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1900 SW 4th Ave, Portland, OR 97201
CUSTOMER & COMMUNITY NOTIFICATION
June 27, 2018
Contact: Matt Wickstrom, Matt.Wickstrom@portlandoregon.gov 503-823-6825
City Council passed an ordinance on June 27, 2018 to extend a waiver of system development charges (SDCs) for accessory dwelling units (ADUs) with additional requirements to contribute to Portland’s housing capacity.
Staff from the Bureau of Development Services (BDS), Water Bureau, Portland Parks & Recreation, Portland Bureau of Transportation, Bureau of Environmental Services and Revenue Division of the Bureau of Revenue and Financial Services collaborated to develop a process for development applications that involve SDC waivers for ADUs and to ensure property owners who accept the SDC waiver sign and record the covenant. Title 17 and Title 21 were also updated to reflect the ADU SDC Waiver Program.
The Revenue Division will be responsible for administering the restrictive covenant and enforcing violations. There is a $600 application fee for the ADU SDC waiver, which will help fund a position in the Revenue Division to oversee the program and administer covenants. The Revenue Division will also collect annual data about rents charged for ADUs that receive SDC waivers to report to City Council every two years.
In 2009, the year before SDC fees were waived, 24 permits for new ADUs were issued - both newly constructed and conversions of existing living space. In 2016, 615 ADU permits were issued, amounting about 10 percent of permits for new dwelling units that year.
Additionally, due to the need to complete and record the restrictive covenant, it will be less likely that permits for ADUs can be approved over the counter in the Development Services Center.
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