OCEAN SHORES FEES, TAXES & LAND USE INFORMATION

Revised April 2005

Welcome to Ocean Shores! We hope you enjoy your stay, and invite your long term interest in our community.

In the event you become interested in purchasing recreational, residential or business property in Ocean Shores, you should be aware of the more significant fees, taxes and land use information associated with owning property in the City. Ocean Shores is unique in many ways, and we believe it is in your best interest to understand these factors when considering a long term commitment to the area.

The following information was gathered from the sources indicated. While believed to be accurate in April 2005, it is, of course, subject to correction or change without notice.

Zoning

The City has adopted a Comprehensive Plan and is zoned. This imposes limitations on land use, not unlike those in any other Washington city. Both the Comprehensive Plan General Land Use Map and the Zoning Map are posted in City Hall and the Permit Center for public access.

Recreation Vehicles & Tents

The Municipal Code regulates the use and storage of recreational vehicles (RV's) and the use of tents on vacant lots in Ocean Shores. Basically, a Camping Permit issued by the Police Department is required to park an RV or erect a tent on a vacant lot, and must be posted at the street line next to the driveway. Tent camping is permitted only in conjunction with a self-contained RV or an RV attached to an approved sanitary system. An RV/tent may only be used as living quarters for a maximum of 90 days in any calendar year, regardless of the number of lots owned, and may not be stored on a vacant lot. There are also limitations on the number of RV's/tents per lot, setback requirements, sanitation requirements, etc. These regulations are available at the Police Department, City Hall and the Permit Center.

Nightly Rentals

The Municipal Code regulates the use of private residences as overnight rental properties ("transient rentals"). A citizen voted initiative was passed in May of 1993 which had the effect of 1) prohibiting any new overnight rentals in residentially zoned areas of Ocean Shores and 2) calls for the phasing out of existing overnight rental permits. Please also be advised that transient rental permits are not transferable when properties are sold.

Nonaccessory Structures

City ordinances allow the construction of nonaccessory structures (one shed-type structure, boat dock, steps, detached fence, or other minor construction), which are independent of any principal structure, on undeveloped real property. The request must go through the SEPA process and there is a $10.00 SEPA fee. Standards and application procedures are available at the Permit Center.

2005 Property Tax Levy

Grays Harbor County .....................................$1.8000
Port of Grays Harbor ........................................0.4500
North Beach Schools
Bonds ............................... $2.2444
M&O .................................. 1.4434
Total North Beach Schools ............................3.6878
State Schools ....................................................3.0303
City of Ocean Shores
Basic ........................................ $2.8802
EMS Levy ..................................  .3500
Street Bond (95-96) ..................   .4292
Special Water/Sewer Levy ..... 2.3230
Total for City of Ocean Shores ..................$5.9824
Total Levy ...................................................$14.9505*
*Per $1,000 Assessed Valuation

Residential Water Rates

5/8" meter (developed lots) ......$13.92 p/month
Usage .......................................$.05235p/cubic ft.

For purposes of this section (water), a "developed" lot is one with a water meter, driveway, etc. The rate quoted is for a lot with 5/8"meter. The base charge increases with meter size, and applies regardless of usage or whether the meter is turned on or off. The charge to install a 5/8" main tap meter is $710. A drop-in 5/8"meter installation is $295. There is a $23.50 charge for transferring installed service to a new owner. Both the "base" and "usage" water rates are reviewed annually by the City Council for adequacy in providing revenue to operate and maintain the water utility. Further information on water rates is available from the City of Ocean Shores Utility Billing Office. Effective Oct. 1, 2003 there is also a system development charge (SDC) for new connections to the water system. The charge quoted for a lot with a 5/8" water meter is $1,549.

Residential Sanitary Sewer Rates

Developed Lots ..................................... $24.33 p/mo
Note: Other commercial rates may apply.

For purposes of this section (sanitary sewer), a "developed" lot is one with sanitary sewer service available and connected. The charge applies to all such lots, regardless of water usage or whether the water is turned on or off. Connection to the sewer system requires payment of a $500 sewer connection fee.

All sewer rates for connected properties are reviewed annually by the City Council. Further information on sanitary sewer rates is available from the City of Ocean Shores Utility Billing Office. Effective Oct. 1, 2003 there is also a system development charge (SDC) for new sewer connections. The charge quoted for a lot with a 5/8" water meter is $510.

Residential/Vacant Lot Storm Drainage Rates

All Lots ........................................ .000325/sq.ft. p/month

The charge applies to all such lots, regardless of water usage or whether an existing water meter is turned on or off. There are no connection or installation charges for storm drainage. This storm drainage charge helps maintain the city's storm drainage facilities and the quality of its fresh waterways. Storm drain rates are reviewed annually by the City Council as part of the budget development process for adequacy and providing revenue to operate and maintain the storm drainage facilities. Further information on storm drainage rates is available from the City of Ocean Shores Utility Billing Office.

