HomeMy WebLinkAboutCOUNCIL - AGENDA ITEM - 03/02/2021 - SECOND READING OF ORDINANCE NO. 034, 2021, APPROPR Agenda Item 5
Item # 5 Page 1
AGENDA ITEM SUMMARY March 2, 2021
City Council
STAFF
Meaghan Overton, City Planner
Caryn Champine, Director of PDT
Paul Sizemore, Interim Director, Comm. Devt. & Neighborhood Serv.
Brad Yatabe, Legal
SUBJECT
Second Reading of Ordinance No. 034, 2021, Appropriating Prior Year Reserves for Phase One of the Land
Use Code Update to Reorganize the Land Use Code and Complete Housing Revisions as an Implementation
Action Recommended in City Plan (2019) and the Housing Strategic Plan (202 1).
EXECUTIVE SUMMARY
This Ordinance, unanimously adopted on First Reading on February 16, 2021, requests an off -cycle general
fund appropriation in the amount of $290,000 for Phase 1 of the Land Use Code (LUC) update. This
appropriation will enable staff to draft critical LUC changes and complete a code reorganization that will
implement City Plan, implement the Housing Strategic Plan and a quicker win identified by the Ad Hoc Housing
Committee, improve housing supply and affordability in Fort Collins, and consolidate, simplify, and increase the
user-friendliness of the LUC. Project funding will be supplemented by $60,000 of grant funds received for the
Home2Health initiative for a total project budget of $350,000. The Council Finance Committee reviewed t his
appropriation request at its January 25, 2021 meeting and indicated support for consideration by the full
Council.
STAFF RECOMMENDATION
Staff recommends adoption of the Ordinance on Second Reading.
ATTACHMENTS
1. First Reading Agenda Item Summary, Febr uary 16, 2021 (w/o attachments) (PDF)
2. Ordinance No. 034, 2021 (PDF)
Agenda Item 6
Item # 6 Page 1
AGENDA ITEM SUMMARY February 16, 2021
City Council
STAFF
Meaghan Overton, City Planner
Caryn Champine, Director of PDT
Paul Sizemore, Interim Director, Comm. Devt. & Neighborhood Serv.
Brad Yatabe, Legal
SUBJECT
First Reading of Ordinance No. 034, 2021, Appropriating Prior Year Reserves for Phase One of the Land Use
Code Update to Reorganize the Land Use Code and Complete Housing Revisions as an Implementation
Action Recommended in City Plan (2019) and the Housing Strategic Plan (2021).
EXECUTIVE SUMMARY
The purpose of this item is to request an off-cycle general fund appropriation in the amount of $290,000 for
Phase 1 of the Land Use Code (LUC) update. This appropriation will enable staff to draft critical LUC changes
and complete a code reorganization that will implement City Plan, implement the Housing Strategic Plan and a
quicker win identified by the Ad Hoc Housing Committee, improve housing supply and affordability in Fort Collins,
and consolidate, simplify, and increase the user-friendliness of the LUC. Project funding will be supplemented
by $60,000 of grant funds received for the Home2Health initiative for a total project budget of $350,000. The
Council Finance Committee reviewed this appropriation request at its January 25, 2021 meeting and indicated
support for consideration by the full Council.
STAFF RECOMMENDATION
Staff recommends adoption of the Ordinance on First Reading.
BACKGROUND/DISCUSSION
This request for an off-cycle appropriation was supported by the Ad Hoc Housing Committee at the November
2020 meeting, by Council at the December 8, 2020 work session, and by the Council Finance Committee at the
January 25, 2021 meeting. In alignment with this support, staff is seeking an off-cycle appropriation to initiate
“Phase 1” of a proposed Land Use Code (LUC) rewrite to address the housing-related LUC changes outlined in
City Plan (2019) and the subsequent Land Use Code Audit (2020), and prioritized in the draft Housing Strategic
Plan (HSP, adoption scheduled for February 2021). In concert with other efforts, changes to the LUC have been
identified as a high priority action to increase housing supply and variety, with an emphasis on affordability.
