2006-567-Ordinance No. 2006-016 Recorded 6/8/2006REVIEWED
LEGA COU NSE L
REVIEWED
CODE RENTEW COMMITTEE
COUNTY
NANCY DESCHUTES CLERKDS
COMMISSIONERS' JOURNAL 0 6 /08 /Z006 03'45'Z1 PM
BEFORE THE BOARD OF COUNTY COMMISSIONERS OF DESCHUTES COUNTY, OREGON
An Ordinance Amending Title 11, County Owned
Land and Property, and Declaring an Emergency
ORDINANCE NO. 2006 -016
WHEREAS, nitrogen, particularly in the form of nitrate, contained in inadequately treated sewage
discharged to groundwater poses a risk to both public health and water quality in south Deschutes County and
WHEREAS, the primary goal for south Deschutes County is to protect public health and the
environment with the specific objective of protecting public waters of the La Pine sub -basin from impacts of
wastewater treatment and dispersal and
WHEREAS, at this time, except for limited areas served by a community water system with access to
deeper aquifers, the shallow unconfined aquifer in south Deschutes County provides the sole source of
residential drinking water and
WHEREAS, findings from the US Geological Survey's 3D Groundwater Nutrient Fate and Transport
Model, La Pine National Decentralized Wastewater Treatment Demonstration Project, and Nitrate Loading
Management Model for South Deschutes County (La Pine Studies) illustrate that the assumptions used for the
development of the Transferable Development Credit program require modification because the Transferable
Development Credit program will have significantly less impact on improving groundwater quality than
alternative wastewater treatment systems and
WHEREAS, the La Pine Studies show continued use of conventional wastewater treatment systems in
the region will ultimately increase the nitrate - nitrogen levels in the groundwater in most areas of the region
beyond the EPA safe drinking water standard of 10 mg /l and
WHEREAS, the La Pine Studies show alternative treatment technologies exist that can denitrify
wastewater and using available nitrogen reducing wastewater treatment technologies on individual properties in
the La Pine sub -basin will protect the groundwater from exceeding safe drinking water standards for nitrate and
WHEREAS, the Transferable Development Credit Review Committee and Planning Staff met for six
months from July 2005 to December 2005, and reconvened on April 11, 2006 to discuss the need for, and
direction of, changes to the Transferable Development Credit Program based on findings from the La Pine
Studies.
WHEREAS, the Transferable Development Credit Review Committee recommends that the
Transferable Development Credit program should be amended to include Pollution Reduction Credits that
would be created when a conventional onsite wastewater treatment system is retrofitted to become a nitrogen
reducing system; that existing property owners in the south County need incentives to accept retrofits or
financial assistance in order to afford to install retrofits; and that development should be able to commence in
the Neighborhood Planning Area regardless of whether or not there are sufficient retrofitted onsite wastewater
treatment systems at the time a developer is ready to begin development so long as the developer provides
sufficient funds to allow the County to retrofit existing onsite wastewater treatment systems, and
PAGE 1 OF 3 - ORDINANCE NO. 2006-016 (06/05/06)
WHEREAS, the Deschutes County Planning Commission concurs with the recommendation of the
Transferable Development Credit Review Committee to amend the Transferable Development Credit program
as described and
WHEREAS, additional formulas are needed to calculate the number of Pollution Reduction Credits
required for developing a tract in the La Pine Neighborhood Planning Area and for establishing the amount per
Pollution Reduction Credit when a developer of the Neighborhood Planning Area chooses to fund the
proportional cost of a retrofit and
WHEREAS, the purpose of the County fund is solely to provide financial assistance for property owners
to retrofit existing wastewater treatment systems and
WHEREAS, Deschutes County entered into a contract with Pahlisch Homes, Inc. to develop Quadrants
2a, 2b, and 2d in Neighborhood 2 of the Neighborhood Planning Area and Pahlisch Homes, Inc., now Elk Horn
Land Development LLC, wants to submit a tentative plat for their next phase in Quadrant 2a in Spring 2006 and
WHEREAS, Vic Russell owns Quadrants la, lb, and Id of Neighborhood 1 and is responsible for
obtaining Transferable Development Credits for those quadrants; now therefore,
THE BOARD OF COUNTY COMMISSIONERS OF DESCHUTES COUNTY, OREGON, ORDAINS
as follows:
Section 1. AMENDMENT. DCC 11.12 is amended to read as described in Exhibit "A," attached
hereto and by this reference incorporated herein, with new language underlined and language to be deleted in
strikefli'reug13.
