A. The city, the United States or any agency or instrumentality thereof, the state or any county, city and county, district or any political subdivision of the state, or any other governmental agency;

B. Construction of any building, intended and used exclusively to house the elderly or handicapped, which is constructed for and operated by a foundation, agency or entity which, pursuant to Article 13, Section 1c of the State Constitution, has been granted a property tax exemption by the State Legislature;

C. Enlargement, remodeling and/or alteration of a building, but only if the number of dwelling units therein is not increased. If the number of dwelling units in the building is increased, then the tax imposed under this chapter shall apply to such increased number of dwelling units;

D. Reconstruction of a building which was damaged or destroyed by earthquake, fire’ flood or other cause over which the owner has no control (provided that compliance with any building code or other ordinance requirement of the city shall not be deemed a cause over which the owner has no control), but only if the number of dwelling units therein is not increased. If the number of dwelling units in the building is increased, then the tax imposed under this chapter shall apply to such increased number of dwelling units;

E. Replacement of any building on the same lot, if construction of the new building is commenced within twelve months from the date the previous building was substantially removed from the lot, but only if the number of dwelling units therein is not increased. If the number of dwelling units in the building is increased, then the tax imposed under this chapter shall apply to such increased number of dwelling units;

F. Any habitation unit within a structure designed, constructed and used exclusively for transient occupancies as defined in Section 3.04.020; provided, however, the tax imposed under this chapter shall apply to the conversion of an existing building, or part thereof, from a transient occupancy use to a dwelling unit;

G. Nothing in this chapter shall be construed as imposing a tax upon any person when imposition of such tax upon that person would be in violation of the Constitution of the United States or that of the state of California. (Prior code § 2578)