§ 10.107. DEMOLITION

A person shall not demolish or cause the demolition of a GL or a structure of any size or kind located within a HOD without securing approval as required by this Section. Review and permitting is an important element of achieving the goals of the City of Galveston 2011 Comprehensive Plan , but the demolition review and permitting process shall not be used to block demolition of structures without historic significance.

This Section does not affect the authority of the City to regulate, repair, demolish, or require corrective action to substandard buildings and dangerous structures. The Landmark Commission shall not deny a request for demolition of a structure that the City has determined to be structurally deficient.

A.

Applicability. The provisions in this Section apply to any structure designated as a GL or any structure in a HOD. They do not apply to properties in Neighborhood Conservation Districts (NCDs).

B.

Application for a Certificate of Appropriateness to Demolish a Historic or Contributing Structure. A property owner seeking demolition of a structure designated as a GL or of a structure in a HOD that the Officer determines is a contributing property shall submit to the Officer an application for a certificate of appropriateness requesting approval for demolition of the structure. The application shall include but may not be limited to all of the following:

1.

Signatures of All Property Owners. The application must be signed by all owners of the property.

2.

Affidavits. One or more affidavits in which:

a.

The applicant swears or affirms that all information submitted in the application is true and correct; and

b.

The owner(s) swears or affirms that they are the owner(s) of the subject property and that there are no other owner(s) of the property.

3.

Statement of Reasons. A statement of the reasons that the demolition is being sought and documentation in support of each reason cited.

4.

Burden of Proof. The applicant has the burden of proof in presenting all necessary facts and documentation to warrant approval of the application.

C.

Procedure for Reviewing Proposed Demolitions. The Officer shall review and act on all applications for demolition as specified in this Section. A building that is designated as a GL or that is classified as a contributing structure in a HOD shall not be demolished unless the Commission determines that preventing demolition would cause an economic hardship upon the owner. The following steps shall be completed to determine the appropriateness of a proposed demolition:

1.

Confirm Historical Significance. The Officer shall confirm whether the building is historically significant. In evaluating significance, the Officer shall determine If the building is a designated GL it is considered to be a contributing structure to the district in that it meets the criteria for designation in Section 10.104, Criteria for Historic Designation or that it is listed as such in an officially adopted survey of historic resources.

Additionally, the Officer shall determine if the building retains historic integrity as defined in Section 10.104.A.9. If the building is confirmed as a designated GL or a contributing structure within a HOD, the Officer shall consider if there is any new information that would alter the building's status as a historic resource.

2.

Input from Other Parties. The Officer may consult with other persons or entities including but not limited to the City departments, Texas Historical Commission, and local non-profit entities focused on historic preservation. Additionally, these agencies and entities may submit information to the Officer pertaining to a demolition request.

3.

Timing of Review Procedure. Upon the filing of a complete application, the Officer shall attempt to conclude the review process under this subsection within 60 days from the date the complete application was received. An application shall not be deemed complete until the applicant has provided the Officer all requested information in accordance with Section 13.304, Application Completeness Review. In some cases, more time may be necessary to obtain information necessary to the significance determination from the applicant or other sources, and the applicant will be advised of this.

4.

Result of Significance Determination. Following the review of the application materials submitted under Section 10.107.B, above, and the information gathered under this subsection, the Officer may:

a.

Determine that the building lacks historic significance in which case a certificate of appropriateness for demolition may be issued; or

b.

Determine that the building has historic significance in which case a certificate of appropriateness for demolition shall not be issued.

The Officer may refer any determination regarding historical significance or the appropriateness of proposed demolition to the Landmark Commission for review and decision.

5.

Appeal and Economic Hardship Options if Disapproved. The owner may appeal a disapproval decision by the Officer to the Commission as provided in Section 10.110, Appeals. The owner also may request a determination of economic hardship as provided in subsection 10.107.E, below, which may provide a basis for demolition to proceed.

D.

Delay of Demolition. When the City determines that a structure designated as a GL or a contributing structure in a HOD is structurally deficient, the Landmark Commission may request that the Building Official or Building Standards Commission delay a demolition order for the purpose of seeking an alternative to demolition in such cases.

E.

Claim of Economic Hardship. After denial of a certificate of appropriateness for demolition under this Section, an applicant may commence the hardship process. No building permit or demolition permit shall be issued unless the Commission finds that a hardship exists.

1.

Burden of Proof. When a claim of economic hardship is made due to the effect of this Section, the owner must prove that:

a.

He cannot realize a reasonable rate of return on the property unless the demolition is allowed regardless of whether the return realized is the most profitable return;

b.

