A.  “Economic development project” includes any properties, real or personal, used or useful in connection with a revenue producing enterprise.  “Economic development project” shall not include any facility or facilities designed primarily for the operation, transmission, sale, or distribution of electrical energy.  “Economic development project” also includes multiple unit residential housing development on land having an assessed valuation of $8 per square foot or more on September 13, 1975, land within a designated urban renewal or redevelopment area formed pursuant to ORS Chapter 457, land within an area designated as a Housing and Community Development target neighborhood pursuant to the Housing and Community Development Act of 1974, or projects which benefit low or moderate income tenants, or address slum and blight as defined by the 1974 Housing and Community Development Act.

B.  “Eligible project” means an economic development project found by the City to meet standards adopted pursuant to this Chapter.  “Eligible project” includes multiple unit residential housing development which increases available housing units through new construction, rehabilitation of nonresidential buildings, or provides for rehabilitation of residential buildings.

C.  “City” means the City of Portland.

D.  “Costs” as applied to any project must conform to all applicable Internal Revenue Service regulations and may include:

1.  The cost of construction and reconstruction.

2.  The cost of acquisition of property, including rights in land and other property, both real and personal and improved and unimproved and the cost of site improvements.

3.  The cost of demolishing, removing or relocating any buildings or structures on lands so acquired, including the cost of acquiring any lands to which the buildings or structures may be moved or relocated.

4.  The cost of eligible machinery and equipment and related financing charges.

5.  The cost of engineering and architectural surveys, plans and specifications.

6.  The cost of financing charges and interest prior to and during construction, and if deemed advisable by the City for a period not exceeding 1 year after completion of construction.

7.  The cost of consultant and legal services, other expenses necessary or incident to determining the feasibility or practicability of constructing a project, administrative and other expenses necessary to or incident to the construction of the project, including, but not limited to, costs of relocation and moving expenses according to a project plan developed by the City, and the financing of the construction of the project thereof, including reimbursement to any state or other governmental agency or any lessee of such project for the expenditures made with the approval of the City that would be costs of the project under this Chapter had they been made directly by the City, and any costs incurred after bond issuance by the City for audits or monitoring.

E.  “ Qualified historic project” shall mean a project which includes the restoration or rehabilitation of a structure or structures designated as a City of Portland Historic Landmark.  Such rehabilitation or restoration shall require the approval of the City of Portland Landmarks Commission to assure conformance with the Secretary of the Interior’s standards for historic preservation projects.

1.  Company/applicant information.

2.  Project information.

3.  Description of labor force at existing and proposed locations.

4.  Financial information.

5.  Environmental control information.

6.  Any information required by law or otherwise which is reasonable and necessary to effectuate the purposes of this Chapter.

7.  An agreement to indemnify and hold harmless the Portland Development Commission and the City of Portland, its officers and employees, from any and all liability for loss or damage to the company or any third person or entity arising from or alleged to have arisen from the processing of this application or any error or omission in any official statement or representation related to the contemplated financing.

B.  The applicant must certify by letter that the issuance of revenue bonds is an inducement to locate, retain, or expand the project in Portland.

C.  The requirements herein shall be considered to be minimums, and the Portland Development Commission and the City reserve the right to add additional requirements on a case‑by‑case basis.  Likewise, the requirements herein stated pertain only to the Commission and the City and are not exclusive.  Qualified bond counsel or the original purchaser may make additional requirements.

B.  The Portland Development Commission shall consider the following:

1.  Economic feasibility and general benefits to the City of the proposed project.

2.  Density of use and potential impact in the area affected by the proposed project.

3.  Land use, transit, and transportation facilities in the vicinity of the proposed project.

4.  City’s ability to supply or support other needed services resulting from the Economic Development Project.

5.  Effect of proposed project on balanced economic development of the City.

6.  Employment and property tax income from the project.

7.  Employment opportunities.  City and Portland Development Commission will use employment agreements when and where appropriate.

8.  Suitability of proposed area in the City for the particular type of proposed development project.

9.  Conformance with Internal Revenue Service regulations and the Oregon Revised Statutes.

C.  No application shall be recommended for City Council approval unless the Portland Development Commission determines that the proposed project does not conflict with adopted City plans and policies, and conforms to the following uses:

1.  Manufacturing or other industrial production.

2.  Agricultural development or food processing.

3.  Transportation or freight facilities.

4.  Warehousing or distribution.

5.  A project for the primary purpose of reducing air, water, or solid waste pollution.

6.  Other activities that represent new technology or types of economic enterprise that the City determines are needed to diversify the economic base of the community.

7.  Parking in close proximity to the Portland Performing Arts Center.  Such a parking facility may include space for retail and commercial uses in addition to parking.

