§ 155.10 CERTIFICATE OF ECONOMIC HARDSHIP.
   (A)   Application.
      (1)   Any applicant, whose application for a certification of appropriateness has been denied by the Commission (and by the Council after an appeal) may, within 60 days after the Council’s denial on appeal make application for a certificate of economic hardship on a form prepared by the Commission and submitted to the Commission.
      (2)   Application forms shall be available from the Commission.
   (B)   Standard to be applied. The Commission shall only approve an application for a certificate of economic hardship upon a determination that the denial of the certificate of appropriateness has resulted in the denial of all reasonable use of and return from the property.
   (C)   Consideration of evidence. In applying this standard, the Commission shall consider among other things any evidence presented concerning the following:
      (1)   Any opinions from a licensed structural engineer or licensed architect with experience in renovation, restoration or rehabilitation as to the structural soundness of any structures or objects on the property and their suitability for continued use, renovation, restoration or rehabilitation;
      (2)   Any estimates prepared by a licensed architect or licensed structural engineer, of the cost of the proposed alteration, construction, demolition or relocation and an estimate of any additional cost that would be incurred to comply with the recommendations of the Commission for changes necessary for it to be approved;
      (3)   Any estimates prepared by a real estate broker or agent licensed by the state or an appraiser certified by the state of the market value of the property in its current condition; after completion of the proposed alteration, construction, demolition or relocation; after any expenditures necessary to comply with the recommendations of the Commission for changes necessary for it to approve a certificate of appropriateness; and in the case of a proposed demolition, after renovation of the existing property for continued use;
      (4)   In the case of a proposed demolition, any estimates, prepared by licensed architects, real estate consultants and appraisers or other licensed real estate professionals and experienced in rehabilitation, as to the economic feasibility of restoration, renovation or rehabilitation of any existing structures or objects; and
      (5)   Any and all applicable zoning provisions and incentives.
   (D)   Information to be supplied by applicant. At the discretion of the Commission, the applicant shall submit by affidavit some or all of the following information:
      (1)   The assessed value of the property, structure, site or object for the two most recent assessments;
      (2)   Real property taxes for the previous two years;
      (3)   The amount paid for the property, structure, site or object by the owner, the date of purchase and the party from whom purchased, including a description of the relationship, if any, between the owner and the person from whom the property was purchased;
      (4)   The current balance of any mortgages or any other financing secured by the property, structure, site or object, and the annual debt service, if any, for the previous two years;
      (5)   All appraisals obtained within the previous two years by the owner or applicant in connection with purchase, offerings for sale, financing or ownership of the property, structure, site or object;
      (6)   All listings of the property, structure, site or object for sale or rent, price asked and offers received, if any, within the previous four years;
      (7)   All studies commissioned by the owner as to profitable renovation, rehabilitation or utilization of any structures or objects on the property for alternative use;
      (8)   For income producing property or structures, itemized income and expense statements from the property or structures for the previous two years;
      (9)   Estimates, prepared by licensed general contractors or licensed architects, of the cost of the proposed alteration, construction, demolition or relocation and an estimate of any additional cost that would be incurred to comply with the recommendations of the Commission for changes necessary for it to approve a certificate of appropriateness;
      (10)   Form of beneficial ownership or operation of the property, structure, site or object whether sole proprietorship, for-profit or not-for-profit corporation, limited partnership, joint venture or other. All partners and shareholders shall be identified;
      (11)   Where applicable, the information, evidence or documentation requested by the Commission or provided by the applicant shall bear the imprint of the professional stamp, seal or license number of the individual preparing such information, evidence or documentation; and
      (12)   Any other information, documentation or evidence as the Commission determines to be necessary to its consideration of the application for certificate of economic hardship.
   (E)   Failure by applicant to submit requested information. In the event that any of the information required to be submitted by the applicant is not reasonably available, the applicant shall file with the affidavit a statement of the information that cannot be obtained and shall describe the reasons why such information is unavailable.
   (F)   Public hearing. The Commission shall hold a public hearing on the application for certificate of economic hardship within 60 days following receipt of the completed application form and all complete information required to be submitted therewith, as determined by the city.
      (1)   (a)   Notice of the time and place of the public hearing shall also state the general nature of the question involved, and shall be given not more than 30 days nor less than 15 days prior to the date of such hearing by the following methods:
            1.   By mailing of notification to the applicant and the owner of record of the affected landmark, interior landmark or property, structure, site or object in a district;
            2.   By mailing of notification to the owners of record of all property within 250 feet of the property lines of the affected landmark, interior landmark or property, structure, site or object in a district; and
            3.   By publication in a newspaper of city-wide circulation.
         (b)   It shall be the responsibility of the applicant to provide to the Commission, by affidavit, the names and addresses of all owners of record pursuant to division (F)(l)(a) above.
