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HomeMy WebLinkAboutOrdinance No. 18866CRD ~NA~CE. NQ . 18 S 6 G AN Q~D~NANCE C4NCERN~N~ xHE~ C~N~'~~SI4N of ~P~RTN~ENT F~U=.~DI.NGS ~~ CoND.C~N~~N~~JI~~`; Co~D~FY~IN~ THE pRO~'~,S~I:ONS~ ~~ oRDI:NANCE No ~ ~, $ ~5 5 ADOPTED BY THE. GDUNC TL qN ~`UNE: ~ $ , ~, 9 $ 0 ~NTQ ~ SECT fiONS 2. x;060, 2.. X062, 2.1x64, ~, ~o~~~, ~ a Z~~s 2..~1Q~70~ 2..1oJ2, G•~1VJ4, 2.1o.7C,t, 2r~Lt.1U 2o~OVV~ 2.1Q82~ 1 ~ , AND 2.10 8 4 OE THE: EUGENE CnDE , ~. 9 71 ~ A1~EN`D ING SE.CTTQN ~ . ~.Q$ 0 OE THAT CODE ; AND DECZ~-RfiNC AN E~E:RGENCY~. THE CITY QF EUGENE ~oES ORDAY,N AS ~'QZ~QWS: Section 1. The pro~risions concerning the conversion of apart- ment buildings to condominiua~s contained in Ord.~nance~No. 1$655, adopted by the Council on dune 1~, 1984 are hereby codified as Sec- Lions of the Eugene Code, 1971 as hereinafter set forth: 2.1060 Condominium Conversion - Definitions. In sections 2.100 to 2.1084 of this code, the fallowin words and g phrases mean: Affected tenant. Any tenant who resides in a building to be converted at the time of notice of plan-- ned conversion. Agent. A person who represents or acts far or on behalf of a developer in selling or offering to sell a condominium, or stock cooperative unit, but such term does not include an attorney at law whose representation of another person consists solely of rendering legal services. Association of unit owners. The association pro- vided for under ORS 91.527 or the resident board of directors of any cooperative housing unit project. building. A multiple unit building or single unit . building, or any combination thereof comprising a part of property. Common elements. The general common elements existing for the benefit of common use of more than two unit or share owners which shall include, where appli-- cable: ~a} The land whether leased or in fee simple upon which. ~, building i,~ located, except any por- tion thereof included in a unit or made a limited con~on element by th.e dec~,aration of unit owner- , ship. ,. ~b ~. The f oundati,ons , co~.umns, g~,rders , beams , supports, main walls, roods, ha1~,s, corridors lobbies, .stairs, fire escapes, entrances and exits of a building; Ordinance - 1 48866 Vic} The basements., yards, gardens, parking areas and outside storage spaces; {d~. Installation of central services such as power, l~;ght, gasp ~~ot and cold water, heating, refrigeration, aa~r conditioning, waste disposal, and incineration; ~e~. The elevators, tanks, pumps, motors, fans, campressors, ducts, and in general all appar- atus and nstallat.~ons existing for common use; ~.f ~~.. The pre~ises for the lodging of janitors yr caretakers of property; and, ~g}. ,All other elements o~f the building con- venient ar necessary to its existence, maintenance, and safety and normally in common use. ~ component of a cQ~unon element is any identifiable part of a commmon element which may be separately purchased and which has an expected useful life which is different than other parts of the common element. Comparable housing. Housing which is decent, safe, and sanitary, in coampliance with all applicable housing codes and open to all persons regardless of race, creed, national origin, ancestry, religion, marital status, or gender. Housing is comparable if it is provided with facilities reasonably similar or equivalent to that pro- vided by the, landlord. in the dwelling unit in which the tenant then. resides in regard to each of the fallowing: ~a~ .Apartment size, being no less than 84 a of the area square footage of the dwelling unit in which the tenant then resides; ~b~ Rented for an amount no more than 1~Oo of the last months rent paid by the tenant to the owner of the property to be converted. Rent shall not include money .paid or charges collected by the lessor for the provision of utility services; ~c~ The same number of bedrooms; ~:~.~.. similar kitchen and bath facilities; ~e~.. Similar special facilities for the par- ticular tenants needs if that tenant is handi- capped or elderly, including but not limited to elevators and security features; ~f~. similar cooling and heating systems; ~g~ Similar accessibility in terms of time of travel and distance from public transportation sautes to the tenant's place of employment, com- munity and commercial facilities, schools, medical services, and transportation; and ~g~ Such other factors as may be identified in administrative rules issued hereunder. A unit is not comparable if it is located in a building for which a notice of panned conversion has been given or for which reasonable evidence exists that th.e owner of such building is contemplating con- ordinance - 2 18866 version to condo~inium ar cooperati~re units. "Comparable housing" does not~~nclude: any hotel, motel, ox other sim~~.ar structure or roam therein used primax~:ly far transient occupancy, in which at lust ~~~ of the xoo~ns i~s devoted to living quarters fox shQxt~term tenants or guests or used for transient occupancy; any rental unit in an es- tablishment which has as its primary purpose the pxovidi~ng of diagnostic care and treatment of dis- eases,~~.ncluding but not lmited~to hospitals, convalescent haves, nursing homes, and personal care homes; or any dormitory or~institute of higher education, or private boarding school dwelling unit which is provided for student occupancy. Condominium, Land, whether leasehold or in fee s~,~mple, and all buildings, improvements, and structures thereon, where the ownership of such land is shared in undivided interests except for exclusive and separate ownership or right of residency of each residential unit located on the land. "Condominium" shall include all property subject to the provisions of .Oregon Laws, 1979, Chapter 65n, and cooperative housing units. Condominium instruments, The declaration of unit ownership as described in CRS 91.5x9, any supplementary lnformativn required for adda.tional development and annexation of property as detailed in CRS 91.518, the unit association by-laws given pursuant to ORS 9.1.531, the notice of intention filed pursuant to ORS 91.62, the condominium public report issued pursuant to ORS 91.614, the housing code inspection report required under section 2.107D ~a~. of this code, the informational brochure described in section z.1~7Q~c~2. of this code, the engineer's certificate required under section 2.1D7D ~_b) of this code, the building history report required under section ~. la?~ ~d~ 2. of this code, the TAP con- tract required under section ~.107~~e~ of this code, and any other document defined as a condominium instrument under administrative rules issued hereunder. "Condo- minium instrument" as applied to cooperative housing unit projects shall include any document equivalent to those identified above as well as the articles of in~ corporation,~by-laws, executed regulatory agreements, occupancy ar subscription agreements, management con- tracts, management plans, and applications for mortgage insurance. of the cooperative corporation. Condominium unit, That part of the property con- sisting of a building or one or more raarns intended for any type of independent residential ownership, the boundaries of which are described pursuant to paragraph ~c~. of subsection ~~.