8.  Commercial uses when a part of a qualified historic project or publicly initiated urban development project.

1.  The applicant’s name, address and telephone number.

2.  A brief description of the applicant’s company history and past relevant performance.

3.  A legal description of the property upon which the project will be located.

4.  A detailed description of the project including the number, size and type of dwelling units; dimensions of structures; parcel size, proposed lot coverage with buildings, and amount of open space; type of construction; public and private access; parking and circulation plans; water, sewer, and other utility plans; landscaping; expected uses; and economic feasibility studies and market information including rent levels proposed.

5.  A description of the existing use of the property including a proposed relocation plan for any persons who would be displaced from existing housing by the project; and for any businesses which would be displaced.

6.  A site plan and supporting maps, which show in detail the development plan of the entire project, showing streets, driveways, sidewalks, pedestrian ways, off‑street parking and loading areas; location and dimension of structures; use of the land and structure; major landscaping features; design of structures; and existing and proposed utility systems including sanitary sewers, storm sewers, water, electric, gas and telephone lines.

7.  Any other information required by law or otherwise which is reasonable and necessary to effectuate the purposes of this Chapter.

8.  The approximate amount of bond proceeds and allocation to eligible costs.

9.  An agreement to indemnify and hold harmless the Portland Development Commission and the City of Portland, its officers and employees, from any and all liability for loss or damage to the company or any third person or entity arising from or alleged to have arisen from the processing of this application or any error or omission in any official statement or representation related to the contemplated financing.

A.  Upon receipt of an application, the Portland Development Commission shall review the application to determine whether the application should be further processed.  In reaching such a determination, the Commission may request additional information from the applicant as well as assemble any and all data deemed relevant to the decision.

B.  The Portland Development Commission shall, after review and comment by all relevant City bureaus, recommend approval, approval with conditions, or denial of the application, after consideration of the following:

1.  The economic feasibility of the project, with and without the use of revenue bonds.

2.  The need for housing resulting from the project.

3.  The general benefits to the City of the proposed project.

4.  The City’s ability to supply or support other needed services required by the project.

5.  Employment and property tax income from the project.

6.  Suitability of the project as proposed in the specific proposed location.

7.  (Amended by Ordinance No. 157998; Nov. 21, 1985.)  Projects applying for permanent financing must be determined to provide housing at rent or price levels 85 percent of which shall be affordable by households with incomes up to 150 percent of the area median income.

8.  Projects in the downtown, particularly the RX Zone, designated urban renewal or redevelopment areas shall receive highest priority.

9.  Conformance with Internal Revenue Service Regulations and the Oregon Revised Statutes.

10.  No application shall be recommended for approval unless the Portland Development Commission, after review and comment by all relevant City bureaus, determines that the project does not conflict with adopted City plans and policies.

11.  Projects applying for construction financing may be at rent or price levels up to 150 percent of median income, but must have available a firm commitment for long‑term project financing.

C.  No project may be approved which would result in the conversion of existing occupied residential rental units to condominium or cooperative projects.

D.  The applicant, to be eligible for financing assistance under this program, must agree not to discriminate against any purchaser or tenant who is a parent or legal guardian with whom a child resides or is expected to reside, except in projects designed exclusively for households, the heads of whom are 62 years of age or older;  or in projects designed for households, the heads of whom are 55 years of age or older, if the project meets the requirements of the applicable federal law.

E.  Revenue bonds may be issued secured by revenues from mortgage payments from individual owners of condominium and cooperative units within multiple unit housing projects which are newly constructed, rehabilitated from other uses or rehabilitated in abandoned residential buildings.  Applications for such projects shall be considered by the Portland Development Commission if:

1.  No individual or company may have more than one loan outstanding at any one time under this program for individual condominium or cooperative units.

2.  No mortgage loan funds under this program may be used for refinancing by existing owners, and no loans may be assumed by persons not eligible for condominium or cooperative units.

F.  The applicant shall submit a relocation plan for any households, individuals, or businesses which may be displaced by the proposed project.  The Portland Development Commission will be responsible for analysis of that proposal and recommendation of that plan, that plan with amendments, or an alternative plan.  The relocation plan shall assure that such households, individuals, or businesses are relocated to affordable housing of comparable or better quality.

B.  If Portland Development Commission staff recommends approval or approval with conditions of the application, the Commission shall, within 60 days of receipt of the application and recommendation, recommend by resolution that City Council approve, approve with conditions, or deny the application.  This resolution shall include consideration of any required relocation plan.  The Council shall, by resolution, approve, approve with conditions, or deny the application.  Council approval or conditional approval of an application shall authorize the Portland Development Commission to process the application and to execute a letter of intent with the applicant.

