7.1. HRSR 11-25-2002 - Laserfiche WebLink

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• Note: The coverage required by the parcel to be considered occupied is defined under Minnesota Statute Section 469.174, Subdivision 10, clause (e) which states: "For purposes of this subdivision, a parcel is not occupied by buildings, streets, utilities, paved or gravel parking lots or other similar structures unless 15% of the area of the parcel contains buildings, streets, utilities, paved or gravel parking lots or other similar structures." 2. Condition of Buildings Test— " . . . and more than 50 percent of the buildings, not including outbuildings, are structurally substandard to a degree requiring substantial renovation or clearance;" The term `structurally substandard', as used in the preceding paragraph, is defined by a two-step test: Step One: Under the tax increment law, specifically, Minnesota Statutes, Section 469.174, Subdivision 10, clause (b), a building is structurally substandard if it contains "defects in structural elements or a combination of deficiencies in essential utilities and facilities, light and ventilation, fire protection including adequate egress, layout and condition of interior partitions, or similar factors, which defects or deficiencies are of sufficient total significance to justify substantial renovation or clearance." • Step Two: Notwithstanding the foregoing, the tax increment law, specifically, Minnesota Statutes, Section 469.174, Subdivision 10, clause (c) also provides that a building may not be considered structurally substandard if it: ". . . is in compliance with building code applicable to new buildings or could be modified to satisfy the building code at a cost of less than 15 percent of the cost of constructing a new structure of the same square footage and type on the site." Based on the above requirements, the substandard determination of a particular building is a two-step process; therefore, the findings of each step are independent of each other and both steps must be satisfied in order for a building to be found structurally substandard. It is not sufficient to conclude that a building is structurally substandard solely because Step 2 is satisfied. It is theoretically possible for a building to require extensive renovation in order to meet current building codes but still not meet the main test of Step 1. Furthermore, deficiencies included in Step 1 may or may not include specific code deficiencies as listed in Step 2. In many cases, specific building code deficiencies may well contribute to the data which supports satisfying Step 1; conversely, it is certainly possible that identified hazards or other deficiencies which could be included in Step 1 do not necessarily constitute current building code deficiencies. By definition, the nature of the two steps is slightly different. Step 1 is more subjective, whereas Step 2 is an objective test. Step 1 deficiencies are less technical and not • necessarily measurable to the same extent of the code deficiencies in Step 2. To the 4