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2009-1488-Minutes for Meeting September 28,2009 Recorded 10/19/2009COUNTY NANCYUBLANKENSHIP,FCOUNTY CLERKDS CJ 2409.1488 COMMISSIONERS' JOURNAL 1011912009 09;08;41 AM 111111111111111111111111111111 2 09-1Do not remove this page from original document. Deschutes County Clerk Certificate Page If this instrument is being re-recorded, please complete the following statement, in accordance with ORS 205.244: Re-recorded to correct [give reason] previously recorded in Book or as Fee Number and Page Deschutes County Board of Commissioners 1300 NW Wall St., Suite 200, Bend, OR 97701-1960 (541) 388-6570 - Fax (541) 385-3202 - www.deschutes.orc MINUTES OF WORK SESSION DESCHUTES COUNTY BOARD OF COMMISSIONERS MONDAY, SEPTEMBER 28, 2009 Present were Commissioners Tammy Baney, Dennis R. Luke and Alan Unger. Also present were Dave Kanner, County Administrator; Erik Kropp, Deputy County Administrator; Tom Anderson, Nick Lelack, George Read and Peter Gutowsky, Community Development; Mark Pilliod, Legal Counsel; Keith Cyrus, Chair of the Planning Commission; and five other citizens. Vice Chair Luke opened the meeting at 1:30 p.m. 1. Discussion of Senate Environment and Natural Resources Hearing (Scheduled for September 30) - Destination Resorts. Nick Lelack explained that the County has ten minutes to present information to the Committee on September 30, and two people from the County will speak: Nick Lelack and Commissioner Luke; as well as Tom Luersen, representing the resort industry. Commissioner Luke said that to reach the public, hearings should be held locally. It does not help to have these hearings in Salem. Commissioner Unger stated that the destination resort laws were created to help the industry to develop for economic purposes. Since then, things have changed and other issues should be considered, including potential negative impacts of traffic, water use and others. The laws are fundamentally sound, but perhaps should allow for individuals and governments to express their ideas and concerns. Commissioner Luke indicated that with the high cost of developing destination resorts, and the time it takes to get to that point, he does not seem many more being pursued. The process was changed in the mid-1990's, making control more local, and he does not want to see local areas lose that control or input. Minutes of Board of Commissioners' Work Session Monday, September 28, 2009 Page 1 of 10 Pages Nick Lelack stated that perhaps there is a way to not indicate certain dollar amounts, but to look at the concept instead and perhaps develop different types of resorts to meet certain standards. However, without permanent housing and golfing, and the revenue generated from those, it would be challenging for resorts to be profitable. The Commissioners invited Keith Cyrus, Chair of the Planning Commission, to comment. He said that it has become very difficult for this industry to develop and local flexibility would be helpful. Transportation impacts are a big issue to a lot of people. However, there is a tremendous financial impact that has helped to replace the lost revenue from the timber industry. Commissioner Luke noted that he could not see the State stepping in to limit the number of high tech campuses in the I-5 corridor, and they have no business telling Deschutes County how to handle its industry, which includes destination resorts. Commissioner Unger said that Thornburgh Resort has been a sore issue for some people, some of which has been misunderstood. More dialogue is needed to clarify what is real and what is not. Chair Baney joined the meeting at this time. Dave Kanner asked what order the conversation would follow. Commissioner Luke said that perhaps he should speak first, Nick Lelack could next, and Tom Luersen would speak last. He was invited since Sunriver is a resort with a lot of history. Chair Baney expressed concern about the conversation being confrontational. Commissioner Luke said that he has testified before this type of Committee previously and knows what to say and how to say it. Mr. Cyrus added that the value of resorts needs to be stressed. Commissioner Luke said that the County already has to consider the impacts on wildlife, traffic and wildlife, so he wonders what they are trying to fix. Chair Baney would like more cooperation between counties when one county wants to place a resort that will impact another county. At this time consideration of these types of impacts on neighboring counties and communities is considered voluntary. Minutes of Board of Commissioners' Work Session Monday, September 28, 2009 Page 2 of 10 Pages 2. Discussion of Legislative Priorities for Special Session. Dave Kanner said the legal lot of record issue - federal transfer of property - is something that might be addressed. Commissioner Luke added that if 1,000 Friends and Central Oregon Landwatch could reach consensus with the County to address concerns, that would be helpful. AOC would support that. There could be some vetoes in place to override the Governor. However, the legislature will have their hands full with the budget. They will have a limited amount of time. Chair Baney said it is hard to know which direction they will go. Commissioner Unger wants to be prepared in any case. Commissioner Luke said that any cuts to budgets for law enforcement, schools and health could be catastrophic. AOC has received the information on lot of record issues. Nick Lelack stated that the cities feel that transfers to them are not as complicated since they subdivide it. The lots are established at that point. The review process is the complicated piece. DLCD, John Jinnings, said that originally DLCD would be in charge, but since then they had decided that they would not handle this. Mr. Kanner pointed out that it will be tough to get anything passed. If something requires financing, it has to be shown how that will happen. 