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Depoe Bay staff weigh narrow odds for exception to Senate Bill 1537 after HAPO prescreen
Summary
City staff told the Depoe Bay Planning Commission they drafted an exception request to Oregon’s Senate Bill 1537 but said the Housing Accountability and Production Office (HAPO) review was not encouraging and that the city may struggle to meet the statute’s testimonial and 90% approval look‑back standards.
City planning staff updated the Depoe Bay Planning Commission on Oct. 8 about a potential exception request to Senate Bill 1537 and said they plan to recommend to the city administrator next week whether to pursue it.
The staff briefing explained that the Housing Accountability and Production Office (HAPO) — the state office charged with implementing parts of the law — provided presubmittal comments on Oct. 3 that were “not particularly encouraging,” and that HAPO emphasized requirements the city may find difficult to meet. Staff said HAPO noted jurisdictions seeking an exception must show a high historic approval rate for adjustment requests and that compelling developer testimonials improve chances; the city currently lacks multiple developer testimonials and cannot demonstrate a 90% approval rate over the required look‑back period.
Commissioners pressed staff on whether the statute’s five‑year look‑back is retroactive. Staff replied that the look‑back is applied from the time a jurisdiction requests an exception and that there likely are short‑term appeal and reapplication pathways. Staff also noted the law is scheduled to sunset in 2032, which could affect long‑term prospects for seeking relief.
Members questioned whether the new HAPO office and its standards are oriented to larger metropolitan jurisdictions and whether the office’s approach disadvantages small coastal towns. Staff acknowledged that HAPO’s initial reviews reflect statewide, largely metro‑centered criteria and said they would pursue follow‑up conversations with the HAPO field representative to clarify the city’s options.
No formal commission action was taken on Oct. 8. Staff said they would finalize recommended next steps and share a draft exception request with the city administrator and the commission in the coming week.
