Item 2: PH on Bush Measure 37 Claim for Compensation (M37 06-1)

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provisions limit the density on the subject site, pursuant to the requirements of EC 9.3065(3)(a), the owner is unable to add at least one additional dwelling unit as would have been permitted under previous regulations. EC 9.3065(3)(a)1.c. restricts a property over 9200 square feet (the subject lot is approximately 10,905 square feet) to a maximum of three dwelling units. In fact, four dwelling units are currently constructed on the property. The effect of the regulations is to disallow the addition of previously permitted additional dwelling units on the property and to render one of the dwelling units legally non-conforming. Since submittal of the claim, Ms. Bush has entered into discussions in a collaborative spirit with abutting neighbors, neighbors across the street from the property and representatives of the affected neighborhood organization, the Jefferson Westside Neighbors, to seek a mutually agreeable solution to her claim. Members of the Jefferson Westside Neighbors played an active role in developing the Chambers Special Area Zone regulations and representatives of the neighborhood group sought to participate in discussions regarding resolution of the claim. Following discussions, Ms. Bush determined that she would be satisfied to construct one more dwelling on the property (as opposed to three additional dwellings the claim alleged could be built) and would comply with specific standards within EC 9.3050-9.3065 as described in the Recommendation section below. Ms. Bush, the neighbors and the neighborhood organization have reached an agreement that is in the process of being reduced to writing and signed. The draft of that agreement is consistent with the proposed waiver described below. C. Enactment/Enforcement. Measure 37 states that a property owner has a claim if a public entity “enacts or enforces a new land use regulation or enforces a land use regulation enacted prior to the effective date” of Measure 37. The relevant provisions in Chapter 9 of the Eugene Code which the owner alleges have reduced the property value of the subject lot are EC 9.3050-9.3060, enacted on December 12, 2005 and EC 9.3065, enacted on December 14, 2005. Since these were enacted following the effective date of Measure 37 (December 2, 2004) the claim meets this requirement. D. Restriction on use, reduction in value. A “land use regulation” gives rise to a Measure 37 claim only if the regulation would “restrict the use” of private property and have the effect of reducing the fair market value of property. The specific regulations which the claimant states has restricted use of the property are EC 9.3050-9.3065 from the Chambers Special Area zone. These regulations generally restrict the density and limit the form and volume of structures on the property. The claimant submitted an appraisal, the purpose of which, as written on page 1 is “to provide the appraiser’s best estimate of the market value of the subject property with its current restricted zoning, S-R2, as of the effective valuation date.” (May 11, 2006) The appraisal, prepared by Charles E. Thompson & Assoc., Inc., concludes that “there is excess land (that) could accommodate three additional units.” Therefore, the appraisal evaluated the value of the land as currently restricted by the land use regulations versus the value of the land with the maximum allowed development under previous regulations. 3