3. Update Commissioners' Meetings and Schedules. Commissioner Luke asked how the Assessor is answering questions about how their taxes went up on their property but the value went down. Judith Ure said that an energy efficiency grant program application was not approved (software for Community Development). Tom Anderson said that there are alternative ideas, one of which is using building department staff to advise on energy code and improvements. It is likely this would be for remodels and smaller scale projects. Ms. Ure said this is an eligible program. The deliverable would be the number of energy codes that are enforced, which is measurable. There is a job component. They do not necessarily have to show how much savings might be realized. It will not add code but will count what is currently being captured. Erik Kropp said there are other things that could be done with these funds as well, such as upgrading lighting fixtures and other energy savings activity. Minutes of Board of Commissioners' Work Session Monday, September 28, 2009 Page 3 of 10 Pages 4. Other Items. There was a request before the Board regarding an appeal application. She asked that if an appeal went to the Board, whether there is an additional fee. Mr. Pilliod stated that for all applications for common law vested decisions, the Hearings Officer's decision was to be final for Deschutes County; however, the Board has the ability to review any of these if it calls it up on its own. Therefore, there would be no fee. Commissioner Luke said that CEC got a vested right and wants this heard by the Board. Chair Baney noted that they have been requested by another attorney to not hear this. Apparently the Board is being asked to clarify certain information. Commissioner Luke stated that there are few of these cases out there. Mr. Pilliod said that he does not know how many were expedited at the State level from Deschutes County; the ones that involve the County consider more than three individual lots, and he believes there were approximately seven totals of these. A few are still in process with the Hearings Officer, and a few others are at the court level or in appeal. Mr. Pilliod noted that by December 31 these applicants either have to go under Measure 49 or vested rights will need to be pursued; however, this is unclear. This particular case is different in many ways. Chair Baney feels that there is a process in place and if there is a request for following this process, it should be done locally in this fashion. Commissioner Luke said that no matter which way the County rules, it will probably go to a higher court. It may make a difference at LUBA if there is a Board decision and not just a Hearings Officer's decision. Mr. Pilliod said that in the land use context, a decision of the governing body is entitled to deference. There is no similar law for ruling from court that is known in the Measure 49 context, so the Board's decision may not be entitled to any more deference than the Hearings Officer's decision. Commissioner Luke stated that unlike a land use decision that may be appealed to the Board, which are decided on the law and previous decision, this is in his view this is a new area and it is hard to know what to base a decision on. Mr. Pilliod said there is no precedence and the appeal of Measure 37 and replacement with Measure 49 has complicated things, as have a handful of appellant decisions. Minutes of Board of Commissioners' Work Session Monday, September 28, 2009 Page 4 of 10 Pages There are many questions on how these fit together, and not a lot of hopeful interpretations on how Measure 49 should be applied. They have to rely on the language of Measure 49, no matter how vague. That is the governing law to be applied in this context. The CEC property interest depends on certain easements that are in place, and a lot of properties are affected by these easements. This relatively new law has not had the benefit of a lot of court decisions. Commissioner Unger asked why the Board decided not to hear and is considering it now. Chair Baney said an attorney representing a lot of Measure 49 cases said that his clients preferred that the Board not hear these and have them go directly to the State. He felt this would save his clients some money, and the Board was still free to call up a case if it so wished. Commissioner Luke stated that there was a charge for his clients to request an appeal, and the cases are very technical. It was felt that they could get to court quicker and save the clients money. Commissioner Unger asked what the advantages and disadvantages of hearing these would be. Chair Baney stated that she feels the Board is obligated to hear it, even though