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Renewable Energy Throughout All Sectors of Talent

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Renewable Energy Throughout All Sectors of Talent TALENT CITY COUNCIL REGULAR MEETING AGENDA TOWN HALL November 6, 2019 — 6:45 PM Study Session, Regular Council & TURA meetings are being digitally recorded and will be available on the City website: www.cityoftalent.org. The City Council of the City of Talent will meet in in Town Hall, 206 E. Main Street. The meeting location is accessible to persons with disabilities. A request for an interpreter for the hearing impaired, or for other accommodations for persons with disabilities, should be made at least 48 hours in advance of the meeting to the City Recorder at 541-535-1566, ext. 1012. The City Council reserves the right to add or delete items as needed, change the order of the agenda, and discuss any other business deemed necessary at the time of the study session and/or meeting. 1. Call to Order/Roll Call 2. Additions/Corrections to Agenda 3. Community Announcements 4. Speakers Heard on Non-Agenda Items Limited to 5 minutes or less per Mayoral discretion. 5. Public Presentations Items that do not require immediate Council action, such as presentations, discussion of potential future action items. Time limited to 15 minutes per presentation unless prior arrangements have been made. 5.1 Representative Pam Marsh 6. Public Hearings Public hearings are conducted under a prescribed procedure depending on the topic. The presiding officer will conduct the hearing in accordance with those procedures that will allow for public input at the announced time. 6.1 2019-959-O Construction Exercise Tax (first reading) ............................................. 3-13 6.2 2019-960-O Clean Energy Element of Comprehensive Plan ................................. 14-91 7. Consent Calendar The consent agenda consists of items of a repeating or routine nature considered under a single action. Any Councilor may have an item on the consent agenda removed and considered separately on request. 7.1 Approval of October 16, 2019 Council Meeting Minutes ........................................ 92-96 7.2 Appointment of Planning Commissioners ............................................................ 97-102 7.3 AARP Regional Livability Solutions Forum ........................................................ 103-104 8. Unfinished Business The unfinished business agenda consists of outstanding items from previous meetings. These items will be handled in the same manner as regular agenda items. 9. New Business Speakers will be provided the opportunity to offer comments on action items after staff members have given their reports and, if there is an applicant, after the applicant has had the opportunity to speak. Action items are expected to result in motions, resolutions, orders, or ordinances. City Council Regular Meeting Agenda | November 6, 2019 | Page 1 Page 1 of 127 9.1 Oregon Clean Power Cooperative Power Purchase Agreement ....................... 105-127 10. City Manager Report/Department Head Reports Items for discussion by the City Manager and Department Heads as needed. 11. Committee Reports 12. Other Business & Future Agenda Items 13. Commission and Committee Approved Minutes Talent Public Arts: 9/9/2019 Parks & Recreation: 9/11/2019 14. Written Communications This item is for written communications that have been submitted to the entire Council that the sender wishes to have included in the record. It will contain the communications only, and not additional attachments or Internet re-postings. Those items may be e-mailed directly to Council members or may be distributed in person via the City Recorder at Council meetings following an oral communication to Council. There will not be any Council discussion or public comment on this agenda item. 15. Adjournment City Council Regular Meeting Agenda | November 6, 2019 | Page 2 Page 2 of 127 City Council Agenda Report Meeting Date: November 6, 2019 Staff Contact: Sandra Spelliscy Department: Administration E-Mail: [email protected] Staff Recommendation: Discussion and possible approval Estimated Time: 30 minutes ISSUE BEFORE THE COUNCIL Discussion and possible approval on first reading of an ordinance to establish a construction excise tax to support funding of affordable housing programs. BACKGROUND With the passage of SB 1533 in 2016, state law now allows local jurisdictions to collect a construction excise tax (CET) on residential, industrial and commercial construction. Revenues collected from the CET must be spent on affordable housing construction or programs, pursuant to a formula set forth in the statute. At a January 30, 2019 study session the Council discussed the possible establishment of a construction excise tax, and took comment from the public. At its October 16, 2019 regular meeting Council reviewed a draft ordinance and offered some suggested changes. Staff now brings to the Council a draft CET ordinance for its consideration on first reading. Staff has added a new subsection 3 to Section 6 (Dedication of Revenues). There was a suggestion that the types of incentives referenced in Section 6 1.