2009-79-Ordinance No. 2009-003 Recorded 2/23/2009I
REVIEWED DESCHUTES RECORDS
NANCY BLANKENSHIP, COUNTY CLERK OJ 1009'19
COMMISSIONERS' JOURNAL 01~13/Z009 09:00;58 AM
LEGAL COUNSEL 11111111111111111111111111 1
2000-79
BEFORE THE BOARD OF COUNTY COMMISSIONERS OF DESCHUTES COUNTY, OREGON
An Ordinance Amending the Deschutes County Code *
Chapter 11.12.020 Regarding the Pollution Reduction * ORDINANCE NO. 2009-003
Credits Payment Timing.
WHEREAS, Sagebrush Development LLC., initiated a text amendment to Deschutes County Code
(DCC) Chapter 11.12; to change the timing of when Pollution Reduction Credits (PRCs) are required to be paid
from the time of recording the final plat to the time of issuance of a building permit, and
WHEREAS the Board considered this matter after a public hearing on February 2, 2009 and concluded
that the public will benefit from changes to the land use regulations for payment of Pollution Reduction Credits;
now, therefore,
THE BOARD OF COUNTY COMMISSIONERS OF DESCHUTES COUNTY, OREGON, ORDAINS
as follows:
Section 1. AMENDMENT. DCC Sections, 11. 12.010 and 11.12.020, 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 str-ilethr-eugh.
Section 2. FINDINGS. are as described in Exhibit "B," attached hereto and by this reference
incorporated herein.
PAGE 1 OF 2 - ORDINANCE NO. 2009-003 (02/2/09)
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K) I
Dated this /J of .'2 . , 2009
ATTEST:
Recording Secretary
BOARD OF COUNTY COMMISSIONERS
ALAN UNGER, COMMISSIONER
Date of 1" Reading: 6;y day of 2009.
k_ JJ
Effective date: day of 2009.
ATTEST:
Date of 2"d Reading: IL day of 2009.
Record of Adoption Vote
Commissioner Yes No Abstained Excused
Tammy Baney ✓
Dennis R. Luke r/
Alan Unger
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AQWi-tom UOA---
Recording Secretary
PAGE 2 OF 2 - ORDINANCE NO. 2009-003 (02/2/09)
DENNIS LUKE, VICE CHAIR
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 asset 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 Nitrogen Reducing System approved by Deschutes County.
Financial Assistance Fund" means whichever fund created by the County to aid property owners in
complying with the requirements to reduce the overall discharge of nitrogen into the basin groundwater of in
south Deschutes County.
"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
Department.
"Net Developable Acre" means the acreage in a tract of land in a Receiving Area 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 Financial Assistance €Fund.
"Receiving Area" means the area designated by the County where Transferable Development Credits 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 Sending Area.
"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 Transferable Development Credits may
be sold.
EXHIBIT A - ORDINANCE 2009-003 1
Chapter 11.12 (2009)
"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 Restrictive Covenant granted to
Deschutes County restricting the placement of a septic system. on the subject property or a PRC.
(Ord. 2008-XXX § X, 2008;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 shall be followed for the creation of TDCs,
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 Report 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 Covenant 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 property is eligible for a PRC based on the criteria in DCC 11.12.030.
3. The County 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 Financial Assistance €Fund the proportional cost established by
Board of County Commissioner Resolution for a Retrofit. The County's fund shall be use d to
aid property owners in R^+"^f'tting theif Existing Wastewater T + Systefns in reducing
the overall discharge of nitrogen into the basin groundwater of in south Deschutes County.
D. Assignment of TDCs to the Receiving Area. Erief to final plat appfe al the Reeeiving Area, the
DepaAment fnest have feeer-d of the r-equired number- of T-DGs established and available te apply 4e
1. The total number of required TDCs, including PRCs, applicable to a subdivision in the Receiving
Area shall be established and made a condition of approval at the time of tentative plan approval.
23. The tract or lot shall be located within the La Pine Neighborhood Planning Area in the La Pine
Urban Unincorporated Community and be zoned Residential General or Residential Center. The
Receiving Area is identified on a map prepared and maintained by the Department.
