HomeMy WebLinkAbout502_Low Income Tax Credit Tax OrdinanceCITY OF OWASSO, OKLAHOMA
ORDINANCE NO. 502
AN ORDINANCE RELATING TO PART FIVE BUILDING REGULATIONS
AND CODES OF THE CODE OF ORDINANCES OF THE CITY OF
OWASSO, OKLAHOMA, DENOTED LOW INCOME HOUSING TAX CREDIT
PROCEDURE, PROVIDING DEFINITIONS, JURISDICTION OF THE
CITY COUNCIL, MAYORS RESPONSIBILITY, NOTICE OF HEARING,
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HEARING PROCEDURE, DETERMINATION OF THE CITY COUNCIL,
SEVERABILITY, CODIFICATION,
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF OWASSO,
OKLAHOMA, THAT, TO-WIT:
Section 1. That Part. 5 - Building Regulation and Codes of the
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Code of Ordinances of the City of Owasso, Oklahoma, shall be
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amended by providing as new law a Chapter 12 denoted as Low Income
Housing Tax Credit Hearing and providing as follows,
5-1201. DEFINITIONS
For the purposes of this ordinance, the following terms,
phrases, words and their derivations shall have the meaning herein
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given. when not inconsistent with the context, words used in the
present tense include the future tense® words in the plural include
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the singular and words in the singular include the plural. The
co 0 word shall is always mandatory and not directory.
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CU A. Applicant® The person or persons applying for Low Income
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Tax Credit
0 - allocation.
He CITY, the City of Owasso, Oklahoma, a municipal
corporation in its present incorporated form or in any other
reorganized or changed form.
C. CITY COUNCIL. The City council of the City or any body
constituting in the future the legislative body of the City.
D. CITY CLERK. The City Clerk of the City of Owasso,
Oklahoma, including any deputy, assistant, or member of the office
staff of the City Clerk while performing duties of the clerks
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office.
E . COMMENT PERIOD. The fifty-five ( 55 ) day period following
the mailing of OHFA ®s notice to the Mayor.
F. CONTACT PERSON. The person or persons delineated in the
OHFA notice to the Mayor as the designated recipient of official
notification and process for the proposed development.
Co DEVELOPER. The person or persons developing Low Income
Tax Credit Housing, whether new construction or refurbishment of
existing housing®
H. MAYOR. The Mayor of the City of Owasso, the Vice-Mayor,
or any person defined int he future as the Chief Executive Officer
of the City.
I. OHFA. The Oklahoma Housing Finance Authority.
J. OHFA NOTICE. The notice given to the Mayor of a proposed
Low income Housing Tax Credit Development inside or within two (2)
miles of the City Limit as required by OHFA Chapter 36 Rules as
currently promulgated or modified in the future.
K. TRUSTEES. The Board of trustees of the Oklahoma Housina
Finance Authority.
2780-288.or2
5-1202. JURISDICTION OF THE CITY COUNCIL
The City Council shall exercise original jurisdiction to
conduct public hearings to proposed Developments, and to comment
to the OHFA Trustees recommending allocation of Low Income Tax
Credits to the proposed Development, or to deny the allocation.
5-1203. MAYORS RESPONSIBILITY
The Mayor shall immediately upon receipt of an OHFA notice
cause a public hearing upon such notice and application to be
placed upon the agenda of a regularly scheduled or special City
Council meeting.
5-1204. NOTICE OF HEARING
The City Clerk shall deposit Notice of Hearing addressed to
the Contact Person by certified mail, return receipt requested,
within seven (7) business days of the receipt of the OHFA notice
by the Mayor. The Notice of Hearing shall contain no less than the
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following information:
A. The date, time, and place of the public hearing.
B. A statement of the -legal authorities and
jurisdiction under which the public hearing is held.
Co A statement of any rules or statutes involved,
including a copy of this ordinance and its adopting resolution.
D. A concise and plain statement of any and all issues
to be asserted or considered at the public hearing.
The Notice of Hearing shall be received by the Contact Person no
less than ten (10) days prior to the date of the hearing in a
newspaper of general circulation in the county in which the
Development is to be located a notice of the time, date and place
of the public hearing, and a statement that the purpose of the
proceeding is for consideration of approval or disapproval of the
proposed Development as authorized by the relevant provision of the
Oklahoma Tax Code.
The Mayor may prescribe rules, consistent with the laws of the
State and with the Ordinances of this municipality for proper
conduct of the business of the hearing.
