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HomeMy WebLinkAboutMINUTES-02/07/2006-RegularFebruary 7, 2006 COUNCIL OF THE CITY OF FORT COLLINS, COLORADO Council -Manager Form of Government Regular Meeting - 6:00 p.m. A regular meeting of the Council of the City of Fort Collins was held on Tuesday, February 7, 2006, at 6:00 p.m. in the Council Chambers of the City of Fort Collins City Hall. Roll Call was answered by the following Councilmembers: Brown, Hutchinson, Kastein, Manvel, Ohlson, Roy and Weitkunat. Staff Members Present: Atteberry, Krajicek, Roy. Citizen Participation Mayor Hutchinson stated each audience participant would have five minutes to speak. Michael Foxman, President of the Jewish Student Alliance and member of the Student Review Board, stated efforts were being made to bring former Israeli Prime Minister Benjamin Netanyahu to Fort Collins. He stated he was at this meeting to speak about the unlawful misconduct of Fort Collins police officers during incidents in September and February. Andrew Bonn, CSU student, asked for Council's opinion on the Fort Collins noise ordinance and questioned the broad definition of unreasonable noise. Citizen Participation Follow-up Mayor Hutchinson thanked those who spoke during Citizen Participation. Councilmember Kastein asked if the City Manager had followed up with Mr. Foxman. City Manager Atteberry stated he had spoken with Mr. Foxman and had not yet spoken with him about the February incident. Councilmember Kastein requested a one -page memo on the alleged police incidents and a two -page memo on the noise ordinance. City Attorney Roy stated there were two kinds of noise violations: (1) unreasonable noise as determined by the officer based on several factors, and (2) noise at certain decibel levels in various zones as measured at the property boundary. Councilmember Roy stated in response to the second speaker's question, the noise ordinance now had some "teeth" and there was a potential for higher fines. He stated he had recently spoken with a citizen who expressed appreciation for the improvement in noise levels in her neighborhood. He stated many neighborhoods were more livable because of the noise ordinance. 261 February 7, 2006 Agenda Review City Manager Atteberry stated item #28, Resolution 2006-013 Authorizing an Intergovernmental Agreement with the Grove Metropolitan Districts Numbers 1 through 3 for the Provision of Wastewater Treatment Services by the City's Wastewater Utility would be withdrawn from the Consent Calendar and set over to the end of the meeting to allow time to answer questions asked by Councilmember Roy. An unidentified member of the audience withdrew item #26 Resolution 2006-011 Finding Substantial Compliance and Initiating Annexation Proceedings for theAirpark Village Annexation from the Consent Calendar. Mayor Hutchinson stated the pulled Consent Calendar items would be heard after the discussion agenda items. CONSENT CALENDAR 6. Consideration and Approval of the Minutes of the November 29, 2005 Adjourned Meeting, the December 13, 2005 Adjourned Meeting, and the December 20, 2005 and January 3, 2006 Regular Meetings. 7. Second Reading of Ordinance No. 007, 2006, Appropriating Unanticipated Revenue in the General Fund for Continuation of the Restorative Justice Pro rg am. This Ordinance, which was unanimously adopted on First Reading on January 17, 2006, authorizes appropriation of unanticipated revenue in the General Fund to continue the Restorative Justice Program. A grant in the amount of $20,000 has been received from the Bohemian Foundation to continue this program. Donations totaling $1,575 benefitting the Restorative Justice Program have also been received from the Seratoma Club, EyeOpeners Kiwanis, the InterFaith Council and an anonymous individual contributor. Items Relating to the Dry Creek Drainage Improvements Project. A. Second Reading of Ordinance No. 008, 2006, Authorizing the Dry Creek Drainage Improvements Project Master Agreement with Windsor Reservoir and Canal Company, Larimer and Weld Irrigation Company, Larimer and Weld Reservoir Company, and Water Supply and Storage Company, and Authorizing Conveyance of Certain Real Property Interests in Connection Therewith. B. Second Reading of Ordinance No. 009, 2006, Authorizing Transfer of Existing Appropriations from the Canal Importation Basin Project to the Dry Creek Basin Project Within the Storm Drainage Fund. This transfer would fund the replacement of the existing Dry Creek culvert under the 262 February 7, 2006 Burlington Northern - Santa Fe Railway with new bridges. Ordinances Nos. 008 and 009, 2006, were adopted unanimously on First Reading on January 17, 2006. 9. Postponement of Second Reading of Ordinance No. 010. 2006. Granting a Non-exclusive Franchise by the City of Fort Collins to Comcast of California/Colorado LLC and Its Successors and Assigns for the Right to Make Reasonable Use Of, and Erect. Construct, Operate and Maintain Through, the Public Rights -of -way, Easements and Other Public Property Any Equipment Necessary and Appurtenant to the Operation and Maintenance of a Cable System and the Provision of Cable Services to Citizens Within the City to February 21, 2006. The existing Cable Television Franchise calls for the cable operator (Comcast) to underground its cable lines within a certain time frame after the City places electric lines underground. A question has recently been raised about the time frame allowed for undergrounding in the existing franchise, and whether or not Comcast is allowed additional time to underground its cable lines under the existing franchise. Comcast is requesting a postponement to allow more time to meet with City staff to clarify and resolve the matter before Second Reading of the new franchise occurs.. 10. First Reading of Ordinance No. 012, 2006, Appropriating Unanticipated Grant Revenue in the General Fund for the Landmark Preservation Commission and Staff Education and Training. The Advance Planning Department has been awarded a $1,494 grant from the Colorado Historical Society with no cash match for the purpose of education and training of Landmark Preservation Commission members and staff. The grant funds will be used to send Commission members and staff to Colorado Preservation Inc.'s statewide conference "SAVING PLACES 2006: Building on the Past" in Denver. Accepting this grant will enable the Fort Collins Advance Planning Department to provide training for three new Landmark Preservation Commission members and also three staff persons. Ongoing training is an activity that is a requirement of maintaining the City of Fort Collins' Certified Local Government status. IL Items Relating to the Construction of a Water Slide Project at City Park Pool. A. Resolution 2006-008 Authorizing the City Manager to Enter Into a Grant Agreement With the State Board of the Great Outdoors Colorado Trust Fund for the Receipt of Funds for the Water Slide Project at City Park Pool. B. First Reading of Ordinance No. 013, 2006 Appropriating Unanticipated Revenue in the Recreation Fund and Authorizing the Transfer of Existing Appropriations in the Recreation Fund for Construction of a Water Slide Project at City Park Pool. 263 February 7, 2006 The Recreation Division has identified funding for a double -flume water slide for City Park Pool. The water slide addition will complete the main pool's master plan. The slides will be the very first of their kind in Fort Collins. Because of the total expense of this capital improvement, acceptance of the GOCO grant and subsequently the Don and May Wilkins Family Charitable Trust grant makes it possible for the City to afford this pool addition. The slides are also a key element of implementation of a marketing strategy to result in a break- even/profit center for this operation by 2007. 12. First Reading of Ordinance No. 014, 2006, Appropriating Unanticipated Revenue in the General Fund for the Fort Collins Police Services Drunk Driving Enforcement Program. On December 20, 2005, City Council approved a Resolution authorizing the Mayor to enter into a contract with the Colorado Department of Transportation for Fort Collins Police Services ("Police Services") to apply for a 2006 Law Enforcement Assistance Fund grant in the amount of $11,750 to help reduce the number of drunk drivers in Fort Collins. This Ordinance appropriates the grant funds. 13. First Reading of Ordinance No. 015. 2006. ADnronriating Unanticipated Revenue in the Capital Projects Fund - South Taft Hill Road, Horsetooth Road to Harmony Road Project, to Be Used for the Construction of Improvements to a Section of South Taft Hill Road from Horsetooth Road South to Harmony Road and Authorizing an Intergovemmental Agreement for the Project. The City of Fort Collins Engineering Department has received $1,736,400 from Larimer County's Regional Road Capital Expansion Fee Program (the "Program"). Under this Program, the County collects a fee from building permits issued within unincorporated Larimer County and the City of Fort Collins. This Program was initiated by Larimer County in 1999 and adopted by the City of Fort Collins in February of 2000. South Taft Hill Road (County Road 19) between Fort Collins and Loveland is identified as one of five regional roads in the Larimer County Transportation Plan dated 1998. Larimer County has selected South Taft Hill Road from Horsetooth Road to Harmony Road for funding of interim improvements. The Ordinance also authorizes an intergovernmental agreement documenting the City's and County's respective rights and responsibilities in connection with the construction project. 14. Items Relating to Oak Street Plaza Park. A. Resolution 2006- 009 Adding Oak Street Plaza Park to the Inventory of City Parks in the 1996 Parks and Recreation Policy Plan. B. First Reading of Ordinance No. 001, 2006 Appropriating Unanticipated Revenue in the Neighborhood Parkland Fund - Oak Street Plaza Park Capital Project to be Used to Construct Improvements to the Oak Street Plaza Park. 264 February 7, 2006 Council adopted the Parks and Recreation Policy Plan in 1996 (the "Policy Plan"). The Policy Plan includes an inventory of existing parks and identifies general locations for future parks. Oak Street Plaza is not included in the 1996 Park Inventory. Recently the downtown area has seen residential development that has generated parkland fees and the need for improved urban parks. The Oak Street Improvement Project planned for 2006 will greatly improve Oak Street Plaza Park, creating a very attractive urban park setting. Improvements planned for the park include an interactive water feature, new, colorful paving, turf grass, a stage and better landscaping. The park is about one-half acre in size. It was last improved in the early 1980's and is showing its age. The existing concrete plaza, flower beds and fountain require increased maintenance. The plaza is dated and is not the vibrant community gathering place it will be after it is renovated. Adding Oak Street Plaza Park to the inventory of parks in the Policy Plan will clarify its status as a City park and allow the use of neighborhood parkland fees from nearby residential development to be used for the Improvement Project. It will also allow staff to manage the site using park regulations. 15. First Reading of Ordinance No. 016, 2006, Amending Chapter 8 of the City Code Relating to the Creation of the Storm Drainage Fund. This Ordinance revises the City Code description of the Storm Drainage Fund to be consistent with City Council's adopted policy of citywide stormwater plant investment fees and the citywide pay-as-you-go financing policy for the stormwater master plan. Thechange allows plant investment fees to be used for city wide capital improvements and no longer restricts funding capital projects in thebasin in which the plant investment fees are collected. 16. First Reading of Ordinance No. 017, 2006, Amending Section 2-566 of the City Code Concerning the Adoption of the Classified Employee Pay Plan. Section 2-566 of the City Code currently provides that City Council shall fix the salaries of all classified employees by ordinance. This Code change will clarify that the City Council adopts a pay plan by ordinance. The City Manager will then administer the pay plan by determining the salary of individual classified employees within the pay ranges/skill levels within the pay plan. 17. First Reading of Ordinance No. 018, 2006, Amending Chapter 17, Article IV (Offenses Against Public Authority) and Chapter 23, Article IX (Natural Areas) of the City Code to Clarify and Update Certain Enforcement Authority and Natural Areas Restrictions. The Natural Resources Department is proposing revisions and amendments to portions of Article IV of Chapter 17 of the City Code (Offenses Against Public Authority) and Article IX of Chapter 23 (Natural Areas) of the City Code. The proposed modifications to Chapter 17 of the Code will ensure that Natural Areas Rangers, as "specially commissioned officer[s] of the city,-' will have the necessary authority 265 Februmy 7, 2006 and protection under the Code, by clarifying that the Rangers are legally entitled to require the cooperation of members of the general public. Proposed amendments and revisions to Chapter 23 ofthe Code reflect specific code changes necessary to implement new Natural Areas General Management Guidelines that have previously been presented to the Council in 2005, and to clarify and improve other existing Natural Areas provisions. 18. First Reading of Ordinance No. 019, 2006, Designating the J.M. Morrison House and Carriage House, 718 West Mountain Avenue, as a Fort Collins Landmark Pursuant to Chapter 14 of the City Code. The owner of the property, John P. Gascoyne, is initiating this request for Fort Collins Landmark designation for the J.M. Morrison House and Carriage House. The home is a nice example of Edwardian residential architectural, with many stylistic details. 19. First Reading of Ordinance No. 020, 2006, Desi ng ating the Lee House Property, 1530 Remington Street, as a Fort Collins Landmark Pursuant to Chapter 14 of the City Code. The owner of the property, 1530 Remington Limited Partnership, is initiating this request for Fort Collins Landmark designation for the Lee House Property. The house is a distinctive and attractive example of Modeme-influenced Ranch style domestic architecture, with excellent integrity. 20. First Reading_ of OrdinanceNo. 021, 2006, Desi ng ating the Kirby/Wade House and Historic Garage, 816 Laporte Avenue, as a Fort Collins Landmark Pursuant to Chapter 14 of the City Code. The owner of the property, Thomas Trumbower, is initiating this request for Fort Collins Landmark designation for the Kirby/Wade House and Historic Garage. Built in 1905 for the John E. Kirby family, this historic five -room frame cottage at 816 LaPorte Avenue is over 100 years old. 21. First Reading of Ordinance No. 022,2006,Desirg atingtheJamesHouseProperty,210North Loomis Avenue, as a Fort Collins Landmark Pursuant to Chapter 14 of the City Code. The owner of the property, John F. Leach, is initiating this request for Fort Collins Landmark designation for the James House Property. The quaint Classic Cottage on the corner of Loomis and Laporte Avenues has continuously added to the historic nature of the West Side Neighborhood for over 98 years. 266 February 7, 2006 22. First Reading of Ordinance No. 023, 2006, Designating the 1953 GMC 500 GPM Front Mount Pumper, Owned by the Poudre Fire Authority, as a Fort Collins Landmark Pursuant to Chapter 14 of the City Code. The owner of the property, Poudre Fire Authority, is initiating this request for Fort Collins Landmark designation for the 1953 GMC 500 GPM Front Mount Pumper. The fire engine is eligible for individual Fort Collins Landmark Designation under both Landmark Standards (1) and (3). For fifty years, for three districts, this fire engine has played an important role in fire protection and holds a unique place in the history of fire service in the area. The engine is being restored to become a part of the Poudre Fire Authority's safety program. 23. First Reading of Ordinance No. 024, 2006, Authorizing the Conveyance of a Portion of the Timberline Substation Site Property to the Public Service Company. The Timberline Road Street Oversizing Project requires the acquisition of 6,237 square feet of the Public Service Company ("Public Service") meter site located on Timberline Road which is surrounded by the substation site parcel that is part of the City utility system. This conveyance grants the City the necessary property interests for the ultimate design of Timberline Road. Instead of purchasing the needed property along with the improvements on site, Matt Baker, the project manager, has proposed a reconfiguration of the land owned by Public Service. The improvements will be able to stay where currently located and some fixtures will be relocated to the north of the building. Staff is proposing a land exchangebetween the Utilities Department and Public Service, with each conveying the other 6,237 square feet of land. Conveying this land to Public Service will provide them the land necessary to continue the operation of the site without relocating. If Public Service bad relocated, the City would need to purchase their building and improvements. The exchange is a more cost effective approach because Street Oversizing will compensate Utilities for the value of vacant land only. The compensation, as set by the appraiser for this project, is $25,500, or $4 per square foot. Staff from Real Estate Services and Street Oversizing has met with all affected parties. The Utilities Department and Public Service have agreed to this exchange. 24. First Readine of Ordinance No. 025.2006. Authorizine the Convevance of a Renlacement Sewer Line Easement to Anheuser-Busch. the Transfer of Additional Prospect Road Rights - of -Way from the Natural Areas Program, and the Approval of Certain Drainage and Temporary Construction Alignments for the East Prospect Road and Related Improvements Adjacent to the Running Deer, Riverbend Ponds and Cottonwood Hollow Natural Areas. Transportation Services is proposing to improve a portion of East Prospect Road between the Poudre River on the west and Summit View Drive on the east. The road improvements involve widening the existing narrow two-lane road to provide bike lanes, a median, and a sidewalk/trail along the road. The road improvements should provide enhanced safety and comfort for pedestrians, bicyclists and motorists, and enhanced access to the three natural 267 February 7, 2006 areas. To construct the new "Poudre River— Overflow Bridge", Transportation will need to relocate a small stretch ofAnheuser Busch's sewer line from its current location on Riverbend Ponds and Cottonwood Hollow Natural Areas to a new location on the same properties. The Natural Areas Program will not be compensated for the relocation of easement, since the old easement alignment will be vacated resulting in no net increase in the easement area. 25. Resolution 2006-010 Making Findings of Fact Re ag rdin the of the Planning and Zoning Board Approvals of the Innovation Island, Overall Development Plan and Project Development Plan and Upholding_ the Decisions of the Board. On December 20, 2005, an appeal of the November 17, 2005 decisions of the Planning and Zoning Board to approve the Innovation Island, Overall Development Plan and Project Development Plan was filed by the Appellants Cathy Lund (Primary Person of Contact) and 23 other adjacent property owners. On January 17, 2006, City Council voted to uphold the decisions of the Planning and Zoning Board. In order to complete the record regarding this appeal, the Council should adopt a Resolution making findings of fact and finalizing its decision on the appeal. 26. Resolution 2006-011 Finding Substantial Compliance and Initiating Annexation Proceedings for the Airpark Village Annexation. The Airpark Village is 148.55 acres in size. The site is an existing privately owned airport, and three abutting properties, all generally located north of East Lincoln Avenue, south of East Vine Drive and west of Timberline Road. Contiguity with the existing municipal boundary is gained along portions of the west and east property lines. The east property line abuts the Dry Creek Subdivision. The proposed Resolution states that it is the City's intent to annex this property and directs that the published notice required by State law be given of the Council's hearing to consider the needed annexation ordinance. 27. Resolution 2006-012 Authorizing the Amendment of the Intergovernmental Agreement Between the City of Fort Collins and Larimer County Regarding the Management of Fossil Creek Regional Open Space Staff is proposing to amend the Intergovernmental Agreement (IGA) between Fort Collins and Larimer County regarding the management of Fossil Creek Regional Open Space (FCROS). The current IGA calls for management of FCROS to shift from the County to the City immediately upon annexation of the area by the City. The amended IGA delays the shift to the City until 2010. W: February 7, 2006 28. Resolution 2006-013 Authorizing an Intergovernmental Agreement with the Grove Metropolitan Districts Numbers 1 through 3 for the Provision of Wastewater Treatment Services by the City's Wastewater Utility. Resolution 2005-018 authorized the City Manager to negotiate an agreement with new development near the town of Laporte for the provision of wastewater treatment services by the City's Wastewater Utility. As directed by City Council, the City Manager has negotiated an agreement, and has approved a schedule of surcharges for projected usage of City streets, community parks and libraries by the new development and has included such surcharges in the proposed agreement with the Grove Metropolitan Districts Numbers 1 through 3. 