it may be appealed. Mr. Pilliod said that CEC applied for the Measure 49 claim but they are not the one wanting to have it heard by the Board. Commissioner Unger noted that there may be steps to take before the Board would hear it. He thought that perhaps more information could be generated that would help with a decision later. Commissioner Luke said that in a typical land use case, more deference is given to a Board decision. However, this does not go to LUBA but to Circuit Court, who does not care whose decision it was. He is confused as to what the Board would base a decision upon. This is very technical. Mr. Pilliod said that the holder of the easement, CEC is being accused of cutting corners and not proceeding in good faith. The Hearings Officer found that they qualify, however. The standard for common law vesting is used as a barometer or measure to determine where the parties lie. There are a lot of nuances to consider. Minutes of Board of Commissioners' Work Session Monday, September 28, 2009 Page 5 of 10 Pages Commissioner Unger said that he is uncomfortable changing the direction of the vote and hearing it. He does not feel there has been enough discussion or understanding. These usually go to LUBA. He is open but does not know what the Commissioners' decision could add. Commissioner Luke would not want to open this up to all new evidence. Commissioner Unger stated that if they hear one, perhaps they should hear the others as well. BANEY: Move that the Board hear this. UNGER: Second. More discussion. Mr. Unger said that he would still like to be clear on the rationale of the way the Board should hear this. The Board would apply the law on these, but it is a broad thing to say. The issue or reason at hand for it to come before the Board at this time is unclear. Chair Baney said that they could end up with the same decision as the Hearings Officer. But the Board could review the same material. It is a risk of time, but it is not clear what is going to be considered at this point. The main crux is interpreting the vesting, a significant departure from Board decisions in the past. Commissioner Luke said that the Board has not made any Measure 49 decisions. Chair Baney said they claim significant departure from policy under Measure 37, but those specific issues are unknown. Commissioner Luke said that this one will not make a difference, the standards are not well defined in the law, and having the Board hear this will not make a difference or carry any additional weight than the Hearings Officer's decision does. The Court does not consider this. Mr. Pilliod said the Order of the Board is to be the final decision of the County. Chair Baney said that most issues get appealed. She wanted to know whether a Circuit Court Judge would consider the Board's decision with merit, more than would be considered if it were the Hearings Officer's decision. Mr. Pilliod stated that the Board's decision would take precedence. Commissioner Luke said the Hearings Officer's decision will be a part of the record and will be considered as well. Mr. Pilliod said that the decision of the County would no longer be that of the Hearings Officer. The decision of the Board would not necessarily be given more deference than that of the Hearings Officer's, however, in this case, since it is not a land use case. Neither the Courts nor the Legislature have announced such a rule. Minutes of Board of Commissioners' Work Session Monday, September 28, 2009 Page 6 of 10 Pages Commissioner Luke said that in land use issues, the Board has a little wiggle room in its interpretation. This is based on common law, with the Board interpreting the law, but not being attorneys. Mr. Pilliod said it would require considerable background information on the origin of common law vested rights, and this itself is inconsistent in the law. The bottom line is the amount of investment before Measure 49 went into effect. It is not a subjective determination but is based on a variety of facts. One of the issues would be how much money has been invested versus the total cost of the project. This shows the commitment. Whether it was made in good faith is unclear. Some people operate through a third party, with someone else's funds at risk. Perhaps this was done in good faith, but maybe not. Commissioner Luke said that when the applications were filed, the land and infrastructure was worth a lot more than it is today. The idea of which dollars to consider is unclear. Mr. Pilliod said that the housing market and the likely return, from when it should be measured and so on, are not defined. There is not a way to accurately estimate the cost of rebuilding a power line. Commissioner Unger stated that CEC did not follow all of the procedures through this process; they did not make application when they should have. He asked if this changes the way this has been handled. Mr. Pilliod said that he does not have a grasp of the variety of facts in this issue. The Hearings Officer would have had to address this in her decision if it was an issue. The County does not do building permits for power lines; it is regulated federally. There is interplay between State, Federal and local rules. Is it a land use permit or building permit? Measure 37 was meant to cut through land use regulations and was not considered a