~ of CRS 91.5Q9, and which has a direct exit to~a public street or highway or to a common area or areas leading to a public street or highway. Ordinance -- 3 18866 Conversion. The process whereby more than two rental housing units sharing one ox more common elements are converted from ownership iri whole by a person or group of persons to ownership by several persons whose ownership interests are separ--ate as to. residential or commercial units located on the real property. "Condo- miniun~ conversion" includes the process prescribed by Dregon Laws, 1979, Chapter 650, sections one through five, and the process of converting rental units to co- operative housing un~.ts, but not including the process of converting; non-residential commercial or industrial buildings to residential condominiums or cooperative housing units. cooperative housin . zmproved real property owned or leased by a cooperative housing corporation ar by any other corporation, partnership,~trust or association in which all or substantially all of the shareholders of the corporation are partners of the partnership or bene- ficiaries of the trust or .members of the association receive a right. of exclusive occupancy in a rental unit of the building, which right of occupancy is transferable only concurrently with the transfer by any means of the stock, partnership interests, beneficial interest, or membership held by the person having such right of occupancy. Declaration of unit ownership. The document sub- mitting property to the state unit ownership law filed pursuant to OR5 91.506, Developer. A "declarant" under Oregon Laws, 1979, Chapter 650, or any person who plans tQ submit property legally or equitably owned in whole or in part by him or her to the provisions of Qx~egon Laws, 1979, Chapter 654, or any person who purchases an .interest in a con- dominium from a declarant or subsequent developer for the,primaxy purpose of resale, including any person, entity, ox group who purchases or is negotiating a pur- chase of a building for use as cooperative apartments, Director, The director of the Department of Hous- ing and Community Conservation of the city. Good cause for eviction. An eviction for one or more of the f o l looting reasons ~.a ~ The tenant has failed to pay rent to which the landlord ~.s entitled within 10 days after it is due; ~b~ The tenant has violated a written obli- gation ox covenant o~ the tenancy other than the obligation to surrender possession upon proper notice, and has failed to cure such violation for 14 days after receiving written notice thereof ~xom the landlord.; ~_c~ The tenant has permitted or is permitting a ~ui,sance to exist in or is causing damage to, the Ordinance - 4 18866 rental unit or to the appurtenances thereof, or to the common area, to the property containing the rental 1~~it; ~d~ The tenant is creating an unreasonable interference with the comfort, safety, or enjoy- ment of any of the other residents of the same or any adjacent building; ~e~; The tenant is using Qr permitting the rental unit to be used for any ~,1legal purpose; ~µf~ The tenant, under a terminated written lease or rental agreement, has refused, after re- ceiving written xequest yr demand fram the land- lord,~to execute a written extension or renewal thereof . for a further term of like duration with sa..milar provisions and at such terms as are not inconsistent with or violative of any provision of sections 2.1064 to 2.1084 of this code; Cgs The tenant has refused the landlord rea- sonable access to the unit far the purpose of mak- ing repairs or improvements or for the purpose of inspection as permitted or required by the lease or,by law or for the~purpvse of showing the rental unit t4 any prospective purchaser or mortgagee; ~h~ The person in possession at the end of the lease term is a subtenant not approved by the landlord; or {:.i} The tenancy is conditioned on and in con- sideration of the tenant's employment as superin- tendent, manager, janitor, or in some other capacity and such employment is terminated. Hearin s officer. A person appointed ~.by the city manager to decide contested issues arising under sections 2.1060 to 2.1084 of this code. Lifetime lease. A lease containing the following .. provisions: ~_a~ The tenant shall have the option of can- celling the lease at any time upon 3Q days written notice to the owner; ~.b~. The tenant cannot be evicted except for good cause; ~c }. Right of occupany shall be nontrans f er-- able; td~ The .first year; s base monthly rent for the unit shall be set at no more than the rent existing on the unit one year prior to the filing of the application for a condominium conversion permit, increased by no m4,re than 100 of the per- centage increase in the All ztems Consumer Price Index in the Portland Metropolitan Area, Portland CPl ~_ from the date one year prior to the filing of the application for the condominium conversion per-- mit to the effective date o~ any lifetime lease; ordinance - 5 18866 ~~e~ subsequent rent adjustments, if any, nay be made no soonex t~,an one year from the effective date a~ the l.~,fetime lease, shall be limited to no more than one per year, and the percentage increase ,in ~~rent shall not exceed look of the percentage increase in~the Cortland C~2 for the most recent l2-month period, and ~~~. Except as provided hereinabove, terms and conditions of the lifetime lease shall be the same as those cont~.ined in the tenant's current lease, or rental. agreement. Moving expenses. ~A fixed amount set by adminis- trative rules .issued hereunder which represents an esti- mate of the average moving expenses for a move within the city. A separate amount for elderly and handicapped tenants shall be set which shall include moving expenses attributable to packing and unpacking. Negotiation. Any activity preliminary to the exe-- cution of a binding agreement for the sale or lease of a condominium unit or cooperative share or subscription agreement, including but not limited to advertising, solicitation, and promotion of the sale or lease of such a unit or share. offering. Any advertisement, inducement, solicita- tion, or attempt to encourage any person~to acquire an interest in a condominium unit or cooperative share or subscription agreement, other than as security for an obligation. Rental housing unit. A leased residential unit for individual occupancy containing separate kitchen facilities which has a direct exit to a public street or highway or to a common area or areas leading to a public street or highway. Sale. Every final disposition o.r transfer of a condominium unit or purchase of a cooperative share by a developer or his agent, or by a purchaser from that developer, including the offering of the property as a prize or gift when a monetary change or consideration for whatever purpose is required by the developer or his agent. Shire. A certificate of interest, participation, or ownership in a cooperative corporation.including any subscription, membership, or occupancy agreement. special category tenants. Any person who is elderly, handicapped, or low income. "Elderly" means any.. person who is G2 years of age or over at the time of the notice of planned conversion. "Handicapped" means any individual who, a~: the time of final conver- sion permit issuance, has a physical or mental impair- ment which substantially limits one or more of such person's activities relating to housing. "Low-income" means any person who, at the time of notice of planned ordinance - 6 1886b conversion, h.~,s a c~,rxent inc~~ne of less than 80 p of the median income on ~ ye~,xly basis determined for Lane County by the Depa~t~ent ~~ dousing and Urban Development. Unit owner-, ~ devel,oper who awns a unit or share, a person to whom ownership o~ a unit or share has been conveyed, or ~ lessee of a unit ,in a leasehold conda- ~ninium whale lease e.~pires simultaneously with any lease the expiration or tex~mi,nati~an of which will remove the un~:t from. th,.e oondon~i:nium, but not a person having an intexest in a unit o~ 5ha~e solely as security for an obl~.~at~,on. 2.1062 Condominium Con~rersiQn - Scope of Regulations, Sections 2.1060 to 2.1084 of this code shall be applicable to all conversions of rental units to condominiums for which a declara- tion of unit ownership under ORS 91.506 is filed after June 16, 1980, Sections 2.1060 to 2.1084 of this code apply to the con- version of rental units to cooperative apartments, including limited equity stock cooperatives and market stack cooperative units, where articles of incorporation are filed and shares are sold after June 16, 1,9 80. Sections 2 . ,1064 to 2.1D 84 of this code do not apply to any condominium conversion granted an exemp- tion from the operation~of the moratorium under Ordinance No. 18535 and for which project either a public report has issued under ORS 91.614 or a waiver thereof has issued under ORS 91,623. 