HomeMy WebLinkAboutResolution No. 4328RESOLUTION NO. g3air
A RESOLUTION ADOPTING AMENDED STANDARDS AND
GUIDELINES FOR PROCESSING APPLICATIONS FOR
MULTIPLE -UNIT RENTAL HOUSING LOCAL PROPERTY
TAX EXEMPTION; AND REPEALING RESOLUTION NOS.
4109 AND 43110
The City Council of the City of Eugene finds that.
On July 11, 1977 the Council, through adoption of Resolution No. 2711, adopted
standards and guidelines as the procedures to be followed and the policy to be considered
in processing applications for multiple unit rental housing property tax exemptions.
Amended standards and guidelines were subsequently adopted by Council
Resolution Nos. 3165, 3277, and 4109, and Attachment 1 thereto was amended by
Resolution No. 4311.
During the 1991 session of the Oregon Legislature some of the statutory provisions
relating to the multiple -unit rental housing local property tax exemption program were
amended, necessitating corresponding amendments to provisions of the Eugene Code,
1971. Pursuant to Section 10 of the Amended Standards and Guidelines adopted by
Resolution No. 4109, the City Manager has recommended revisions thereto in order to
ensure compliance with state law and Sections 2.945 and 2.947 of the Eugene Code, 1971.
The Amended Standards and Guidelines attached as Exhibit A hereto and
incorporated herein by reference should therefore be approved and adopted, and except
for the findings contained in Resolution No. 2711, Resolution Nos. 4109 and 4311, and any
other resolution in conflict herewith should be repealed.
NOW, THEREFORE,
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF EUGENE, a
Municipal Corporation of the State of Oregon, as follows:
Section 1 . Based upon the above findings, and the findings contained in Resolution
No. 2711, the Amended Standards and Guidelines for Processing Applications for
Multiple -Unit Rental Housing Local Property Tax Exemption attached as Exhibit "A"
hereto are approved and adopted as the procedures to be followed in considering
applications for exemption, and the policy contained therein is declared to be the policy
of the City of Eugene governing the basic requirements for applications within the area
generally described on Attachment 1 to Exhibit "A ". -
Resolution - 1
Section 2 . Except for the findings contained in Resolution No. 2711, all other
provisions contained in Resolution Nos. 4109 and 4311 are hereby repealed and
superseded.
Section 3 . That this Resolution and the Exhibit hereto shall be attached to and
made a part of Resolution No. 2711.
The foregoing Resolution adopted the day of 1992.
City Recorder
APPROVED by Resolution No. Y3A9
of the City Council of the City of
Eugene the . ip day of 1992
City Reco&er
Resolution - 2
Ll3zg'
Exhibit "A" to Resolution No.�
STANDARDS AND GUIDELINES
FOR PROCESSING APPLICATIONS FOR
MULTIPLE -UNIT RENTAL HOUSING
LOCAL PROPERTY TAX EXEMPTION
UNDER ORS 307.600 TO ORS 307.690
AMENDED 1992
Pursuant to the provisions of Resolution No. 3 Z of the City Council of the City
of Eugene, the City Manager shall be governed by the following rules in considering
applications and making recommendations for multiple -unit rental housing local property
tax exemption.
ADMINISTRATIVE PROCESS
For purposes of these rules, the following words and phrases mean:
City Manager. The City Manager of the City of Eugene, or his or her
designee.
Historic Structure. Any building, structure or object which has been
identified as a primary or secondary historic resource (strong or possible eligibility
for city landmark or National Register status) in a survey acknowledged by the
Eugene Historic Review Board and the State Historic Preservation Office, or which
is an "historic property" as that term is defined by Eugene Code, 1971, section 9.202.
Low Income Housing. Housing which is affordable to families or persons
whose income is low, i.e., income which is 80% of the median income of families
or persons in Lane County, Oregon as determined by the Housing and Urban
Development agency or its successor.
Low Income Housing. An annual charge equal to $100 for each studio
dwelling unit, $110 for each one- bedroom dwelling unit, $125 for each two- bedroom
dwelling unit, and $135 for each other dwelling unit located on the property subject
to the charge.
Multiple -Unit Housing. Newly constructed structure having five (5) or more
rental dwelling units not designed or used as transient accommodations or as a hotel
or motel, and which is constructed and used in compliance with the standards set
out below.
Standards and Guidelines - 1
Potential Historic Structure Any building or structure which is older than
50 years in age and located in an area of the City which has not been canvassed as
part of an historic resource survey acknowledged by the Eugene Historic Review
Board and the State Historic Preservation office.
