WEBVTT

1
00:08:01.053 --> 00:08:01.886
<v Candace Avalos>Good afternoon.

2
00:08:01.966 --> 00:08:05.197
<v Candace Avalos>I'm going to call the meeting of the Housing and Permitting Committee to order.

3
00:08:05.973 --> 00:08:09.958
<v Candace Avalos>It is Tuesday, October 6th, 2026, at 2:01 PM.

4
00:08:10.249 --> 00:08:11.302
<v Candace Avalos>Diego, please call the roll.

5
00:08:12.060 --> 00:08:12.464
<v Unidentified speaker>Good afternoon.

6
00:08:12.886 --> 00:08:13.194
<v Unidentified speaker>Avalos?

7
00:08:14.750 --> 00:08:15.059
<v Andrea Hamberg>Pret—.

8
00:08:15.252 --> 00:08:15.918
<v Candace Avalos>One of my first.

9
00:08:15.983 --> 00:08:16.987
<v Unidentified speaker>Sorry, I flipped that.

10
00:08:17.603 --> 00:08:17.976
<v Unidentified speaker>Green?

11
00:08:18.966 --> 00:08:19.096
<v Mitch Green>Here.

12
00:08:19.680 --> 00:08:19.952
<v Unidentified speaker>Pirtle-Guiney?

13
00:08:22.192 --> 00:08:22.303
<v Elana Pirtle-Guiney>Here.

14
00:08:22.932 --> 00:08:23.543
<v Unidentified speaker>Koyama Lane?

15
00:08:23.978 --> 00:08:24.220
<v Tiffany Koyama Lane>Here.

16
00:08:24.704 --> 00:08:25.105
<v Unidentified speaker>Novick?

17
00:08:25.492 --> 00:08:25.620
<v Steve Novick>Here.

18
00:08:26.233 --> 00:08:26.812
<v Unidentified speaker>Now Avalos.

19
00:08:27.119 --> 00:08:27.360
<v Candace Avalos>Present.

20
00:08:28.165 --> 00:08:29.785
<v Candace Avalos>Claire, can you please read the statement of conduct?

21
00:08:30.192 --> 00:08:30.764
<v Unidentified speaker>Thank you, Chair.

22
00:08:31.237 --> 00:08:33.668
<v Unidentified speaker>Good afternoon and welcome to the meeting of the Housing and Permitting Committee.

23
00:08:34.015 --> 00:08:44.729
<v Unidentified speaker>To testify before this committee in person or virtually, you must sign up on— in advance on the committee agenda at portland.gov/council/agenda/housingandpermittingcommittee or by calling 311.

24
00:08:45.505 --> 00:08:48.611
<v Unidentified speaker>Registration for virtual testimony closes 1 hour prior to the meeting.

25
00:08:49.243 --> 00:08:52.039
<v Unidentified speaker>In-person testifiers must sign up before the agenda item is heard.

26
00:08:52.794 --> 00:08:58.067
<v Unidentified speaker>If public testimony will be taken on an item, individuals may testify for 3 minutes unless the chair states otherwise.

27
00:08:58.581 --> 00:09:00.446
<v Unidentified speaker>Your microphone will be muted when your time is over.

28
00:09:01.116 --> 00:09:02.000
<v Unidentified speaker>The chair preserves order.

29
00:09:02.160 --> 00:09:09.977
<v Unidentified speaker>Disruptive conduct such as shouting, refusing to conclude your testimony when your time is up, or interrupting others' testimony or committee deliberations will not be allowed.

30
00:09:10.683 --> 00:09:12.626
<v Unidentified speaker>If you cause a disruption, a warning will be given.

31
00:09:13.091 --> 00:09:15.355
<v Unidentified speaker>Further disruption will result in ejection from the meeting.

32
00:09:15.980 --> 00:09:18.982
<v Unidentified speaker>Anyone who fails to leave once ejected is subject to arrest for trespass.

33
00:09:19.738 --> 00:09:22.610
<v Unidentified speaker>Additionally, the committee may take a short recess and reconvene virtually.

34
00:09:23.910 --> 00:09:25.725
<v Unidentified speaker>Your testimony should address the matter being considered.

35
00:09:26.174 --> 00:09:28.133
<v Unidentified speaker>When testifying, please state your name for the record.

36
00:09:28.518 --> 00:09:30.942
<v Unidentified speaker>If you are a lobbyist, identify the organization you represent.

37
00:09:31.535 --> 00:09:35.163
<v Unidentified speaker>And finally, virtual testifiers should unmute themselves when the clerk calls your name.

38
00:09:35.325 --> 00:09:35.629
<v Unidentified speaker>Thank you.

39
00:09:36.047 --> 00:09:36.865
<v Candace Avalos>Thank you, Claire.

40
00:09:37.572 --> 00:09:39.996
<v Candace Avalos>Today we have 3 main items on our agenda.

41
00:09:40.236 --> 00:09:44.235
<v Candace Avalos>First, we are going to start with a presentation on the climate and health standard policy.

42
00:09:44.876 --> 00:09:46.208
<v Candace Avalos>Then we will have 2 ordinances.

43
00:09:46.481 --> 00:09:51.586
<v Candace Avalos>The first ordinance brings the city's land use law into alignment with recently adopted state legislation.

44
00:09:52.020 --> 00:09:58.168
<v Candace Avalos>The second ordinance makes code changes to allow the city to continue providing a property tax exemption for low-income housing.

45
00:09:58.826 --> 00:10:22.005
<v Candace Avalos>I also need to note on the record that on September 22nd, 2026, the Bureau of Planning and Sustainability sent legislative notice via email announcing that the recommended draft of the Central City Code Amendments Project, including comprehensive plan map and zoning maps and Title 33 regulatory amendments, was scheduled for the Housing and Permitting Committee today, October 6th, 2026, at 2:00 PM.

46
00:10:22.871 --> 00:10:38.998
<v Candace Avalos>However, consideration of the ordinance for the recommended draft of the Central City Code Amendments Project has been referred to the full City Council on Wednesday, October 14th, 2026 at 9:50 AM, time certain, for a public hearing to take oral testimony for this ordinance.

47
00:10:39.462 --> 00:10:42.364
<v Candace Avalos>Written testimony can be provided through the MAP app.

48
00:10:43.791 --> 00:10:45.730
<v Candace Avalos>All right, and let's go ahead and read item 1.

49
00:10:46.611 --> 00:10:52.030
<v Unidentified speaker>Item 1, document number 2026-353, Climate and Health Standards.

50
00:10:52.687 --> 00:10:53.666
<v Candace Avalos>Okay, thank you.

51
00:10:53.922 --> 00:11:02.225
<v Candace Avalos>So today, as I mentioned, we're going to do a presentation, uh, on the climate and health standard, and let's go ahead and have, um, Gloria come thank you.

52
00:11:02.385 --> 00:11:04.839
<v Candace Avalos>Please come on up and get settled while I do some intro remarks.

53
00:11:05.672 --> 00:11:11.892
<v Candace Avalos>Um, first, colleagues, I want to begin by thanking the many people who have brought us to this point.

54
00:11:12.644 --> 00:11:24.908
<v Candace Avalos>My office has been working with stakeholders across housing providers, industry, real estate, higher education, healthcare, and environmental justice over the past year to develop a new climate and health standards policy for the city.

55
00:11:25.629 --> 00:11:29.541
<v Candace Avalos>But this work didn't start with me, and it also didn't start from the city alone.

56
00:11:30.214 --> 00:11:43.250
<v Candace Avalos>It started with community at the grassroots, from Portlanders who were tired of being left out of conversations and whose perspectives weren't heard in climate spaces, despite coming from the communities most impacted by environmental pollution and climate change.

57
00:11:43.923 --> 00:11:56.898
<v Candace Avalos>Those Portlanders put hours of their own time looking into energy use in the built environment, how building decarbonization policies intersect with racial justice, time spent in meetings in person and then over Zoom when the pandemic hit.

58
00:11:57.458 --> 00:12:04.403
<v Candace Avalos>And they were moved by a deep commitment to families that look like theirs and the future generations who will suffer if we do not do our part now.

59
00:12:05.253 --> 00:12:13.190
<v Candace Avalos>This work started 6 years ago, and I know there have been many community members waiting at least that long for us to get to this point of actually introducing the policy.

60
00:12:13.910 --> 00:12:23.371
<v Candace Avalos>But before we consider the code changes that I'll be bringing to our October 20th meeting, I wanted to have a chance for the committee to hear from subject matter experts and advocates for this work.

61
00:12:23.932 --> 00:12:32.639
<v Candace Avalos>So first, staff from the Bureau of Planning and Sustainability will share an overview of past work related to the city's climate and health standards for existing buildings project.

62
00:12:33.231 --> 00:12:35.043
<v Candace Avalos>Then we will have 3 invited panels.

63
00:12:35.620 --> 00:12:41.264
<v Candace Avalos>The first panel will have our Chief Sustainability Officer and Sustainability and Climate Commission co-chair.

64
00:12:42.048 --> 00:12:47.099
<v Candace Avalos>The next panel will have invited guests from the county and community organizations working on climate justice.

65
00:12:47.578 --> 00:12:52.998
<v Candace Avalos>And finally, we'll hear from leaders in other US cities who've championed building performance standards.

66
00:12:53.606 --> 00:13:00.211
<v Candace Avalos>So colleagues, this time is really meant for us to get more familiar with the background of CHS and the broader context that the policy sits in.

67
00:13:00.707 --> 00:13:07.871
<v Candace Avalos>This is not intended to be a space to really dig into the specifics since the ordinance, uh, will be coming next time, but you should have the ordinance text.

68
00:13:08.080 --> 00:13:13.703
<v Candace Avalos>I have emailed a copy, and it's also available on my website in case folks of the public want to take a look.

69
00:13:14.264 --> 00:13:23.284
<v Candace Avalos>And what I'm hoping to achieve at this meeting is just creating an opportunity to step back and consider what CHS means for the health and livability of our communities and our city.

70
00:13:23.878 --> 00:13:29.518
<v Candace Avalos>And my apologies, Gloria, I gave you the wrong prompt because you're going to come after BPS, so you can, uh, you can stay up there or whatever.

71
00:13:29.566 --> 00:13:41.582
<v Candace Avalos>But, um, uh, first I want to bring up BPS staff for a presentation on the history of the Climate and Health Standards for Existing Buildings policy and an overview of a recently completed pilot project.

72
00:13:43.120 --> 00:13:43.505
<v Candace Avalos>Thank you.

73
00:13:46.274 --> 00:13:50.639
<v Candace Avalos>We've got Andrea and Vin here if you want to introduce yourselves formally and take it away.

74
00:13:52.379 --> 00:13:54.065
<v Andrea Durbin>Yes, just give me one minute to share.

75
00:14:03.402 --> 00:14:03.673
<v Andrea Durbin>Okay.

76
00:14:05.100 --> 00:14:08.355
<v Andrea Durbin>Good afternoon, Chair Avalos, Vice Chair Green, and members of the committee.

77
00:14:08.947 --> 00:14:10.567
<v Andrea Durbin>For the record, I'm Andrea Jacob.

78
00:14:10.855 --> 00:14:14.687
<v Andrea Durbin>I am the manager of the climate policy team at the Bureau of Planning and Sustainability.

79
00:14:15.519 --> 00:14:21.580
<v Andrea Durbin>Thank you for the opportunity to be here today to share some of the backstory of climate and health standards for existing buildings.

80
00:14:21.692 --> 00:14:26.548
<v Andrea Durbin>It's the precursor work, as Chair Avalos said, to the work currently led by her office.

81
00:14:27.399 --> 00:14:35.285
<v Andrea Durbin>So the core expertise of the BPS climate team lies at the intersection of the built environment and climate science, policy, and practice.

82
00:14:35.942 --> 00:14:45.625
<v Andrea Durbin>Bin and I have been working together on equitable building decarbonization since 2018, and we each have been working on climate, buildings, and energy at the city for about 20 years apiece.

83
00:14:45.721 --> 00:14:48.287
<v Andrea Durbin>So there's a fair bit of institutional knowledge here today.

84
00:14:49.008 --> 00:14:56.365
<v Andrea Durbin>Our work on climate and health standards has been guided by the Bureau's anti-racism and racial equity mission and values.

85
00:14:56.894 --> 00:15:03.082
<v Andrea Durbin>So this story— the story of this work is really a story of community engagement, community leadership, and community priorities.

86
00:15:03.130 --> 00:15:03.259
<v Andrea Durbin>Thank you.

87
00:15:04.182 --> 00:15:09.384
<v Andrea Durbin>It's an example of how government can innovate, adapt, and share power in policy development.

88
00:15:11.458 --> 00:15:14.105
<v Andrea Durbin>So we have 2 main sections of our presentation today.

89
00:15:14.701 --> 00:15:28.538
<v Andrea Durbin>Vin is going to walk you through a, a pretty abbreviated history of the policy just due to time, and we'll then present some findings from a pilot that BPS conducted with multifamily building owners and managers, and then we'll have time for some questions and answers.

90
00:15:29.865 --> 00:15:30.506
<v Vin Mason>Thank you, Andrea.

91
00:15:31.374 --> 00:15:34.697
<v Vin Mason>Good afternoon, Chair Avalos, Vice Chair Green, and members of the committee.

92
00:15:35.562 --> 00:15:37.216
<v Vin Mason>For the record, my name is Vin Mason.

93
00:15:37.634 --> 00:15:48.422
<v Vin Mason>I work for the Bureau of Planning and Sustainability as a senior climate policy advisor and oversee Portland's commercial energy reporting requirements that were adopted by City Council in 2015.

94
00:15:49.048 --> 00:15:50.379
<v Vin Mason>Next slide, please.

95
00:15:51.230 --> 00:15:56.158
<v Vin Mason>I'll start with an overview of the climate health standards policy development timeline.

96
00:15:56.700 --> 00:16:07.782
<v Vin Mason>BPS's work on this policy began as a partnership with Build Shift, which was a collective of community members and organizations established by the Coalition of Communities of Color in Verde.

97
00:16:08.812 --> 00:16:16.076
<v Vin Mason>Through community-led engagement, we developed the HEART Standards policy concept to decarbonize Portland's buildings while advancing racial equity.

98
00:16:17.668 --> 00:16:21.658
<v Vin Mason>In 2022, the HEART Standards moved into the next phase of policy development.

99
00:16:22.176 --> 00:16:26.317
<v Vin Mason>Advanced by BPS as the climate and health standards for existing buildings.

100
00:16:27.946 --> 00:16:36.275
<v Vin Mason>This proposal included commercial and multifamily carbon performance standards that would require property owners to gradually reduce their carbon emissions.

101
00:16:37.230 --> 00:16:41.750
<v Vin Mason>The city also considered a maximum temperature limit that would provide cooling to rental housing.

102
00:16:43.398 --> 00:16:54.863
<v Vin Mason>BPS's policy development paused in 2023 after Oregon passed House Bill 3409, and began administrative rulemaking for statewide commercial building energy performance standards.

103
00:16:55.899 --> 00:17:07.426
<v Vin Mason>BPS estimates that the state's requirements will reduce carbon emissions from Portland's covered buildings by only 5%, well short of the city's adopted goal of zero emissions by 2050.

104
00:17:09.914 --> 00:17:19.594
<v Vin Mason>In 2024, BPS and the city's Chief Sustainability Officer moved a small piece of the climate health standards forward as the multifamily energy reporting and tenant notice proposal.

105
00:17:20.549 --> 00:17:33.584
<v Vin Mason>Draft city code was released for public comment in May 2024 and received much community support, but property owners were concerned about the cost of compliance and exacerbating the housing affordability crisis, a concern shared by BPS.

106
00:17:35.222 --> 00:17:43.915
<v Vin Mason>We pivoted to conduct a pilot project to examine the concerns of property owners and roll out PSF's SP2 funding for apartment building retrofits.

107
00:17:45.060 --> 00:17:49.853
<v Vin Mason>I'll cover each of these major policy milestones in a bit more detail, starting with the HART standards.

108
00:17:50.512 --> 00:17:51.510
<v Vin Mason>Next slide.

109
00:17:54.393 --> 00:18:00.709
<v Vin Mason>With twin goals of building decarbonization and advancing racial equity, the HART standards focus on 5 community priorities for rental housing.

110
00:18:01.548 --> 00:18:03.323
<v Vin Mason>First, improving the health of tenants.

111
00:18:04.387 --> 00:18:08.229
<v Vin Mason>Next, equitable energy that decreases utility bills without increasing rent.

112
00:18:09.476 --> 00:18:16.605
<v Vin Mason>At the center of the HART is anti-displacement to mitigate unintended consequences like relocation of tenants during building retrofits.

113
00:18:17.904 --> 00:18:21.438
<v Vin Mason>Another key community priority is resilience to future climate impacts.

114
00:18:22.401 --> 00:18:26.640
<v Vin Mason>The HART standards were developed in 2021, the same year as the Pacific Northwest heat dome.

115
00:18:27.538 --> 00:18:33.559
<v Vin Mason>A temperature limit for rental housing would assure access to cooling to help tenants survive extreme heat events in the future.

116
00:18:34.575 --> 00:18:34.864
<v Vin Mason>Next slide.

117
00:18:39.020 --> 00:18:47.750
<v Vin Mason>BPS received broad— broader stakeholder input on the HART standards policy concept through weekly building owner and tenant workgroup meetings in 2022.

118
00:18:48.539 --> 00:18:53.002
<v Vin Mason>We continued stakeholder engagement to refine policy details through 2024.

119
00:18:54.405 --> 00:19:10.953
<v Vin Mason>The engagement resulted in the climate health standards for existing buildings staff proposal with 3 main policy the first requires multifamily building owners with 4 or more rental units to notify prospective tenants of key climate and health information at time of application.

120
00:19:12.109 --> 00:19:19.400
<v Vin Mason>The purpose is to inform decisions related to the cost of energy bills, health risks associated with natural gas stoves, and access to cooling.

121
00:19:20.780 --> 00:19:24.699
<v Vin Mason>The second and third policy components would apply to buildings 20,000 square feet and larger.

122
00:19:24.747 --> 00:19:24.875
<v Vin Mason>Thank you.

123
00:19:25.796 --> 00:19:30.205
<v Vin Mason>This size threshold covers about 1,000 commercial and 1,000 apartment buildings.

124
00:19:31.109 --> 00:19:38.083
<v Vin Mason>The heating and powering of these large buildings accounts for approximately 16% of the city's total carbon emissions.

125
00:19:39.813 --> 00:19:41.605
<v Vin Mason>Next slide.

126
00:19:43.138 --> 00:19:48.338
<v Vin Mason>Okay, so this is the part of the policy that deals with the mechanics of how to actually get the carbon reductions.

127
00:19:49.519 --> 00:19:51.632
<v Vin Mason>Performance standards are an effective policy tool.

128
00:19:52.383 --> 00:20:01.336
<v Vin Mason>Unlike prescriptive retrofits, performance standards give building owners flexibility to choose a compliance pathway that is best suited for the unique circumstances of their building.

129
00:20:02.412 --> 00:20:10.755
<v Vin Mason>10 Other U.S. cities have adopted building performance standards to achieve their climate goals, including carbon performance standards in Boston, New York, and Seattle.

130
00:20:12.038 --> 00:20:20.028
<v Vin Mason>In Portland, these standards would require covered buildings to reduce their carbon emissions 20% every 5 years starting 2030 until zero by 2050.

131
00:20:21.282 --> 00:20:26.136
<v Vin Mason>In 2030, all covered buildings would already comply due to state mandates for electric utilities.

132
00:20:27.049 --> 00:20:35.125
<v Vin Mason>By 2040, the state requires 100% clean electricity, which would enable all electric buildings to meet Portland's carbon performance standards.

133
00:20:36.746 --> 00:20:49.518
<v Vin Mason>This chart shows how a poor performer like Building A would have a steeper slope to get from its baseline year to zero compared to a high-performing Building C. It also shows the long runway for compliance.

134
00:20:51.750 --> 00:21:05.345
<v Vin Mason>Building owners could choose from any combination of 3 compliance pathways: 1, reduce emissions through energy efficiency or onsite renewables; 2, electrify equipment; and 3, pay a carbon pollution impact fee in lieu of meeting the standard.

135
00:21:06.826 --> 00:21:15.324
<v Vin Mason>Recognizing the importance of compliance costs, BP has contracted Echo Northwest to complete an analysis of potential economic impacts of these standards.

136
00:21:16.701 --> 00:21:23.865
<v Vin Mason>The analysis concludes that there would likely be no net impact to renters' housing costs given a long compliance period for property owners.

137
00:21:25.050 --> 00:21:25.660
<v Vin Mason>Next slide, please.

138
00:21:26.269 --> 00:21:36.669
<v Vin Mason>All right, next I'm going to cover this part of the policy in more depth because energy benchmarking and reporting are the foundation for reducing emissions and saving energy.

139
00:21:37.790 --> 00:21:44.568
<v Vin Mason>Since 2015, the city has required property owners of Portland's largest commercial buildings to annually report their energy use and carbon emissions.

140
00:21:45.086 --> 00:21:47.403
<v Vin Mason>But multifamily buildings are not included.

141
00:21:48.246 --> 00:21:50.626
<v Vin Mason>This is a gap that BPS has long wanted to fill.

142
00:21:52.006 --> 00:21:52.311
<v Vin Mason>Next slide.

143
00:21:54.342 --> 00:22:01.673
<v Vin Mason>As noted earlier, BPS released a draft multifamily energy reporting and tenant notice policy proposal for public comment in 2024.

144
00:22:02.738 --> 00:22:13.788
<v Vin Mason>We received concerns from property owner representatives that benchmarking is extremely difficult to gather required information from tenants, and compliance could cost tens of thousands of dollars per building, leading to tenant displacement.

145
00:22:14.976 --> 00:22:27.928
<v Vin Mason>From May 2025 to May 2026, BPS contracted Efficiency for Everyone to lead a pilot project to clarify the compliance costs and pinch points for building owners to annually benchmark and report energy performance to the city.

146
00:22:28.008 --> 00:22:29.405
<v Vin Mason>Next slide.

147
00:22:30.900 --> 00:22:37.455
<v Vin Mason>5 Property owners volunteered to participate in the pilot, including representation of apartment buildings across all 4 council districts.

148
00:22:38.693 --> 00:22:38.967
<v Vin Mason>Next slide.

149
00:22:41.069 --> 00:22:45.788
<v Vin Mason>Property managers needed 3 to 9 hours to complete their initial energy benchmarking and reporting.

150
00:22:46.685 --> 00:22:52.496
<v Vin Mason>The amount of time to complete each step of the process varied based on utility provider and the number of meters per building.

151
00:22:53.522 --> 00:22:58.223
<v Vin Mason>Each participant relied on data aggregation services provided by their respective utilities.

152
00:22:59.523 --> 00:23:13.201
<v Vin Mason>All participants used 2 key resources: the free online Energy Star Portfolio Manager software maintained by the federal government, next slide, please.

153
00:23:16.596 --> 00:23:20.482
<v Vin Mason>Overall, participants called the benchmarking process easy to do and pretty basic.

154
00:23:21.518 --> 00:23:26.724
<v Vin Mason>All participants said future energy reporting would require less than 2 hours of their time annually.

155
00:23:27.988 --> 00:23:34.579
<v Vin Mason>Depending on the property manager's capacity and utility data aggregation, the duration of the benchmarking process ranged from 1 to 3 months.

156
00:23:35.993 --> 00:23:41.798
<v Vin Mason>Participants noted that the Portfolio Manager website is not intuitive, so support from the city's help desk was essential.

157
00:23:43.019 --> 00:23:47.618
<v Vin Mason>None of the property managers needed to interact with tenants to complete their energy benchmarking reporting.

158
00:23:48.780 --> 00:23:55.439
<v Vin Mason>These findings are consistent with BPS's implementation of the Commercial Energy Reporting Program over the last 11 years.

159
00:23:56.896 --> 00:23:57.679
<v Vin Mason>And last slide.

160
00:23:59.539 --> 00:24:24.910
<v Vin Mason>In closing, I'll note that carbon performance standards are a key action in the city's Climate Emergency Work Plan so with that, at this time we can take any questions from the committee that you may have regarding BPS's history in developing the climate health standards staff proposal.

161
00:24:25.150 --> 00:24:26.420
<v Vin Mason>And thank you very much.

162
00:24:27.410 --> 00:24:28.650
<v Candace Avalos>Thank you.

163
00:24:28.650 --> 00:24:38.455
<v Candace Avalos>Before we do questions, why don't I do my next presentation to just round out the information and then I'll open up for some questions, um, and we'll move to the next panel.

164
00:24:38.888 --> 00:24:45.738
<v Candace Avalos>Um, and then we'll probably— I want to try to keep the panels to be able to get through their time, so I don't want to get too mired in questions.

165
00:24:45.803 --> 00:24:49.909
<v Candace Avalos>If I need to move us forward, um, and then we come back to questions at the end, I'll let you know.

166
00:24:50.134 --> 00:24:51.865
<v Candace Avalos>But we'll just kind of see what people have.

167
00:24:52.604 --> 00:24:53.935
<v Candace Avalos>So, um, let's go ahead.

168
00:24:54.000 --> 00:24:57.464
<v Candace Avalos>Thank you, uh, you all, BPS, um, for being here.

169
00:24:58.474 --> 00:25:03.159
<v Candace Avalos>And then let me put up my presentation, which will just add the final little pieces of context.

170
00:25:18.500 --> 00:25:19.534
<v Candace Avalos>Okay, there we go.

171
00:25:19.922 --> 00:25:29.198
<v Candace Avalos>All right, um, so yes, again, thank you, Andrea and Ben, for your presentation on the background of the climate and health standards for existing buildings and the pilot study findings.

172
00:25:29.711 --> 00:25:37.190
<v Candace Avalos>I think it really speaks to the thoughtful outreach and years of work that went into developing the policy, and my office has appreciated your assistance throughout this process.

173
00:25:37.253 --> 00:25:38.217
<v Candace Avalos>So thank you very much.

174
00:25:39.084 --> 00:25:52.788
<v Candace Avalos>Colleagues, this time is really meant for us to get more familiar again with the background of CHS and the broader context that the policy sits in, not necessarily to dig into those specifics, like I said, at this level, but we're going to get more into it with the future panels.

175
00:25:53.632 --> 00:25:56.192
<v Candace Avalos>Um, so let's go ahead into the next slide.

176
00:25:59.683 --> 00:26:06.223
<v Candace Avalos>All right, so I want to begin by just grounding in the 3 principles that have guided my office's work from the beginning.

177
00:26:06.691 --> 00:26:11.393
<v Candace Avalos>So the first is climate action should not come at the expense of housing stability.

178
00:26:12.230 --> 00:26:19.653
<v Candace Avalos>The second one is standards should be meaningful and enforceable while recognizing that some buildings face genuine technical challenges.

179
00:26:20.471 --> 00:26:25.807
<v Candace Avalos>And third, communities should not continue bearing the health and climate costs of inefficient buildings.

180
00:26:27.862 --> 00:26:31.285
<v Candace Avalos>And so that moves us into the CHS core pillars.

181
00:26:31.864 --> 00:26:43.259
<v Candace Avalos>Um, and so essentially CHS builds on the city's existing commercial building energy program and state guidelines by creating multifamily residential annual energy reporting.

182
00:26:43.871 --> 00:26:57.848
<v Candace Avalos>So CHS would add close to 1,200 of Portland's multifamily residential buildings to the over 1,000 commercial buildings that are 20,000 square feet and larger currently required to report out their energy use and carbon emissions each year.

183
00:26:59.180 --> 00:27:02.273
<v Candace Avalos>This would cover about 40% of Portland's building sector emissions.

184
00:27:03.571 --> 00:27:15.337
<v Candace Avalos>On minimum carbon— on minimum carbon performance standards, covered buildings must reduce greenhouse gas emissions 20% every 5 years starting in 2030 and reaching zero emissions by 2050.

185
00:27:15.835 --> 00:27:23.132
<v Candace Avalos>Regulated affordable housing is exempt because those buildings are already being decarbonized through PSEF investments and Oregon's clean energy targets.

186
00:27:24.095 --> 00:27:28.799
<v Candace Avalos>Climate and health information and transparency standard for tenants was really critical as well.