Connection to City Plan and Housing Strategic Plan
A critical implementation strategy from the adopted 2019 City Plan is a full LUC rewrite. The current code is
cumbersome after years of isolated amendments and has not been comprehensively updated since its adoption
over 20 years ago. It also creates barriers to achieving outcomes that hold great importance to the community.
A complete code update will result in a modernized document that offers the community:
ATTACHMENT 1
Agenda Item 6
Item # 6 Page 2
Clear and predictable regulations and procedures;
Alignment with City Plan’s vision of livability, sustainability, and community;
Implementation of high-priority action items in the draft HSP (i.e., strategies 9, 13, 14, 15, 16); and
Alignment with the HSP vision that everyone has healthy, stable housing they can afford.
In response to the urgency of addressing housing related outcomes and the prioritization of LUC changes in the
draft HSP, this overall LUC rewrite project has been divided into two phases. The current Agenda Items
Summary (AIS) provides a summary of the scope, budget and timeline for Phase 1. This first phase addresses
housing-related topics and reorganization of the code, while Phase 2 will address all remaining topics outlined
in the Land Use Code Audit.
The appropriation being sought for Phase 1 is $290,000 from the General Fund. Existing grant funds for the
Home2Health initiative in the amount of $60,000 will supplement the Phase 1 appropriation. Staff’s preliminary
estimate of the cost of a future Phase 2 is in the range of an additional $200,000-$300,000.
Phase 1 Scope
Phase 1 of the LUC update will prioritize Housing-Related Outcomes and a Reorganization of the Code. Specific
examples are outlined below, and a detailed scope will be prepared as part of the RFP process.
Housing-Related Outcomes:
Update definitions for an inclusive list of housing types. Examples: co-housing, Accessory Dwelling units
(ADUs), triplex.
Increase housing types permitted in zone districts. Example: Allow duplexes in more/all zones.
Simplify level of review for housing, as appropriate. Example: Basic Development Review (BDR) for small
multifamily; streamline extra occupancy process and review.
Create/recalibrate meaningful Affordable Housing incentives. Example: density/height bonus, parking
reductions.
Remove barriers to accessory dwelling units (ADUs). Example: Allow attached ADUs.
Remove barriers to permitted densities. Example: Remove limits on number of units per building.
Code reorganization:
Consolidate similar standards. Example: All design requirements for multifamily in one place.
Remove repetition, increase user-friendliness. Example: Uses in a table instead of a list.
Simplify language to improve clarity and consistency.
Phase 1 Budget
This Ordinance will appropriate $290,000 of General Fund Reserves for the Phase 1 LUC update, and will be
combined with $60,000 of previously-appropriated grant funding from the Home2Health initiative to support
engagement and analysis. The total project budget is $350,000. A summary of the project budget and key tasks
follows:
Task Amount Description
Community engagement $15,000 Meetings, translation/interpretation, community partner
funding, data analysis
Analysis, modeling, best
practices
$70,000 Pro forma analysis, visualization, testing, economic
analysis, graphics and renderings, etc.
Special Legal Review
$90,000
Specialized legal review of key issues related to proposed
code changes (does not include internal CAO resources)
Code Drafting $175,000 Concept development and evaluation of alternatives,
writing and revising new LUC language; collaborating
across departments for consistency with other regulations
Total budget $350,000
Agenda Item 6
Item # 6 Page 3
Phase 1 Structure
City staff across multiple work groups and departments will collaborate on this effort, supported by outside
consultants to help balance daily work assignments with the demands of this complex update to the LUC
regulations. A cross-departmental team of city staff, led by the Planning department, will meet weekly for the
duration of the project. This team will include staff from the City Attorney’s Office (CAO), Engineering,
Sustainability Services, FC Moves, and Utilities. Additional subject-matter experts will participate as needed to
provide input on particular topics (e.g., Larimer County, Building Department, Neighborhood Services).
An advisory team of department-level leaders from Community Development and Neighborhood Services
(CDNS) and Social Sustainability (SSD) will meet monthly to provide guidance and decision-making support for
the project. At the executive level, quarterly meetings with City Leadership will keep the project on track and
ensure organizational alignment.