The Applicant and the Developer may appear before the hearing and
be represented by counsel. They shall be afforded the opportunity
to present evidence, testimony of witnesses, oral argument and to
respond to any opposing evidence and cross examine witnesses.
The hearing shall be recorded by electronic means, provided however
that at the request of any party, a licensed court reporter may
transcribe the proceedings at the cost of the party requesting the
reporter. If a licensed court reporter is requested by any party,
transcripts
-L shall be provided to all parties at the cost of the
party requesting such reporter.
Copies of all documentary evidence received or to be considered by
the City Council shall be made available to the Applicant at least
two (2) -f-full working days prior to the hearing.
The City Council shall comply with all State and Federal law
regarding discrimination.
The Applicant and Developer shall have the right of appeal to the
District Court of competent jurisdiction.
2780-288.or2 2
5-1206. DETERMINATION OF THE CITY COUNCIL
The City Council shall fairly consider all evidence, testimony, and
argument presented at the hearing. The City Council shall adopt
findings of fact, conclusions of law and determinations concerning
the proposed development by a majority opinion.
A written, certified copy of the City Council finding of fact,
conclusions of law, and determinations shall be transmitted to the
Applicant and OHFA by certified mail-, return receipt requested not
later than the last of the comment period. A copy of this
ordinance and its adopting resolution shall accompany the City
Council decision.
Section 20 Severability Language .
if any section, sentence, clause or phrase of this ordinance or any
part thereof is for any reason found to be invalid by a court of
competent jurisdiction, such decision shall not affect the validity
of the remainder of this ordinance or any part thereof.
Section 3. This Ordinance shall be codified as Section 5-1201
through 5-1206.
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PASSED AND APPROVED,
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1995. (',,1 a na
Marcia '.Bbu,#well, CfLty Clerk
ENNINKEW
Ronald D. Cates, City Attorney
2780-288.or2 3
Charles L. Burris, Mayor
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Published In the Owasso Reporter, Owasso, Tulsa County, Oklahoma, May
25, 1995,
CITY OF OWASSO, OKLAHOMA
ORDINANCE NO 502
AN ORDINANCE RELATING TO PART FIVE BUILDING FIEGULA-
TIONS AND CODES OF THE CODE OF ORDINANCES OF THE
CITY OF OWASSO, OKLAHOMA, DENOTED LOW INCOME HOUS-
ING TAX CREDIT PROCEDURE, PROVIDING DEFINITIONS, JURIS-
DICTION OF THE CITY COUNCIL, MAYORS RESPONSIBILITY,
NOTICE OF HEARING, HEARING PROCEDURE, DETERMINATION
OF THE CITY COUNCIL, SEVERABILITY, CODIFICATION,
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF OWAS-
SO, OKLAHOMA, THAT, TO-WIT.
M
mearing am providing as follows,
5-1201. DEFINITIONS
For the purposes of this ordinance, the following terms, phrases, words
and their derivations shall have the meaning herein given. When not Incon-
sistent with the context, words used in the present tense include the future
tense, words In the plural Include the singular and words In the singular
Include the plural. The word shall Is always mandatory and not directory.
A. Applicant. The person or persons aoolvina for Low Inm Tar f'—rut
B. CITY, the City of Owasso, Oklahoma, a municipal co*ration in its
present Incorporated form or In any other reorganized or changed form
C. CITY COUNCIL. The City council of the City or any body constituting
In the future the legislative body of the City.
D. CITY CLERK. The City Clark of the City of Owasso, Okfahoma,
including any deputy, assistant, or member of the office staff of the City
Clark while performing dudes of the clerks office.
E. COMMENT PERIOD. The fifty-five (55) day period following the mail-
Ing of OHFXs notice to the Mayot
F. CONTACT PERSON. The person or persons delineated In the OHFA
notice to the Mayor as the designated recipient of official notification and
process for the proposed development.
G. DEVELOPER. The person or persons developing Low Income Tax
Credit Housing, whether new construction or refurbishment of existing
housing.
H. MAYOR. The Mayor of the City of Owasso, the Vice-Mayor, or any
person defined in the future as the Chief Executive Officer of the City.
1. OHFA. The Oklahoma Housing Finance Authority.
J. OHFA NOTICE. The notice given to the Mayor of a proposed Low
Income Housing Tax Credit Development Inside or within two (2) miles of
the City Limit as required by OHFA Chapter 36 Rules as currently promul-
gated or modified in the future.
K. TRUSTEES. The Board of trustees of the Oklahoma Housing Finance
Authority.