land use process. This is a crossroads between Measure 37 and Measure 49, as a substitute, provided. People can apply to the State for some things but no others. Of some concern is that both requests for the Board to take this matter up assert that the County has no process and needs to adopt an Ordinance to hear Measure 49 cases. This would be a land use law defining the process. When Measure 49 took affect, there was the question as to what provisions could be used in the existing Code to hear these. There was no declaratory ruling for Measure 49 as this was not for land use. There is an assertion that a new, unique process be adopted that would define how Measure 49 cases would be heard. The question is whether this process is desired or necessary. Minutes of Board of Commissioners' Work Session Monday, September 28, 2009 Page 7 of 10 Pages Commissioner Luke said that land use laws are not clear, but there certainly is not enough direction to determine whether someone has a vested right. He does not feel it is worth staff's time to hear these when it is so unclear. Commissioner Unger agreed, but is frustrated that the power company moved forward with improvements before the issue was even settled. There should have been a process under Measure 37 before they did this. There should be another point of law that addresses what their authority was to do this. If that was the case, would this even before the Board now. Is there compensation that needs to be considered because of their actions? Mr. Pilliod said these issues will still end up at a review court regardless. Commissioner Luke asked if what is before the Circuit Court can be considered by the Board, or is the Board to consider only whether the investment was adequate. He wondered if any Code enforcement issue is to be considered or if it is relevant. Mr. Pilliod replied that the standards are flexible, and if there is a Code violation assertion, the Board has to determine if it is relevant and what weight to give it. It may have no bearing on the value of the improvement. Commissioner Unger said the question being asked is whether there is a common vested right under Measure 49. If they have an easement on property to do this, to carry power to other places. Mr. Pilliod said there are two lines, both of which are trunk lines, and the upgrade enabled them to carry more power to other areas. How to characterize what was there before is not that simple. It was carrying full power, this just increased capacity. Commissioner Unger stated that he may be predisposing himself. He asked to speak with Legal Counsel for a few minutes. The group recessed for about ten minutes. Chair Baney said that she had a brief discussion with Legal Counsel. She asked to allow a minute for the parties' legal counsel to speak as to why they think the Board should hear this. Martin Hansen and Mike McGann stated that there re only two issues pending. Common law easements and common law vested rights. A week ago, Judge Tiktin was already hearing a case and is ruling on it. Normally the Commissioners deal with land use and ordinances. There are 57 claims with different arguments, and the Board could end up having to hear all of them. Minutes of Board of Commissioners' Work Session Monday, September 28, 2009 Page 8 of 10 Pages There was no ruling made that CEC acted improperly without getting permits. This has always been transmission lines. The Board can do this if they want but it might take a lot of time and effort just for this one. Some of these issues have been in court for a long time. It will go to the Court of Appeals regardless. This is not a typical land use situation. It is not under land use guidelines and is really off the track as to what the Commissioners would normally do. There is no such thing as a summary judgment on common law. If it was Measure 37, it would be closer to something the Board would review, but Measure 49 is different altogether. Matt Cyrus stated that the importance of a Board decision was not known until the Board decided to have them go directly to the State. Under a writ of review, the Judge cannot make a decision that the Board's decision was incorrect. Therefore, this tied the Judge's hands. Because of the inconsistencies in the Hearings Officer's decision, they would like a decision of the Board, which will tie the hands of the Judge or any decision maker after that. He feels the Hearings Officer was incorrect in that it would be impossible to conclude CEO's rights. Mr. Pilliod said that this decision was not concurrent with the others on the panel; it was this judge's opinion only. Mr. Cyrus said there are other issues of good faith and things that were done ahead of time when they should not have been. It will take several days even if it is limited to what is in the record. Commissioner Luke asked if he disagrees that these are not before Judge Tiktin now. Mr. Cyrus said there is a trespass case at this time, and the issues are similar. Some overlap, some do not. Mr. Pilliod stated that both appellants, Trail Crossing and Cyrus, want this to be heard de novo. While it is true the Board could limit it to the record, both appellants want it open to new evidence as long as it is reasonably related. Commissioner Unger said that he sympathizes with this situation and is uncomfortable