Council Report 01-25-23 CCPH 02-07-23 LU 22-0008 o�� F s� COUNCIL REPORT
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Subject: Ordinance 2891, Residential Nonconforming Development Regulations (LU 22-0008)
Meeting Date: February 7, 2023 Staff Member:
Scot Siegel, Community Development Director
Report Date:January 25, 2023 Jessica Morey-Collins, Senior Development Specialist
Department:
Community Development - Planning
Action Required Advisory Board/Commission Recommendation
❑ Motion ❑X Approval (Planning Commission 5:2)
❑x Public Hearing ❑ Denial
❑X Ordinance ❑ None Forwarded
❑ Resolution ❑ Not Applicable
❑ Information Only Comments:
❑ Council Direction
❑ Consent Agenda
Staff Recommendation: Approval
Recommended Language for Motion: Move to tentatively approve Ordinance 2891, and
direct staff to return on February 21, 2023 with a final version of the Ordinance including
findings and conclusions for LU 22-0008.
Project/ Issue Relates To: Conserve the community's character, sense of place, and quality
of life by planning for change and growth.
Issue before Council:
ZCouncil Goals/Priorities: The proposal addresses the above 2022 City Council goal.
ISSUE BEFORE COUNCIL
Whether to require nonconforming residential structures to comply with current development
code standards when a remodel exceeds certain thresholds.
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EXECUTIVE SUMMARY
The proposal aims to improve predictability in the development process by adding clear and
objective standards for remodels of nonconforming residences.
BACKGROUND
The City Council held a study session on residential demolitions and nonconforming
development on March 17, 2022. At that time, the Council directed staff to prepare code
amendments addressing three separate objectives:
1. Prepare an ordinance amending the definition of"demolition" for purposes of the
demolition tax and permit process.
Action: The Council held a public hearing and enacted Ordinance 2894 on May 23, 2022,
changing the definition of demolition from removal of a structure to removal of 50% or
more of a dwelling's exterior walls or perimeter foundation.
2. Prepare an ordinance removing the sunset on the demolition tax, for enactment at least
thirty days before the sunset date of January 1, 2023.
Action: The Council held a public hearing and enacted Ordinance 2916 on November 15,
2022, removing the sunset, amending the exemptions for affordable housing and
deconstruction projects (exempt all deconstruction projects), and making
deconstruction mandatory for residences built in 1940 or earlier.
3. Work with the Planning Commission to develop standards for remodels or re-builds of
nonconforming residences. The Council asked that only "true remodels" be allowed to
maintain nonconforming entitlements. Where construction creates an entirely new
structure that resembles nothing of the structure that stood before, Council asked that
it be required to conform to current code. The Council also asked that the Commission
move forward as quickly as possible without sacrificing public input.
Action: The Planning Commission held four work sessions and a tour of built projects
during February through September, before conducting a public hearing on the proposal
December 12, 2022. The Commission received input from the Neighborhood Chairs
Committee, local home builders, and property owners, some in favor of new restrictions
and others opposed to the restrictions or specific exemptions. The Commission voted
5:2 on January 9, 2023, recommending City Council approve the proposal. One
commissioner was opposed to making the regulations more restrictive, and one
commissioner was opposed to exempting middle housing from the regulations.
DISCUSSION
The proposed code amendments (Attachment 2 to Ordinance 2891, Exhibit A-1) were initiated
by staff at the request of the Lake Oswego Neighborhood Chairs Committee. The amendments
to LOC 50.01.006 (Nonconforming Uses, Structures, Lots and Site Features) and LOC 50.07.004
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(Additional Submittal Requirements), establish criteria and procedures for residential remodels
and additions where the existing residence does not conform to development code standards.
The changes are intended to address the impacts that demolitions and major residential
additions have on the physical characteristics of the surrounding neighborhood.
Nonconforming development is development that complied with the Code when it was
established, but no longer conforms due to some later code amendment or annexation. (LOC
50.01.006.1.a.i). These structures do not meet one or more current code requirements, which
could include minimum setbacks, maximum lot coverage, various building design standards, or
other development code standards.
The CDC currently allows that "Portions of a nonconforming structure that are not being altered
as part of the expansion are not required to be brought into conformance with this Code." (LOC
50.01.006.3.a.ii) The proposed code changes require that these nonconformities not be allowed
to continue when a dwelling is demolished (50% or more of the exterior walls or perimeter
foundation are removed), as defined by LOC Chapter 45 Building Code, or when the building is
expanded beyond a certain threshold. Expansions of nonconforming structures beyond the
newly established limit would continue to be allowed with approval of a Variance under LOC
50.08, e.g. Minor, Major, or Residential Infill Design Review. Exceptions are also proposed for
preservation of large native trees, and for middle housing and income restricted affordable
housing, consistent with City policies supporting housing choice and affordability.
ALTERNATIVES
The Council may approve, approve with modifications, or deny the application.
FISCAL IMPACT
The proposal has no budgetary impact. The resulting code changes are expected to result in
efficiencies in building plan reviews and code enforcement.
RECOMMENDATION
Staff recommends approval based on the Planning Commission Findings, Conclusion and Order.
EXHIBITS
A. Draft Ordinance
A-1 Ordinance 2891, draft 11/28/2022
Attachment 1: Reserved for City Council Findings (not included)
Attachment 2: Community Development Code Amendments draft
11/28/2022
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B. Findings, Conclusion and Order
B-1 Planning Commission Findings, Conclusions and Order, 01/09/2023
(includes proposed draft Community Development Code Amendments with
Commentary, 11/28/2022)
C. Minutes
C-1 Planning Commission Minutes, 12/12/2022
D. Staff Reports
D-1 Staff Report, 11/29/2022
E. Graphics/Plans
[No current exhibits; reserved for hearing use]
F. Written Materials
[No current exhibits; reserved for hearing use]
G. Letters
G-1 Email from Ruth Bregar, 12/05/2022
G-2 Email from Teri Miller, 12/06/2022
G-3 Email from Shelley Blauer, 12/12/2022
G-4 Letter from Jamie Kauble Dana, 12/12/2022
BACKGROUND MATERIAL AND REFERENCES
Staff reports and public meeting materials that were prepared for these code amendments can be
found by visiting the project web page for LU 22-0008. Use the link below to visit the City's
"Project" page: https://www.ci.oswego.or.us/all-projects. Under "Search" enter LU 22-0008, then
press "Enter."
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