2,1D64 Condominium Conversion - Limitations. {:1} Notwithstanding any other provision of law, no per- son may convert nor shall the city permit the conversion of any rental unit in the city into a condominium or cooperative hous- ing unit except as provided in sections 2.1D60 to 2.1084 of this code. Any developer ar other person seeking to convert an exist- ing structure to condominium or cooperative ownership shall first apply for and obtain from the Housing and Community Con- servation Department condominium conversion permits. Such con- dominium conversion permits shall be issued only upon the approval of the director, or hearings officer upon appeal or review, after it has been determined that the existing strut-~ tore and plans conform. to all applicable provisions of law and this code. A preliminary ar final con~rersion permit may no.t be transferred or sold unless such transfer or sale is first approved by the director. ~.2~.. No earlier than 30 days prior to the formal filing of an application for a, condominium conversion preliminar~l per-~• mit and concurrently with its delivery to the tenants, the de- veloper shall deli~rer to the city a copy of a notice of planned conversion and an affidavit pravidin~ a list of tenants who re- ceived the notice and showing the date ar dates of delivery or Ordinance - 7 18866 intended delivery of tie nqt%ces t~ the tenants . The notice shall contain written a~nf ormat~on desc~%b.ng, in general; ~a}_ what steps and acta.ons the developer and others, inclining governmental agencies, will or must take in order f car th.e bui l,di;nq to be converted to a condan~a num ox stock ccopera~ti~ve; ~~~... How th.e tenant will be involved, informed, and assisted at each step in the process; and ~c ~_.. what :r- ~gh.ts the tenants~~ have , whether man- 4dated by~ law~or- voluntarily provided by the developer. The notice shall be a.n plain and simple language, and contain any additional or specific information required by the city under administrative rules .issued hereunder. (3} After the notice of planned conversion is given and prior to leasing any unit, any prospective tenant shall be notified in writing of the intent to convert and advised that no TAP benefits allowed under section 2.1070~f~ of this code will be provided to that tenant. 44~ No developer or his or her agent shall negotiate far the sale of converted condominium units ar cooperative shares to prospective: purchasers until issuance of a prelimi- nary permit to convert by the city. ~5~ No developer or his or her agent shall sell .an y converted condominium units. or cooperative shares t~.ntil issu-~ once of the final permit for condominium conversion by the city. No final conversion permit. shall be,issued~by the city any earlier than l80 days after the fa.ling of the notice of plan- ned conversion with the city. This x,80 day time period may be waived by the director if all tenants of the building to be converted have moved, executed lifetime leases, or have exe- cuted binding agreements to purchase their units cr shares prior to the expiration of the 180 day period. This restriction shall not preclude the entering into of lease-purchase agree-~ meats between the developer and prospective purchasers after issuance of the preliminary permit to convert. 2.1066. Condarninium conversion - Preliminary Permit Process. ~_1~ Application. No later than 60 days after the filing of notice of planned conversion, the developer or his or. her agent shall apply for a preliminary conversion permit on a form prescribed by the director and shall submit as part of this application: Via} An affidavit attesting to the fact that all tenants who reside in the building to be converted and any affected neighborhood organizations have been notified of th.e application; and ~b~. An application fee in the amount of $5?5 for conversions of 25 units or less or $300 plus $ll far each unit for conveys .ions of 2 6 units or mare . The amount of the application fee may be varied by Resolution of the council. The applicant promptly shall post this application and affidavit Ordinance - 8 18866 in a conspi.cu~ous p~,ace i,n th.e build%n,g or buildings to be converted. ~:2~_ ~ ~S~taf~f~ ~re~r:ew. with%n. 3D days from the time of a completed application the Housing and Commun~.t Conservation staff sha i ~ y.~. ll ssue a staff report on the applicants compliance with conditions for approval o~ the preliminary permit. U on p completion, the staff report shal,~ be sent to the applicant who shall have 7 days thereafter to submit additional informa- tion or matexial. The applicant promptly s~h.all past the staff report in a conspicuous place in the building or buildings to be converted. ~.3} ~er~mit a;~proy_a~.. ~'~ithin l4 days after the issu- ance of the staff report the director shall approve with or without conditions. or deny the permit and shall notify the... applicant of his decision in writing. The applicant or develop- er promptly shall notify each affected tenant in writing of the decision of the director on the preliminary permit application. ~4} A eal of ermit decision. within 14 days of the permit decision by the director, any interested person may appeal that decision to the hearings officer. Such appeal shall be instituted by filing a notice of appeal on a form to be provided by the city. within l4 days of the notice of appeal, the hear- ings officer sx~~~:ll conduct a hearing on the permit approval or disapproval action a~f the director. Such appeal shall be limit-~ ed to the issues of whether the applicant has satisfied the conditions of the preliminary permit approval and whether the information supplied by the applicant in connection with the application process is true and correct. The decision of the hearings officer on the permit approval or disapproval decision of the director shall be given in writing no later than 10 days after the hearing, and such decision shall be final. An ~re- yp liminary permit approval decision of the director or the hear- ings officer shall be an intermediate and nonffinal order for purposes of judicial review under QRS 34.414 et seg. ~:_5} Reapplication. No person, or hip or her agent, who has been denie~d~a preliminary permit for conversion ma y reapply for a permit governing the same condominium or coopera- tive pra~ect within one year of the date of the denial of the application for condominium conversion permit unless there exists a substantial change in conditions which formed the basis of the permit disapproval decision. ~;6y ~~piration of preliminary permit. Any preliminary permit to convert shall expire and be no longer valid unless the applicant app lies for a final permit to convert within one year of the date of issuance of the preliminary permit. 2.1068 Condominium Conversion -- F%nal Permit Process. ~~1 ~_.