with the inability to have to decide on this with limited information. He is in favor of saying that this train has left the station, is in the Tiktin station and the Board should back away from it. If there was more time to learn more, it might have made a difference. Commissioner Luke stated that some were remanded back to the County and there is a chance of remand on this one as well, from Judge Tiktin. Land use is tough enough without having to interpret common law vesting. Minutes of Board of Commissioners' Work Session Monday, September 28, 2009 Page 9 of 10 Pages Chair Baney disagreed, and felt that it is the Board's responsibility to hear this. VOTE: LUKE: No. UNGER: No. BANEY: Chair votes yes. (Split vote) Being no further items addressed, the meeting adjourned at 3:45 p.m. DATED this 28th Day of September 2009 for the Deschutes County Board of Commissioners. ATTEST: al~) Tammy Baney, Chair ,z- ~ 4:~~ Dennis R. Luke, Vice air 0)-avu u4t Alan Unger, Commissioner Recording Secretary Minutes of Board of Commissioners' Work Session Monday, September 28, 2009 Page 10 of 10 Pages i 0 %A N ~ s I l\ ~ C ~j 1 ~1 c. N v 1 N c 1 Q) 4 O ~ Q) Q) a Ilk. Deschutes County Board of Commissioners 1300 NW Wall St., Suite 200, Bend, OR 97701-1960 (541) 388-6570 - Fax (541) 385-3202 - www.deschutes.org WORK SESSION AGENDA DESCHUTES COUNTY BOARD OF COMMISSIONERS 1:30 P.M., MONDAY, SEPTEMBER 28, 2009 1. Discussion of Senate Environment and Natural Resources Hearing (Sept. 30) - Destination Resorts - Peter Gutowsky & Nick Lelack 2. Discussion of Legislative Priorities for Special Session 3. Update Commissioners' Meetings and Schedules 4. Other Items PLEASE NOTE: At any time during this meeting, an executive session could be called to address issues relating to ORS 192.660(2) (e), real property negotiations; ORS 192.660(2) (h), pending or threatened litigation; or ORS 192.660(2) (b), personnel issues Meeting dates, times and discussion items are subject to change. All meetings are conducted in the Board of Commissioners' meeting rooms at 1300 NW Wall St., Bend, unless otherwise indicated. If you have questions regarding a meeting, please call 388-6572. Deschutes County meeting locations are wheelchair accessible. Deschutes County provides reasonable accommodations for persons with disabilities. For deaf, hearing impaired or speech disabled, dial 7-1-1 to access the state transfer relay service for TTY. Please call (541) 388-6571 regarding alternative formats or for further information. ~Community Development Department n ' d Planning Division Building Safety Division Environmental Health Division 117 NW Lafayette Avenue Bend Oregon 97701-1925 (541)388-6575 FAX(541)385-1764 http://www.co.deschutes.or.us/cdd/ MEMORANDUM TO: Deschutes County Board of Commissioners FROM: Peter Gutowsky, Principal Planner DATE: September 22, 2009 SUBJECT: Senate Environment and Natural Resources Hearing / Destination Resort Discussion MEETING: September 28, 2009 Deschutes County has been invited to participate on September 30 at an Interim Legislative Hearing with the Senate Environment and Natural Resources Committee (Committee) to discuss destination resorts. The hearing will take place in Salem from 2:30 to 4:00 p.m. According to Beth Patrino, a Committee Administrator, Oregon State Senator Jackie Dingfelder plans to introduce legislation in the 2010 session about the siting of destination resorts. She chairs the Committee, which is interested at this hearing in learning about destination resorts from the local perspective. Specifically, they are interested about Deschutes County's current remapping project, and how legislation may impact this and future efforts to map and site destination resorts. Deschutes County's presentation is limited to just 10 minutes so arrangements are being made to participate through video conferencing. Given the time constraints, the County is structuring its testimony around three people, who will emphasize the following: A County Commissioner will discuss the importance of local control; Nick Lelack, Planning Director will outline the technical aspects of Deschutes County's Destination Resort map and the forthcoming map amendment process; and, A Resort representative will share opinions on the community benefits derived from destination resorts. Deschutes County Destination Resort Remapping Project The following viewpoints can be shared to the Committee on September 30: Statewide, eight counties have adopted resort mapping and ordinances: Deschutes, Douglas, Crook, Klamath, Jefferson, Jackson, Josephine, and Tillamook. 2. Deschutes County was one of the first counties to adopt a destination resort map in 1992. Today, there are four Goal 8 destination resorts in the county: Eagle Crest, Pronghorn, Tetherow and Caldera Springs. Another resort, Thornburg, received Quality Services Performed with Pride conceptual master plan approval from the county in 2006, however it is currently under appeal. 