City to adopt Measure 37 procedures

Measure 37 passed handily (60 percent voter approval statewide) in the November election. Now that Measure 37 is law (as of December 2), state municipalities are scrambling to implement claim processing procedures.

Measure 37 provides for compensation if a landowner's property value is reduced because of land use regulation changes. Governmental agencies must respond to a claim within 180 days of the filing date. There are exceptions and the full wording of the new law takes up a couple of pages.

The Sisters City Council is expected to adopt an ordinance presented by City Attorney Steve Bryant. According to the ordinance, the intent is to establish "a prompt, open, thorough and consistent process for property owners to present their claims to the city, to preserve and protect limited public funds, and to establish a record of the decision capable of circuit court review."

Under the new ordinance, a claimant must be the present owner of real property that is the subject of the claim at the time the claim is submitted. The claim must be filed with the City Manager's office.

A claim must be submitted in writing and must include sufficient documentation to allow the City Manager to investigate and make a recommendation to the City Council. The claim might be denied; investigated further or declared valid. The city could waive or modify the land use regulation, or compensate the claimant upon completion of an appraisal.

The city could acquire the property by condemnation.

The city council, although not required by Measure 37, may conduct a public hearing before taking final action on the claim. Within 180 days from the date the claim was filed, the city council must adopt a resolution or ordinance based on its evaluation of the claim.

Filing fees appear to be one way municipalities are trying to control the number of claims received. Jefferson Country recently announced a $2,500 up-front fee to process claims. Crook County has imposed an up-front fee of $1,500 or 1 percent of the compensation claimed, whichever is greater, with the difference in actual processing costs to be billed or refunded to the claimant. Deschutes County will charge a $500 filing fee.

The Bend City Council has approved a $50 filing fee, with the city to bill for subsequent staff time. Redmond will not charge a filing fee, but will bill for staff time and legal costs. Already rules are being bent. Deschutes County has decided to process the claim of a couple who refused to pay the $500 fee. The Cloverdale couple is asking $383,000 or permission to build a house on their 20 acres.

Sisters will not charge an up-front fee, but will maintain a record of the city's costs in processing a claim.

Following final action by the city at the local level the property owner will be billed for actual costs, including staff and legal costs, incurred in reviewing and acting on the claim.

Thirty-day payment will be enforced through lien action on the property, if necessary.