187
00:27:29.394 --> 00:27:46.734
<v Candace Avalos>So owners of attached rental housing, fourplexes and larger, would be required to provide key energy cost and health information to prospective renters, like how to access average and peak energy cost information, available assistance for utility bills, and cooling— unit cooling systems such as central AC.

188
00:27:47.794 --> 00:28:00.111
<v Candace Avalos>The proposal includes a carbon pollution impact fee as an alternative compliance pathway for certain covered buildings and alternative compliance plans for large institutional campuses with shared energy systems such as universities.

189
00:28:01.025 --> 00:28:09.060
<v Candace Avalos>I think it is important to note those other compliance pathways for the carbon performance standards because this policy is not intended to be rigid or punitive.

190
00:28:09.461 --> 00:28:15.924
<v Candace Avalos>CHS is intentionally built with flexibility and an understanding that not every building has the same road to decarbonization.

191
00:28:18.252 --> 00:28:26.184
<v Candace Avalos>I'm grateful to everyone who has weighed in and offered suggestions as we've built, uh, as we have built up to this point to introducing the policy.

192
00:28:26.843 --> 00:28:31.468
<v Candace Avalos>And, um, this policy is now stronger because of the multitude of perspectives that went into it.

193
00:28:31.998 --> 00:28:40.491
<v Candace Avalos>In addition to all of the great engagement and outreach work that you heard about from Andrea and Vinh, my office conducted our own, including a workshop that was open to the public.

194
00:28:42.417 --> 00:28:52.191
<v Candace Avalos>So in July, I held my workshop with me to— next slide— to hear feedback from key stakeholders in addition to the conversations we were already having over email and in other meetings.

195
00:28:52.688 --> 00:29:05.782
<v Candace Avalos>We had a wide range of perspectives, including housing providers, real estate, community, labor, healthcare, and other interested residents that just wanted to talk about the impact of this policy on them.

196
00:29:06.505 --> 00:29:08.654
<v Candace Avalos>People were split into 3 breakout groups.

197
00:29:08.895 --> 00:29:18.527
<v Candace Avalos>And participants took turns discussing the energy reporting and carbon performance standard, tenant information and anti-displacement requirements, and the compliance and impact fee.

198
00:29:19.231 --> 00:29:23.255
<v Candace Avalos>And participants were also encouraged to write down their feedback and questions for additional follow-up.

199
00:29:24.520 --> 00:29:30.226
<v Candace Avalos>And so what we heard— my biggest takeaway is that we didn't hear broad opposition to the concept.

200
00:29:30.547 --> 00:29:32.325
<v Candace Avalos>We heard a lot of implementation questions.

201
00:29:32.710 --> 00:29:39.825
<v Candace Avalos>People didn't disagree with the necessity of cutting climate pollution from buildings, the need for transparency about building energy use and health concerns.

202
00:29:45.784 --> 00:30:06.858
<v Candace Avalos>Buildings are one of the largest, if not the largest, source of climate pollution in our city, and Portland should be working to continue to ensure that our buildings match our current climate reality and to meet our climate goals, while also ensuring that renters should have access to safe, comfortable, and energy-efficient homes and basic information about the condition and energy usage of their housing.

203
00:30:06.923 --> 00:30:07.182
<v Queesha Light>Second.

204
00:30:07.296 --> 00:30:07.669
<v Queesha Light>Second.

205
00:30:09.623 --> 00:30:17.444
<v Candace Avalos>I want to end with a quote because sometimes as policymakers we can get too nitty-gritty in the language and lose sight of who we're doing this for.

206
00:30:18.376 --> 00:30:26.392
<v Candace Avalos>In 2022, High Country News did a story about the Build Shift Collective and their work, work that really set the foundation of the climate and health standard.

207
00:30:26.826 --> 00:30:34.935
<v Candace Avalos>And one member, Anjanette Brown, on why they're working to address the health, climate, and equity issues associated with homes said, bless you.

208
00:30:35.803 --> 00:30:42.207
<v Candace Avalos>Uh, I envision that we are champions in saving our environment at whatever cost for our benefit for our future generations.

209
00:30:43.026 --> 00:30:45.529
<v Candace Avalos>And so that is what this is about at the end of the day.

210
00:30:46.814 --> 00:30:48.756
<v Candace Avalos>And so with that, I want to turn it over.

211
00:30:48.804 --> 00:30:49.799
<v Candace Avalos>Let me check the queue here.

212
00:30:49.943 --> 00:30:53.587
<v Candace Avalos>I don't see any hands for first panel.

213
00:30:53.700 --> 00:30:54.838
<v Candace Avalos>We can always come back at the end.

214
00:30:55.384 --> 00:30:55.979
<v Candace Avalos>Okay, sounds good.

215
00:30:56.444 --> 00:31:04.598
<v Candace Avalos>So then I'm going to go ahead and turn it over to our next set of invited panelists who are going to share how the climate and health standard fits within a broader ecosystem.

216
00:31:05.048 --> 00:31:13.605
<v Candace Avalos>So we're going to have, um, representatives from the Sustainability Office, Multnomah County community, and national organizations speaking before moving into questions and general discussion later.

217
00:31:14.007 --> 00:31:23.623
<v Candace Avalos>So first up, come on up, we've got our Chief Sustainability Officer Vivian Satterfield and Sustainability and Climate Commission Co-Chair Jose Gamero-Georgeson.

218
00:31:24.923 --> 00:31:25.195
<v Elana Pirtle-Guiney>Welcome.

219
00:31:26.047 --> 00:31:29.241
<v Vivian Satterfield>Thank you, Chair Avalos, Vice Chair Green, members of the committee.

220
00:31:29.337 --> 00:31:30.878
<v Vivian Satterfield>For the record, I'm Vivian Satterfield.

221
00:31:31.023 --> 00:31:31.490
<v Vivian Satterfield>I'm your Chief thank you, Councilor Mitch Green.

222
00:31:31.490 --> 00:31:31.490
<v Vivian Satterfield>Thank you, Councilor Mitch Green.

223
00:31:31.490 --> 00:31:39.759
<v Vivian Satterfield>I'm Councilor Tiffany Koyama Lane, Deputy City Sustainability Officer, and thank you for the invitation to speak about the proposed climate and health standards policy and how it fits within the city's climate action goals.

224
00:31:40.349 --> 00:31:55.509
<v Vivian Satterfield>I'd like to take this moment to acknowledge Councilor Pirtle-Guiney for dedicating a recent City Life Committee to actually discussing and taking a deep dive for the benefit of those members on the city's carbon emission goals and also a deep dive into the inventory and data.

225
00:31:55.509 --> 00:32:03.470
<v Vivian Satterfield>So as always, this Office and the Sustainability and Climate Commission stand ready to support your work and help offer technical assistance.

226
00:32:05.299 --> 00:32:14.930
<v Vivian Satterfield>As I mentioned in the City Life Committee, and this will be a briefer overview than what we offered that particular committee, Portland and Multnomah County have been tracking carbon emissions together for more than 30 years.

227
00:32:15.000 --> 00:32:21.960
<v Vivian Satterfield>In 2020, the prior City Council declared a climate emergency and directed bureaus to restore a safe climate for all Portlanders.

228
00:32:22.319 --> 00:32:24.420
<v Vivian Satterfield>So to do that, we must meet 2 targets.

229
00:32:24.420 --> 00:32:24.640
<v Vivian Satterfield>The first one is to reduce emissions by 50% by 2030.

230
00:32:25.048 --> 00:32:32.839
<v Vivian Satterfield>The first one is by 2030, which is to cut emissions 50% by 1990 levels, and then by 2050, reach net zero.

231
00:32:34.760 --> 00:32:45.999
<v Vivian Satterfield>Collectively, we reached peak emissions in 2000, and as of 2023, emissions are 26% below 1990 levels, which is significant progress compared to the United States as a whole overall.

232
00:32:46.596 --> 00:32:47.757
<v Vivian Satterfield>But we must move faster.

233
00:32:48.615 --> 00:32:54.224
<v Vivian Satterfield>Hitting our 2030 goal requires reducing emissions about 5.5% every year from now on.

234
00:32:54.965 --> 00:32:58.323
<v Vivian Satterfield>That's roughly 320,000 metric tons annually.

235
00:32:59.544 --> 00:33:05.054
<v Vivian Satterfield>After 2030, the pace can ease slightly, but the work ahead of us remains substantial.

236
00:33:06.386 --> 00:33:08.201
<v Vivian Satterfield>So this is a pivotal moment for cities.

237
00:33:09.020 --> 00:33:15.333
<v Vivian Satterfield>As climate impacts intensify, we need to accelerate near-term action while continuing to build resilience for what's ahead.

238
00:33:16.490 --> 00:33:28.394
<v Vivian Satterfield>Just last month in September, the United Nations Environment Program warned that crossing the 1.5 degrees Celsius global threshold will escalate risks into dangerous and even unknown territory.

239
00:33:29.769 --> 00:33:36.252
<v Vivian Satterfield>Rapid collective action will help reduce those risks and improve our ability to bring temperatures back down over time.

240
00:33:38.230 --> 00:33:45.815
<v Vivian Satterfield>Locally, our biggest sources of emissions are electricity, gasoline, what's referred to as natural gas, and diesel.

241
00:33:46.986 --> 00:33:49.786
<v Vivian Satterfield>Natural gas is the outlier in all of our trend lines.

242
00:33:50.159 --> 00:33:59.335
<v Vivian Satterfield>It's the only major fuel source with emissions increasing, up 18% since 1990 overall and 62% in the residential sector.

243
00:34:00.419 --> 00:34:06.672
<v Vivian Satterfield>And unlike gasoline, there's no strong market pressure in the form of pricing that's driving consumers away from it.

244
00:34:07.644 --> 00:34:09.096
<v Vivian Satterfield>Addressing this will be essential.

245
00:34:10.800 --> 00:34:17.907
<v Vivian Satterfield>Shifting buildings off fossil fuels will take many years, and because equipment lasts decades, The decisions that we make now matters.

246
00:34:19.380 --> 00:34:21.472
<v Vivian Satterfield>I do want to leave you, however, with some encouraging news.

247
00:34:22.150 --> 00:34:31.869
<v Vivian Satterfield>A recent economics report from Climate Mayors shows that cities committed to climate action are proving that economic growth and declining fossil fuel use can go hand in hand.

248
00:34:32.693 --> 00:34:42.880
<v Vivian Satterfield>From 2019 to 2024, these cities grew their GDP by over 11% while reducing fossil fuel use per person by 3.5%.

249
00:34:44.126 --> 00:34:47.844
<v Vivian Satterfield>That's directly saving households roughly $1,000 a year.

250
00:34:49.219 --> 00:34:55.751
<v Vivian Satterfield>An economy decoupled from fossil fuels is both possible and already emerging, and cities are leading the way.

251
00:34:56.898 --> 00:35:00.068
<v Vivian Satterfield>Thank you for your leadership and commitment to addressing climate change.

252
00:35:00.132 --> 00:35:03.987
<v Vivian Satterfield>I look forward to supporting your continued work and am available to answer any questions.

253
00:35:07.018 --> 00:35:13.438
<v Jose Gamero-Georgeson>Thank you, CSO Vivian, and Thank you, Chair Avalos, Vice Chair Green, and all the members of the committee for having me today.

254
00:35:14.081 --> 00:35:18.288
<v Jose Gamero-Georgeson>For the record, I'm Jose Gamero-Georgeson, co-chair of the Sustainability and Climate Commission.

255
00:35:18.753 --> 00:35:20.632
<v Jose Gamero-Georgeson>I'm here on behalf of the full commission.

256
00:35:21.612 --> 00:35:27.809
<v Jose Gamero-Georgeson>On August 20th, the commission voted to endorse the climate and health standards and recommends the council advance the policy.

257
00:35:28.757 --> 00:35:33.686
<v Jose Gamero-Georgeson>Our recommendation letter is in your packet, but I do have copies if anyone would like a copy today.

258
00:35:34.938 --> 00:35:38.137
<v Jose Gamero-Georgeson>We didn't reach this position lightly or quickly.

259
00:35:39.117 --> 00:35:46.780
<v Jose Gamero-Georgeson>Our Policy and Implementation Committee was briefed in July by Chair Avalos, Bureau of Planning and Sustainability, and community partners.

260
00:35:47.246 --> 00:35:54.831
<v Jose Gamero-Georgeson>Then in, uh, then in August, our committee went through code, the code language section, section by section.

261
00:35:55.360 --> 00:35:58.766
<v Jose Gamero-Georgeson>Then we wrote an endorsement letter which was approved by the full commission.

262
00:35:59.474 --> 00:36:05.983
<v Jose Gamero-Georgeson>Commissioners, bring expertise in climate, health, housing, labor, environmental justice.

263
00:36:06.914 --> 00:36:09.606
<v Jose Gamero-Georgeson>They brought all this to that review and to the endorsement letter.

264
00:36:10.215 --> 00:36:14.014
<v Jose Gamero-Georgeson>CSO Vivian talked about why buildings matter to our emissions.

265
00:36:14.271 --> 00:36:18.983
<v Jose Gamero-Georgeson>I want to focus on what this policy means for the people who live and work in these buildings.

266
00:36:20.458 --> 00:36:22.557
<v Jose Gamero-Georgeson>This is ultimately a health policy.

267
00:36:23.182 --> 00:36:27.655
<v Jose Gamero-Georgeson>Gas appliances in homes and buildings pollute the air indoors and out.

268
00:36:28.313 --> 00:36:36.331
<v Jose Gamero-Georgeson>In Multnomah County, building gas use is estimated to produce about 3/4 of the nitrogen oxide pollution of a gas-powered plant.

269
00:36:36.956 --> 00:36:39.907
<v Jose Gamero-Georgeson>Renters often have no say in the equipment they live with.

270
00:36:40.661 --> 00:36:45.231
<v Jose Gamero-Georgeson>With this policy, renters get information they've never had access to previously.

271
00:36:45.791 --> 00:36:54.179
<v Jose Gamero-Georgeson>Before signing a lease, they'll know likely utility costs, whether the unit has cooling, whether it has gas appliances, and how it's ventilated.

272
00:36:56.041 --> 00:36:59.315
<v Jose Gamero-Georgeson>This climate action doesn't come at the cost of housing stability.

273
00:36:59.972 --> 00:37:08.414
<v Jose Gamero-Georgeson>When upgrades affect occupancy, tenants get temporary housing on or relocation help and a guaranteed right to return.

274
00:37:09.041 --> 00:37:14.561
<v Jose Gamero-Georgeson>The commission sees decarbonization and tenant protection as one goal, not competing goals.

275
00:37:15.556 --> 00:37:20.114
<v Jose Gamero-Georgeson>The compliance timeline is long and backed by a city pilot and an Eco Northwest analysis.

276
00:37:20.836 --> 00:37:24.173
<v Jose Gamero-Georgeson>Reporting takes a few hours in the first year and less after that.

277
00:37:25.103 --> 00:37:32.452
<v Jose Gamero-Georgeson>Because of this long runway, owners have time to plan and to implement, and rent increases aren't really expected.

278
00:37:33.429 --> 00:37:38.916
<v Jose Gamero-Georgeson>This policy covers buildings the state building performance program doesn't.

279
00:37:39.461 --> 00:37:42.670
<v Jose Gamero-Georgeson>The state standards starts at 35,000 square feet.

280
00:37:42.815 --> 00:37:46.744
<v Jose Gamero-Georgeson>Portland's threshold is 20,000, which reaches more of our multifamily housing stock.

281
00:37:46.793 --> 00:37:46.889
<v Jose Gamero-Georgeson>Thank you.

282
00:37:47.889 --> 00:37:48.489
<v Jose Gamero-Georgeson>Councilmember Herbold.

283
00:37:48.489 --> 00:37:48.929
<v Jose Gamero-Georgeson>Thank you, Madam Chair.

284
00:37:48.929 --> 00:37:50.869
<v Jose Gamero-Georgeson>I'm pleased to see this policy come out of the community.

285
00:37:50.869 --> 00:37:54.889
<v Jose Gamero-Georgeson>It grew from years of work led by frontline communities through the HEART standards.

286
00:37:55.510 --> 00:37:58.500
<v Jose Gamero-Georgeson>Council can carry that work across the finish line.

287
00:37:59.210 --> 00:38:01.440
<v Jose Gamero-Georgeson>The commission also has an ask for the future.

288
00:38:01.789 --> 00:38:06.190
<v Jose Gamero-Georgeson>The proposal doesn't include a maximum indoor temperature standard from the HEART standards.

289
00:38:06.190 --> 00:38:22.039
<v Jose Gamero-Georgeson>We support taking that up as a separate policy, and urgently, as the climate projections indicate, we'll experience longer periods The commission was created to give council specific, timely, and actionable guidance.

290
00:38:22.670 --> 00:38:26.277
<v Jose Gamero-Georgeson>Our guidance is clear: please advance the climate and health standards.

291
00:38:26.777 --> 00:38:27.050
<v Jose Gamero-Georgeson>Thank you.

292
00:38:28.951 --> 00:38:33.369
<v Candace Avalos>Thank you both so much for your words of wisdom and expertise.

293
00:38:33.791 --> 00:38:34.134
<v Candace Avalos>Thank you.

294
00:38:35.338 --> 00:38:36.264
<v Candace Avalos>Um, let me see.

295
00:38:37.143 --> 00:38:39.307
<v Candace Avalos>Okay, let's go ahead and move to the next panel.

296
00:38:41.202 --> 00:38:47.753
<v Candace Avalos>Um, next we have Andrea Hamburg, Environmental Health Services Director for the Multnomah County Health Department.

297
00:38:48.443 --> 00:38:52.456
<v Candace Avalos>Taryn Evans, Environmental Justice Director for the Coalition of Communities of Color.

298
00:38:53.164 --> 00:38:55.860
<v Candace Avalos>And Sarah— I'm gonna mispronounce your last name— Wallisch?

299
00:38:56.471 --> 00:38:56.809
<v Sarah Wallach>Wallach.

300
00:38:57.257 --> 00:38:57.643
<v Candace Avalos>Wallach.

301
00:38:57.900 --> 00:39:02.090
<v Candace Avalos>Sarah Wallach, Climate Justice Advocate for Community Energy Project.

302
00:39:02.733 --> 00:39:03.103
<v Quinton Zondervan>Welcome.

303
00:39:08.128 --> 00:39:13.298
<v Andrea Hamberg>Uh, good afternoon, Chair Avalos, Chair— Vice Chair Green, and members of the committee.

304
00:39:13.972 --> 00:39:14.856
<v Vivian Satterfield>Glad to be here today.

305
00:39:15.498 --> 00:39:17.362
<v Andrea Hamberg>I'm Andrea Hamburg, she/her.

306
00:39:17.682 --> 00:39:20.684
<v Andrea Hamberg>I'm the Environmental Health Services Director from Multnomah County.

307
00:39:21.601 --> 00:39:28.730
<v Andrea Hamberg>I'm here today on behalf of the Health Department to share our strong support for the climate and health standards being discussed today.

308
00:39:30.175 --> 00:39:32.905
<v Andrea Hamberg>At its core, climate change is a public health issue.

309
00:39:33.867 --> 00:39:41.735
<v Andrea Hamberg>Our buildings are our primary line of defense, and they play a critical role in keeping vulnerable residents safe during extreme weather.

310
00:39:43.052 --> 00:39:46.376
<v Andrea Hamberg>Safe buildings protect us from illness and premature death.

311
00:39:47.516 --> 00:40:02.364
<v Andrea Hamberg>Before 2021, dying from extreme heat was almost unheard of in our county, but since then we've seen a clear spike in heat-related ER visits, hospital stays, And we've lost beloved members of our families and our communities.

312
00:40:03.846 --> 00:40:15.827
<v Andrea Hamberg>During the 2021 heat dome, nearly 80% of those we lost were seniors, over 70% of whom lived alone, and 94% died in their own homes without sufficient air conditioning.

313
00:40:17.335 --> 00:40:22.179
<v Andrea Hamberg>These climate and health standards are a vital step to prevent that kind of heartbreak from happening again.

314
00:40:24.079 --> 00:40:31.481
<v Andrea Hamberg>Multnomah County's Climate and Justice— Climate Justice Plan is a 10-year roadmap to lower emissions and protect frontline communities.

315
00:40:32.637 --> 00:40:40.552
<v Andrea Hamberg>Strategy 5, which is supporting the health, well-being, and stability of households that rent, includes clear support for these standards.

316
00:40:41.644 --> 00:40:53.606
<v Andrea Hamberg>It was included as a result of input and feedback gathered during several years of community engagement with climate leaders and partners that serve environmental justice communities here in Multnomah County.

317
00:40:55.125 --> 00:41:12.603
<v Andrea Hamberg>Upgrading our buildings ensures renters have reliable cooling and clean air during heat waves and wildfire smoke events, and giving tenants clear information about cooling, ventilation, gas appliances, and energy costs empowers them to take actions to protect their health.

318
00:41:14.440 --> 00:41:22.637
<v Andrea Hamberg>Our role at the Health Department is to track health, health risks, stand up for impacted communities, and prevent illness before it starts.

319
00:41:23.458 --> 00:41:30.353
<v Andrea Hamberg>This ordinance opens up a great opportunity for the city and the county to work closely together on public health and climate.

320
00:41:32.130 --> 00:41:35.318
<v Andrea Hamberg>Looking ahead, these standards are a fantastic starting point.

321
00:41:36.228 --> 00:41:44.715
<v Andrea Hamberg>While gathering data on cooling is important, what really matters for health is whether a home maintains a safe temperature when it's dangerously hot outside.

322
00:41:45.623 --> 00:41:54.210
<v Andrea Hamberg>As this work moves forward, We strongly encourage the city to look at setting clear indoor temperature standards aimed directly at saving lives.

323
00:41:56.010 --> 00:42:00.646
<v Andrea Hamberg>Climate hazards don't care about city or county lines, and our response shouldn't either.

324
00:42:01.355 --> 00:42:09.467
<v Andrea Hamberg>We're excited to partner with you on implementation and keeping— and keep building the connection between climate policy, housing, and public health.

325
00:42:09.885 --> 00:42:10.192
<v Elana Pirtle-Guiney>Thank you.

326
00:42:11.882 --> 00:42:12.268
<v Queesha Light>Thank you.

327
00:42:15.775 --> 00:42:16.865
<v Tarren Evans>Good afternoon, councilors.

328
00:42:17.378 --> 00:42:18.597
<v Tarren Evans>My name is Tarren Evans.

329
00:42:18.724 --> 00:42:26.641
<v Tarren Evans>I'm the Environmental Justice Director at the Coalition of Communities of Color, and I'm here to talk about the work that went into developing the climate and health standards.

330
00:42:27.617 --> 00:42:33.739
<v Tarren Evans>These standards are a culmination of years of deep community engagement with the communities most impacted by climate change.

331
00:42:34.605 --> 00:42:46.885
<v Tarren Evans>In 2020, the Build Shift team was formed through a partnership between CCC and Verde bringing together community-based organizations and BIPOC community leaders to help shape what equitable building policy could look like in Portland.

332
00:42:48.152 --> 00:42:53.043
<v Tarren Evans>The process began with acknowledging past harms and working to build trust between the city and community.

333
00:42:54.085 --> 00:42:57.068
<v Tarren Evans>The process also began with values instead of technical policy.

334
00:42:57.838 --> 00:43:01.429
<v Tarren Evans>Community members shared about the values that they wanted the city to hold in the process.

335
00:43:02.166 --> 00:43:05.759
<v Tarren Evans>These values included things like justice, equity, health, and safety.

336
00:43:06.902 --> 00:43:10.914
<v Tarren Evans>From this foundation, we worked to develop a policy that was rooted in these elements.

337
00:43:12.500 --> 00:43:16.059
<v Tarren Evans>We also started in a way that was deeply connected to everyday experience.

338
00:43:17.202 --> 00:43:21.389
<v Tarren Evans>We started with building trust between community and government, but also by meeting people where they were.

339
00:43:22.280 --> 00:43:26.730
<v Tarren Evans>We didn't begin conversations talking about wonky terms like building decarbonization.

340
00:43:27.570 --> 00:43:33.467
<v Tarren Evans>We started by talking to community members about what buildings they loved, And what were the characteristics of those buildings?

341
00:43:34.548 --> 00:43:38.438
<v Tarren Evans>This helped us understand what people valued in the places where they live, work, and gather.

342
00:43:39.067 --> 00:43:42.481
<v Tarren Evans>People talked about buildings that felt safe, healthy, and comfortable.

343
00:43:44.201 --> 00:43:52.422
<v Tarren Evans>Shortly after this process began, the pandemic, devastating wildfires, and the 2021 heat dome all shaped the context for this work.

344
00:43:53.250 --> 00:43:56.947
<v Tarren Evans>These events made even clearer that climate, housing, and health are deeply connected.

345
00:43:58.068 --> 00:44:00.442
<v Tarren Evans>They also informed how we approached policy development.

346
00:44:01.211 --> 00:44:04.307
<v Tarren Evans>The work could not just be about technical standards or emissions reductions.

347
00:44:04.820 --> 00:44:15.905
<v Tarren Evans>It had to be about the conditions people were experiencing in real time— unhealthy air, extreme heat, high energy costs, housing instability, and the unequal impacts of climate change.

348
00:44:17.155 --> 00:44:19.786
<v Tarren Evans>One of our early community workshops was about energy burden.

349
00:44:20.621 --> 00:44:24.583
<v Tarren Evans>Energy burden is the percentage of your income that you spend on energy bills.

350
00:44:25.273 --> 00:44:32.869
<v Tarren Evans>We had community members bring their energy bills and use an energy burden calculator to determine the percentage of the income that went to their utility bills.

351
00:44:33.849 --> 00:44:37.927
<v Tarren Evans>We found that many community members had extremely high energy burden.

352
00:44:38.601 --> 00:44:45.554
<v Tarren Evans>We also heard about the tough choices that many community members face, such as choosing to pay energy bills or for medication and groceries.

353
00:44:46.534 --> 00:44:48.556
<v Tarren Evans>These are choices that people should never have to make.

354
00:44:49.746 --> 00:44:57.827
<v Tarren Evans>We had a community convening after the 2021 heat dome An event that clearly demonstrated the immediate impacts that climate change is already having on our communities.

355
00:44:59.125 --> 00:45:09.925
<v Tarren Evans>In addition to community members sharing stories of not having access to air conditioning, we also heard another story of community members who did have air conditioning but were afraid to use it because of the costs associated with using it.

356
00:45:11.143 --> 00:45:28.375
<v Tarren Evans>When buildings lack proper insulation and sealing, and when they are expensive to heat and cool, people can still be left in a position where they technically have access to cooling, but Something that was done throughout this process was to connect it to lived experience of community members.

357
00:45:29.130 --> 00:45:35.925
<v Tarren Evans>Too often, climate policy can be focused on technical aspects and emissions reductions without centering the people who are impacted.

358
00:45:36.826 --> 00:45:42.465
<v Tarren Evans>Community members raised issues around energy burden, health, indoor air quality, affordability, and displacement.

359
00:45:43.494 --> 00:45:46.016
<v Tarren Evans>Those issues became central to how the standards were developed.

360
00:45:46.063 --> 00:45:56.364
<v Tarren Evans>Councilmember They help shape a policy approach that is centered on making sure that renters have better information, that health risks are more visible, and that displacement pressures are addressed.

361
00:45:57.309 --> 00:46:04.737
<v Tarren Evans>From there, these standards provide a targeted path toward building decarbonization that meets the city's goal of getting to net-zero carbon emissions by 2050.

362
00:46:05.556 --> 00:46:13.047
<v Tarren Evans>They provide transparency for renters about utility costs and indoor air quality risks so they can make informed decisions about where to live.

363
00:46:14.025 --> 00:46:21.487
<v Tarren Evans>This process showed that when we begin with trust, values, and lived experience, we can develop climate policy that responds to what communities are actually facing.

364
00:46:22.199 --> 00:46:25.735
<v Tarren Evans>I urge the committee to support this work and move the climate and health standards forward.

365
00:46:25.927 --> 00:46:26.313
<v Tarren Evans>Thank you.

366
00:46:29.125 --> 00:46:30.394
<v Sarah Wallach>Good afternoon, councilors.