~ .Ap ~licat The permit process for final ermit p for condominium conversion shall be the same as the process for the preliminary permit. The developer or h.is or her authorized ordinance - 9 IS%66 agent shall apply for s~ch.permt at the Department of Housing and Community Conservation on a ~~.rm to be provided by the city. The applicant shall pay: a final perrmit app~,ication fee of $ 375 for conversions of Z5 units ox less , o:r $ ~ QO plus $ 7 .for each unit for conversions of ~G uni.ts~ or more. The amount of the application fee may be varied by resaluti.on of the council. At the time of application th.e applicant shall supplement, if necessary, any information required for issuance of a prelimi-~ nary permit fox conversion.. The ~ousin~ and Community Conserva- tion s taf f sha 11 %s sue a s to f f report on the ~ permi t w%thin 3 0 days from the time of a completed application. The developer shall have 7 days after receiving the staff report to submit additional information or material. The applicant promptly shall conspicuously post copies of the final permit application and the staff report in the building or buildings to be con- verted. The director shall approve with or without conditions? or deny the permit within 14 days of the issuance of .the staff report. The applicant shall promptly notify in writing all tenants of the director's decision. An appeal of the director's decision may be made to the hearings officer upon filing of a notice of appeal on a form provided by the city, ~:2}. Appeal rights. Within 10 days of the permit deci- sion by the director, any interested person may appeal the deci- sion to the hearings officer. The issues of such an appeal shall be limited to whether the developer complied with the conditions and contractual obligations agreed to as part of the approval of the preliminary permit, whether there exists sub- stantial evidence to support the director's final permit deci-~ sion, and whether information supplied by the developer in con- nection with the final permit to the director is true and correct. The timing of such appeal and hearings officer's decision shall be the same as in the preliminary permit process. ~.3 ~ Hearing . The hearing by the hearings officer shall be a contested case hearing and a determination of the hearings officer shall be final, No applicant or his ar her agent who has been denied a final conversion permit for a condominium or cooperative project may reapply for a permit for the same within. one year of the date of denial of the application for final condominium conversion permit unless there exists a sub- stantial change in conditions which formed the basis of the permit disapproval decision. 2.1074 Condominium Conversion - Preliminary Permit Approval. Tn order t~ obtain approval by the director of an appli- cation for preliminary condominium conversion permit, the appli- cant must satisfy the following conditions: ~~a~ cousin code inspection. Prior to the appli- cation for preliminary condominium conversion permit the developer, at his or her expense, shall request the city ~Iousin~ and Community Conservation Department to inspect the building or buildings to be converted for Ordinance - lQ 18866 compliance with the h.ous%~;g code , sections S . ~ 6 5 to 8.3 6 5 of this code . The nspect~,on steal 1 be completed within 7 days of a ~eveloper~s request unless the de- veloper fails to provide or .refuses access to the hous- ing code inspector. A copy of the housing inspector's inspection report shah. be provided by the developer to the director as part of the application for a pre- liminary permit for condominium conversion. ~b~ Provision of an en ineer/architect's certifi- cate. The applicant shall supply to the director a cer- tified report from a qualified licensed engineer or registered architect describing the condition and ex- pected useful life of all common elements including the roof, foundation, external and supporting walls, mech- anical, electrical, plumbing, heating, all other major mechanical and utility systems, together with an estimate at current market prices of repair or replacement costs for those items requiring immediate major repair ar eventual replacement. The report shall separately list the condition and expected life of all components of common elements and shall include the approximate dates of installation of the common elements and components and the dates and description of major repairs or reno- vations of the common elements and components. The re- port shall identify the sources used in the estimates of expected useful life. ~_c } Ap licant' s affidavit. The applicant shall supply an affidavit of the applicant attesting to the truth of the following: 1. That the applicant has kept signed re- ceipts from all affected tenants certifying that each such tenant has received copies of the native of planned conversion and the proposed tenant assistance program contract. The applicant sh~a11 state in the affidavit that such receipts shall be kept on file in this city~by the developer or his or her agent subject to inspection by the director or his designee at any reasonable time for a period of three years from the date the receipt is taken. For the purpose of this provision, a refusal to accept notice of intent to convert .or the tenant assistance program contr«ct shall constitute re- ceipt by arxy affected tenant. Z. That the informational brochure on con- dominium conversion provided by the department of Housing and Community Conservation has been distri- buted to all tenants who reside in the building prc}pr~s~:d to~ be converted and that sufficient bro- chures have been purchased by the developer for distribution to prospective purchasers. 3. That no evictions of affected tenants except for good cause have occurred between the Ordinance ~- ll f 8866 date of the notice of planned conversion to the city and the date of the permit application. 4. That no rent increase since the notice of planned conversion for any affected tenant has occurred except in a proportional amount equiva-~ lent to th.e rise in the All Ttems Portland Consumer price Index since the date of the last rent in- crease for the unit in which that tenant resides. ~_d~ .Provision of informational documents. The following documents shall be provided with the applica- tion for a preliminary permit for condominium conversion: 1. Information to state. All issued condo- °min~.um i.nstruments.~ 2. building history. A building history re- part showing, if such information. is reasonably available, the date of construction of all common elements and components thereof of the building, a statement of the major uses of such building since construction, the date and description of each major repair of any common elements since the date of con- struction, the date and description of each major renovation of any element since the date of con- struction, and the names and addresses of the current owners~of all improvements and the underlying land of the building proposed to be converted. The de- finition of "major repair" and "major renovation" shall be set under administrative rules issued here- under. 3. Rental history... ~?. rental. history report ,.,,,, detailing, if such information is reasonably avail- abler the size and square footage of the units in each building, the current or last ~'ental rate, the names and addresses of each present and each affected tenant, the monthly rental rates for the preceding three years for each unit,~the monthly .vacancy over the preceding three years, the number of evictions over the preceding three years, the name of each special category tenant presently residing in the project, and the number and type of special category tenants over the preceding three years. For any such information not reason- ably available, the applicant shall state what steps were taken to secure such information. Tenant su 4. _ _ ryey. A survey of all affected tenants in the con~re~~sion project indicating haw long each tenant has been a resident of the project, why each tenant moved into the project, how long each tenant had planned to live in the project, whether each tenant would be interested in purchas-~ ing the unit, where each tenant would prefer to relocate if the convers~.on took place and the ten- ant did not purchase a unit, the extent of tenant Ordinance -~ l2 18866 approval and di s appro~ra~, of the ~ conveys i on , and any other information deemed relevant by the director. To comply with this. provision the appli- cant shall provide a questionnaire in a form approved by the city to each affected tenant with an envelope, postage prepaid, addressed to the city Housing and Community Conservation Department. The questionnaire shall direct the tenant to return the completed form directly to the city Housing and Community Conservation Department. ~~e~. Tenant assistance plan. each applicant for preliminary permit for condominium conversion shall pre- pare and supply to the city a tenant assistance plan ~TAP~. No TAP need be prepared where all of the affected tenants have executed b.~.nr.