Ordinance 36100006.900000
BFP /gjz
10/24/06
ORDINANCE NO. 3610
AN ORDINANCE OF THE CITY OF EDMONDS,
WASHINGTON, CREATING A NEW CHAPTER 19.95 ECDC
CONVERSION CONDOMINIUM, PROVIDING FOR
SEVERABILITY; AND FIXING A TIME WHEN THE SAME
SHALL BECOME EFFECTIVE.
WHEREAS, the City Council finds that there has been a surge in conversions of
apartment buildings to condominiums within the City limits; and
WHEREAS, the City Council finds that such conversions present a hardship to
low income tenants residing in affected apartment buildings who must relocate; and
WHEREAS, Chapter 64.34 RCW sets forth requirements for apartment building
owners converting apartments to condominiums; and
WHEREAS, the same allows cities and counties to impose certain requirements
with respect to condominium conversion within the jurisdiction of such cities and counties; and
WHEREAS, the City Council finds that it would be in the public's best interest to
impose certain requirements with respect to condominium conversion within the City of
Edmonds; NOW, THEREFORE,
THE CITY COUNCIL OF THE CITY OF EDMONDS, WASHINGTON, DO
ORDAIN AS FOLLOWS:
Section 1. A new chapter, Chapter 19.95 ECDC entitled "Conversion
Condominiums," is hereby added to Title 19 ECDC, building code to read as follows:
Sections:
19.95.010
19.95.020
19.95.030
19.95.040
19.95.050
CHAPTER 19.95
CONVERSION CONDOMINIUMS
Definitions
Relocation assistance.
Violations.
Civil penalty.
Enforcement.
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19.95.010 Definitions.
The following words and phrases used in this chapter shall have
the meaning set forth in this section:
A. "Condominium" means real property, portions of which are
designated for separate ownership and the remainder of which is
designated for common ownership solely by the owners of those
portions. Real property is not a condominium unless the undivided
interests in the common elements are vested in the unit owners,
and unless a declaration and a survey map and plans have been
recorded pursuant to this chapter.
B. "Conversion condominium" means a condominium (a) that
at any time before creation of the condominium was lawfully
occupied wholly or partially by a tenant or subtenant for residential
purposes pursuant to a rental agreement, oral or written, express or
implied, for which the tenant or subtenant had not received the
notice described in (b) of this subsection; or (b) that, at any time
within twelve months before the conveyance of, or acceptance of
an agreement to convey, any unit therein other than to a declarant
or any affiliate of a declarant, was lawfully occupied wholly or
partially by a residential tenant of a declarant or an affiliate of a
declarant and such tenant was not notified in writing, prior to
lawfully occupying a unit or executing a rental agreement,
whichever event first occurs, that the unit was part of a
condominium and subject to sale. "Conversion condominium"
shall not include a condominium in which, before the effective
date of the ordinance codified herein, any unit therein had been
conveyed or been made subject to an agreement to convey to any
transferee other than a declarant or an affiliate of a declarant.
C. "Declarant" means any person who:
1. Executes as declarant the document, however
denominated, that creates a condominium by setting forth the
information required by RCW 64.34.216 and any amendments to
that document; or
2. Reserves any special declarant right in the declaration;
or
3. Exercises special declarant rights or to whom special
declarant rights are transferred; or
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4. Is the owner of a fee interest in the real property which
is . subjected to the declaration at the time of the recording of an
instrument pursuant to RCW 64.34.316 and who directly or
through one or more affiliates is materially involved in the
construction, marketing, or sale of units in the condominium
created by the recording of the instrument; or
5. Undertakes to convert, sell, or offer for sale units in a
conversion condominium.
D. "Director" means the Development Services Director or his
designee.
E. "Notice of conversion" means the 90 day notice pursuant to
RCW 64.34.440(1) required to be given by the declarant or his
agent to residential tenants and subtenants in possession of a
portion of a conversion condominium.
F. "Person" means a natural person, corporation, partnership,
limited partnership, trust, association, or other legal entity.
G. "Tenant" or "subtenant" means any person who occupies
and has a leasehold interest in a rental unit under a lawful rental
agreement, whether oral or written, express or implied.
H. "Unit' means a physical portion of the condominium
designed for separate ownership, the boundaries of which are
described pursuant to RCW 64.34.216(1)(d).
19.95.020 Relocation assistance.
A. Declarant shall pay relocation assistance of five hundred
dollars ($500.00) per unit to tenants and subtenants who elect not
to purchase a unit and who are in lawful occupancy for residential
purposes of a unit, and whose monthly household income from all
sources, on the date of the notice of conversion, was less than an
amount equal to eighty percent (80 %) of the monthly median
income for comparably sized households in the Seattle- Everett
Standard Metropolitan Statistical Area, as defined and established
by the United States Department of Housing and Urban
Development.
B. The household size of a unit shall be based on the number
of natural persons actually in lawful occupancy of the unit on the
date of the notice of conversion.
