2005-799-Order No. 2005-044 Recorded 6/10/2005i i
/AEVIEW DESCHUTES RECORDS
NANCY BLANKENSHIP, COUNTY CLERK
COMMISSIONERS' JOURNAL 06/10/005 03;19;54 PM
LEGAL COUNSEL II !1)! IIIIIIIIIIIIIIIIIIII III
2 7SS
BEFORE THE BOARD OF COUNTY COMMISSIONERS OF DESCHUTES COUNTY, OREGON
An Order Approving a Waiver of Land Use
Regulations to Authorize Cecil Irene Perry and * ORDER NO. 2005-044
James and Kelly Brown to Use the Subject
Property as Allowed When They Each Acquired
the Property
WHEREAS, On November 2, 2004, the voters of the State of Oregon approved Ballot Measure 37
which added provisions to Oregon Revised Statutes (ORS) Chapter 197 to require, under certain circumstances,
payment of just compensation to landowners if a government land use regulation reduces property value. In lieu
of just compensation, Ballot Measure 37 authorizes the governing body of a local government to modify,
remove or not apply the land use regulation; and
WHEREAS, Cecil Irene Perry and James and Kelly Brown have made a timely demand for
compensation under Measure 37, asserting that County "EFU regulations restricting division of land and
construction of residences on lot [sic]" have resulted in a loss of market value of the Claimants' property; and
WHEREAS, section 8 of Measure 37 authorizes the Board, as the governing body responsible for
adoption and enforcement of County land use regulations, in lieu of paying compensation to not apply the
identified land use regulation that were enacted after a property owner acquired the property, that restricts the
owner's use of that property and that reduces the value of the property; and
WHEREAS, the Board has received the report and recommendation of the County Administrator as
required by DCC 14.10.090; and
WHEREAS, the Board has considered the Administrator's report and the evidence presented by the
parties at a Board meeting as required by DCC 14.10.090; and
WHEREAS, the Board makes the following findings of facts and conclusions;
1. On January 12, 2005, the County received from Cecil Irene Perry and from James and Kelly
Brown (collectively referred to as "Claimants") a Measure 37 claim.
2. Claimants' property is located at 4691 SW Helmholtz Way, Redmond, Deschutes County,
Oregon.
The County Administrator has recommended in lieu of payment of just compensation the
following:
a. with respect to the claim submitted by Cecil Irene Perry that the zoning regulations
for the subject property at 4691 SW Helmholtz, Redmond, Oregon that were not
already in effect until after January 19, 1966, not be enforced.
PAGE 1 of 3- ORDER No. 2005-044 (06/08/05)
b. with respect to the claim submitted by James and Kelly Brown that the zoning
regulations for the subject property at 4691 Helmholtz, Redmond, Oregon that were not
already in effect until after January 16, 2002, not be enforced.
The Administrator's report is attached and incorporated by reference into this Order as
Exhibit "A."
4. The Board concurs with the Administrator's report that Cecil Irene Perry is an Owner of the
subject property described in Exhibit "A within the meaning of Measure 37 having acquired it
and continuously owned it since January 19, 1966. James and Kelly Brown also qualify as an
Owner of the subject property within the meaning of Measure 37, having acquired it and
continuously owned it since January 16, 2002.
5. The Board concurs with the Administrator's report that the current regulation, EFUTRB zoning,
applied to the subject property, would not permit a subdivision on this subject property. The
current regulation is a land use regulation which is not exempt from Measure 37 claims.
6. The Board concurs with the Administrator's report that an application for a subdivision on the
subject property would be denied if the current zoning were applied. Therefore, such an
application to determine enforcement of the current zoning to the Claimants' property would be
futile.
7. The regulation, EFUTRB zoning, was not in effect at the time Ms. Perry acquired the property.
However, such regulation was in effect at the time James and Kelly Brown acquired their
interest in the property.
The Board concurs with Administrator's report that claimants have not demonstrated that
domestic water, septic, and road access for the desired use on the subject property are feasible.
Therefore, there is no substantial evidence that the basis for the alleged reduction in value is
feasible for water, septic and road access. Despite the lack of a precise amount of reduction in
value, the loss of the ability to add additional buildable lots from the subject property would be
a substantial amount of reduction in fair market value if the regulations at the time Ms. Perry
acquired the property allowed that development.
THE BOARD OF COUNTY COMMISSIONERS OF DESCHUTES COUNTY, OREGON, HEREBY
ORDERS as follows:
Section 1. The Board hereby determines, based on these findings and conclusions and the
Administrator's report in Exhibit "A," that the claim is eligible under DCC 14.10.100.