~ing contracts to purchase their units or shares or have permanently relocated at the time of the preliminary permit application. The TAP shall be formalized by a contract between the developer and the city, the execution of which .is a prerequisite to city preliminary permit approval. Each TAP contract shall contain the following: 1. An obligation on the part of the developer to pay ~ .moving expenses to special category affected tenants. The amount of moving expenses to be paid shall b.e set by administrative rules issued hereunder. Any such .moving expense reimbursement shall be paid no later than 24 hours pra~or to the date the apart- ment unit is to be vacated by the tenants or sub-- tenants if the developer has received at least 14 days advance written notice of the date upon which the apartment unit is to be vacated. If no such notice has been received, the reimbursement shall be paidwithin ~0 days after the rental apartment unit is vacated. 2. An agreement by the developer to contract with a housing counselor approved by the city, to assist special category tenants of the building to be con~rerted in locating housing and. to act as the developer's sole agent in representing housing as comparable, to special category tenants. The city may withdraw its approval of the housing counselor at any tune. The contract between a housing coun- selor and a developer shall be subject to approval by the city. Such contract shall require the coup-~ selor to use his or her best efforts to obtain replacement housing which meets the articulated special needs of each special category tenant in addition to being comparable as defined in this code. 3. An agreement by the developer to offer independent~.y two comparable housing units to each ordinance - 13 18866 special category tenant prior to giving any notice of tenancy termination to than tenant, If the status of the offered unit as comparable is contested by the tenant, it shall not constitute such an offer until the decision of the hearings officer on its compatibility, An independent offer is one which is not an outstanding offer to any other tenant and which is, during the period of consideration, an exclusive offer ~ta that tenant, Any such obligation on the part~of the developer shall not preclude an eviction of any special cate~-~ gory tenant for good cause, The agreement to offer comparable housing to a particular tenant ma be Y satisfied by an offer of lifetime tenancy to that tenant. 4. An agreement by the developer not to e~rict any affected tenant, except for good cause, prior to the issuance of the final permit for condo- minium conversion. ~. An agreement by the developer not to raise the rent of any affected tenant prior to issuance of the final permit for condominium con- version except in a proportional amount equivalent to the percentage rise in the All =terns Portland Consumer Price Index since the date of the last rent increase for the unit then occupied by the affected tenant. 6, A provision that the contract shall operate in favor of all affected tenants of the building as third party beneficiaries. 7. A provision that the city assumes no liability for the condominium conversion project or the developer's actions or failure to act. $. A provision that reasonable trial and appellate court attorney's fees shall be paid by the non-prevailing party in any action or suit on the contract. 9. Any other provision required under ad~- ministrative rules issued hereunder. A TAP may include any purchase incentives to existing tenants which are offered by the developer, ~.f ~ .Good faith . I t shal 1 be grounds for denial of a preliminary conversion permit that the owner of the building to be converted has evicted more than one elderly or handicapped tenant without good cause during the three years preceding the date of application for preli~n~inary conversion permit. . 2.1,072 Condominium Conversion -- Final Conversion Permit A roval. The following are conditions of final permit approval: Ordinance - 14 18866 ~:a~.. Warrant ~ E.xecut~.~n b~ the developer of a warranty in favor of the unit owner association, pur- chasers of all condominiu~ units, and any remaining tenants in the building, covering and warrantin the g materials, workmanship, operation, construction, and condition of each coon element and components there- of in the building to be converted for two years from the date of con~reyance or sale of the first unit or share a;n the building sold to a condominium or coopera- ti~re unit purchaser, No common element or component thereof need be warranted if i,t .is certified in the engineer architect's report as having an ex ected use- p f u1 life of greater than 34 years or the ~ remainin use- g ful life of the building, whichever is the smaller. The developer shall provide his own warrant whether or not an manufac ur ~ y y y t er s warranty currently exists. For the purposes of this subsection, no unit shall be deemed conveyed unless conveyed to a bona fide urchaser. p No action to enforce the warranty created by this sub- . section may be brought after one year from the date such warranty period has expired except for structural defects which occurred during the warranty period which were latent and undetected in fact; and in the event of such latent defects, no action shall be brought after six months from the date such defect is detected, 1. Compliance with warranty. To insure com- pliance with the warranty set forth in this section, the developer shall set up escrows for other securities or execute a band, acceptable to the city, pursuant to administrative rules romul ated p g under this code. Any such escrows or securities shall revert to the sole control of the developer at the expiration of the warranty period unless any warranty claims exist against a.t. Escrows or other appropriate securities shall be in an amount constituting 1D~~ of the estimated replacement cost for all items war-ranted. Any band given as security shall separately bond payment by the de- veloper of warranty claims on each item warranted. 2. Inclusion ~n contracts. All sale con- tracts for the first time sale of any condominium unit covered under this code and entered into dur- ing the warranty period shall contain the above express warranty by the developer, 3. Warrant exclusions. The following are exempted from the above warranty provided the work was performed in accordance with then existing applicable codes: a, pan~age caused by the acts of un- authorized tha,rd parties,~inc~uding vandalism, ordinance -- 15 18866 negligence, i~tpropex maintenance, ar im- proper operation by anyone ether than the developer or h..s employees, agents, or subcontractors ; b. Acts of God and accidents, in- cluding but not limited to fire, explosion, smoke, water escape, windstorm, hail, ,lightning, flood, and earthquake; c. Formal wear and tear and normal deterioration; and d. Urdinary maintenance and repairs. 4. Developer's warrant obligations. Follow-~ ,~ng timely notification by the unit owner's associ- ation, or if control of the building has not been transfera~ed to such association., b~~ 3 unit owners or .34% of the non-developer unit owners, whichever is smaller, unit owners groups the developer shall promptly make any required repairs or replacements cif t~n~r item warranted . I f the developer fails to comply with the warranty, the unit owners associ- ation or group may notify the developer in writing of its intention to correct the condition at the developer's expense. If the developer fails to comply within 14 days after being notified by the unit owners association or group or as promptly as conditions require in case of emergency, the unit owners association or group may have the work done and shall ha~'e recourse to the escrow, security, or band provided above. Tn order to cause the warranty to be honored, the unit owners association shall give timely notice of any defect or failure of operation to the developer or his successor and shall first seek to enforce any applicable manufacturer's warranty. 