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Charter, Code and Policies

City of Portland

GENERAL INFORMATION: 503-823-4000

EMAIL: cityinfo@portlandoregon.gov

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17.15.050 Exemptions and Discounts.

(Amended by Ordinance Nos. 171698, 173437, 177198, 181322, 182389, 182652, 183679, 183448, 184756, 185195, 185987, 187821, 188619, 188757 and 188758, effective January 3, 2018.)  The uses listed and described in this section shall be exempt, either partially or fully, from payment of the Transportation SDC.  Any Applicant seeking an exemption or a discount under this Section shall specifically request that exemption within 180 days after building permit issuance for the New Development.  Where New Development consists of only part of one or more of the uses described in this section, only that/those portion(s) of the development which qualify under this section are eligible for an exemption or discount.  The balance of the New Development which does not qualify for any exemption or discount under this section shall be subject to the full SDC.  Should the Applicant dispute any decision by the City regarding an exemption or discount request, the Applicant must apply for an alternative exemption calculation under Section 17.15.070.  The Applicant has the burden of proving entitlement to any exemption so requested.

A.  Temporary Uses are fully exempt so long as the use or structure proposed in the New development will be used not more than 180 days in a single calendar year. 

B.  New Development that will not generate more than 15 percent more Person Trips than the present use of the property generates and that will not increase Person Trips by more than 25 Person Trips shall be fully exempt.

C.  Affordable housing is exempt to the extent established by Section 30.01.095.

D.  Discount of the Transportation SDC may be available for qualified land use types described in this Subsection and located within designated areas of the City. The Applicant has the burden of proving entitlement to any discount so requested. No discount based on the person trip methodology shall be provided for any SDC within the North Macadam Overlay area or the Innovation Quadrant Overlay area.

1.  To qualify for a discount, the Applicant must demonstrate the following:

a.  The New Development will be located within the Central City or other centers as designated by the Bureau of Planning and Sustainability. Other centers include the Gateway Plan District, areas within Town Centers and Neighborhood Centers as mapped in the new 2035 Comprehensive Plan, and parcels within 1,000 feet of light rail stations (excluding single-family, OS, and IG and IH zones).

b.  The New Development will meet the eligibility criteria listed in the following table: 

Residential
Single Family (1,200 square feet or more) Ineligible
Single Family (1,199 square feet or less) Ineligible
Multiple Family Eligible if in mixed use site that is built to at least 75% of max FAR
Senior Housing/Congregate Care/Nursing Home Eligible if in mixed use site that is built to at least 75% of max FAR
Commercial – Services
Bank Eligible if in mixed use site that is built to at least 75% of max FAR
Day Care Eligible if in mixed use site that is built to at least 75% of max FAR
Hotel/Motel Eligible if in mixed use site that is built to at least 75% of max FAR
Service Station / Gasoline Sales Ineligible
Movie Theater/Event Hall Eligible if in mixed use site that is built to at least 75% of max FAR
Carwash Ineligible
Health Club / Racquet Club Eligible if in mixed use site that is built to at least 75% of max FAR
Commercial – Institutional
School, K-12 Eligible
University / College / Jr. College Eligible
Church Eligible
Hospital Eligible
Park Eligible
Commercial - Restaurant
Restaurant (Standalone) Eligible if in mixed use site that is built to at least 75% of max FAR
Quick Service Restaurant (Drive-Though) Ineligible
Commercial - Retail
Shopping/Retail Eligible if in mixed use site that is built to at least 75% of max FAR
Convenience Market Eligible if in mixed use site that is built to at least 75% of max FAR
Free Standing Retail Store/ Supermarket Eligible if in mixed use site that is built to at least 75% of max FAR
Car Sales - New / Used Ineligible
Commercial – Office
Administrative Office Eligible if in mixed use site that is built to at least 75% of max FAR
Medical Office / Clinic Eligible if in mixed use site that is built to at least 75% of max FAR
Industrial
Light Industry / Manufacturing Eligible if in mixed use site that is built to at least 75% of max FAR
Warehousing / Storage Ineligible
Self-Storage Ineligible

2.  The following Transportation SDC discounts apply to eligible land uses:

a.  Central City – 33 percent reduction

b.  Other Centers– 8 percent reduction

E.  Graded Scale:  A change in use of an existing building where the gross enclosed floor area does not exceed 3,000 square feet is fully exempt.  A change in use of an existing building where the gross floor area is between 3,000 square feet and 5,000 square feet shall be assessed on a graded scale.  The percentage of the rate to be assessed on the entire existing building shall be calculated by the following equation:

(size of existing building - 3,000 square feet) / 2,000 square feet

  Examples of Graded Scale Assessment Calculations

  (4,000 - 3,000) / 2,000 = 0.50   Existing 4,000 square foot building assessed at 50% of the rate

  (3,200 - 3,000) / 2,000 = 0.10   Existing 3,200 square foot building assessed at 10% of the rate

  (4,900 - 3,000) / 2,000 = 0.95   Existing 4,900 square foot building assessed at 95% of the rate

F.  Alteration permits for tenant improvements, new construction or remodeling are fully exempt where:

1.  no additional dwelling unit(s) or structure(s) are created;

2.  the use or structure will not result in an increase in additional Trips according to the City Rate Study and, if applicable, the North Macadam Overlay Rate Study or the Innovation Quadrant Overlay Project Report;

3.  the use or structure is of a temporary nature and is used less than 180 days in a calendar year.

G.  The construction of accessory buildings or structures which will not create additional dwelling units or which do not create additional demands on the City’s capital improvements are fully exempt.

H.  Any newly permitted and constructed accessory dwelling unit (ADU) conforming to the Title 33 definition of an ADU will qualify for a waiver of SDC fees if a complete building permit application is submitted for the ADU from April 15, 2010 through July 31, 2018, provided that the Applicant receiving a waiver obtains an occupancy permit no later than June 30, 2019.  If an occupancy permit is not obtained by June 30, 2019, an occupancy permit will not be issued until the SDC is paid at the rates in effect at the time the occupancy permit is issued.

I.  For New Development which includes a mix of exempt and non-exempt forms of development, the applicable exemption(s) shall apply only to that portion of the New Development to which the exemption applies.