29. Resolution 2006-014 Amending Various Boards and Commissions 2006 Work Plans. Council liaisons have reviewed 2006 Work Plans submitted by boards and commissions. On January 17, 2006, Council gave direction (under other business) to amend the following 2006 Work Plans: • Affordable Housing Board • Art in Public Places Board • Community Development Block Grant Commission • Electric Board • Library Board • Retirement Committee • Transportation Board • Youth Advisory Board 30. Routine Easement. Easement for construction and maintenance of public utilities from Harry J. And Mary Lou Elder, to underground existing electric system, located at 920 North College Avenue. Monetary consideration: $1800. ***END CONSENT*** Ordinances on Second Reading were read by title by City Clerk Krajicek. 7. Second Reading of Ordinance No. 007, 2006, Appropriating Unanticipated Revenue in the General Fund for Continuation of the Restorative Justice Program. 8. Items Relating to the Dry Creek Drainage Improvements Project. A. Second Reading of Ordinance No. 008, 2006, Authorizing the Dry Creek Drainage Improvements Project Master Agreement with Windsor Reservoir and Canal Company, Larimer and Weld Irrigation Company, Larimer and Weld Reservoir Company, and Water Supply and Storage Company, and Authorizing Conveyance re February 7, 2006 of Certain Real Property Interests in Connection Therewith. B. Second Reading of Ordinance No. 009, 2006, Authorizing Transfer of Existing Appropriations from the Canal Importation Basin Project to the Dry Creek Basin Project Within the Storm Drainage Fund. Ordinances on First Reading were read by title by City Clerk Krajicek. 10. First Reading of Ordinance No. 012, 2006, Appropriating Unanticipated Grant Revenue in the General Fund for the Landmark Preservation Commission and Staff Education and Training. 11. First Reading of Ordinance No. 013, 2006 Appropriating Unanticipated Revenue in the Recreation Fund and Authorizing the Transfer of Existing Appropriations in the Recreation Fund for Construction of a Water Slide Project at City Park Pool. 12. First Reading of Ordinance No. 014, 2006, Appropriating Unanticipated Revenue in the General Fund for the Fort Collins Police Services Drunk Driving Enforcement Program. 13. First Reading of Ordinance No. 015, 2006, Appropriating Unanticipated Revenue in the Capital Projects Fund - South Taft Hill Road, Horsetooth Road to Harmony Road Project, to Be Used for the Construction of Improvements to a Section of South Taft Hill Road from Horsetooth Road South to Harmony Road and Authorizing an Intergovernmental Agreement for the Project. 14. First Reading of Ordinance No. 001, 2006 Appropriating Unanticipated Revenue in the Neighborhood Parkland Fund - Oak Street Plaza Park Capital Project to be Used to Construct Improvements to the Oak Street Plaza Park. 15. First Reading of Ordinance No. 016, 2006, Amending Chapter 8 of the City Code Relating to the Creation of the Storm Drainage Fund. 16. First Reading of Ordinance No. 017, 2006, Amending Section 2-566 of the City Code Concerning the Adoption of the Classified Employee Pay Plan. 17. First Reading of Ordinance No. 018, 2006, Amending Chapter 17, Article IV (Offenses Against Public Authority) and Chapter 23, Article IX (Natural Areas) of the City Code to Clarify and Update Certain Enforcement Authority and Natural Areas Restrictions. 18. First Reading of Ordinance No. 019, 2006, Designating the J.M. Morrison House and Carriage House, 718 West Mountain Avenue, as a Fort Collins Landmark Pursuant to Chapter 14 of the City Code. 19. First Reading of Ordinance No. 020, 2006, Designating the Lee House Property, 1530 Remington Street, as a Fort Collins Landmark Pursuant to Chapter 14 of the City Code. 270 February 7, 2006 20. First Reading of Ordinance No. 021, 2006, Designating the Kirby/Wade House and Historic Garage, 816 Laporte Avenue, as a Fort Collins Landmark Pursuant to Chapter 14 of the City Code. 21. First Reading of Ordinance No. 022,2006, Designating the James House Property, 210 North Loomis Avenue, as a Fort Collins Landmark Pursuant to Chapter 14 of the City Code. 22. First Reading of Ordinance No. 023, 2006, Designating the 1953 GMC 500 GPM Front Mount Pumper, Owned by the Poudre Fire Authority, as a Fort Collins Landmark Pursuant to Chapter 14 of the City Code. 23. First Reading of Ordinance No. 024, 2006, Authorizing the Conveyance of a Portion of the Timberline Substation Site Property to the Public Service Company. 24. First Reading of Ordinance No. 025, 2006, Authorizing the Conveyance of a Replacement Sewer Line Easement to Anheuser-Busch, the Transfer of Additional Prospect Road Rights - of -Way from the Natural Areas Program, and the Approval of Certain Drainage and Temporary Construction Alignments for the East Prospect Road and Related Improvements Adjacent to the Running Deer, Riverbend Ponds and Cottonwood Hollow Natural Areas. Councilmember Manvel made a motion, seconded by Councilmember Weitkunat, to adopt and approve all items not withdrawn from the Consent Calendar. The vote on the motion was as follows: Yeas Councilmembers Brown, Hutchinson, Kastein, Manvel, Ohlson, Roy and Weitkunat. Nays: None. THE MOTION CARRIED Consent Calendar Follow-uo Councilmember Weitkunat spoke regarding item #17 First Reading of Ordinance No. 018, 2006, Amending Chapter 17, Article IV (Offenses Against Public Authority) and Chapter 23, Article IX (Natural Areas) of the City Code to Clarify and Update Certain Enforcement Authority and Natural Areas Restrictions. She stated she had a citizen inquiry about the qualifications and authority of rangers. John Stokes, Natural Resources Director, stated Section 2-504(b)(2) of the City Code authorized the Police Chief to make special appointments of officers to enforce provisions of the City Code. He stated rangers were commissioned to issue citations for misdemeanor violations occurring in the City's natural areas, parks and recreation areas, or on the City's trail system and immediately adjacent areas. He stated they were law enforcement officers with a high level of training. Councilmember Ohlson spoke regarding item #14 Items Relating to Oak Street Plaza Park and stated this was an example of a City development design issue in which the Council should be more involved at appropriate times. He stated the new police building was the same kind of design issue and that Council had not had any "touch points" at all on the design of that building. He also spoke regarding item #15 First Reading ofOrdinance No. 016, 2006, Amending Chapter 8 ofthe City Code 271 February 7, 2006 Relating to the Creation of the Storm Drainage Fund and requested that this item be put on the discussion agenda for Second Reading so that he could vote against it at that time. Councilmember Reports Councilmember Brown reported on discussions with the City of Loveland relating to the Airport Master Plan. He stated the current estimated annual economic impact of the airport for Fort Collins and Loveland was $33 million. He stated the biggest problem and highest priority for the Airport was maintenance. He also reported on discussions of the 1-25 Environmental Impact Study Group relating to transportation issues. He stated the two options being considered for transportation from Wellington to Denver were: (a) commuter light rail to Longmont and connections with Fast Tracks into Denver, six lanes of traffic on 1-25 and commuter bus between Greeley and Denver; and (b) high occupancy tollways and a bus and rapid transit system on 1-25. He stated either solution would involve increasing the width of 1-25. He stated a series of meetings were being held in Northern Colorado on the issues. Councilmember Manvel reported that he spent a day in Denver with library boards and library officials studying the possibilities for developing a library district. He noted that the Council Work Session on February 14th would focus on financing alternatives for the library over the next year. Councilmember Kastein reported on the North Front Range Transportation and Air Quality Planning Council discussions relating to funding that would be available as a direct result of Referendum C via SB 1, relating to transportation improvements in the State. He stated $100 million of the $208 million available would come to this region for six lanes on 1-25 to Longmont. Mayor Hutchinson reported on the content and status of State legislation of interest to the City. Ordinance No. O11, 2006, Amending the Harmony Corridor Plan and Harmony Corridor Standards and Guidelines as They Pertain to Regional Shopping Centers Adopted as Amended on Second Reading The following is staff s memorandum on this item. "EXECUTIVE SUMMARY On January 17, 2006 Council approved on First Reading Ordinance No. 011, 2006, with direction to include on second reading certain amendments to the Harmony Corridor Standards and Guidelines that would apply the design standards for both Lifestyle and Regional Shopping Centers. Exhibit B reflects those amendments. Bayer Properties has initiated an amendment to the Harmony Corridor Plan and the Harmony Corridor Standards and Guidelines, which would add a Regional Shopping Center to the Mixed -Use Activity Center in addition to Basic Industrial and Non -Retail Employment, as defined and shown on the Land Use Map. The property in question is located at the northwest corner ofHarmony Road 272 February 7, 2006 and Ziegler Road, behind and west of the existing LSI Logic building. The property is currently designated in the Harmony Corridor Plan and Harmony Corridor Standards and Guidelines for a Lifestyle Shopping Center and/or for Basic Industrial and Non -Retail Employment uses. The Harmony Corridor Plan and Harmony Corridor Standards and Guidelines are elements ofthe City's comprehensive plan, known as City Plan. Any proposed changes to these documents require a Minor Amendment process as described in Appendix C of City Plan, meeting specified criteria to support the change. " ("Secretary's Note: Councilmember Kastein withdrew from participation on this agenda due to a perceived conflict of interest and left the room at this point.) City Manager Atteberry introduced the agenda item. Pete Wray, Senior City Planner, presented background information on the agenda item and highlighted the changes that had been made to the Ordinance since First Reading at the request of the City Council. Councilmember Ohlson asked if any other items relating to "big box issues" would be comingbefore the Council. Wray stated there would be three follow-up items to this action. Councilmember Ohlson asked when the follow-up items would be brought to Council. Wray stated they would come forward within the next two to three months. Councilmember Ohlson asked if the City would then be at a state-of-the-art level with regard to dealing with big box development. Wray stated the existing large retail standards were good and staff would continue to look at future options for improvements. City Manager Atteberry stated staff would continue to welcome suggestions on the standards and noted the City had compared its standards with other communities to determine how the City s standards measured up. He stated the City would continue to work on continuous improvement of its "state-of-the-art" standards to deal with big box development. Councilmember Ohlson stated he hoped to see continued work to ensure the highest level of standards. City Manager Atteberry stated he was confident that efforts to continuously improve City standards were happening within the CPES Department. Mayor Hutchinson stated he understood that staff was taking a "fine-grained" look at the primary employment land inventory to reach an understanding about usability, clustering and other related issues. Wray indicated that this was correct. Councilmember Weitkunat made a motion, seconded by Councilmember Manvel, to adopt Ordinance No. 011, 2006 on Second Reading as amended. Yeas: Councilmembers Brown, Hutchinson, Manvel, Ohlson, Roy and Weitkunat. Nays: None. (Councilmember Kastein withdrawn) 273 February 7, 2006 THE MOTION CARRIED ("Secretary's Note: Councilmember Kastein returned to the meeting at this point.) Consideration of the Appeal of the December 8, 2005, Determination of the Planning and Zoning Board to Deny the Shields Street Lofts (515 South Shields Street) Project Development Plan (PDP): Overturned and Remanded to Planning and Zoning Board The following is staff s memorandum on this item. "BACKGROUND On October 20, 2005, a Planning and Zoning Board public hearing was conducted to receive presentations and testimony on the Shields Street Lofts PDPproposal, a mixed -use (residential and commercial) project on 0.22 acre located at 515 South Shields Street. The proposed project consists of the following: demolition of an existing single-family house construction ofa new 3-story mixed -use building containing 5 two -bedroom dwelling units (each 1,100 square feet in size) and 1,440 square feet of commercial uses (professional offices, personal and business service shops) 9 vehicle parking spaces on -site There is an existing alley along the north side of the property, which is south of the existing 7-Eleven Convenience Store at 505 South Shields Street. The property is in the NCB — Neighborhood Conservation, Buffer Zoning District. At this public hearing the Board continued the item to the regularly scheduled December 8, 2005 public hearing with direction to the applicant/developer to consider revisions to the plan based on concerns regarding adequate parking on -site and a privacy issue (from a large, second level outdoor deck on the building to properties to the west). On December 8, 2005, the Planning and Zoning Board continued the Shields Street Lofts PDP public hearing and received staff and applicant presentations and public testimony. The applicant submitted a revised plan that contained a range of square footages for the 5 dwelling units (decreasing the minimum unit size by 393 square feet and increasing the maximum unit size by 178 square, feet), increased the amount of commercial area by 6 square feet, decreased the size of the outdoor deck from 1,985 square feet to 280 square feet (now in the form of a 5' wide walkway as access to the 4 dwelling units on the secondfloor), and decreased the overall squarefootage ofthe building by 263 square feet. There remained a total of parking spaces on -site. 274 February 7, 2006 Planning and Zoning Decision After discussion and deliberation, the Planning and Zoning Board denied the Shields Street Lofts PDP based on the development proposal not being compliant with Section 3.5.1 Building and Project Compatibility of the Land Use Code. Specifically, the Board found that: The proposed building is too high relative to mostly one-story buildings in the surrounding area. The bulk and mass of the building is too large compared to surrounding buildings. The overall size of the building is not compatible with the predominance of single story buildings that define the general character of the neighborhood. In addition to the compatibility issue, the Planning and Zoning Board also spent considerable time deliberating about the project's compliance with the parking standards set forth in the Land Use Code. Non-residential uses are exemptfrom the City's minimum parking requirements, however, they are regulated with regard to the maximum number of allowed parking spaces, based on the proposed land use. Although not part of the Board's formal action, the majority of the members expressed concern that the lack ofparkingfor the commercialspace in the project may be in conflict with the purpose of the City's access, circulation and parking standards. Allegations on Appeal On December 14, 2005, a Notice ofAppeal was received by the City Clerk's office regarding the decisions of the Planning and Zoning Board. In the Notice ofAppeal from the Appellants Mikal S. Torgerson and Troy W. Jones, both ofM. Torgerson Architects, it is alleged that: • Relevant laws of the Land Use Code were not properly interpreted and applied. Questions City Council Needs to Answer • Which Land Use Code Standards govern the size, height, mass and scale of the proposed building? (If there is a conflict between the Article 3 and Article 4 standards, then Article 4 Standards supercede the general Article 3 Standards.) • Does the building meet the applicable standards? StaTfAnal sv is of Relevant Issues • Numeric Article 4 Standards Versus General Article 3 Compatibility Standards The Land Use Code is broken down into Article 4 "Districts ", which provides development standards specific to each zone district, and Article 3 "General Development Standards" 275 February 7, 2006 that pertain to properties city-wide. Within the NCM zone district, numeric standards are setformaximumbuildingsize(squarefootage)andmaximumbuildingheight(stories). The Appellants contend that these two sets of Standards are in conflict and cite Land Use Code Section 1.7.2 which states that, in the event that there is an internal code conflict between code provisions, the more stringent standard prevails. The Appellants therefore.further contend that the Planning and Zoning Board erred in using the general development standards of Article 3 to evaluate the compatibility of the building instead of the more specific standards. for the NCB zone district found in Article 4. The Planning and Zoning Board did not find a conflict between the provisions ofArticles 3 and 4. In its deliberations and decision, the Planning and Zoning Board deemed that the general compatibility standard of Article 3 was relevant in the evaluation of the proposed development even though the numeric standards for size and height may have been met. In other words, it believes there is no conflict between the two standards because it is possible for both sets of standards to be met. Staff agrees with this assessment. • Building Compatibility The Appellants allege that, even ifthegeneral compatibility standards in Article 3 apply, the Planning and Zoning Board failed to properly interpret and apply those standards as they relate to building size, height, mass and scale. Staff evaluated the development plan and concluded that the proposed building was compatible with other structures on the same block. Several buildings within closeproximity to the development site, including a church and office building, have similar building heights. The zone district permits a maximum of 3 stories, where the applicant proposes a 2 '/2 storybuilding. Use of a pitched roof on the upper floor, where living space is located within the roofpitch, minimizes the apparent building mass and makes it more compatible with the scale and form of neighboring residences which predominantly use pitched roofs. The proposed building has less floor area than the maximum size permitted, which is based on the size of the lot. However, the Board disagreed with staff's position on this point and said that the size and scale of the proposed building is not compatible with other buildings on the same block. List of Relevant Code Provisions • Section 1.7.2 Conflict with Other Laws Except as provided in Section 3.1.2, if the provisions of this Land Use Code are internally conflicting or if they conflict with any other statute, code, local ordinance, resolution, regulation or other applicable Federal, State or local law, the more specific standard, limitation or requirement shall govern or prevail to the extent of the conflict. If neither standard is more specific, then the more stringent standard, limitation or requirement shall govern or prevail to the extent of the conflict. 