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HomeMy WebLinkAboutMemo - Mail Packet - 4/2/2024 - Memorandum From Megan Keith And Ryan Mounce Re: East Mulberry Monitoring Report, March 20241 MEMORANDUM Date: March 21, 2024 To: Mayor Arndt and City Councilmembers Through: Kelly DiMartino, City Manager Tyler Marr, Deputy City Manager Caryn Champine, Planning, Development & Transportation Director From: Megan Keith, Senior Planner Ryan Mounce, City Planner Re: East Mulberry Monitoring Report, March 2024 __________________________________________________________________ Purpose: The purpose of this memorandum is to update Councilmembers on anticipated voluntary annexation activities and potential threshold annexations to be studied in the East Mulberry Enclave. This Monitoring Report is the first to be issued after the recent adoption of the East Mulberry Plan. This is informational only and no action is required at this time. Executive Summary This document has been prepared as the first Monitoring Report following the adoption of the East Mulberry Plan on December 5, 2023. As described in the updated East Mulberry Plan, staff will prepare Monitoring Reports every two years (or as needed depending on additional factors) to compile information on the East Mulberry Enclave related to recent annexations, development activity, upcoming capital or master planning projects, and more. Monitoring Reports are an important tool that will assist in long-term documentation of conditions within the enclave and help determine when further study of potential annexation thresholds is warranted. The sections of the report are outlined below. Section 3 outlines potential annexation thresholds and next steps for City Council consideration. Executive Summary ................................................................................................................ 1 1. Introduction ......................................................................................................................................... 2 A. Monitoring Report Background and Purpose ................................................................................... 2 B. Enclave Overview ............................................................................................................................ 2 C. City of Fort Collins-Larimer County IGA & State Annexation Requirements ................................... 3 2. Enclave Conditions ............................................................................................................................. 4 Community Development & Neighborhood Services Planning & Development Services 281 North College Avenue P.O. Box 580 Fort Collins, CO 80522.0580 970.221.6376 970.224.6111- fax DocuSign Envelope ID: 386C922B-324C-4C24-8BB7-F7EA6E9E538D 2 A. Recent Annexations (2018-2023) .................................................................................................... 4 B. Recent Developments (2018-2023) ................................................................................................. 5 C. Infrastructure .................................................................................................................................... 6 D. City / Institutional Land Ownership .................................................................................................. 7 E. Additional Topics .............................................................................................................................. 7 3. Annexation Threshold Candidates & Next Steps ............................................................................ 8 A. Annexation Threshold Candidate #1 – East Vine Mixed-Use Project .............................................. 9 B. Annexation Threshold Candidate #2 – I-25 Gateway Area ............................................................ 9 C. Other Annexation Threshold Candidates Under Observation ........................................................ 10 D. Next Steps ...................................................................................................................................... 12 1. Introduction A. Monitoring Report Background and Purpose The East Mulberry Enclave (‘the enclave’) is an area of unincorporated Larimer County completely surrounded by Fort Collins city limits. As part of the East Mulberry Plan, the City adopted a policy to explore annexation of the enclave over many years in a more flexible manner based on changing conditions and catalysts such as new funding and resource opportunities, the maintenance of logical boundaries for services provision, and new development or redevelopment within the enclave. This approach is known as the thresholds approach to annexation. As part of this annexation threshold approach, the City closely monitors conditions in the enclave and entire East Mulberry Plan Area and will prepare periodic Monitoring Reports to document changed conditions. Monitoring Reports also serve to document the progression and decision-making leading up to potential threshold annexations. For more information on the East Mulberry Enclave Thresholds Annexation Strategy, see the East Mulberry Plan, Section 5. B. Enclave Overview The East Mulberry Enclave was formed in 2018 and became eligible for involuntary annexation into the City of Fort Collins in 2021. When first formed, the enclave was approximately 2.7 square miles in size and located between Lemay Avenue on the west, I-25 on the east, Vine Drive to the north, and as far south as Prospect Road. The enclave’s boundaries are frequently changing as property