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SUBJECT: METHODS FOR CREATING HISTORIC DISTRICTS <br />DATE: SEPTEMBER 10, 2013 <br />PAGE3OF3 <br />The LMC requires the consent of at least 40 percent of the owners in a proposed district <br />for an application to be considered under the Designation with Owner's Consent <br />section. Applications for designation of a district will not be considered if there is written <br />opposition to such district formation from at least 40 percent of the property owners <br />within the district boundaries. When calculating the district's owner percentage, each <br />property receives one vote. <br />IMPLICATIONS <br />The stated intention of Chapter 15.36 is “to create a method to draw a reasonable <br />balance between private property rights and the public interest in preserving Louisville's <br />unique historic character by ensuring that demolition of, moving, or alterations to <br />properties of historic value shall be carefully considered for impact to the property's <br />contribution to Louisville's heritage.” <br />The methodology for creating a historic district specified by the LMC may contradict this <br />intent in two ways: <br />1)Homeowner consent –The consent of the landowner is required when <br />considering a potential landmark, yet it is possible to establish a historic district <br />without the consent of every homeowner in a potential historic district. <br />Specifically, the LMC allows a scenario where City Council could approve the <br />designation of a district with only forty percent of the home owners explicitly <br />agreeing to the designation and some percentage under forty opposing the <br />designation, and the remaining home owners abstaining. For example, if only <br />thirty percent of home owners in a proposed district opposed the formation of the <br />district, those home owners could be included against their will. <br />2)Noncontributing structure inclusion within a Historic District – A Historic <br />District boundary does not have to be contiguous and a noncontributing structure <br />can be excluded from the district. However, it is also possible to include a <br />noncontributing structure in a historic district. This raises questions of whether <br />Historic Preservation Fund (HPF) monies should/could be provided to <br />noncontributing structures in a historic district. It also raises the question of <br />whether a noncontributing structure should/would still be required to submit <br />alteration certificates for permitted exterior work. <br />FISCAL IMPACT <br />Not applicable <br />RECOMMENDATION <br />Discuss policy issues related to the methodology of creating a Historic District. <br />ATTACHMENTS <br />None <br />CITY COUNCIL COMMUNICATION <br />7 <br />