
(5) years. An agreement and notice of lien are to
be executed by the owner of the property. The lien
will remain in effect until the deferred fees have been
paid in full. (Full terms and conditions of the
deferral are set forth in the standard agreement.)
Fees and Process: Submission of
a completed application, an administrative processing
fee ($250.00), a Title Report fee ($500.00) and a
release of lien fee ($12.00) will commence the deferral
application process. Upon receipt of the
appropriate title documentation, an agreement will be
drafted and provided to the applicant. This
agreement requires administrative approval.
Completion of the process typically takes 2-3 weeks.
Existing Single-Family Residential Units
Program: This deferral program is designed to assist homeowners that are not connected to the City of Modesto's wastewater system.
Qualifications: Any
existing single-family home in the City of Modesto
or within the City of Modesto's sphere of influence
desiring to connect to the City of Modesto's wastewater
system.
Conditions: 10% of the
Wastewater Capacity Fee is to be paid at the time a
permit is issued. The remaining 90% of the
Wastewater Capacity Fee, plus interest, shall be paid in
equal installments over ten (10) years. An
agreement and notice of lien are to be executed by the
owner of the property. The lien will remain in
effect until the deferred fees have been paid in full.
(Full terms and conditions of the deferral are set forth
in the standard agreement.)
Fees and Process: Submission of
a completed application, an administrative processing
fee ($250.00), a Title Report fee ($500.00) and a
release of lien fee ($12.00) will commence the deferral
application process. Upon receipt of the
appropriate title documentation, an agreement will be
drafted and provided to the applicant. This
agreement requires administrative approval.
Completion of the process typically takes 2-3 weeks.
Construction of New Single-Family Affordable Housing Units
Program:
This deferral program is designed to encourage the
development of affordable housing projects. This
program allows for the deferral of Capital Facilities
Fees for eligible low and very low income housing
projects constructed in the City of Modesto or within
the City of Modesto's sphere of influence.
Qualifications: Any
single-family affordable housing unit constructed by any
person or entity. The home must be purchased by a
homebuyer earning between 61-80% of the area median
income who will use it as their principal place of
residence.
Conditions: All or a
portion of the Capital Facilities Fees can be deferred
up to five (5) years. Starting in the sixth year,
the homeowner begins making payments of principal and
interest and continues to pay annually over a ten (10)
year period. An agreement and notice of lien are
to be executed by the owner of the property. (Full
terms and conditions of the deferral are set forth in
the standard agreement.)
Fees and Process: Submission of
a completed application, an administrative processing
fee ($250.00), a Title Report fee ($500.00) and a
release of lien fee ($12.00) will commence the deferral
application process. Upon receipt of the
appropriate title documentation, an agreement will be
drafted and provided to the applicant. This
agreement requires approval from the Citizens Housing & Community Development Committee.
Completion of the process typically takes 6-8 weeks.
For more information regarding Deferral Programs, please contact the
Infrastructure Finance Program office at (209) 577-5211
or visit our website at www.modestogov.com/ced/about/ifp/.
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