276 February 7, 2006 • Section 3.1.2 Relation to Zone District Standards (Article 4) In the event of a conflict between a standard or requirement contained in Article 3 and Article 4, the standard in Article 4 shall prevail. • Section 3.5.1(C) Building and Project Compatibility Building Size, Height, Bulk, Mass, Scale Buildings shall either be similar in size and height, or, if larger, be articulated and subdivided into massing that is proportional to the mass and scale ofother structures on the same block, or if no buildings exist thereon, then on adjoining blocks. • Section 5.1.2 Definitions Compatibility shall mean the characteristics of different uses or activities or design which allow them to be located near or adjacent to each other in harmony. Some elements affecting compatibility include height, scale, mass and bulk of structures. Other characteristics include pedestrian or vehicular traffic, circulation, access and parking impacts. Other important characteristics that affeet compatibility are landscaping, lighting, noise, odor and architecture. Compatibility does not mean "the same as ". Rather, compatibility refers to the sensitivity of development proposals in maintaining the character of existing development. Section 4.8(D)(1) Land Use Standards (1) Density. Minimum lot area shall be equivalent to the total floor area of the building(s), but not less than five thousand (5,000) square feet. Section 4.8 (E)(2)(a)(1) Dimensional Standards (5) Maximum building height shall be three (3) stories, except for carriage houses and accessory buildings containing habitable space, which shall be limited to one and one-half (I'12) stories. Alternative Actions City Council May Take A. If the Council finds that relevant laws of the Land Use Code were not properly interpreted and applied, the Council should overturn or modify the decision of the Planning and Zoning Board. B. ff the Council finds that relevant laws of the Land Use Code were properly interpreted and applied, then Council should uphold the decision ofthe Planning and Zoning Board. " 277 February 7, 2006 Mayor Hutchinson read a statement for the benefit of the public regarding the appeal process and the basic rules under which the Council must operate in hearing appeals. He stated in hearing an appeal the Council was not acting as lawmakers or policy makers but was instead acting as a "judge." The Council's role was to determine if it agreed or disagreed with the decision that was being appealed and with the way the decision was made. He stated there were specific rules that must be followed relating to a hearing "on the record." Council must base its decision on the information already in the record. There were only two exceptions to the "no new evidence rule"(to be explained by the City Attorney). He stated a second requirement was "impartiality." Council could not do its own research, talk to affected parties, or form opinions in advance of the hearing. Council could only review the videotape and transcript and read the staff reports provided in the Council packet and must try to avoid any conversations about the development and any new materials that might affect the Councilmembers' opinions about the development. He stated Councilmembers were not at liberty to talk to or respond in any substantive way to anyone who called or e-mailed about an appeal. The Council's determination must be based on existing standards. If development application met the applicable (current) standards it must be approved. If it did not meet the applicable (current) standards it should be denied. He stated Council could note that the "wrong standards" were in place and, after the appeal hearing, could ask staff to look at how those standards might be changed. In looking at any future changes to standards the Council would be back to its policy -making role. He stated it was important for Council to separate the two roles. The City Code did allow written materials from a party -in -interest to be submitted to the City Clerk by noon on the Wednesday prior to the appeal hearing. Those materials would be included in the agenda packet as part of the "record.". He stated petitions that had been submitted were part of the record and that, to the extent the petitions addressed the standards, the Council could consider them. This was a "criteria -based decision -making process." The process was intended to ensure that everyone who was directly affected by the Council's decision would have a fair hearing. City Attorney Roy explained the appeal hearing rules. He stated this would be a decision based primarily on the record, with two exceptions: (1) new evidence could come in response to questions from Councilmembers, and (2) if there was an allegation that the Board relied upon some false or misleading evidence, then parties could offer evidence to the contrary. He stated the parties -in - interest who could speak at this hearing included the applicant or anyone who had a legal interest in the property that was the subject of the application, or anyone who had been mailed notice of the Planning and Zoning Board hearing, or anyone who submitted comments to the Board, or anyone who appeared before the Board. He stated the Council must base its decision on the grounds stated in the notice of appeal, the evidence in the record, the criteria in the Land Use Code, and any other issues identified by a Councilmember in advance. He stated the options available to the Council would be to uphold, overturn ormodify the decision of the Planning and Zoning Board, or to remand to the Board if a determination was made that the Board did not conduct a fair hearing or if the Council determined the Board needed to more fully explore certain issues. He stated the Mayor would establish time frames for presentations. Steve Olt, City Planner, stated the site in question was on the west side of South Shields Street, located approximately one-half block south of West Mulberry Street and a block -and -a -half north of Birch Street. He stated the property was in the NCB zone district. He stated two neighborhood 278 February 7, 2006 meetings were held for this development proposal. A development proposal was submitted on March 30, 2005. After significant development review of the project, on October 20, 2005 the Planning and Zoning Board conducted a public hearing and received testimony forthe Shields Street Lofts, which was a mixed use project containing five residential dwelling units and approximately 1,440 square feet of nonresidential commercial office uses. He stated the proposed project consisted of demolition of an existing single-family house, construction of a new three-story mixed use building containing 6,940 square feet, five residential dwelling units and 1,440 square feet of commercial uses, and nine off-street parking spaces. After deliberation, the Board continued the item to the December 8, 2005 public hearing with direction to the applicants (developers) to consider revisions to the plan based on concerns regarding the adequacy of parking on -site and privacy issues for residential properties to the west relating to a large second level outdoor deck on the west side of the building. He stated on December 8, 2005 the Board resumed the public hearing and received presentations and testimony from the applicant, staff and residents. He stated the revised plan submitted in response to the Board's previous concerns retained five residential dwelling units (one downstairs and four on a second level), increased the commercial area on the first floor by six square feet, decreased the size of the outdoor deck from about 2,000 square feet to approximately 300 square feet in the form of a five-foot wide walkway along the west side of the building to the entrances to the residential dwelling units, decreased the overall square footage by 260 square feet, and retained nine parking spaces on -site. He presented visual information showing the site plan and its surroundings. He stated the Board had a lengthy discussion about the size, scale and mass of the building. The east elevation of the building was considered to be a 2 1 /2 story building with one residential unit on the first floor and four residential dwelling units on the second floor with a loft element on the half (or third) story. He presented visual information showing the west side of the building and the lower roof line with a five-foot wide walkway behind the mansard roof to provide access tothe four upstairs dwelling units. He showed visual information depicting the end elevations toward an alley to the north and a residential area to the south. He stated after lengthy discussion, the Planning and Zoning Board denied the Shields Street Lofts Project Development Plan based on the development proposal not being compliant with Section 3.5.1 of the Land Use Code dealing with building and project compatibility. The Board specifically found the proposed building was too high relative to the mostly one-story buildings in the surrounding area, the bulk/mass of the building was too large compared to surrounding buildings, and the overall size of the building was not compatible with the predominantly single -story buildings that defined the general character ofthe neighborhood. He stated the Board also had a lengthy discussion about the parking on -site relative to the proposed uses. The five residential units required aminimum number ofparking spaces and the nonresidential component had no minimum parking requirement and only a maximum parking allowance. He stated on December 14, 2005 the applicants/developers filed a notice of appeal with the City Clerk's Office alleging that relevant laws and Land Use Code were not properly interpreted and applied. He stated the Council must now determine which Land Use Code standards govern the size, height, mass and scale of the proposed building i.e., whether there is a conflict between Article 3 and Article 4 standards and if Article 4 standards supersede Article 3 standards and whether the building meets the applicable standards. 279 February 7, 2006 ("Secretary's Note: After polling the audience, Mayor Hutchinson stated each side would have 25 minutes for a presentation, longer than would usually be allotted, due to the large number of people who wanted to speak.) Mayor Hutchinson stated the appellants and parties -in -interest in support of the appeal would have 25 minutes for a presentation. Mika] Torgerson, M. Torgerson Architects, 223 North College Avenue, representing the owners of the subject property, stated he would present details explaining the process that arrived at the current design. He stated in September 2004 his client was looking at options for the site after attending a conceptual review for a residential four-plex. After further review of the NCB zone district, the applicant determined that a mixed use project would be more appropriate. This was based on the purpose statement of the NCB zone district: "The Neighborhood Conservation Buffer district is intended for areas that are a transition between residential neighborhoods and more intensive commercial use areas or high traffic zones that have been given this designation in accordance with adopted Subarea Plans." He stated the subject property was apart of the West Central Neighborhood Plan, which also envisioned mixed use or more intensive projects as a logical buffer for commercial areas such as the adjacent 7-Eleven and high traffic areas such as the arterial Shields and Mulberry Streets. He stated the applicant proposed a three-story building, which was allowed in the zone district, with a 40 foot high parapet. He stated this was proposed to be a brick building. The applicant took this to a neighborhood meeting in March 2005. The primary concerns of the neighbors related to height and the applicant was asked to look at options to reduce the height. Several neighbors also favored a pitched roof over the proposed flat roof. The project was redesigned as a 2 1 /2 story project with an eave height of 19' 8". This was brought back voluntarily to another neighborhood meeting in May 2005. He noted the notification area was expanded at that time beyond the area required by the Code in order to receive input. Some neighbors would always have concerns about redevelopment in this zone district because NCB was a transition zone. It clearly envisioned intensification over some existing uses such as single-family residences on a busy arterial street. He stated "opposition commonly follows change" and the applicant was "unfortunately not able to satisfy everyone." The applicant had proposed what was believed to be appropriate for this zone district and the project would fall within the Code requirements for a maximum height of three stories and a maximum floor area ratio of 1:1. The project would be 2 1 /2 stories and would have a floor area ratio of .78. He stated at the first Planning and Zoning Board hearing there were six concerns related to the Code. At the second Board hearing on December 8 there was much discussion about those six sections of the Code. He stated the project was eventually denied based on the Board's belief that the project did not comply with Section 3.5.1(C) of the Code relating to building size, bulk, mass and scale. Parking and other questions were discussed at length and the Board's determination related to one item only. He asked for clarification that discussion at this hearing would focus only on the section of the Code that was appealed rather than a rehearing of the project as it related to the Land Use Code as a whole. Mayor Hutchinson stated the questions being considered by the Council were posted on the wall. City Attorney Roy asked Mr. Torgerson to restate his question. February 7, 2006 Mr. Torgerson stated the question would be to decide whether or not the Planning and Zoning Board appropriately decided on the Code section that was being appealed or whether the Council would review the project as it related to the Land Use Code as a whole. City Attorney Roy stated he would hesitate to "constrain the applicant's comments with regard to anything that he thinks might be relevant." After receiving testimony, the Council must decide "what it thinks is relevant." He did not want to ask the applicant to "confine" his remarks at this point. Mr. Torgerson stated he knew many neighbors had concerns about parking, which clearly did not relate to height, bulk, scale and mass. He stated if parking was going to be a relevant consideration at this hearing, the applicant could give a lengthy presentation on parking. If parking was not going to be part of the consideration, such a presentation would be out of context. City Attorney Roy stated Councilmembers could ask for any additional information they believed was relevant later in the hearing. He suggested the applicant "make whatever use of the 25 minutes he felt was most appropriate." He noted the clock was stopped during this discussion. Councilmember Manvel suggested if the applicant had comments about parking, then those comments should be made during the applicant's presentation. He stated he believed"parking figured in size" and size was the reason for denial of the project. Troy Jones, M. Torgerson Architects, representing the applicant, spoke regarding the specifics of the standards. He read from page 66 of the December 20 minutes, the motion for denial made by Jennifer Carpenter: "I move for denial of this project for the PDP stating Section 3.5.1 that it is not compatible in size and massing to the general area and to the residential area." He stated the question was whether the project was compatible with Section 3.5.1 with regard to size and massing in the general area and residential area. The question of parking had come up and he wanted to put that issue into context. He stated the motion maker (Jennifer Carpenter) on page 68 clarified on line 19 that her motion did not speak to parking. The intent of the motion maker was specific to compatibility in size and massing to the general area and residential area. He stated there was a discrepancy between Article 3 and Article 4. He stated the neighbors would say the Article 3 standard in Section 3.5.1(C) provided: "If a building is larger it shall be articulated and subdivided into massing that is proportional to the mass and scale of other structures on the same block." From all four sides the building had articulation, a variety of materials, subdividing of the massing into column spacing, and a roof line that mimicked the residential character of the neighborhood. The building design met the Code requirements relating to articulation and subdividing. The question for Council was whether the massing was proportional to the mass and scale on the block, and whether this was the standard that should be considered or whether there were more specific Land Use Code standards that should be considered. There were much more specific standards that dealt specifically with this issue in Articles 4 and 5 of the Land Use Code. He stated Article 3 was making a general statement that applied to all zones everywhere, while Article 4 stated the intent for the NCB zone. The purpose statement in Article 4 stated this zone was intended to be a transition zone between residential neighborhoods and a more intensive commercial or high traffic zone. He stated 281 February 7, 2006 the intent was not for development to be the same as the residential neighborhood but that it would have a "different transitional character." Article 5 provided additional clarity. The definition of .'compatible" stated "compatibility was not the same as- what the project was trying to be compatible with. He stated he would address each of the issues of size, height, scale, bulk and mass. Article 4 relating to the NCB zone district standards provided that the size of a building was regulated by the lot area standards. A building could have a 1:1 ratio and the building square footage could be equal to the size of the lot square footage in the NCB zone. The applicant was proposing a .78:1 ratio with a building that would have 6,667 square feet on a lot that had 8,520 square feet. With regard to the height and scale of the building, the NCB standard provided for a maximum of three stories. This would be a 2 1/2 story building. There was a definition of "half -story"' in Article 5. He stated the intent of the half -story in the design was to minimize the impact with sloping. The proposed building was approximately 34 feet in height and other buildings fronting Shields Street in the immediate vicinity included a church across the street with a 36-foot high sanctuary and 50- foot high steeple. He had visual information relating to that building that could be presented in response to any Council questions. He stated Section 3.5.1 was more general than all of the Article 4 zone district standards and the definition of compatibility. He stated Articles 4 and 5 were more specific. Section 1.7.2 provided that when two standards were in conflict the more specific standard would prevail. Parking was a recurring theme in the letters from the neighborhood and at the Planning and Zoning Board hearing. Parking was not part of the motion for denial. The applicant was contending the issue before Council was whether the project was compatible with the neighborhood in terms of height, scale, bulk and mass. He would address parking, although it was not the issue before Council. In 1997, during the transition from the Land Development Guidance System to the Land Use Code, there was a change from parking minimums to some parking minimums and some parking maximums. There were parking maximums for projects such as the proposed project. The project complied with the "spirit of the Code', if parking was the issue. The Code was clear that zero parking was required as a minimum for the commercial use and there were minimum parking requirements for residential uses. He stated the project complied with parking requirements of the Code. It would be viable for people living in this project to use alternative modes of transportation. Providing more parking would discourage the use of alternative modes. Parking would be a recurring issue with "urbanization" and higher density in -fill development. He stated it appeared the Code was intended to encourage compact urban form and the use of alternative modes of transportation. Mr. Torgerson stated City Plan was intended to be a more proscriptive code than the previous code. It was intended to provide some level of predictability for neighborhoods and developers. If a project met the numerical formulas, approval was expected. He stated the decision before Council was "black and white." The applicant was proposing a 2 1 /2 story building which was 20% shorter than the three-story building allowed in the zone district. The applicant proposed a .78:1 floor to area ratio, and a 1:1 floor to area ratio was allowed. There were specific numbers of parking spaces required for different uses and the project met those requirements. A development that met the numerical requirements of the Code should expect approval. He had visual information available regarding the original building and the redesigned building and could show that information if Council requested that. 282 February 7, 2006 Mayor Hutchinson stated the opponents to the appeal would have 25 minutes for a presentation. Mayor Hutchinson asked if the visual presentation being prepared was new evidence. An unidentified male member of the audience stated everything in the presentation was in the Council agenda packet and had been addressed during the Planning and Zoning Board meetings. Mr. Torgerson stated in past appeals he had been told that presentations were not allowed if they were not viewed in the context of the hearing. He stated it appeared that this would be an "entirely new presentation that has never been seen." Mayor Hutchinson asked for clarification about what the opponents to the appeal intended to present. An unidentified male member of the audience stated everything in the presentation had been discussed at the Planning and Zoning Board meetings and was in the Council packets and/or in the Land Use Code. Councilmember Weitkunat asked if this presentation was "compiled in a different way" or if it was what was actually presented. The unidentified member of the audience stated it was not what was actually presented. Councilmember Weitkunat asked if this was therefore new evidence. An unidentified male member of the audience stated a group of neighbors in the vicinity of this project had learned over the course of this project what was needed to "demonstrate our concerns." He stated an opportunity was given to present earlier but the group did not realize that would be part of the process. Councilmember Weitkunat stated the Council could only look at the evidence that was presented. She stated to "reconstruct and recompile' made the information a "new presentation." City Attorney Roy stated in the past the Council had received the same information and the same exhibits in a different form and if that was what was in this presentation, he would recommend receiving it. There was a difference between the "substance' and the "form" of what was being presented. He stated since the substance was not new, the fact that it was rearranged in a different form should not preclude the Council from having an opportunity to see it in the context of the presentation. He stated it would be up to the Mayor to rule on this matter. Mayor Hutchinson asked if this was received whether that would open it up to both sides i.e., whether the appellant could then present the additional information mentioned in his presentation. Mr. Torgerson stated it was not accurate to say this was a recompilation ofthe information presented to the Planning and Zoning Board. He stated there were no PowerPoint presentations of any kind 283 February 7, 2006 given to the Board by the neighbors. The neighbors spoke on certain items but that it was a "stretch" to say that their PowerPoint presentation was a recompilation of what they presented to the Board. City Attorney Roy stated it was important to