367
00:46:31.070 --> 00:46:35.393
<v Sarah Wallach>My name is Sarah Wallach, and I am a climate justice advocate at Community Energy Project.

368
00:46:35.795 --> 00:46:43.570
<v Sarah Wallach>Community Energy Project partners with low-income communities on the front lines of climate change To create more resilient, efficient, and healthy homes.

369
00:46:44.099 --> 00:46:49.045
<v Sarah Wallach>CEP transforms homes, shares skills and community wisdom, and advocates for energy justice.

370
00:46:49.945 --> 00:46:58.583
<v Sarah Wallach>We believe that achieving climate justice requires accessible, sustainable energy solutions that deliver economic, health, and social benefits to those most impacted.

371
00:46:59.338 --> 00:47:09.840
<v Sarah Wallach>CEP recognizes through our clients that low-income families most often live in efficient housing, with renters often not having much autonomy over the systems in place Within their units.

372
00:47:10.416 --> 00:47:17.527
<v Sarah Wallach>By implementing a code like this, these families can benefit greatly from carbon emissions reductions and energy efficiency.

373
00:47:18.266 --> 00:47:23.996
<v Sarah Wallach>Here at Community Energy Project, we often work with renters in DIY-friendly educational workshops.

374
00:47:24.445 --> 00:47:26.757
<v Sarah Wallach>However, that is not a holistic solution.

375
00:47:27.335 --> 00:47:32.775
<v Sarah Wallach>Renters deserve to be able to have energy efficiency repairs and upgrades within their multifamily properties.

376
00:47:33.434 --> 00:47:37.077
<v Sarah Wallach>Through our combined education and home energy saving upgrades and repairs, Thank you.

377
00:47:37.525 --> 00:47:43.380
<v Sarah Wallach>Programs, we have seen the effects of what these upgrades mean to families and the significant savings and health impacts.

378
00:47:44.054 --> 00:47:53.230
<v Sarah Wallach>Our clients who have upgraded from gas furnaces to heat pumps and have had weatherization services performed have saved upwards of $1,000 annually.

379
00:47:53.887 --> 00:48:04.619
<v Sarah Wallach>Though this research was modeled off of single-family homes, it shows how electric and efficient cooling and heating systems can have an effect on energy burden as well as energy insecurity in general.

380
00:48:05.068 --> 00:48:12.393
<v Sarah Wallach>Such measures can also offer renters greater financial stability, better health outcomes, and improved comfort in their own homes.

381
00:48:13.148 --> 00:48:22.911
<v Sarah Wallach>We also want to note that gas appliances contribute to indoor air pollution, which is increasingly linked to asthma, respiratory illnesses, and other long-term health impacts.

382
00:48:23.231 --> 00:48:28.873
<v Sarah Wallach>For many families, especially those with young kids, this health risk adds an additional stressor to a household.

383
00:48:29.418 --> 00:48:34.114
<v Sarah Wallach>Implementing a code like this means that the health, safety, and livelihoods of our clients would increase.

384
00:48:34.788 --> 00:48:40.813
<v Sarah Wallach>We need to acknowledge also that energy costs have been going up from rising rate costs to the impacts of climate change.

385
00:48:41.181 --> 00:48:45.202
<v Sarah Wallach>We need to think about energy usage and how we make our homes more efficient.

386
00:48:45.907 --> 00:48:57.284
<v Sarah Wallach>This leaves low-income communities with the harsh reality of either having to consume too much electricity and having a bill they cannot afford, or making unsafe energy-limiting choices to save money.

387
00:48:57.333 --> 00:48:57.476
<v Sarah Wallach>Thank you.

388
00:48:58.010 --> 00:49:05.204
<v Sarah Wallach>We urge the councilors to support this policy as it helps ensure renters in Portland have access to safe, healthy, and efficient homes.

389
00:49:05.478 --> 00:49:05.802
<v Sarah Wallach>Thank you.

390
00:49:08.775 --> 00:49:09.626
<v Candace Avalos>Thank you so much.

391
00:49:10.686 --> 00:49:22.045
<v Candace Avalos>Um, before I bring up the next panel, I just wanted to note, because it's come up a couple of times, that one of the big parts of the HEART policy concept was the indoor temperature standards.

392
00:49:22.510 --> 00:49:26.759
<v Candace Avalos>We are not addressing that in this policy, but it is next on the policy list.

393
00:49:26.856 --> 00:49:30.655
<v Candace Avalos>So just so the public knows, that is absolutely of interest to my office.

394
00:49:30.864 --> 00:49:33.494
<v Candace Avalos>It's a component of the work that the community did.

395
00:49:33.831 --> 00:49:36.139
<v Candace Avalos>We're choosing this action to take.

396
00:49:36.541 --> 00:49:38.400
<v Candace Avalos>That action is far more complicated.

397
00:49:38.545 --> 00:49:45.264
<v Candace Avalos>And as somebody who worked at an organization when we were doing our right to cooling bills in the legislature, there's lots of other layers to that.

398
00:49:45.360 --> 00:49:47.606
<v Candace Avalos>But just want to name that because it is going to keep coming up.

399
00:49:47.686 --> 00:49:49.755
<v Candace Avalos>It is a genuine health concern.

400
00:49:50.188 --> 00:49:51.646
<v Candace Avalos>It's something I think the city should do.

401
00:49:51.710 --> 00:49:51.855
<v Candace Avalos>Thank you.

402
00:49:52.255 --> 00:49:57.965
<v Candace Avalos>And flagging for a community that, one, we want to talk about it, and two, if you have ideas, bring them on by.

403
00:49:59.248 --> 00:50:04.429
<v Candace Avalos>Lastly, I am very excited to welcome our national guest panelists who are joining us online.

404
00:50:04.878 --> 00:50:17.594
<v Candace Avalos>So we've got Rajiv, who is Director of Government and Utility Engagement for the Institute of Market Transformation, and Quinton, who is the Policy Director for Run on Climate and a former city council member of Cambridge, Massachusetts.

405
00:50:21.179 --> 00:50:21.422
<v Candace Avalos>Welcome.

406
00:50:21.681 --> 00:50:23.652
<v Candace Avalos>And whoever would like to kick us off, maybe Rajiv?

407
00:50:24.751 --> 00:50:27.030
<v Rajeev Ravalapati>Sure, I'm happy to.

408
00:50:27.193 --> 00:50:30.748
<v Rajeev Ravalapati>And I'm guessing— I normally don't— I'm no Cher.

409
00:50:30.927 --> 00:50:32.043
<v Rajeev Ravalapati>I don't just go by Rajiv.

410
00:50:32.108 --> 00:50:35.409
<v Rajeev Ravalapati>I'm guessing that was a nod to not messing up my last name.

411
00:50:35.523 --> 00:50:38.614
<v Rajeev Ravalapati>So my last name is Ravalapati, for the record.

412
00:50:39.460 --> 00:50:40.996
<v Rajeev Ravalapati>Thank you, Councilmember Avalos.

413
00:50:41.739 --> 00:50:43.195
<v Rajeev Ravalapati>I'll be brief with my comments.

414
00:50:44.739 --> 00:50:46.487
<v Rajeev Ravalapati>So thank you, Chair, members of the committee.

415
00:50:47.400 --> 00:50:48.811
<v Rajeev Ravalapati>My name is Rajeev Ravalapati.

416
00:50:50.045 --> 00:50:54.472
<v Rajeev Ravalapati>As the council member said, I'm with the Institute for Market Transformation, also known as IMT.

417
00:50:54.840 --> 00:50:58.561
<v Rajeev Ravalapati>I serve as our Director of Government and Utility Engagement.

418
00:50:58.768 --> 00:51:06.418
<v Rajeev Ravalapati>IMT is a national nonprofit, and we work with governments, building owners, community partners across the country to improve building performance.

419
00:51:06.882 --> 00:51:15.117
<v Rajeev Ravalapati>And we have previously advised and worked with the City of Portland, Bureau of Planning and Sustainability on their benchmarking ordinance and BPS.

420
00:51:15.728 --> 00:51:20.742
<v Rajeev Ravalapati>So the reason I am— have been asked to present today is to offer 3 perspectives.

421
00:51:21.240 --> 00:51:23.827
<v Rajeev Ravalapati>One, why building performance standards matter.

422
00:51:24.309 --> 00:51:26.527
<v Rajeev Ravalapati>2, What are we seeing nationally?

423
00:51:26.800 --> 00:51:30.302
<v Rajeev Ravalapati>And 3, how Portland's proposal compares with best practices.

424
00:51:31.235 --> 00:51:33.838
<v Rajeev Ravalapati>So first, why building performance standards?

425
00:51:35.219 --> 00:51:36.489
<v Rajeev Ravalapati>First off, climate commitments yes.

426
00:51:36.554 --> 00:51:36.795
<v Rajeev Ravalapati>Thank you.

427
00:51:36.858 --> 00:51:39.219
<v Rajeev Ravalapati>So, building performance standards need a practical strategy for existing buildings.

428
00:51:39.733 --> 00:51:42.911
<v Rajeev Ravalapati>Building codes primarily address new construction and renovations.

429
00:51:43.266 --> 00:51:44.806
<v Rajeev Ravalapati>Incentives help owners invest.

430
00:51:45.273 --> 00:51:47.248
<v Rajeev Ravalapati>Benchmarking makes energy use visible.

431
00:51:47.601 --> 00:51:52.900
<v Rajeev Ravalapati>Building performance standards add a clear expectation that existing buildings improve over time.

432
00:51:53.461 --> 00:52:01.858
<v Rajeev Ravalapati>That expectation helps, helps owners incorporate improvements into capital planning, equipment replacement, and everyday operations.

433
00:52:02.373 --> 00:52:08.666
<v Rajeev Ravalapati>The government establishes the outcomes and the timeline while owners identify solutions appropriate to their buildings.

434
00:52:09.583 --> 00:52:12.215
<v Rajeev Ravalapati>The public value extends beyond carbon reductions.

435
00:52:12.327 --> 00:52:17.273
<v Rajeev Ravalapati>Better building performance can reduce wasted energy and support comfort and affordability.

436
00:52:17.867 --> 00:52:23.824
<v Rajeev Ravalapati>Portland's approach also recognizes that building improvements should protect people who live in those buildings.

437
00:52:24.628 --> 00:52:27.967
<v Rajeev Ravalapati>Secondly, what is happening, happening nationally?

438
00:52:28.047 --> 00:52:30.070
<v Rajeev Ravalapati>One of the things that my organization tracks.

439
00:52:30.938 --> 00:52:33.570
<v Rajeev Ravalapati>Early implementation results are encouraging.

440
00:52:33.681 --> 00:52:40.471
<v Rajeev Ravalapati>The first vanguard of BPSs were only passed in the late 2010s, early 2020s.

441
00:52:40.583 --> 00:52:44.771
<v Rajeev Ravalapati>The first BPS that was passed was in 2018 by Washington, D.C.

442
00:52:45.414 --> 00:52:54.242
<v Rajeev Ravalapati>So from the early implementation results, they are encouraging, although we should distinguish reporting participation from actual performance improvements.

443
00:52:54.722 --> 00:53:14.766
<v Rajeev Ravalapati>So what I have to offer is New York City, the biggest market in the country, the biggest jurisdiction with a BPS, reported that approximately 93% of covered privately owned properties submitted their first Local Law 97 compliance reports, and Local Law 97 is their BPS program.

444
00:53:15.425 --> 00:53:22.331
<v Rajeev Ravalapati>That 93% demonstrates the participation at scale in a large, complex real estate market.

445
00:53:22.652 --> 00:53:27.657
<v Rajeev Ravalapati>It does not mean every building has completed the improvements needed for future targets, to be clear.

446
00:53:28.652 --> 00:53:32.197
<v Rajeev Ravalapati>Washington, D.C. provides evidence of actual energy improvements.

447
00:53:32.358 --> 00:53:47.936
<v Rajeev Ravalapati>A preliminary analysis of approximately 360 multifamily office and hotel buildings that initially fell below the standard found average energy intensity reductions of about 13% between 2019 and 2024.

448
00:53:48.402 --> 00:53:50.699
<v Rajeev Ravalapati>Adjusting for weather and operating conditions.

449
00:53:51.132 --> 00:53:57.121
<v Rajeev Ravalapati>That is meaningful progress before the compliance cycle even ends, though it's not a final compliance determination.

450
00:53:57.940 --> 00:54:00.525
<v Rajeev Ravalapati>Denver and Washington State offer another lesson.

451
00:54:00.750 --> 00:54:08.119
<v Rajeev Ravalapati>Jurisdictions can adapt timelines and compliance— compliance pathways to practical constraints while continuing implementation.

452
00:54:08.393 --> 00:54:13.177
<v Rajeev Ravalapati>Effective flexibility maintains clear obligations and measurable progress.

453
00:54:13.851 --> 00:54:16.929
<v Rajeev Ravalapati>And third, how does Portland's proposal compare?

454
00:54:17.778 --> 00:54:20.793
<v Rajeev Ravalapati>Several elements align well with sound policy design.

455
00:54:21.402 --> 00:54:29.818
<v Rajeev Ravalapati>I think the, the draft currently established a clear emissions trajectory through 2050, annual reporting and independent verification.

456
00:54:30.427 --> 00:54:34.434
<v Rajeev Ravalapati>Its aggregated utility data provisions address a fundamental prerequisite.

457
00:54:35.076 --> 00:54:40.125
<v Rajeev Ravalapati>Owners need whole building information without playing— placing unnecessary burdens on tenants.

458
00:54:41.023 --> 00:54:52.929
<v Rajeev Ravalapati>It also includes concrete displacement, anti-displacement protections, restrictions on passing compliance costs to residential tenants, and periodic review of tenant impacts and electric system capacity.

459
00:54:53.425 --> 00:54:56.503
<v Rajeev Ravalapati>Those are all important key parts of implementation.

460
00:54:57.833 --> 00:55:05.556
<v Rajeev Ravalapati>The last— the thing that I would like to end in is on suggestions for potential technical refinements or considerations.

461
00:55:05.844 --> 00:55:06.164
<v Rajeev Ravalapati>One.

462
00:55:07.306 --> 00:55:10.324
<v Rajeev Ravalapati>Make sure the requirements are actionable early.

463
00:55:10.518 --> 00:55:17.070
<v Rajeev Ravalapati>The draft uses a 2027 or 2028 baseline and evaluates first performance in the calendar year 2030.

464
00:55:17.664 --> 00:55:27.735
<v Rajeev Ravalapati>Publishing rules, implementing rules, emission calculation methods, and building-specific targets early enough for owners to plan, finance, and execute projects.

465
00:55:27.784 --> 00:55:32.248
<v Rajeev Ravalapati>So having that upfront clear criteria for the existing alternative baseline provision.

466
00:55:32.827 --> 00:55:37.706
<v Rajeev Ravalapati>Will recognize early investments and encourage early adoption, which is key for any BPS.

467
00:55:38.445 --> 00:55:42.329
<v Rajeev Ravalapati>Second, make flexibility available where it can deliver results.

468
00:55:42.538 --> 00:55:48.364
<v Rajeev Ravalapati>I think the draft already provides extensions and exemptions for documented constraints.

469
00:55:48.909 --> 00:55:57.833
<v Rajeev Ravalapati>It's just a matter of considering making the pathways available to other buildings with legitimate constraints, with enforceable milestones and a clear endpoint.

470
00:55:58.266 --> 00:56:02.742
<v Rajeev Ravalapati>A plan can accommodate equipment replacement cycles while keeping improvements moving.

471
00:56:03.335 --> 00:56:10.373
<v Rajeev Ravalapati>And third, this goes to any jurisdiction that IMT helps advise, funding implementation reliably.

472
00:56:10.885 --> 00:56:15.887
<v Rajeev Ravalapati>So directing pollution impact fees toward retrofit assistance is useful.

473
00:56:16.639 --> 00:56:21.353
<v Rajeev Ravalapati>It is notable to say that fee revenue depends on buildings falling short of their targets.

474
00:56:21.432 --> 00:56:27.989
<v Rajeev Ravalapati>So core staffing and owner support needs that kind of dependable funding, including before fees are collected.

475
00:56:28.085 --> 00:56:34.603
<v Rajeev Ravalapati>So the— also the 7% administrative cap, we do like that and recommend that.

476
00:56:34.748 --> 00:56:44.652
<v Rajeev Ravalapati>And as actual implementation needs happen, should the policy pass, it is good to gut-check that administrative cap while actual implementation proceeds.

477
00:56:44.797 --> 00:56:47.094
<v Rajeev Ravalapati>Again, if the policy proceeds as forward.

478
00:56:48.248 --> 00:56:54.735
<v Rajeev Ravalapati>Lastly, throughout implementation, coordinate with the State of Oregon's program so owners can reuse data and technical work where possible.

479
00:56:55.217 --> 00:56:57.836
<v Rajeev Ravalapati>So in closing, Portland has a strong foundation.

480
00:56:58.126 --> 00:57:10.355
<v Rajeev Ravalapati>It has clear requirements, accountable flexibility, and sustained support can turn this ordinance into a practical investment framework that improves buildings while also protecting housing stability.

481
00:57:10.856 --> 00:57:11.423
<v Rajeev Ravalapati>Thank you for your time.

482
00:57:14.778 --> 00:57:15.445
<v Candace Avalos>Thank you, Rajiv.

483
00:57:16.000 --> 00:57:16.585
<v Candace Avalos>Go ahead, Quinton.

484
00:57:18.657 --> 00:57:21.135
<v Quinton Zondervan>Thank you, Madam Chair, members of the committee.

485
00:57:22.777 --> 00:57:24.333
<v Quinton Zondervan>My name is Quentin Zondervan.

486
00:57:25.503 --> 00:57:40.952
<v Quinton Zondervan>As noted, I am the policy director at Run on Climate, and prior to that, I served 6 years on the Cambridge City Council in Massachusetts, where we often looked to Portland for some of our climate policies.

487
00:57:42.010 --> 00:57:50.425
<v Quinton Zondervan>And I'm happy to report that in Cambridge, we were able to adopt a building performance standard in 2023.

488
00:57:50.849 --> 00:57:54.324
<v Quinton Zondervan>When I was still on the council, where I led that effort.

489
00:57:56.099 --> 00:58:10.775
<v Quinton Zondervan>And I will note that initially the proposed ordinance was scheduling emissions to reach net zero by 2050 for all the covered properties.

490
00:58:12.103 --> 00:58:35.487
<v Quinton Zondervan>And myself and several of my colleagues at the time strongly advocated for a shorter timeline of 2035 for the biggest buildings because those buildings were contributing the majority of emissions, and we did not think it was a good idea to wait until 2050 for those buildings to reach zero.

491
00:58:36.675 --> 00:58:50.572
<v Quinton Zondervan>But in that process, we did encounter some opposition, primarily from the universities, Harvard and MIT, and also the very strong and successful biotech sector in Cambridge.

492
00:58:52.000 --> 00:59:08.559
<v Quinton Zondervan>And so that started a process of negotiation that took a couple of years to resolve, but ultimately we were successful in requiring the largest buildings, over 100,000 square feet, to reduce their emissions to zero by 2035.

493
00:59:09.793 --> 00:59:27.170
<v Quinton Zondervan>And the way we got there was through a lot of the flexibility that Rajiv was highlighting, which allows the building owners, the property owners, to achieve that goal in as flexible a way as possible.

494
00:59:28.083 --> 00:59:34.929
<v Quinton Zondervan>So we tried not to be overly prescriptive about how they got there, but made sure that they had to get there.

495
00:59:35.844 --> 01:00:01.108
<v Quinton Zondervan>So one mechanism that we included was a campus mechanism where they could combine several buildings to report their emissions reductions, and this allows them to flexibly work on their entire building portfolio rather than having to track and report on individual buildings' progress on achieving zero emissions.

496
01:00:02.635 --> 01:00:27.344
<v Quinton Zondervan>The other piece that we negotiated was to allow in a very limited way, very strictly approved carbon credits in a very limited way after 2035, so that primarily— and this was only available to the largest buildings, which again is primarily Harvard and MIT.

497
01:00:29.217 --> 01:00:49.744
<v Quinton Zondervan>This allowed them to offset their hardest-to-eliminate emissions for a, you know, reducing period of time after 2035, but ultimately they had to stop using those carbon credits by 2050 as well.

498
01:00:51.085 --> 01:00:54.945
<v Quinton Zondervan>So those are just a couple of examples of flexibility that we introduced.

499
01:00:55.356 --> 01:01:03.288
<v Quinton Zondervan>In, in the ordinance in Cambridge to work with our largest polluters in, in the city.

500
01:01:04.509 --> 01:01:10.032
<v Quinton Zondervan>And in Cambridge, over 80% of our emissions came from buildings.

501
01:01:10.128 --> 01:01:20.195
<v Quinton Zondervan>So this provision was really important to our goals of eliminating our climate change-inducing emissions.

502
01:01:20.260 --> 01:01:20.356
<v Quinton Zondervan>Thank you.

503
01:01:21.447 --> 01:01:31.594
<v Quinton Zondervan>And now at Run on Climate, we work to support policymakers like yourself across the country in passing similar policies.

504
01:01:31.643 --> 01:01:39.610
<v Quinton Zondervan>And what we find is that most cities are not able to achieve their climate goals without a building performance standard.

505
01:01:40.603 --> 01:01:46.695
<v Quinton Zondervan>And so you are already on the right path, and we strongly support your effort.

506
01:01:47.117 --> 01:01:51.436
<v Quinton Zondervan>And encourage you to move this legislation forward and to adopt it.

507
01:01:52.623 --> 01:01:55.056
<v Quinton Zondervan>And we stand at the ready to assist you.

508
01:01:56.822 --> 01:02:02.463
<v Quinton Zondervan>Unlike our colleagues at IMT, we are not technical building experts.

509
01:02:03.429 --> 01:02:10.336
<v Quinton Zondervan>We bring a network of policymakers across the country who have or are working on similar policies.

510
01:02:11.980 --> 01:02:33.373
<v Quinton Zondervan>And we bring that lived experience of having implemented these policies in different communities across the country so that you can compare notes and learn from some of the on-the-ground lessons that are being learned over time as these policies are being implemented.

511
01:02:34.958 --> 01:02:46.699
<v Quinton Zondervan>Cambridge adopted the policy in '23, and then the first compliance period for these largest buildings over 100,000 square feet began in January of this year, 2026.

512
01:02:47.952 --> 01:03:01.295
<v Quinton Zondervan>And currently, the staff expect the vast majority of the buildings to comply with the 2029 compliance period requirements, reduction requirements.

513
01:03:02.257 --> 01:03:05.710
<v Quinton Zondervan>So most of the buildings are already ahead of the game.

514
01:03:06.672 --> 01:03:15.704
<v Quinton Zondervan>Because they're already electrifying and making energy efficiency improvements, or in some cases they've already done so.

515
01:03:17.005 --> 01:03:24.800
<v Quinton Zondervan>And then the city staff has invested extensively in providing assistance and guidance.

516
01:03:25.684 --> 01:03:32.277
<v Quinton Zondervan>The ordinance requires the seating of an advisory committee, which has been established.

517
01:03:33.385 --> 01:03:48.619
<v Quinton Zondervan>That will also oversee exception or exemption requests and applications, as well as approving specific carbon credits that will be allowed to be used.

518
01:03:48.780 --> 01:03:58.686
<v Quinton Zondervan>And to demonstrate how stringent our criteria were, there are currently no carbon credits in existence that meet our criteria.

519
01:03:58.750 --> 01:04:04.789
<v Quinton Zondervan>So they would have to continue to improve those standards before they could use them.

520
01:04:06.360 --> 01:04:09.081
<v Quinton Zondervan>So those are some of the highlights from Cambridge.

521
01:04:09.146 --> 01:04:21.820
<v Quinton Zondervan>We're currently working with a number of jurisdictions across the country, including Watertown and Somerville in the Boston area, as well as Burlington, Vermont.

522
01:04:22.527 --> 01:04:24.780
<v Quinton Zondervan>We assisted Evanston, Illinois.

523
01:04:25.664 --> 01:04:29.693
<v Quinton Zondervan>Last year in adopting their Healthy Buildings Ordinance.

524
01:04:30.802 --> 01:04:49.635
<v Quinton Zondervan>And so we stand at the ready to assist you at no cost, and we're happy to answer any questions or connect you with anyone who can answer your questions, including stakeholders in the communities where these building performance standards have been successfully implemented.

525
01:04:50.715 --> 01:04:51.695
<v Quinton Zondervan>Thank you, Madam Chair.

526
01:04:54.539 --> 01:04:57.894
<v Candace Avalos>Thank you both so much for joining us, uh, virtually.

527
01:04:58.137 --> 01:05:00.536
<v Candace Avalos>We appreciate your time and expertise.

528
01:05:01.335 --> 01:05:03.072
<v Candace Avalos>Um, so that is all the panelists.

529
01:05:03.215 --> 01:05:05.289
<v Candace Avalos>I'll thank all of the panelists for joining us.

530
01:05:05.434 --> 01:05:16.699
<v Candace Avalos>And, um, ultimately, I think what I hope we hear in this is that, uh, there are lots of cities that are trying to tackle this problem and have made some great strides.

531
01:05:16.965 --> 01:05:24.070
<v Candace Avalos>And so I'm grateful to the perspective of our panelists to talk about how we can make those same moves here, uh, in Portland.

532
01:05:24.679 --> 01:05:32.827
<v Candace Avalos>So now we've got— and we're a little bit ahead of schedule, so we've got, um, about 40 minutes to discuss, ask questions.

533
01:05:33.644 --> 01:05:40.862
<v Candace Avalos>Um, I've got a bunch of questions I can ask to kick it off, but want to see where the committee's at, if you've got questions or comments.

534
01:05:41.197 --> 01:05:42.449
<v Candace Avalos>All right, Councilor Novick, kick us off.

535
01:05:42.867 --> 01:05:44.440
<v Steve Novick>Thank you, Madam Chair.

536
01:05:44.728 --> 01:05:50.621
<v Steve Novick>And I've got a bunch of questions, which, most of which probably should be postponed until 2 weeks from now.

537
01:05:50.750 --> 01:05:52.420
<v Steve Novick>So just shut me up when you think of SNF.

538
01:05:52.757 --> 01:05:52.981
<v Steve Novick>Hmm.

539
01:05:53.384 --> 01:06:06.277
<v Steve Novick>And I wanna begin by saying that I start off being heavily biased in favor of this proposal, partly frankly because my old friend Angus Duncan, who was the head of the Global Warming Commission, is on the Climate and Sustainability Commission.

540
01:06:06.324 --> 01:06:07.737
<v Steve Novick>And I called him up and he said, yeah, this is good.

541
01:06:08.878 --> 01:06:14.514
<v Steve Novick>Having said that, though, we're going to hear a lot of questions about, is this going to raise rents?

542
01:06:14.659 --> 01:06:17.806
<v Steve Novick>Is this going to further depress our commercial properties, et cetera, et cetera?

543
01:06:17.885 --> 01:06:21.434
<v Steve Novick>So I do think that we need to at least ask those questions.

544
01:06:21.483 --> 01:06:22.896
<v Steve Novick>I will give full disclosure.

545
01:06:23.248 --> 01:06:27.681
<v Steve Novick>I asked Multifamily Northwest what are some of the questions they would ask, and so they gave me some.

546
01:06:28.146 --> 01:06:31.438
<v Steve Novick>In some cases, the premise of their question might be totally wrong, and I'd be happy to hear that.

547
01:06:31.614 --> 01:06:33.027
<v Steve Novick>But so just with that.

548
01:06:33.172 --> 01:06:33.349
<v Steve Novick>Thank you.

549
01:06:34.648 --> 01:06:48.224
<v Steve Novick>With that in mind, one question is, I think that for 2030, we're sort of allowing the buildings to assume that PG&E and Pacificorp have met their decarbonization targets mandated by the state.

550
01:06:48.786 --> 01:06:54.882
<v Steve Novick>But it's my understanding that that's not true for the subsequent years, 2035, 2040, etc.

551
01:06:55.284 --> 01:06:57.146
<v Steve Novick>And I'm just wondering what the thought is there.