Section 2. The Board hereby elects to not apply zoning and nonexempt land use regulations to the
subject property described in Exhibit "B" in lieu of payment of just compensation under Ballot Measure 37. Ms.
Perry is hereby authorized to use the subject property as permitted at the time she acquired the property. Ms.
Perry may apply for a use of the subject property consistent with the regulations in effect at the time she
acquired the property. That use shall be permitted if the use fully complies with all regulations in effect on
January 19, 1966.
Section 3. The Board hereby elects to not apply zoning and nonexempt land use regulations to the
subject property described in Exhibit "B" in lieu of payment of just compensation under Ballot Measure 37.
James and Kelly Brown are hereby authorized to use the subject property as permitted at the time they acquired
their interest in the property. James and Kelly Brown may apply for a use of the subject property consistent with
the regulations in effect at the time they acquired the property. That use shall be permitted if the use fully
complies with all regulations in effect on January 16, 2002.
PAGE 2 of 3- ORDER No. 2005-044 (06/08/05)
Section 4. This Order is a waiver of a non-exempt County land use regulation from a property
determined to be claim eligible as defined in DCC 14.10.020(0)
Section 5. A STATE OF OREGON WAIVER MAY BE REQUIRED POR THE DEVELOPMENT OR
USE OF THE SUBJECT PROPERTY. THIS WAIVER APPLIES ONLY TO THE LOCAL REGULATIONS
SPECIFIED ABOVE. DESCHUTES COUNTY LACKS THE AUTHORITY TO WAIVE ANY STATE
REGULATIONS OR LAWS. STATE LAWS AND REGULATIONS MAY APPLY TO THE USE OF THE
PROPERTY DESCRIBED HEREIN, AND A WAIVER OF SUCH LAWS AND REGULATIONS MUST BE
SEPARATELY OBTAINED BY THE OWNERS FROM THE STATE OF OREGON.
Section 6. This order does not affect any land use regulations of the State of Oregon. If the use allowed
by Section 2 or Section 3, above, remains prohibited by a State of Oregon land use regulation, the Planning
Director shall send notice of the Board's decision to the Director of the Department of Land Conservation and
Development. The notice shall include a statement that the County will not accept an application for a building
permit related to the newly allowed use on the property until the earlier of the following events: (i) notice by the
Department of Land Conservation and Development that it concurs with the Board's decision, or (ii) a date 180
days from issuance of the Board's decision where no response is made to the notice by the Department of Land
Conservation and Development.
Section 7. This Order shall be recorded in the Deschutes County Deed Records together with portions
from the deed or other instrument in Exhibits A and B sufficient to identify the subject property for recording
purposes.
DATED this !t day of 12005.
ATTEST:
Recording Secretary
PAGE 3 of 3- ORDER No. 2005-044 (06/08/05)
BOARD OF COUNTY COMMISSIONERS
OF DESCHU ES COUNT , OREGON
TOM DEWOLF, Chai
f
Deschutes County Department of Administrative Services
1300 NW Wall St., Ste. 200, Bend, OR 97701-1947
(541) 388-6570 Fax (541) 385-3202 - www.deschutes.orq
TO: Board of County Commissioners DATE: June 3, 2005
From: Michael A. Maier, County Administrator
RE: Measure 37 Claim - Cecil Irene Perry
4691 SW Helmoltz Way, Redmond
Introduction
The County has processed the initial Measure 37 claims using its brief claim form, evaluating the initial
submission, asking that the Claimant furnish more evidence to complete or clarify the claim, and
preparing this report and recommendation under DCC 14.10, the Measure 37 ordinance. The County's
claims process has been amended to recognize that less precise evidence of value may be sufficient to
evaluate claims, since there are currently no County funds available for payment of compensation. Also,
the ordinance provides further opportunities for affected neighbors to present evidence and testimony at
the Board meeting when these claims are considered.
This report and recommendation is intended to be a summary and evaluation of evidence in the record.
The report may be attached to the Board's Order which decides Measure 37 claims, as a factual basis for
the Order. Any factual changes or additions to this report from testimony or other evidence can be made
part of the Board's Order. Claimants and affected parties have the opportunity to rebut this Report and
provide additional relevant evidence to the Board. Also, under the County's process, claimants must
provide evidence that the desired use of the property, which may be allowed by a waiver of County
regulations is feasible, i.e., not prevented by physical, utility or other development limitations of the site.