Section 2 FINDINGS. The Board of Commissioners adopts as its findings in support of this
amendment the Staff Report dated 5/31/06, EXHIBIT `B" to Ordinance 2006 -016 and incorporated by reference
herein.
Section 3. EMERGENCY. This Ordinance being necessary for the immediate preservation of the
public peace, health and safety, an emergency is declared to exist, and this Ordinance takes effect on its passage.
Dated this`% , of 2006 BOARD OF COUNTY COMMISSIONERS
OF DESCT WJ COUNTY, OREGON
ATTEST:
Recording Secretary
PAGE 2 OF 3 - ORDINANCE NO. 2006-016 (06/05/06)
L
BEV CLARNO, VICE CHAIR
C AEL M. DALY, C MMISSIONER
Date of 1St Reading: S day of '2006.
Date of 2nd Reading: day of '2006.
Record of Adoption Vote
Commissioner Yes No Abstained Excused
Dennis R. Luke
Bev Clarno v
Michael M. Daly
Effective date: sl-4-�day of wx,C_ , 2006.
ATTEST:
Recording Secretary
PAGE 3 OF 3 - ORDINANCE NO. 2006-016 (06/05/06)
"Exhibit A"
Chapter 11.12. TRANSFERABLE
DEVELOPMENT
CREDIT PROGRAM
11.12.010. Definitions.
11.12.020. TDC transactions.
11.12.030. TDC sending area eligibility
criteria.
11.12.040. TDC Advisory Committee.
11.12.010. Definitions.
As used in DCC 11. 12, the following words
and phrases shall mean as set forth in DCC
11.12.010.
"Certificate of TDC Purchase" means a
certificate from Deschutes County that
documents the purchase or, in the case of a
PRC, creation of TDC(s).
"Department" means, for purposes of this
chapter, the Deschutes County Community
Development Department.
"Existing _Wastewater Treatment System"
means a wastewater treatment system in use
in the Sending Area on May 31 2006 that is
not a N_ itrogen Reducing System approved by
Deschutes Coun
"High Priority Deer Migration Corridor
Area" means the area mapped in 2000 by the
Oregon Department of Fish and Wildlife
which shows the area of priority protection
for migrating mule deer within a larger
migration corridor acknowledged under
statewide planning Goal 5. A copy of this
map is on file with the Gonimun-it
Development-Department.
"Net Ddevelopable Aarre" means the acreage
in a tract of land in a Rreceiving Aarea
calculated by subtracting the acreage reserved
for collector road right -of -way and
community parks and open space from the
gross acreage of a subject tract.
"Nitrate Loading Management Model"
means the groundwater model developed by
the US Geological Survey to determine the
nitrate loading capacity of the drinking water
aquifer underlying south Deschutes County.
"Nitrogen Reducing System" means a
wastewater treatment system that reduces
nitrogen loading to the groundwater in
accordance with the Nitrate Loading
Management Model and that is approved by
Deschutes County.
"Pollution Reduction Credit" (PRC) means
the credit given for the Retrofitting of an
Existing Wastewater Treatment System or
payment into the County's fund.
"Receiving Aarea" means the area designated
by the County where Ttransferable
Ddevelopment Ceredits are required in order
to purchase and develop a tract of land.
"Restrictive Covenant" means a legal
instrument which places restrictions on future
development on a lot or parcel of land in the
Ssending Aarea.
"Retrofit" means to upgrade or replace an
Existing Wastewater Treatment System in the
Sending Area with a Nitrogen Reducing
System approved by the County.
"Sending Area" means the area designated by
the County in which Ttransferable
Ddevelopment Ceredits may be sold_
"TDC Report" means a report from a title
company verifying title to and encumbrances
on the subject property.
"Transferable Development Credit" (TDC)
means the credit given for a Rrestrictive
Coovenant granted to Deschutes County
restricting the placement of a septic system..
on the subject property or a PRC.
