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5.2.1.8 Retroactive SAC <br /> MCES will retroactively assess SAC when appropriate Determinations should have,but did not <br /> occur. In such a situation,if the Community has a proven record of acting in Good Faith,MCES <br /> may, at its discretion,collect SAC at the rate it should have paid(in the prior years),or in special <br /> circumstances forego the collection of the retroactive SAC,based on a Community appeal. <br /> 5.2.1.9 Determination Appeal <br /> A Community can request an appeal review of a SAC Determination or other matters in these rules. <br /> A formal letter must be sent,detailing the facts of the situation and providing supporting <br /> documentation,to the MCES Finance Director.After completion of the appeal review and <br /> consultation with the Community,a written decision will be sent to the Community.Appeals will not <br /> be accepted if sent directly to the Council or MCES by a property or business owner. <br /> 5.2.1.10 Fraudulent Declarations <br /> If any fraudulent declarations or plans are discovered,MCES will exercise its discretion and deny <br /> appeals and retroactive SAC relief, and, in addition,may apply any other penalties or measures that <br /> are permitted by law. <br /> 5.2.1.11 Temporary Capacity Charge <br /> A temporary use on a Commercial Property may qualify for a Temporary Capacity Charge in lieu of <br /> SAC, at the Community's discretion. To qualify for the Temporary Capacity Charge,the temporary <br /> use must have a predetermined end date,with a maximum duration of 36 months. (Note: <br /> Communities are responsible for determining whether they have authority to, and want to,recover <br /> from property owners the amount of the Temporary Capacity Charge paid to MCES by the <br /> Community.) <br /> The Temporary Capacity Charge is a one-time charge which the Community must pay to MCES at <br /> the time that SAC would ordinarily be paid(usually at the issuance of a building, sewer connection <br /> or business permit).The number of Temporary Capacity Charge units to be assessed will be <br /> determined in the same manner as SAC units are determined and Credits shall be available in the <br /> same manner as SAC Credits would be for a Site.The Temporary Capacity Charge rate is 1/20th of <br /> the then current SAC rate per year,and 1/240th per month for partial years. <br /> Example: A school temporarily occupies a strip mall(while permanent facilities are being built).The <br /> school enters a lease on the strip mall Site for 26 months. A SAC Determination shows the school <br /> use equates to 27 Net SAC units. If the Community chooses the Temporary Capacity Charge <br /> approach,the Temporary Capacity Charge will be: 27 units x 26 months x Temporary Capacity <br /> Charge rate(current SAC rate/240). <br /> The Temporary Capacity Charge is not considered a commitment of capacity by MCES,rather a <br /> rental of the reserve capacity due to the temporary nature of the service.The Temporary Capacity <br /> Charge will not be considered a partial SAC payment,nor used to calculate a higher use for future <br /> SAC Credit Determinations on the Site. Temporary Capacity Charge payments generate no new SAC <br /> Credits. When a permanent use of the Site(that held the temporary use)occurs,any Credit that was <br /> used to determine the Temporary Capacity Charge will again be allowed as SAC Credit for the New <br /> Use. <br /> A temporary use of a space by the same or subsequent party on a Site that utilized the Temporary <br /> Capacity Charge, and that would extend the temporary use beyond the 36 month limit,will not <br /> qualify for the Temporary Capacity Charge. In such a situation a new SAC Determination is required <br /> and additional SAC may be due from the Community,per regular rules. <br /> Page I 20 <br />