Report and Recommendation - DCC 14.10.090
This is my report and recommendation on this Measure 37 claim received when Measure 37 was in lawful
effect. Claimant has paid the filing fee and the County's official demand form has not been submitted. The
claimant seeks 10-12 lots of three (3) acres each on a 39.42 acre parcel, Taxlot 1512250002300, located
Page 1 of 6 - Perry (05/18105)
I
at 4691 SW Helmholtz Way. The current zoning is Exclusive Farm Use, Tumalo/Redmond/Bend
(EFUTRB) with a farm use minimum lot size. Claimants allege a reduction in real market $600,000 due to
the farm use zoning. The following is an analysis of the evidence in the record on the elements of this
Measure 37 claim.
Current Owner - Cecil Irene Perry (life estate)
Claimant presented a copy of a Deed dated January 19, 1966 showing that title was vested in Cecil Irene
Perry recorded at Vol. 147, p. 47 of Deschutes County deed records. (1966 Deed) In a Bargain and Sale
deed recorded in Deschutes County records dated January 16, 2002 (2002 Deed), Cecil Irene Perry
conveyed an undivided one-half interest in the property to James and Kelly Brown, but retained a life
estate interest in the property. Staff has confirmed that the deeds are so recorded.
The claim was submitted collectively by the Browns and Perry. However, the interests and dates of
acquisition of the Browns and Ms. Perry are not identical and need to be analyzed separately.
Owner Date of Acguisition -January 19, 1966
The date of acquisition by the current owner is the relevant date for Board consideration of waivers under
section (8) of Measure 37. The compensation section of Measure 37, section (6), uses the acquisition
date of a family member to determine the extent of reduction in value for compensation. Since the County
has no funds budgeted for payment of compensation, waivers that are issued by the County are limited
by section (8) of Measure 37 to County land use regulations that were adopted after the later acquisition
date of the current owner. If a waiver is granted as to County land use regulations which were adopted
after the current owner's acquisition date, no compensation is due, even if the prior family member held
the property for many years. While this may seem inconsistent, the measure was, evidently, written to
encourage waivers of local and state land use regulations.
The first date of the Ms. Perry's acquiring an interest is the date of the recorded 1966 Deed. This claimant
continues to own a life estate and the record supports the conclusion that Ms. Perry's interest has been
continuous since 1966.
The first date the Browns acquired an interest is the date of the recorded 2002 Deed. This acquisition
date establishes Browns as owners for purposes of Measure 37 rights as of that date.
Page 2 of 6 - Perry (05/18/05)
Restrictive Regulation - EFUTRB
Under the terms of the ordinance, the claimant must identify County land use regulations that prevent the
claimant from using the property in a way that he or she otherwise could have used the property at the
time the property was acquired. The claimant must also show that these identified regulations cause a
loss of property value.
The Claimants have identified only the EFU zoning as the land use regulation restricting the desired use.
This regulation is a County land use regulation, which is subject to Measure 37 claims.
In order to properly analyze this claim it is necessary to examine the effect of Measure 37 on each
property interest: Ms. Perry and the Browns. Section (1) of the Measure refers to land use regulations
which "restricts the use of private real property or any interest therein and has the effect of reducing the
fair market value of the property, or any interest therein..." Section (2) provides that just compensation is
based upon "the reduction in the fair market value of the affected property interest resulting from the
land use regulation..." These two sections indicate the necessity of separately analyzing this claim based
upon the affected ownership interest.
Enforcement of County Regulation - futile DCC 14.10.040(G).
Measure 37 requires that an ordinance which restricts the current owner's use be "enforced" against
them.
There is no evidence that Claimant has applied for a land division of the property resulting in the current
zoning being enforced on the subject property. Claimant has not demonstrated that submitting an
application for such a land division would be futile. However, this Report confirms that such an application
for the desired use would violate the current zoning and be denied. Therefore, the intent of DCC
14.10.040(G) has been met for this claim.
Reduction in Value - $600,000 alleged in March 7, 2005 letter
The ordinance requires that the Claimant provide evidence of the amount of the claim in alleged reduction
in the fair market value of the property resulting from the enforcement of the County's land use regulation.
Page 3 of 6 - Perry (05/18/05)
• Claimant has not submitted evidence demonstrating the ability to serve the additional lots with
domestic water.
• Claimant has submitted no evidence that electricity is available.
• Claimant has not submitted a site evaluation for septic permit approval or any evidence that
septic approval is feasible in the area.
• Claimant has not submitted a map of road access to the additional lots proposed.
• Claimant has not submitted an appraisal or evidence of the reduction in value that complies with
DCC 14. 10.040(1).