      (2)   The hearing shall be conducted in accordance with the rules of the Commission.
      (3)   No member of the Commission absent from the entire hearing shall be eligible to vote on any matter, unless the meeting has been fully transcribed or recorded and the absent member certifies that he or she has reviewed such transcript or recording.
      (4)   The Commission may continue a proceeding for such additional time as it reasonably takes an applicant, any other interested person or the Commission to comply with a request for additional information, documentation or evidence.
   (G)   Determination by the Commission. The determination by the Commission of whether the denial of the certificate of appropriateness has or has not resulted in the denial of all reasonable use of and return from the property shall be made within 60 days following close of the public hearing and submission of all information, documentation or evidence requested by the Commission. The determination shall be accompanied by findings of fact and a report stating the reasons for the decision.
   (H)   Disapproval by Commission.
      (1)   If the determination of the Commission is to disapprove the application for a certificate of economic hardship, the applicant shall be notified within ten business days.
      (2)   The notice shall include a copy of the findings of fact.
      (3)   Any aggrieved person may appeal a decision of the Commission to the Council.
      (4)   The appeal must be filed with the City Clerk within 14 days calendar days after the date notice is sent to the applicant of the Commission’s decision.
   (I)   Determination of economic hardship.
      (1)   If the determination of the Commission is that the denial of the certificate of appropriateness has resulted in the denial of all reasonable use of and return from the property, the Commission shall issue a certificate of economic hardship no later than 90 days following the date of the determination of economic hardship unless during that time the Council approves an incentive plan pursuant to divisions (J) and (K) below.
      (2)   A copy of the determination of the Commission together with the findings of fact shall be mailed to the applicant and transmitted to the Council or its duly authorized committee within ten business days following the determination of economic hardship.
   (J)   Incentive plan. The purpose of an incentive plan is to provide a mechanism to allow a reasonable use of and return from the property without the complete or partial demolition of a landmark, interior landmark or property, structure, site or object in a district. This incentive plan may include, but is not limited to, property tax relief, loans or grants from the city or other public or private sources, acquisition by purchase or eminent domain, Building and Safety Code modifications to reduce the cost of maintenance, restoration, rehabilitation or renovation, changes in applicable zoning regulations including a transfer of development rights, or relaxation of the provisions of this chapter sufficient to allow reasonable use of and return from the property.
   (K)   Council consideration of incentive plan.
      (1)   Consideration of an incentive plan may be begun by the Commission following the denial of a certificate of appropriateness, and can be considered simultaneously with any other proceedings that may be occurring under this chapter.
      (2)   The Commission shall forward a report recommending an incentive plan to the Council or its duly authorized committee. Upon receipt of the report, the Council or its duly authorized committee shall give prompt consideration to the incentive plan.
      (3)   The Council shall approve or disapprove the incentive plan allowing the reasonable use of and return from the property within 90 days following determination by the Commission. Any determination regarding an incentive plan shall be by resolution of the Council.
      (4)   If the Council does not approve an incentive plan within the time specified, the report and recommendation of the Commission regarding the incentive plan shall be deemed to be denied by the Council.
      (5)   A copy of the resolution enacted by the Council together with the incentive plan, if any, shall be mailed to the applicant and transmitted to the Commission within five business days following the enactment of the ordinance.
   (L)   Issuance of certificate of economic hardship.
      (1)   (a)   If the Commission approves a certificate of economic hardship, the Commission shall issue a certificate of economic hardship to the applicant within ten business days after:
            1.   Receipt by the Commission of a copy of a resolution of the Council disapproving an incentive plan; or
            2.   Failure of the Council to act to either approve or disapprove an incentive plan pursuant to division (K)(3) above.
         (b)   The certificate of economic hardship for demolition may be subject to conditions for subsequent construction including compliance with the standards included in § 155.08.
         (c)   The certificate of economic hardship shall be valid for a period of one year from issuance by the Commission.
         (d)   Certificates of economic hardship shall not be transferable from the applicant to another subsequent owner of the same property.
      (2)   A certificate of appropriateness shall be issued to the applicant simultaneously with the delivery of the certificate of economic hardship.
      (3)   Notwithstanding approval of a certificate of economic hardship, no permit for demolition of a landmark or a property, structure or object in a district shall be issued, except simultaneously with the issuance of a building permit for the replacement property, structure or object.
(Prior Code, § 51-9) (Ord. 2012-03, passed 2-6-2012)