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HomeMy WebLinkAbout02-07-2012 SS2 Historic Preservation ProgramFROM: Prepared By SUBJECT: council ac En bA nepoit C I T Y OF S A N L U I S O B I S P O Derek Johnson, Community Development Director Phil Dunsmore, Senior Planner Meeting De 2/7/12 Item Number S S 2 STUDY SESSION- HISTORIC PRESERVATION PROGRAM RECOMMENDATION Receive a presentation on the Historic Preservation Program. REPORT IN BRIEF The General Plan established policies on historic preservation beginning in 1976, however it wasn't until the early 1980's that the City began to implement historic preservation policies and began surveying properties to establish a historic resource inventory. This action was synonymous with activities that were taking place nationwide as part of a movement to recognize historic resources. In 1987, the City formalized the Cultural Heritage Committee, adopted preservation guidelines, and formalized policies to recognize historic resources in the General Plan. Today, there are more than 700 historic resources in the City, and the City continues to survey properties and encourage preservation by providing a variety of incentives and benefits. Staff and the CHC continue to pursue training opportunities in an effort to remain up -to -date on the latest trends in historic preservation by attending workshops, seminars, and communicating with the State Office of Historic Preservation staff. A significant milestone last year was completion of the Historic Preservation Ordinance which provided further guidance to the historic resource inventory process and allowed the City to move forward with an application to become a Certified Local Government (CLG). As we move forward, we are continuing efforts to refine the City's historic resource inventory while recognizing emerging trends in preservation. CLG status will forward these efforts as potential grant funding becomes available. On the horizon, preparation of a historic context statement will complete the City's policy documentation and greatly assist the review and I dentification of historic resources. DISCUSSION Background Historic Preservation was identified in the 2011 -2013 Financial Plan as Council goal to be achieved as resources permit. Specifically, the goal is to "continue to promote historic resource preservation opportunities and update the City's Historic Resource Inventory." This study session outlines the City's Historic Preservation Program, where it began, where we are today, and what the future holds - with a focus on the review process and program benefits. SS2 - 1 Council Agenda Report Historic Preservation Program Paqe 2 General Plan Policy Direction The City's Land Use, Conservation and Open Space, Housing, and Parks and Recreation Elements all provide policies that are specific to historic preservation. A complete list of applicable policies has been included as Attachment 1. Historic Preservation in the City- a brief history The City incorporated Historic Preservation Policies in the 1976 General Plan, and in the early 1980s, the City initiated a citywide inventory of historic resources and moved forward with implementing policies that addressed historic preservation. As with many areas of the country in the 1970s and 80s, the issues of historic preservation in San Luis Obispo found a larger voice as several projects threatened the fabric of some of the historic areas and neighborhoods. Special interest was focused on the commercial downtown area and the Old Town neighborhood with its representation of historic architectural styles. Although the 1976 General Plan identified potential historic resources and buildings at risk it wasn't until 1982 that the City initiated the first citywide inventory of historic resources. The City hired a contract planner — Alondra Oubre -- to conduct the training and survey effort. She, in turn, brought in outside experts to conduct training sessions for the 80 survey volunteers. One of the experts was the late Carleton Winslow, an architectural historian. He trained the volunteers in recognizing and describing historical building features and architectural styles. There were training packets and exercises, with thousands of volunteer hours expended. In addition to the initial architectural survey work, research work was done to evaluate the historic background of each property. The survey evaluated 2,000 pre -1941 buildings and resulted in an inventory of 153 buildings. The inventory generated a Historic Resources list that is divided into two categories: 1. Master List designation is assigned to those properties that are the most unique or important resources in terms of age, architectural or historical significance, rarity or association with important persons or events in the City's past. 2. Contributing Properties are identified as those historic resources that contribute either by themselves or in conjunction with other structures to the character of an area. By 1987, the City Council formally established three historic zoning districts, adopted the Historic Preservation Program Guidelines and formally adopted the Cultural Heritage Committee (CHC) as a continuing special purpose advisory body. The City's first three "historic districts" were Downtown, Old Town and Mill Street. The CHC's primary role was, and continues to be, the identification and preservation of historic resources in the city. This includes inventorying historic resources in the City and recommending formation of new historic districts. This remains a major component of the CHC's work program today. In addition, the CHC reviews development projects that may impact historic resources, and advises City staff and the Architectural Review Commission on ways to avoid or mitigate those impacts. In the late 1980's the CHC initiated the second citywide historic resource