11 Statement of Program Pu ose. The purpose of the multiple -unit rental
housing local property tax exemption program is an incentive to encourage an increase in
the supply of multiple -unit rental housing in or near downtown Eugene. Multiple -unit
rental housing created under the tax exemption program shall have a positive impact on
the surrounding neighborhood and on the City, promote neighborhood stability, provide or
contribute to the provision of low - income housing, and conform to applicable policies
adopted by the Cit Council,
2, Eligible Structures. To be eligible for local property tax exemption
hereunder, a structure must:
2.1 Be multiple -unit rental housing as defined above, which is constructed
after July 1, 1975, and completed on or before July 1, 1998 (unless an extension
to July 1, 1999 is granted);
2.2 Be located within the area described on Attachment 1 hereto; and
23 Meet the approval criteria set forth in these Standards and Guidelines.
3. Application for Exemption. Prior to September 1 of the calendar year
immediately prior to the first tax year for which the exemption is requested, the applicant
shall submit to the City Manager, on a form provided by the City, an application for
exemption, containing the following information:
3.1 The applicant's name, address, and telephone number;
3.2 A legal description of the property or the assessor's property account
number for the site;
3.3 A description of the existing use of the property, including a justification
for the elimination of, or a plan for the relocation of existing sound or rehabitable
housing located on the property;
3.4 A site plan and supporting maps, drawn to a minimum scale of one
inch equals 50 feet (1" = 50'), which shows in detail the development plan of the
entire project, showing streets, driveways, sidewalks, pedestrian ways, off - street
parking and loading areas, location, dimension and elevation of structures, use of
land and structures, and major landscaping features and design of structures;
Standards and Guidelines - 2
3.5 A detailed description of the project, setting forth the grounds
supporting the requested exemption, including the number, size, and type of dwelling
units, including bedroom mix; intended occupancy of the units; type of construc-
tion; and other uses of the structure if a mixed -use structure is planned;
3.6 A detailed description including drawings of the public benefit(s) which
the applicant proposes to include in the project;
3.7 Information on the costs and financing for the housing and other
information required by the City on the financial feasibility of the project; and
3.8 Any other information required by state or local law or requested by
the City or which is otherwise reasonably necessary to effectuate the purposes of
this program.
The application shall be verified by oath or affirmation of the applicant and
submitted with an application and processing fee to be set by the City Manager pursuant
to Section 2.020 of the Eugene Code, 1971, and which shall include therein the fee to be
paid to the County Assessor by the City as the County's agreed processing fee for those
applications receiving Council approval. The amount of the basic fee shall be prominently
displayed on the application, together with a statement that the applicant may be required
to pay other reasonable costs, including appraisal costs, if any are incurred by the City or
the County in processing the application. Any additional costs shall be paid to . the City
by the applicant prior to the granting of any final approval. In the event an application
is denied, the portion of the fee reserved for the County Assessor will be refunded to the
applicant by the City.
4. Duration of Tax Exemption Exemptions from ad valorem taxes, excluding
taxes on land or any improvements not a part of the newly- constructed multiple -unit
housing, shall be granted for ten successive years for approved developments located within
the boundaries described on Attachment 1 hereto.
5. Approval Criteria In order to be eligible for a tax exemption, the owner
must satisfy the following criteria:
5.1 Housing Desi FORS 347.650(1)) The owner must agree to include
in the project as part of the multiple -unit housing one or more design elements
benefiting the general public as specified by the City, including, but not limited to,
the provision of larger dwelling units that will accommodate families with two or
more children, day care facilities, larger outdoor living areas than required by
Eugene Code, 1971, section 9.567, recreational facilities, common meeting rooms,
buildings, designed to provide greater solar access to adjoining properties than
required by the Eugene Code, 1971, covered or sheltered automobile parking,
Standards and Guidelines - 3
design features which increase the accessibility of the housing to handicapped
persons, and designs which incorporate and use existing structures on the property.
5.2 Compliance with Local Law RS 307.650 ,�] The proposed project
must be, at the time of completion of construction, in conformance with all local
plans and planning regulations which are applicable at the time the application is
approved.
53 Local _ Standards -- (ORS 307.65 3�,�. The proposed project must
comply with the following additional standards:
53.1 Utilization of the Proposed Project Site,
53.1.1 Removal of Historic Structure or Potential
Historic Structure. No exemption shall be granted for any
property where an historic structure or potential historic
structure has been demolished or removed from the property
after February 1, 1989 and within the two years immediately
preceding the date of application for the exemption. This
restriction shall be waived if the owner of the property gave
notice of the intent to demolish or move the structure to the
Eugene Historic Review Board at least 60 days before the
owner's application for a demolition or moving permit from the
C ity.
