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POL Government Elected Officials Auditor Griffin-Valade Charter, Code & Policies City Code & Charter Online Code & Charter Title 3 Chapter 3.103 Property Tax Exemption for Multiple-Unit Housing Development
3.103.070 Rental Project Rate of Return.

A.  The owner of a rental project approved for exemption will be required to sign an extended use agreement (“EUA”) to be recorded on the title to the property.

 

B.  During the exemption period, the owner must submit project financial information annually to the Portland Housing Bureau.

 

C.  Portland Housing Bureau will prepare an annual analysis of the project’s financial data including a to-date calculation of the rate of return for the project.

 

D.  Portland Housing Bureau will advise the owner in writing whether the projected rate of return will exceed 10 percent for the entire exemption period and may result in an Accrued Payment Liability (“APL”).

 

E.  If Portland Housing Bureau determines that the number and unit mix of affordable units is less than the approved percentage or does not match the unit mix of the project, the next available units must be rented to households meeting the income requirements and the project must be brought into compliance before the next reporting period.

 

F.  At the end of the final year of the exemption, Portland Housing Bureau will calculate the rate of return for the project during the exemption. 

 

1.  If the rate of return does not exceed 10 percent, then the EUA terminates at the end of exemption.

 

2.  If the rate of return exceeds 10 percent, then Portland Housing Bureau sends a written notice to the last known address of the owner requiring the owner to elect one of the following:

 

a.  The EUA may remain in full force and effect for an additional 5 years after the end of the tax exemption, extending the affordability requirements approved for the exemption; provided that the number of units subject to the rent restrictions as approved is the same number necessary to reduce the net present value, using a 10 percent annual discount rate of the project’s projected market-rate (unrestricted) annual cash flows by an amount equal to the APL; or

 

b.  The owner pays an APL in an amount equal to the lesser of either:

 

(1)   The net present value using a 10 percent annual discount rate of the difference between the project’s actual annual cash flows during the exemption and the proforma projected cash flows for the project that would provide a 10 percent rate of return during the exemption; or

 

(2)   The maximum amount of the property taxes that would have been assessed if no exemption had been granted.


Title 3
Chapter 3.02 Council Organization and Procedure
Chapter 3.04 Subpoena Powers
Chapter 3.05 City Auditor's Audit Services Division
Chapter 3.06 Departments, Bureaus and Divisions Generally
Chapter 3.08 Treasurer
Chapter 3.10 Office of City Attorney
Chapter 3.12 Bureau of Transportation
Chapter 3.13 Bureau of Environmental Services
Chapter 3.15 Office of Management and Finance
Chapter 3.16 City Budget Office
Chapter 3.18 (Repealed)
Chapter 3.20 Bureau of Police
Chapter 3.21 City Auditor's Independent Police Review Division
Chapter 3.22 Portland Fire & Rescue
Chapter 3.24 Portland Water Bureau
Chapter 3.26 Bureau of Parks
Chapter 3.27 Portland Parks and Recreation Board
Chapter 3.28 Bureau of Health
Chapter 3.30 Bureau of Development Services
Chapter 3.32 (Repealed)
Chapter 3.33 Bureau of Planning and Sustainability
Chapter 3.34 (Repealed)
Chapter 3.36 Portland Housing Bureau
Chapter 3.38 Portland Housing Advisory Commission (PHAC)
Chapter 3.40 (Repealed)
Chapter 3.44 (Repealed)
Chapter 3.46 Bureau of Insect Control
Chapter 3.52 (Repealed)
Chapter 3.53 (Repealed)
Chapter 3.54 Loss Control and Prevention
Chapter 3.57 (Repealed)
Chapter 3.58 (Repealed)
Chapter 3.60 (Repealed)
Chapter 3.62 Boxing Commission
Chapter 3.64 (Repealed)
Chapter 3.66 (Repealed)
Chapter 3.67 Performing Arts Advisory Committee
Chapter 3.68 Formal Japanese Garden Commission
Chapter 3.70 Pittock Mansion Advisory Commission
Chapter 3.71 (Repealed)
Chapter 3.72 Committee on Claims
Chapter 3.74 Oaths of Office
Chapter 3.76 Public Records
Chapter 3.77 Office of the Ombudsman
Chapter 3.78 Acquisition of County Property for Park Purposes
Chapter 3.80 Special Permits
Chapter 3.82 Officer and Employee Bonds
Chapter 3.84 City Owned Motor Vehicle Accident Reports
Chapter 3.86 Golf Advisory Committee
Chapter 3.88 Investment Advisory Committee
Chapter 3.90 (Repealed)
Chapter 3.92 (Repealed)
Chapter 3.94 (Repealed)
Chapter 3.95 (Repealed)
Chapter 3.96 Office of Neighborhood Involvement
Chapter 3.98 Towing Board of Review
Chapter 3.99 Fair Wage Policies
Chapter 3.100 Equal Opportunity
Chapter 3.101 Property Tax Exemption for Low Income Housing Held by Charitable Non-Profit Organizations
Chapter 3.102 Property Tax Exemption for New Construction of Single-Unit Housing in Homebuyer Opportunity Areas
Chapter 3.103 Property Tax Exemption for Multiple-Unit Housing Development
Chapter 3.104 (Repealed)
Chapter 3.105 (Repealed)
Chapter 3.106 Exposition-Recreation Commission
Chapter 3.107 Water Quality Advisory Committee
Chapter 3.110 Bureau of Hydroelectric Power
Chapter 3.111 (Repealed)
Chapter 3.112 (Repealed)
Chapter 3.114 Office for Community Technology
Chapter 3.115 Mt. Hood Cable Regulatory Commission
Chapter 3.116 Waterways Advisory Committee
Chapter 3.120 (Repealed)
Chapter 3.122 Economic Improvement Districts
Chapter 3.123 Portland Utility Review Board
Chapter 3.124 Portland Bureau of Emergency Management
Chapter 3.125 Disaster Policy Council
Chapter 3.126 Emergency Management Steering Committee
Chapter 3.127 Bureau of Portland Fire and Police Disability and Retirement
Chapter 3.128 Office of Equity and Human Rights
Chapter 3.129 Human Rights Commission