552
01:06:57.289 --> 01:07:09.809
<v Steve Novick>Is consideration given to saying, okay, you can always assume that PG&E and Pacificorp Vin, do you want to come start to address that?

553
01:07:09.809 --> 01:07:15.849
<v Candace Avalos>I'll note that I sent this same question over to Vin earlier today, and I'm expecting to get a full answer.

554
01:07:15.849 --> 01:07:19.530
<v Candace Avalos>So if you don't have one right now, that's okay, but know that it is a question in the pipeline.

555
01:07:19.530 --> 01:07:20.829
<v Candace Avalos>Go ahead.

556
01:07:20.829 --> 01:07:21.110
<v Candace Avalos>Sure.

557
01:07:21.110 --> 01:07:23.840
<v Vin Mason>Thank you, Councilor Novick, and it's an important question.

558
01:07:24.969 --> 01:07:31.489
<v Vin Mason>So for the clean energy targets at the state level, there has been some uncertainty in that we've seen more certainty over time that there are investments that are being made to meet those targets.

559
01:07:33.090 --> 01:07:33.449
<v Vin Mason>Yes.

560
01:07:33.449 --> 01:07:37.010
<v Vin Mason>We're seeing significant investments in renewable energy happening from both Pacific Power and PG.

561
01:07:37.010 --> 01:07:44.829
<v Vin Mason>They've reduced their emissions by approximately 30% from 2010-2012 baseline to 2024.

562
01:07:44.829 --> 01:07:45.920
<v Vin Mason>So we're seeing that progress.

563
01:07:46.389 --> 01:07:48.969
<v Vin Mason>Their clean energy plans indicate additional progress.

564
01:07:49.110 --> 01:08:00.469
<v Vin Mason>And at the same time, until the first deadline is reached in 2030, it's an 80% goal of reduction, there will always be a little bit of uncertainty until then.

565
01:08:00.489 --> 01:08:10.385
<v Vin Mason>And so to give To give property owners some reassurance, our staff proposal has assumed that there is a— the clean energy targets will be reached.

566
01:08:10.755 --> 01:08:15.471
<v Vin Mason>That makes 2030 essentially a procedural climate or procedural compliance year.

567
01:08:16.246 --> 01:08:26.382
<v Vin Mason>And as noted earlier, that's the engagement that would lead to the planning for investments to get to 2035.

568
01:08:26.430 --> 01:08:26.641
<v Vin Mason>Thank you.

569
01:08:27.217 --> 01:08:33.451
<v Vin Mason>Now, in 2035 and 2040, I think it's also some unknowns that are there.

570
01:08:33.547 --> 01:08:35.246
<v Candace Avalos>Okay.

571
01:08:35.358 --> 01:08:42.087
<v Steve Novick>I mean, I think that the question is, I mean, if we think PG&E and Pacificorp meet their targets for 2030, that's great.

572
01:08:42.185 --> 01:08:44.716
<v Steve Novick>That helps reduce emissions.

573
01:08:44.828 --> 01:09:03.220
<v Steve Novick>But if PG&E and Pacificorp don't meet their targets for 2035, 2040, et cetera, then I think we can assume that the The cost to the building owners of meeting these targets might be rather high compared to if PG&E and Pacifica do meet their targets.

574
01:09:03.270 --> 01:09:20.981
<v Steve Novick>So I'm just wondering, what's the argument against just saying we— and actually, I'm curious what other cities have done about this, because I think that other cities that also have their sort of like renewable portfolio standards thing, what's the argument against saying we're going to do the same thing in 2035 and 2040?

575
01:09:21.061 --> 01:09:21.288
<v Queesha Light>Yeah.

576
01:09:22.292 --> 01:09:34.492
<v Vin Mason>Well, I think one argument would be if it's just not technically feasible for the utilities to get to their 2035 and 2040 targets.

577
01:09:34.733 --> 01:09:40.966
<v Vin Mason>I don't think we're seeing that right now, but that would be one argument, is to wait and see if it's even technically feasible.

578
01:09:41.159 --> 01:09:52.162
<v Vin Mason>If it's not technically feasible, then a regulated credit mechanism could be considered, and that's what's used in a limited way in Boston, Massachusetts, as well as New York.

579
01:09:53.673 --> 01:09:58.113
<v Vin Mason>And it was referenced in the credits, the carbon credits by Cambridge as well.

580
01:09:58.771 --> 01:10:09.783
<v Vin Mason>So there is another route, but based on the current information that BPS has been tracking on the progress towards the clean energy targets, we don't think that option is necessary.

581
01:10:11.300 --> 01:10:13.371
<v Candace Avalos>Councilor, it looks like Quentin might want to answer your question.

582
01:10:13.418 --> 01:10:14.454
<v Steve Novick>Yeah, thank you, Quentin.

583
01:10:14.551 --> 01:10:14.795
<v Candace Avalos>Go ahead.

584
01:10:16.260 --> 01:10:16.983
<v Quinton Zondervan>Thank you, Madam Chair.

585
01:10:17.224 --> 01:10:26.328
<v Quinton Zondervan>Through you, yes, the, um, this issue did not come up in Cambridge in the sense that we didn't make any assumptions either way.

586
01:10:27.579 --> 01:10:39.559
<v Quinton Zondervan>Um, but the covered properties can, of course, include whatever the emissions are on the grid as part of their compliance.

587
01:10:39.671 --> 01:10:40.007
<v Quinton Zondervan>Thank you.

588
01:10:40.751 --> 01:11:04.479
<v Quinton Zondervan>And so I guess the broader assumption is that the utilities are going to achieve those goals, but the city did commit to, through its own community choice aggregation program, provide very low emission electricity to its basic service ratepayers.

589
01:11:05.595 --> 01:11:25.569
<v Quinton Zondervan>And so even if the utilities don't achieve those goals, this— the city's community choice aggregation program would allow the properties, at least through their electricity consumption, to receive credit for that low emissions electricity.

590
01:11:27.899 --> 01:11:28.287
<v Steve Novick>Thank you.

591
01:11:28.627 --> 01:11:31.599
<v Steve Novick>Um, actually, I'm going to move on to another question, if I may.

592
01:11:33.092 --> 01:11:41.166
<v Steve Novick>So one of the questions that Multifamily Northwest asked was something about what's going to be the impact on naturally occurring affordable housing.

593
01:11:41.439 --> 01:11:53.475
<v Steve Novick>And I'm not going to, you know, they're like raising the spectrum that if people who currently own, quote, naturally occurring affordable housing have to bear too much cost, they might sell out to private equity, et cetera, et cetera.

594
01:11:53.555 --> 01:11:58.306
<v Steve Novick>But I'm going to ask something more specific, which is, I mean, there's a guy named Joe Weston.

595
01:11:58.371 --> 01:11:58.435
<v Steve Novick>Yes.

596
01:11:58.837 --> 01:12:04.876
<v Steve Novick>Who for many years has owned properties where the rent is unusually low and they tend to be old buildings.

597
01:12:05.502 --> 01:12:11.992
<v Steve Novick>And I was— and he's actually, I think, transferring his buildings to some sort of foundation.

598
01:12:12.104 --> 01:12:24.006
<v Steve Novick>And I'm just curious, have we done outreach specifically to owners of private housing that is unusually affordable, sort of talk them through how they would comply with this?

599
01:12:26.543 --> 01:12:36.644
<v Vin Mason>Yeah, so we did extensive outreach at BPS from 2022 to 2024, including weekly building workgroup meetings that were for property owners.

600
01:12:37.413 --> 01:12:47.963
<v Vin Mason>So the outreach, I believe, did include Joe Weston invitation, but I think the representation was from Multifamily Northwest in those spaces for the private property owners.

601
01:12:49.359 --> 01:12:49.457
<v Sarah Radlett>Yeah.

602
01:12:50.082 --> 01:13:00.194
<v Steve Novick>But what did the— in the outreach, did you sort of like ask them to sort of game out what they think would be necessary to meet the 2030 targets, the 2035 targets, et cetera?

603
01:13:00.274 --> 01:13:11.894
<v Vin Mason>Through those engagement meetings that lasted over many months, we heard the concern about the potential impact on not just the property owners, but potential pass-through costs.

604
01:13:11.989 --> 01:13:12.310
<v Vin Mason>Right.

605
01:13:12.551 --> 01:13:21.902
<v Vin Mason>So as a result of that, we contracted Eco Northwest to really look at what would be the— especially for a first carbon performance standard, what would be the outcome.

606
01:13:22.798 --> 01:13:33.636
<v Vin Mason>And they confirmed what I think many of us know is that the rental market is a very complex system that has a lot of factors that are involved.

607
01:13:34.117 --> 01:13:41.506
<v Vin Mason>But at the scale of retrofits necessary to comply, they concluded no net impact on renters.

608
01:13:41.828 --> 01:13:42.809
<v Vin Mason>It's through pass-through.

609
01:13:44.689 --> 01:14:02.704
<v Vin Mason>And that is a conclusion that was very important to us because we were specifically concerned about naturally occurring affordable housing because of our previous engagement with Build Shift and how they might be impacted.

610
01:14:02.979 --> 01:14:17.052
<v Vin Mason>But some of those other factors are just the ability to pay, for instance, for the but didn't Eco Northwest just focus on 2030 rather than 2035, 2040, etc.?

611
01:14:17.922 --> 01:14:18.485
<v Vin Mason>That's a good point.

612
01:14:18.567 --> 01:14:30.207
<v Vin Mason>Yeah, so when we were looking at the carbon performance standards back then, we were looking at a, um, a very aggressive kind of timeline for adoption, and 2030 was a, a big year for a jump.

613
01:14:30.765 --> 01:14:41.827
<v Vin Mason>Uh, this is similar to what Seattle had adopted, and since then our conclusion is that that long compliance period, which also ECON Northwest points out, that's very important to prevent that pass-through.

614
01:14:43.470 --> 01:14:44.953
<v Vin Mason>The long compliance period is very important.

615
01:14:45.002 --> 01:14:53.756
<v Vin Mason>So now we're looking at, it would be more like a 2040 to 2045 timeline where multifamily properties would be impacted rather than a 2030 timeline.

616
01:14:54.179 --> 01:14:55.497
<v Quinton Zondervan>Okay, thank you.

617
01:14:56.636 --> 01:15:10.900
<v Steve Novick>Another issue that's been raised is What if you've got a property that's largely vacant and you have to use that, you know, the energy use as of now is the benchmark, and then a whole bunch of people, you know, move in and their energy use goes up?

618
01:15:10.981 --> 01:15:14.368
<v Steve Novick>How does the policy adjust for that, or does it?

619
01:15:15.186 --> 01:15:18.140
<v Vin Mason>These are all great questions for me, aren't they?

620
01:15:18.363 --> 01:15:26.164
<v Vin Mason>Yeah, so being familiar with that concern in 2022 while we're engaging folks, and it was yeah.

621
01:15:26.244 --> 01:15:28.829
<v Vin Mason>Deep in the pandemic too.

622
01:15:30.259 --> 01:15:33.213
<v Vin Mason>We explored that question in some detail.

623
01:15:33.614 --> 01:15:40.454
<v Vin Mason>And so as the staff proposal advanced, we really considered how do we address the vacancy?

624
01:15:40.520 --> 01:15:44.998
<v Vin Mason>And the key for these carbon performance standards is to set the right baseline.

625
01:15:45.673 --> 01:15:50.297
<v Vin Mason>So we explicitly state 2027 and 2028 as 2 options.

626
01:15:50.811 --> 01:15:55.354
<v Vin Mason>But then a property owner could ask for a different baseline.

627
01:15:55.546 --> 01:16:02.414
<v Vin Mason>For instance, if down the road they had a higher level of occupancy, that would be a very reasonable consideration.

628
01:16:03.088 --> 01:16:09.588
<v Vin Mason>The other thing we heard is that property owners more recently made investments, and so they wanted to get credit for those advancements.

629
01:16:10.310 --> 01:16:18.895
<v Vin Mason>In Portland, there's commercial buildings have been reporting for over 10 years, so they might have a year that says, well, Here's where we were before we made all these investments.

630
01:16:18.958 --> 01:16:19.824
<v Vin Mason>Can we get credit for that?

631
01:16:20.176 --> 01:16:21.859
<v Vin Mason>So that provides that option for them too.

632
01:16:22.502 --> 01:16:23.863
<v Steve Novick>Yeah, I was familiar with that.

633
01:16:23.944 --> 01:16:33.288
<v Steve Novick>One thing I worry about is if we have it be too individualized, we might need to like have lots of FTE in the city sort of looking at these individualized proposals.

634
01:16:33.465 --> 01:16:43.868
<v Steve Novick>So when I was talking to Angus about this issue of whether you require everybody to reduce by 20% a year, people start at different places.

635
01:16:43.963 --> 01:16:55.204
<v Steve Novick>He said that in some In some energy efficiency context, the sort of alternative to a percent reduction every X amount of time is to set sort of an efficiency target.

636
01:16:55.398 --> 01:17:03.622
<v Steve Novick>Say this is where the top third of buildings are, so everybody needs to meet that by X date, which I think might be easy.

637
01:17:03.750 --> 01:17:07.268
<v Steve Novick>I mean, off the top of my head, might be sort of easier to administer.

638
01:17:07.347 --> 01:17:14.204
<v Steve Novick>And we'd sort of be telling people, all right, if you've Done a— if you've done a bunch of work, then you should already be meeting that target.

639
01:17:14.253 --> 01:17:15.595
<v Steve Novick>But if you haven't, you at least have to do that.

640
01:17:17.577 --> 01:17:21.545
<v Steve Novick>Sort of like energy effi— you know, energy use per square foot or something.

641
01:17:21.592 --> 01:17:23.577
<v Steve Novick>It has to be down to a certain level.

642
01:17:25.444 --> 01:17:34.180
<v Steve Novick>Was there a consideration of sort of an option like that, um, instead of individualized target meetings, saying here's a target that everybody has to meet?

643
01:17:35.613 --> 01:17:38.430
<v Vin Mason>Yeah, uh, That's another approach to take.

644
01:17:38.494 --> 01:17:46.528
<v Vin Mason>Seattle takes that approach, and then the state of Oregon also takes that approach with their building energy performance standards.

645
01:17:46.820 --> 01:17:48.530
<v Vin Mason>Seattle has carbon performance standards.

646
01:17:50.664 --> 01:18:02.811
<v Vin Mason>In examining that approach, one of the key considerations was that if we set a target as they did, which is if there's a goal for, let's say, the whole multifamily sector to get to 20% reduction, then they say, here's where the target is.

647
01:18:02.859 --> 01:18:02.925
<v Vin Mason>Yeah.

648
01:18:03.353 --> 01:18:11.996
<v Vin Mason>But the challenge in that is in those first compliance years, this goes back to how we changed things so that 2030 wasn't the hardest year to be hit for naturally occurring affordable housing.

649
01:18:12.171 --> 01:18:16.171
<v Vin Mason>The poorest performing buildings have to make the biggest jump to get to that target.

650
01:18:16.605 --> 01:18:18.871
<v Vin Mason>And we really thought that didn't seem equitable.

651
01:18:18.935 --> 01:18:30.309
<v Vin Mason>And going back to the concerns that you mentioned earlier, that an unintended outcome that we wouldn't want to see is for folks to feel like, or property owners to feel like that they would have to move on from their buildings.

652
01:18:33.625 --> 01:18:34.931
<v Steve Novick>Okay, thank you.

653
01:18:35.011 --> 01:18:40.400
<v Steve Novick>I also just have to note that we've heard about 3 jurisdictions where I've lived: DC, New York, and Cambridge.

654
01:18:40.722 --> 01:18:43.274
<v Steve Novick>So that was kind of like homey.

655
01:18:43.698 --> 01:18:44.137
<v Steve Novick>Thank you.

656
01:18:45.180 --> 01:18:45.603
<v Steve Novick>Great.

657
01:18:45.668 --> 01:18:48.240
<v Candace Avalos>Well, let's do it like those 3 cities.

658
01:18:50.270 --> 01:18:51.485
<v Candace Avalos>Go ahead, Councilor Pirtle-Guiney.

659
01:18:53.024 --> 01:18:57.609
<v Elana Pirtle-Guiney>Thank you, Chair, and thank you, Councilor Novick, for many of those questions.

660
01:18:59.989 --> 01:19:01.386
<v Elana Pirtle-Guiney>I have a couple of questions.

661
01:19:01.435 --> 01:19:04.115
<v Elana Pirtle-Guiney>If I run too long, Chair, let me know.

662
01:19:04.983 --> 01:19:18.487
<v Elana Pirtle-Guiney>I want to start with just understanding the differences between what was in the work that the Bureau was doing previously and what is in the proposal that is now under discussion.

663
01:19:18.551 --> 01:19:24.219
<v Elana Pirtle-Guiney>I know we're saving specific conversation about that proposal for when it comes forward in a few weeks.

664
01:19:24.652 --> 01:19:37.487
<v Elana Pirtle-Guiney>But we heard presentations on both today, and I'd like to make sure that I'm properly thinking about what we have before us now and what has changed from what was before us previously and why those changes were made.

665
01:19:38.353 --> 01:19:40.743
<v Candace Avalos>I can start to answer that, and then you can speak more to the history.

666
01:19:41.079 --> 01:19:47.979
<v Candace Avalos>I mean, in general, this is a proposal, the language, the work has been led not by my office.

667
01:19:48.395 --> 01:19:49.502
<v Candace Avalos>It's been led by BPS.

668
01:19:49.599 --> 01:19:50.529
<v Candace Avalos>It's been led by community.

669
01:19:50.641 --> 01:19:55.667
<v Candace Avalos>So the changes that we've made, you know, they've been working on it since 2022.

670
01:19:56.485 --> 01:20:06.697
<v Candace Avalos>Like they said, there was a moment where they took a pause, did the pilot, uh, commissioned the Eco Northwest study, um, and there were changes that of course happened from that point.

671
01:20:07.082 --> 01:20:10.565
<v Candace Avalos>And that came— and those changes were made prior to coming to me, right?

672
01:20:10.631 --> 01:20:14.595
<v Candace Avalos>So I'm coming in at the tail end as far as the actual language.

673
01:20:15.109 --> 01:20:26.172
<v Candace Avalos>And then coming in with the workshop with me and the other engagement that I was doing, there were some changes that have been made most recently, some of the ones that I've shared with council, um, from concerns that have been coming in recently.

674
01:20:26.590 --> 01:20:30.283
<v Candace Avalos>But for the most part, the changes have not been made by my office.

675
01:20:30.380 --> 01:20:34.201
<v Candace Avalos>They've been made by BPS, and it's evolved over the course of that time.

676
01:20:34.328 --> 01:20:44.685
<v Elana Pirtle-Guiney>So I'm looking for specifics and understanding the policy that we will have before us compared to the policy that was last aired as BPS was doing this work previously.

677
01:20:47.860 --> 01:20:48.998
<v Elana Pirtle-Guiney>What, what is different now?

678
01:20:49.078 --> 01:20:51.291
<v Elana Pirtle-Guiney>Because I've heard that there are some significant differences.

679
01:20:51.707 --> 01:20:53.295
<v Andrea Durbin>This is Andrea Jacob for the record.

680
01:20:54.127 --> 01:21:03.248
<v Andrea Durbin>We have looked at the code that we left off with in November of 2025 to what is currently posted on the, uh, councilor's website.

681
01:21:03.360 --> 01:21:06.182
<v Andrea Durbin>So those are the 2 points that we looked at.

682
01:21:06.935 --> 01:21:14.243
<v Andrea Durbin>At a high level, we can say that, um, from our draft to this draft, uh, residential condos So those are no longer covered.

683
01:21:15.453 --> 01:21:23.920
<v Andrea Durbin>On the carbon performance standards piece, there's this bit about 2030 and the greenhouse, assuming that the utilities are going to meet their target.

684
01:21:24.096 --> 01:21:28.895
<v Andrea Durbin>That is a new piece that BPS did not make from our— in our draft.

685
01:21:30.409 --> 01:21:36.877
<v Andrea Durbin>There's a bit from— in the carbon performance standards around swimming pool heating at the requester parks.

686
01:21:36.957 --> 01:21:37.747
<v Andrea Durbin>We are excluding that.

687
01:21:37.796 --> 01:21:37.845
<v Andrea Durbin>Okay.

688
01:21:37.953 --> 01:21:39.422
<v Andrea Durbin>From the calculations.

689
01:21:41.539 --> 01:21:41.716
<v Andrea Durbin>Final—.

690
01:21:41.716 --> 01:21:43.975
<v Andrea Durbin>Or when I say we, Councilor's draft.

691
01:21:44.475 --> 01:22:01.256
<v Andrea Durbin>Councilor's draft also includes the idea that offsets and renewable natural gas and unregulated credit mechanisms, these other ways of meeting the goal, will not be considered in the final carbon performance standards.

692
01:22:02.648 --> 01:22:08.862
<v Elana Pirtle-Guiney>So those were— that flexibility was previously granted and is not granted That's my understanding.

693
01:22:08.926 --> 01:22:09.646
<v Queesha Light>Can you confirm that?

694
01:22:09.935 --> 01:22:10.256
<v Vin Mason>That's right.

695
01:22:10.336 --> 01:22:10.497
<v Vivian Satterfield>Okay.

696
01:22:11.618 --> 01:22:21.856
<v Andrea Durbin>There's a good bit in there around alternate compliance plans, and those are specifically addressing concerns by campus institutions that the Counselor's Office was responsive to.

697
01:22:22.850 --> 01:22:27.850
<v Andrea Durbin>So clarifying that, you know, just the definition of what a campus portfolio is.

698
01:22:28.426 --> 01:22:34.466
<v Andrea Durbin>It allows more— generally what those changes do, allow more flexibility for the campus institutions to comply.

699
01:22:35.493 --> 01:22:38.170
<v Andrea Durbin>There was a change in the carbon pollution impact fee.

700
01:22:38.538 --> 01:22:46.362
<v Andrea Durbin>BPS, if left to, you know, in our code, we did not get specific about a cost per metric ton.

701
01:22:47.194 --> 01:22:50.561
<v Andrea Durbin>This draft, the councilor's draft, does get more specific about that.

702
01:22:51.346 --> 01:23:00.948
<v Andrea Durbin>And then on the extensions and exemptions, all electric buildings in this, in the current draft, not the BPS draft, could seek an exemption.

703
01:23:01.926 --> 01:23:02.247
<v Andrea Durbin>Okay.

704
01:23:02.760 --> 01:23:08.047
<v Andrea Durbin>So that's a pretty high-level summary of what we see as the changes from when we left off.

705
01:23:08.737 --> 01:23:09.681
<v Elana Pirtle-Guiney>Great, that's really helpful.

706
01:23:09.730 --> 01:23:10.211
<v Elana Pirtle-Guiney>Thank you.

707
01:23:10.899 --> 01:23:15.546
<v Elana Pirtle-Guiney>Um, I think you all are probably the right people to answer my next question.

708
01:23:16.429 --> 01:23:19.537
<v Elana Pirtle-Guiney>I am trying to understand what zero means.

709
01:23:20.145 --> 01:23:29.220
<v Elana Pirtle-Guiney>So we have this standard where you reduce from baseline 20% every 5 years, which means that in 25 years we have to be at zero.

710
01:23:30.056 --> 01:23:39.774
<v Elana Pirtle-Guiney>And I heard in the presentation that ways to get there can include energy efficiency measures, onsite renewables, electrification, paid offsets.

711
01:23:42.802 --> 01:23:47.925
<v Elana Pirtle-Guiney>As we look at getting to zero, are all of those things going to be required?

712
01:23:48.150 --> 01:24:10.765
<v Elana Pirtle-Guiney>And what I'm thinking about is if a building owner electrifies and can guarantee that all of their electricity is renewable sources, either because of onsite renewables or the portfolio of our electrical utilities, do they need to do any of the energy efficiency upgrades that would help lower utility costs for renters?

713
01:24:12.689 --> 01:24:13.239
<v Elana Pirtle-Guiney>Do they?

714
01:24:13.920 --> 01:24:16.783
<v Elana Pirtle-Guiney>So let's, let's start with that, right, as an example.

715
01:24:16.864 --> 01:24:34.618
<v Elana Pirtle-Guiney>Similarly, if you do all of the energy efficiency upgrades, you have the tightest the tightest building possible in terms of your building shell and energy leakage, and you've done everything you can there, but you are still using natural gas.

716
01:24:35.167 --> 01:24:37.036
<v Elana Pirtle-Guiney>Is there any way for you to get to zero?

717
01:24:37.115 --> 01:24:47.310
<v Elana Pirtle-Guiney>Is there any way to get to zero with the use of natural gas, or is this a default electrification bill, though it's not being pitched that way?

718
01:24:48.367 --> 01:24:49.454
<v Elana Pirtle-Guiney>So that's 2 examples.

719
01:24:49.551 --> 01:24:49.649
<v Elana Pirtle-Guiney>Thank you.

720
01:24:49.912 --> 01:24:58.752
<v Elana Pirtle-Guiney>That I have talked about with folks, but I'm wondering what zero means and what we actually are requiring to get there.

721
01:25:00.524 --> 01:25:01.877
<v Vin Mason>Yeah, great questions, Councilor.

722
01:25:03.680 --> 01:25:10.680
<v Vin Mason>So I think I'll start with the second question first on energy efficiency if a building uses natural gas.

723
01:25:11.467 --> 01:25:25.475
<v Vin Mason>So to get to zero, natural gas served buildings would have to not use fossil fuels because you can't get to zero carbon emissions with fossil fuels, with one exception, which would be carbon capture and storage.

724
01:25:26.101 --> 01:25:29.619
<v Vin Mason>That's a technology that is under development.

725
01:25:30.536 --> 01:25:32.479
<v Vin Mason>It seems like it's constantly emerging, though.

726
01:25:32.784 --> 01:25:35.644
<v Vin Mason>And so that is a possibility.

727
01:25:35.980 --> 01:25:40.479
<v Elana Pirtle-Guiney>But that would be allowed under the proposal that we're going to be seeing in a few weeks?

728
01:25:40.735 --> 01:25:44.479
<v Vin Mason>It's not specific right now in the proposal because it hasn't emerged.

729
01:25:45.712 --> 01:25:50.670
<v Vin Mason>But that would be one of the ways that a natural gas served building could get to zero.

730
01:25:54.090 --> 01:25:54.606
<v Vin Mason>Yes.

731
01:25:54.783 --> 01:25:56.756
<v Vin Mason>And did I answer all of your question, or is there more?

732
01:25:56.804 --> 01:25:58.969
<v Elana Pirtle-Guiney>I think that's— that was the second example I gave.

733
01:25:59.033 --> 01:26:22.984
<v Elana Pirtle-Guiney>The first was if you fully electrify and you can guarantee that it's all renewable, renewable sources, would you have to do any energy efficiency Or could we have a leaky building with incredibly high utility costs for renters, but because it's all onsite solar or whatever it is that you're using as your renewable source, you actually don't have to do anything else?

734
01:26:23.047 --> 01:26:23.994
<v Elana Pirtle-Guiney>You're already at zero.

735
01:26:25.198 --> 01:26:26.273
<v Vin Mason>Yeah, and that, that is correct.

736
01:26:26.337 --> 01:26:30.444
<v Vin Mason>So this is a zero carbon performance standard by 2050.

737
01:26:30.588 --> 01:26:34.038
<v Vin Mason>And so any type of electrification to get there would be included.

738
01:26:34.744 --> 01:26:41.127
<v Vin Mason>With that said though, to reach the early targets, energy efficiency would be the wiser way to make an investment.

739
01:26:41.694 --> 01:26:50.878
<v Vin Mason>And what we've seen in the other cities that have adopted these kinds of policies is to have navigators to help property owners make good decisions for their investments.

740
01:26:55.454 --> 01:27:04.296
<v Vin Mason>There was one other thing I was thinking of too that— oh, and also I wanted to point out that this policy is really complementary with the state's policy.

741
01:27:04.345 --> 01:27:04.475
<v Vin Mason>Okay.

742
01:27:05.073 --> 01:27:10.099
<v Vin Mason>I mentioned before, the state only gets us to a 5% carbon emissions reduction.

743
01:27:10.211 --> 01:27:11.784
<v Vin Mason>The goal to zero is 100%.