EXHIBIT A - ORDINANCE 2009-003 2
Chapter 11.12 (2009)
43. TDCs shall be assigned to a lot or tract based on the Net Developable Acres at a rate approved by
Board of County Commissioner resolution.
-54. PRCs shall be assigned to a tract at a rate established by Board of County Commissioner resolution.
65. The Board may, by resolution, adjust the number of TDCs required per acre or alter the factors for
which TDCs are required in the Receiving Area.
-76. At the time of final plat approval , any remaining required PRCs for the partition or subdivision
shall be divided by the number of residential lots approved for the partition or subdivision.
7. The required PRCs and their cost for each lot shall be shown on the final plat.
8. Prior to issuance of a building permit for a residential lot in the Receiving Area, the Department
must have payment of the required number of PRCs for that lot.
E. Non-Residential Districts. Where permitted under DCC 18.61.050, uses in non-residential districts in
the Receiving Area 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. 2008-XXX § X, 2008; 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 "Sending Area" 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 Sending Area 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 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 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 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 TDC.
4. 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 Sending Area.
(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 Sending Area to the
Receiving Area are concerned.
EXHIBIT A - ORDINANCE 2009-003 3
Chapter 11.12 (2009)
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 Sending Area or TDC requirements in the Receiving Area 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 Sending Area;
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.
(Ord. 2006-016 § 1, 2006; Ord. 2003-033 § 1, 2003; Ord. 2002-010 § 1, 2002)
EXHIBIT A - ORDINANCE 2009-003 4
Chapter 11.12 (2009)
TA-08-8 FINDINGS
This proposed text amendment is initiated by Sagebrush Development, LLC, owner of
Quadrant 1 a, 1 b and 1 d in the Newberry Neighborhood Planning Area. This proposal
changes the timing of when Pollution Reduction Credits (PRC's) are required to be paid.
DCC 11. 12.020 currently requires that payment for all PRCs is required prior to final plat
approval. The text amendment will allow payment of all PRCs at the time of issuance of
a building permit. The applicant requested the proposed amendments to allow
developers of the Neighborhood Planning Area to provide the infrastructure for
development and a mechanism to allow lots to be sold to individual builders without the
significant upfront PRC cost prior to any construction.
The Planning Commission held a work session on November 13, 2008 and a public
hearing on December 11, 2008 and recommended approval with no changes.
The Board held a work session January 14, 2009 and a public hearing and first reading
on February 2, 2009, following the recommendation of the Planning Commission.
DESCHUTES COUNTY COMPREHENSIVE PLAN:
The Deschutes County Comprehensive Plan, Chapter 23.44 Regional Problem Solving
for South Deschutes County specifically address goals for preserving water and air
quality, reducing wildfire and the protection of wildlife habitat in south Deschutes county.
The proposal maintains the preservation of the Neighborhood Planning Area as a
"receiving area" and provides mechanisms through the Transferable Development Credit
and PRC programs to protect the groundwater of south Deschutes County. Therefore
this proposal is found to be consistent with the comprehensive plan chapter 23.44 goals
and strategies.
CONCLUSION:
The Board finds that the amendments attached to Ordinance 2009-003 as Exhibit A will
continue to further the purposes for the Neighborhood Planning Area ("NPA") as
described in the Comprehensive Plan because the retrofitting of individual septic
systems in the sending area will still occur and the developers in the NPA still have the
option to actually install nitrogen reducing wastewater treatment systems on properties
in the Sending Area. Also, the developers will still have a requirement to pay into the
fund that the County will use to assist property owners in the Sending Area for future
wastewater treatment systems, albeit not as the code required prior to these
amendments. Also, the amendments will provide a means by which individual
developers will better be able to develop the New Neighborhood. They can better
develop in the Newberry Neighborhood because financing all the PRCs prior to the final
plat approval would be difficult, especially for developers that are not large corporations.
If the developers are better able to achieve financing and spread the costs of the PRCs,
the program in the NPA is likely to have more success because more buyers will likely
be interested in developing in the NPA.
EXHIBIT "B" ORDINANCE 2009-003