recognize the "purpose" ofthe rules. The purpose was to avoid "starting over again' or "catching people by surprise." Within those broad parameters the rules needed to be interpreted in favor of fairness. There was an important difference between new information, which should not come in unless the Council decided to request it, and information that was arranged differently. He stated the point of argument was to persuade the Council to view the available information in a certain way. If the rearrangement of the same information the Board had would assist someone in making a more effective presentation, then he believed this was consistent with the rules and the goals of the process to allow the presentation of the rearranged information. Mayor Hutchinson asked if the Council was in favor of allowing the presentation. He noted that the consensus was in favor of allowing the presentation. Councilmember Roy asked if this discussion had used up part of the 25 minutes. City Clerk Krajicek replied in the negative. Mayor Hutchinson stated the opponents to the appeal would have 25 minutes for a presentation. John Sanderson, 1012 Sunset Avenue, four houses east of the proposed development, stated a group of concerned neighbors had a number of primary points. He did not purport to represent all of the "strength and diversity of opinions on this subject." He asked those he was representing to raise their hands or stand up. The neighborhood was primarily owner -occupied and a "strong, diverse community of professionals" who cared about where they lived. He stated the neighborhood recognized there was intensive change going on in Fort Collins. He asked that this change be done with balance to maintain the character of the City and to protect the neighborhoods. He asked that the Council uphold the Planning and Zoning Board's denial of the Shields Street Lofts and to place a moratorium (comments interrupted). Mr. Torgerson objected that a moratorium was never mentioned during the Planning and Zoning Board hearing. Mr. Sanderson stated he would withdraw the comment regarding a moratorium since it was not "substantive" to his points. An unidentified female member of the audience stated the point about a moratorium was in the Council packet. Mr. Sanderson stated it was in the packet and that he would go on with his presentation. He talked about the "spirit" of the Land Use Code and two relevant components from Section 1.2.2 (Purpose), which stated "the Land Use Code was to improve and protect the public health, safety and welfare by fostering a more rational pattern of relationship among residential, business and industrial uses for the mutual benefit of all." It also provided that "the Land Use Code should ensure that ME February 7, 2006 development proposals are sensitive to the character of existing development." The issue was Section 3.5.1 (Building and Project Compatibility), which was the section of the Land Use Code upon which the denial was based. He stated the neighborhood was arguing that compatibility included more than the quantitative aspects addressed by the appellants. The appellant referred often to the numerical components. The definition of "compatibility" in Article 5 included size and bulk and mass, as well as "characteristics of different uses or design which allow them to be located near or adjacent to each other in harmony." Even though the denial was not based upon parking violations of the Code, parking was, in fact, part of the definition of "compatibility." He stated "compatibility" also meant "sensitivity of development proposals in maintaining the character of existing development." The neighborhood maintained that Article 3 and Article 4 were not in conflict because both standards could be met simultaneously. Article 4 expressed some quantitative specifics and Article 3 expressed a number of considerations that were qualitative. The fact that both could be met at the same time was the position held by the Planning and Zoning Board. The staff noted in the agenda item summary that they agreed with that position and the neighborhood also agreed with that position. The qualitative aspects could fundamentally not be addressed with specifics relating to building height and footprint. A Planning and Zoning Board existed for this very reason i.e., the Code needed to be interpreted. The Board's role was to evaluate the qualitative aspects of the Code. The qualitative aspects of the compatibility were the substance of the denial. There would be two buildings compared by the applicant to the project to justify compatibility. Those two buildings were not good comparisons and were not located on the block where the proposed building would be located. He presented visual information showing the two buildings used for comparison. The church was across the street and the prominent roof -line seen from Shields Street was the lower one (21 feet). The 36-foot roof -line of the chapel was a small part of the church, which was set back 45 feet from Shields Street and provided parking. The other building used as a comparison was north on Shields Street and across the Shields and Mulberry intersection. It was a historic building that was a little bit over 26 feet high, was set back 55 feet, provided parking and fit with the homes next to it. He presented visual information on the silhouette for the proposed building, which would be over twice as large as the building it would replace, more than twice as tall as the adjacent buildings, and would be about three times as wide as the building that would be demolished. It would be 34 feet high while the existing building was under 17 feet high, the setback would be less than 20 feet, it would fill up the lot. There would be no commercial parking provided and that there would be no adjacent on -street parking. The majority of the Planning and Zoning Board did express parking concerns. He stated parking was part of compatibility. The neighbors maintained that parking should be addressed in its own right. Mr. Lingle pointed out that Section 3.2.2(b), the general standard about parking, addressed convenience and safety. The parking surrounding this project would be neither safe nor convenient for either the neighbors around the project or for the patrons who would be parking in the neighborhood. The traffic and parking in the neighborhood would be unsafe, would cause more noise, and would cause more busyness. Patrons parking in the neighborhood would have to cross Shields Street to get to this building. It was not "in the spirit of the Code" to have zero parking for a commercial establishment. He stated the neighbors agreed there was no minimum parking specified forcommercial developmentbut believed there was a difference between an `omission" and a "statement." There was no statement to indicated that minimum parking for commercial was zero. Ms. Carpenter pointed this out at the December 8th Planning and Zoning Board meeting when she stated: "We didn't consider that 285 February 7, 2006 anybody would actually have zero commercial parking. This fundamentally does not make sense." He stated the neighbors agreed with that statement. The appellants recognized several times in the proceedings that it would be the neighborhood that would bear the brunt of a lack of commercial parking. There was a lot of support for upholding the denial by the Planning and Zoning Board. The neighbors submitted a petition with 213 signatures from neighbors (included in the agenda packet) and there was also opposition from surrounding residents, a church, the Elderhaus that was a half - block away, and a business. There had been multiple meetings and the neighbors felt strongly that the proponents for this project had been "blind" to their concerns. Minor adjustments had been made to the building and those adjustments did not address the concerns of the neighbors. Mr. Craig pointed out at the Planning and Zoning meeting in December: "It seems to me the applicant has taken a stance instead of stood back and understood what the issues are." All five Planning and Zoning Board members expressed reservations about the project. He presented quotes from the December 8th meeting: "Schmidt: We are hitting the extreme with this project. Lingle: It's not going to work very well for a lot of different reasons. Stockover: It is fundamentally wrong to try and push this on the neighbors. Craig: This isn't some NIMBY issue, this is going to be a big issue. Carpenter: 1 don't believe this fits in the neighborhood." He asked the Council to uphold the decision of the Board to deny the Shields Street Lofts PDP. Dan Vincent, representing the membership of the American Baptist Church, 600 South Shields Street, supported the objection to this project based upon the concerns of the membership related to the effects of parking. He stated there were concerns that this project would generate more parking than could be accommodated in the nearby community. The church facility had limited parking spaces and the patrons of the project would overflow into the church's parking spaces on a day-to- day basis. The church had been at this location for 50 years and the Elderhaus program across the street had been there for 25 years. The church wanted to be a good neighbor and did not want to "create hostility" by having cars towed. The congregants of the church felt this project would not be in the best interests of the church. Joanne Johnsen, Director of Elderhaus, 605 South Shields Street, expressed concerns about safety issues relating to increased traffic and the lack of parking. Edie Thompson, 623 Del Norte Place, stated the definition of "compatible" in her dictionary was "capable of existing or operating together in harmony." She stated she did not believe the project would be compatible with the neighborhood. Rod Adams, 1008 Sunset Avenue, stated the Planning and Zoning Board denied the proposal on a split decision (3-2). He stated a less obvious fact was that objection to the project was not split but was in fact unanimous. The two dissenting votes (Schmidt and Lingle) were not cast in support of the project, but for different reasons as reflected in the minutes. Ms. Schmidt voted for the project on the grounds that it was "futile" not to because she assumed that the City Council would simply overturn the decision. Mr. Lingle voted for the project on the grounds that it was wrong to penalize the developer for a mistake that the developer did not cause i.e., the failure of the Land Use Code to specify minimum parking for commercial development. He stated Mr. Lingle did not recognize the principle he cited should also apply to everyone else, including the neighbors. The question was February 7, 2006 what would cause the greatest harm. If the project was denied the developer could propose new developments and little harm would be done. If the project was built the neighbors must live with it for years and much harm would be done. It would be "morally wrong" to approve the project. Mark Johnson, owner ofGilsdorfGarage, I I II West Mulberry Street, stated he was concerned about the parking situation. The proposal was for five dwelling units with two bedrooms apiece, which meant a potential for 10 vehicles. The project proposed nine parking spaces (with one handicapped space). He had concerns with the lack of parking for the commercial uses for employees, owners and customers at that particular site. He did not believe the commercial uses would be feasible with no parking. There was no parking provided by the City in this area as there was in Old Town. He stated there was no available public parking on Shields Street or down the alley. The big impact would be illegal parking at the 7-Eleven and Gilsdorf Garage. He asked that Council deny the project based on a lack of compatibility, especially in relation to parking. Andrew Warnock, 600 Monte Vista Avenue, stated he lived in a "strong neighborhood" with many owner -occupied houses. He stated the families with small children were worried about the impact of that parking, noise and disturbances would have on the neighborhood. He asked the Council to oppose the appeal. Sui Su Lee, 939 Pioneer Avenue, stated the developer had used the church as an example but the church was built over 50 years ago. When the church was built the homeowners in the area agreed that the two lots that the church would occupy would be converted to the church and the church worked with the homeowners to build. This was a very different situation with the proposed project. She stated the neighbors felt that the church was compatible with the character of the neighborhood and there was "endorsement' for the church to be built. Floyd Taladay, 1500 Elm Street, American Baptist Church member, stated parishioners had to park in the Elderhaus parking lot every Sunday. He noted that it was hazardous to cross Shields Street to the church. He asked that the Council deny this project. Mayor Hutchinson stated the appellants and any party -in -interest in favor of the appeal would have 10 minutes for rebuttal. Mikal Torgerson, appellant, stated parking was not a consideration for the denial by the Planning and Zoning Board. There were many people who walked to work and school every day. It was "ludicrous" to assume that everyone who lived in the project's residential units would drive to campus. Empirical data had been gathered for the Cambridge House and it had a lower parking per person bedroom rate than most multifamily units. A parking modification to reduce the amount of parking was granted by the Planning and Zoning Board. One of the opponents stated Jennifer Carpenter said this was mistake and it was never intended that there be projects that would provide no parking. He stated this was not true and multiple modifications to grant no parking to projects had been given, even for residential projects. He stated the Planning and Zoning Board had, on multiple occasions, explored the idea of reducing the parking requirement for residential around the university because many students do not have cars and many choose to walk or ride a bike. He also 287 February 7, 2006 wanted to address the "spirit of the Code' and the "idea of punishing someone because of this loophole in the Code." He stated there was no minimum parking requirement for commercial units in the Code. This was not a "mistake' or "oversight." The idea was if parking was minimized people would tend to seek other modes of transportation. Opponents also indicated the church did not have enough parking and there was concern that people would park in the church parking lot. He doubted this would happen because the church was across Shields Street and it was perilous to cross that street. A bike shop or other uses that did not require much parking would be good tenants. Troy Jones, appellant, stated he had additional photos of the neighborhood that would be helpful and asked if he could show those photos as the opponents were allowed to do. Mayor Hutchinson indicated that Mr. Jones should proceed. Mr. Jones presented visual information and noted that the mass of the church sanctuary area was actually taller than the proposed building. He showed views from several different perspectives in the neighborhood, noting the church was "towering" above the houses and was "very compatible' with the houses. He stated the proposed building would be taller and could be seen from a street away. Many in the neighborhood felt they would be impacted more than would actually be the case. There would not be much more impact than the church and most in the neighborhood agreed the church was compatible in bulk, scale and mass to the neighborhood. He showed additional views of the church. He stated there were other buildings down the street that were "relevant." He showed views of other buildings in the area and stated 2 1 /2 story and three-story buildings were prevalent in close proximity to this site. This project would not be different than what was already in the immediate vicinity. The motion for denial at the Planning and Zoning Board meeting was based on the compatibility in size and massing to the general area and the residential area. The church was a "perfect example' of why the proposed building would not be a "negative impact." He stated, on page 68 of the December 8 minutes, Jennifer Carpenter clarified that her motion did not speak to parking. Her motion was intentionally based on scale and mass with relation to the neighborhood. The West Central Neighborhood Plan was revised in the last couple of years. NCB zoning was not a new concept for this location and at this intensity. It should not be a "surprise' that a development wanted to follow the specifics of the Code in terms of height and scale and building size in the NCB zone. A speaker indicated that 213 people signed a petition. He pointed out that church members were not by definition parties -in -interest and that many of the addresses on the petition were on streets three and four blocks away. Many of the petition signers were not parties -in -interest and would not even see this project from their houses. This project would not have the negative impact the neighborhood thought it would have. Mikal Torgerson stated a great deal of"financial harm" would be done to his client if the project was not approved. The perception among many developers across the Front Range that Fort Collins was an "unpredictable place to do business to develop because you could meet the Code and still be denied"was further reinforced over time when this sort ofthing happened. He presented the drawing showing the early version of the elevations. Mayor Hutchinson stated the opponents to the appeal would have 10 minutes for rebuttal. February 7, 2006 John Sanderson, 1012 Sunset Avenue, addressed the residential parking issue. He stated the notion that people would take alternative transportation simply because parking was not provided was "ludicrous." Mr. Lingle addressed this point in the minutes of a recent Planning and Zoning Board meeting. He stated his street was immediately east of the project and the cars on the street were "student cars." The residential parking aspect of this project, like every other aspect of the project, "just sneaks in under the minimums." The 1.75 parking spaces per bedroom required by the Code would require nine parking spaces. One space would be a handicap space and there were no handicapped facilities on this building, meaning there would actually be only eight parking spaces. He stated this was another point of "lack of clarity" in the Code that was addressed during the Planning and Zoning Board meetings. Ronnie Estelle, 1012 Sunset Avenue, stated each of the church members was considered an "owner" of the property and they were therefore parties -in -interest. She stated the Planning and Zoning Board did not cite other Codes because there were none. They "searched" through the Code to try to find some parking regulations to cite because the parking issue was contentious. The City Attorney guided the Board and said there was no Code that could be cited because there was no minimum standard set. She stated minimum did not mean zero. The neighborhood had great concern parking would be a problem 24 hours a day. She stated Mr. Torgerson said that the Board denied the project on the basis of Section 3.5.1(C) and this was not accurate. The Board denied the project based on Section 3.5.1 relating to compatibility. The definition of compatibility included qualitative aspects and she believed the Board made the right decision. Sui Su Lee, 939 Pioneer Avenue, stated Mr. Jones showed many pictures about the size and mass of the church in relation to the neighborhood. She stated the church and its parking lot occupied three lots (35,000 square feet). The proposed lot was less than 9,000 square feet. The church lot was almost four times the size of the proposed lot and she did not believe it was a correct comparison to compare the two. Andrew McMahan, 605 Monte Vista Avenue, stated the fact that there was no mention of a minimum parking requirement needed to be interpreted, not as the minimum equaled zero, but in terms of the more general standard Section 3.2.2: "The parking and circulation system within each development shall accommodate the movement of vehicles, bicycles, pedestrians in transit throughout the proposed development to and from surrounding areas safely and conveniently." Rod Adams, 1008 Sunset Avenue, stated he wanted to respond to a comment made by Mr. Jones relating to signatures on the petition. He stated people who would not be directly impacted by the project signed the petition because they understood this was an "issue of fairness " and it was not fair for a developer to plan on the neighbors providing commercial parking space. He stated Mr. Torgerson indicated it was intentional that there was no minimum parking requirement for commercial. At the December 8 meeting, the Deputy City Attorney said: "I remember when this was debated politically and the idea was that we didn't want over -parking, we didn't want commercial business to provide too much parking, and we figured the developers ofbusiness parking uses would surely provide some parking if they wanted to be profitable." W21 February 7, 2006 Jim Parrish, 1008 Mantz Place, stated the buildings the appellant used as comparison all had adequate parking. He stated most homeowners in the neighborhood believed that parking was part of compatibility. Carolyn Standring, West Mulberry Street resident, stated the structures used by the architects for comparison were not valid. The businesses that would be adjacent to the project were one-story and the proposed project would be multi -story. She stated the comparison to the church steeple was "ludicrous." ("Secretary's Note: The Council took a recess at this point.) Mayor Hutchinson stated he would entertain questions from Council. City Attorney Roy stated he wished to interject a statement to "perfect the record." He stated "exhibits in a different form" had been presented to the Council. For the record, those needed to be preserved i.e., the PowerPoint presentation of the neighbors and the slides presented by the appellant needed to be retained by the City for 30 days in some form. He requested that this information be presented to the City Clerk. Councilmember Kastein stated page 5 of the Agenda Item Summary summarized the Board's decision and indicated the Board determined the proposal was not compliant with Section 3.5.1 and "specifically" made three findings. He asked if the three specific findings were written elsewhere in a separate document from the Board or if they were taken from the transcript. Cameron Gloss, Current Planning Director, stated the findings were reflected in the minutes of the hearing and the summary in the Agenda Item Summary was paraphrased. Councilmember Kastein stated the motion had been referenced several times and that the motion was for denial of the project based on Section 3.5.1 because it was not compatible in size and massing to the general area and to the residential area. He asked if the Agenda Item Summary was therefore summarizing what was in Section 3.5.1. Gloss stated the summary was based on the testimony and deliberations and record of the hearing. He stated efforts were made to "capture the essence of the motion." Councilmember Kastein stated the opponents to the appeal brought up Section 5.1.2 (Definitions). He stated there seemed to be a "gray area" in relation to the definition of "compatibility." Throughout the transcript there was discussion about compatibility, especially with regard to mass and size of buildings. He stated there were various opinions on whether this was an issue. There was more discussion about parking. Section 5.1.2 indicated that some elements of compatibility included height, scale, mass and bulk of structures and other characteristics of compatibility included pedestrian and vehicular traffic, circulation, access and parking impacts. He believed it was right to consider "parking impacts" in addressing compatibility and asked if that was correct. Gloss stated this was correct under that Section. He stated the Board did not elect to choose parking as one of the issues in the motion, although there was a lot of discussion about parking. 