C.  Final approval shall take place after receipt and review by the Portland Development Commission of all requested and required final documents.  All documents to be approved by the Portland Development Commission must be received in final form and received by the Commission l4 days prior to a scheduled Commission meeting.  If the Commission determines that the documents comply with the rules and policies established within this Chapter, the Commission shall, by resolution, recommend issuance of the bonds in accordance with those final documents and further recommend that City Council adopt an ordinance authorizing issuance of the bonds in accordance with those documents.

D.  If the Portland Development Commission staff recommends denial of the application, they shall notify the applicant in writing.  The applicant may appeal by filing written notice thereof with the Portland Development Commission staff within l4 days of receipt of the notice of rejection.  Upon receipt of the appeal, the Portland Development Commission shall, within 45 days, recommend by resolution, approval, approval with conditions or denial of the appeal.

A.  The following general conditions prevail in the issuance of all industrial development revenue bonds:

1.  City of Portland economic development revenue bonds may be sold at public or private sale, and the bonds may mature at any time or times within the useful life of the project.  For public sales, special approval may be required.

2.  Any bond authorized under this Chapter which is to be sold by public sale must be rated by either a nationally recognized rating agency as Investment Grade.

3.  Bonds sold through a private sale do not require a rating.  For purposes of this Chapter, “private sale” means a sale of all of the bonds to persons or entities that qualify as “accredited investors” under 15 USC Section 77b (15) (I) or 17 CFR Section 230.215.  The purchasers must also certify, in a manner satisfactory to the City, that they have the financial sophistication, knowledge and experience in financial matters to evaluate the investment in the bonds and the appropriateness of that investment for them, and that they have received all the information required to make an informed judgement about the purchase of the bonds.  Bonds which are sold through a private sale may be resold or transferred only to persons or entities that qualify as accredited investors and that provide the certification described in the preceding sentence.

4.  The City of Portland does not guarantee the bonds and is not subject to any liability for their repayment.

5.  The terms and conditions of the issuance and purchase of an industrial revenue bond issue are to be agreed upon by the applicant and bond purchaser with the concurrence of the Portland Development Commission (acting on behalf of the City.)

6.  Where residential rental property is assisted under this Chapter, construction of the project must begin within 9 months from the date of bond issuance.

7.  Applicant will be required to keep the Portland Development Commission advised of the schedule for document preparation and approval, and to provide drafts of documents to the Commission upon request of the Commission.

B.  The following general conditions prevail regarding the preparation of all bond documents:

1.  Bond counsel will be designated by the Portland Development Commission.  Procedures for selecting bond counsel established by Section 5.68.080 of this Code shall not apply to projects initiated pursuant to this Chapter.  The applicant will submit their recommendation of bond counsel.

2.  Bond counsel will advise the Portland Development Commission of all federal and state procedural requirements as they apply to issuance of the bonds.

3.  Bond counsel must be an Oregon law firm or other mutually acceptable bond counsel recognized in the Bond Buyers Directory of Municipal Bond Dealers of the United States.

4.  The trustee chosen by the applicant, and approved by the Commission, must be a bank or trust company doing business in the State of Oregon with trust powers.

5.  All documents to be approved by the Portland Development Commission must be in final form and received by the Portland Development Commission l4 days before the Commission meeting at which it will be acted upon.

1.  The bond market for the types of bonds proposed for issuance.

2.  The terms and conditions of the proposed issue.

3.  Whether the applicant is financially responsible and fully capable and willing to fulfill its obligations under the agreement of lease, or contract, including the obligation to pay rent in the amounts and at the times required, the obligation to operate, repair and maintain at its own expense the project leased, or sold, and to serve the purposes of this Chapter and such other responsibilities as may be imposed under the lease or contract.  In determining financial responsibility of the applicant consideration shall be given to the lessee’s or purchaser’s ratio of current assets to current liabilities, net worth, earning trends, coverage of all fixed charges, the nature of the industry or business involved, its inherent stability, any guarantee of the obligations by some other financially responsible corporation, firm or person, and other factors determinative of the capability of the lessee or purchaser, financially and otherwise, to fulfill its obligations consistently with the purposes of this Chapter and Chapter 772, Oregon Laws of 1977 (ORS 280.410 to 280.485.)

4.  Such other relevant factors as the Development Commission considers necessary to protect the financial integrity of the City.

If the Development Commission shall determine that a bond issue is financially feasible it shall designate the underwriter, trustee and bond counsel and shall enter into appropriate agreements with each to carry out the provisions of this Chapter and Chapter 772, Oregon Laws of 1977 (ORS 280.410 to 280.485) subject to the approval of the Council pursuant to Section 5.72.110 of this Chapter.  In reaching its determination, the Development Commission may appoint a Bond Review Committee to assist it in its deliberations, and may set administrative procedures from time to time as necessary.

2.  Total assessed value and property taxes paid during the most recent period for the assisted facility or facilities.