744
01:27:12.860 --> 01:27:15.798
<v Vin Mason>But that is an energy efficiency policy.

745
01:27:16.393 --> 01:27:21.418
<v Vin Mason>So we have the state's energy efficiency for the least performing buildings to get it to average.

746
01:27:22.077 --> 01:27:24.149
<v Vin Mason>That would be addressing much of that piece.

747
01:27:24.324 --> 01:27:29.238
<v Vin Mason>And by doing so, those property owners would gain reductions in carbon emissions too.

748
01:27:30.347 --> 01:27:32.273
<v Vin Mason>And finally, that there are funding sources.

749
01:27:32.694 --> 01:27:38.338
<v Vin Mason>And so that navigator that I mentioned earlier would be connecting funding sources for property owners.

750
01:27:38.435 --> 01:27:42.238
<v Vin Mason>There's a stack of incentives, and it's not just PSIF, I'm happy to say.

751
01:27:43.208 --> 01:27:59.451
<v Vin Mason>There is the Oregon Housing Community Services Multifamily Energy Program that has a substantial amount of funding, and there are existing programs at the Energy Trust of Oregon that can provide incentives to really improve efficiency.

752
01:27:59.806 --> 01:28:00.179
<v Elana Pirtle-Guiney>Certainly.

753
01:28:02.798 --> 01:28:10.170
<v Elana Pirtle-Guiney>Changing gears for a minute in my question here, in the pilot program that we have run, were the—.

754
01:28:10.170 --> 01:28:14.030
<v Candace Avalos>Can I just pause you real quick just because I see one of the other panelists.

755
01:28:14.224 --> 01:28:17.006
<v Candace Avalos>Quinton, did you want to reply to Councilor Pirtle-Guiney's question?

756
01:28:18.109 --> 01:28:19.640
<v Quinton Zondervan>Yes, thank you, Madam Chair.

757
01:28:19.707 --> 01:28:32.460
<v Quinton Zondervan>Through you, just wanted to weigh in on the question about an all-electric building that is receiving all of its energy from electricity, from renewable electricity.

758
01:28:33.838 --> 01:28:41.805
<v Quinton Zondervan>And at least in, in Cambridge, that would be considered a zero-emissions building.

759
01:28:42.606 --> 01:28:42.846
<v Quinton Zondervan>Mm-hmm.

760
01:28:43.136 --> 01:29:07.726
<v Quinton Zondervan>But we have not ever seen anyone attempt to convert an extremely poor-performing building in terms of energy efficiency to 100% renewable without improving the efficiency, because that would be economically not advantageous.

761
01:29:07.840 --> 01:29:27.166
<v Quinton Zondervan>Because if you're wasting a lot of energy, then your payback period on renewable Energy is much longer, and so there's a built-in incentive to improve the efficiency as you switch your energy source to renewable electricity.

762
01:29:28.539 --> 01:29:28.863
<v Elana Pirtle-Guiney>Thank you.

763
01:29:33.119 --> 01:29:38.649
<v Elana Pirtle-Guiney>In the pilot that we've been conducting, do you know the age of the buildings?

764
01:29:38.988 --> 01:29:47.634
<v Elana Pirtle-Guiney>And I am wondering if these are are predominantly, obviously not new, but newer buildings or predominantly significantly older buildings.

765
01:29:47.811 --> 01:30:15.409
<v Elana Pirtle-Guiney>And if there's anything that we need to be aware of in terms of how that pilot will, how the results of that pilot will transfer to buildings across the city, if they were all a similar age or a similar type of build, where we might need to think about how other types of buildings yeah, that's a great question too.

766
01:30:15.409 --> 01:30:23.180
<v Vin Mason>And there's a wide range of ages of buildings and the renters that are served.

767
01:30:23.210 --> 01:30:27.470
<v Vin Mason>So one of the buildings is naturally occurring affordable housing, another one's regulated affordable housing.

768
01:30:28.670 --> 01:30:35.300
<v Vin Mason>Others are at market rate across the kind of income spectrum, from our understanding.

769
01:30:35.300 --> 01:30:35.479
<v Quinton Zondervan>And so I think that's a really important question.

770
01:30:35.479 --> 01:30:35.520
<v Unidentified speaker>Thank you.

771
01:30:35.916 --> 01:30:37.585
<v Vin Mason>And there's various ages.

772
01:30:37.858 --> 01:30:49.136
<v Vin Mason>And one thing I think is really interesting, when we have that commercial energy reporting data in hand in our first year, we heard repeatedly concerns about like, what about the older buildings because they'll be poor performing?

773
01:30:49.713 --> 01:30:53.900
<v Vin Mason>And then the city actually discloses that information on a map as the incentive to do better.

774
01:30:54.768 --> 01:30:56.917
<v Vin Mason>And won't this be shaming these older buildings?

775
01:30:57.591 --> 01:31:06.003
<v Vin Mason>And what's fascinating when we have the data, and this is pretty consistent across the US, The highest performing buildings are before we started conditioning them in the 1940s.

776
01:31:06.666 --> 01:31:17.435
<v Vin Mason>So when we look at, like, when we have modern building energy codes since 2010, the performance of those modern buildings is very similar to those from 1880 through 1920s.

777
01:31:17.564 --> 01:31:19.744
<v Elana Pirtle-Guiney>It's the buildings in the middle that we have problems with.

778
01:31:20.140 --> 01:31:22.128
<v Vin Mason>Yeah, especially if they're air-cooled.

779
01:31:25.416 --> 01:31:36.350
<v Elana Pirtle-Guiney>I would love, as we move forward with these discussions to just learn a little bit more about the pilot and what we learned through those buildings to help us understand how this program will work moving forward.

780
01:31:38.576 --> 01:31:42.182
<v Elana Pirtle-Guiney>Um, I have a question about institutions.

781
01:31:42.359 --> 01:32:07.734
<v Elana Pirtle-Guiney>Do we know very much— and maybe our panelists online could help with this— do we know very much about how institutions were treated in other major cities and what what allowances were needed for our large healthcare and education settings to be a part of this program in a way that works for those types of campuses?

782
01:32:11.706 --> 01:32:14.006
<v Vin Mason>I could share something, but Quentin, do you want to share the—.

783
01:32:14.296 --> 01:32:16.645
<v Elana Pirtle-Guiney>Yeah, Mr. Sondervan, did you have something there?

784
01:32:18.060 --> 01:32:20.104
<v Quinton Zondervan>Yeah, certainly happy to speak to that.

785
01:32:21.229 --> 01:32:38.024
<v Quinton Zondervan>As I mentioned in my remarks, there was initial opposition from Harvard and MIT, who own a lot of property in Cambridge, when we pulled in the deadline for the largest buildings to be 2035.

786
01:32:39.422 --> 01:32:43.810
<v Quinton Zondervan>And that took about 2 years to have that conversation with them.

787
01:32:44.909 --> 01:33:00.168
<v Quinton Zondervan>But ultimately, we were able to land on a policy that that they were happy with, and that included a lot of flexibility mechanisms, including, as I mentioned, carbon credits, the campus designation.

788
01:33:01.002 --> 01:33:15.969
<v Quinton Zondervan>We also designed a deferral mechanism where they could essentially— so we, we did include an alternative compliance fee of $234 a ton.

789
01:33:17.365 --> 01:33:28.171
<v Quinton Zondervan>And so in theory, they would owe that amount at the end of the compliance period if they didn't meet the designated targets.

790
01:33:28.846 --> 01:33:40.536
<v Quinton Zondervan>But through this deferral mechanism, they could receive a deferral on paying those fees in exchange for presenting a plan that has to be approved by the advisory council.

791
01:33:40.648 --> 01:33:40.777
<v Quinton Zondervan>Thank you.

792
01:33:41.918 --> 01:33:57.128
<v Quinton Zondervan>And that plan would allow them to say in 3 years or 4 years, we're going to make these major upgrades and we calculate that it will reduce our emissions beyond what will be required at that point.

793
01:33:58.259 --> 01:34:09.256
<v Quinton Zondervan>And if they meet those, you know, sort of prospective emissions reductions, then They don't have to pay those fees.

794
01:34:10.076 --> 01:34:20.302
<v Quinton Zondervan>But if they fail to meet those reductions, then they have to pay the fee plus a 10% penalty for not meeting those reductions.

795
01:34:21.234 --> 01:34:21.458
<v Quinton Zondervan>Yes.

796
01:34:21.555 --> 01:34:26.917
<v Quinton Zondervan>And they really like those provisions because it allows them to plan ahead several years.

797
01:34:27.978 --> 01:34:43.122
<v Quinton Zondervan>And even though they don't meet the requirements in the compliance year, They can defer the payment of those fees and catch up in, in a few years if the city approves their plan.

798
01:34:44.212 --> 01:34:58.565
<v Elana Pirtle-Guiney>So it sounds like there was essentially an alternate track for those institutions with the ability to do things on a timeline that is more in line with the institutional planning that's required in spaces like that.

799
01:34:58.645 --> 01:34:59.095
<v Elana Pirtle-Guiney>Is that correct?

800
01:35:00.636 --> 01:35:04.507
<v Quinton Zondervan>Yeah, those provisions are not specific to those institutions.

801
01:35:05.456 --> 01:35:16.891
<v Quinton Zondervan>So, you know, theoretically anyone could take advantage of that provision, but they were particularly interested in those provisions because they do that type of long-term planning.

802
01:35:17.485 --> 01:35:18.402
<v Elana Pirtle-Guiney>Okay, that's great.

803
01:35:18.466 --> 01:35:22.239
<v Elana Pirtle-Guiney>That would be something that I think would be interesting to learn more about.

804
01:35:22.320 --> 01:35:22.641
<v Elana Pirtle-Guiney>Thank you.

805
01:35:23.911 --> 01:35:26.753
<v Elana Pirtle-Guiney>Mr. Revillapati, did you have something to add as well?

806
01:35:26.818 --> 01:35:29.323
<v Elana Pirtle-Guiney>And I apologize if I I mispronounced your name there.

807
01:35:30.109 --> 01:35:31.088
<v Rajeev Ravalapati>That's quite all right.

808
01:35:31.234 --> 01:35:32.679
<v Rajeev Ravalapati>Kudos to you for getting it on the first try.

809
01:35:33.225 --> 01:35:44.431
<v Rajeev Ravalapati>Um, what I was going to say, Councilmember, in regards to follow-up on Quentin's response, I, I believe I heard you ask like, um, how are hospitals or institutional buildings complying with BPS?

810
01:35:44.545 --> 01:35:49.667
<v Rajeev Ravalapati>How have other jurisdictions with a BPS assuaged their concerns?

811
01:35:50.083 --> 01:35:54.594
<v Rajeev Ravalapati>Um, okay, a couple remarks I would have to that is broad strokes.

812
01:35:54.978 --> 01:35:59.657
<v Rajeev Ravalapati>So typically other jurisdictions address those concerns mainly through tailored compliance plans.

813
01:36:00.202 --> 01:36:07.301
<v Rajeev Ravalapati>So really, we're offering greater flexibility within the bucket that is alternative compliance pathways.

814
01:36:07.412 --> 01:36:19.238
<v Rajeev Ravalapati>Basically, an alternative compliance pathway is just an alternate to meeting the actual performance pathway or the performance target, and how ACPs are defined can be— can vary by the jurisdiction.

815
01:36:20.537 --> 01:36:26.935
<v Rajeev Ravalapati>Also, jurisdictions have addressed these concerns by campus-wide accounting and specific allowances for critical operations.

816
01:36:26.984 --> 01:36:34.199
<v Rajeev Ravalapati>So I guess 2 locations that I would cite as examples would be Seattle and Boston.

817
01:36:34.279 --> 01:36:51.042
<v Rajeev Ravalapati>So in Seattle, how hospitals and institutions can comply is that district campuses can submit what they call customized decarbonization plans, and they're meant to deliver cumulative Emissions reductions equal or greater than the standard pathway.

818
01:36:51.572 --> 01:36:59.390
<v Rajeev Ravalapati>And then eligible deductions include emergency generators, hospital emergency backup heat, or things like hospital laundry.

819
01:37:00.001 --> 01:37:15.158
<v Rajeev Ravalapati>And the way that approach addressed their concerns, um, was that it accommodates central plans— central plants, I'm sorry— and phased capital projects while distinguishing those critical energy uses from ordinary building loads.

820
01:37:15.222 --> 01:37:26.639
<v Rajeev Ravalapati>So essentially, Seattle also held focused hospital and laboratory and campus rulemaking meetings after they passed the policy and they moved towards the regulatory development.

821
01:37:26.912 --> 01:37:33.864
<v Rajeev Ravalapati>They had additional stakeholder meetings, uh, and focused groups with hospitals, labs, and campuses.

822
01:37:34.282 --> 01:37:40.957
<v Rajeev Ravalapati>Um, and then specific to Boston, um, same owner buildings can comprise a portfolio.

823
01:37:41.903 --> 01:37:53.510
<v Rajeev Ravalapati>Owners may apply for like individual schedules, but there's also specific hardship plans and criteria that Boston has in place that addresses eligible technical or financial constraints.

824
01:37:53.557 --> 01:38:03.208
<v Rajeev Ravalapati>So for Boston, they're allowing institutions to sequence investments across buildings and then seek like individual reviewed adjustments.

825
01:38:04.167 --> 01:38:05.587
<v Elana Pirtle-Guiney>Okay, that's really helpful.

826
01:38:05.796 --> 01:38:20.836
<v Elana Pirtle-Guiney>I think the allowances for, I think you said it was emergency operations or major operations, those backup systems is a really interesting thing to hear about.

827
01:38:21.886 --> 01:38:22.823
<v Elana Pirtle-Guiney>I really appreciate that.

828
01:38:23.341 --> 01:38:38.180
<v Rajeev Ravalapati>Yeah, the last thing I'll say about Boston is, and Quentin recognizes this given he used to be adjacent to Boston, But as we know, like Boston, Cambridge, Somerville, all, you know, Boston, the Boston area has a very strong healthcare district.

829
01:38:38.323 --> 01:38:42.837
<v Rajeev Ravalapati>And so Boston created a healthcare district energy working group.

830
01:38:43.126 --> 01:39:05.176
<v Rajeev Ravalapati>It's no longer active, but that working group was influential during the rulemaking process to help assuage some of those longer, those longer-term concerns that hospitals and So that is also— I think rulemaking is— stakeholder engagement is inherent to the next step after adoption, which is rulemaking.

831
01:39:05.609 --> 01:39:23.389
<v Rajeev Ravalapati>And that's another opportunity where the jurisdiction can consider, like, a broad stakeholder engagement plan coupled with more narrowed working groups on specific property types who are going to have these more unique circumstances in order to meet the HART standards or the CHS standards, I should say.

832
01:39:24.591 --> 01:39:24.846
<v Elana Pirtle-Guiney>Thank you.

833
01:39:24.926 --> 01:39:25.744
<v Elana Pirtle-Guiney>That's really helpful.

834
01:39:25.792 --> 01:39:37.398
<v Elana Pirtle-Guiney>And it sounds, in a few things that you have said and that others have said as well, like that stakeholder engagement and making sure we figure out how this can actually work and be implementable in different industries will be really important.

835
01:39:37.445 --> 01:40:05.052
<v Elana Pirtle-Guiney>I'll also note that there's testimony submitted, or I guess not testimony, but a document submitted from the Office of Sustainability in the City of Seattle that notes that they ended up getting unanimous support in part because of a lot of groundwork that was done trying to figure out how to make the standards meet the needs of sustainability goals while also working for a variety of stakeholders.

836
01:40:05.101 --> 01:40:14.618
<v Elana Pirtle-Guiney>So I'm taking note that that's an important part of the work that we will certainly need to continue to do as we move forward with figuring out the best way to do this in our city.

837
01:40:15.925 --> 01:40:16.636
<v Elana Pirtle-Guiney>Thank you all.

838
01:40:16.716 --> 01:40:17.833
<v Elana Pirtle-Guiney>I appreciate the answers.

839
01:40:17.930 --> 01:40:21.926
<v Elana Pirtle-Guiney>I have a few more questions written down, but I'll pause here to make sure we have time for others as well.

840
01:40:22.073 --> 01:40:22.493
<v Elana Pirtle-Guiney>Thank you, Chair.

841
01:40:27.176 --> 01:40:28.533
<v Mitch Green>Uh, thank you, Chair Avalos.

842
01:40:28.645 --> 01:40:31.033
<v Mitch Green>Thanks for, um, leading on this policy.

843
01:40:31.453 --> 01:40:36.442
<v Mitch Green>Um, I think it's critical for our, uh, you know, sort of putting a stake in the ground.

844
01:40:36.490 --> 01:40:38.033
<v Mitch Green>Is Portland a climate leader or not?

845
01:40:38.279 --> 01:40:39.676
<v Mitch Green>You know, so I think this is a big piece of it.

846
01:40:41.166 --> 01:40:43.838
<v Mitch Green>I think you touched on something a little earlier.

847
01:40:43.920 --> 01:40:59.809
<v Mitch Green>You mentioned the kind of eligibility for certain energy efficiency grants, and I wanted to tie that together a little bit because in an earlier conversation— make sure I'm tracking this correctly— so Eco Northwest did some analysis on net impact to tenants in what year?

848
01:41:01.744 --> 01:41:05.390
<v Vin Mason>The analysis started, I believe, at the beginning of 2024.

849
01:41:05.438 --> 01:41:08.744
<v Vin Mason>We might have engaged them in 2023, but it was completed in 2024.

850
01:41:09.895 --> 01:41:22.644
<v Mitch Green>Okay, and so then, so that's a relatively recent, um, so that net impact to tenants, did that consider, I mean, what we would refer to as like warm rent, so rent plus utilities, or is it just rent?

851
01:41:22.980 --> 01:41:23.752
<v Mitch Green>Rent plus utilities.

852
01:41:23.929 --> 01:41:34.109
<v Mitch Green>Right, and that's probably why they found that there's no net impact is because over the long haul you see that this lowers their net utility bills.

853
01:41:34.608 --> 01:41:43.693
<v Mitch Green>So if they're seeing some upward rent pressure from the cost of upgrading the building, that's offset by the reduction in the utility bills.

854
01:41:43.740 --> 01:41:45.198
<v Mitch Green>Is that the right way to think about it?

855
01:41:45.927 --> 01:41:46.300
<v Vin Mason>That is.

856
01:41:46.640 --> 01:41:52.132
<v Vin Mason>And there is a summary of their discussion specifically around naturally occurring affordable housing.

857
01:41:53.466 --> 01:42:15.483
<v Vin Mason>And to your point, the conclusion is that given this long compliance period, That owners would not readily recover their investments to comply, except in the case when it's well known by both the renter and the owner that utility bills have gone down.

858
01:42:15.742 --> 01:42:17.802
<v Vin Mason>And that goes back to what I was mentioning earlier, the ability to pay.

859
01:42:18.529 --> 01:42:26.510
<v Vin Mason>So if it's known that the tenant now has a heat pump that's saving them $50 a month, it's known by both parties, then that recovery of $50 a month could happen.

860
01:42:26.557 --> 01:42:26.752
<v Vin Mason>Thank you.

861
01:42:30.365 --> 01:42:30.511
<v Mitch Green>Okay.

862
01:42:31.882 --> 01:42:42.417
<v Mitch Green>And when they did this analysis, did they look at, like, how did they estimate sort of— and I'm sorry, I'm getting like super technical, but how do they estimate like utility bills?

863
01:42:44.119 --> 01:42:47.639
<v Vin Mason>Yeah, that's a great question, and it's a good technical question.

864
01:42:47.734 --> 01:43:04.875
<v Vin Mason>I don't have the exact answer for you at this time, but they worked with The cost estimator on the estimating the equipment costs for the reduction utility bills.

865
01:43:05.149 --> 01:43:12.787
<v Vin Mason>They also worked with ZGF in town, an architect, and they— I think maybe they provided that data to them.

866
01:43:13.567 --> 01:43:13.729
<v Mitch Green>Okay.

867
01:43:14.198 --> 01:43:14.944
<v Mitch Green>We can follow up.

868
01:43:15.091 --> 01:43:16.387
<v Mitch Green>Yeah, that'd be helpful.

869
01:43:18.115 --> 01:43:30.985
<v Mitch Green>In a previous life, I used to be a load forecaster for a large utility, and the way that it works is, generally speaking, the utility plans based upon the peakiness of their load over the course of a year.

870
01:43:31.979 --> 01:43:42.279
<v Mitch Green>And so if you have climate change happening, you have a situation where Portland households have to turn on the heat more often than they used to, or, or turn on the air conditioning more often than they used to.

871
01:43:43.225 --> 01:43:45.006
<v Mitch Green>That increases what's called heating degree days.

872
01:43:45.537 --> 01:43:47.252
<v Mitch Green>Which then drives your peaks up.

873
01:43:47.318 --> 01:44:05.158
<v Mitch Green>And so if you've got a situation where building a code standard or sort of a standard like this sort of creates a regulatory cap on overall emissions, that's going to reduce those heating degree days and cooling degree days, and that's going to flatten out your load forecast.

874
01:44:05.206 --> 01:44:10.628
<v Mitch Green>And so I do think— I don't know if that went into that analysis, but I think that's sort of bullish for the case.

875
01:44:12.291 --> 01:44:24.328
<v Mitch Green>And also, there's probably a feedback loop whereby utility bills themselves get lower because the utilities don't need to do as expensive upgrades that they might have otherwise had to do in the absence of this policy framework.

876
01:44:24.409 --> 01:44:33.793
<v Mitch Green>So I think that there's— if we're not capturing that full cost and benefit picture, then I think we might be understating the benefits to all parties from the study.

877
01:44:33.841 --> 01:44:37.484
<v Mitch Green>And so I'll look for any details that maybe exist in the record.

878
01:44:37.662 --> 01:44:38.939
<v Mitch Green>Maybe you can help me find those between—.

879
01:44:38.939 --> 01:44:39.005
<v Mitch Green>Yeah.

880
01:44:39.122 --> 01:44:46.731
<v Mitch Green>Before this comes to a vote, but I'd be curious in stitching all that together for the rest of our colleagues who are not on this committee.

881
01:44:47.534 --> 01:44:49.622
<v Vin Mason>Sure, that's a very good point.

882
01:44:49.783 --> 01:45:01.037
<v Vin Mason>And that is reminding me that it's not just the utility bill reductions because of higher efficient equipment, but also they looked at rates and assumed rate trends based on a certain timeframe in the 2020s.

883
01:45:01.744 --> 01:45:04.314
<v Mitch Green>Yeah, I think this is a—.

884
01:45:04.569 --> 01:45:04.682
<v Mitch Green>Yeah.

885
01:45:05.456 --> 01:45:09.180
<v Mitch Green>And then of course, you know, I'm looking at the CIP for PCF right now.

886
01:45:09.244 --> 01:45:14.594
<v Mitch Green>There's just a number of opportunities to apply for these grants, uh, to offset these costs as well.

887
01:45:14.643 --> 01:45:16.216
<v Mitch Green>So, um, and you already mentioned that.

888
01:45:16.265 --> 01:45:18.341
<v Mitch Green>So, um, I think that's all I have.

889
01:45:18.666 --> 01:45:20.774
<v Candace Avalos>Thanks.

890
01:45:24.436 --> 01:45:25.681
<v Elana Pirtle-Guiney>Hi, thank you for being here.

891
01:45:26.377 --> 01:45:29.949
<v Elana Pirtle-Guiney>Um, I have a question for our representative from the county.

892
01:45:30.645 --> 01:45:51.573
<v Elana Pirtle-Guiney>Andrea, if that's possible, because oftentimes on this dais we're thinking about city-county collaboration more in terms of homelessness response, and I'm wondering if you can speak at all to how we can do— how we can be better partners on climate issues and if there are gaps or opportunities you see.

893
01:45:52.295 --> 01:45:53.161
<v Andrea Hamberg>That's a great question.

894
01:45:53.818 --> 01:46:00.355
<v Andrea Hamberg>I don't have an immediate answer for you, but I'd love to connect with your your team and talk more about opportunities upcoming.

895
01:46:03.350 --> 01:46:03.815
<v Andrea Hamberg>Okay, to be brief.

896
01:46:05.435 --> 01:46:05.740
<v Quinton Zondervan>Great.

897
01:46:06.271 --> 01:46:10.881
<v Elana Pirtle-Guiney>And then I had a question, um, for Taryn, if that's okay.

898
01:46:11.025 --> 01:46:11.493
<v Elana Pirtle-Guiney>Is that okay, Taryn?

899
01:46:12.314 --> 01:46:18.329
<v Elana Pirtle-Guiney>Um, so I understand that, that you actually were part of the Build Shift Collective.

900
01:46:18.844 --> 01:46:19.052
<v Tarren Evans>Yes.

901
01:46:19.310 --> 01:46:33.877
<v Elana Pirtle-Guiney>That helped develop the climate and health standards for existing buildings And I'm wondering if you can speak a little bit to why it was important for community that the building performance standards were paired with tenant-focused policies in the proposal.

902
01:46:34.198 --> 01:46:35.515
<v Tarren Evans>Yeah, thank you for that question.

903
01:46:36.945 --> 01:46:42.875
<v Tarren Evans>So we, Build Shift, met over the course of, I believe it was like 2 or 3 years or so.

904
01:46:42.954 --> 01:47:00.552
<v Tarren Evans>We had a lot of conversations with the team as well as several larger community convenings And that was a concern that we repeatedly heard, that people, of course, like, wanted their housing to be healthier, more efficient, but they were concerned about potential displacement.

905
01:47:00.859 --> 01:47:09.603
<v Tarren Evans>And so that was something that we wanted to make sure was, you know, centered in this policy and that there were measures in there to mitigate potential displacement that could occur.

906
01:47:11.548 --> 01:47:11.908
<v Elana Pirtle-Guiney>Thank you.

907
01:47:12.543 --> 01:47:14.387
<v Elana Pirtle-Guiney>That's all that popped up for me for now.

908
01:47:15.497 --> 01:47:17.051
<v Candace Avalos>Councilor Novick.

909
01:47:17.340 --> 01:47:18.895
<v Steve Novick>Thank you, Madam Chair.

910
01:47:19.023 --> 01:47:21.475
<v Steve Novick>I think this question is for Ben and Andrea again.

911
01:47:22.390 --> 01:47:25.931
<v Steve Novick>There's something I forgot to ask, which I'm just intensely personally curious about.

912
01:47:27.134 --> 01:47:41.592
<v Steve Novick>I think your proposed carbon pollution impact fee is set at $380 per ton, and in my last job in this coalition of 120 lawyers from a bunch of different state AG's offices around the country, I was the social cost of carbon guy.

913
01:47:42.266 --> 01:47:51.502
<v Steve Novick>And the Obama administration, as you probably know, said that the cost that carbon imposes on the world is $50 per ton, which was obscenely low.

914
01:47:51.599 --> 01:47:53.975
<v Steve Novick>And then Trump tried to cut it to $7 a ton.

915
01:47:54.104 --> 01:48:03.773
<v Steve Novick>And then the Biden administration raised it to $190 a ton, which is better, but it still leaves out a lot of things they said they couldn't measure, like the cost of wildfires.

916
01:48:04.141 --> 01:48:06.872
<v Steve Novick>So I'm just curious how you got to the $380.

917
01:48:07.001 --> 01:48:08.109
<v Steve Novick>What factors do you look at?

918
01:48:09.979 --> 01:48:10.979
<v Andrea Durbin>Andrea Jacob, for the record.

919
01:48:11.045 --> 01:48:15.725
<v Andrea Durbin>Councilor, I'd like to defer to Chair Avalos since that number did not come from BPS.

920
01:48:15.984 --> 01:48:20.118
<v Andrea Durbin>Oh, well, the reference did.

921
01:48:20.506 --> 01:48:21.592
<v Andrea Durbin>The reference, not the number.

922
01:48:21.658 --> 01:48:24.365
<v Andrea Durbin>The 380 did not come from us, but if you want to speak to the—.

923
01:48:24.658 --> 01:48:42.724
<v Vin Mason>Yeah, so in the draft that we prepared based on the staff proposal, we looked at the social cost of carbon as one factor, but also other factors like but really importantly is, does this incentivize retrofits?

