Eugene Hearing Official <br />August 14, 2024 <br />Page 9 <br /> <br />individually or cumulatively, discourage the development of all middle housing <br />types permitted in the area through unreasonable costs or delay. Local <br />governments may regulate middle housing to comply with protective measures <br />adopted pursuant to statewide land use planning goals.” <br /> <br />The /PD overlay zone at issue in this case imposes severe limitations on housing development, <br />whether residential development is proposed under either the General track in EC 9.8320 with its <br />discretionary standards, or under the Clear and Objective track in EC 9.8325 with its <br />nondiscretionary standards. <br /> <br />Other code restrictions, whether in this code or other city codes, and whether manifested as <br />overlays, PUD requirements or otherwise, would effectively exempt an unquantified but <br />undoubtedly substantial share of all “areas zoned for residential use that allow detached single- <br />family development.” Examples include the /SR Site Review Overlay Zone (EC 9.4400, EC <br />9.8425) and the /# Residential Density Overlay Zone (EC 9.4050). In so doing, they would <br />greatly reduce the existing capacity of urban growth boundaries to “reasonably accommodate” <br />cities’ housing needs for “the next 20 years” as required by Oregon’s Needed Housing Statutes <br />(ORS 197.296) and LCDC’s Urbanization Goal, both of which are important context for the <br />statutory language in question. <br /> <br />For example, under the General Track, there are 15 /PD standards in E 9.8320; the City has <br />discretion to deny any residential development proposal under one or more of those 15 standards. <br />Thus, the /PD discretionary track gives the City authority to negate any residential development <br />proposal. The overlay changes the overall zoning designation from one that allows single family <br />detached residential uses as of right to one that might allow single family residential uses or, <br />more accurately, to zoning that potentially negates all residential uses. Under the Clear and <br />Objective track, any R-1 land above the 901’ elevation may not be developed at all. In those <br />areas the R-1 zone is effectively nullified. <br /> <br />The context of the statute supports reading its reference to “areas zoned for residential use” as <br />meaning the base zoning district, not including any overlay zones the City wants to apply or <br />enforce. That context includes not only the statewide housing goal and needed housing statutes, <br />but also the statewide planning statutory framework of which they are an integral part. That <br />framework’s foundation stones include commitments to protect rural resource lands while also <br />accommodating urban needs including affordable, accessible housing at prices, rents, and <br />locations within compact urban growth boundaries that are to be expanded only when they can <br />no longer “reasonably accommodate” project urban growth needs. See 1000 Friends v. LCDC <br />(McMinnville), supra. <br /> <br />Speaker Kotek’s linkage of the middle housing statute’s purpose with that broader framework is <br />reflected throughout ORS Chapters 197 and 197A. Among other places, it is found in the UGB <br />expansion area priority “tiering” statute, ORS 197.298, and, perhaps most importantly, in the <br />Housing Needs Statute. <br /> <br />ORS 197.296, which outlines the methodology for determining both need and capacity,