(a) should be spelled out in the ordinance. Staff took a second look at ORS 197.309 and felt that the list of incentives (which take up three paragraphs) would make the ordinance unnecessarily complex and difficult to understand, and does not recommend including them (see attached ORS 197.309 highlighted section). Also, by simply referencing to the Oregon Revised Statute, the ordinance will not become outdated if the Legislature changes that section of the law. RECOMMENDATION Adopt ordinance on first reading. RELATED COUNCIL POLICIES Housing Element of Comprehensive Plan POTENTIAL MOTIONS “I move to approve Ordinance 2019-959-O, and ordinance establishing a construction excise tax on residential, industrial and commercial improvements in the City of Talent, by title only.” ATTACHMENTS Draft Ordinance 2019-959-O ORS 320.192, 320.195 ORS 197.309 Page 3 of 127 ORDINANCE NO. 2019-959-O AN ORDINANCE ESTABLISHING A CONSTRUCTION EXCISE TAX ON RESIDENTIAL, INDUSTRIAL AND COMMERCIAL IMPROVEMENTS IN THE CITY OF TALENT WHEREAS, The City of Talent finds that a key challenge for the community over the next 20 years is providing opportunities for development of relatively affordable housing in all types of housing, from lower‐cost single‐family housing to market‐rate multifamily housing; and WHEREAS, The City of Talent finds that creating programs for addressing affordable housing issues, including financial incentives for builders and developers, buyer assistance programs, and other methods for encouraging affordable housing development, is dependent on a reliable funding source; and WHEREAS, The State of Oregon authorizes cities to impose a construction excise tax on residential, industrial and commercial improvements in order to address affordable housing issues. NOW THEREFORE, THE CITY OF TALENT ORDAINS AS FOLLOWS: Section 1. Purpose This Chapter establishes a construction excise tax on residential, industrial and commercial improvements to provide funding for affordable housing in the City of Talent. Section 2. Definitions A. “Commercial and Industrial” means designed or intended to be used, or actually used, for other than residential purposes. B. “Construct” or “Construction” means erecting, constructing, enlarging, altering, repairing, improving, or converting any building or structure for which the issuance of a building permit is required by law. C. “Improvement” means a permanent addition to real property, or modification of an existing structure, that results in (a) a new structure, (b) additional square footage to an existing structure, or (c) addition of living or work space to an existing structure. D. “Residential” means any structure designed for, intended to be used for, or actually used for, a dwelling or other residential purpose. E. “Value of improvement” means the total value of the improvement as determined during the building permit issuance process. For the purpose of calculating the value of improvement for a project that involves multiple permits and multiple improvements, the construction excise tax 1 Page 4 of 127 shall be based on the total value of all improvement, regardless of the number of building or trade permits issued. Section 3. Imposition of Tax A. Each person who applies to obtain a permit to construct a residential improvement in the City of Talent shall pay a residential construction excise tax in the amount of one percent (1%) of the total value of the improvement. B. Each person who applies to obtain a permit to construct a commercial or industrial improvement in the City of Talent shall pay a commercial construction excise tax in the amount of one percent (1%) of the total value of the improvement. C. The construction excise tax shall be due and payable prior to the issuance of any building permit. Section 4. Administration and Enforcement Authority The City Manager or designee is responsible for the implementation, administration and enforcement of this Chapter. Section 5. Exemptions A. A construction excise tax shall not apply to the following: 1. Public school improvements. 2. Public improvements as defined in ORS 279A.010. 3. Public hospital or medical facility improvements. 4. Long‐term or residential care facilities operated by a non‐profit corporation and as defined in ORS 442.015, 443.400 and ORS 101.020. 5. Residential units guaranteed to be affordable, under guidelines established by the federal Department of Housing and Urban Development, to households that earn no more than eighty percent (80%) of the median household income in the City
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