3. In 1992, the County supplemented the state's destination resort criteria by excluding certain large agricultural and forest parcels, and resource lands within one mile of a UGB. If a property was not excluded from the map by state or county criteria, it was automatically designated on Deschutes County's Destination Resort overlay map. 4. There are 112,448 acres in Deschutes County mapped for destination resorts. Approximately 85% of mapped lands are unsuitable for resort development because they are irreversibly committed to platted subdivisions, rural residential development or small lots. 5. County staff are now proposing new destination resort goals and policies as well as new procedures that will explain how to add and remove land from its resort map so that it accurately reflects where resorts can be located. A public hearing is scheduled for November 19. New ineligibility criteria will target: Properties less than 160 acres; Areas of Critical State Concern; Sites that are inventoried Goal 5 resources the County has chosen to protect; Lands zoned Open Space and Conservation (OS&C); Lands zoned Forest Use 1 (F-1); Certain Irrigated lands; Farm or forest land within one mile outside of urban growth boundaries; Lands designated Urban Reserve Area under ORS 195.145; and Platted subdivisions 6. Legislative amendments to Deschutes County's Destination Resort map will be initiated in February. Properties currently mapped that do not meet the new rules will be proposed for removal. County staff will initiate the "un-mapping" amendments. If requested by property owners, lands that meet the new rules will be proposed for the Destination Resort map. Public hearings will be held in Spring 2010, with adoption anticipated for June 2010. Once adopted, the destination resort map will only include properties that meet the new rules. 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LU 41 C 0- G 0 o .c ° u c Z ° u c q> 3 " 0 G a t d of N by Z c n c O v p N Z ° p Q b a v H = 0 41 to 1-t 4) 0 Z c o ° ° p N E 3 ~o U u w d L (j N ro n u O U C NN W b0 e0. 'p CN „ 'N T V L 4) Y Q tv 7 Q ° t o ° o. 4L' CU ~ a 0 'A c ~c ,0 0 0 vi p w V) a) d c 41 L O C p t G N C 441 C c o C. d to 4) IL, a co o° c o_ v o a E a' N a~i E 'd E v Ou v s c- IV r L_ U y O c M O y O L p td L„ O u t1a It- 'U n o 41 S 0 v 3 u a 0 vi o s D c n u O S, U a Q n P E T E R K I N & S C i TE S Michael W Peterkin ATTORNEYS AT LAW Megan X. Burgess James T Parker* September 25, 2009 Isa A. Taylor" Admitte in Oregon & Waskingtan Via Hand-Delivery ..of Counsel Deschutes County Board of Commissioners 1300 NW Wall Street, Ste. 200 Bend, OR 97701-1925 RE: Opposition to DR-09-02 (applicant Central Electric Cooperation) Dear Board of Commissioners: Enclosed find the Cyruses' Notice of Appeal in the above-referenced matter. Submitted with this appeal is the fee of $3,041 which constitutes the base fee of $2,370 plus 20% of the original fee that was $3,355. In the event the Commissioners decide that the Cyruses do not have a right of appeal, pursuant to Order No. 2008-056, the Board should initiate review pursuant to DCC 22.28.050. Such review requires an order accepting the appeal to be issued no later than Monday, September 28, 2009. The Cyruses respectfully urge the Commissioners to take this appeal to reverse and to correct fundamental factual and legal errors in the Hearings Officer's decision. Very trul ours, Ic Michael W. Pe erkin MWP/ch Enclosure c: Clients Chris Bedsaul Mark Pilliod S E P 2 5X09 BOARD Of COMMISSIONERS ADMINISTRATION 222 NW IRVING AVENUE BEND. OREGON 97701 541/389-2572 TEL 541/389-6298 FAX T v tub Community Development Department planning Division 117 NW Lafayette Avenue, Send, 7 01-1925 [541) 388-6575 - Fax (541) 385.1764 http://www desohutes.org/cdd APPEAL APPLICATION FEE. $3,041.00 EVERY NOTICE OF .APPEAL. SHAL.1_ INCLUDE: 1. A statement describing the specific reasons for the appeal. 2. If the Board of County Commissioners is the Hearings Body, a request for review by the Board stating the reasons the Board should review the lower decision. 3. If the Board of County Commissioners is the Hearings Body and de novo review is desired, a request for de novo review by the Board, stating the reasons the Board should provide the de novo review as provided in Section 22.32.027 of Title 22. 4. If color exhibits are submitted, black and white copies with captions or shading delineating the color areas shell also be provided. It Is the responsibility of the appellant to complete a Notice of Appeal as set forth in Chapter 22.32 of the County Code. The Notice of Appeal on the reverse side of this form must include the Items listed above. Failure to complete all of the above may render sn appeal invaUd. Any additional comments should be included on the Notice of Appeal. Staff cannot advise a potential appellant as to whether the appellant is eligible to file an appeal (OCC Section 22.32.010) or whether an appeal Is valid. Appellants should seek their own legal advice concerning those issues, ~41 X1'71 y 91 ! Cc ) Appellant's Name (print): Keith and Conida Cyrus Phone. [ 41 y548-0835 Mailing Address: ] 7704 i hwa~26 Citylstatelzip: Land Use Application Being Appealed: DR-09-02 (Hearings Officer: Karen Green Property Description. Township 15S Range 1, Section 13.._ _ Tax Lot (s) 500, 701 and 702 Appellant's Signature: EXCEPT AS PROVIDED IN SECTION 22.32.024, APPELLANT SHALL PROVIDE. A COMPLETE TRANSCRIPT OF ANY HEARING APPEALED, FROM RECORDED MAGNETIC TAPES PROVIDED BY THE PLANNING DIVISION UPON REQUEST (THERE IS A $5.00 FEE FOR EACH MAGNETIC TAPE RECORD). APPELLANT SHALL SUBMIT THE TRANSCRIPT TO THE PLANNING DIVISION NO LATER THAN THE CLOSE OF THE DAY FIVE (5) DAYS PRIOR TO THE DATE SET FOR THE DE NOVO HEARING OR, FOR ON-THE-RECORD APPEALS, THE DATE SET FOR RECEIPT OF WRITTEN RECORDS. (over) 7109 NOTICS OP APPEAL (This page may be photocopied if additional spare is needed.) 