A. To determine the Net Operating Income during the base year, there shall be deducted from the annualized gross income being realized in 1988, a sum equal to the actual operating expenses for calendar year 1988, unless the owner demonstrates to the satisfaction of the Hearing Officer that the use of some other consecutive 12-month period is justified by reasons consistent with the purposes of this section.
B. In the event the owner did not own the subject property during the base year, the operating expenses for 1988 shall be determined by one of the following methods whichever the Hearing Officer determines to be more reliable in the particular case:
1. The previous owner's actual operating expenses as defined in Section 8.90.190 if such figures were available, or
2. Actual operating expenses for the first calendar year of ownership, discounted to 1988 by the schedule.
(Ord. MC-1481, 4-14-18; Ord. MC-865, 3-24-93)