(Ord. 2006 -016 § 1, 2006; Ord. 2004 -007 § 1,
2004; Ord. 2002 -010 § 1, 2002)
11.12.020. TDC transactions.
A. Sale of TDCs from the Sending Area.
Either Section B or C The f6liewing
Page 1 of 4- EXHIBIT "A" TO ORDINANCE NO. 2006 -016 (06/05/06)
"Exhibit A"
preeedures shall be followed for a
prepefl to sell the creation of
TDCsl from an eligible lot ° pafeel in
other- TDC pufehasen
B. Restrictive Covenant
1. The property owner or any other
interested person shall request
verification from the County that the
subject property is eligible for a
TDC.
2. The Department shall send the
property owner or interested person
written verification confirming the
number of TDCs the subject property
is eligible for based on the criteria in
DCC 11.12.030.
3. Upon mutual agreement of a sale
between the property owner and
TDC purchaser, the following
transactions shall occur:
a. The property owner shall
provide a TDC Report to the
Department.
b. If the TDC purchaser is other
than the County then the
property owner and TDC
purchaser shall sign a TDC
Contract form provided by the
County.
c. Upon Department review and
approval of the TDC Rreport and
receipt of payment of the
consideration in accordance with
the County's agreement with the
property owner or the TDC
Contract pursuant to DCC
11.12.010(A)(3)(b), the County
shall prepare a Restrictive
Covenant that restricts
development on the subject
property. This Restrictive
Ceovenant shall be signed by the
County and the property owner.
The County shall record the
Restrictive Covenant.
d. Contemporaneously with the
recording of the Restrictive
Covenant, County shall provide
the TDC purchaser with
documentation of the TDC
purchase.
C. PRC.
1. The property owner or any other
interested person shall request
verification from the County that the
subject property is eligible for a
PRC.
2. The Department shall provide the
property owner or interested person
written verification confirming the
subject propegy is eligible for a PRC
based on the criteria in DCC
11.12.030.
3. The Counly shall grant a PRC to a
developer in the Receiving Area if
the developer provides one of the
following:
a. A Retrofit, in cooperation with
the property owner of a property
eligible for a PRC, Existing
Wastewater Treatment System
and documentation submitted to
the County that includes proof of
ownership of the subject
property, proof of consent of the
property owner for the Retrofit,
and final County inspection of
the Retrofit; or
b. Payment into the County's fund
for TDCs and PRCS the
proportional cost established by
Board of County Commissioner
resolution for a Retrofit. The
County's fund shall be used to
aid property owners in
Retrofitting their Existing
Wastewater Treatment Systems.
9D.Assignment of TDCs to the Receiving
Area. Prior to tetita4ive final plat
approval in the Receiving Area, the
Department must have record of the
required number of TDCs purehased
established and available for- transfer- to
to apply to development of a tract or lot
meeting the following criteria within the
Rreceiving Aarea:
1. The tract or lot shall be located
within the La Pine Neighborhood
Planning Area in the La Pine Urban
Page 2 of 4- EXHIBIT "A" TO ORDINANCE NO. 2006 -016 (06/05/06)
"Exhibit A"
Unincorporated Community and be
zoned Residential General or
Residential Center. The T4)E
rReceiving aArea is identified on a
map prepared and maintained by the
Community unity— Development
Department.
2. TDCs shall be assigned to a lot or
tract based on the nNet Ddevelopable
aAcres at a rate approved by Board
of County Commissioner
rResolution.
3. PRCs shall be assigned to a tract at a
rate established by Board of County
Commissioner resolution.
4. The Board may, by rResolution,
adjust the number of TDCs required
per acre or alter the factors for which
TDCs are required in the receiving
aArea.
E. Non - Residential UsesDistricts. Where
permitted under DCC 18.61.050, uses in
non - residential uses -- districts in the
rReceiving aArea do not require TDCs.
F. Right to Develop. If an owner of a lot or
parcel of land eligible for a TDC chooses
not to participate in the TDC program,
the owner shall not be restricted from
developing said lot or parcel in
accordance with the applicable zoning
standards in DCC Title 18, and any other
applicable regulations, rules or standards.