924
01:48:42.836 --> 01:48:45.582
<v Vin Mason>Is it high enough to incentivize reducing emissions?

925
01:48:45.648 --> 01:48:48.908
<v Vin Mason>Because the goal is not to raise revenue through fees.

926
01:48:49.021 --> 01:48:51.158
<v Vin Mason>The goal is really to get to zero carbon emissions.

927
01:48:51.737 --> 01:48:59.960
<v Vin Mason>So we shared an EPA resource that I believe all the other cities that have carbon performance standards also reference, or earlier drafts of it.

928
01:49:00.104 --> 01:49:03.716
<v Vin Mason>It's a 2023 EPA social cost of greenhouse gases.

929
01:49:03.765 --> 01:49:03.926
<v Quinton Zondervan>Thank you.

930
01:49:04.050 --> 01:49:04.162
<v Quinton Zondervan>Yes.

931
01:49:04.649 --> 01:49:19.490
<v Vin Mason>In there, Table 4.1.1, you can see a variety of scenarios from 2030 to 2050 and beyond for different discount rates and a cost of carbon associated with each one.

932
01:49:19.943 --> 01:49:24.654
<v Vin Mason>So we refer to that as a great resource for the councilor's consideration.

933
01:49:25.234 --> 01:49:36.787
<v Vin Mason>And then as we referred it, we also noted that these utility discount— or the discount rate is essentially, how much do you value doing something about climate now versus having to deal with it later?

934
01:49:36.948 --> 01:49:43.592
<v Vin Mason>And so the higher value within that table is addressing those concerns earlier rather than waiting till later.

935
01:49:44.090 --> 01:49:46.385
<v Steve Novick>Okay, that's music to my ears.

936
01:49:46.641 --> 01:49:53.559
<v Steve Novick>I mean, I think there's a strong argument for having no discount rate whatsoever because future generations matter as much as we do.

937
01:49:54.842 --> 01:49:59.520
<v Steve Novick>What the Biden administration did specifically was they dropped the discount rate from 3% to 2%.

938
01:50:01.583 --> 01:50:07.420
<v Steve Novick>Is what you're doing sort of reflect going below that and having it more like 1% or something like that?

939
01:50:07.581 --> 01:50:07.984
<v Vin Mason>Similar.

940
01:50:08.033 --> 01:50:20.967
<v Vin Mason>I mean, so we didn't select any specific value, but as we shared the reference, the reference does have a range of 1.5% to 2% to 2.5% and then has a social cost of carbon for each of those discount rates.

941
01:50:21.841 --> 01:50:29.158
<v Vin Mason>And I believe it's the Thank you.

942
01:50:29.854 --> 01:50:48.488
<v Steve Novick>By the way, just, uh, I have to let people know that using a 3% discount rate, which the Obama administration was using, and assuming the cost of human life is $10 million, which is what the US government currently says, under the Obama discount rate, um, an event causing the extinction of all human life 500 years from now would have been valued at $29 billion.

943
01:50:48.537 --> 01:50:48.828
<v Steve Novick>That's a lot of money.

944
01:50:49.500 --> 01:50:53.462
<v Steve Novick>Meaning it would be considered economically inefficient to spend $30 billion to prevent that.

945
01:50:53.835 --> 01:50:58.105
<v Steve Novick>And so that's the impact of these various— using different discount rates.

946
01:50:58.735 --> 01:50:59.010
<v Steve Novick>Thank you.

947
01:51:00.426 --> 01:51:04.934
<v Candace Avalos>Good to know we've got some of that expertise on council we can tap.

948
01:51:08.516 --> 01:51:11.439
<v Candace Avalos>Yeah, you guys can rattle off with that.

949
01:51:13.192 --> 01:51:13.711
<v Candace Avalos>Okay, great.

950
01:51:14.572 --> 01:51:16.372
<v Candace Avalos>I don't see any other folks in the queue.

951
01:51:16.519 --> 01:51:22.747
<v Candace Avalos>We've got about 6 more minutes if there are folks that I want to hop in, um, and I can also make a couple of quick comments.

952
01:51:23.372 --> 01:51:37.733
<v Candace Avalos>Um, yeah, ultimately I think where we're at is we, uh, did file the legislation at noon today so that it will be in on, um, during our October 20th meeting.

953
01:51:38.391 --> 01:51:51.295
<v Candace Avalos>Um, I have informed you all about certain changes that we have made in recent weeks due to some, um, I think the biggest areas around alternative compliance pathways were what we've been workshopping.

954
01:51:52.753 --> 01:51:57.163
<v Candace Avalos>And then ultimately, yeah, I'm looking forward to bringing that in 2 weeks.

955
01:51:57.404 --> 01:52:05.743
<v Candace Avalos>I think that what I'm— what I've heard of the conversation here, I guess I would just ask if councilors have further questions, come chat with me.

956
01:52:05.823 --> 01:52:11.274
<v Candace Avalos>If there are other concerns that might require a technical adjustment, I'm open to that.

957
01:52:11.354 --> 01:52:18.238
<v Candace Avalos>And that's that's obviously something we can do to bring it back on the 20th if we need to make any further amendments.

958
01:52:20.239 --> 01:52:31.853
<v Candace Avalos>I think that— and you kind of spoke to it, Councilor Novick— obviously there are lots of different questions that have come in that, you know, some of them are technical and some of them are policy differences that we're just not going to agree on.

959
01:52:32.673 --> 01:52:46.528
<v Candace Avalos>And so I'm thankful, though, to the partners that I've been working with, and I've been very transparent with them about where I'm at, where I thought there were technical issues and where there were policy disagreements, including wanting an exemption of higher education, to which I don't agree.

960
01:52:47.073 --> 01:52:54.225
<v Candace Avalos>And I've stated that pretty clearly, and I've shared my reasoning and have made a bunch of adjustments to address the concerns that have been brought.

961
01:52:55.028 --> 01:53:00.689
<v Candace Avalos>But I think those are the ongoing questions that we have as we continue this, and we'll bring it on the 20th.

962
01:53:01.458 --> 01:53:02.501
<v Candace Avalos>I see that I've got Rajiv.

963
01:53:02.564 --> 01:53:05.259
<v Candace Avalos>Did you want to make a comment on something I said?

964
01:53:06.698 --> 01:53:10.470
<v Rajeev Ravalapati>I did, Councilmember Avalos, and apologies if I'm butchering your last name.

965
01:53:11.260 --> 01:53:22.029
<v Rajeev Ravalapati>What I just wanted to say was your comment about— I think I heard you say like potential adjustments or refinements to the alternative compliance pathways in the ordinance.

966
01:53:22.498 --> 01:53:35.854
<v Rajeev Ravalapati>One thing I did not mention is with most BPSs, we have undertaken a federal project To standardize a framework for alternative compliance pathways.

967
01:53:36.511 --> 01:53:52.064
<v Rajeev Ravalapati>And should— this project is a specific nod to— for a building owner who has— who manages large portfolios across multiple jurisdictions that have to comply with a web of BPS requirements.

968
01:53:52.721 --> 01:53:56.685
<v Rajeev Ravalapati>Each BPS has a different ACP option.

969
01:53:56.765 --> 01:54:11.400
<v Rajeev Ravalapati>So To try and standardize that and make things easier to comply for the building owner as well as make it more administratively feasible for the jurisdiction, we've developed a model framework for ACPs as well as regulations.

970
01:54:11.448 --> 01:54:16.454
<v Rajeev Ravalapati>So this is more of like a direct nod to you and to Vin.

971
01:54:17.033 --> 01:54:24.878
<v Rajeev Ravalapati>If there is more guidance or updates or refinements to the ACPs, IMT is more than happy to provide additional technical expertise.

972
01:54:27.518 --> 01:54:36.729
<v Candace Avalos>Thank you so much for, uh, having your services available to us, and we definitely will be reaching out.

973
01:54:37.652 --> 01:54:39.125
<v Candace Avalos>Um, Councilor Pirtle-Guiney, last word.

974
01:54:39.773 --> 01:54:40.613
<v Elana Pirtle-Guiney>Yeah, thank you, Chair.

975
01:54:41.229 --> 01:54:45.407
<v Elana Pirtle-Guiney>It sounds like you are hoping to move this pretty quickly through committee.

976
01:54:46.171 --> 01:55:02.592
<v Elana Pirtle-Guiney>I know that you have had a lot of conversations, but for at least me, and I, I'm I'm assuming others at the dais, we're getting a lot of incoming from groups who are raising concerns, and we haven't been a part of that workshopping or those conversations.

977
01:55:02.640 --> 01:55:11.376
<v Elana Pirtle-Guiney>That hasn't been done in a public, in this sort of way, setting, though I know you invited people to your workshop with me.

978
01:55:12.820 --> 01:55:16.449
<v Elana Pirtle-Guiney>Are you planning to try to move this quickly that same day?

979
01:55:16.609 --> 01:55:16.755
<v Elana Pirtle-Guiney>Yes.

980
01:55:17.493 --> 01:55:20.908
<v Elana Pirtle-Guiney>Are you planning on this committee spending some time getting the details right?

981
01:55:21.646 --> 01:55:37.029
<v Elana Pirtle-Guiney>And are you going to share with us transparently where you have made policy decisions so that we as a group of 5 can make sure that we understand those policy decisions and have the opportunity to weigh in on them as we move this policy forward?

982
01:55:38.087 --> 01:55:43.990
<v Candace Avalos>Well, like any councilor who introduces legislation, of course, the goal is to share with you exactly the policy decisions.

983
01:55:44.038 --> 01:55:44.856
<v Candace Avalos>This is policymaking.

984
01:55:45.242 --> 01:55:46.717
<v Candace Avalos>So yes, I will plan to do that.

985
01:55:47.632 --> 01:55:50.296
<v Candace Avalos>As far as what the outcome will be, I have not determined one.

986
01:55:50.457 --> 01:55:51.787
<v Candace Avalos>It is scheduled for the 20th.

987
01:55:51.965 --> 01:55:54.435
<v Candace Avalos>It's moving through the legislative process like everything else does.

988
01:55:54.804 --> 01:55:59.072
<v Candace Avalos>If there are concerns that are raised that require a pause, I'd be welcome to that.

989
01:55:59.199 --> 01:56:04.863
<v Candace Avalos>I have not heard any that require me to pause, so I feel like I've addressed everything I needed to address.

990
01:56:04.960 --> 01:56:12.163
<v Candace Avalos>It's my policy, of course, but you all have your prerogative as councilors if you hear other concerns or you have questions or have proposed amendments.

991
01:56:12.596 --> 01:56:14.842
<v Candace Avalos>That is part of the legislative process that we all follow.

992
01:56:14.922 --> 01:56:18.115
<v Candace Avalos>So I don't see that being any different than what is already offered.

993
01:56:18.516 --> 01:56:22.543
<v Candace Avalos>So unless there's something specific different that you're looking for, that's the process I'm planning to take.

994
01:56:23.523 --> 01:56:27.998
<v Elana Pirtle-Guiney>I think I'm hoping to hear that we'll have time for that process in committee that day.

995
01:56:29.025 --> 01:56:30.180
<v Candace Avalos>Well, I guess it just depends.

996
01:56:30.244 --> 01:56:32.185
<v Candace Avalos>I don't know what people want to change, right?

997
01:56:32.250 --> 01:56:41.270
<v Candace Avalos>As far as I'm concerned, right, we have this meeting, we have— we've been engaging with stakeholders If there are things that you think require more time, I have not heard of those things, so I'm open to that.

998
01:56:41.543 --> 01:56:49.828
<v Candace Avalos>But I don't— I'm not going to give you a determination on what we're going to do on the 20th until I know if there are some kind of changes that are going to be astronomical that will require more time.

999
01:56:50.069 --> 01:56:52.654
<v Candace Avalos>So again, that is what the legislative process demands.

1000
01:56:52.719 --> 01:56:54.131
<v Candace Avalos>I don't think I'm doing anything differently.

1001
01:56:54.421 --> 01:56:57.680
<v Candace Avalos>If you're asking a request for more time, please reach out to my office.

1002
01:56:57.761 --> 01:56:59.703
<v Candace Avalos>I'd love to hear what things you think deserve more time.

1003
01:57:00.828 --> 01:57:01.806
<v Candace Avalos>Is that understood?

1004
01:57:04.314 --> 01:57:04.653
<v Candace Avalos>Great.

1005
01:57:04.765 --> 01:57:07.136
<v Candace Avalos>Okay, we're going to go ahead and take a break for 10 minutes.

1006
01:57:07.202 --> 01:57:07.782
<v Candace Avalos>It is 3:50.

1007
01:57:07.831 --> 01:57:08.588
<v Candace Avalos>I'll see you at 4.

1008
01:57:09.507 --> 01:57:10.282
<v Candace Avalos>Thank you.

1009
02:09:20.354 --> 02:09:28.235
<v Candace Avalos>All right.

1010
02:09:29.021 --> 02:09:34.155
<v Candace Avalos>We are going to return at 4:02, 4:03.

1011
02:09:35.423 --> 02:09:37.301
<v Candace Avalos>Diego, go ahead and please call item 2.

1012
02:09:38.167 --> 02:09:54.323
<v Unidentified speaker>Item 2, document number 2026-346, amend property tax exemption for low-income housing held by nonprofit organizations code to extend the sunset date, replace code chapter 3.101.

1013
02:09:54.420 --> 02:10:06.413
<v Candace Avalos>All right, so the Nonprofit Low-Income Housing Limited Tax Exemption provides a property tax exemption for low-income nonprofit housing providers that develop and preserve affordable housing units.

1014
02:10:06.798 --> 02:10:12.965
<v Candace Avalos>The city needs to update current code to align with state law in order to continue providing this property tax exemption.

1015
02:10:13.077 --> 02:10:16.867
<v Candace Avalos>So I will go ahead and hand it off to PHB staff to tell us more.

1016
02:10:21.144 --> 02:10:21.822
<v Candace Avalos>Take it away.

1017
02:10:23.113 --> 02:10:29.548
<v Queesha Light>One second, sorry, got my computer was about to die on me.

1018
02:10:35.342 --> 02:11:00.449
<v Queesha Light>Um, Okay, okay, maybe I can get it.

1019
02:11:01.305 --> 02:11:05.021
<v Queesha Light>There we go.

1020
02:11:05.345 --> 02:11:07.734
<v Queesha Light>Do you got it in there?

1021
02:11:08.453 --> 02:11:08.958
<v Queesha Light>Okay.

1022
02:11:19.569 --> 02:11:31.127
<v Queesha Light>Okay, wrong one.

1023
02:11:33.729 --> 02:11:38.609
<v Queesha Light>I did, I'm in there, I just need to Get it to come up here.

1024
02:11:38.755 --> 02:11:40.953
<v Candace Avalos>Are we having technical difficulties or what's going on?

1025
02:11:41.163 --> 02:11:46.369
<v Queesha Light>No, I just— computer was on the— I had to do everything all the way over.

1026
02:11:46.434 --> 02:11:49.945
<v Queesha Light>Sorry, because it was all shutting down.

1027
02:11:51.186 --> 02:11:51.573
<v Queesha Light>There we go.

1028
02:11:54.114 --> 02:11:56.529
<v Queesha Light>And let's get this in here.

1029
02:11:56.773 --> 02:11:58.962
<v Queesha Light>One second.

1030
02:11:59.463 --> 02:12:00.306
<v Queesha Light>Uh, there we are.

1031
02:12:06.920 --> 02:12:17.136
<v Queesha Light>Okay, now I know, like, um, okay, we'll get to—.

1032
02:12:17.168 --> 02:12:18.194
<v Queesha Light>We'll get through this.

1033
02:12:19.792 --> 02:12:22.652
<v Queesha Light>All right, good afternoon, Chair Avalos, Vice Chair Green.

1034
02:12:22.765 --> 02:12:23.824
<v Queesha Light>My name is Queesha Light.

1035
02:12:23.890 --> 02:12:33.756
<v Queesha Light>I'm the interim director of the Portland Housing Bureau, and today, um, as noted, we are We are here to talk with you about the nonprofit limited tax exemption, or NPLTE.

1036
02:12:34.970 --> 02:12:44.643
<v Queesha Light>We are bringing forward a rather simple request and change to essentially align with changes that were made in state code.

1037
02:12:45.786 --> 02:13:09.034
<v Queesha Light>And I just wanted to say that the NPLTE has been a very significant way and a significant incentive for our affordable housing providers to be able to provide housing and maintain their operating costs within certain limits that keep housing affordable.

1038
02:13:09.648 --> 02:13:17.975
<v Queesha Light>And Dori's going to walk you through just an overview of the program and the ask that we have in front of you today.

1039
02:13:18.203 --> 02:13:18.591
<v Queesha Light>Thank you.

1040
02:13:22.911 --> 02:13:23.493
<v Dori Hellier>Good afternoon.

1041
02:13:23.557 --> 02:13:33.067
<v Dori Hellier>My name is Dori Hellier, and I manage The development incentives programs with the Housing Bureau, including the Nonprofit Limited Tax Exemption Program.

1042
02:13:34.479 --> 02:13:49.069
<v Dori Hellier>The city first adopted the program in 1985, and the Housing Bureau administers the program for the City of Portland according to the state requirements, and that supports the operation, preservation, and development of affordable housing.

1043
02:13:49.583 --> 02:14:00.890
<v Dori Hellier>The program provides a property tax exemption including both the land and building values for Portland properties operated by eligible nonprofit low-income housing providers.

1044
02:14:01.644 --> 02:14:14.190
<v Dori Hellier>Only the portion of the property serving tenants earning up to 60% of median income at the time of move-in, or 80% of median income in subsequent years, are eligible for the exemption.

1045
02:14:15.184 --> 02:14:24.036
<v Dori Hellier>Mixed-income buildings may still be partially taxable, and commercial spaces spaces are generally not included in the exemption as well.

1046
02:14:24.747 --> 02:14:32.261
<v Dori Hellier>Um, the program allows the exemption of taxes for property being held for, um, future development of low-income housing as well.

1047
02:14:36.189 --> 02:14:47.063
<v Dori Hellier>The Nonprofit Limited Tax Exemption Program requires an annual certification from eligible nonprofits updating the property and individual units that are eligible for the program each year.

1048
02:14:47.310 --> 02:14:55.091
<v Dori Hellier>And the Housing Bureau reviews these submissions and works with Multnomah County to apply the exemptions to each property account annually.

1049
02:14:56.166 --> 02:15:03.914
<v Dori Hellier>The exemption remains available on an ongoing basis as long as the state, city, and county continue to approve the program.

1050
02:15:04.252 --> 02:15:15.447
<v Dori Hellier>And compared to other exemption programs like the multiple unit limited tax exemption, which is limited in state statute to 10 consecutive years, For the current tax year—.

1051
02:15:15.895 --> 02:15:18.460
<v Dori Hellier>Let me go on to the next one.

1052
02:15:18.701 --> 02:15:19.100
<v Dori Hellier>Okay.

1053
02:15:19.405 --> 02:15:20.190
<v Dori Hellier>Oh no, sorry.

1054
02:15:20.927 --> 02:15:29.966
<v Dori Hellier>For the, for the current tax year, um, 67 different nonprofit housing providers operating over 700 properties are benefiting from the exemption.

1055
02:15:30.719 --> 02:15:37.979
<v Dori Hellier>The exemption supports more than 17,000 rental homes of all types, from studio apartments to single-family homes.

1056
02:15:38.733 --> 02:15:47.201
<v Dori Hellier>The program benefits both Housing Bureau-funded projects as well as those projects not receiving funding from the city but are otherwise restricted.

1057
02:15:47.971 --> 02:16:00.956
<v Dori Hellier>Projects only regulated by the Housing Bureau and not operated by nonprofit housing providers, such as those taking part in the city's Inclusionary Housing Program, generally receive a property tax exemption through the 10-year multi-program instead.

1058
02:16:01.952 --> 02:16:09.244
<v Dori Hellier>Projects operated by Home Forward benefit from another property tax exemption program that is specifically for housing authorities.

1059
02:16:09.985 --> 02:16:17.784
<v Dori Hellier>And with that, still over 75% of the PHB-regulated projects benefit from the nonprofit limited tax exemption program.

1060
02:16:18.479 --> 02:16:23.765
<v Dori Hellier>The program is an essential component to keeping families and individuals in their homes.

1061
02:16:27.766 --> 02:16:37.719
<v Dori Hellier>So as mentioned before, the state extended the sunset for the nonprofit limited tax tax exemption program to July 1st, 2033 through House Bill 2077.

1062
02:16:38.378 --> 02:16:47.242
<v Dori Hellier>The program currently is approved in city code through January 1st, 2027, and continuing the approval of the program is vital.

1063
02:16:47.306 --> 02:16:55.558
<v Dori Hellier>Without it, existing low-income housing will be in jeopardy, and it will impact the financing of both preservation and new construction projects.

1064
02:16:57.887 --> 02:17:16.059
<v Dori Hellier>This code amendment allows the nonprofit limited tax exemption program to continue by referring directly to the sunset date in state statute rather than stating a specific date, and meaning that the program can continue seamlessly as long as it is approved at the state level.

1065
02:17:16.541 --> 02:17:24.718
<v Dori Hellier>The code change also clarifies the purpose, procedures, and implementation of the program, making it consistent with other tax tax exemption code sections.

1066
02:17:25.869 --> 02:17:41.861
<v Dori Hellier>The County Commission also needs to approve the continued administration of the program after council approval, and we are coming now because we are seeking to have these approvals in place before the expiration of the program.

1067
02:17:42.900 --> 02:17:50.988
<v Dori Hellier>Applications for this next tax year are due in early in the first quarter of 2027.

1068
02:17:54.081 --> 02:17:57.140
<v Dori Hellier>And that, uh, is our presentation.

1069
02:17:57.447 --> 02:17:58.575
<v Dori Hellier>We're happy to take questions.

1070
02:18:01.204 --> 02:18:01.478
<v Candace Avalos>Thank you.

1071
02:18:01.527 --> 02:18:03.122
<v Candace Avalos>I believe we have some public testimony.

1072
02:18:03.219 --> 02:18:06.507
<v Candace Avalos>Yes, so let's do that and then we'll come back and take questions.

1073
02:18:08.519 --> 02:18:10.640
<v Candace Avalos>Thank you.

1074
02:18:11.011 --> 02:18:13.326
<v Candace Avalos>Go ahead and, Diego, call up our testifiers.

1075
02:18:14.147 --> 02:18:22.207
<v Unidentified speaker>We have one individual signed up Neil Whitaker.

1076
02:18:26.436 --> 02:18:30.744
<v Neil Whitaker>Respected members of the council, the Housing Committee, my name is Neil Whitaker.

1077
02:18:32.739 --> 02:18:44.431
<v Neil Whitaker>I hope council saw the ProPublica article out about the financial ethics violation by the director of our state housing agency, because this is not what I'm bringing you today is not entirely unrelated to that.

1078
02:18:46.449 --> 02:18:55.572
<v Neil Whitaker>You do have a vote coming up on extending the NPLT an additional 6 years, but I think the information PHB has just provided is at least a bit inadequate for you to make an informed vote.

1079
02:18:57.227 --> 02:19:02.128
<v Neil Whitaker>PHB doesn't really show you that there, there are 2 distinctively different ways to qualify for this.

1080
02:19:02.242 --> 02:19:07.911
<v Neil Whitaker>So we have nonprofits qualifying, and then what they didn't mention was that we also have for-profit that qualify.

1081
02:19:09.102 --> 02:19:16.075
<v Neil Whitaker>And the data is unfortunately commingled, and I've been asking them for several months to separate out what the total dollar amount is for for-profits.

1082
02:19:16.122 --> 02:19:19.986
<v Neil Whitaker>So we have for-profit entities qualifying for a nonprofit property tax exemption.

1083
02:19:20.084 --> 02:19:20.852
<v Neil Whitaker>So how do they do that?

1084
02:19:22.299 --> 02:19:29.930
<v Neil Whitaker>This is— it's in letter and intent, it's for entities that operate entirely within the 501 nonprofit tax arena in order to get this tax break.

1085
02:19:30.028 --> 02:19:35.675
<v Neil Whitaker>So the city has kind of behind the scenes, they're giving it to a long list of nonprofits.

1086
02:19:35.725 --> 02:19:46.531
<v Neil Whitaker>I think you should have the number of the for-profit entities that are getting this tax break and the total dollar amount and see if you want to parse that or, or not, because it isn't really accurate.

1087
02:19:46.611 --> 02:19:49.915
<v Neil Whitaker>It's fine if you want to give it to all low-income providers, but that's not the name.

1088
02:19:50.139 --> 02:19:53.106
<v Neil Whitaker>It's, it's named nonprofit low-income.

1089
02:19:53.972 --> 02:20:00.130
<v Neil Whitaker>So these for-profit owners of low-income also get the entire long list of government funding sources and emergency bailouts as well.

1090
02:20:00.788 --> 02:20:04.058
<v Neil Whitaker>They don't have to operate within the wider 501-type restrictions.

1091
02:20:04.412 --> 02:20:09.411
<v Neil Whitaker>And that is unfair to nonprofits who have to line all that other stuff up to get the exemption.

1092
02:20:10.004 --> 02:20:13.352
<v Neil Whitaker>And we have a compounded problem with our 60% AMI rents.

1093
02:20:13.400 --> 02:20:16.204
<v Neil Whitaker>Our certified low-income rents are equal to market rate.

1094
02:20:16.670 --> 02:20:20.483
<v Neil Whitaker>So now we've also made this unfair to the for-profit providers.

1095
02:20:20.595 --> 02:20:24.009
<v Neil Whitaker>We've— I can't tell if you're coming or going with this tax policy.

1096
02:20:24.665 --> 02:20:33.450
<v Neil Whitaker>So if I was an owner of a market-rate complex in Portland right now who was already accidentally naturally providing certifiable low-income rents.

1097
02:20:33.563 --> 02:20:47.481
<v Neil Whitaker>I would just do what these essentially hedge funds are doing and tack on your tiny 501 at 1/200th of property ownership and get out of my $100,000 a year annual property taxes.

1098
02:20:47.868 --> 02:20:55.574
<v Neil Whitaker>So this is, to me, this looks really outdated, really flimsy, and deceptive to the public because I can't really tell who you're trying to benefit here.

1099
02:20:56.280 --> 02:21:05.382
<v Neil Whitaker>And I just think you should have the number of properties that are doing the token 501, the for-profits that are getting this, that number—.

1100
02:21:06.154 --> 02:21:06.811
<v Candace Avalos>Thank you.

1101
02:21:07.212 --> 02:21:08.641
<v Candace Avalos>You still have time.

1102
02:21:09.059 --> 02:21:10.102
<v Candace Avalos>You've got 30 seconds.

1103
02:21:10.247 --> 02:21:10.584
<v Neil Whitaker>What's that?

1104
02:21:10.808 --> 02:21:11.836
<v Candace Avalos>You still have 30 seconds.

1105
02:21:11.965 --> 02:21:19.334
<v Neil Whitaker>Oh, so you should separate out the for-profits because they didn't really mention that there's a way that for-profits qualify, and it's not the same.

1106
02:21:19.478 --> 02:21:22.770
<v Neil Whitaker>This isn't an equivalent journey to get this tax break.

1107
02:21:23.252 --> 02:21:24.279
<v Neil Whitaker>You just need 2 numbers.

1108
02:21:24.632 --> 02:21:30.397
<v Neil Whitaker>And then you can make an informed decision how many properties and the total dollar amount that the for-profits are getting.

1109
02:21:30.736 --> 02:21:32.620
<v Neil Whitaker>I've been asking them for that for 6 months.

1110
02:21:32.684 --> 02:21:34.531
<v Neil Whitaker>I don't know why that was such a difficult—.

1111
02:21:35.131 --> 02:21:35.332
<v Sarah Radlett>Thank you.

1112
02:21:38.310 --> 02:21:38.800
<v Quinton Zondervan>Thank you.

1113
02:21:40.190 --> 02:21:41.154
<v Unidentified speaker>That concludes testimony.

1114
02:21:42.495 --> 02:21:48.448
<v Candace Avalos>Okay, um, let's go ahead and bring Housing Bureau back up for questions and comments from committee.

1115
02:21:50.454 --> 02:21:55.331
<v Candace Avalos>Um, Maybe I'll start by saying, what is your reaction to that testimony?

