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A. Criteria. Following a public hearing, the city council may, in its sole discretion, designate one or more targeted residential areas. Each designated area must meet the following criteria, as determined by the city council:

1. The targeted area is located in any urban center found to be in conformity with RCW 84.14.040 and so designated by city council;

2. The targeted area lacks sufficient available, desirable and convenient residential housing, including affordable housing, to meet the needs of the public who would likely live in the urban center if affordable, desirable, attractive, and livable homes/situations were available; and

3. Provision of additional housing incentives in the targeted area will assist in achieving the following purposes:

a. Encourage increased residential opportunities within the targeted area; or

b. Stimulate the construction of new multifamily housing and the rehabilitation of existing vacant and under-utilized buildings for multifamily housing.

In designating a targeted residential area, the city council may also consider other factors including, but not limited to: whether additional housing in the targeted area will attract and retain a significant increase in the resident population; whether an increased residential population will alleviate detrimental conditions and social liability in the targeted area; and whether increasing the residential population in the targeted area will contribute to achieving the planning goals described in the city of Bellingham comprehensive plan or by the Growth Management Act under RCW 36.70A.020. The city council may, by ordinance, amend or rescind the designation of a targeted residential area at any time pursuant to the same procedure as set forth in this chapter for original designation.

B. Targeted Area Standards and Guidelines. For each designated area, the planning and development commission shall develop and the city council shall adopt and implement basic requirements for both new construction and rehabilitation, including the application process and procedures. The city council may also adopt guidelines including the following:

1. Requirements that address demolition of existing structures and site utilization;

2. Building requirements that may include elements addressing parking access to alternative transportation facilities, height, density, environmental impact, public benefit features, compatibility with surrounding property, or other features intended to enhance the livability of the area for permanent residency; and

3. More stringent income eligibility, rent, or sale price limits, including limits that apply to a higher percentage of units than the minimum conditions under BMC 17.82.030(B), either as conditions to eight-year exemptions or as conditions to an extended exemption period.

The required amenities shall be relative to the size of the proposed project and the tax benefit to be obtained.

C. Designated Targeted Areas. The boundaries of the “targeted residential areas” are located within the urban centers listed below, and as indicated on the maps in this section as follows:

TARGETED AREA 

MAP EXHIBIT

URBAN CENTER

DESIGNATION

Exhibit A

City Center Area

Area 1

Exhibit B

Samish Way Urban Village

Area 2

Exhibit C

Fountain District Urban Village

Area 3

Exhibit D

Fairhaven Urban Village

Area 4

Exhibit E

Barkley Village

Area 5

D. Designated Standards and Guidelines for Targeted Areas. Projects proposed for exemptions from ad valorem property taxes in targeted areas shall meet the eligibility requirements in BMC 17.82.030(D) and obtain design review approval consistent with the provisions of Chapter 20.25 BMC. Requests for consideration under this chapter for projects located in the targeted areas shall be processed under procedures and conditions established in BMC 17.82.030(E), including any modification in effect at the time of application.

BMC 17.82.020 – Exhibit A

BMC 17.82.020 – Exhibit B

BMC 17.82.020 – Exhibit C

BMC 17.82.020 – Exhibit D

BMC 17.82.020 – Exhibit E

[Ord. 2015-12-051 § 1 (Exhs. D, E); Ord. 2014-09-044 §§ 1, 2; Ord. 2010-12-078; Ord. 2006-06-060; Ord. 2005-07-062; Ord. 2003-03-011; Ord. 1999-09-054].