7 q BEFORE THE DESCHUTES COUNTY BOARD OF COMMISSIONERS KEITH AND CONIDA CYRUS ) File No. DR-09-2 Appellants ) NOTICE OF APPEAL APPELLANTS: O. Keith Cyrus and Conida Cyrus c/o Michael W. Peterkin PETERKIN & ASSOCIATES 222 NW Irving Avenue Bend, OR 97701 ATTORNEY: Michael W. Peterkin, OSB #823670 Isa A. Taylor, OSB #044674 PETERKIN & ASSOCIATES 222 NW Irving Avenue Bend, OR 97701 Appellants, Keith and Conida Cyrus, by and through their attorney submit the following Notice of Appeal of the decision of the Deschutes County Hearings Officer dated and mailed September 16, 2009 declaring Central Electric Cooperative, Inc. ("CEC") had a common law vested right under Measure 49 to complete, operate and maintain the entire Jordan Road Line upgrade from the Cline Falls Substation to the Black Butte Substation. Cyrus has standing to file this appeal because it participated in the review below by appearing at the hearing before the Deschutes County Hearings Officer and submitting written and oral testimony in the proceedings before the Deschutes County Hearings Officer. I. REQUEST FOR DE NOVO REVIEW. Pursuant to DCC 22.32.027(B)(2) and DCC 22.28.030, Appellants request de novo review of the decision because it presents issues of significant public policy and county-wide implications for Deschutes County as the decision is one which involves a 22 mile power line crossing numerous public and private lands in Deschutes County including Cyrus property. The decision also involves significant issues of importance to all Measure 37 and 49 claimants and opponents in Deschutes County as it interprets and applies common law vesting issues, non-conforming use provisions, and site plan review provisions in the context of Measure 49 vesting. It also represents a significant departure from County policy and previous decisions requiring a County land use application process subsequent to the granting of a Measure 37 claim. The County has consistently taken the position that Measure 37 waivers did not cover procedural, health and safety regulations and that a subsequent County land use process after a Measure 37 waiver is necessary to address or determine the applicability of any of those regulations. Page 1- NOTICE OF APPEAL De novo review of this decision by the Board of Deschutes County Commissioners is necessary to establish a reasonable interpretation of the County ordinances, Measure 37 and 49 procedures and policies, the state statutes and the administrative rules implementing the Statewide Planning Goals so that the citizens of Deschutes County can rely on such interpretations for future applications. Such an interpretation cannot be adequately and fairly made by any other body as the Board of County Commissioners is the most appropriate authority for setting policy and interpreting the statutes, administrative rules and county ordinances as they apply to land within Deschutes County. Further, Appellants would like the opportunity to submit additional evidence addressing the Hearings Officer's findings which include factual errors and conclusions which could not now be addressed before the Hearings Officer. The issues relied upon for this appeal are set forth below. The facts in the record and those which will be supplied at the hearing before the Board will prove that the Hearing Officer erred in concluding the Jordan Road power line is vested under Measure 49. II. TIME PERIOD FOR REVIEW. The present application for a vested rights determination under Measure 49 is not subject to the 150 day deadline within which the County has to make decisions on certain land use applications. III. ISSUES FOR APPEAL. Appellants raise the following issues for appeal: 1. The Hearings Officer erred in ruling that CEC has a common law vested right to complete, operate and maintain the Jordan Road line upgrade in its entirety. (HO Decision, pg. 7) 2. The County erred in processing the vested rights determination as a Declaratory Ruling under DCC 22.40 without adopting an ordinance or specific procedures for such pursuant to Measure 49. (HO Decision, p. 9-11) 3. The Hearings Officer erred in concluding the County has jurisdiction to make this Measure 49 vested rights determination through this declaratory ruling proceeding. (HO Decision, p. l l ) 4. The Hearing Officer erred in concluding the previous two waivers which were issued before December 6, 2007 - Order No. 2006-069 and 2006-093 - were valid and timely and thereby provide a basis for CEC's Measure 49 vested right determination for Phase I. (HO Decision, pg. 19). 5. The Hearings Officer erred in concluding that Deschutes County Order No. 2006-093 was valid, and in omitting from its decision that Order No. 2006-173 expressly provides that Order No. 2006-093 was ultimately determined as "null and void" because "the proceedings which led to the adoption of Order No 2006-093 did not include new evidence, nor did it offer interested parties an opportunity to comment on new evidence". (HO Decision, pg. 17). Page 2 - NOTICE OF APPEAL 6. The Hearings Officer erred to consider that CEC's unlawful construction was completed before Order No. 2006-173, purporting to correct the invalid waivers, had been issued. 