Title
Resolution No. 16-04 Granting an Extension of a System Development Charges (SDC) Carry-Forward for the Hilltop Mall
Body
RECOMMENDED ACTION (Motion):
Adopt resolution 16-04, extending by five years the expiration date of SDC credits for the Hilltop Mall.
BACKGROUND:
In accordance with local standard practices, SDC credits can be issued at the time of property redevelopment. From 2000 to 2014 the Oregon City Code Title 13: PUBLIC SERVICES, Chapter 13.20: SYSTEM DEVELOPMENT CHARGES, included provisions such that when redevelopment occurred, the system development charge for the existing use was calculated and if the credit turned out to be greater than the system development charge for the new proposed use, the difference was issued in credits that could be used towards future development (Credit Carry-Forward).
At the time of the redevelopment of the Hilltop Mall in 2011, the City issued SDC credits for several utilities and transportation. Consistent with Section 13.20.40.C.3 an expiration date of February 22, 2016 (five years) was established. On January 19, 2016, Hilltop Mall submitted a letter to the City requesting that the expiration date of their Transportation SDC credits be extended an additional two years. They are in the process of working with architects and engineers to develop one remaining vacant building pad identified in their City adopted concept plan as a 7,600 sf retail building but need time to come up with financing, planning and permitting in order to build a retail building. Their total Transportation SDC credit remaining is $129,408.
Their request would be in line with recently updated Oregon City Municipal Code Section 13.20.050, SDC reduction or reimbursement, which allows SDC reductions due to prior use to be valid for ten years following the redevelopment of a property. For consistency, Resolution 16-04 includes a five year term extension (10 years total) to remain consistent with 13.20.050.
BUDGET IMPACT:
Amount: ...
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