As part of the Waterfront Seattle funding plan, Seattle City Council established a Local Improvement District (LID) in January 2019.
On June 14, 2021, Council passed the Waterfront LID Assessment Roll Ordinance No. 126374 confirming the Final Assessment Roll for the Waterfront LID. One funding mechanism among many, the Waterfront LID is a tool through which property owners in the LID contribute to a portion of the Waterfront Seattle improvement costs through LID assessments. The Waterfront LID improvements are within Waterfront Seattle, a $737M, multi-year investment in Seattle’s central waterfront between now and 2024. You may review the presentation overview of the legislation confirming the Final Assessment Roll to the Public Assets and Native Communities Committee on June 4, 2021.
The Final Assessment Roll is on file and available to be viewed at the Office of the City Clerk and online: final assessment roll.
LOCAL IMPROVEMENT DISTRICT PREPAYMENT ASSESSMENT NOTICES
On July 9, 2021, the City of Seattle Treasury Division of the Finance and Administrative Services Department (FAS) mailed a Prepayment Assessment Notice to each owner or reputed owner in the LID boundary area at the address shown on the tax rolls of the King County Treasurer. As shown in the sample Prepayment Assessment Notice, the Notice provides the assessment amount and contains details about the option to prepay assessments during an initial 30- day prepayment-period in which assessments may be paid in full or in part without incurring interest.
The 30-day prepayment period concludes August 10, 2021.
LID PAYMENT PROCESS TIMELINE
As stated in the LID formation ordinance, property owners who choose to pay their assessment in full during the 30-day prepayment period will receive a discount on the total amount of their assessment for their portion of the costs of financing that is included in their final LID assessment.
After the 30-day prepayment period ends, any remaining balance of an assessment will be financed, and the first annual installment will be due one year later. The assessment roll ordinance directs that any remaining principal balance of assessment be financed over a 20-year period. For the first 10 years, annual installments will be interest-only installments; only interest on the principal balance of the assessment will be due in years 1-10. In years 11-20, installments will be equal annual principal plus interest installments.
HOW DO I MAKE A PAYMENT DURING THE 30-DAY ASSESSMENT PREPAYMENT PERIOD?
Make check payable and mail to:
CITY OF SEATTLE
Department of Finance and
P.O. Box 34214
Seattle, WA 98124-4214
Payments will be deemed received by 08/10/2021 if postmarked by that date. Due to the COVID-19 pandemic, in-person payment options are not available.
The City is unable to accept credit card payments at this time.
WHAT IF I SELL OR PURCHASE A PROPERTY IN THE LID BOUNDARY?
If the sale occurs, the assessment is a lien on the property and remains a lien on the property until it is paid in full (or foreclosed upon).
If the seller elected City financing, the buyer has the option of paying the LID assessment off in its entirety, or potentially continuing the LID assessment payments. When a property changes ownership, the assessment is often prepaid. If the buyer borrowed money to finance the acquisition of the property, very likely the new lender will not want to be in second position (below the lien of the assessment), as the assessment takes priority over the liens of private lenders. The prepayment of the remaining assessment amount when a property changes ownership is not legally required but it is customary.
The lien and its priority are described in RCW 35.50.010. The opportunity to prepay outstanding assessments is described in RCW 35.49.040 (initial authority to pay without interest) and RCW 35.49.050 (subsequent prepayment authority).
WHAT IF I WANT TO REFINANCE OR RESUBORDINATE MY PROPERTY IN THE LID?
The City is unable to provide additional guidance regarding the LID in relation to finances. We advise you seek guidance from a financial advisor.
WHAT IF I SOLD MY PROPERTY OR NO LONGER AM THE PROPERTY OWNER OR RECEIVED A LETTER?
The address and property information used for the Waterfront LID notifications is provided by the King County Treasurer’s Office. If you believe there are errors associated with your address or property information, please contact King County to correct this data. LID-related mailings will continue to a be sent to the address on-file with King County until you correct it directly with the County.
You can view property information on-file with the County online.
To update your property information:
1) King County Treasury Operations handles mailing address and taxpayer name updates.
If you need to update your mailing address and taxpayer name, please email King County Treasury Operations at email@example.com with the following information:
- Parcel ID
- Property address
- Mailing address
- Taxpayer name
- Tax account number
If you need to speak with a customer service representative, call 206-263-2890 (select option 5) or visit https://www.kingcounty.gov/depts/finance-business-operations/treasury.aspx
2) The King County Department of Assessments handles all other property updates (for example, ownership, present use, etc.).
To review or make updates to your King County property data, visit: http://blue.kingcounty.com/Assessor/eRealProperty/default.aspx. All requested changes will have to be reviewed and approved by King County.
An LID is a funding tool governed by state law, by which property owners pay to help fund the costs of public improvements that directly benefit their property. For the Waterfront LID, property owners will contribute to a portion of the improvement costs based on the “special benefit” they will receive from those improvements.
The LID is a key component of the Waterfront Seattle Program funding plan, along with City and State funding and private philanthropy. An LID was included in the Waterfront Strategic Plan and approved by Council in 2012.
On June 14, 2021, Council passed the Waterfront LID Assessment Roll Ordinance. This is the ordinance to confirm the final assessment amounts for the Waterfront LID.
- Prepayment Notification Letter Sample July 2021 [PDF]
- Council Resolution November 2019 [webpage]
- Notification Letter Sample December 2019 [PDF]
- Proposed LID Final Assessment Roll November 2019 [webpage] [PDF]
- Waterfront Local Improvement District Ordinance January 2019 [webpage]
- Final Special Benefit Study & Special Benefit Study Addenda December 2019 [2 PDF Documents]
- Hearing Procedural Rules for the Assessment Roll Hearing January 2020 [PDF]
- Assessment Roll Hearing Report September 2020
- Notice the Assessment Roll Hearing Report is on File September 2020 [PDF]
- Resolution remanding certain properties and rescheduling appeal hearings November 2020 [webpage]
- Final Assessment Roll Hearing Report February 2021 [webpage]
- Notice the Final Assessment Roll Hearing report is on file February 2021 [webpage]
If you have questions regarding the prepayment assessment notice, call: 206.233.7172 or email:
If you would like to sign up for LID email updates, please provide your email address and contact information below.
- Translation and interpretation services available upon request – 206.684.2489
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