(Ord. 2006 -016 § 1, 2006; Ord. 2004 -007 § 1,
2004; Ord. 2002 -010 § 1, 2002)
11.12.030. TDC sending area eligibility
criteria.
A. A lot or parcel that meets the following
criteria is eligible to receive a TDC. The
lot or parcel shall:
1. Be located within the "Ssending
AArea" identified on a map prepared
and maintained by the Department;
2. Be no greater than two acres in area;
3. Be capable of being served by an on-
site sewage disposal system that
meets current Oregon Department of
Environmental Quality standards, as
demonstrated by a satisfactory
feasibility evaluation for an on -site
sewage disposal system or when the
lot or parcel is shown as being
eligible for such system on the TDC
sSending aArea map; and
4. Not be developed with an existing
sewage disposal system, or if
developed with an existing sewage
disposal system, the landowner shall
disable said system, or
5. Have received prior approval for a
site evaluation or an installed septic
system that has expired or is no
longer valid or
6. Have an Existing Wastewater
Treatment System eligible for a
Retrofit.
B. TDCs and PRCs shall be assigned to an
eligible lot or parcel that meets the
criteria in DCC 11.12.030(A), as follows:
1. An eligible lot or parcel upon which
a Restrictive Covenant is recorded
shall be assigned receive one TDC.
2. An eligible lot or parcel located in
the High Priority Deer Migration
Corridor Area upon which a
Restrictive Covenant is recorded
shall be assigned resei Ile an
additional one -half TDC.
3. An eligible lot or parcel upon which
an Existing Wastewater Treatment
System has been Retrofitted shall be
assigned one PRC.
-34. The Board of County Commissioners
may by Resolution revise the number
of TDCs assigned or the factors for
which TDCs are assigned to eligible
lots or parcels in the Ssending aArea.
(Ord. 2006 -016 § 1, 2006: Ord. 2004 -007 § 1,
2004; Ord. 2002 -010 § 1, 2002)
11.12.040. TDC Advisory Committee.
A. Purpose. The TDC Advisory Committee
is an advisory committee whose purpose
is to assist staff in implementing the TDC
program and to recommend to staff the
means to accomplish the goals of
Regional Problem Solving insofar as the
transfer of development credits from the
Page 3 of 4- EXHIBIT "A" TO ORDINANCE NO. 2006 -016 (06/05/06)
"Exhibit A"
sSending aArea to the rReceiving aArea
are concerned.
B. Duties. The committee will advise staff
in evaluating the TDC program for
record keeping accuracy, determine if
program goals are being met, consider
whether any changes to the TDC
allocation criteria in the sSending aArea
or TDC requirements in the rReceiving
aArea are advisable, or if any other
revisions to the program are warranted.
The committee may assist the County in
determining which TDC options to
exercise.
C. Committee member terms. Committee
members will be selected by staff based
on the knowledge and expertise that each
member may contribute to the
development of the TDC Program. One -
half the initial members shall serve for
one year and one -half shall serve for two
years. Thereafter, members shall serve
two -year terms. Members may be
requested to serve additional terms. Staff
shall report the membership of the TDC
Advisory Committee to the Board of
County Commissioners on an annual
basis.
D. Committee members. The TDC Advisory
Committee may include a representative
from each of the following organizations,
agencies or professions:
1. The International Society of
Appraisers or an Oregon State
Certified Appraiser;
2. A firm established for the purpose of
real estate development or the
representation of development
interests;
3. An individual with recognized
expertise in hydrology or ground
water;
4. An individual with recognized
expertise in big game wildlife
management;
5. The Community Solutions Team for
Central Oregon;
6. An individual who resides in the
designated sSending AArea;
7. A member of the La Pine
Community Action Team;
8. The Deschutes County Community
Development Department Director or
designee as an ex officio member.
9. Staff may select additional members
as it deems appropriate.
10. The Deschutes County Ge nit
Development De :aftm v„t D irvvt
vrvr
designee as an ex offleie member-.
(Ord. 2006 -016 § 1, 2006; Ord. 2003 -033 § 1,
2003; Ord. 2002 -010 § 1, 2002)
Page 4 of 4- EXHIBIT "A" TO ORDINANCE NO. 2006 -016 (06/05/06)