Residential Electric Rates

Electric service is provided by Grays Harbor Public Utility District (PUD) No. 1, located in Aberdeen. The present residential rate structure consists of an $11.35 per month basic fee plus an energy charge of 6.7¢ per kilowatt hour used. There is also a 6% local utility tax, state utility tax of 3.873% and a state privilege tax of 2.14%. There is a $20 charge for transferring installed service to a new owner. There is an assessment of $1,850 plus an initial connect fee of $150 for installing new service to the site, and an additional $100 fee when a permanent residence is connected. Further information on rates and charges for installing service to a new location may be obtained from the Public Utility District. Minimum monthly fee is $25.24, plus tax, if applicable.

Solid Waste Station (Dump)

Located along State Route 109 near Hogan's Corner. Call 289-3994 for information on days and hours open.

Natural Gas

Natural gas is not available in Ocean Shores. Propane is available from suppliers in the Aberdeen/Hoquiam area.

Residential Telephone

Telephone service is provided by Qwest at standard rates plus a 6% local utility tax, federal access tax, federal excise tax, & state sales tax. Normal base service is approx. $21.28 per month.

Residential Cable TV/Internet

Cable TV service is provided by Coast Communications, located in Ocean Shores. The hookup fee is $45 if cable is already installed. If not, a line extension is required, in which case the cost is approximately $1.00 per foot. For new service, the hookup fee is $60. The monthly charge for basic, one-set service is $36.95 plus tax. Further information on rates and charges for installing new service may be obtained from Coast Communications. High speed (broadband) and dial-up internet services are available through Coast Communications.

Residential Garbage Collection

Curbside garbage collection is provided by Harbor Disposal, located in Aberdeen. The City has initiated curbside garbage collection in conjunction with curbside recycling collection for all residences in Ocean Shores. Further information can be obtained from Harbor Disposal in Aberdeen.

Residential Building Permits

Ocean Shores has adopted the International Building Code. Charges for building permits are based primarily on the 2003 edition of the Code, and would aggregate an estimated $2,500 for 2,000 square foot, single story home valued at $150,000. This is in addition to the water and sewer fees discussed herein. The Building Department has various informational packets available for persons interested in construction or finishing their own homes.

Business Licenses and B&O Taxes

For persons interested in opening a business in Ocean Shores, a business license is required. The annual fee is $50 plus $25 per full time employee (including the owner) in excess of two. Home occupations must be licensed ($25 per year), and are closely regulated. Any business grossing $2,500 or more in a six-month period is required to pay a .0020% B&O tax on gross receipts. Further information on Business Licenses and B&O taxes is available at City Hall.

Real Estate Excise Tax

A real estate excise tax of 1.53% is imposed on the selling price of real property in Ocean Shores. Of this amount, .0025 is normally paid by the seller of property, and is credited to the City's Capital Improvement Fund. Further information on the real estate excise tax is available from your Realtor.

Sales Tax

The sales tax rate in Ocean Shores is 8.3% through April 1, 2005. It is paid to the Washington State Department of Revenue either monthly, quarterly or annually, depending on the type and volume of business.

Hotel/Motel Tax

A 5.0% sales tax on transient rentals (rentals for less than 30 consecutive days) is to be collected by operators of all types of "overnight rental" establishments, including private residences. This tax is remitted to the State Department of Revenue which passes it through to the City for use in funding Convention Center operations and promoting tourism.

Unpaid LID and PUD Assessment

Many properties in Ocean Shores carry unpaid LID and/or PUD assessments. Prospective buyers are encouraged to check the existence and status of such assessments with Public Finance, Inc. (LID's) and Grays Harbor Public Utility District (PUD assessments). You will need the Division, Block and Lot numbers of the property to check this information. See accompanying phone number list.

Restrictive Covenants

Restrictive land use covenants contained in the plats of the City are matters of private concern among property owners. The City is not involved in their enforcement.

Wetland Issues

The Ocean Shores peninsula has a high water table creating some areas of the City which may be classified as wetlands. Property owners should be aware that city, state and federal agencies maintain jurisdiction in Ocean Shores and may require special permitting prior to obtaining building permits for clearing and construction projects.

Community Club Membership

Certain property owners in Ocean Shores are required to maintain membership in the Ocean Shores Community Club. Call 289-2433 for further information. The Community Club is not affiliated with the City in any manner.

Community Profile

The City of Ocean Shores produces a Community Profile, which is updated annually and includes additional information about community services and facilities, recreation, attractions, weather, local service organizations, events, and business information & statistics. Call the City or Ocean Shores Chamber of Commerce or the Visitor Information Center for a copy.