survey (Survey Il). The City hired a consultant to complete this survey that began with 500 properties initially identified by the CHC. The list was reduced to 400 properties that were forwarded to the City Council for listing. Survey II was completed in 1992. More recently in 2006, focused area surveys were SS2 - 2 Council Agenda Report Historic Preservation Program Page 3 initiated by the CHC to evaluate residential neighborhoods east of the railroad, and the neighborhood known as Monterey Heights adjacent to Hwy 101 and Loomis Street. These smaller surveys resulted in the addition of approximately 20 properties to the City's list of historic resources. The City underscored the importance of historic resources in the current General Plan by including specific policies aimed at protecting these resources including provisions in the: Land Use, Housing, Conservation and Open Space and Parks & Recreation Elements. Attachment 1 provides for a list of policies applicable to historic preservation. These policies are administered by the Historic Preservation Program Guidelines and the Historic Preservation Ordinance (MC 14.01) Historic Preservation: Where is the program now? After nearly 30 years, the City of San Luis Obispo's historic preservation program continues to reflect community values for historic preservation. The City's historic resource list recognizes approximately 700 properties as either Contributing or Master List Historic Resources and the number of historic districts has expanded to five with the addition of the Chinatown and Railroad Historic Districts. The City's historic resource list continues to grow each year as property owners and the CHC nominate properties for listing independent of citywide surveys. Prompted by seismic retrofit requirements, owners of many of the historic buildings in the Downtown have upgraded their buildings to increase their safety while retaining the integrity of their materials and design, thus preserving the unique sense of place found in the Downtown. The City has an established Mills Act Program which allows up to ten (10) contracts per year where property owners of Master List resources are able to use property tax savings to help restore and maintain their properties. Owners of historic properties are also able to use the Historic Building Code when making changes to their historic resource which provides flexible and alternative ways to meet code requirements, thus making it easier to restore historic buildings. The passage of the Historic Preservation Ordinance allowed the City to submit an application to the State Office of Historic Preservation to become a Certified Local Government Program (CLG). This program will provide the City with historic preservation technical support as well as access to grants to further historic resource inventories and policy development. Historic Resource Inventory: the review process today The original and primary purpose of the CHC is to identify historic properties and districts and cultural resources. They may be consulted in the review of development projects within historic districts or on properties with historic or cultural resources. Typically a property owner will initiate a request to add a property to the City's Historic Resource Inventory, however the CHC, ARC, Planning Commission or Council may also nominate properties for listing. The process itself is defined in the City's Historic Preservation Ordinance, and guided by historic significance i criteria from the State Office of Historic Preservation and the National Park Service guidelines. The City's Ordinance outlines criteria for listing based on Architectural Criteria, Historic Criteria and Integrity provisions. A copy of the Ordinance (MC 14.01) has been provided in the Council SS2 - 3 Council Agenda Report Historic Preservation Program Page 4 reading file. When a property is nominated for historic listing, the nomination must be accompanied by supporting information. Whether the information is prepared by a professional historian, or the effort is performed by City staff or the CHC, the same criterion is utilized to evaluate each resource. The typical review process for a potential resource includes the following: Does the resource display distinctive architectural features? The building or resource is evaluated for whether it reflects a notable or distinct style or follows a particular theme that reflects a particular historical pattern or time of development in the City. This may also be affected by the architect who designed the building, such as the case with Julia Morgan and the Monday Club building. Is the resource associated with people or events important to the history of the City? Resources are evaluated for their association with historic events, historic persons, or with the historic context. Staff relies on the City's historic resource library, testimony of property owners, a review of previous property ownership, and known events that have occurred through history. The historic resource library in Community Development is often a starting point for this research. At a minimum, the library contains information such as early City maps (Sanborn Maps), early phone directories, and volumes of historic resource background reports covering a large range of properties. Does the property maintain integrity? Integrity is a key component when considering whether a property may be eligible for listing. The National Register traditionally recognizes a property's integrity through seven aspects or qualities: location, design, setting, materials, workmanship, feeling, and association. Changes made to continue the function of a structure during its existence may acquire significance in their own right. These changes do not necessarily constitute a loss of integrity. Integrity of materials determines whether or not an