C. The tenant or subtenant actually in lawful occupancy of the
unit shall be entitled to the relocation assistance.
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D. Relocation assistance shall be paid on or before the date the
tenant or subtenant vacates and shall be in addition to any damage
deposit or other compensation or refund to which the tenant is
otherwise entitled. Unpaid rent or other amounts owed by the
tenant or subtenant to the landlord may be offset against the
relocation assistance.
E. Rights of tenants and subtenants set forth in the notice of
conversion pursuant to RCW 64.34.440(1) must set forth tenants'
and subtenants' right to relocation assistance as provided in this
section.
19.95.030 Violations.
It shall be a violation of this chapter for a declarant to fail or refuse
to comply with the provisions of this chapter. Each tenant and
subtenant who is subjected to a violation of the provisions of this
chapter shall constitute a separate violation. Each day of violation
shall constitute a separate violation.
19.95.040 Civil penalty.
Any person who fails or refuses to comply with the provisions or
requirements of this chapter shall be subject to a civil penalty in
the amount of one hundred dollars ($100.00) per violation per day
from the date that the violation is first committed until the
declarant complies with the requirements of this chapter.
19.95.050 Enforcement.
A. Tenants and subtenants subjected to violations of the
provisions of this chapter, or their agents, may file a complaint
with the Director. The Director is authorized and directed to
receive complaints and conduct such investigations as are deemed
necessary such as contacting declarants and seeking explanation
for apparent violations.
B. Whenever it is determined that there has been a violation of
this chapter, the Director is authorized to pursue, at the Director's
discretion, enforcement of the code pursuant to provisions Chapter
20.110 ECDC.
Section 2. Severability. If any section, sentence, clause or phrase of this
ordinance should be held to be invalid or unconstitutional by a court of competent jurisdiction,
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such invalidity or unconstitutionality shall not affect the validity or constitutionality of any other
section, sentence, clause or phrase of this ordinance.
Section 3. Effective Date. This ordinance, being an exercise of a power specifi-
cally delegated to the City legislative body, is not subject to referendum, and shall take effect
five (5) days after passage and publication of an approved summary thereof consisting of the
title.
APPROVED:
---- A4�4-��
MAYO GA HAAKENSON
ATTEST /AUTHENTICATED:
,. . a. We
CITY CLERK, SANDRA S. CHASE
APPROVED AS TO FORM:
OFFICE OF CJXY ATTORNEY:
BY
W. SCOTT SNYDER
FILED WITH THE CITY CLERK: 11/03/2006
PASSED BY THE CITY COUNCIL: 11/06/2006
PUBLISHED: 11/12/2006
EFFECTIVE DATE: 11/17/2006
ORDINANCE NO. 3610
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Mr. Bowman did not support the warranty ordinance, finding that an issue that was best addressed by the
buyer in the Purchase and Sale Agreement. He supported requiring a developer involved in a
condominium conversion to provide $500 in relocation assistance to low income tenants.
City Attorney Scott Snyder noted as Bio Park of his office indicated in his memo to the Council, a similar
State Statute providing for larger compensation was struck down by the State Supreme Court, thus even
requiring $500 had the potential for challenge. He noted there was a provision for more compensation
under the Landlord Tenant Act; however, the City was required to match the payment.
Mayor Pro Tem Dawson was aware of a number of bills that may be proposed in the upcoming legislative
session including mobile home park conversions as well as a proposal to increase assistance to $2500.
She noted the warranty provisions seemed to be intended for urban areas to slow the process for
conversion of large buildings where tenants were required to make a quick decision with no warranty
protection. Mr. Bowman noted only Seattle and Mercer Island enacted the warranty provision.
Councilmember Moore commented the warranty provision did not protect low income residents as they
were not the ones purchasing the unit.
Mayor Pro Tem Dawson commented that unlike areas such as New York City, there were likely few
people renting apartments in Edmonds who would be capable of purchasing their apartment when it was
converted to a condominium.
orda 3610 1 COUNCILMEMBER MARIN MOVED, SECONDED BY COUNCILMEMBER WAMBOLT, FOR
Condommium APPROVAL OF ORDINANCE NO. 3610.
Conversions
Councilmember Marin commented he was interested in low income housing. He recalled a document at
Snohomish County Tomorrow that stated Edmonds was fortunate to have more affordable rental
properties than other nearby cities because many rental properties were older and the rents were more
affordable. He noted condominium conversions eliminated those affordable rental properties.
Councilmember Plunkett advised the Washington State Realtors Association and the Governor in
association with the Affordable Housing Advisory Board would be recommending action to the
legislature and he preferred to delay any Council action pending the Legislature's action.
Mayor Pro Tem Dawson commented she had been working recently on affordable housing and efforts to
prevent homelessness in Snohomish County. She pointed out land prices made it infeasible to build
affordable housing in South Snohomish County; therefore, it was important to maintain the existing stock
of affordable housing as well as maintain a wide variety of housing types in the community. Recognizing
that $500 was not a great deal of money, it would assist tenants displaced by condominium conversion
and possibly prevent someone from becoming homeless. She was aware the Legislature may be taking
action this session; if they did, the Council could revisit this issue in a few months.