290 February 7, 2006 Councilmember Kastein stated this was a "quandary"for him because parking was raised as an issue by the neighbors at this hearing even though this was not part of the motion in the transcript. He asked if the Council was allowed to consider compatibility with regard to parking impacts. City Attorney Roy stated the scope of the review on appeal included the grounds stated in the notice of appeal, the provisions of the Land Use Code and the evidence in the record. He stated two of those brought in parking. The land use standards brought parking in through compatibility and the record was "replete" with discussions about parking. The notice of appeal did not appeal the denial on the parking issue because the Board did not use that as a grounds for denial. In his opinion the Council could consider parking as part of compatibility for the reasons that had been pointed out. He stated if the Council was to do that, it would be fair to give the Board the opportunity to review the parking issue and to give the appellant and all other parties -in -interest an opportunity to speak to the parking issue with the understanding that it was a relevant consideration. The City Attorney's Office had advised the Board that, based upon the absence of a minimum parking requirement, it was not relevant. This was also his opinion coming into this hearing. He believed parking became relevant through the compatibility definition and the purpose statement in Section 3.5.1, which addressed the physical attributes and the operational characteristics of a project. The Board and perhaps even the Council may have"inadvertently been misled about the relevance of parking." He now believed that parking was relevant despite the fact that there was no minimum parking requirement. According to the Code it was a component of compatibility and, if the Council agreed with that, the Board and the parties -in -interest should have an opportunity to consider the matter again. He stated the appellant may have been "disadvantaged" in the way in which the decision was made and the advice the Board received. He had been persuaded that parking was relevant because of the definition of compatibility, despite the fact that there was no minimum parking requirement. Councilmember Kastein stated this issue was key in his thinking and he would pursue a more specific line of questioning to the appellant, those in opposition and the staff about how they would define parking impacts regarding compatibility unless the rest of Council did not believe that this was relevant. Mayor Hutchinson asked if the Council should consider remanding the matter back to the Planning and Board with direction to consider parking as an issue. City Attorney Roy replied in the affirmative and stated the Council also had the ability to modify the decision and impose a parking requirement. He stated he would recommend that, if parking was a consideration for the Council, then the remand would be the better remedy since the Board made its decision based upon the understanding that parking was not a factor. Councilmember Roy asked staff to show visual information about the block on which this would be located. Gloss stated a "block" was defined in the Land Use Code as a unit of land that was surrounded by streets. He stated in this case there would be Mulberry Street on the north and Myrtle Street on the south. In looking at compatibility, staff believed it was also appropriate to look at the block face (the portion of the block fronting or facing the street). Staff looked at compatibility on both sides of the street. Councilmember Roy stated he was looking at a definition that indicated the buildings across the 291 February 7, 2006 street were not in the same block. Gloss stated they were on the same "block face." Councilmember Manvel stated that during the Planning and Zoning Board the appellants "pleaded for" a "word for word interpretation of the Code." He stated Section 3.5.](C) provided that "buildings shall either be similar in size and height or, if larger, articulated and subdivided into massing that is proportional to the mass and size of other structures on the same block, or if no buildings exist thereon, on adjoining blocks." In this case adjoining blocks should be excluded. Gloss stated this was correct under a literal interpretation of the Code. Mayor Hutchinson asked if this meant the church should not be considered as a comparison. Gloss stated the staff analysis of compatibility did consider the church as well as other structures in the immediate vicinity and facing the subject property. He stated this would bean "error" under a literal interpretation of Section 3.5.1(C). From the staff s perspective there was some value in comparing structures that would be facing each other within a "larger context." Councilmember Manvel stated he understood that logic but noted the appellants had been "eager to read the Code word-for-word" and he would like to do that as well. He stated under the current Code the church and other buildings that had been mentioned were not "relevant comparison buildings." Councilmember Roy stated on page 73 of the transcript, Ms. Carpenter asked: "So where are we legally as far as addressing parking since there isn't a minimum? Can it fall under compatibility?" He asked if the Deputy City Attorney specifically answered that question at the Board hearing. He stated Ms. Carpenter's question seemed to "get at the crux" of the issue. Deputy City Attorney Eckman stated on page 74 there was discussion about Subpart 6) which was the provision under which additional conditions could be imposed. He stated he did believe parking was a component of compatibility based on the definition. He stated his position had changed since the Planning and Zoning Board meeting and he could now see more clearly there could be a more "subjective review." He stated the definitions of "block" and a "block face" were clear and that, from the literal "purist" perspective, the building across the street was not relevant. Councilmember Roy stated it appeared Ms. Carpenter was not given a definitive answer to her question about whether parking would fall under compatibility. City Attorney Roy stated he believed that in the "final analysis" parking was relevant through the compatibility definition. Councilmember Kastein made a motion, seconded by Councilmember Manvel, to accept that there was sufficient residential parking and to remand the matter back to the Planning and Zoning Board to give a decision based on compatibility and parking impacts for the commercial portion of the development. Councilmember Kastein stated this was the "singular" issue i.e., there was some commercial space with no parking and parking impacts were part of compatibility. He stated the requirements were met for the residential parking. There were questions about the commercial part of the project and that was not a lot of square footage for commercial. There may not be a large need for commercial 292 February 7, 2006 parking. He stated there had been no discussion on that aspect of the project. Councilmember Manvel stated he would support the motion. He hoped this project would go forward in some form. In -fill redevelopment was important but it must be done with the proper respect and consideration for the neighborhood. He did not see any local support for this building. There would be benefits to the developer and the community but there were impacts that would be "but of proportion" to the benefit. He hoped there could be a solution to the parking issue that would mitigate the parking impacts on the neighborhood. The parking remained the same in the revised plan because the developer argued that there was no parking requirement for the commercial. He stated there was in fact a general requirement forparking in terms of compatibility (a judgement call) that supplemented the numerical requirements. if this was remanded and the project could be modified in some reasonable way that he hoped it would come forward again. Councilmember Weitkunat stated she would not support the motion. She stated every time there was an appeal it dealt with the elements of City Plan, which was intended to build a dense, urban environment. This required "taking a different look" at how building and development should happen. A dense, urban environment required the building of multi -story buildings, particularly with in -fill projects. There was no place in the Code that said that a two-story building was incompatible with one-story neighborhoods. Comparisons with other buildings was "somewhat irrelevant' because the Code allowed three stories in this zone district. It could not be incompatible if it was allowed. This appeal was all about density. She agreed parking could be a consideration for compatibility. The City Plan did not want big parking lots and the project met the requirement for residential parking. There was no minimum for commercial parking because of the belief that commercial and residential could mutually use parking. There could be 3 or 4 small businesses on the first floor that would have minimal parking requirements. The City was trying to encourage a "walkable community" that did not use cars. The City Plan also encouraged mixed use. The Planning and Zoning Board had difficulty with the parking standards because its "hands were tied" by the Code. If the matter was remanded, the Board could look at forcing the applicant to do something not supported by the Code. The Council needed to look at how parking standards were to be applied within the community i.e., if commercial development would not be required to have parking. Forcing a development to have one parking space per worker was against what the Code was meant to do. She suggested the Council consider reversing the decision of the Board and impose a condition relating to the commercial parking. Councilmember Ohlson stated he supported in -fill redevelopment and a more dense urban environment but it could not be done at the expense of existing neighborhoods. He supported minimalist parking but this did not mean zero commercial parking for projects in existing neighborhoods where there were no alternatives for parking. He believed parking was part of the compatibility issue and he would support the motion to remand. The matter should be remanded to the Planning and Zoning Board to see what they could do with the commercial parking aspects. He also believed there needed to be changes to the Code language relating to "block' and commercial parking. Councilmember Roy supported the motion. He stated he hoped the citizens now understood why 293 February Z 2006 it was not appropriate for Councilmembers to discuss the appeal with citizens because Council needed to be as unbiased as possible during the appeal process. The comments he received from citizens were favorable toward in -fill redevelopment but not at the expense of the "character, heart and soul" of the existing neighborhood. The motion to remand would provide a chance to clarify and "reach a different set of conclusions' that would allow this much needed development to make changes that would be in line with neighborhood values. Mayor Hutchinson asked that the motion be read. City Clerk Krajicek requested clarification regarding the motion. Councilmember Kastein stated his intent was to accept that there was sufficient residential parking and to remand for the Planning and Zoning Board to consider the commercial parking issue and decide whether or not the project would work as proposed. He stated if the Board found that it would not work then he believed the Board would be able to suggest modifications. Mayor Hutchinson stated the appeal was based on a motion that was made to deny the project based on the finding that it was not compatible in size and massing to the general area and to the residential area. He stated the Council had determined that parking was an issue. He asked if the motion was to remand for reconsideration by the Planning and Zoning Board on the commercial parking problem. He questioned whether this would address the matter that was appealed i.e., compatibility in size and massing to the general area and the residential area. He stated that had not been addressed. City Attorney Roy stated that on remand the Board needed direction on that point. He stated a friendly amendment or a formal amendment to the motion could be made to give the Board direction on the Council's view with regard to mass, size and height and whether the Council agreed with the Board's determination that it should be denied for that reason. Councilmember Kastein made a motion, seconded by Councilmember Weitkunat, to amend the previous motion to say the Council does accept the compatibility standard with regard to bulk, size and mass and the exception noted was solely the parking impacts of the commercial portion of the development. Councilmember Manvel asked if the intent was to say that the project conformed in terms of size and mass or if the Council would be agreeing with the Board that the project does not conform in terns of size and mass. Councilmember Kastein stated it would mean that the Council was disagreeing with the Planning and Zoning Board. Mayor Hutchinson stated he understood that the motion would overturn the denial on those issues listed in the motion to amend. Councilmember Manvel stated he did not agree with the intent of the motion to amend. Mayor Hutchinson asked if the motion was that this Council overturns the denial of the project as 294 February 7, 2006 it was based on size and massing and remands the issue for P&Z to consider the commercial parking. City Attorney Roy stated the Council would be voting on the amendment to the main motion i.e., whether to instruct and direct the Board that the mass was acceptable and the issue for reconsideration would be the commercial parking issue. Councilmember Ohlson stated he was concerned the Council was not enforcing "what the end product would actually look like." He asked if the building would just fit the length and the breadth and the height or would it actually look as it was presented. He stated there was a statement by a planner in the materials that implied that what was built might look different than what was approved. Gloss stated a final plan review took place after a project was approved at the hearing and this was an opportunity for staff to ensure that the "character" that was approved by the Planning and Zoning Board or the Hearing Officer was reflected in the final design (architectural details, building materials, colors, etc.). Councilmember Ohlson asked if requirements could be more strict at the final plan review stage. Gloss stated staff had the ability to work with an applicant and encourage higher quality design, materials, etc. Councilmember Ohlson asked the applicant to respond to the question. Mr. Torgerson stated the elevations would be as set forward in the plan. Councilmember Ohlson asked if the applicant intended to make the building look as it was shown in every regard (at a minimum) in the pictures presented to the Council. Mr. Torgerson replied in the affirmative and stated he stated this could be a relevant condition for approval. He stated between the first and second hearings of the Planning and Zoning Board the applicant revised the parking plan to put in lifts that would double the parking for all of the residential and provided surface parking for the commercial. He stated this would also be a reasonable condition of approval. Councilmember Manvel spoke against the amendment to the motion. He stated it would mean the Planning and Zoning Board could only consider the parking and should not consider the mass and size. If the Board considered the parking it could determine that something needed to be changed because the parking was increased. He noted that when the deck problem was addressed by the applicant the building "came back larger" than it was in the original plan. He stated he did not want a redesign to lead to a building that would be "arbitrarily preapproved" in terms of mass and size. He would like the Board to be able to look at the parking and the size of the building. He did not believe the size of the building was compatible. The building was "massive" compared with the houses in the neighborhood. He strongly believed in in -fill and mixed use and he hoped when this went back to the Board the building could be changed to make the neighbors "happy." He did not want to instruct the Board to ignore size and scale. Mayor Hutchinson asked, if the Council agreed that the project could be denied because of mass and 295 February 7, 2006 size, whether there was any reason to remand for the Board to reconsider the parking. City Attorney Roy stated that, if the majority wanted to deny the project, then the grounds were there, based on mass. He stated that, if the majority did not want to take a position on mass and send it back for further Board consideration of the parking, which could mean it might come back to the Council on appeal, then the Board would have no direction on whether or not the size was a problem and would have direction to focus on the parking. In that case, it would be up to the Board to decide on mass and scale. The Council could give the Board direction whether the size was a problem or could choose not speak to that issue and direct the Board to look at the parking. Mayor Hutchinson asked if the Council directed the Board to look at the parking without looking at the mass and scale then would the denial would stand. City Attorney Roy stated the Board's denial would not stand unless the Council voted affirmatively to uphold the denial. The Council would then have to decide why the project was being denied. It would be inconsistent to vote to deny the project while voting to remand. Councilmember Ohlson stated he did not want to see a vote on upholding the Planning and Zoning Board denial based on mass and scale. He also did not want to prevent the Board from discussing that issue since there would be three new Planning and Zoning Board members. Councilmember Weitkunat stated this needed to be considered in the context of the zone district in which the project was located. This was a transitional buffer zone, rather than a residential zone. The Code provided that this kind of project could be built in this zone regardless of the neighborhood. Size, mass and bulk had to do with other things besides the building height. She stated there was discussion at the Board meeting that the building itself was acceptable because of breaking of the features, window treatments, cornices, a breeze way, and the division of the building to "break the bulk." To say the building was not compatible because it was 2 1/2 stories high was not logical. She stated the Board appeared to be "groping for a reason" to deny based on parking and did not find that reason, but made the determination instead based on mass. The Council had determined compatibility could involve the parking and this issue should be sent back to the Board. She was comfortable remanding the matter to have the Board look at parking and come up with some solutions. Mayor Hutchinson asked for clarification regarding the motion on the table. City Clerk Krajicek stated the motion as she understood it was to overturn the Planning and Zoning Board denial of the project and accept that the project meets the compatibility standards as related to height, bulk, mass and scale and to direct the Planning and Zoning Board to reconsider the parking impacts of the commercial aspect of the building. City Attorney Roy stated the restatement of the motion to amend was correct except for the last part relating to reconsideration of the parking impacts. Councilmember Ohlson stated none of the Councilmembers had indicated that a 2 1 /2 story building was inappropriate at this location. Such a building could be compatible at some locations but he did not believe this determination should ever be "automatic." He did not support taking mass and scale off the table for the Planning and Zoning Board. The developer, Board and neighborhood could work out something that would work for everyone. 