5-1202. JURISDICTION OF THE CITY COUNCIL
The City Council shall exercise original jurisdiction to conduct public
hearings to proposed Developments, and to comment to the OHFA
Trustees recommending allocation of Low Income Tax Credits to the pro-
posed Development, or to deny the allocation.
5-1203. MAYORS RESPONSIBILITY
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TO: THE HONORABLE MAYOR AND CITY COUNCIL
CITY OF OWASSO
FROM: LONNIE R. HARDI
U
SUBJECT: OKLAHOMA HOUSING FINANCE AUTHORITY
TAX CREDIT PROGRAM RULES
DATE: May 5, 1995
BACKGROUND:
On March 27, 1995, the Oklahoma Housing Finance Agency promulgated new regulations
concerning it's Low Income Housing Tax Credit Program rules. The new regulations
became effective with the Governor's signature on April 7, 1995.
The OHFA provides tax credits to the owner of residential rental property used for low
income housing. The credits are available for new developments or the rehabilitation of
existing structures into low income housing.
Many communities have indicated a desire to have local control over the location of tax
credit low income housing, and are better situated to determine the housing needs of the local
community. Municipalities are also uniquely situated to ascertain the effect of proposed
housing developments on the schools, utilities, and services of the local area and the
conformance with the community housing plan.
The new regulations provide that when OI FA receives an application for a low income tax
credit development either inside or within two miles of a city limit, the Mayor of that city
must be notified.
Once a Mayor is notified, there is a limited time in which comments may be submitted to the
OHFA Board of Trustees. The Board will consider the Mayor's comments, along with all
others. No tax credit allocation can be denied solely upon the Mayoral comment.
However, under emergency rules recently promulgated, a municipality may enact an
ordinance which develops and adopts a formal decision making process for such tax credit
developments. If such an ordinance is adopted, then a denial of the application by the
municipality shall require a denial by the OHFA Board of Trustees. The OHFA Board of
Trustees is giving the cities the right of denial, but not the right of final acceptance. Appeal
from a denial is directly to District Court, with no administrative boards or procedures
necessary in between. The staff, after reviewing the new rules, developed such an ordinance
for your consideration. If adopted, the ordinance will allow the City Council to conduct
hearings on all proposed low income developments and deny such requests.
NOTE: The City of Owasso, ex rel Mayor Duke, received a notice of filing for tax credit
allocation for a 223 unit apartment complex proposed for 86th and Mingo. The owner is an
out of state corporation with its principal place of business in Quincy, Illinois.
Comments for this application must be received by the OHFA on or before May 22, 1995.
The period is too short to allow the enactment of an ordinance, notice and hearing in this
action, even if there were no due process problems in so doing. However, staff recommends
the enactment of an ordinance for future applications. This application will be considered by
OHFA under the old rules, even if this ordinance is enacted by the Council.
RECOMMENDATION:
In order to preserve the City of Owasso's right to deny low income tax credit housing
applications without reference to, or dependance upon, the Oklahoma Housing Finance
Agency staff recommends that the attached proposed ordinance be adopted.
ATTACHMENTS:
1. Ordinance # 502
2. Correspondence from Senator Campbell
3. OHFA Rules
n ; ons
"Comment Period" means the fifty -five (55) day period following
the mailing of OHFA's - notice to Local Chief Executive Officer
affording the Local Chief Executive Officer an opportunity to
submit comments to OHFA respecting a proposed Development within
such Local. Chief Executive Officer's jurisdiction.
"Local Chief Executive Officer" means, for purposes of these
Chapter 36 Rules, the highest elected official of the city,
municipality or town. For purposes of these Chapter 36 Rules, the
mayor, if elected by a vote of the registered voters of a city,
municipality or town, shall be deemed the Local Chief Executive
Officer for purposes of the notice provisions of Subchapter 36 -5 -3.
"Local Governing Body" means, for purposes of these Chapter 36
Rules, the city council as a body of a city, the board of trustees
of a'town or the legislative body of a municipality, as it may be
defined by applicable law or charter provision, of the Local
Jurisdiction for a Development.
"Local Jurisdiction" means the political unit or subdivision or
location where a Development is to be located. If a-Development is
to be located within the corporate limits of a city or town, the
county in which the Development will be located shall not be
considered to be a political subdivision for purposes of these
Chapter 36 Rules.
i
TITLE 330. OKLAHOMA HOUSING FINANCE AGENCY
CHAPTER 36. LOW- INCOME HOUSING
TAX CREDIT PROGRAM RULES
RULEMAKING ACTION: Emergency adoption
RULES: Chapter 36. Low - Income Housing Tax Credit Program Rules
AUTHORITY: These Chapter 36 rules are authorized by the
Trustees of OHFA, the Amended Trust Indenture of OHFA, and the
Bylaws of OHFA
DATES: Adoption: March 27, 1995
Effective: Immediately upon Governor's approval
Expiration: Expires July 16, 1996, unless superseded by
another rule or disapproved by the legislature.