Council President Pro Tem Olson agreed although $500 was not a great deal, it was something. She
referred to two apartment buildings in Edmonds that recently became low income housing. Mayor Pro
Tem Dawson clarified those apartments were purchased by the Housing Authority, one of the only ways
to preserve low income housing in the community.
MOTION CARRIED (6 -1), COUNCILMEMBER PLUNKETT OPPOSED.
13. MAYOR PRO TEM COMMENTS
Mayor Pro Tem Dawson thanked Senior Executive Council Assistant Jana Spellman for the flowers for
her birthday.
Edmonds City Council Approved Minutes
November 6, 2006
Page 18
14. COUNCIL COMMENTS
Vrick or Treat Council President Pro Tern Olson wished Mayor Pro Tern Dawson a Happy Birthday. She reported she
vent took her granddaughter downtown on Halloween where the merchants did a great job distributing candy.
riendsofthe She next reported the Friends of the Edmonds Library raised over $9,000 at their recent book sale and
drn ds thanked everyone for their support.
ibrary
Councilmember Moore complimented the Council for passing the Planning Board's recommendation
regarding Hwy. 99 with the caveat that the Planning Board review the setbacks and landscaping
requirements. She anticipated this would assist with positive development on Hwy. 99. She suggested
Quasi Judicial next year, possibly at the Council retreat, revisiting the Council's role in quasi judicial decision - making.
oleofthe She favored the Council extracting themselves from quasi judicial reviews as much as possible,
Ounc`l commenting on the difficulty for Councilmembers to be unable to talk to residents. She also viewed the
Council sitting as judges on the City's code as a conflict of interest. She commented the current situation
was the worst case scenario — a perfect storm of quasi judicial decision- making holding up an important
Council decision.
Councilmember Wambolt wished Mayor Pro Tem Dawson a Happy Birthday.
15. ADJOURN
With no further business, the Council meeting was adjourned at 10:15 p.m.
Edmonds City Council Approved Minutes
November 6, 2006
Page 19
SUMMARY OF ORDINANCE NO. 3610
of the City of Edmonds, Washington
On the 6th day of November, 2006, the City Council of the City of Edmonds,
passed Ordinance No. 3610. A summary of the content of said ordinance, consisting of the title,
provides as follows:
AN ORDINANCE OF THE CITY OF EDMONDS,
WASHINGTON, CREATING A NEW CHAPTER 19.95 ECDC
CONVERSION CONDOMINIUM, PROVIDING FOR
SEVERABILITY; AND FIXING A TIME WHEN THE SAME
SHALL BECOME EFFECTIVE.
The full text of this Ordinance will be mailed upon request.
DATED this 7th day of November, 2006.
ITY CLERK, SANDRA S. CHASE
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Affidavit of Publication
STATE OF WASHINGTON, S.S.
COUNTY OF SNOHONIISH
RECEIVED
NOV 2 0 2006
EDMONDS CITY CLERK
Account Name: City of Edmonds
Subscribed and swom to before me this
13th
Account Number: 101416 Order Number. 0001455030
The undersigned, being first duly sworn on oath deposes and says that she is Principal Clerk
of THE HERALD, a daily newspaper printed and published in the City of Everett, County of
Snohomish, and State of Washington; that said newspaper is a newspaper of general
circulation in said County and State; that said newspaper has been approved as a legal
newspaper by order of the Superior Court of Snohomish County and that the notice
SUMMARY OF ORDINANCE NO. 3610
o t e ity o mon s, as m9ton
November, 2006, the City Council of the
Ordinance NO. 361
On the 6th day of
City of Edmonds, passed Ordinance No. 3610. A summary of
the content of said ordinance, consisting of the title, provides
as follows:
AN ORDINANCE OF THE CITY OF EDMONDS,
WASHINGTON, CREATING A NEW CHAPTER 19.95
ECDC CONVERSION CONDOMINIUM, PROVIDING
FOR SEVERABILITY, AND FIXING A TIME WHEN THE
SAME SHALL BECOME EFFECTIVE.
The E tent of d Ordinance be 2 mailed upon request.
DATED this 7th day of November,
a printed co of which is hereunto attached, was published in said newspaper proper and not
p py
S. CHASE
City Clerk
in supplement form, in the regular and entire edition of said paper on the following days and
Published: November 12, 2006.
times, namely:
November 12, 2006
and that said newspaper was [reg�ula�rly_dissttribbuuted to its subscribers during all of said period.
�/ (1T'1.1/
RECEIVED
NOV 2 0 2006
EDMONDS CITY CLERK
Account Name: City of Edmonds
Subscribed and swom to before me this
13th
Account Number: 101416 Order Number. 0001455030