(A) Application. Following denial of a certificate of appropriateness by the Commission or by the City Council on appeal, the owner or designated representative may apply for a certificate of economic hardship by submitting to the Commission a completed application for a certificate of economic hardship, which form shall be available in the City Hall and in particular, at the office of the City Clerk, the Building Department and/or the City Commission staff.
(B) Public hearing process.
(1) The Commission shall hold a public hearing within 45 days of receipt of a completed application for a certificate of economic hardship. Notice of the public hearing shall be sent by regular and certified mail to the applicant (see § 1478.08 to notify adjacent parties). Notice also shall be published in a newspaper of general circulation in the city. The notice shall be sent not less than 15 days nor more than 30 days prior to the date of the hearing. The notice shall include the time and place of the hearing, a general description of the contents of the request to be heard and the address or location of the property to which the request applies.
(2) At the public hearing, the Commission shall take testimony presented by the owner(s) and any other interested parties concerning the effect of the proposed alteration, construction, relocation, removal or demolition upon the eligible or designated historic landmark or designated Historic District based upon the criteria consistent with the Rules of Procedure for Hearing Before the Historic Preservation Commission, as adopted herein and made a part hereof and as may be amended, from time to time, by action of the Commission and the City Council. The hearing may be continued to a date certain. A record shall be kept of all proceedings.
(C) Factors. In determining where a certificate of economic hardship should be issued, the factors to be considered by the Commission and the City Council on the issue of economic hardship shall include but are not limited to the following:
(1) A substantial decrease in the fair market value of the property as a result of the denial of the certificate of appropriateness;
(2) A substantial decrease in the pre-tax or after-tax return to owners of record or other investors in the property as a result of the denial of the certificate of appropriateness;
(3) The cost of the proposed construction, alteration, relocation or demolition, and an estimate of any additional cost that would be incurred to comply with the recommendations of the Commission for changes necessary for the issuance of a certificate of appropriateness;
(4) The structural soundness of any structures on the property and their suitability for rehabilitation; and
(5) The economic feasibility of rehabilitation or reuse of the existing structure or improvement on the property in the case of a proposed demolition.
(D) Evidence. The Commission may solicit expert testimony. The applicant may be required to submit evidence at the hearing to support any of the factors, including those listed above, which the applicant believes to have contributed to the economic hardship, which the applicant alleges he or she would suffer if the applicant were not granted a certificate of appropriateness.
(1) Specific information and documentation, which should be presented by the applicant as competent evidence at the hearing may include but not be limited to the following:
(a) The amount paid for the property, the date of purchase and the party from whom purchased (including description of the relationship, if any, between the owner and the person from whom the property was purchased);
(b) The assessed value of the land and improvements thereon according to the two most recent assessments;
(c) Real estate taxes for the previous two years;
(d) Annual debt service, if any, for the previous two years;
(e) All appraisals obtained within the previous two years by the owner or applicant in connection with his or her purchase, financing or ownership of the property;
(f) Any listing of the property for sale or rent, price asked and offers received, if any;
(g) Any consideration by the owner as to profitable adaptive uses for the property;
(h) If the property is income-producing, the annual gross income from the property for the previous two years, itemized operating and maintenance expenses for the previous two years, and annual cash flow, if any, during the same period;
(i) Executed construction agreements or proposals;
(j) Engineering or architect reports on the structural integrity of the building or structure upon which work is being proposed; and
(k) Any other information including the income tax bracket of the owner, applicant or principal investors in the property, reasonably necessary for a determination as to whether the property can be reasonably used or yield a reasonable return to present or future owners.
(2) In the event that any of the required information is not reasonably available to the applicant and cannot be obtained by the applicant, the applicant shall provide to the Commission a statement of the information which cannot be obtained and describe the reasons why the information cannot be obtained.
(E) Issuance or denial of certificate of economic hardship.
(1) If the Commission finds that the owner and/or applicant has not established that the owner and/or applicant will suffer a demonstrable economic hardship as a result of the denial of a certificate of appropriateness, then the Commission shall deny the application for certificate of economic hardship.
(2) If the Commission makes an initial determination that the applicant has presented a case which may establish that without approval of the proposed work all reasonable use of, or return from, a designated historic landmark will be denied a property owner, but the Commission finds that reasonable alternatives may exist which should be addressed by the applicant, then the application shall be delayed for a period of no more than 30 days of this period, the Commission shall investigate plans and make recommendations to the owner and the City Council which are intended to provide for reasonable use of, or return from the property, or to otherwise preserve the subject property. During the second 30 days of this period, the applicant will investigate the proposal of the Commission and prove the Commission with written response thereto.
(3) If, at the end of this 60-day period, after reviewing its initial finding and its subsequent proposals and the applicant’s response thereto, the Commission finds that without approval of the proposed work the property cannot be put to any reasonable use or the owner cannot obtain a reasonable economic hardship approving the proposed work. If the Commission finds otherwise, it shall deny the application for a certificate of economic hardship. Within 15 days following the completion of the public hearing and within 15 days of the 60-day delay period provided for in this division, if applicable, the Commission shall render its decision on the certificate of economic hardship by adopting a resolution which shall set forth the findings of fact and decision of the Commission either granting or denying the certificate of hardship.
(4) An executed copy of the resolution shall be sent to the applicant and property owner, the City Clerk and the Building Department within five working days after the decision.
(Ord. 06-50, passed 11-28-2006)