Assuming Claimant (Perry) could obtain approval of a subdivision of the property under the laws that
were in place in 1966 but not under current EFU zoning restrictions, the value of Claimant's property
for Measure 37 purposes would be substantially reduced. Inasmuch as Measure 37 requires that the
County allow the Browns the use of the property in a manner allowed when they became owners, and
County land use regulations in effect in 2002 would not have allowed a subdivision of the intensity
sought (10-12 3-acre lots), there is no evidence that the value of the property has been reduced from
the date of acquisition to the present.
Effect of County Waiver - Measure 37 clearly allows the County to waive its non exempt land use
regulations only back to the date the current owners, not family members, acquired the property:
"(8) Notwithstanding any other state statute or the availability of funds under
subsection (10) of this act in lieu of payment of just compensation under this act,
the governing body responsible for enacting the land use regulation may modify,
remove, or not to apply the land use regulation or land use regulations to allow
the property owner to use the property for a use permitted at the time the owner
acquired the property.. (emphasis added)
11(c) "Owner" is the present owner of the property, or any interest therein. "
In this case Ms. Perry has continuously owned an interest in the property since 1966. This
predates the effective date1970 and the 1972 County regulations. Therefore, a waiver of current land use
regulations would result in application of only the regulations in effect on the date she acquired the
property.
Page 4 of 6 - Perry (05/18/05)
In the case of Mr and Mrs. Brown their ownership dates back to 2002, which is later than the
adoption of the County zoning and particularly EFU regulations. A waiver of County land use regulations
enacted after the date the Browns acquired their ownership interest would not enable these claimants to
develop the property in the manner they have proposed
Conclusion and Recommendation
The present owner of a life estate in the subject property, Ms. Perry, has submitted a claim pursuant to
Measure 37 which demonstrates eligibility for her use of the subject property based on non exempt land
use regulations in effect on January 19, 1966, the date she acquired the property. There was no zoning of
the subject property at the time. There is no evidence in the record that some additional development on
the subject property would be feasible for available domestic water, sanitary waste disposal and road
access. Therefore, the desired use of a 10-12 lot subdivision may not be feasible but would not be
prevented by the zoning that was in effect at the time she acquired the property.
The Browns, on the other hand, have submitted a claim which demonstrates eligibility for their use of the
property based upon County land use regulations in effect on January 16, 2002, the date they acquired
their interest in the property. County EFU and other zoning regulations were in effect on that date.
Therefore, the desired use of a 10-12 lot subdivision, whether feasible or not would not be permitted by
County land use regulations in effect in 2002. Under Section (8) any obligation to pay compensation is
subject to an option by the government to modify, remove or not to apply the land use regulation or land
use regulations to allow "the owner to use the property for a use permtted at the time the owner acquired
the property." While this will take the form of a waiver, the Browns will not be able to develop the property
in the manner they propose.
My recommendation is that the Board approve a waiver in the form of Order attached. This Order would
have the effect of waiving for Ms. Perry the nonexempt County land use regulations which were not in
effect until after January 19, 1966, and thus allow Ms. Perry to use the property in a manner permitted at
the time she acquired the property. In essence, the County would not apply any land use regulations to
Ms. Perry which were not in effect when the she acquired the property. This waiver is not a development
permit. Ms. Pent' must apply for development of any use which the regulations in effect on January 19,
1966 would allow. The Order would further provide that as to the Browns' ownership, the County would
Page 5 of 6 - Perry (05/18/05)
w
waive those nonexempt County land use regulations which were not in effect until after January 16, 2002,
the date they acquired their interest in the property.
Page 6 of 6 - Perry (05/18/05)
BRYANT,EMERSON.FIT Fax:5415481895
After recording, return to:
Jun 2 2005 13 : 19 P.02
Jim N. Slothower
PO Box 351
Band, OR 97709
Until a change is requested, tax statements shall be sent to:
C. Irene Rerrv. 4691 SW Hamholts Way. Redmond. OR 97756
consideration: $150,000.00
MMIN"AND BALE DEED
CECIL IRENE PERRY, Grantor, hereby conveys to JAMES R. BROWN
and KELLY A. BROWN, husband and wife, Grantee, an undivided one-
half interest in the following real property as tenants in common,
reserving unto Cecil Irene Perry, the Grantor, an estate for the
life of Cecil Irene Perry in said property, situated in Deschutes
County, Oregon, to-wit:
SEE EXHIBIT "A" ATTACHED
SUBJECT TO:
I. The provisions of a Tenancy in Common Agreement
entered into by Grantor and Grantee concurrently herewith
which contains restrictions on the right of either party
to sell their respective interests in the above described
real property.
2. An option in favor of Grantee for the purchase of
Grantors undivided one-half interest in the above
described real ?In as set forth in the aforemen-
tioned Tenancy in Common Agreement.
