3.40.060 Duration and extent of the exemption.
A. Property for which an application for a property tax exemption has been approved under the provisions of this chapter shall be exempt from ad valorem taxation for one year beginning July 1st of the tax year immediately following approval of the exemption, or when, pursuant to ORS 307.330, the property would have gone on the tax rolls in the absence of the exemption provided for in this chapter. The exemption provided in this section shall be in addition to any other exemption provided by law.
B. Applications for property tax exemption under this chapter shall apply to and may be approved for assessment years specified as eligible for exemption in ORS 307.540 through 307.548.
C. For property held for future low-income housing development, the exemption shall be granted for a maximum of five years unless an extension is approved by the City Council. Council may use any of the following factors to determine whether to grant or deny an extension to the corporation including, but not limited to:
1. Whether the corporation has created any designs for the proposed development of low-income housing on the property;
2. Whether the corporation has applied for, or received, any permits relating to development of low-income housing on the property;
3. Whether the corporation has applied for, or received, any private or public funding for development of low-income housing on the property, including any tax credits;
4. Whether the corporation has contracted with another party to begin development of low-income housing on the property;
5. Whether the corporation has made any site improvements towards development of low-income housing on the property; or
6. Whether there was any uncontrollable or unforeseeable act or circumstance beyond the corporation’s reasonable control that caused or is causing the delay in developing the low-income housing on the property.
D. The exemption shall apply as follows:
1. If occupied, to the portion of the property, including land and improvements, that is actually and exclusively used for the purposes described in Section 501(c)(3) or (c)(4) of the Internal Revenue Code.
2. If held for the purpose of developing low-income housing, to the land only.
E. At any time, the City Council may, by motion or upon request by the governing boards of overlapping taxing districts, set a limit on the maximum amount of foregone tax revenue provided as a benefit of the exemption under this chapter for properties that are applying for the exemption for the first time.
F. The exemption as provided by this chapter shall apply to the tax levy of all taxing districts in which the property certified for exemption is located; provided, that the City of Hood River has secured taxing district consent, as defined in HRMC 3.40.010. (Ord. 2069 § 1 (Exh. A), 2022)