File #: 18-129    Version: 1 Name: Resolution No. 1807; Establishing Local Criteria for Administration of the Vertical Housing Development Zone Program and Establishing Fees
Type: Resolution Status: Agenda Ready
File created: 2/28/2018 In control: City Commission
On agenda: 5/16/2018 Final action:
Title: Resolution No. 18-07, Establishing Local Criteria for Administration of the Vertical Housing Development Zone Program and Establishing Fees
Sponsors: Eric Underwood
Indexes: Goal 1: Implement Economic Development Strategy and Maintain an Environment for Success.
Attachments: 1. Staff Report, 2. Senate Bill 310, 3. Map of the Zone, 4. Resolution 18-07 VHDZ v2
Title
Resolution No. 18-07, Establishing Local Criteria for Administration of the Vertical Housing Development Zone Program and Establishing Fees

Body
RECOMMENDED ACTION (Motion):
Staff recommends that the City Commission direct staff to administer the Vertical Housing Development Program and approve the local criteria along with associated fees for qualifying projects within the Zone.

BACKGROUND:
The Vertical Housing Development Zone (VHDZ) overlays the entire Mixed Use Downtown zoning area and provides qualified development projects a 10-year property tax exemption on the value of new construction or rehabilitation for 20 percent per residential floor above a commercial ground floor with total exemption limited to no more than 80 percent. Additional exemption is available through the State program for projects with affordable housing.
The City of Oregon City's goals for the vertical housing program include:
· Helping fulfill multiple city policies to incentivize higher density, mixed-use and transit-oriented development in our core and adjacent to light rail transit;
· Increasing assessed value throughout these areas;
· Increasing the number of residents living downtown that will shop, dine and patronize local businesses;
· Increasing the number of retail and office business opportunities in response to future residential growth; and
· Encouraging sustainable construction.

PROJECT ELIGIBILITY
Qualified new development projects within a VHDZ are eligible to receive a 10-year property tax exemption on the value of new construction or rehabilitation for 20 percent per residential floor for the first four floors above ground floor commercial. Total property tax abatement of the new construction is limited to no more than 80 percent. However, if the developer builds some or all affordable housing at 80 percent of median family income or below, an additional partial property tax exemption on the land may be given.
The exemption applies to all taxing jurisdiction...

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