1116
02:21:55.507 --> 02:22:02.783
<v Candace Avalos>Because sounds like there's a question here of, um, whether there's a loophole, and I'm curious your reaction.

1117
02:22:05.622 --> 02:22:25.186
<v Queesha Light>So the reality is what we have is— I think what Mr. Whitaker is getting to, the MPLTE application doesn't require, or, or that the code doesn't say that we regulate a certain percentage of partnership.

1118
02:22:26.075 --> 02:22:33.094
<v Queesha Light>It just says general partner, and the nonprofit has to be a general partner, and they have to operate the day-to-day responsibilities.

1119
02:22:33.686 --> 02:22:33.994
<v Queesha Light>That's it.

1120
02:22:34.915 --> 02:22:38.604
<v Queesha Light>It, it doesn't tell us to manage at a certain percentage level.

1121
02:22:40.676 --> 02:22:56.764
<v Queesha Light>Um, and so we I think his concern is that you could potentially have a for-profit and a nonprofit partner, and the non— you know, there's a small percentage that the nonprofit is a partnership.

1122
02:22:56.941 --> 02:23:03.431
<v Queesha Light>But that's not what we are required to regulate or, um, uh, I mean, or, or speak to in any way.

1123
02:23:03.591 --> 02:23:10.256
<v Queesha Light>That is, if they meet the requirements, they meet the eligibility, then they are entitled to the incentive.

1124
02:23:10.305 --> 02:23:10.449
<v Neil Whitaker>Thank you.

1125
02:23:11.477 --> 02:23:20.235
<v Queesha Light>And we have— and I would say the other thing is this: much affordable housing being built is being built because of partnerships.

1126
02:23:22.202 --> 02:23:30.277
<v Queesha Light>And so that incentive is there to continue to encourage those partnerships so that the affordable housing that we need gets built.

1127
02:23:32.506 --> 02:23:35.523
<v Queesha Light>But I'll let you know if there's anything else you want to add.

1128
02:23:36.332 --> 02:23:57.549
<v Dori Hellier>Sure, I, um, I could also add just that the limited partnership structure is a, um, construct of the Low-Income Housing Tax Credit, um, program and how the majority of nonprofit-sponsored affordable housing across the country, let alone locally, is funded.

1129
02:23:58.064 --> 02:24:10.201
<v Dori Hellier>And so those partnerships themselves are not something that I don't think that we are seeing being put together strictly for the purpose of evading guidelines for the tax exemption program.

1130
02:24:10.345 --> 02:24:24.578
<v Dori Hellier>There are layers and layers of legal requirements and lawyers and funders and others looking at all of those documents as projects are financed and brought to fruition.

1131
02:24:25.557 --> 02:24:46.405
<v Dori Hellier>We do evaluate all of the corporate articles for every single application that is submitted and ensure that there is indeed a connection by an eligible nonprofit organization to the, the project, as is shown through a limited partnership agreement as one example.

1132
02:24:48.913 --> 02:24:50.327
<v Queesha Light>And might I add just one more thing?

1133
02:24:50.602 --> 02:25:09.046
<v Queesha Light>I think if the nonprofit's role is substantive, and then that is they are doing the general day-to-day work And they are actually supporting, you know, low-income housing and residents, then the requirements for the exemption are met.

1134
02:25:10.443 --> 02:25:14.688
<v Queesha Light>And I think that is, you know, we need to actually have to look at those questions.

1135
02:25:14.879 --> 02:25:17.274
<v Queesha Light>That, that, that to me is the accountability question.

1136
02:25:20.038 --> 02:25:25.295
<v Candace Avalos>Okay, thanks for— I don't— I put you on the spot, but just figured let's get it out of the way and just see what's going on there.

1137
02:25:26.306 --> 02:25:27.291
<v Candace Avalos>Vice Chair Green.

1138
02:25:28.567 --> 02:25:29.036
<v Quinton Zondervan>Thank you.

1139
02:25:29.117 --> 02:25:33.673
<v Mitch Green>I was also getting in the queue to ask questions about this testimony that we heard.

1140
02:25:35.260 --> 02:25:41.370
<v Mitch Green>Just to go a little further, so ORS, I think it's 307—.

1141
02:25:41.709 --> 02:25:44.752
<v Dori Hellier>Well, it's 307.540.

1142
02:25:45.204 --> 02:25:45.529
<v Mitch Green>Thank you.

1143
02:25:46.662 --> 02:25:49.290
<v Mitch Green>That defines the state-level program, right?

1144
02:25:49.908 --> 02:25:50.137
<v Mitch Green>Yes.

1145
02:25:50.397 --> 02:25:53.237
<v Mitch Green>And it defines what what, you know, eligibility it looks like.

1146
02:25:53.799 --> 02:25:58.986
<v Mitch Green>But then we also have code that clarifies and creates the program at the local level.

1147
02:26:00.224 --> 02:26:16.218
<v Mitch Green>I guess the question I'm asking for is, are we bound by a certain interpretation by state law, or are we in city code saying, you know, a partnership is treated the same as a corporation, so on and so forth?

1148
02:26:16.281 --> 02:26:18.577
<v Mitch Green>And do we not have regulatory—.

1149
02:26:18.674 --> 02:26:18.834
<v Mitch Green>I'm sorry.

1150
02:26:18.948 --> 02:26:21.385
<v Mitch Green>Do you have any authority to go further and maybe address this question?

1151
02:26:24.675 --> 02:26:44.066
<v Dori Hellier>We do, in our code that we're proposing, refer back to the guidelines as they are required at the state level for consistency across all of the other funding sources and programs that also designate limited partnership agreements in that same way.

1152
02:26:44.688 --> 02:26:49.460
<v Dori Hellier>So as not to interfere with funding of new projects.

1153
02:26:51.485 --> 02:27:05.265
<v Dori Hellier>So legally, the question is we can always add more detail to our code if we can demonstrate what the need is and why we're doing that and what the context and what the outcomes would be.

1154
02:27:06.120 --> 02:27:07.111
<v Mitch Green>Yeah, that's helpful.

1155
02:27:08.203 --> 02:27:17.836
<v Mitch Green>Because I think for me, if the letter and intent of this is is to make sure that it's not for-profit firms that get a nonprofit tax exemption.

1156
02:27:19.434 --> 02:27:28.739
<v Mitch Green>Although I understand that if it's some nonprofit that manages the thing on a day-to-day basis and delivers the thing, but how do we know?

1157
02:27:31.200 --> 02:27:44.331
<v Mitch Green>Like, how do we know that just by having some sort of nonprofit in a portfolio So we're not skirting that and just providing a tax exemption for a for-profit entity?

1158
02:27:45.134 --> 02:27:46.129
<v Mitch Green>Do we have any way of verifying that?

1159
02:27:46.177 --> 02:28:03.525
<v Dori Hellier>I mean, we, we do know that in properties that we have direct financing in, that the— and we can assume through the limited partnership agreements that it's the same for other properties— that the nonprofit is the one responsible for repayment of the loan.

1160
02:28:04.297 --> 02:28:08.217
<v Dori Hellier>The nonprofit is the one that's on the hook for the operation of these properties.

1161
02:28:09.037 --> 02:28:26.775
<v Dori Hellier>With the limited partnership agreement through the Low-Income Housing Tax Credit program, the corporation or the entity that is the for-profit one is benefiting by getting the low— the, the federal tax benefits to put money into the project.

1162
02:28:27.450 --> 02:28:29.797
<v Dori Hellier>So that's the benefit that they're already receiving.

1163
02:28:29.861 --> 02:28:37.720
<v Dori Hellier>The actual property tax exemption is a applying to keeping the operation of that particular building in, in place.

1164
02:28:38.041 --> 02:28:48.545
<v Dori Hellier>And so that's the way that we're evaluating the benefit of the exemption directly, you know, being for the nonprofit agency providing the low-income housing.

1165
02:28:49.969 --> 02:28:50.195
<v Quinton Zondervan>Okay.

1166
02:28:53.513 --> 02:28:53.837
<v Sarah Radlett>Do we—.

1167
02:28:54.808 --> 02:29:02.237
<v Mitch Green>I guess my next question would be, do we have, do we have the data to parse Is that the thing that Mr. Whitaker has asked for us to parse?

1168
02:29:03.072 --> 02:29:12.632
<v Dori Hellier>We don't try— with over, you know, that many units and that many properties, when we do evaluate, we do evaluate each and every ownership entity.

1169
02:29:13.483 --> 02:29:23.814
<v Dori Hellier>But in our current tracking system, we don't designate beyond whether it's a limited partnership or an LLC or a property owned directly.

1170
02:29:24.327 --> 02:29:29.343
<v Dori Hellier>So we don't go to the percentage of ownership or that sort of thing.

1171
02:29:29.408 --> 02:29:31.542
<v Dori Hellier>We just don't have that within our current records.

1172
02:29:34.177 --> 02:29:41.648
<v Mitch Green>But you do have some level of understanding of what the partnerships look like?

1173
02:29:42.629 --> 02:29:43.403
<v Dori Hellier>We do look at those.

1174
02:29:43.579 --> 02:29:46.406
<v Dori Hellier>Staff does look at every single partnership agreement, yes.

1175
02:29:46.827 --> 02:29:49.057
<v Mitch Green>Well, we would be able to get that information?

1176
02:29:49.412 --> 02:29:57.646
<v Dori Hellier>We would have to go back through every single application and weed through the exact percentage of ownership for every single one.

1177
02:30:02.666 --> 02:30:03.055
<v Quinton Zondervan>Okay.

1178
02:30:04.024 --> 02:30:08.390
<v Mitch Green>And you don't— that's just not work that the bureau has done to date, is that what—.

1179
02:30:08.390 --> 02:30:09.781
<v Dori Hellier>It's not something we track.

1180
02:30:10.023 --> 02:30:23.426
<v Dori Hellier>Again, we do look at it with every single application that we evaluate, but it's not something that we then record in a spreadsheet somewhere to say exactly what the percentage of ownership is for each property or ownership entity.

1181
02:30:24.037 --> 02:30:29.576
<v Mitch Green>Okay, so that's— it's not processed data that could be furnished in a timely fashion?

1182
02:30:29.784 --> 02:30:33.671
<v Dori Hellier>Yeah, it's not a benchmark that's part of qualification for the program.

1183
02:30:33.751 --> 02:30:46.511
<v Dori Hellier>It's strictly that there is a legal connection in the way as described in statute for the nonprofit organization to be a qualified okay.

1184
02:30:50.691 --> 02:30:55.075
<v Mitch Green>Uh, Director Light, how long would it take to, to furnish that, to build that data?

1185
02:30:58.250 --> 02:31:11.979
<v Queesha Light>The capacity for the team to go back through that at this time, and actually I think that's, that's just, that's going to take some months given everything else that's happening right now.

1186
02:31:14.986 --> 02:31:47.809
<v Queesha Light>And I would really— I just want to make sure we're separating out what we're trying to do today to keep this exemption moving forward for those that need it to operate, and this question of, you know, do we need— of evaluating this issue, I think, are two— I just want to make sure we're separating those and keeping those very distinct because I think council can certainly legislate further around this issue, but to keep this exemption available to those that do need it to operate is, is really critical.

1187
02:31:49.280 --> 02:31:56.608
<v Queesha Light>So, um, for us to do that, like I said, that's, that's going to take some months for my team to go back through all the documents to do that.

1188
02:31:57.634 --> 02:31:58.230
<v Mitch Green>Okay, that's helpful.

1189
02:31:58.280 --> 02:32:06.710
<v Mitch Green>So, and you said earlier that this needs to be approved before the end of the year for folks to sort of go into the next tax year?

1190
02:32:07.626 --> 02:32:08.605
<v Queesha Light>Yeah.

1191
02:32:08.990 --> 02:32:14.995
<v Mitch Green>And there's nothing to prevent us from adopting code to regulate our forward-looking actions?

1192
02:32:15.591 --> 02:32:15.735
<v Queesha Light>No.

1193
02:32:15.992 --> 02:32:27.873
<v Queesha Light>I mean, that would be something, you know, of course we'd have city attorneys tell you exactly where we could go with that and vet it, but there's nothing that keeps council from looking at adopting other eligibility requirements.

1194
02:32:28.902 --> 02:32:49.904
<v Queesha Light>We would just ask that for today that that would be separated so we're not impacting those that do need it, because the reality is, um, they're— given the challenges that our affordable housing projects and units are facing right now, to take this away from some of them at a time when they're already struggling would not be a good thing.

1195
02:32:51.537 --> 02:32:53.429
<v Mitch Green>Okay, thank you for entertaining my questions.

1196
02:32:53.962 --> 02:32:54.448
<v Queesha Light>No, thank you.

1197
02:32:55.094 --> 02:32:55.838
<v Candace Avalos>Councilor Pirtle-Guiney.

1198
02:32:56.889 --> 02:32:57.381
<v Elana Pirtle-Guiney>Thank you, Chair.

1199
02:32:57.448 --> 02:33:05.027
<v Elana Pirtle-Guiney>I have 3 kind of separate questions, but I think I'll start with I'll start with the third because it goes down this path that Councilor Green was asking about.

1200
02:33:05.608 --> 02:33:28.204
<v Elana Pirtle-Guiney>I heard you say in your response to the gentleman who gave testimony and in your response to Councilor Green that the operating practice is generally that the nonprofit partner is the one who is running the property, running the building, and that the for-profit partners are investors in that property.

1201
02:33:28.865 --> 02:33:40.827
<v Elana Pirtle-Guiney>And I, I understand that if we were to ask for some sort of split in the future, right, a certain percent has to be owned by the nonprofit, that that could create challenges.

1202
02:33:40.941 --> 02:33:41.771
<v Elana Pirtle-Guiney>Where is that line?

1203
02:33:41.835 --> 02:33:42.745
<v Elana Pirtle-Guiney>What does that look like?

1204
02:33:45.834 --> 02:33:55.093
<v Elana Pirtle-Guiney>Would conceptually— and I'm not proposing this, and to be clear, I'm not proposing that we do this today, but it sounds like Councilor Green may walk down this path further in the future.

1205
02:33:58.088 --> 02:34:09.674
<v Elana Pirtle-Guiney>Would there be a challenge if we were to say that this program was available to housing where the primary operating partner is a nonprofit entity?

1206
02:34:11.824 --> 02:34:15.087
<v Elana Pirtle-Guiney>If we looked not at the dollars in, but at the roles.

1207
02:34:16.692 --> 02:34:19.834
<v Elana Pirtle-Guiney>Should I take that away from what you said previously, or is that— No, I think that's a fair point.

1208
02:34:21.324 --> 02:34:25.125
<v Elana Pirtle-Guiney>Is that using too blunt an instrument to parse this?

1209
02:34:25.815 --> 02:34:29.262
<v Dori Hellier>I'm not sure, Councilor, what effect that actually would have.

1210
02:34:29.343 --> 02:34:38.691
<v Dori Hellier>I mean, it's obviously something we'd need to look at, the specificity of the legal language and who that would include or exclude.

1211
02:34:39.189 --> 02:34:48.343
<v Dori Hellier>But ultimately, already we do have— it is limited only to nonprofit organizations that meet the few benchmarks, right?

1212
02:34:48.504 --> 02:35:02.958
<v Dori Hellier>And, and that is either they own the property outright, they are, um, have a leasehold interest in the property, or they are a general partnership of a limited partnership that then does operate the property.

1213
02:35:03.406 --> 02:35:06.370
<v Dori Hellier>So that is some— those benchmarks are already there.

1214
02:35:07.477 --> 02:35:17.206
<v Elana Pirtle-Guiney>It sounded like that third piece was maybe the question, and there was a question around how large a partner they were in that limited partnership.

1215
02:35:17.270 --> 02:35:31.351
<v Elana Pirtle-Guiney>And I think I'm, I'm trying to understand if there's an easy way to parse the difference between a, a small financial partner and the operating partner while you have many other partners who are in as investing partners.

1216
02:35:31.447 --> 02:35:34.060
<v Elana Pirtle-Guiney>And it may be that this requires more conversation.

1217
02:35:34.334 --> 02:35:44.665
<v Elana Pirtle-Guiney>I'm comfortable moving forward today and coming back to this, but I wanted to ask that question while we were I can clarify at least that part of our review of those operating agreements is—.

1218
02:35:45.565 --> 02:35:56.622
<v Dori Hellier>It's different in every single one, but we do look for the language that clarifies that the tax responsibility is borne on the nonprofit agency.

1219
02:35:56.799 --> 02:35:57.585
<v Dori Hellier>That's one of them.

1220
02:35:58.019 --> 02:36:17.975
<v Dori Hellier>We also look at they are responsible for the financial performance of the day-to-day operations and and so there it is said differently in every single agreement, but that's the general outcomes that we do verify in those documents so that the nonprofit is the one who's legally responsible for those things.

1221
02:36:19.034 --> 02:36:22.358
<v Elana Pirtle-Guiney>Okay, that's helpful.

1222
02:36:23.209 --> 02:36:24.654
<v Elana Pirtle-Guiney>I'd like to understand this more later.

1223
02:36:24.735 --> 02:36:29.921
<v Elana Pirtle-Guiney>I don't think I need to take the time today, but I do think that there are more questions that we should be asking about this.

1224
02:36:31.237 --> 02:36:46.614
<v Elana Pirtle-Guiney>In the presentation that you gave, I'm trying to find the number here, you had a slide that said of the 700 properties, 253 have a single low-income unit, 349 have 2 or more, and then almost 100 are vacant.

1225
02:36:47.627 --> 02:37:05.449
<v Elana Pirtle-Guiney>Are those properties with a single low-income unit single-family homes, or are those— okay, so these are not properties with mostly market-rate units and 1 or 2 or 3 rent single low-income units.

1226
02:37:05.513 --> 02:37:14.388
<v Elana Pirtle-Guiney>These are properties that are single-family homes, duplexes, smaller properties than, than our larger apartment buildings.

1227
02:37:14.920 --> 02:37:15.097
<v Tarren Evans>Correct.

1228
02:37:15.242 --> 02:37:21.492
<v Dori Hellier>We have properties that are for 1 family and we have some that have several hundred units in them.

1229
02:37:21.753 --> 02:37:21.817
<v Sarah Radlett>Yes.

1230
02:37:22.338 --> 02:37:22.404
<v Quinton Zondervan>Okay.

1231
02:37:23.014 --> 02:37:26.816
<v Elana Pirtle-Guiney>The way it was worded, it sounded like it could be a single unit in a larger building.

1232
02:37:26.880 --> 02:37:28.362
<v Elana Pirtle-Guiney>I wanted the chance to clarify that.

1233
02:37:28.507 --> 02:37:28.829
<v Elana Pirtle-Guiney>Thank you.

1234
02:37:30.022 --> 02:37:47.045
<v Elana Pirtle-Guiney>And my final question is that you talked in the presentation about the program itself, and you talked about needing this legislation to extend the date and make sure that we don't have to worry about changes every time the state makes a change.

1235
02:37:47.093 --> 02:37:47.627
<v Elana Pirtle-Guiney>That makes sense to me.

1236
02:37:47.708 --> 02:37:47.934
<v Elana Pirtle-Guiney>Yeah.

1237
02:37:48.061 --> 02:37:48.384
<v Elana Pirtle-Guiney>To me.

1238
02:37:48.868 --> 02:37:59.853
<v Elana Pirtle-Guiney>But when I look at the actual code in Exhibit A, which would replace 3.101 that's currently in code on the books, it looks like a complete rewrite.

1239
02:38:01.808 --> 02:38:04.465
<v Elana Pirtle-Guiney>And it has many of the same elements, but it's a complete rewrite.

1240
02:38:04.545 --> 02:38:12.402
<v Elana Pirtle-Guiney>And I have not been working in this policy area long enough to know if that complete rewrite is making any other substantive changes or not.

1241
02:38:12.889 --> 02:38:29.254
<v Elana Pirtle-Guiney>So can you spend just a minute or two walking us through what changes there are that we should make sure that we know about or that folks watching know about, since this is a complete rewrite of that section of code.

1242
02:38:29.768 --> 02:38:32.254
<v Dori Hellier>Thank you for the question, Councilor.

1243
02:38:33.298 --> 02:38:42.109
<v Dori Hellier>The reason for rewriting it is that the code was— has not been updated in any substantive way for many, many, many, many years.

1244
02:38:42.605 --> 02:38:50.559
<v Dori Hellier>And we have learned over the years that in this particular code, it's essentially parroting the state statute.

1245
02:38:50.640 --> 02:38:57.551
<v Dori Hellier>There are no additional policies or requirements really that are being outlined in the code.

1246
02:38:58.018 --> 02:39:24.826
<v Dori Hellier>And so in order to reduce the potential for inconsistencies between city code and statute, City Attorney's Office has advised it's easier and more straightforward to refer directly to the statutory sections that we are using to implement the program so that we don't have any conflict with how we operate the program at the local level.

1247
02:39:26.395 --> 02:39:48.753
<v Elana Pirtle-Guiney>I understand that piece of it, and on things like eligible organizations referring directly to the ORS, um, It looks like it's more substantive than that, and there are pieces in here that have a lot more language than that, exemptions that don't refer to ORS at all.

1248
02:39:49.459 --> 02:39:51.772
<v Elana Pirtle-Guiney>And there are pieces in the code now that are dropped.

1249
02:39:51.822 --> 02:39:59.870
<v Elana Pirtle-Guiney>So are the pieces in— is the rewrite more aligned with state code than what we have on the books right now?

1250
02:40:00.225 --> 02:40:06.706
<v Elana Pirtle-Guiney>And if So what provisions, if any, are we losing when we move to being more aligned with state code?

1251
02:40:07.389 --> 02:40:11.431
<v Elana Pirtle-Guiney>Help me understand with something that is different.

1252
02:40:11.706 --> 02:40:12.336
<v Dori Hellier>Yeah, it's actually—.

1253
02:40:12.352 --> 02:40:13.855
<v Elana Pirtle-Guiney>What the impact on the ground is.

1254
02:40:14.615 --> 02:40:14.778
<v Tarren Evans>Sure.

1255
02:40:14.923 --> 02:40:19.569
<v Dori Hellier>Actually, it's, it's not in an alignment to change any way that we operate the program.

1256
02:40:20.165 --> 02:40:26.397
<v Dori Hellier>But as an example, the current code refers to things that are included in the application, for instance.

1257
02:40:26.558 --> 02:40:38.584
<v Dori Hellier>And so that's restating things that are already stated in statute, and so it's not necessary for that level of detail to live within the code.

1258
02:40:39.162 --> 02:40:47.768
<v Dori Hellier>And if we wanted to even describe something further beyond what's in statute or code, it's something that could live in administrative rules, for instance.

1259
02:40:48.250 --> 02:40:57.242
<v Dori Hellier>And so it makes it for a much tighter process to just say, you know, we— the application requirements of statute and anything else that the city may require.

1260
02:40:57.884 --> 02:41:06.843
<v Elana Pirtle-Guiney>Functionally, this moves more authority out of code and to the bureau to define some of those things by rule.

1261
02:41:07.036 --> 02:41:18.365
<v Elana Pirtle-Guiney>It gives you a little bit more space to update the application without having to come back to us to have that changed in code, along with better aligning us to state code.

1262
02:41:18.592 --> 02:41:19.093
<v Dori Hellier>Correct.

1263
02:41:19.335 --> 02:41:29.527
<v Elana Pirtle-Guiney>I think that's important to note because we, we need to know that we are, in moving this forward, giving you all more authority to run this program without having to go through us every time.

1264
02:41:31.055 --> 02:41:31.734
<v Elana Pirtle-Guiney>Okay, thank you.

1265
02:41:31.882 --> 02:41:32.461
<v Elana Pirtle-Guiney>Thank you, Chair.

1266
02:41:35.540 --> 02:41:43.719
<v Candace Avalos>All right, seeing as no one else is in the queue and for time, because we have another time-sensitive item we must get done before 5, let's go ahead and move forward.

1267
02:41:44.219 --> 02:41:51.690
<v Candace Avalos>I'd like to entertain a motion to move the ordinance document number 2026-346 to the full council with a recommendation to pass.

1268
02:41:51.801 --> 02:41:52.334
<v Steve Novick>So moved.

1269
02:41:53.155 --> 02:41:54.118
<v Candace Avalos>Moved by Councilor Novick.

1270
02:41:54.735 --> 02:41:55.153
<v Candace Avalos>Do I have a second?

1271
02:41:58.372 --> 02:41:59.086
<v Candace Avalos>Seconded by me.

1272
02:42:00.547 --> 02:42:03.077
<v Candace Avalos>Um, clerk, please call the roll.

1273
02:42:04.778 --> 02:42:05.068
<v Unidentified speaker>Green?

1274
02:42:06.311 --> 02:42:06.474
<v Mitch Green>No.

1275
02:42:07.603 --> 02:42:08.056
<v Unidentified speaker>Pirtle-Guiney?

1276
02:42:11.718 --> 02:42:11.736
<v Elana Pirtle-Guiney>Aye.

1277
02:42:14.969 --> 02:42:15.115
<v Unidentified speaker>No.

1278
02:42:15.763 --> 02:42:15.795
<v Steve Novick>Aye.

1279
02:42:18.771 --> 02:42:30.236
<v Unidentified speaker>With 3 ayes and 2 nays, the motion to refer the ordinance document number 2026-346 to the full council with the recommendation it be passed is accepted.

1280
02:42:31.096 --> 02:42:31.372
<v Candace Avalos>Thank you.

1281
02:42:31.503 --> 02:42:37.489
<v Candace Avalos>And a note to the public, it's clear that there is some further discussion, policy discussion, that will need to happen.

1282
02:42:37.970 --> 02:42:41.800
<v Candace Avalos>Um, and so, uh, due to time, we need to move it out of committee.

1283
02:42:42.057 --> 02:42:48.564
<v Candace Avalos>And so these are requests from administration and from Council President because these have to come onto the, uh, council agenda for next week.

1284
02:42:48.659 --> 02:42:50.358
<v Candace Avalos>Same with this next one we're about to hear.

1285
02:42:51.031 --> 02:42:54.493
<v Candace Avalos>Um, that is why I'm choosing— I chose to vote aye and move it forward.

1286
02:42:54.957 --> 02:43:01.292
<v Candace Avalos>Um, but if there are, uh, amendments that need to get made, that can happen in the process at council.

1287
02:43:03.778 --> 02:43:06.820
<v Candace Avalos>Okay, with that, please item— please read item 3.

1288
02:43:07.626 --> 02:43:22.528
<v Unidentified speaker>Item 3, document number 2026-345, amend the Portland Zoning Code to bring it into compliance with Oregon state legislative bills passed in 2025 and 2026, amend Title 33.

1289
02:43:23.926 --> 02:43:36.843
<v Candace Avalos>All right, so this ordinance amends Title 33 to the city's planning and zoning code to ensure that Portland's land use regulations are in compliance with various Oregon state legislative bills that were passed by the legislature in 2026 and 2027.

1290
02:43:37.019 --> 02:43:38.912
<v Candace Avalos>So I will pass it off to staff to take it away.

1291
02:43:39.554 --> 02:43:40.099
<v Morgan Tracy>Thank you very much.

1292
02:43:40.340 --> 02:43:43.019
<v Morgan Tracy>Good afternoon, uh, council committee members.

1293
02:43:43.227 --> 02:43:50.943
<v Morgan Tracy>I'm Morgan Tracy, senior planner with the Bureau of Planning and Sustainability, here to present the Planning Commission's recommendation on the State Land Use Compliance Project.

1294
02:43:51.585 --> 02:44:00.497
<v Morgan Tracy>Uh, with me is Eric Engstrom, our bureau director, who you already know, and Erica Thompson from the Planning Commission will present additional remarks following this brief presentation.

1295
02:44:03.270 --> 02:44:16.261
<v Morgan Tracy>On June 23rd, the Planning Commission held a public hearing, received testimony from 3 individuals, discussed and deliberated, and ultimately recommended adopting the project report and amending the code to incorporate the proposals I will summarize for you today.

1296
02:44:18.495 --> 02:44:28.247
<v Morgan Tracy>So today I'll provide an overview and context for the state legislation included in this project scope cover the project timeline, review the 13 proposals, and then hand it over to Commissioner Thompson.