7. The Hearings Officer erred in concluding that CEC could rely on Order No.s 2006-069 and 2006-093, as they were patently invalid pursuant to Order No. 2006-173, and for other reasons. 8. The Hearings officer erred in concluding that Order No. 2006-173 is dated after the effective date of Measure 49. (HO Decision, pg. 19). 9. The Hearings Officer erred by failing to conclude that CEC's reconstruction of the Jordan Road line was unlawful. The reconstruction was unlawful because it did not obtain the necessary State waivers, or even apply for one before its unlawful construction. 10. The Hearings Officer erred in omitting from its decision (and its "good faith" determination) that upon the Cyrus's application for a restraining order in Deschutes County Circuit Court, CEC completed its destruction and removal of the old, shorter, wooden transmission line poles, and completed its construction of new, taller, metal transmission line poles, greater in number, on the Cyrus's property. On this basis alone the Hearing Officer should have found against CEC because it did not act in "good faith". 11. The Hearings Officer erred in concluding that waivers were not need to waive application of the EFU Zone. (HO Decision, pg. 19). 12. The Hearings Officer erred in concluding that the second waiver, issued through Order No. 2006-093, applied to property described as including the easements granted by the Cyrus opponents and the Trust's predecessor. (HO Decision, pg. 19). 13. The Hearings Officer erred in concluding the Measure 37 Order No. 2007-125 waived application of the Forest Zones when neither the Order nor the attached Administrator's report listed the Forest Zones at all. (HO Decision, p. 23). 14. The Hearings Officer erred in concluding there is nothing in the County's Measure 37 waivers for Phases I and II of the Jordan Road line upgrade that expressly states local permits or approvals are or may be required. 15. The Hearing Officer erred in finding that the prior County decision concluding CEC had a valid non-conforming use for the existing transmission line somehow alleviated the need for a Measure 37 waiver for the un-permitted alteration to that use. Page 3 - NOTICE OF APPEAL 16. The Hearings Officer erred in concluding site plan review was not required. (HO Decision, p. 28). 17. The Hearings Officer erred in concluding the consent of the underlying fee owners was not required. (HO Decision, p. 30). 18. The Hearings Officer erred in concluding CEC had a continuous property interest in the real property that was the subject of the Measure 37 claims and the vested rights determination. (HO Decision, p. 31). 19. The Hearings Officer erred in concluding CEC's property interests constitute "private real property" under Measure 37. (HO Decision, p. 31-32). 20. The Hearings Officer erred in concluding CEC satisfied the good faith test for a vested rights claim. (HO Decision, p. 35). 21. The Hearing Officer erred by not deciding that CEC was ineligible for Measure 37 relief and thus Measure 49 vesting because CEC is not a private entity that is eligible for Measure 37 relief or Measure 49 vesting. 22. The Hearing Officer. erred by not deciding that CEC was ineligible for Measure 37 relief and thus Measure 49 vesting because CEC easements do not constitute private property for purposes of Measure 37 relief and Measure 49 vesting. 23. The Hearings Officer erred by failing to apply, or applying incorrectly, the rule that only expenditures made lawfully and in good faith count towards vesting. 24. inapplicable to the vesting determination. 25. The Hearings Officer erred by failing to consider CEC's bad faith actions, as explained by Judge Tiktin in a Memorandum Opinion concerning sanctions, in the context of the good faith vesting factor. 26. The Hearings Officer erred in concluding the expenses made by CEC between August 1, 2006 and September 2006 (Phase I) were qualified expenses for the vested rights determination. (HO Decisions, p. 38). 27. The Hearings Officer erred in concluding the qualified expenses exceed 5% of the total project costs. (HO Decision, pg. 40). 28. The Hearings Officer erred in concluding the Jordan Road power line cannot be separated into independent segments for purposes of a vested rights determination. The Hearings Officer erred by concluding that CEC's trespass on Cyrus property is Page 4 - NOTICE OF APPEAL . n 29. The Hearings Officer erred in her conclusion that Phase II construction was vested when a State waiver was required but never obtained. Measure 49 requires both: 1) the use must be consistent with a Measure 37 waiver (which is impossible absent the required State waiver); AND 2) must constitute a lawful nonconforming use (which is impossible without valid waivers). 30. The Hearing Officer erred by finding a valid grant of CEC's Measure 37 claim because the land use regulations at issue in that claim were enacted in 1972, almost 30 years before CEC obtained its property interests in the easements in 2001 and that CEC had not quitclaimed and released the 1962 easement. DATED: September 25, 2009. Michael W. Peter]L, OSB #823670 Isa A. Taylor, OSB #044674 PETERKIN & ASSOCIATES 222 NW Irving Avenue Bend, OR 97701 Page 5 - NOTICE OF APPEAL