296 February 7, 2006 Councilmember Kastein stated as long as the scale and mass did not "get any worse" he believed this project was acceptable. The motion to amend would say the Council believed the proposed mass and scale were acceptable. He stated his intent was to focus the attention of the Board on the parking issue since the bulk, size and mass of the building were acceptable. Councilmember Roy asked for assurance that this would be the direction that would have to be taken if the matter was remanded to the Board to look at parking. He asked if it would be a "whole new project" if something changed about the scale. Gloss stated the Board would evaluate the revised plan if the applicant had an opportunity to go back and make some changes to the plan and the Board could decide to make a decision based on the Council's discussion. He stated there could potentially be changes to the plan to provide more parking for the commercial units i.e., the square footage or density of units could be reduced. He stated it would be up to the applicant to submit a revised plan. Councilmember Roy stated he would not want to say the bulk and mass of the structure were acceptable and then have a design change that would change the bulk and mass and make it potentially unacceptable. City Attorney Roy stated the design change could happen but it could not expand the mass of the building. Mayor Hutchinson asked the City Clerk to read the motion to amend. City Clerk Krajicek stated the motion to amend as she understood it was to overturn the Planning and Zoning Board denial of the project and accept that the project meets the compatibility standards related to height, bulk, mass and scale. Mayor Hutchinson stated he would support the motion to amend because of the need to provide direction to the Board regarding its denial based on size and massing. He stated the parking issue would be treated separately. The vote on the motion to amend was as follows: Yeas: Councilmembers Brown, Hutchinson, Kastein, Roy and Weitkunat. Nays: Councilmembers Manvel and Ohlson. THE MOTION TO AMEND CARRIED Mayor Hutchinson stated the main motion would accept that the parking requirements forresidential were met and remand the matter to the Planning and Zoning Board to consider the commercial parking issue based on Section 5.1.2 relating to compatibility. Mayor Hutchinson asked the City Clerk to read the main motion as amended. City Clerk Krajicek stated the motion as she understood it was to overturn the Planning and Zoning Board denial of the project and accept that the project meets the compatibility standards as they related to height, bulk, mass and scale and to remand the project to the Planning and Zoning Board for a decision based its reconsideration of the effects of the parking impacts due to the commercial aspect of the building with regard to compatibility as referenced in Section 5.1.2. Councilmember Ohlson stated he voted against the motion to amend because he believed that scale 297 February 7, 2006 and mass and impacts on the neighborhood were "still real." He stated, to be "consistent' he should vote no again, but this would mean voting against the reconsideration of the commercial parking. He did not want to be on the record as agreeing that the scale and mass determination was correct. City Attorney Roy stated Councilmember Ohlson's vote on the scale and mass issue had been recorded. The vote on the main motion as amended was as follows: Yeas: Councilmembers Brown, Hutchinson, Kastein, Manvel, Ohlson, Roy and Weitkunat. Nays: None. THE MOTION CARRIED ("Secretary's Note: The Council took a recess at this point.) Consideration of the Appeal of the December 8, 2005 Planning and Zoning Board Denial of the Modification of Standard Relating to the Separation Requirements for Convenience Retail Stores with Fuel Sales within the Timberline Center Project Development Plan; Board Decision Upheld The following is staffs memorandum on this item. "BACKGROUND On December 8, 2005, the Planning and Zoning Board conducted a public hearing considering the Timberline Center Project Development Plan (PDP). A component of this PDP. was a Request for Modification to Section 4.23(B)(c)5. which requires a minimum of three-quarters of mile (3,960 feet), measured in a straight line, as the distance between retail stores with fuel sales and anyfueling station. The Board considered testimony from the applicant, the public and Staff. The Request for Modification was denied. The PDP was approved. The site is located on the west side of Timberline Road, approximately one-half mile south of Prospect Road, and is zoned I, Industrial. PROJECT DESCRIPTION This is a request for a PDP for a mixed -use project located in the Industrial zone. Proposed land uses within the development can be roughly divided among three categories: (1) convenience shopping center, (2) auto -related services and (3) enclosed mini -storage. Specific uses include a convenience shopping center, general office, bank, retailstores with vehicle servicing, vehicle minor repair, standard restaurant, fast food restaurant and enclosed mini -storage. Contained within the "convenience shopping center" are two uses that would not be allowed unless considered part of such a center. These are retail stores, and drive -through restaurants. Total gross leasable square ,footage is 179,200 square feet. It is important to note that the convenience retail store with fuel sales is not located within the 11 February 7, 2006 convenience shopping center component The parcel contains 21.84 acres and is located on the west side of Timberline Road approximately one-halfmile north of East Drake Road. The Union Pacific Railroad right-of-wayformsthe western boundary. Two new public streets would serve the site. A request to rezone a portion of the site from Transition to Industrial accompanies this PDP request. Four Modifications are requested. Chief among these is a request to include a convenience retail store with fuel sales which is not separated from the nearest one by the requisite distance of three- quarter mile. The applicant has submitted two siteplansfor consideration. Thefirst, labeled sheet I of5, includes the convenience retail store withfuel sales (Building KI). Should the Modification to the separation distance be denied, the second site plan, labeled sheet 2 of 5, removes the convenience retail store with fuel sales and replaces it with a Drive -Through Restaurant (Building K2). Allegations on Appeal. - On December 20, 2005, a Notice of Appeal was received by the City Clerk's office regarding the December 8, 2005 decision of the Planning and Planning Board to deny a Request .for a Modification relating to the 314-mile minimum separation requirement for Convenience Retail Stores with Fuel Sales. The appeal was submitted Ms. Linda Ripley, V-FRipleyand Associates on behalf of and in conjunction with Mr. Kris Fleischli, owner and developer of Timberline Development, LLC. In this appeal, it is alleged that The Board failed to hold a fair hearing by improperly failing to receive all relevant evidence offered: Relevant laws were not properly interpreted and applied; and Questions City Council Needs to Answer: A. Did the Board improperly fail to receive any relevant evidence of by the appellants? B. Did the Board improperly deny the appellants'request to modify the Land Use Code standard that prohibits a convenience retail store with fuel sales from being within three-quarters of a mile of another such convenience store or a fueling station? Staff Analysis of Relevant Issues: The plan, with a convenience retail store with fuel sales, would be equal to or better than a plan with two drive -through restaurants. WZ February 7, 2006 The appellants allege that since the Industrial zone district allows drive -through restaurants (only iflocated in a convenience shopping center), two drive -through restaurants would be permitted within the center. This outcome, they claim, would overload the center and clearly be less desirable than a center that featured only one drive -through restaurant and a convenience retail store withfuelsales. The Board was aware of all the permitted uses allowed under the Industrial zone. The issue at hand, however, was not the various permutations of how these permitted uses will be distributed. Rather, the issue related only to the separation requirement for one particular use. Merely threatening to adjust the mix ofuses within the center in favor ofone particular permitted use did not factor into the Board's discussion on the merits of whether to grant a Modification to the 314-mile separation distance for the proposed convenience retail store. In fact, one member acknowledged the potential of multiple drive -through restaurants but voted to deny the Modification based on the separation criterion. • The location of the convenience store with.fuel sales within Timberline Center is unique in relationship to the two existing stores in Rigden Farm and Spring Creek Center. While the store in Timberline Center would front on Timberline Road, the other two stores do not. Therefore, the 314 mileseparation should be modified since the proliferation would not have an aesthetic impact on Timberline Road. The Board was shown the diagram that indicated the separation distance using two methods ofineasurement. The straight-line measurement results in non-compliance while measuring along the roadways results in compliance. The Board considered both methods but relied upon the Land Use Code in basing their decision on the straight-line method. The Land Use Code anticipates such discrepancies in measuring methods. Section 1.4.10, Rules for Measuring Distances, was specifically added to the Code and clearly states that the straight-line method shall be used. The Board did not fail to consider the evidence offered by the alternative method of measurement. The Board found that the standard does not address the aesthetic impact along any one particular street. Further, the Board's packet contained a copy of a Staff Administrative Interpretation regarding a measurement issue that relied upon the straight- line method. Issue Staff Considers to be Irrelevant.• • Alleged Inconsistency in the Industrial Zone Permitted Use List The appellants state that a gas station is permitted in the Industrial zone. In addition, a retail store is permitted in the Industrial zone, but only as long as it is located in a convenience shopping center. Both of these uses are permitted without regard to any separation requirements. But, combining the two into a convenience store with fuel sales 300 February 7, 2006 triggers the 314-mile separation standard. The Land Use Code clearly makes a distinction between the two aforementioned uses and a convenience retail store with, fuel sales. All three are separately listed as all three are uses that have individual characteristics. It is not inconsistent, therefore, that a separation standard is attached to a convenience retail store with.fuel sales. List of Relevant Code Provisions: Section 1.4.10 — Rules for Measuring Distances When a distance is required between uses as set forth in Article 3 or 4, the distance shall be measured in a straight line from the closest point on the boundary line of one (1) property to the closest point on the boundary line of the other property. Section 2.8.2(H) - Standard for Granting Modifications The granting of the modification would not be detrimental to the public good, and that: (1) The plan as submitted will promote the general purpose of the standard for which the modification is requested equally well or better than would a plan which complies with the standard for which a modification is requested; or (2) Thegrantingofa modification would substantially alleviate an existing, difinedand described problem ofcity-wide concern or would result in a substantial benefit to the city by substantially address an important community need specifically and expressly defined and described in the city s Comprehensive Plan or in an adopted policy, ordinance or resolution of the City Council, and the strict application of such a standard would render the project practically infeasible; or (3) By reason ofexceptionalphysical conditions or other extraordinary and exceptional situations, unique to such property, includingphysical conditions such as exceptional narrowness, shallowness or topography, thestrict application ofthe standard would result in unusual and exceptional practical difficulties, or exceptional or undue hardship upon the owner ofsuch property, provided thatsuch difficulties or hardship are not caused by the act or omission of the applicant; or (4) The plan as submitted will not diverge from the standards to be modified except in a nominal, inconsequential way when considered from the perspective of the entire development plan, and will continue to advance the purposes of the Land Use Code. Any Modification shall be supported by a specific finding showing how the Project Development Plan (PDP) meets the requirements and criteria of any of the four Justifications. 301 February 7, 2006 • Permitted Uses in the Industrial Zone (C) Commercial/Retail. None of the following permitted commercial/retail uses shall exceed twenty- five thousand (25, 000) square feet in gross leasable area: 1. Animal boarding. 2. Standard and fast food restaurants (without drive-in or drive -through facilities). 3. Bars and taverns. 4. Bed and breakfast establishments. 5. Convenience retail stores with fuel sales, provided that they are at least three thousand nine hundred sixty (3,960) feet (three quarters 13141 of a mile) from any other such use and from any fueling station. 6. Retail and supply yard establishments with outdoor storage. 7. Child care centers. 8. Veterinary hospitals. 9. Convenience shopping centers. 10. Recreational uses. H. Vehicle and boat sales and leasing establishments with outdoor storage. 12. Sales and leasing of mobile homes, farm implements, heavy excavation equipment. 13. Adult -oriented uses. 14. Drive-in restaurants (only if located in a convenience shopping center). 15. Day shelters, provided that they do not exceed ten thousand (10,000) square feet and are located within one thousand three hundred twenty (1,320) feet (one -quarter ('/.] mile) ofa Transfort route. 16. Adult day/respite care centers. • Section 5.1.2 - Definitions 302 February 7, 2006 Convenience shopping center shall mean a shopping and service center situated on seven (7) or fewer acres with four (4) or more business establishments with separate exterior entrances, located in a complex which is planned, developed and managed as a single unit, and located within and intended to primarily serve the consumer demands of adjacent employment areas. The principal uses permitted include retail stores; business services; convenience retail stores with fuel sales (possibly including an accessory one -bay automatic carwash); personal business and service shops; standard or fast food restaurants (without drive -up windows); vehicle minor repair, servicing and maintenance uses; liquor sales (for on- or of consumption); beauty or barber shops; dry-cleaning outlets; equipment rental (not including outdoor storage); limited indoor recreational uses; pet shops; and uses of similar character. Secondary uses may include professional offices; limited banking services such as branch banks (with limited drive -up .facilities) and automated teller machines; multi -family dwellings; medical offices and clinics; small animal veterinary clinics; child care centers; and elderly day care facilities. Convenience stores with fuel sales (also known as convenience store with fuel sales) shall mean a convenience retail store which also sells gasoline or other. fuel products. • Restaurant, drive-in shall mean any establishment in which the principal business is the sale offoods and beverages to the customer in a ready -to -consume state and in which the design or principal method of operation of all or any portion of the business is to allow food or beverages to be served directly to the customer in a motor vehicle without the need for the customer to exit the motor vehicle. Alternative Actions City Council May Take: A If the Council finds that an unfair hearing was conducted, the Council must remand the matter to the Planning and Zoning Board for rehearing. B. Ifthe Council finds that the hearing wasfair, then Council should determine whether the Board properly interpreted and applied the Land Use Code with regard to the requested modification of Standard and either: • Uphold; • Overturn or, • Modify the Planning and Board Decision or, • Remand the matter to the Planning and Zoning Board for rehearing to consider additional information. " City Attorney Roy explained the appeal process and the options available to the Council. Ted Shepard, Chief Planner, presented background information relating to the agenda item. He stated this was an appeal of a standard rather than an appeal relating to the PDP. The PDP itself was approved. Within the PDP there was a standard for a convenience retail store with fuel sales and its 303 February 7, 2006 separation. The project was located on Timberline Road about halfway between Drake Road and Prospect Road on the west side of Timberline, abutting the Union Pacific Railroad right-of-way, Parkwood East Subdivision, Parkwood East Apartments, EPIC and Edora Park, and the Sidehill project east of Timberline. There was another convenience store at the Timberline and Prospect intersection and one at the Rigden Farm neighborhood center. He presented an aerial view of the area, the subject site and the surroundings. He presented visual information regarding the applicant's preferred alternative site (building K-1) that was denied by the Planning and Zoning Board because it did not meet the three-quarter mile separation requirement. He showed a slide depicting the approved use (building K-2). This was a drive -through restaurant that would be a component of a convenience shopping center. He presented a graphic that was prepared by the applicant and shown to the Planning and Zoning Board. He stated the distance to the Spring Creek Center Shell gasoline station was 2,700 feet and the distance to the Rigden Farm King Sooper's was 3,700 feet. This, therefore, did not meet the three-quarter mile separation requirement. He presented a chart showing how the three-quarter mile separation had been addressed for this particular land use throughout the City in 10 different zone districts. Two of the zone districts (the Harmony Corridor and Employment zones) also had a 25% rule i.e., they could not exceed 25% of the total development plan as a secondaryuse. In the Harmony Corridor, land use was regulated on a per center basis. He compared the uses allowed and requirements in different zone districts. In seven out of the 10 zones there was some form of restriction for this land use. The policy basis for the proliferation issue was formed in 1988 and was carried forward into the Land Use Code. He showed a slide summarizing the questions that were included in the Council packet. Mayor Hutchinson stated the appellants and parties -in -interest in support of the appeal would have 20 minutes for a presentation. Linda Ripley, VF Ripley Associates, 401 West Mountain Avenue, representing Kris Fleischli, the owner and co -developer of the Timberline Center PDP, stated she believed the Planning and Zoning Board did not make the right decision. She was concerned about how the decision was made in reference to the modification request. The modification should have been approved. There were only four out of seven Board members present at the meeting. The members indicated a number of times that they "did not want to go against the Code." They seemed to believe that approving a modification was not respecting the Land Use Code. Even Board member Stockover, who voted in favor of the modification, prefaced his decision with the following statement: `9 hate to go against the Code but I really believe that this is an appropriate land use in this center." The prevailing attitude of the Board was that if the modification was allowed then the Board would be bound to approve future modifications of the separation requirement. She stated this logic was "flawed." A modification request was an essential part of the Land Use Code because it was impossible to anticipate every situation that could come up in the future. The modification request was a way to allow development standards to be applied differently based on unique circumstances. The term "modification" was selected because it did not have a good or bad connotation. The test was whether the project would be "equal to or better than"it would be without the modification. There should not be a "stigma" placed on a project that requested a modification. Granting a modification based on a unique and specific set of circumstances did not set a precedent and should not be a concern to the Planning and Zoning Board. She stated on December 8th, the Planning and Zoning Board approved 304 February 7, 2006 the mixed -use project located on the west side of Timberline Road between Prospect and Drake