1297
02:44:33.520 --> 02:44:43.059
<v Morgan Tracy>So the project was initiated to update Portland zoning code to align with several state bills affecting housing and land use regulations passed in Oregon's 2025 and 2026 legislative sessions.

1298
02:44:44.029 --> 02:44:51.103
<v Morgan Tracy>While there were many bills that touched on these topics, many did not directly impact zoning regulations or the city is otherwise already in conformance with them.

1299
02:44:52.192 --> 02:45:00.157
<v Morgan Tracy>So the changes proposed with this project are necessary to ensure compliance and improve public understanding of how state rule changes will work together with Portland's zoning code.

1300
02:45:01.230 --> 02:45:04.404
<v Morgan Tracy>For a little context, the proposals respond to these 5 key bills.

1301
02:45:05.381 --> 02:45:10.253
<v Morgan Tracy>House Bill 2138 revises aspects of middle housing rules that the state passed in 2020.

1302
02:45:11.246 --> 02:45:20.311
<v Morgan Tracy>Senate Bill 974 and House Bill 4037 streamline procedures for certain types of residential development proposals by limiting notice and removing some hearing requirements.

1303
02:45:21.515 --> 02:45:32.528
<v Morgan Tracy>Senate Bill 1561 responds to challenges some faced when rebuilding their homes following the Labor Day fires in Detroit Lake by removing barriers to reconstruction when nonconforming dwellings are destroyed.

1304
02:45:33.556 --> 02:45:41.228
<v Morgan Tracy>And finally, House Bill 2005 recognizes the need for having more mental health treatment facilities by requiring cities to allow them outright in more zones.

1305
02:45:45.513 --> 02:45:51.421
<v Morgan Tracy>The project began in April and May with general informational meetings with stakeholders and advisory committees and commissions.

1306
02:45:52.575 --> 02:45:59.092
<v Morgan Tracy>We typically begin our projects with a public discussion draft phase to test our proposals and seek feedback for improvement.

1307
02:45:59.701 --> 02:46:05.479
<v Morgan Tracy>However, given the impending January 1st deadline for compliance, that more comprehensive engagement was not possible.

1308
02:46:06.282 --> 02:46:13.585
<v Morgan Tracy>Consequently, the project the project scope was limited to items necessary to comply with state law, and a proposed draft of those changes was published in May.

1309
02:46:14.782 --> 02:46:19.634
<v Morgan Tracy>The Planning Commission held their public hearing on June 23rd and voted to recommend council adopt these changes.

1310
02:46:24.790 --> 02:46:28.639
<v Morgan Tracy>This project contains 13 proposals separated into 3 categories.

1311
02:46:29.318 --> 02:46:31.986
<v Morgan Tracy>The first category addresses middle housing development regulations.

1312
02:46:32.632 --> 02:46:35.807
<v Morgan Tracy>In general, these changes increase flexibility for middle housing development.

1313
02:46:36.343 --> 02:46:45.855
<v Morgan Tracy>For example, by allowing any configuration of attached or detached units, removing lot size requirements that are any different than a house, and expanding where cottage clusters are allowed.

1314
02:46:47.336 --> 02:46:56.332
<v Morgan Tracy>Offering bonuses for affordable units and accessible units, and making it easier to incorporate existing accessory dwelling units and duplexes into mid-housing developments.

1315
02:47:00.090 --> 02:47:04.254
<v Morgan Tracy>The second category of changes affects the procedures used to review and approve proposed development.

1316
02:47:05.298 --> 02:47:10.709
<v Morgan Tracy>These changes allow more flexibility for the timing of middle housing land divisions and offer a consolidated process.

1317
02:47:11.945 --> 02:47:28.820
<v Morgan Tracy>Other changes limit notification areas to neighboring properties within 100 feet of a project site and remove the city's ability to notify for existing— or I'm sorry, expedited land divisions, including middle housing land divisions, as well as any application reviewed using clear and objective standards like an environmental plan check.

1318
02:47:30.088 --> 02:47:34.747
<v Morgan Tracy>These changes are in order to reduce potential barriers or procedural slowdowns for residential development.

1319
02:47:35.961 --> 02:47:41.388
<v Morgan Tracy>In addition, applications for zone changes and planned developments will no longer have a public hearing unless the case is appealed.

1320
02:47:44.930 --> 02:47:47.290
<v Morgan Tracy>The final category of changes affects permissible uses.

1321
02:47:48.174 --> 02:47:57.395
<v Morgan Tracy>These changes will allow residential treatment facilities, for example, mental health treatment for 6 or more clients, in single dwelling and industrial zones without the need for a conditional use review.

1322
02:47:58.540 --> 02:48:04.667
<v Morgan Tracy>And the other change makes it easier to replace nonconforming dwellings in the cases where they are destroyed by natural causes like flood or fire.

1323
02:48:11.751 --> 02:48:15.296
<v Morgan Tracy>Erica Thompson from the Planning Commission is here and will provide their remarks in just a moment.

1324
02:48:17.340 --> 02:48:22.825
<v Morgan Tracy>Uh, the commission unanimously recommended the council adopt the project and report and code amendments As shown in the recommended draft.

1325
02:48:23.309 --> 02:48:23.536
<v Morgan Tracy>Hello.

1326
02:48:26.375 --> 02:48:28.504
<v Morgan Tracy>And just a little administrative detail before we finish up.

1327
02:48:29.079 --> 02:48:31.781
<v Morgan Tracy>The supplemental record materials can be found here at this link.

1328
02:48:34.399 --> 02:48:40.842
<v Morgan Tracy>So unless there are any immediately— immediate clarifying questions, here's Commissioner Thompson to share the Planning Commission's remarks.

1329
02:48:41.645 --> 02:48:41.902
<v Morgan Tracy>Thank you.

1330
02:48:44.120 --> 02:48:45.181
<v Erica Thompson>Should I go ahead and get started?

1331
02:48:45.360 --> 02:48:46.013
<v Erica Thompson>Okay, great.

1332
02:48:46.094 --> 02:48:48.364
<v Erica Thompson>Well, good afternoon, councilors.

1333
02:48:48.478 --> 02:48:50.154
<v Erica Thompson>My name is My name is Erica Thompson.

1334
02:48:50.811 --> 02:48:53.430
<v Erica Thompson>I'm a member of the Portland Planning Commission.

1335
02:48:54.040 --> 02:48:57.943
<v Erica Thompson>I'm an architect at Hinneberry Eddy Architects here in Portland.

1336
02:48:58.361 --> 02:49:08.593
<v Erica Thompson>I'm a resident of District 3, and today I am pleased to represent the Planning Commission for the State Land Use Compliance Project that's before you.

1337
02:49:09.299 --> 02:49:21.956
<v Erica Thompson>We, on June 23rd, 2026, did vote unanimously to recommend that you adopt the project report and the proposed Title 33 amendments.

1338
02:49:23.237 --> 02:49:42.369
<v Erica Thompson>This really is, in essence, a simple compliance project in that the proposed changes are required by the state, but by adopting them into city code, we will promote regulatory clarity and consistency for developers and applicants.

1339
02:49:43.202 --> 02:49:56.235
<v Erica Thompson>The Planning Commission also agrees with staff and testifiers that the amendments will create a positive benefit for middle housing development, providing more flexibility and fewer barriers.

1340
02:49:57.165 --> 02:50:02.887
<v Erica Thompson>We heard from 4 individuals who provided a total of 5 pieces of testimony.

1341
02:50:03.384 --> 02:50:06.060
<v Erica Thompson>Testimony was supportive of the project.

1342
02:50:06.525 --> 02:50:09.475
<v Erica Thompson>It offered suggestions for ways to go further.

1343
02:50:09.796 --> 02:50:14.112
<v Erica Thompson>In fine-tuning the definitions and requirements for cottage clusters.

1344
02:50:14.948 --> 02:50:31.364
<v Erica Thompson>But ultimately, the commission felt that these recommendations to go further would best be deferred to a future project once the upcoming state rulemaking is complete and we can explore middle housing improvements more holistically.

1345
02:50:32.440 --> 02:50:35.906
<v Erica Thompson>We also received testimony asking the city to do more.

1346
02:50:36.034 --> 02:50:36.099
<v Erica Thompson>Yes.

1347
02:50:36.516 --> 02:50:43.466
<v Erica Thompson>To provide education and awareness of development strategies that promote accessibility and aging in place.

1348
02:50:44.236 --> 02:51:02.307
<v Erica Thompson>This is something we identified in our transmittal letter, and I wanted to highlight that there's a $500,000 fund through Oregon Housing and Community Services to support developers, service providers, and local governments in creating that education and awareness.

1349
02:51:02.354 --> 02:51:02.467
<v Erica Thompson>Thank you.

1350
02:51:02.950 --> 02:51:17.280
<v Erica Thompson>So while that's not directly related to the provisions of Title 33, we think it's a great resource and wanted to draw attention to it as something that could encourage adoption of our housing accessibility bonuses.

1351
02:51:18.349 --> 02:51:18.948
<v Erica Thompson>So thank you.

1352
02:51:22.503 --> 02:51:24.198
<v Candace Avalos>Thank you very much for your presentation.

1353
02:51:25.792 --> 02:51:32.566
<v Candace Avalos>And so we— I think we have some testimony, so why don't we take testimony, and then we can bring you back up if we have committee questions.

1354
02:51:32.745 --> 02:51:33.118
<v Queesha Light>Thank you.

1355
02:51:35.092 --> 02:51:36.791
<v Unidentified speaker>We have 3 individuals signed up.

1356
02:51:37.195 --> 02:51:39.153
<v Unidentified speaker>First is Mary Wacker.

1357
02:51:45.836 --> 02:51:47.218
<v Unidentified speaker>Once more for Mary Wacker.

1358
02:51:51.022 --> 02:51:52.930
<v Unidentified speaker>All right, next is Kevin Balk.

1359
02:51:58.471 --> 02:51:59.870
<v Unidentified speaker>Once more for Kevin.

1360
02:52:04.791 --> 02:52:07.244
<v Unidentified speaker>Next up is Sarah Radlett.

1361
02:52:07.922 --> 02:52:10.292
<v Unidentified speaker>Sarah is going to join us online in a few seconds.

1362
02:52:17.609 --> 02:52:18.004
<v Sarah Radlett>Good afternoon.

1363
02:52:18.119 --> 02:52:18.778
<v Sarah Radlett>Can you hear me okay?

1364
02:52:20.200 --> 02:52:20.719
<v Steve Novick>We can hear you.

1365
02:52:20.804 --> 02:52:20.971
<v Candace Avalos>Go ahead.

1366
02:52:21.638 --> 02:52:21.814
<v Candace Avalos>Great.

1367
02:52:22.537 --> 02:52:23.340
<v Candace Avalos>My name is Sarah Rattley.

1368
02:52:23.421 --> 02:52:32.463
<v Sarah Radlett>I'm a land use planner in private practice since 2015, and prior to that, I worked for the City of Portland in current planning for 14 years.

1369
02:52:32.994 --> 02:52:36.993
<v Sarah Radlett>So I have a lot of experience in implementing the zoning code.

1370
02:52:37.700 --> 02:52:46.838
<v Sarah Radlett>And today I'm here to talk about specifically about the middle housing provisions that are in this, in this proposal to conform with the state rules.

1371
02:52:47.577 --> 02:52:51.352
<v Sarah Radlett>And as noted, um, there's a lot of great stuff in there.

1372
02:52:51.448 --> 02:53:00.152
<v Sarah Radlett>There's a lot of stuff in there that will encourage development, will encourage infill housing, will encourage small developments, small houses, um, those kinds of things.

1373
02:53:00.200 --> 02:53:04.905
<v Sarah Radlett>So super, super exciting to look for those streamlined, um, changes.

1374
02:53:05.724 --> 02:53:10.766
<v Sarah Radlett>Um, there are a couple things that I think would make it be more effective.

1375
02:53:11.200 --> 02:53:16.869
<v Sarah Radlett>One is that specifically about cottage cluster developments, which are multiple detached homes.

1376
02:53:17.606 --> 02:53:22.782
<v Sarah Radlett>On lots, it's a newer in the last several years kind of middle housing piece.

1377
02:53:23.791 --> 02:53:34.064
<v Sarah Radlett>One of the changes that's being proposed with this project is to increase the minimum size of a common area from 450 square feet to 750 square feet.

1378
02:53:34.689 --> 02:53:41.979
<v Sarah Radlett>And the reason that that is impactful is that you have kind of a couple different regulations directing the amount of common area.

1379
02:53:42.059 --> 02:53:42.668
<v Sarah Radlett>One is.

1380
02:53:43.584 --> 02:53:45.545
<v Sarah Radlett>Typically 200 square feet per unit.

1381
02:53:46.091 --> 02:53:53.560
<v Sarah Radlett>So if you have 6 units on one, say, 10,000 square foot lot, that's 1,200 square feet of common area required.

1382
02:53:54.106 --> 02:54:03.472
<v Sarah Radlett>Under the new rules, you would have one common area that has to be at least 750 square feet, which gets you, you know, 3/4 of the way through your minimum.

1383
02:54:04.147 --> 02:54:06.573
<v Sarah Radlett>And then you need 350 square feet more.

1384
02:54:06.718 --> 02:54:22.163
<v Sarah Radlett>But if you can't fit that in that one contiguous common area, then now you need another common area, which is typically fine, but that second common area also has to be 750 square feet instead of what is current, the current rules, which are 450 square feet.

1385
02:54:23.156 --> 02:54:35.949
<v Sarah Radlett>So, the result is potentially, when, especially when you're working around an existing house and your site is constrained in some way, that you're not going to be able to necessarily have one common area, and you're going to end up with multiple common areas.

1386
02:54:38.867 --> 02:54:47.356
<v Sarah Radlett>And the problem with that is that that then either means fewer units or smaller units for this kind of excess extra common area.

1387
02:54:48.199 --> 02:55:02.810
<v Sarah Radlett>So I would propose that if, if the intention is to increase the minimum common area to 750 square feet, have that be for one common area, and then any additional common areas could be 450 square feet in area.

1388
02:55:02.875 --> 02:55:03.052
<v Sarah Radlett>Thank you.

1389
02:55:03.101 --> 02:55:03.648
<v Sarah Radlett>Councilmember Herbold?

1390
02:55:04.102 --> 02:55:09.974
<v Sarah Radlett>It's a, it's a simple code fix consistent with, um, what's been happening in the past.

1391
02:55:10.359 --> 02:55:22.888
<v Sarah Radlett>And then really quick, because I'm almost out of time, my second, um, comment has to do with parking and how parking will be differently regulated for a fourplex of attached units or 4 units of detached or mixed.

1392
02:55:23.209 --> 02:55:34.992
<v Sarah Radlett>So there's 2 different code sections that would regulate those, and it will be confusing for applicants and everyone to Thank you.

1393
02:55:39.236 --> 02:55:47.747
<v Elana Pirtle-Guiney>Councilor, would you be willing to let the testifier explain that second point even though their time is up, since we don't have anyone else signed up to testify?

1394
02:55:48.319 --> 02:55:48.529
<v Elana Pirtle-Guiney>That's fine.

1395
02:55:49.139 --> 02:55:49.590
<v Elana Pirtle-Guiney>Thank you.

1396
02:55:51.552 --> 02:55:52.083
<v Sarah Radlett>Um, great.

1397
02:55:52.275 --> 02:55:52.823
<v Sarah Radlett>Thank you so much.

1398
02:55:53.242 --> 02:55:59.983
<v Sarah Radlett>Um, so currently the rules For parking, there's, there's kind of, there's 2 sections of rules for parking.

1399
02:56:00.159 --> 02:56:04.959
<v Sarah Radlett>One is for houses, duplexes, triplexes, and fourplexes, and that's one set of rules.

1400
02:56:05.778 --> 02:56:07.415
<v Sarah Radlett>And then, and that, so that's the driveway.

1401
02:56:07.478 --> 02:56:15.538
<v Sarah Radlett>So maybe you have like a cottage cluster project where you drive onto the site with a shared driveway, and then everybody has their garage or a common parking area or something like that.

1402
02:56:15.649 --> 02:56:18.025
<v Sarah Radlett>That's, that's kind of the scenario that we're talking about.

1403
02:56:18.941 --> 02:56:23.163
<v Sarah Radlett>Um, and then you have another section of code that's all other development.

1404
02:56:23.210 --> 02:56:23.259
<v Sarah Radlett>Okay.

1405
02:56:23.340 --> 02:56:23.451
<v Sarah Radlett>Right.

1406
02:56:23.596 --> 02:56:31.774
<v Sarah Radlett>And that all other development, as staff would probably speak to, hasn't really been looked at in depth for middle housing and cottage clusters and such.

1407
02:56:32.851 --> 02:56:41.462
<v Sarah Radlett>But it's going to get kind of even worse now, because if you have a fourplex that is attached units, 4 units attached, you fall under the first code.

1408
02:56:42.170 --> 02:56:49.495
<v Sarah Radlett>But if you have 4 units that are maybe 2 of them attached and then a space and then 2 of them attached, now you fall under the other code.

1409
02:56:49.545 --> 02:56:49.689
<v Sarah Radlett>Right.

1410
02:56:50.138 --> 02:56:55.067
<v Sarah Radlett>So they're almost identical developments, but they have very, very different parking regulations.

1411
02:56:56.078 --> 02:57:06.016
<v Sarah Radlett>So I would propose that the codes be labeled 1 to 4 units is the first section, and the second section is 5 and above units.

1412
02:57:06.418 --> 02:57:26.228
<v Sarah Radlett>And it would fall in line with how the code is implemented currently, so it wouldn't be a big change for any of the implementation, and it would clarify you know, it's just going to be weird if, if we're explaining to people like, well, if you attach your units to each other all, then you follow these regulations for your driveway.

1413
02:57:26.308 --> 02:57:30.283
<v Sarah Radlett>But if you want a break in that attachment, now you have to follow these different regulations.

1414
02:57:30.396 --> 02:57:33.137
<v Sarah Radlett>And, and people are just going to be like, that doesn't make any sense.

1415
02:57:33.264 --> 02:57:57.543
<v Sarah Radlett>So that's— those are my 2 top, uh, kind of requests for change that I think are simple enough to be tweaked in the code without okay, thank you for the additional comments, Sarah.

1416
02:57:57.609 --> 02:57:58.579
<v Candace Avalos>We appreciate your time.

1417
02:57:59.308 --> 02:57:59.631
<v Candace Avalos>Thank you.

1418
02:58:00.764 --> 02:58:01.672
<v Candace Avalos>Uh, let's get into it.

1419
02:58:01.915 --> 02:58:02.415
<v Sarah Wallach>Councilor—.

1420
02:58:02.480 --> 02:58:03.014
<v Elana Pirtle-Guiney>Vice Chair Green.

1421
02:58:04.100 --> 02:58:06.534
<v Mitch Green>Thank you, Chair Avalos, and I've got my eye on the clock here.

1422
02:58:06.905 --> 02:58:25.291
<v Mitch Green>Um, I just wanted to ask, uh, really quickly, Whether that last testifier's suggestions are things that the Planning Bureau could, could think through and accommodate before we were to bring this to the City Council, is that a thing that we could contemplate?

1423
02:58:25.645 --> 02:58:31.377
<v Morgan Tracy>We, uh, we appreciate the, the input, uh, and suggestions that Mr. Adelaide has provided in the past.

1424
02:58:32.164 --> 02:58:35.038
<v Morgan Tracy>As I explained earlier, we were faced with a dilemma.

1425
02:58:35.359 --> 02:58:37.351
<v Morgan Tracy>We could either take the time and think thank you.

1426
02:58:37.398 --> 02:58:45.612
<v Morgan Tracy>I think we need to think more holistically about our middle housing development standards or address the state mandates before this January 1st compliance deadline.

1427
02:58:47.629 --> 02:58:58.009
<v Morgan Tracy>The change to the open space requirement, not too difficult to accommodate if we just don't make the amendment that's proposed, just keep it at 450 square foot as it stands today.

1428
02:58:58.981 --> 02:58:59.858
<v Morgan Tracy>That's an easy change.

1429
02:59:00.280 --> 02:59:02.031
<v Morgan Tracy>The parking gets a little more complicated.

1430
02:59:02.534 --> 02:59:11.433
<v Morgan Tracy>The parking standards were developed with the notion of a single structure, a single primary structure, and where you put your driveways and garages around that.

1431
02:59:12.699 --> 02:59:24.893
<v Morgan Tracy>When you move into what's called multi-dwelling development, when you start separating those units up, there's a number of different types of kind of considerations that need to be thought through and addressed.

1432
02:59:25.773 --> 02:59:34.765
<v Morgan Tracy>And it's not a— as you can imagine, when we talk about parking, it's not always a simple kind of there are lots of impacts that we need to consider.

1433
02:59:35.054 --> 02:59:40.552
<v Morgan Tracy>So with that frame in mind, again, we think that the direction is right.

1434
02:59:40.665 --> 03:00:01.627
<v Morgan Tracy>We think that looking at more even standards for all types of middle housing is sensible, but we also think we need to take the time to make sure we do that right rather than just try to apply the standard that was designed for a different type of product onto, onto appreciate that.

1435
03:00:01.805 --> 03:00:06.945
<v Mitch Green>Um, I would be curious to see what that first tweak could look like.

1436
03:00:06.995 --> 03:00:12.194
<v Mitch Green>I don't know that I, I want that little of common space, but, um, I'm curious to see what you guys can come up with.

1437
03:00:12.290 --> 03:00:14.412
<v Mitch Green>I understand you guys are also doing a lot of other work.

1438
03:00:14.459 --> 03:00:28.136
<v Mitch Green>So, um, my last question is then, if we were to sort of move this forward even as is and adopt this, meet the requirement, would we be able to tweak this down the road?

1439
03:00:28.568 --> 03:00:52.843
<v Morgan Tracy>We are anticipating— we actually have a project queuing up to look at facilitating middle housing development and a number of other tricks up our sleeve in terms of how we address development in the currently labeled single dwelling zones and thinking about those standards and making them work more effectively both across single dwelling and multi-dwelling zones.

1440
03:00:52.891 --> 03:01:07.308
<v Morgan Tracy>So as developers are looking at sites, they are not forced with the sorts of dilemmas that Ms. Radley raised, which is you have this kind of standard in this zone and a different standard in this zone, same product, same look at the end, but you have to sort of jump through different hurdles.

1441
03:01:07.405 --> 03:01:13.906
<v Morgan Tracy>So part of our objective with that other project is to look again more holistically at all those requirements together.

1442
03:01:14.420 --> 03:01:15.143
<v Mitch Green>I appreciate that.

1443
03:01:15.191 --> 03:01:15.448
<v Mitch Green>Thank you.

1444
03:01:15.592 --> 03:01:16.555
<v Mitch Green>I'm prepared to move this today.

1445
03:01:19.380 --> 03:01:20.103
<v Candace Avalos>Councilor Pirtle-Guiney.

1446
03:01:20.970 --> 03:01:21.452
<v Elana Pirtle-Guiney>Thank you, Chair.

1447
03:01:22.174 --> 03:01:27.168
<v Elana Pirtle-Guiney>Um, it makes sense to me that the parking needs a, a deeper look.

1448
03:01:27.248 --> 03:01:30.989
<v Elana Pirtle-Guiney>There's a lot that we touch with different parking requirements in the city.

1449
03:01:31.665 --> 03:01:57.458
<v Elana Pirtle-Guiney>The first comment that the testifier brought up about having a requirement for 750 square feet of common space, but the additional common space areas around a property could be smaller, still keeping that 450 minimum so that they're not— so that they're usable, but so that we don't encroach on the space needed for housing.

1450
03:01:58.135 --> 03:01:59.358
<v Elana Pirtle-Guiney>Makes a lot of sense to me.

1451
03:02:00.370 --> 03:02:07.004
<v Elana Pirtle-Guiney>I understand that the intent with what we have before us is to just move forward what is required by state law.

1452
03:02:07.293 --> 03:02:17.250
<v Elana Pirtle-Guiney>I'm happy to move forward with what we have but I wanted to raise that because it sounded like you were suggesting we could move back to the 450 minimum, and I would hope that we don't do that.

1453
03:02:17.394 --> 03:02:31.556
<v Elana Pirtle-Guiney>I would hope that we keep the 750 minimum for a larger common space area, but consider having some smaller minimum for secondary common spaces where there are multiple common spaces within the same developed area.

1454
03:02:32.118 --> 03:02:33.675
<v Morgan Tracy>Appreciate the clarification.

1455
03:02:35.072 --> 03:02:35.602
<v Morgan Tracy>The direction.

1456
03:02:35.649 --> 03:02:47.031
<v Morgan Tracy>I think the dilemma that we're facing with that, reverting to the standard that's in place today is basically that we would just give direction to omit that amendment from the package.

1457
03:02:47.674 --> 03:02:50.097
<v Morgan Tracy>So basically not change the standard.

1458
03:02:50.563 --> 03:03:02.184
<v Morgan Tracy>If we're talking about creating a sort of bifurcated standard where you have an initial 750 square feet followed up by something that's smaller, we'd have to kind of craft what that language looks like.

1459
03:03:02.683 --> 03:03:05.460
<v Morgan Tracy>Which I'm not really prepared to do on the stand.

1460
03:03:06.521 --> 03:03:11.722
<v Elana Pirtle-Guiney>I would be comfortable with that being part of future work that you're doing and not addressing that today and moving this forward.

1461
03:03:12.300 --> 03:03:15.849
<v Elana Pirtle-Guiney>I think that the testifier raised some very legitimate points.

1462
03:03:16.010 --> 03:03:26.944
<v Elana Pirtle-Guiney>I just don't want us to overcorrect in the other direction by moving back to having only those smaller common spaces in our multi-building developments.

1463
03:03:27.009 --> 03:03:27.425
<v Elana Pirtle-Guiney>Understand.

1464
03:03:28.408 --> 03:03:29.094
<v Elana Pirtle-Guiney>Thank you very much.

1465
03:03:31.500 --> 03:03:34.209
<v Candace Avalos>All right, seeing as there's no one else in the queue, last call.

1466
03:03:36.047 --> 03:03:43.986
<v Candace Avalos>Then I would like to entertain a motion to move ordinance document number 2026-345 to the full council with a recommendation to pass.

1467
03:03:45.246 --> 03:03:45.699
<v Mitch Green>So moved.

1468
03:03:46.458 --> 03:03:47.022
<v Elana Pirtle-Guiney>Second.

1469
03:03:47.345 --> 03:03:50.485
<v Candace Avalos>Moved by Vice Chair Green, seconded by Councilor Pirtle-Guiney.

1470
03:03:51.397 --> 03:03:52.684
<v Candace Avalos>Uh, clerk, please call the roll.

1471
03:03:58.273 --> 03:03:58.322
<v Sarah Wallach>Aye.

1472
03:03:59.318 --> 03:03:59.462
<v Sarah Wallach>Aye.

1473
03:04:00.138 --> 03:04:00.171
<v Sarah Wallach>Aye.

1474
03:04:00.941 --> 03:04:04.093
<v Unidentified speaker>Novick, absent.

1475
03:04:05.041 --> 03:04:05.250
<v Unidentified speaker>Avalos?

1476
03:04:05.587 --> 03:04:05.603
<v Candace Avalos>Aye.

1477
03:04:07.113 --> 03:04:17.144
<v Unidentified speaker>With 4 ayes and 1 absent, the motion carries, and the ordinance document number 2026-345 moves to the full council with the recommendation it be passed.

1478
03:04:17.980 --> 03:04:26.638
<v Candace Avalos>And the State Land Use Compliance Project is continued to a full council meeting on October 14th at 9:45 AM, time certain.

1479
03:04:27.939 --> 03:04:28.164
<v Candace Avalos>Thank you.

1480
03:04:29.144 --> 03:04:29.529
<v Candace Avalos>Thank you.

1481
03:04:30.427 --> 03:04:38.922
<v Candace Avalos>Uh, right, with that, um, like I said, next meeting will be, uh, the Climate and Health Standards Policy, and there will be public testimony and committee discussion.

1482
03:04:39.836 --> 03:04:43.915
<v Candace Avalos>For now, I will adjourn the Housing and Permitting Committee meeting at 4:58 PM.