authentic historic resource still exists. Workmanship is important because it can furnish evidence of the technology of the craft, illustrate the aesthetic principles of a historic period, and reveal individual, local, regional, or national applications of both technological practices and aesthetic principles. Although it is itself intangible, feeling is dependent upon the structure's significant physical characteristics that convey its historic qualities. A building may still retain its integrity even though it may have changed since it was originally constructed. The "recipe" for evaluating historic resources is described by the State Office of Historic Preservation (OHP) and allows for a consultant, CHC or staff to use the same measurement criteria, thereby ensuring consistency of evaluation. The City's list of historic resources is one that designates properties that are significant at a local level. Both the state and federal governments also have lists of historic resources that reflect properties that are significant at a state or national level (California Register and National Register respectively). Several properties appearing on the City's list of Historic Resources have been recognized by the state and federal government — for instance the Jack House is included on the National Register of Historic Places. Regardless of how the request for listing has been initiated, the local process remains the same: the CHC reviews information regarding the request SS2 - 4 Council Agenda Report Historic Preservation Program Page 5 and forms a recommendation that is considered by City Council for final determination. CHC and Staff Liaison Training Staff and the CHC are provided with training opportunities several times each year in order to maintain skills applicable to historic preservation work. For example, in 2011 committee members and staff attended a two -day historic preservation conference in Santa Monica and a one -day conference on Historic Contexts in Norco. Staff recently held a 3 -hour workshop presentation with the CHC which included Marie Nelson from the State Office of Historic Preservation. Additionally, staff and one of the committee members recently attended a planning conference in Santa Barbara where three sessions specific to historic preservation were attended. Staff is also coordinating training with the City of Monterey to evaluate their historic preservation program. Published standards by the National Park Service (NPS) and the State Office of Historic Preservation are used as reference sources for both staff and CHC members. In addition, the resolution establishing the CHC specifies qualities of membership including knowledge of local history, training or experience in structural rehabilitation and knowledge of architecture. The Council reviews the qualifications of CHC members prior to appointment to ensure the advisory body will have adequate representation and knowledge suitable to their mission. Historic Preservation incentives and benefits The City's updated Historic Preservation Program Guidelines provide for a comprehensive list of preservation incentives. The discussion below highlights some of the more commonly utilized benefits. Mills Act The City Council launched the Mills Act program as an incentive to encourage restoration and preservation of significant historic properties. The Mills Act contract requires a property owner to preserve and restore a property based on specific contract requirements that are tailored for each property. In most cases, these contracts result in significant enhancements to properties and contribute to the overall appearance of the neighborhoods. Up to ten properties per year may be added to the program. The Mills Act Program is one of the only financial incentives the City has to encourage the preservation of historic buildings. Attachment 2 provides an overview of the Mills Act calculation and it's financing. Historic Building One of California's most valuable tools for the preservation of historic resources is the California State Historical Building Code (CHBC), The CHBC is intended to save California's architectural heritage by recognizing the unique construction issues inherent in maintaining and adaptively reusing historic buildings. The CHBC provides alternative building regulations for permitting repairs, alterations and additions necessary for the preservation, rehabilitation, relocation, related construction, change of use, or continued use of a "qualified historical building or structure." The CHBC does not relieve properties of ADA requirements; however it does allow the consideration of historic features for accessible modification requirements. This includes resources that are listed in the City's Contributing or Master List categories. SS2 -5 Council Agenda Report Historic Preservation Program Page 6 Modified Development Standards If modifications to the zoning standards, such as setbacks, building height, or parking requirements can serve to facilitate preservation or reduce impacts to a historic resource, the resource may be eligible to use alternative standards. The review of the request to use "alternative" standards is administered through the use permit process. Heritage Tourism Heritage tourism is one of several terms, including historic tourism, and cultural heritage tourism, that describe tourism focusing on legacy or tradition. In a 2010 California State Parks survey it was found that cultural and heritage travelers spend more, travel more frequently, seek out educational cultural and heritage experiences, and are willing to pay more for lodging that reflects the authentic experience. Well educated and affluent, they spend an average of $994 per trip, and contribute more than $192 billion annually to the U.S. economy. They have high expectations for authenticity, . uniqueness, experience, and