53.1.2 Justification for Elimination of Existing
Hou sing. No exemption shall be granted for any property on
which any housing unit has been demolished or removed from
the property after February 1, 1989 and within the two years
immediately preceding the date of application for the
exemption. This restriction shall be waived if the proposed
project increases the number of dwelling units by 50% from
what previously existed or if it replaces the old dwelling units
by significantly larger dwelling units that will accommodate
families.
53.2 Rental Rates or Low Income Housing Fee. The owner
of the property for which an exemption is sought shall agree to
dedicate at least 50% of the dwelling units on the site to low income
housing during the period of exemption or pay the low income housing
fee annually beginning the third year the exemption is granted and
continuing until the expiration of the exemption. During the period
of the .exemption an owner may change the selected option of fee or
housing provision. The fees collected under this provision shall be
Standards and Guidelines - 4
segregated and expended solely for the provision of low income rental
housing.
5.3.3 Public Benefits Be and the Period of Exem tion. No
exemption shall be granted unless the owner shows that the housing
would not be financially feasible without the tax exemption.
53.4 M_ nimum Number of Dwelling , Units No exemption
shall be granted unless at least five dwelling units are agreed to be
constructed.
6. Recommendations on Applications. within 90 days from the date an
application is filed, the City Manager shall:
6.1 Review the application and all supportive material to verify that the
applicant has provided the information required and notify the applicant of any
omissions.
6.2 Solicit recommendations or comments from the Downtown
Commission if the property is located within its boundaries, other interested City
departments, agencies, and the affected neighborhood group(s). Within 30 days of
forwarding of referrals, written comments shall be submitted to the City Manager
by the agencies, departments and groups to whom referral is made. Failure to
respond within 30 days will be deemed approval of the proposal as submitted.
63 Establish a meeting with the applicant, or the applicant's authorized
representative to review the application. The purpose of this meeting shall be to
review the proposal, the comments and recommendations from City departments
and interested parties, and to negotiate the number, type, and variety of public
benefits.
6.4 If the property is located within its boundaries, forward his or her
recommendation and report to the Downtown Commission for review at a regular
or special meeting. If the Downtown Commission disagrees with the
recommendation, the. Commission shall indicate its recommendation in writing, to
be attached to and made a part of the submission to the City Council,
6.5 Recommend to the Council that the application be denied, approved,
or approved subject to conditions; and. shall set forth specific findings, based upon
these Standards and Guidelines, Council resolutions and ordinances, and applicable
State statutes, in support of his or her recommendation.
7. Compliance Review. Following approval of an application for tax exemption
by the Council and immediately prior to the commencement of construction, the applicant
Standards and Guidelines - 5
shall review the working drawings and other documents with the City Manager. If
construction commenced prior to Council approval of a tax exemption, the applicant shall
review the construction documents and other documents with the City Manager prior to
completion of construction to insure that the project will comply with the approval
conditions upon completion.
8. Review of Boundaries The area within which properties may be eligible for
a property tax exemption as set forth in Attachment 1 hereto may be reviewed by the City
Manager from time to time to determine whether a recommendation should be made
requesting that the Council extend the benefits to encompass areas which are now
excluded.
90 Reports. If requested by the Council, the City Manager shall submit reports
to the Council for transmittal to the House and Senate Revenue Committee of the Oregon
Legislature describing the effect of this program in the City of Eugene. The reports shall
describe the number of housing developments and residential units to which the exemption
applies, the value of the developments constructed, the value of the tax exemptions
granted, and the general effectiveness of the property tax exemption as an incentive to
construction of rental housing. The reports shall be submitted to the Council sufficiently
in advance so as to permit the Council to file them at least 60 days prior to the
convention of each regular legislative session.
lo. Amendments to Guidelines The City Manager may, from time to time,
propose such revisions, deletions, or amendments to these Standards and Guidelines as he
or she may deem necessary or desirable for the efficient implementation of the multiple -
unit rental housing local property tax exemption program, but no such revision, deletion,
or amendment shall be effective until approved by Council Resolution.
The foregoing Amended Standards and Guidelines recommended to the City
Council the IGOday of , 19920
'cheat D �G� n
City Ma ger
APPROVED by Resolution No.
of the Eugene City Council on
the 2I day of 1992.
:94
C
City Recorder
Standards and Guidelines •- 6