5. Arbitration. Any disputes over any such warranties shall be settled by binding arbitration to be conducted and governed by the provisions of ORS 33.210 et seg. ~.b~ Cash reserve escrow account. A cash reserve account shall be~ e~s~tabl~i~~shed~ and funded by the developer for the benefit of the unit owners association. Such re- serve account shall be for replacement reserves, and shall be non-refundable tv the developer. The reserve account shall be funded by cash or by an~assignment by the developer of all sales proceeds from the sale of condominium units or cooperative shares up to the amount required to be funded. The developer shall be entitled to any accrued interest on~the reserve account at the expiration of the warranty period. The unit owners association shall not be entitled to draw upon such re- serve account until the expiration of the warranty period. Ordinance - 16 18866 The rese,r~re account steal ~. be funded in an amount equal to two times the rep~,ace~ent cost .off ~ w~ach warranted item divided by the number which. zs~ the ex ected useful ~~ .p~ , life of each such warranted a.tem, as specified a.n the en~ineex~/architects report. ~c~ Subn~issio~, Qf informational re ort on TAP. The developer shall submit to the director informational xeparts on -the tenants relocated s.~nce the filing of the notice of planned con~rersion. This informational re- port shall show moving assistance given to those tenants, shall identify comparable housing units offered to s e-- p vial category tenants and any acceptance or rejection of these offers by the tenants, shall contain a housing counselor report identifying all displaced tenants and the progress, if any, on the relocation of special category tenants, and shall include signed statements from all displaced special category tenants statin that g they understand and have received all benefits allowed under the TAP and~this code. ~.d~. Certificate of re airs . The developer shall provide a certificate of repairs by the housing inspec- tor showing correction of all housing code violations found in the code inspection report.' 'The certification shall state that only those defects discovered by the housing code inspector and listed on the inspection re- port have been corrected and that the certi~.fication does not guarantee that all housing code violations have been corrected. No developer, however, shall use the building department certification in any adver.tis~- ing or indicate to anyone, in any fashion, far the ur- oses of inducin a ers n ~ ~ p p g p o to purchase a condominium or cooperative unit, that the city or any-of its depart- ments have f'approved~' the building ar any unit for sale because the city has certified the building or any unit to be in any particular condition. ~e~. valid preliminary ermit. A valid preliminary permit to convert must exist at the time of final con- version permit approval. 2.1n74 Condominium Conversion -Post-Permit Obligations and Procedures. ~:1} Submission of information re arts, within 3~ days of the issuance of the final conversion permit, the developer shall submit to the director informational reports on forms pro- vided by the director, pertaining to the tenants of the conver- sion relocated since the granting of the final permit applica- tion. The informational reports shall be submitted monthly and shall continue to be submitted unt~I all special category ten- ants have been successfully relocated ox offered lifetime leases. Ordinance - 17 18866 The developer shah. ~eliuear to th.e city completed pur- chaser information ,forams fox oach purchaser ~f a ~condam~.nium unit. These dorms sh.a11 be provided to the developer by the director and shall request information on the previous tenure fawner or renter. of each occupant of the condominium unit, and the present tenure.status~of that occupant's previous dwelling. This information may be used in determining the allowable con~-e.rson rate. t ~ ~ ti . ', _2 ~.. ~~:a;tati:on~ aneviction orrent increases of re- mainin ~s~peci~al~ cate~or tenants. No developer shall evict except for good cause, any special category tenant prior to the refusal of any such. tenant to accept either of two offers of comparable housing by the developer. To be valid,. any such offer of comparable housing shall be made to the tenant by the housing counselor. No comparable housing offer shall constitute one of the two required offers. unless it was an independent of der . Failure of any such tenant ~ to accept a ~ comparable hous- ing offer within 5 days of .the initial offer shall constitute a~rejection. ~n the event that such special category tenant is temporarily immobile because of sickness or injury, such tenant shall have an additional period of ~5 days to accept a comparable housing offer. Via} No special category tenant residing in the building after issuance of a final condominium conver- sion permit and prior to the offer to that tenant of two comparable housing units shall have his ar her rent raised except in a proportionate amount eq~a~.va- lent to the percentage rise in the All Items Portland Consumer Price Index since the date of the last in- crease for the unit then occupied by that special category tenant. ~3}. Termination of housin counselor's services. The services of the housing counselor shall no longer~be required upon either the complete relocation of all special category tenants or relocation of some but not all special category ten- ants and the execution of lifetime leases with the remaining special category tena~.ts. ~.4~ Disclosure to purchasers. In addition to the dis- closure required by the developer to purchasers pursuant to SRS 91.34, the developer shall make available to the purchaser prior to conveyance of the unit by deed, lease, or contract, copies of issued candorninium instruments. The developer shall keep a receipt signed by each. purchaser acknowledging that the person entering into a contract to purchase has received o.r has had the opportunity to review the condominium instruments, and has completed the pur- chaser inf orr~ation form. Such receipts are to be kept on file in this city by the developer or his agent or affiliate subject to inspection by the director or his .designee at any reasonable time far a per~.od of three years from the date the receipt is taken. Prior to disclosure, the Ordinance -- l8 SSb6 following paragraph must be conspicuous~.y displayed on the first page of each copy o~f the condoma:nium instrument package: THE CITY OF EUGENE HAS RECEIVED THE CoNDOMI~NI~UI~ TNS~TRUN~ENTS~ FQR FILING ON THE CITY HAS REVIEWED THE C~~JNDON~~~N~U1~ Z~~TSTRUI~ENTS FOR CON~PLI- ANCE WITH. TAE RESI~DHNT~~AL C4NHC~~TNIUM~ CODE PRO'~IST'O~~ OF THE EUGENE CODE, 1971, HUT ASSUMES NO LfiA~ILI~TY FoR THE PROJECT OR THE DECLI~RANT' S ACTfiONS 0~, FAILURE T4 ACT. :.5 Resa~,e of units . In the event of a resale of a unit or share by a unit or share owner, other. than a developer, the unit or share owner shall furnish to the purchaser, before execution of any contract for sale a~ the unit or share or otherwise before conveyance, a copy of .the condominium instru- ments, the declaration, the bylaws, the rules and regulations of the association or cooperative, and a certificate containing: ~.a~ A statement disclosing the effect on the proposed disposition of any righ~~ of first refusal or other restraint in the free alienability of.the unit; ~.b~ A statement setting forth the amount of the monthly common expense assessment and.any unpaid common expense or special assessment currently due and payable from the selling unit or share owner; ~c~ A statement of any other fees payable by unit or share owners; ~d~ A statement of any capital expenditures proposed by the association or cooperative for the current and two next succeeding fiscal years; ~:e~ A statement of the amount of any reserves designated by t~~e association or cooperative far any specified projects; ~f~ The. most recent regularly prepared balance sheet and income expense statement, if any, of the association or cooperative; ~_g~_ The current operating budget of the associ- ation or cooperative; ~h~ A statement of any judgments against the association or cooperative and the status of any pending suits to