value. In San Luis Obispo the "Historic Downtown ", the Mission and the unique neighborhoods surrounding the downtown are a significant attraction for heritage tourism. The City's Historic Preservation Program seeks to protect the City's resources. Historic Plaques Both Contributing and Master List resources are eligible to receive a plaque that identifies a resource's construction date and historical significance. The historic plaque program contributes to pride of ownership while helping recognize historic resources. With the recent publication of the City's first historic newsletter, requests for plaques have increased, and the community's reception of the plaque program has been very positive. Other Financial Benefits In partnership with the State Office of Historic Preservation, the National Park Service offers tax incentives for preserving historic properties. The program offers tax credits and benefits associated with Historic Preservation easements. The tax credit is applied towards historic building rehabilitation expenses and is designed to ensure that rehabilitation work complies with the Secretary of Interior Standards for rehabilitation. A historic preservation easement is a voluntary legal agreement that permanently protects an historic property. Through the easement, a property owner places restrictions on changes to the historic property, then transfers these restrictions to a preservation or conservation organization. A property owner who donates an easement may be eligible for tax benefits, such as a Federal income tax deduction. Further details on these benefits are outlined in the NPS website at http: / /www.nps.gov /tps /tax- incentives.htm. The Future of Historic Preservation: Where are we going? The City's historic preservation program retains considerable value as it continues to provide incentives for preservation and guidance for the treatment of historic resources. The original historic resource inventories of the 1980's are somewhat outdated and need to be reviewed, and there are areas of the City that have never been inventoried. This section discusses current survey work, the CLG application, and the need for the preparation of a Historic Context Statement. Historic Resource Surveys The original City historic surveys were integral to identifying resources and establishing the SS2 - 6 Council Agenda Report Historic Preservation Program Page 7 City's existing historic preservation districts. Although the process to list and evaluate these properties was done with due diligence, nearly 30 years have passed and the CHC has identified the need to re- evaluate these original efforts. This effort will take place in phases with the first phase focusing on portions of the City that were missed in the original survey. Later phases would re- evaluate the original survey areas to determine whether there are other resources or whether conditions have changed that would impact the continued eligibility of resources on the list. At this time, the CHC is leading an effort to survey a ten block area in the neighborhood adjacent to Johnson Avenue and the railroad tracks, including portions of Higuera, Marsh, Pacific, Pismo and Leff Streets (Attachment 2) that was not covered in the original survey efforts. The results of this initial survey will be evaluated at the February and March CHC hearings before a recommendation is forwarded to the Council. Certified Local Government Participation In December, 2011 the City Council approved a resolution to allow the City to submit an application to OHP to become a CLG. This "partnership" will open up the City to greater information exchange and training opportunities and will allow the City to be eligible to apply for grants to assist with historic resource inventories or preparation of policy documents and other historic preservation activities. OHP is now in the process of creating a certification agreement for the City's approval before the application is sent to the National Park Service. This should allow the City to be eligible for the 2012 grant cycle that begins in April. Historic Context Statement One of the key elements currently missing from the City's historic preservation program is a complete historic context statement. Typically, these statements are fairly comprehensive and identify specific themes of development (with associated building types), social patterns, and significant historic aspects that are associated with the community. The CHC has identified the need to develop a historic context statement to guide future preservation efforts. For example, the City's context statement might start by discussing the Native American period, followed by the early patterns of Spanish settlements associated with the mission, and then continue through time to discuss the community's agricultural, railroad, and university associations. The City may wish to apply for grant funding through the CLG program to complete a historic context statement with the assistance of a consultant. CONCLUSION San Luis Obispo has a rich cultural heritage and an informed citizenry and property owners who have valued and protected that heritage. The stability of the City's economy and its popularity as a tourist destination is due, at least in part, to its historic nature, character and appearance. It is important to preserve and protect the City's significant historical resources of all types: residential, commercial, and industrial. A successful program should assure that these resources reflect the full spectrum of San Luis Obispo's cultural heritage — from the significant Mission and City owned adobes to the ornate Victorian residences of prominent citizens to the modest structures that served the railroads and the City's early patterns of development. SS2 -7 Council Agenda Report Historic Preservation Program FISCAL IMPACTS Page 8 No fiscal impacts are associated with this report as this is an overview of ongoing historic preservation activities. ALTERNATIVES The City Council may suggest alternative approaches to the future of the historic preservation program or suggest that staff return to the Council for an annual review of the program. ATTACHMENTS 1. General Plan Policies applicable to historic preservation 2. Mills Act-Contracts excerpt 3. 