FINDING OF EMERGENCY: The Trustees of OHFA have found that the
following compelling extraordinary circumstances necessitate
the emergency adoption of OHFA's amended Chapter 36. Low -
Income Housing Tax Credit Program Rules:
(1) Many communities have indicated a desire to have
local control over the siting of housing, including Tax Credit
Developments, within their locality and maintain that the
governing bodies of communities are better situated to
determine the housing needs of their communities and the
effect, if any, of a development on said housing needs.
(2) Many communities have stated that they are uniquely
situated to determine the effect of proposed housing
developments on the schools, utilities and services of the
local community, -and have developed housing plans for their
localities and wish to assess the effect of proposed new
housing on such housing plans.
(3) Many developers and communities have requested OHFA
review its Selection Criteria Points and provide set - asides
for rural and elderly Developments.
(4) The concerns of localities and developers of
affordable housing appear to be valid and reasonable.
ANALYSIS: OHFA has among its purposes to assist the State, its
governmental agencies and municipalities, and private entities
and agencies in making the most efficient use of their
resources and powers in providing housing for residential use,
whether for single - family or multi - dwellings, of every type
and .character, in accord with the needs and benefit of the
State, and formulate, develop, and-administer or utilize new
or short- or long - range:-- studies, programs, plans, or
activities relating to the improvement of the housing for
residential use and the economic and environmental conditions
of the residents of the State in order to provide, as
appropriate, assistance, services, facilities, and resources
for the benefit of the people of the State.
The Code provides for the allocation of Low Income
Housing Tax Credits to eligible owners of residential rental
property used for low income housing and further provides for
the establishment of a state housing credit agency to allocate
that state's annual housing tax credit authority limit. OHFA
has extensively reviewed its Chapter 36 Low - Income Housing Tax
Credit Program Rules which govern the administration of the
�h�s Vs K-0-r 0. eOM_�IeTe. &T 01F_�u
(a) General. Code Section 42(m)(A)(ii) requires that OHFA notify
the Local Chief Executive Officer of the local jurisdiction within
which a Development is to be located and provide such Local Chief
Executive Officer a reasonable opportunity to comment on the
proposed Development.
(b) Notice to Local Chief Executive Officer. OHFA shall, upon
receipt of an Application, notify, in writing, the Local Chief
Executive Officer to advise such official of the filing of the
Application. If a proposed Development is not located within a
city limits, but is to be built within two (2) miles of a city(ies)
limits, then the city(ies) within two (2) miles of such proposed
Development shall receive notice of the Application. OHFA's
notification of the Local Chief Executive Officer shall be by
certified mail, 'return receipt* requested, and deposited in the
United States mails within five (5) business days of OHFA's receipt
of the Application, and not less than fifty -five (55) days prior to
the consideration of the Application by the Trustees.
(c) Form of OHFA's notice. to Local Chief Executive Officer. The
notice to the Local Chief Executive Officer shall be in such form
as may be approved from time to time by the Trustees, but shall at
a minimum contain the name and the legal description or street
address of the Development, the name and address of the Contact
Person, whether the Development is new construction or substantial
rehabilitation, the total number of Units (and their
characteristics, i.e., one - bedroom, two - bedroom, single room
occupancy, etc.) and, when appropriate, the date the Application
fora specified Development may be considered by the. Trustees. The
Local Chief Executive officer of any city, town or municipality
located within one- half,mile of the proposed Development shall also
receive a copy of the notice provided by this subparagraph. One
(1) copy of the Application shall also be provided to the Local
Governing Body of the city, town or municipality where the proposed
Development is to be located.
(d) Comment by the Local Chief Executive Officer. The Local Chief
Executive Officer, on behalf of the Local Governing Body, shall be
afforded an opportunity to submit written comments to OHFA
respecting the proposed Development. Any comments must be
forwarded to OHFA by certified mail, - return receipt requested, not
later than the last day of the Comment Period.