which the association pis a party; ~i~ A statement describing any insurance cov- erage provided far the benefit o~ unit or share owners; ~,.j~_ A statement as to whether the executive board has knowledge that any alteration or improve- ments to the unit or to the limited common elements Ordinance - l9 (8866 assigned thereto violate any provision of the declara- tions ; ~~ C~}. ,A state~ent as to ~aheth.er the executive board has knowledge of any ~vialatons of the health or building codes with respect to the unit, the limited ca~mon elements assigned thereto, or any other portion of the condo~i,ni:.um ~r cooperative; and ~~l}._ A statement of t~,e xe~naining term of any l.easeho~~.d estate. affecting the cvndominum or housing cooperative and the provisions governing any extension or renewal thereof. The board of directors of a unit owners association. or coopera- tive corporation shall provide any such seller with the certifi- cate described above within 14 working days of a request by a seller and may charge the seller a reasonable fee for the pre- paration of this infor~mati.on. ~6~. Revocation of conversion permit. A condominium conversion preliminary or final permit may be revoked after notice .and a contested case hearing before a hearings officer upon a written finding of fact that the developer has: ~.a}. Failed to comply with the terms of a cease and desist order; ~b~ been convicted in any court subsequent to the filing of the permit application for a crime in- volving fraud, deception, false pretenses, misre re- p sentation, false advertising, or dishonest dealing in real estate transactions; ~c} Disposed of, concealed, or diverted any funds or assets of any person so as to defeat the rights of unit purchasers; ~_d} Intentionally or repeatedly failed to per- form any stipulation or agreement made with the city as an inducement tv grant or reinstate any conversion permit; fie} fade intentional misrepresentations or con- cealed material facts in an application for a permit; or, .f. Intentionally or repeatedly violated any provision of sections 2.1464 to 2.14H4 of this code. Findings of fact shall be accompanied by a concise and expli- cit statement of the underlying facts supporting the findings. A determination of a hearings officer on a revocation of a permit shall be final. 2.1476 Condominium Con~rersion -- Dispute Resolution; Tenant Eligibility for benefits. ~_l } Eligib 1i ty of tenant as special cote ory tenant. In the event of controversy over whether a tenant is elderly, handicapped, or low income and qual%fies as a special category ordinance - 2Q rss66 tenant, the director of his designee shall make a determination, which shall be final and non-~~.p~ealable to a hear~,ngs officer. The developer and tenant shall have notice of such request for determination and opportunity to submit written arguments, com- ments and affidavits prier to the determination of eligibility by the director. ~ 2 }_ status of alternati~re ~:rerital ~urii~t, as ~com~parable, In the event of a disagreement between the tenant and the deve L- oper as to whether an offered alternat~;ve dwelling .unit is com- parable or is an outstanding offer to another special category tenant, such dispute shall initially be mediated by the housing counselor. The tenant or developer may seek a review of the decision of the housing counselor by requesting a hearing with the city. Such hearing shall be requested on an application form to be supplied by the city, the contents of which may be governed by administrative rules issued under sections 2.1060 to 2.1084 of this code. The hearing shall be before the hear- ings officer and shall be conducted within 10 days from the request for a hearing. The determination of the hearings offi- cer shall be final. 2.10?8 Condominium Conversion - Enforcement. 4.1~ Cease and desist orders. If the city determines that a person has: ~a~ Violated any provision of sections 2.1060 to 2.1084 of this code; ~b Directly or through an agent or employee . knowingly engaged in any false, deceptive or mislead- ing advertising, promotion, or sales method to dis- pose of a unit, ~.c~ Made any substantial change in the plan of disposition or development of condominiums subsequent to the granting of a permit without notifying the city• ~.d~ Disposed of any units which have not been registered with the city; or ~e~ Violated any lawful order or rule of the city, the director may issue an order requiring the person to cease and desist from the unlawful practice. ~ 2 ~. General enforcement powers . I f it appears that a person has engaged in or is about to engage in an act or prac- tice constituting a ~riolation of any p~ovis~.on o.f sections 2.1064 to 2.1054 of .this code, or ru.e, regulation, or order thereunder, or failed to f ai,th.fully perform any stipulation or agreement made with. the city as an inducement to grant ar re- instate any conversion permit, the city with or without any prior administrative praceedin~s may b.rin~ an action in the Circuit Court fog Lane .County to enjoin the acts or practices Ordinance - 21 1886b and to enforce compliance with sections 2.1064 to 2,1084 of this code ar any rule, regulation, order, or contract there- under, 3 Criminal r ` ~ ~ } ,,,,,.,,,. p oceedln~,s,,,,+and penalties, ~a} Conversion wi~thout~~~-~p~ermit.~~ Any person con- verting without a permit shall be guilty of a viola- Lion. The penalty for such violation shall be as pro- vided in section 2.19 9 0 ~.5 } of this code , fib} False statements; concealment of facts. Any ..person who wilfully makes an untrue or misleading statement of material facts or wilfully omits to provide required data on any document prepared pur- suant to sections 2,1460 to 2,1084 of this code shall be guilty of a violation, and upon conviction, shall be subject to a f ine as provided in section 2 ,19 90 ~ 6 } of this code. ~4} Ru.lemaking authority. The director is authorized to promulgate any rules necessary for the implementation of sections 2,1060 to 2.1084 of this code which in the discretion of the director may be reviewed by the council prior to imple- mentation thereof, Such rules may include, but are not limited to, regulations on the permit application process, elaboration of the necessary conditions for permit approval, contents of a TAP contract, the definition of comparable housing, the selec- tion of a housing counselor, the contents of the housing coun- selor contract, procedural and substantive rules on dispute resolution and enforcement mechanisms, and rules relating to the expiration and revocation of final conversion permits. 2.1080. Condominium Conversion - '~~aiver by Director of Condi- bons for Preliminar and Final Permit. ~,1} The director may exempt a limited equity coopera- tive housing unit project from any provision of section 2.106D to 2.1x84 of this code except for the purchaser disclosures required under sections 2.10 7 4 ~ 4 } and 2.10 7 4 ~ 5 } , Such exemp- tions may be for any or all of the provisions of sections 2.1060 to 2.1084 of this code, or any part thereof, Any such regulatory exemption shah be granted only where the operation of federal or state law or an executed agreement with a fed- eral or state agency requires the cooperative housing unit project to offer equivalent protection to affected tenants and prospective purchasers and equivalent displacement benefits to relocated tenants as that afforded under sections 2.1060 to 2.1084 of this code. ~2} The director may giant a complete or partial application fee waiver to any such limited equity cooperative Ordinance - 22 !8866 housing project if equivalent application fees to governmental agencies, reduced city costs in the processing of the project`s permit applications, or past city financial support or funding approval for the particular project make the imposition of such fees unreasonable in his or her judgment. ~3} The .director may issue administrative rules identi- fying such federal or state regulations, laws, or regulatory programs for housing cooperatives, which duplicate or offer equivalent protection as that afforded under sections 2.1064 to 2,10$4 of this code prior to granting any such exemption. Such administrative rulemaking shall solely be initiated upon a petition for rulemaking to the director of an interested per- son. Such petitioner must show that the specific benefits under federal or state regulation are equivalent to the specific benefits granted under sections 2.1060 to 2.1484 of this code. Once these administrative rules have issued, the application of the rules to any preliminary or final permit application shall be determined and adjudicated in the conversion permit process. 