2012 Historic Resource Inventory map Council Reading File: Historic Preservation Ordinance, Historic Preservation Program Guidelines, Historic Resource Inventory 2012 workbook, Historic newsletter; 1976 General Plan: Volume 1 of the 1983 Historic Resources survey; Historical and Architectural Conservation Easement G: \CD- PLAN\Pdunsmore \CHC \Study Session \CC rpt 2- 7- 12.docx SS2 — 8 Attachment 1 General Plan Policies Associated with Historic Preservation Land Use Element Policy 4.12 Building Conservation and Compatibility Architecturally and historically significant buildings should be preserved and restored. New buildings should be compatible with architecturally and historically significant buildings, but not necessarily the same style. Conservation and Open Space Element Policies 3.3.1 Historic preservation. Significant historic and architectural resources should be identified, preserved and rehabilitated. 3.3.2 Demolitions. Historically or architecturally significant buildings should not be demolished or substantially changed in outward appearance, unless doing so is necessary to remove a threat to health and safety and other means to eliminate or reduce the 3.3.3 Historical documentation. Buildings and other cultural features that are not historically significant but which have historical or architectural value should be preserved or relocated where feasible. Where preservation or relocation is not feasible, the resource shall be documented and the information retained in a secure but publicly accessible location. An acknowledgment of the resource should be incorporated within the site through historic signage and the reuse or display of historic materials and artifacts. 3.3.4 Changes to historic buildings. Changes or additions to historically or architecturally significant buildings should be consistent with the original structure and follow the Secretary of the Interior's Standards for the Treatment of Historic Buildings. New buildings in historical districts, or on historically significant sites, should reflect the form, spacing and materials of nearby historic structures. The street appearance of buildings which contribute to a neighborhood's architectural character should be maintained. 3.3.5 Historic districts and neighborhoods. In evaluating new public or private development, the City should identify and protect neighborhoods or districts having historical character due to the collective effect of Contributing or Master List historic properties. Conservation and Open Space Element Programs The City will do the following to protect cultural resources, and will encourage others to do so, as appropriate. 3.6.1 Cultural Heritage Committee. A. The City's Cultural Heritage Committee will: 4. Help identify, and advise on suitable treatment for archaeological SS2 -9 Attachment 1 and historical resources. 5. Develop information on historic resources. 6. Foster public awareness and appreciation of cultural resources through means such as tours, a web site, identification plaques and awards. 7. Provide recognition for preservation and restoration efforts. 8. Communicate with other City bodies and staff concerning cultural resource issues. 9. Provide guidance to owners to help preservation and restoration efforts. 10. Review new development to determine consistency with cultural resource preservation guidelines or standards. 3.6.2 Financial assistance and incentives. The City will participate in financial assistance programs, such as low- interest loans and property tax reduction programs that encourage maintenance and restoration of historic properties. 3.6.3 Construction within historic districts. The Cultural Heritage Committee and Architectural Review Commission will provide specific guidance on the construction of new buildings within historic districts. 3.6.4 Post - disaster Historic Preservation. The City will be prepared to assess the condition of historic buildings that may be damaged by disasters and to foster their restoration whenever feasible. 3.6.5 Archaeological resource preservation standards. The City will maintain standards concerning when and how to conduct archaeological surveys, and the preferred methods of preserving artifacts. 3.6.6 Educational programs. The City will foster public awareness and appreciation of cultural resources by sponsoring educational programs, by helping to display artifacts that illuminate past cultures and by encouraging private development to include historical and archaeological displays where feasible and appropriate. 3.6.7 Partnering for preservation. The City will partner with agencies, non - profit organizations and citizens groups to help identify, preserve, rehabilitate and maintain cultural resources. 3.6.8 Promote adaptive reuse of historic buildings. The City will, consistent with health, safety and basic land -use policies, apply building and zoning standards within allowed ranges of flexibility, to foster continued use and adaptive reuse of historic buildings. 