Roads. The Board also approved the rezoning of the property from T-Transition to 1-Industrial. The land uses that were part of the proposed Timberline Center included auto -related uses, retail, office, a fast food restaurant with a drive -through component, sit-down restaurants, a storage facility, and a convenience store with fuel sales. All of the proposed uses were allowed in the I -Industrial zone district. Staff made the interpretation that the convenience store needed to meet the separation requirement. The circumstances at this location were unique enough that a modification could be justified. Out of the 10 zone districts that allowed convenience stores with fuel sales, five enforced the three-quarter mile separation rule and five did not. The separation rule did not apply to commercial areas on College Avenue or in the Harmony Corridor or the Employment zone districts. She asked if avoiding visual proliferation of c-stores was the purpose of the standard, then why was that not a concern in those districts. In the Harmony Corridor and Employment districts there could only be a convenience store with fuel sales if it was part of a convenience shopping center. It was possible to have a gas station or a retail store that was part of a convenience shopping center in the I -Industrial district. It was only when they were combined in a c-store that the three-quarter mile separation rule applied. She believed this was inconsistent. She questioned why a c-store would be a "visual problem" when a gas station by itself was not. The I district listed a convenience store with fuel sales as a permitted use and that it must meet the three-quarter mile separation rule. A convenience shopping center was also a permitted use in the I district without a separation requirement. The definition of a "convenience shopping center" made it clear that fuel sales were allowed as components. She stated the staff and the Board could have made the interpretation that the proposed c-store was a convenience shopping center that would not have a separation rule. The proposed c-store with fuel sales was part of a convenience shopping center i.e., a complex of several businesses that were planned, developed and managed as a single unit. If the Council could not make that determination then she still believed the modification should be approved based on the fact that it would not be detrimental to the public good and the Timberline Center plan with a c-store was "equal to or better than" the Timberline Center plan with the approved alternative by default i.e., a fast food restaurant in the exact same location. The applicant must show that the plan that did not meet the standard will promote the purpose of the standard for which the modification is requested "equally well or better than" a plan that met the standard. The purpose of the standard was to protect the community from having too many c-stores located at every intersection that might not be successful and would deteriorate over time. She stated the two closest filling stations were not on Timberline Road. Locating a"more visible"filling station in between the two existing stations made "perfect sense" as a convenience to people living and working in the Timberline corridor. She stated this would be "good land use planning." She asked the City Council to either make an interpretation that the three-quarter mile separation rule did not apply when a c-store was part of convenience shopping center or to grant the modification based on the "equal to or better than" standard. She stated the c-store would be on a comer and would have 48 feet of green space between Timberline Road and the c-store. The store was planned to be built with high quality materials and would be well designed. She stated the center as a whole was approved by the Planning and Zoning Board and she believed the logic of the Board was "flawed" on this one issue. Mayor Hutchinson stated the opponents to the appeal would have 20 minutes for a presentation. 305 February 7, 2006 Peggy Grice, 2254 Eastwood Drive, stated she had an illustration to present to the Council. City Attorney Roy asked if this was presented to the Board or a new diagram. Ms. Grice stated it was the same information she had previously stated in a letter except that it was now in illustration form. Mayor Hutchinson asked Ms. Grice to show the illustration to the appellant to see if the appellant had any objection. ("Secretary's Note: The appellant reviewed the illustration.) Ms. Ripley stated she did not believe the illustration was information that was presented at the original hearing. City Attorney Roy asked Ms. Ripley to review the letter that Ms. Grice indicated was the same information. Ms. Ripley objected that the graphic was out of scale, showed all filling stations on the entire length of Timberline Road without an indication of distance between each, did not accurately reflect whether the filling stations were actually on Timberline Road, and was not accurate about the north end. She stated she was not prepared to defend against this graphic. Mayor Hutchinson asked the City Attorney if this graphic was part of the record. City Attorney Roy stated the contention was that the information was part of the record in a different form. He stated the question was whether or not the graphic depiction was true enough to the verbal description that it was the "same information." He stated Ms. Ripley contended there were sufficient discrepancies so that it was new and different. He stated it was up to the Mayor to look at the two and make a comparison. Ms. Grice stated she did not have the technical ability to address this at scale but it would illustrate her point. Mayor Hutchinson stated the illustration would be set aside and asked Ms. Grice to go through her presentation verbally since there were "problems" with the illustration. Ms. Grice stated she was a party -in -interest and had attended the meetings regarding this development from the start. She had written a letter that was included in the packet. She stated she was opposed to the placement of a convenience store gas station on Timberline Road approximately one-half mile north of Drake Road. She lived in the adjacent neighborhood and felt that such a gas station was too close to all of the existing convenience store/gas stations. She stated there was such a store in close proximity to Timberline and Prospect Roads and there was a full service grocery story and 24-hour fueling station at the new King Sooper's at Timberline and Drake Roads. She stated there was a Schrader's Country Store at the intersection of Timberline and Vermont, a Texaco 306 February 7, 2006 convenience store/gas station less than a mile south of that and another convenience store/gas station just north of the intersection of Timberline and Harmony Roads. Further south on Timberline there was another convenience store/gas station just south of Harmony Road. There was already a proliferation of these types of stores along the Timberline Corridor. The City adopted zoning that said these types of stores need to be three-quarters of a mile for good reason. The appellant wanted to be granted an exception to this zoning based on driving distances rather than the accepted measurement. The decision should be made based on the distance prescribed in zoning laws and the reality of how many stations already existed on this corridor. The project's gas station would not meet City zoning laws pertaining to the separation of these types of stores. If the City granted this exception a "Pandora's box" would be opened that would undermine zoning that was put in place during the adoption of City Plan to help preserve Fort Collins as the "choice city." She did not believe there were any unique circumstances in this case. An exception should not be granted and the zoning rules were enacted for a good reason. The City did not need another North College Avenue or Harmony Corridor. Mayor Hutchinson stated the appellants would have 10 minutes for rebuttal. Ms. Ripley stated there were several c-stores along the entire length of Timberline Road. North of Prospect Road there were not a whole lot of c-stores. The fueling stations at King Sooper's and the Spring Creek Center were off of Timberline and Prospect Road. Those fueling stations were difficult to see and that, if the point of the standard was "visual proliferation" on the north end of Timberline, no fueling stations could be seen there now. The volume of traffic on Timberline was projected to be the highest volume on any arterial in the City. The north end of Timberline was "underserved" at this point given the projected future growth of that area. It would be detrimental and would be "equal to or better than" a fast food restaurant at the same location. Mayor Hutchinson stated the opponents to the appeal would have 10 minutes for rebuttal. Ms. Grice stated it was possible to see the existing fueling stations from Timberline Road. She stated there was a need to look at the whole Timberline Corridor. Mayor Hutchinson stated he would entertain Council questions. Councilmember Manvel stated the Agenda Item Summary on page 3 stated: "It is important to note that the convenience retail store with fuel sales is not located within the convenience shopping center component." He stated this contradicted a statement made by Ms. Ripley and asked staff to explain the disagreement. Shepard stated, as presented, the PDP showed this K-1 building (convenience retail store with fuel sales) was located outside the convenience shopping center component of Timberline Center PDP. Councilmember Manvel asked the appellant to speak to the issue. Ms. Ripley stated Shepard was correct in stating that the way it was presented it was "outside of the box." Two different alternatives were presented so the applicant would "end up with an approved 307 February 7, 2006 project." The first alternative was for a convenience shopping center with the c-store out of the defined area because the c-store was allowed without being in such a center. She showed a slide showing the approved alternative. If the modification was approved the c-store would be a convenience shopping center. Councilmember Manvel asked why "boxes were being drawn around two different areas." Shepard stated this was how the project was submitted to the Current Planning Department. Ms. Ripley stated she "failed to notice" that there was a three-quarter mile separation requirement for convenience stores with fuel sales. She stated if she had "noticed that before, she would have drawn her box around that." She stated it was "irrelevant" where the line was drawn for version 1 and version 2 because this whole center was planned and designed as a single unit. Councilmember Kastein stated no matter "how you draw the box" a retail center with fuel sales is not allowed in either of the boxes because of the distance requirement. Ms. Ripley stated that depended on the interpretation. The separation rule applied to a convenience store with fuel sales unless a modification was received. She believed the Code was unclear about whether the three- quarters of a mile requirement still applied if there was a convenience store with fuel sales as part of a convenience shopping center. Councilmember Kastein asked if that was how the planners would read the Code. Shepard stated staff read the Code to say that because the permitted use list in the I zone called out "distinctly, separately and individually" convenience retail stores with fuel sales, and provided a caveat for a three-quarter mile separation, that you could not choose to have a convenience shopping center which would "hide" the same use. He stated staff believed the Code was straightforward in providing that this was a use that was separate, unique and distinct since it was listed separately on its own and it should not be "hidden" as a component of a convenience shopping center. Councilmember Brown asked why this was not a convenience shopping center. Shepard stated a "convenience shopping center" was defined to have a certain size, a certain number of separate businesses and retail stores and drive -through restaurants. He stated this was a "blended center." It was supposed to be a "secondary and complementary land use" to the Industrial zone district and was not supposed to be, in staffs opinion, a single standing, arterial oriented, auto -related land use. It was supposed to be located to complement the I zone. A convenience shopping center was a permitted subcomponent of that. Councilmember Brown asked if the determining factor was the size, the shape, and the number of buildings. Shepard stated the PDP was 22 acres and the entire PDP could not be a convenience shopping center. He stated it exceeded the maximum requirement of seven acres. Councilmember Brown asked if the 22 acres included the storage area. Shepard replied in the affirmative. Councilmember Brown asked if that could be a separate component. Shepard replied in the affirmative, provided it came in separately for consideration. February 7, 2006 Councilmember Brown asked if the applicant could resubmit. Shepard replied in the affirmative. Councilmember Ohlson asked why staff recommended against this modification and why this issue was important enough that it was worth defending that recommendation. He asked how strongly staff felt about their recommendation, and why. Cameron Gloss, Current Planning Director, stated, in staff s opinion, the project did not meet the modification criteria. He stated the appellant believed the plan was "equal to or better than" a plan that was compliant. Staff believed the main mission of this center that would have a convenience store with a gas station would be primarily to capture the motoring public on Timberline Road rather than to be integral to the Industrial district. He stated there were separation requirements for a reason and the three-quarter mile separation requirement for all commercial uses was investigated as part of the Land Use Code update last spring. He stated staff presented an analysis last fall that upheld the principle of a three-quarter mile separation so that there would not be situation in which there would be a gas station/convenience store at every intersection. There was a "prime opportunity" on Timberline Road to avoid some of the strip development that had occurred in other parts of the community. The applicant's argument bad some merit but this argument did not override the urban design implications. Staff concurred with some of the opponent's comments that there were other service stations with convenience stores throughout the Timberline Corridor that met the market demand. Councilmember Weitkunat asked if a gas station was allowed and could be built anywhere on this site. Shepard replied in the affirmative. Councilmember Weitkunat asked if the same was true for a retail store. Shepard stated a retail store could only be a component of a convenience shopping center, which was the corner of the site. Councilmember Weitkunat asked if fast food was also allowed. Gloss replied in the affirmative provided it was part of a convenience shopping center. Councilmember Weitkunat asked if those three things could therefore exist on this same spot. Gloss replied in the affirmative provided they existed independently. Councilmember Weitkunat asked if there was any separation requirement between them. She stated the Code allowed for modifications and changes based on the "equal to or better than" standard. She stated the fact that each of these buildings could exist independently "troubled" her. She stated in reality the rule could be avoided by simply putting the buildings very close to each other. Gloss stated the issue went back to the combination use of the convenience store and gas service station and its orientation toward the arterial street rather than a secondary use serving the Industrial area. He stated staff drew a distinction between the two. The distance between the buildings would be a judgement call. Councilmember Weitkunat asked if this was an issue and the modification was denied because the access would be off Timberline Road. Shepard replied in the affirmative and stated this was mentioned to the applicant during the review process. 309 February 7, 2006 Councilmember Kastein asked if the convenience store with fuel sales was not allowed here because of the separation requirements but what would be allowed was a separate, freestanding gas station that did not qualify as a convenience store or a freestanding convenience store not associated with the gas pumps. Gloss stated was correct. Councilmember Kastein stated those two things seemed "really close." He asked if the intent was to limit uses being too close to each other which could mean that none of them would fully succeed. He asked if the integration of a convenience store with pumps was "more attractive" and would be used more than a freestanding gas station. He asked if the fundamental idea was that a freestanding gas station would not take business away from other convenience store/gas stations. Gloss stated there were multiple considerations in addition to that issue. He stated there were other aesthetic urban design issues as well. One issue was the "diminishing return" for other nearby commercial center. Councilmember Kastein asked about the aesthetic issues. Gloss stated there was a location on the site that would have less of an aesthetic impact on Timberline Road. He stated it could be placed further away from the road, and this alternative had been offered to the applicant but the applicant elected not to go forward with that design. He stated the alternative that was presented was for a convenience store with fuel sales right on the road as indicated on the site plan. Councilmember Kastein asked if the economics and the aesthetics were the two primary issues. Gloss replied in the affirmative. Councilmember Ohlson asked for the slide showing why this was important. Councilmember Brown asked if the other stations along Timberline were away from the road. Shepard stated from an urban design perspective the City had decided that it did not want the arterial streets to be dominated by convenience stores and fuel sales. Councilmember Brown asked how far away from the arterial was considered to be on the arterial. Shepard stated it depended on how the property was platted. If there was frontage on the arterial then it was considered to be "on the arterial." Measurements were done "as the crow flies", in a straight line. Councilmember Brown asked how far off Timberline was considered to be "on the arterial." Shepard stated if the lot did not front on the arterial, then it was not considered to be "on the arterial." Councilmember Brown asked if any of the other gas stations were located right on the arterial. Shepard stated the gas station at Rigden Farm was about a half a block off Timberline and Spring Creek Center was about a block off. Councilmember Brown asked if a half block away was considered to be "on the arterial." Shepard stated measurement was done in a straight line. He stated the original intent of the standard was to 310 February 7, 2006 avoid stringing such facilities out along arterial streets. Councilmember Brown stated he believed that there were only two similar stores within a mile. Gloss stated if there was no three-quarter mile separation standard then there could be as many as three per mile. Councilmember Kastein stated it was an "exaggeration" to say there could be as many as three per mile. He did not believe this was pertinent. Mayor Hutchinson stated the Council needed to look at a modification for a specific project and was not looking at changing the Code. He asked if this would establish an "ironclad precedent." Gloss stated this could "potentially" set a precedent. Shepard stated these types of stores could be "prolific" in the community. Mayor Hutchinson asked, if the Council decided to grant this modification, whether it could apply to other projects. Shepard stated staff knew of one project that was "waiting in the wings." Mayor Hutchinson asked if the other project would be decided by itself. Shepard replied in the affirmative. City Manager Atteberry asked the City Attorney whether this would set a precedent. City Attorney Roy stated it would set a precedent in terms of future applications that were similarly situated. He stated decisions could be made on a case -by -case basis but the same standards were used. Applying the same standards differently could create problems. Councilmember Ohlson stated this was a "boilerplate" for aesthetic urban planning to him. If this modification was allowed then other applicants would appeal similar cases. If Council wanted to grant the modification then the standard should be reconsidered to decide if it was an important aspect of urban planning. Mayor Hutchinson stated if that was true all modifications should be banned because a modification would be equated with a change in the Code. Councilmember Weitkunat stated the Industrial zone provided a variety of work places such as manufacturing, warehouses and distributing. She stated the proposed uses were not Industrial uses but were complementary uses to primary Industrial uses. She stated the Council needed to be cautious. A convenience store with fuel sales was a non -primary use. The question was whether this would be "equal to or better than" and this was a judgement call. Staff had told the Council they did not view this as "equal to or better than." The question was whether this would be abetter site if the modification was granted and she was not sure this would be the case. Councilmember Manvel stated there was a good argument in favor of the modification. He stated even though the other two convenience stores were not directly on Timberline they were apparently both visible and easy to access from Timberline. The