It is important to note that this project will have impacts on the prioritization of work plans for both CAO and
CDNS. For CAO, this project will require significant new attorney capacity, particularly in combination with the
Land Use Code-related elements of the Housing Strategic Plan. To meet this need, the CAO will add an attorney
position to be funded through existing appropriations. For CDNS, this project will require consistent effort from
key staff who are normally involved in code drafting, policy creation, and the management of high-profile
development projects. As such, the LUC update will limit the capacity of staff to respond to unanticipated projects,
policy work, and fluctuations in development review workload. Other priority projects that may be paused or
delayed include revisions to the minor amendment process, electronic plan review process improvements, and
the annual LUC cleanup ordinance.
Phase 1 Timeline
Phase 1 is expected to be completed by the end of 2022. Phase 2 of the LUC update is anticipated to be
completed by the end of 2025.
CITY FINANCIAL IMPACTS
This Ordinance will appropriate $290,000 of General Fund Reserves for the Phase 1 LUC update. The following
is a summary of the project funding:
Prior Appropriated Funds
Home2Health (CDPHE HDGP Grant) $60,000
Total Prior Appropriation $60,000
Funds to be Appropriated with this Action
Prior Year Reserves (General Fund) $290,000
Total to be Appropriated per this Action $290,000
Total Current Project Budget $350,000
Agenda Item 6
Item # 6 Page 4
Next Steps: If this appropriation is approved by Council, staff anticipates releasing a request for proposal for
consultant support and begin work in the second quarter of 2021.
To initiate Phase 2 of the Land Use Code update, staff will prepare a BFO offer for the 2022 budget.
ATTACHMENTS
1. Work Session Summary (PDF)
2. Ad Hoc Housing Committee Minutes (PDF)
3. Council Finance Committee Minutes (draft) (PDF)
4. Powerpoint Presentation (PDF)
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ORDINANCE NO. 034, 2021
OF THE COUNCIL OF THE CITY OF FORT COLLINS
APPROPRIATING PRIOR YEAR RESERVES
FOR PHASE ONE OF THE LAND USE CODE UPDATE TO REORGANIZE THE
LAND USE CODE AND COMPLETE HOUSING REVISIONS AS AN
IMPLEMENTATION ACTION RECOMMENDED IN CITY PLAN (2019) AND THE
HOUSING STRATEGIC PLAN (2021)
WHEREAS, the Land Use Code was originally adopted in 1997 and subsequently amended
on a regular basis; and
WHEREAS, in preparation for a comprehensive review and rewrite of the Land Use Code
as contemplated in City Plan, reorganization of the current Land Use Code to consolidate
standards, eliminate repetition, simplify language, and increase user-friendliness is desired; and
WHEREAS, changes to the Land Use Code to implement City Plan and the Housing
Strategic Plan goals of improving housing supply and affordability are desired; and
WHEREAS, this appropriation benefits public the health, safety and welfare of the citizens
of Fort Collins and serves the public purpose of updating and amending the Land Use Code; and
WHEREAS, Article V, Section 9 of the City Charter permits the City Council, upon the
recommendation of the City Manager, to appropriate by ordinance at any time during the fiscal
year such funds for expenditure as may be available from reserves accumulated in prior years,
notwithstanding that such reserves were not previously appropriated; and
WHEREAS, the City Manager has recommended the appropriation described herein and
determined that this appropriation is available and previously unappropriated from the General
Fund and will not cause the total amount appropriated in the General Fund to exceed the current
estimate of actual and anticipated revenues to be received in that fund during this fiscal year.
NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT
COLLINS as follows:
Section 1. That the City Council hereby makes and adopts the determinations and
findings contained in the recitals set forth above.
Section 2. That there is hereby appropriated from prior year reserves in the General
Fund the sum of TWO HUNDRED NINETY THOUSAND DOLLARS ($290,000) for
expenditure from the General Fund for Phase One of the Land Use Code Update.
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Introduced, considered favorably on first reading, and ordered published this 16th day of
February, A.D. 2021, and to be presented for final passage on the 2nd day of March, A.D. 2021.
__________________________________
Mayor
ATTEST:
_______________________________
City Clerk
Passed and adopted on final reading on the 2nd day of March, A.D. 2021.
__________________________________
Mayor
ATTEST:
_______________________________
City Clerk