3.6.9 City -owned adobes and historic structures. The City will preserve and, as resources permit, rehabilitate City -owned historic adobes and other historic structures by aggressively seeking grants, donations, private- sector participation or other techniques that help fund rehabilitation and adaptive reuse. Housing Element Policy and Program Housing Element Policy 3.5 Preserve historic homes and other types of historic residential buildings, historic districts and unique or landmark neighborhood features. SS2 - 10 Attachment 1 Housing Element Program 3.11 Identify residential properties and districts eligible for local, State or Federal historic listing and prepare guidelines and standards to help property owners repair, rehabilitate and improve properties in a historically and architecturally sensitive manner. ks and Recreation Element Parks and Recreation Element Policy 3.19.3 The City will maintain the historic Rodriguez, Butron, and La Loma Adobes, once restored, and any adjoining park lands in a manner consistent with their restoration. The adobes shall be open and available to the public, depending on the level of restoration. SS2 - 11 Attachment 2 Mills Act Contracts Historic Preservation is an important goal of the City's General Plan, as described in Conservation and Open Space Element policies 3.21.1, 3.21.4, 3.30.2 and Land Use Element policy 4.12. By providing a financial incentive, the Mills Act Program is one of the most effective preservation tools available to achieve these goals and encourage the preservation of historic buildings. At this time, it is the only significant financial incentive available for the restoration and preservation of historic properties in the City. Commercial and residential properties on the Master List of Historic Resources are eligible for the program. Mills Act contracts are prepared using standard language provided by the State Historic Preservation Office. Standard features of the contracts include: 1. The County Tax Assessor assesses the historic property's value using a "Capitalization of Income" method. This assessment method can often result in significant property tax savings, particularly for properties acquired after the 1990s. If the contract is canceled, the assessment is gradually increased to market value basis over the remaining contract term. 2. The property owner must promise to preserve the building and to use the tax savings to maintain and /or improve the historic building to enhance its historical value, exterior appearance, structural condition, or longevity. Each contract includes an exhibit which lists the maintenance and improvement measures for which tax savings will be used. 3. The contract is recorded, and is binding on subsequent owners, heirs, or assigns until the agreement is canceled. There is a significant financial penalty for breach of the historic contract. 4. Mills Act Contracts have a minimum 10 -year term. The agreement is self - renewing annually for additional one -year terms, so there is always 10 years remaining on the contract until the owner or City decides not to renew the contract. Once written notice of non - renewal is given, the contract will remain in effect for the balance of the term remaining since the original contract execution or since the last renewal date, as the case may be. The agreement may be amended by mutual consent of the City and property owner. 5. Building changes are possible under the contract; however changes must comply with all City requirements and with the Secretary of the Interior's Standards for Historic Preservation Projects, with the guiding objective being the preservation of the building's original historical character and significance. FISCAL IMPACT How the Assessor calculates Mills Act benefits The County tax assessor calculates the final tax savings for each property under the Mills SS2 - 12 Attachment 2 act on a case by case basis using the "Capitalization of Income method ". This method is defined in the Revenue and Taxation Code, Section 439.21. Mills Act contracts are unusual among preservation incentives in that tax benefits are available not only for income property but also for owner- occupied property. Typically, there is a three step process the Assessor uses to calculate the Mills Act property tax rate. First the Assessor determines fair rent or gross income. Then, maintenance costs are estimated and subtracted from the rent or income. Finally, the restricted capitalization rate is applied to determine the restricted value. The Mills Act contract allows the use of restricted value for property tax purposes versus current market value which often results in tax savings, especially for properties that have recently changed ownership. Citywide Fiscal Impacts The Mills Act reduces the tax base liability and therefore reduces the annual tax payment in exchange for Historic property maintenance and upgrades. Properties that have recently changed ownership will obviously have a much larger tax base and therefore will result in potentially larger fiscal impacts. For some properties, tax bills can be reduced by as much as 50 %. The current tax rate for properties in the City is approximately 1.1% The City receives approximately 14.9% of this 1.1 % while the remainder goes to other resources such as the County and the school district. For example, annual tax on a property with a base value (land and improvements) of $600,000 would be approximately $6,000 and the City would receive approximately $894 annually. There were 52 Mills Act contracts as of December 2010. 5 of these contracts cover commercial buildings and 47 apply to residential structures. The County assessor has reported that the Tax Base property valuation for the 2010/2011 Tax Roll was reduced by $18,002,020 due to City of San Luis Obispo Mills Act contracts. This resulted in a reduction of approximately $26,000 in tax revenue to the City. While this may be averaged to approximately $500 /contract as an estimate of reduction in yearly tax revenue to the City, commercial buildings result in larger reductions than residential structures because of the much higher property valuation involved. SS2 - 13 Attachment 3 Phase One Historic Resources Evaluation 2011 1\17 V Z" 4k le N < Survey Boundary Railroad 'X N SS2-14