Jackson codes change could let builders work on homes
Jackson County commissioners started tackling some of the fallout of the recent housing meltdown this week, discussing ordinance changes that could allow builders to work in subdivisions that cash-strapped developers abandoned.
Current development codes bar the county from issuing building permits for lots in subdivisions that don’t meet development standards – meaning it’s illegal to build in dozens of subdivisions that were left almost finished by developers when the bottom fell out of the housing market.
“What is happening right now is not good for the economy, even if it’s just a few building permits that we’re missing out on,” said Gina Mitsdarffer, director of public development for Jackson County.
Mitsdarffer asked commissioners for direction this week about how to handle unfinished subdivisions. They, in turn, have asked the county attorney to draft a resolution that would allow some type of provisional building permits so builders can use lots in abandoned subdivisions, or to find another legal solution to the problem.
About 60 subdivisions in Jackson County do not meet the county’s development code, Mitsdarffer said.
County ordinances require that developers put up a bond or a letter of credit to guarantee they will finish work on a subdivison’s streets, stormwater systems and erosion mediation work. These bonds and letters of credit are typically kept for two years or until the subdivision is 75 percent complete, guaranteeing that the major work of building streets and stormwater systems is completed.
However, when banks started foreclosing, they took ownership of the developers’ individual lots – not entire subdivisions – so the county doesn’t have a responsible party to approach and demand that the infrastructure be finished.
Some individuals have snapped up low-priced lots in these orphaned subdivisions, yet cannot procure building permits for them, Mitsdarffer said.