(e) Trustees' consideration of comments. The Trustees will
consider all comments, including those of the Local Chief Executive
Officer, forwarded to the Trustees during the Comment Period;
however; no Allocation shall be denied based solely on the comments
of the Local Chief Executive Officer unless the Local Governing
Body has developed and adopted by ordinance a formal decision -
making procedure for evaluating Developments proposed to be located
within its jurisdiction conforming to the requirements of this
330:36 -5 -3, and, with respect to any Allocation which the Local
Governing Body determines should be denied, has followed the
procedures set forth in such ordinance. If a Local Governing Body,
has adopted an ordinance conforming to the requirements of this
330:36 -5 -3, and in accordance with such ordinance, determines that
33
support of the Development, to respond to any opposing evidence,
and to cross - examine witnesses.
(4) The proceedings shall be electronically recorded or, if
requested by the Local Governing Body, Applicant or Developer,
transcribed by a licensed court reporter. The cost of
transcription shall be paid by the party requesting it.
(5) Copies of all documentary evidence received by, and to be
considered by, the Local Governing Body must be made available
to the Applicant at least two (2) full working days prior to the
proceedings.
(6) The Local Governing Body must comply with all requirements
of federal and state law regarding discrimination, including
those set forth in 330:36 -1 -5.
(7) A right of appeal of- the determination of the Local
Governing body to the district court of competent jurisdiction
must be afforded the Applicant and Developer.
(8) The proceedings must be held in accordance with due process
and findings of fact, conclusions of law and the Local Governing
Body's determinations respecting the proposed Development
formally adopted by a majority of the Local Governing Body's
members and transmitted to the Applicant and to OHFA by
certified mail, with return receipt requested, not later than
the last day of the Comment Period. A copy of the Ordinance and
the resolution of the Local Governing Body adopting same must
accompany Local Governing Body determination.
(h) Effect of appeal. In the event an Applicant or Developer
files an appeal from the decision of the Local Governing Body, the
Trustees shall hold the Application in abeyance by conditional
Reservation reflecting the rejection and appeal therefrom pending
the conclusion of said appeal process.
(i) Final order. Any Resolution denying an Application shall be
treated as a final order pursuant to the provisions of the APA,
then in effect, and is subject to judicial review as provided
therein.
330:36 -5 -4. Allocation procedures
(a) Reviews of Applications. As set forth herein in more detail,
Applications shall be reviewed as follows:
(1) Applications received in each Reservation Cycle shall be
evaluated and a determination made as to whether the Development
is eligible for Allocation and whether all basic threshold
criteria have been met.
(2) OHFA shall then rank the Developments, based on the
Selection Criteria procedures of 330:36 -5 -6.
(A) Applications not receiving a minimum of 50 points will be
rejected and returned to the Applicant. The Applicant may
reapply in a subsequent Cycle. A new Application; fee will be
required.
(B) Applications receiving 50 or more points will be analyzed
for financial feasibility.
35
PAP
PUBLIC HEARING
PROPOSED TAX CREDIT APPLICATION FOR HOUSING
JULY 24, 1995 - 7:00 P.M.
PLEASE SIGN IN
NAME ADDRESS
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PUBLIC HEARING
PROPOSED TAX CREDIT APPLICATION FOR HOUSING
JULY 24, 1995 - 7:00 P.M.
PLEASE SIGN IN
NAME ADDRESS
13
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PUBLIC HEARING
PROPOSED TAX CREDIT APPLICATION FOR HOUSING
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PROPOSED TAX CREDIT APPLICATION FOR HOUSING
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JULY 24, 1995 - 7:00 P.M.
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GROVER R. CAMPBELL
DISTRICT 34
STATE CAPITOL
2300 N. LINCOLN BLVD.
OKLAHOMA CITY. OK 73105 -4808
Mr. Rodney Ray,
Owasso City Hall
207 S. Cedar
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April 11, 1995
Owasso City Manager
Owasso, OK 74055
Dear Mr. Ray:
OFFICE: (405) 521 -5723
HOME: (405) 272 -7580
Enclosed is a copy of the proposed emergency rules of OHFA dealing with local Chief
Executive Officer Notice.
These rules mandate a notice to the City Mayor upon receipt of application for low
income housing tax credits. The City Council can submit written comments to OHFA in
support or in opposition to the application. Qr, the Council eaa mandate the. denial Qf
thr, application if a city ordinance is in place that allows due process to the applicant by
following the guidelines in OHFA rules.
The applicant has right of appeal to District Court.
If these emergency rules are adopted, I would strongly recommend that the Owasso City
Council adopt a City Ordinance that would give the City the authority to approve or
deny these applications.
Sincerely,
Grover R. Campbell
State Senator
GRC /lt
CC: Owasso City Councilors