2.1482 Condominium Conversion - General Provisions. ---- ~1} Anti-discrimination clause. The developer or owner of any condominium unit within a project shall not discr- minate in the sale, or in the terms and conditions of sale of any dwelling unit against any person who was or is a tenant of the building to be converted because such tenant opposed in any manner the conversion of such building to a condominium. ~~} Variation-by agreement. Provisions of sections 2.1460 to 2.1084 of this code may not be varied by agreement and rights conferred by those sections may not be waived prior to the giving of notice of planned conversion. Any tenant benefits allowed under those sections may be waived in writing by a tenant after notice of planned conversion is given if such waiver is entered into in good faith and not for the purpose of completely evading the obligations of the developer, the terms and conditions of the waiver agreement are clearly and fairly disclosed, and adequate consideration for the agreement is specifically stated. A developer may not act under a power of attorney or use any other device to evade the limitations or prohibitions of sections 2.1060 to 2.1084 of this code, or the permits thereunder. ~3} Ubligation of good faith. Every contract or duty governed. by sections 2.1060 to Z.14S4 of this code. ~:4} Retaliation evictions: If a developer has as his or her dominant purpose retaliation against a tenant because Ordinance - 23 18866 of the exercise by the tenant ~~ r~~ht~ ders.ections 2.1,060 to 2.1084 of this cede, ~r for e.~pre.ss~,g any opinion on any matter relating thereto, or because ~af th.e tenant~~s denial or refusal to consent to conversion, and if the tenant is not in default in payment of. his or her rent or otherwise in breach of the rental agree tent, R the. de~e~.oper may not recover posses- sion of the rental. unit zn any action or proceeding, cause the tenant to quit invo3.untarily, increase the rent or decrease any services for one year from th.e date the ~de~reloper t s appli- cation fvr ~ina1 or preliminary condominium conversion permit is denied. [5~, Delivery of notice and other documents. Unless otherwise provided, all notices, contracts, disclosures, docu- ments and other writings required by sections 2.1060 to 2.10$4 of this code to be delivered, shall be delivered personally or by registered or certified ma~.l. A refusal of registered or certified mail by the addressee shall constitute adequate deliv- ery. All documents shall be delivered to the tenant at the address specified in the lease or rental agreement between the tenant and the developer ar landlord. If there is no written lease or rental agreement, then the documents shall be delivered to the tenant's address at the converted building. In any sub- let unit all documents shall be delivered to the tenant at ha.s or her current address and to the subtenant in possession. If the tenant's current address is unknown, two copies of all docu- ments shall be delivered to the subtenant, one addressed to the tenant, the other addressed to the subtenant. ~.6} Liberal construction. Sections 2,1060 to 2.1084 of this code shall be liberally construed and applied to promote the purposes and policies contained therein. ~'1~ Seyerability. If any provision of sections 2.1060 to 2.1084, or the application thereof to .any person or circum- stance is held invalid, the invalidity does not affect the other provisions or applications of such sections which can be given effect without the invalid provisions or applications, and to this end the provisions of sections 2.1060 to 2.1084 of this code are severable. 2.1084 Condominium~Conversion - Conversion Rate Report. ~:1~ The director shall report to the city council by January 1 of each year on the number and rate of~conversions for the previous calendar year. Such report shall note whether the issued conversion permits exceed the level allowed under the advisory conversion rate faxmul.a as set forth hereunder. The current gear's units allowed to convert under this advisory formula shall, be equal tv the estimated supply of new multi- family units ~ma,nus the expected demand due to population in~- creases, adjusted for the estimated loss of rental units due to Ordinance -- 2 4 X8866 conversion. 'the estimated s.upp~.y shall be th.e annual average. of issued building per~.i.t~5 for mu~.t,i~u~,t and duplex .housing units for the preee.d~n~ thee: ~ale~dar years . The expected demand shall be. th.e average annual population increase minus new population due to anr~exat%on already housed and minus any new population housed in group quarters. Such demand figure shall be divided by the average household size to de~- termine the additional housing units needed. The additional needed housing unit figure shall be multiplied by the estimated percentage o~ occupants who rent to determine the number of needed rental units. This nu~ber of needed rental units shall be subtracted from the suppl~y~figure to determine the current year's units alloyed to~be converted, The total units allowed to convert in the current calendar year shall be equal to the current year`s units divided by the percent of units expected to be occupied by former homeowners plus any carryover in units allowed to be converted in prior years. The carryover shall be a carry forward for up to three years of any unused allocation of allowable condominium conversions under this formula. No carryover shall be allowed for any year preceding June 16, 19Sfl. The surplus to be carried over from one year to the next shall be equal to the units allowed to convert for that year minus the actual number of units for which a final condominium permit is issued during that year. ~2~ The average annual population growth, average annual growth due to annexation, average annual growth in group quarters population, percentage of households which are renters, and per- centage of converted units expected to be occupied by former owners shall be set by administrative rules issued hereunder. Section 2. Section 2.1994 of the Eugene bode, 1971, is hereby amended by adding new subsections ~.5~ and ~.6~ thereto, to provide: 2.1994 Penalties - Specific. ....~~ -. ~ 5 ~_ A violation punishable under section 2 . l4 7 S ~3 } ~,a~ is punishable by a fine not to exceed $504 for each unit with respect to which the violation has occurred. Each day during which any unit has been advertised ar offered or sold and such advertisement or offer or sale has not been withdrawn shall constitute a separate offense. The city attorneys office may apply to any court of competent jurisdiction to enjoin a con- version without a permit found to exist by the, city. ~_6 }. A violation punishable under section 2.14 7 S ~.3 7 ~b ~ is punishable by a fine not tv exceed $5Q4 for each day of con- tinuing violation. Section 3. The provisions contained herein concern the public welfare and safety, represent currently effective policies of the ordinance - 25 18866 City and in order to.insuxe the cont%nued orderly administrat~,on and implementation of the City' ~ condom~;num cenuerson processes, an emergency is here~~ declared to exist, and this ordinance shall become effecti~~e ~me.d~.~.tely upon its p~,ss~age by the City Council and approval by the Mayor. Passed by the City Council this 14 day of September 1981 ~~ /~ City Reco der ,~p~xo~red by the Mayor thi s 14 -day of -Sept ber 1981 ~~ ~N~ayor ~.. Ordinance ~- 2 6 .