3. The assessment and tax roll disclose that the within
described premises were specifically assessed for farm
land. If the land has become or becomes disqualified for
this special assessment under the statutes, an additional
tax, plus interest and/or penalty, may be levied retroac-
tively. If such disqualification occurs as a consequence
of this conveyance, Grantee shall be responsible for
payment of such additional taxes, interest and/or
penalties.
4. Regulations, including levies, assessments, water
and irrigation rights for ditches and canals of central
Oregon Irrigation District.
Page 1 - BARGAIN AND SALE DEED
BRYANT,EhERSON,FIT Fax:5415481895 Jun 2 2005 13:19 P.03
5. The rights of the public in and to that portion of
the herein described property lying within the limits of
public roads, streets or highways.
6. The existence of roads, railroads, irrigation
ditches and canals, telephone, telegraph and power
transmission facilities.
7. Rights of way for ditches and canals as shown on the
Deschutes County Assessors Map.
8. Reservations, as disclosed in State Deed, Recorded:
February 5, 1920, Volume: 27, Page: 284, Dead Records.
9. An Easement created by instrument, including the
terms and provisions thereof, Dated: February 12, 1973;
Recorded: February 26, 1973; Volume: 192, page: 855,
Deed Records, and Re-recorded: April 16, 1973; Volume:
194; Page 3501 Deed Records; In favor of: Pacific Power
& Light company, a corporation; For., An electric
transmission and distribution line, together with other
rights and easements appurtenant thereto; Location:
South 30 feet of the SE 1/4 SE 1/4 of Section 25.
The true consideration for this conveyance is $150,000.00.
THIS INSTRU INT WILL NOT ALLOW USE OF THE PROPERTY DESCRIBED
IN THIS INSTRUXENT IN VIOLATION OF APPLICABLE LAND USE LAWS AND
REGULATIONS. BEFORE SIGNING oA ACCEPTING THIS INSTRUMENT, THE
PERSON ACQUIRING FEE TITLE TO THE PROPERTY SHOULD CHECK WITH THE
APPROPRIATE CITY OR COUNTY PLANNING DEPARTXZNT TO VERIFY APPROVED
USES AND TO DETERMINE ANY LIMITS ON LAWSUITS AGAINST FARMING OR
FOREST PRACTICES AS DE?INED IN ORE 30.930.
DATED this 47 day of 2.x.,.1 , 2000.
CECIL IRENE PERRY
STATE OF OREGON )
ca:
County of Deschutes)
Personally appeared CECIL IRENE PERRY and acknowledged the
foregoing instrument be her voluntary act and deed. Before me
2000.
RATNER~jNfli At8 L ,Q
NOTARY ~U~LIC-OREQON JC
COMMisSIoN No. 93003
1MY MMIA81 N i'iXM ~S E o a Y Public
Y ~
My Commission Expires: ~(G
Tax Account No.: R 2-004 151225 00 02300
Page 2 - BARGAIN AND SALE DEED
BRYANT,EMERSON,FIT Fax:5415481895 Jun 2 2005 13:19 P.04
EvIdibit "A"
This Sauffie= Quarter of the Sdu&ftst Q=Ov (SEl/4 SEIA) of Section 2S, Towwhip
15 Somih, Range 12 East of the WMamette Meddiza, Ducks ee County, Oregon,
EXCEPTING TMMOM that portion bim West of an ec sftg fame, those
particularly dawtNed as fallows:
Commencing At a 3/4" pipe the Sonth 114 Cotner of said Seaton 253 from
which the Southeast earner of &-dd Sstden 2S bears Sow 89°21'12" Pat; 2791.70 fest
and a steel ear axle t e centerline of a County Road (=t coastmctad)
bars Werth 89*33150" East, 141.$0 bet. mdd Wdc has been ctroneewly used ft the
South 114 corner of aid Section 2S is sate property deseriyptiore; tbeaee South
89'21'12" East along the South line of Sacam 25, 1395.SS fore to the, Wert line of
SEl/4 SEI/4 mid section 25 and the true point of bsrjttaing; thence North 00'24'33"
East along raid West 11=6 $74.13 fat to the Soteth Una of a parcel of land deaotibmd
in a dsed recorded In Volume 304, PAP 91, Dembfts Catmty Deed Records, +eseo
So'ItYh 61.15'73" East along aid Sotuh lino gad Its pmloap:doa. 53.24 feet to en
M61dng fence; thence Sout 00025'37" Esst a1oug aid fence 835.07 feat to the South
line of W SMdon 25; theme Nat 89'21'12" Neat along mid South lino, 85.53 fat
to the point of begimaxS.