three -to -a -mile did apply because this store would be in the middle of the one -mile stretch between the two. This would be exactly the situation the Code was written to avoid. In some sense this would set a precedent. He would still listen to 311 February 7, 2006 arguments. Councilmember Kastein made a motion, seconded by Councilmember Ohlson, to uphold the decision of the Planning and Zoning Board on December 8, 2005 to deny the request for modification. Councilmember Kastein stated there was some "history" with this issue and staff was trying to protect the elements of the Code that were important while leaving room for "being reasonable." The Code should be followed at this time. He would vote to uphold the decision of the Board. Councilmember Ohlson stated staff and the Board approved other requests for modifications that made sense and that did not have significant impact on the City's overall policies for this project. He stated some modifications made sense and others did not. This standard was one of the "boilerplate" standards for urban design to avoid a row of gas stations. He did not want to open a "floodgate" for other requests for a similar modification. Councilmember Weitkunat stated modifications were an important part of the process to achieve quality development. She stated location, zone and proximity should be taken into consideration. It did not make sense to allow a gas station or retail sales separately but not to allow a combined building. The primary purpose of this Industrial zone was to capture manufacturing and warehouse uses and other uses were complementary. She stated she would support the motion. Councilmember Brown stated he would not support the motion. He stated the other two gas stations were off Timberline and it did not make sense that another gas station could not go in between the two existing stations. Councilmember Manvel stated he would support the motion. He stated the Planning and Zoning Board minutes reflected discussion that a stand-alone convenience store worked and a stand-alone gas station did not. Tthe restriction was in place and he did not see a compelling reason to eliminate the restriction in this case. Councilmember Roy thanked the Planning and Zoning Board for the groundwork they did on this type of issue. He stated it did not make sense to change something that was working for the community. He stated he would support the motion. Mayor Hutchinson stated he was persuaded that allowing the modification would not achieve a project that was "equal to or better than" the alternative. The vote on the motion was as follows: Yeas: Councilmembers Hutchinson, Kastein, Manvel, Ohlson, Roy and Weitkunat. Nays: Councilmember Brown, THE MOTION CARRIED 312 February 7, 2006 Resolution 2006-011 Finding Substantial Compliance and Initiating Annexation Proceedings for the Airpark Village Annexation, Adopted The following is staffs memorandum on this item. "EXECUTIVE SUMMARY The Airpark Village is 148.55 acres in size. The site is an existing privately owned airport, and three abutting properties, all generally located north of East Lincoln Avenue, south of East Vine Drive and west of Timberline Road. Contiguity with the existing municipal boundary is gained along portions of the west and east property lines. The east property line abuts the Dry Creek Subdivision. The proposed Resolution states that it is the City's intent to annex this property and directs that the published notice required by State law be given of the Council's hearing to consider the needed annexation ordinance. The hearing will be held at the time ofFirst Reading of the annexation and zoning ordinances on March 21, 2006. Not less than 30 days prior, published notice is required by State law. BACKGROUND This is a 100% voluntary annexation for a property located within the Growth Management Area. The property satisfies the requirement that no less than one -sixth of the perimeter boundary be contiguous to the existing City boundary. " City Manager Atteberry stated staff was available to answer any questions. Mayor Hutchinson stated each citizen participant would have three minutes to speak. Kelly Risling, representing the Fort Collins Downtown Airport Pilots' Association, stated the group opposed the Airpark Village Annexation because this was a step that would contribute to closure of the Downtown Airport. Closure of the Airport would have an economic impact to the community. According to a 2003 CDOT study, the economic loss would be $10.7 million to the area's economy, there would be 240 jobs lost representing a payroll of $4 million, and 18 businesses would have to close or leave. The Airport served many purposes. Joe Rowan, 621 Gilgalad Way, spoke in opposition to the annexation proposal. He stated the East Mulberry Corridor and the downtown Airport represented the "last best location for industrial uses in the Urban Growth Area." One vital component of the local economy was the existence of industrial districts of sufficient size and proximity where various commercial activities could occur. Andrew Chumney, Chief Executive Office of Firewall Forward, Fort Collins -Loveland Airport, stated the loss of the Airport would mean that there would be no secondary airport in the community 313 February 7, 2006 catering to small aircraft and personal use. Larry Hansen, Century Helicopters, stated he was "blindsided" when the Council made changes to the zoning in the area and he was "blindsided" again because he received no notification of this meeting. He stated taking away the Airport and the industrial area would eliminate the ability to bring in funds from outside. He stated this action would hurt his business. Gerald Eberhard, 902 Teal Drive, stated a lot of dirt had to be moved to raise Wal-Mart above the floodplain and the citizens of Fort Collins were disturbed about that. He stated the functioning Airport cost the community nothing and brought in almost $ I I million a year. John Pernicka, 2636 Dumire Court, expressed concerns about lack of notification and stated the Council seemed to make the decision on the rezoning with the assumption that the Airport would be closed. He stated part of the property proposed for this project was not owned by the Airpark. He stated the developer could not sell a common area of a development without the permission of those using it. Howard Abraham, nearby resident, stated there was a potential for two fine airports in the area. He stated the Fort Collins -Loveland Airport was publicly supported and that the smaller airpark could serve a different clientele. Mayor Hutchinson stated the Council was not considering a development proposal at this time. He stated the Resolution being considered was required by State law. He asked if notification was required for this initiating action. City Clerk Krajicek stated the Resolution included a notice that would be published four times in the newspaper before the hearing that would be held on the Ordinance on March 21. Deputy City Attorney Eckman stated this was the initiating Resolution that authorized the publication of notice and made a finding that the annexation petition had been received and was in compliance with the State annexation act. He stated notice would be published, a hearing on the annexation would be held as well as two readings of the annexation ordinance, there would be a zoning ordinance, and there would be a development application from the property owner if development was desired. He stated it appeared many of the speakers would be opposed to such a development proposal. The property owner could apply for development whether or not the property was annexed to the City. Mayor Hutchinson stated there would be formal processes for the annexation and any subsequent development. Deputy City Attorney Eckman stated the annexation petition was signed by an attorney certifying that all of the owners of the property had signed the petition. He stated the City would rely on that certification unless there was some type of legal action presenting evidence to the contrary. Councilmember Ohlson stated it was his understanding that this property was currently in the Growth Management Area, that it was a voluntary annexation and would likely become part of the City, that any development may have negative consequences to some who spoke, and it was not the City who was doing this. He stated the City was not trying to force the closure of the Airport and 314 February 7, 2006 the current property owner had rights to do that. He stated property in the Growth Management Area could expect to annex to the City. Councilmember W eitkunat made a motion, seconded by Councilmember Brown, to adopt Resolution 2006-011. Councilmember Kastein stated the City had done some strategic planning about what to do with the Airport. He stated many of the issues being presented were "new" and he would like more discussion at a Study Session prior to March 21. He noted the City was not required to annex land when an annexation petition was received. He stated he would like more information on the City's options. City Manager Atteberry noted that the Council's agenda was full and that there could be difficulty in scheduling this discussion. He stated it was the intent of the City that property in the Growth Management Area be annexed and this should come as no "surprise." Councilmember Weitkunat stated the concerns that had been expressed related to development rather than annexation. She suggested the annexation was voluntary and the City needed to accommodate that. Councilmember Kastein stated his main question was that there was a landowner who wanted to annex and there was an impression given that several business owners did not want to annex. He stated there was enough confusion on this that he wanted some feedback before the decision was made to annex. Mayor Hutchinson stated this would simply initiate the proceedings. Councilmember Kastein expressed a concern that business owners in the voluntary annexation area did not want to annex. Councilmember Weitkunat stated the comments were not in disagreement with annexation and focused on the development. Councilmember Ohlson stated the annexation would lead to development plans for the area and that the businesses would be impacted. Mayor Hutchinson asked if the Council was required by State law to adopt this Resolution. City Attorney Roy stated the Council could ultimately decline to annex the property. He stated the Council had a responsibility to respond to the petition and had some flexibility in the time frame to do that. He stated the Council needed to decide at some point whether to annex. He encouraged the Council to move ahead with this Resolution and get to a point where it could deliberate on the wisdom of adopting the annexation ordinance. He stated the Resolution was a decision on whether the annexation petition conformed to the technical requirements of the State law. Councilmember Manvel thanked those who spoke and assured everyone that the Council would hear input on the annexation. 315 February 7, 2006 Councilmember Ohlson stated legal requirements were met for notification and questioned whether it might have been appropriate to go beyond the legal requirements. He stated the City could "never do too much notification." Mayor Hutchinson thanked those who spoke. The vote on the motion was as follows: Yeas: Councilmembers Brown, Hutchinson, Kastein, Manvel, Ohlson, Roy and Weitkunat. Nays: None. THE MOTION CARRIED Meeting Time Extended Councilmember Manvel made a motion, seconded by Councilmember Roy, to continue the meeting beyond 10:30 p.m. Councilmember Kastein asked about the urgency of the remaining items. City Manager Atteberry stated the remaining items would not take much time and that staff had been present since 6:00 p.m. City Attorney Roy stated the Enterprise Board item was the same as the item that Council was about to address except that it would be heard by the Council sitting as the Wastewater Utility Enterprise Board. The vote on the motion was as follows: Yeas Councilmembers Brown, Hutchinson, Manvel, Ohlson, Roy and Weitkunat. Nays Councilmember Kastein. THE MOTION CARRIED Resolution 2006-013 Authorizing an Intergovernmental Agreement with the Grove Metropolitan Districts Numbers I through 3 for the Provision of Wastewater Treatment Services by the City's Wastewater UtilityAdopted The following is staff s memorandum on this item. "FINANCIAL IMPACT The agreement requires the Districts to pay a wastewater plant investment fee and monthly service charges for wastewater service based on a cost of service study. A payment -in -lieu -of -tax (`PILOT') contribution to the General Fund at the generally applicable PILOT rate will be added to the monthly service charge, totaling an estimated $I0, 000 per year at build -out of the Laporte Planning Area. Additional one-time revenues estimated at $2,400,000 will be collected overtime as administrative surcharges for Parks, Library and Street Oversizing. 316 February 7, 2006 EXECUTIVE SUMMARY Resolution 2005-018 authorized the CityManager to negotiate an agreement with new development near the town ofLaporte for the provision of wastewater treatment services by the City's Wastewater Utility. As directed by City Council, the City Manager has negotiated an agreement, has approved a schedule ofsurcharges for projected usage of City streets, community parks and libraries by the new development and has included such surcharges in the proposed agreement with the Grove Metropolitan Districts Numbers I through 3. BACKGROUND In January 2004, Larimer County adopted the Laporte Area Plan. Portions of the Laporte Area Plan include approximately 2000 dwelling units shown to develop at urban level densities. These densities will necessitate service from a public sewer system. Staff believed it was important for the City to provide wastewater treatment service to reduce the potential of new wastewater treatment facilities upstream from Fort Collins and to protect water quality in the Poudre River. After discussion in late 2004 and early 2005, City Council adopted Resolution 2005-018, designating an Approved Service Area and directing City staff to: Cooperate with interested parties in the formation ofa special district for the collection of wastewater, Negotiate an agreement for the provision of wastewater treatment services by the City's Wastewater Utility and present the proposed agreement to City Council for approval, and Develop a schedule ofsurchargesfor usage of City streets, communityparks and libraries by new development in the Approved Service Area, and to include such surcharges in any arrangement for the provision of utility services by the City. Property owners have been successful with the formation of The Grove Metropolitan Districts Numbers 1 through 3. The Districts provide the means for constructing and financing public improvements to serve The Grove development located within the Districts' boundaries as contemplated in their Service Plan and to serve such additional areas in the Laporte area as may in the future be added to the Districts'service territory. The Grove development will be located on 70 acres that constitute a portion of the Approved Service Area. Staffhas negotiated aproposed intergovernmental agreement with the Districts (Attachment]). The Districts will provide.for the construction and financing of the capital improvements as well as the ownership, operation and maintenance ofthe sanitary sewer collection system as deemed necessary 317 February 7, 2006 for the phased growth of the Districts. The City will provide wastewater treatment services and programs associated with treatment such as laboratory services and the industrial pre-treatment program. The City used the services ofRed Oak Consulting, a firm that recently completed a review ofutility plant investment fees, to determine the portion of the City's wastewater plant investment fee and monthly service charge attributable to the Districts. Red Oak recommended a plant investment fee of $6.00 per gallon per day of capacity. The recommended monthly service fee is $1.362 per 1000 gallons. The numbers are approximately 72% and 79% of standard City wastewater rates respectively, due to the facilities and services included in the standard rates that will not be used to provide treatment services to the Districts. City staffdeveloped a schedule of administrative surcharges for street oversizing, communityparks, and libraries in the Laporte Planning Area (Attachment 2) as requested by City Council and authorized by City Code Sec 7.5-3, Establishment of special surcharges. The street oversizing surcharge of $649persingle family home was determined by looking at the component of the Street Oversizing Program that is attributable to regional growth. The proposed surcharge is less than the comparable $2,319 per single family home inside the city. The parkland surcharge was set at $669 per single family dwelling unit, and is the same as the amount collected by the County for development inside the Growth Management Area but outside the city limits. This proposed surcharge is less than the comparable inside city community parkland amount of $1,473. The library surcharge was set at $508 for a single family home, and is the same charge as inside the city for a comparably sized home. These administrative surcharges have been included in the proposed agreement. The Wastewater Enterprise Board is also being asked to authorize the intergovernmental agreement at its meeting scheduled/br immediately after the February 7"' City Council meeting. The Enterprise is included as a party to the agreement solely for the purpose of making the Enterprise responsible for any multiple fiscal year obligations embodied in the agreement." City Manager Atteberry stated staff was present to answer a question asked by Councilmember Roy. Councilmember Roy stated he had asked for the names of people elected to the metropolitan sewer district boards. He noted two of the directors were the developers of the district and he was concerned that this could happen. Carrie Daggett, Senior Assistant City Attorney, stated many special districts were often formed by developers at the time they still owned essentially all of the property within the special district. She stated in this case, the board of directors was comprised of property owners within the district. She stated there was language in the agreement that raised a related potential issue. This provision of the agreement was revised to tie into the specific State laws in place that were intended to address this type of situation. She stated there was a specific State law related to special districts and actions by directors who owned a substantial portion of the property within a special district. Staff had worked with the district representatives and had reached agreement on a revised paragraph 18 to replace the paragraph that raised this concern. She stated all of the actions of the district officers and employees in negotiating and approving the agreement 318 February 7, 2006 would comply with all of the applicable State laws related to their fiduciary duties. She stated the Resolution allowed staff to make minor modification such as this to the text of the agreement. Councilmember Ohlson asked why the original paragraph 18 was included when it was not "truthful' or"accurate." Daggett stated it was not clearly incorrect because the language referenced employees of the district. She stated the change was being made to avoid any ambiguity. The language was included because it was one of a number of standard provisions often used to try to minimize the likelihood of conflicts of interest. She stated staff was still working on some of the specifics of the agreement. Councilmember Roymade a motion, seconded by Councilmember Brown, to adopt Resolution 2006- 013. The vote on the motion was as follows: Yeas: Councilmembers Brown, Hutchinson, Kastein, Manvel, Ohlson, Roy and Weitkunat. Nays: None. THE MOTION CARRIED Other Business Councilmember Brown expressed a concern about traffic circulation plans in the area of the property at the intersection of Harmony and Ziegler Roads. He stated he was concerned about the proposed extension of Corbett Drive north from Harmony Road to the English Ranch Subdivision. He believed the connection was a "bad idea." He would like staff to review the Master Street Plan with an eye toward reconsidering the connection and he would like more information as to why the connection was shown and the pros and cons of removing that connection. Councilmember Weitkunat asked if that would be a major undertaking. City Manager Atteberry stated the request was narrowly focused, although it would reopen an assumption in the transportation master plan. Ron Phillips, Transportation Services Director, stated the connection of Corbett Drive to English Ranch was considered in the previous Bayer proposal. He suggested that this be examined in light of the development plans that would come forward for that property in relationship to the required traffic impact analysis and the kinds of mitigation that might be appropriate for the English Ranch neighborhood. He stated this connection would help people avoid having to access the arterial network to get to a development that would be directly to the south of the neighborhood. He stated if the connection could be accomplished while discouraging through traffic through the neighborhood, then that would be the best solution. He asked that staff be allowed to look at this issue in great depth in connection with any development proposals that would come forward. Councilmember Brown stated that would be acceptable. He asked if the neighborhood would be involved in the discussions. Phillips replied in the affirmative. 319 February 7, 2006 Adjournment The meeting adjourned at 11:25 p.m. Mayo ATTEST: Cit Clerk 320