The structure cannot be adapted for any other use that would result in a reasonable rate of return on the property; and

c.

He has failed during the last two years to find one or more purchasers or tenants for the property that would enable him to realize a reasonable rate of return on the property.

2.

Good Faith Efforts. The applicant shall consult in good faith with the Commission, Officer, local preservation groups and interested parties in a diligent effort to seek an alternative that will result in preservation of the property. Such efforts must be shown to the Commission.

3.

Required Information. An applicant claiming an economic hardship shall submit the following information to the Officer. If any of the required information is not reasonably available to or otherwise cannot be obtained by the applicant, he shall describe the reasons. The Commission may specify that certain information items are not relevant or necessary for a particular case.

a.

Nature of ownership (individual, business, or non-profit) or legal possession, custody and control.

b.

Amount paid for the property, date of purchase, or other means of acquisition of title such as gift or inheritance and the party from whom purchased or otherwise acquired including a description of the relationship between the owner and the person from whom the property was purchased.

c.

Financial resources of the owner and any parties in interest.

d.

Drawings, photographs, or written descriptions depicting the current condition of the structure.

e.

Assessed value of the land and improvements according to the two most recent assessments.

f.

Real Estate taxes for the previous two years.

g.

Verification of the presence or absence of a lien against the property from any agency.

h.

Current fair market value of the structure and property as determined by an independent licensed appraiser.

i.

All appraisals obtained by the owner or prospective purchasers within the previous two years in connection with the potential or actual purchase, financing, or ownership of the property.

j.

Any listing of the property for sale or rent, price asked, and any offers received within the previous two years.

k.

If the property is income-producing:

i.

Annual gross income from the property for the previous two years;

ii.

Itemized operating and maintenance expenses for the previous two years, including proof that adequate and competent management procedures were followed including but not limited to assurance of regular maintenance and inspection intervals of the property;

iii.

Annual cash flow, if any, for the previous two years and proof that efforts have been made by the owner to obtain a reasonable return on his investment based on previous service;

iv.

All capital expenditures during the current ownership;

v.

Annual debt service, if any, for the previous two years; and

vi.

Two separate detailed cost analyses conducted independently by contractors registered with the City who are proficient in rehabilitation and repair of historic structures that estimate the cost of making the building structurally sound and safe for use or occupancy.

vii.

A restoration study of the structure performed by a licensed architect that analyzes the feasibility of restoration or adaptive reuse of the structure.

4.

Review and Determination by Landmark Commission.

a.

The Officer shall submit the claim for economic hardship to the Commission a minimum of 30 days before the Commission considers the claim. The Commission may require the applicant to furnish such additional information that the Commission finds to be relevant to its determination of the claim.

b.

The Commission shall conduct a public hearing and consider the claim no later than the 30 ^th day following receipt of all the requested information. Applicants may appear before the Commission in person or by agent. Notices of all public hearings shall be in accordance with Section 13.308, Public Notice.

c.

The Commission shall attempt to render a final decision on the claim of economic hardship not later than the 60 ^th day following the day of the public hearing. The Commission may decide or the applicant may request to continue consideration of a claim of economic hardship to a later meeting, which shall be done in accordance with Section 13.311, Continuances and Withdrawal.

d.

The Commission shall, in an open meeting, approve, approve with conditions or deny the claim of economic hardship. If the Commission denies an application, the Commission shall state the reasons for the denial. The Commission shall consider all of the following in making its decision:

i.

The conditions the owner is required to prove under subsection 10.107.E.1, above.

ii.

Whether the cost of restoration or repair would render the property incapable of earning a reasonable return, taking into account guidance in the Historic Design Standards for evaluating the reasonable cost of maintenance and rehabilitation needs including possible use of alternative materials or treatments and the potential for identifying locations on individual buildings where more flexibility in meeting the standards may be granted.

iii.

The interest of preserving historic values will not be adversely affected or can be best served by such demolition.

F.

Issuance of Demolition Permits. If the Officer makes a finding of no historical significance and approves an application for demolition or if the Commission allows a demolition to proceed based on a successful claim of economic hardship and no appeal is made in accordance with this Division or other applicable law, the Building Official may issue a demolition permit if all other requirements pertaining to demolition are met. Nothing contained herein shall be construed to relieve the applicant of the necessity of obtaining any and all other permits required by the City or other agencies.

G.

Successive Applications. If an application for a certificate of appropriateness to demolish a structure is denied, an application that is substantially similar to the denied application shall not be accepted for one year from the date of the final decision unless the Commission waives the time limitation because the Commission finds that there are changed circumstances regarding the property that warrant a new hearing.

( Ord. No. 18-037, § 2, 6-21-18 )