owners and developers voluntarily seek annexation into the City, usually as part of a development proposal. See Figure 1 for the East Mulberry Plan Area boundaries . The enclave features a wide variety of vacant and developed land, infrastructure quality, natural features, and existing land-uses, all of which contribute to a unique and challenging environment to consider potential annexation, including considerations for infrastructure quality and maintenance, resources to provide utility and policing services, tax collection, and business and resident im pacts. For more information on specific character areas within the enclave, see the East Mulberry Plan, Section 2. DocuSign Envelope ID: 386C922B-324C-4C24-8BB7-F7EA6E9E538D 3 Figure 1: East Mulberry Plan Area Context C. City of Fort Collins-Larimer County IGA & State Annexation Requirements The East Mulberry Enclave is located within the Fort Collins Growth Management Area (GMA) which was established through an Intergovernmental Agreement (IGA) with Larimer County. In establishing the boundaries of the GMA, the IGA also sets forth a general goal to annex areas within the GMA that are eligible. Annexation of GMA areas and within the East Mulberry Enclave occur by two methods:  Voluntary Annexations: Property owners can voluntarily petition to annex into the City if they are located within the Growth Management Area. To date, this has been the primary means by which properties are annexed into the City. The IGA between Larimer County and the City of Fort Collins also requires property owners pursuing certain types of development or redevelopment to annex into the City if the property is eligible to do so in order to expeditious ly move areas of the GMA into City limits and receive urban level services. When properties voluntarily petition to annex, at least 1/6 of the property boundary must be contiguous with city limits. In addition, multiple property annexations must have more than half of property owners consenting to annexation (Colorado Revised Statutes 31-12-104).  Involuntary Annexations: Cities may involuntarily annex properties if they ar e part of an enclave, an area completely surrounded by city limits, after a period of three years (Colorado Revised Statutes 31-12-106). The City of Fort Collins has generally pursued involuntary annexations of DocuSign Envelope ID: 386C922B-324C-4C24-8BB7-F7EA6E9E538D 4 enclaves within the GMA. Given the size of the East Mulberry Enclave and the required resources needed to serve the area, the City is deploying the current thresholds approach to annexation. 2. Enclave Conditions The following information, charts, tables, and maps represent relevant information about existing conditions in the enclave as they may relate to potential future annexation thresholds. Over time, Monitoring Reports and their associated data will be able to provide a comprehensive review of recent annexations, capital planning, development project and other planning or funding efforts. A. Recent Annexations (2018-2023) Over the preceding five-year period seven annexations occurred within the enclave boundary totaling nearly 87 acres, including the 1.77 acres of the East Gateway Annexation which officially created the East Mulberry Enclave. The largest annexations occurred north of Mulberry Street and Greenfields Court and are related to large new mixed-use developments in the corridor. Both the developm ents themselves as well as the addition of new City limit boundaries in the middle of the enclave may be a catalyst for additional annexations in the near future for adjoining properties seeking further (re)development. Recent annexations are listed in Table 1 and illustrated in Figure 2. Table 1: Recent Annexations Annexation Name Ordinance Date Size City Zoning Designation 1. East Gateway Annexation August 2018 1.77 acres LMN 2. Timberline-International Annexation No. 1 February 2020 .09 acres I 3. Timberline-International Annexation No. 2 February 2020 .86 acres I 4. Timberline-International Annexation No. 3 February 2020 1.39 acres I 5. Springer-Fisher Annexation No. 1 February 2021 71.35 acres Varies (LMN, MMN, I, E, NC, CG) 6. Springer-Fisher Annexation No.2 February 2021 5.46 acres CG 7. Peakview Annexation No. 1 August 2022 5.82 acres Varies (MMN, CG, NC) Total: 86.74 acres Zone District Key: Low Density Mixed Use (LMN) Medium Density Mixed Use (MMN) Industrial (I) Employment (E) Neighborhood Commercial (NC) General Commercial (CG) DocuSign Envelope ID: 386C922B-324C-4C24-8BB7-F7EA6E9E538D 5 B. Recent Developments (2018-2023) The Mulberry Corridor continues to see an uptick in development activity and interest, especially north of Mulberry near Timberline Road and Greenfields Court. These areas represent some of the largest areas of vacant and undeveloped land in the corridor and/or continue to see investment and activity related to additional growth and developm ent further northeast in Fort Collins. Some of the largest recent development projects, whether located in the City or County, include: Project Jurisdiction Primary Land Use Dwelling Units Nonresidential Square Footage Greenfield or Redevelopment 1. Landings at Lemay Fort Collins Residential 344 0 Greenfield 2. Eastridge (aka Mosaic) All Filings Fort Collins Residential 912 TBD Greenfield 3. Mulberry & Greenfields PUD (aka Bloom) Fort Collins Mixed-Use 1,600 TBD, up to 20- 30 acres Greenfield Figure 2: Recent Annexations (2018 - 2022) DocuSign Envelope ID: 386C922B-324C-4C24-8BB7-F7EA6E9E538D 6 4. Mulberry Connection Fort Collins Industrial 0 164,000 Greenfield 5. Select Wood Floors Larimer Co. Retail 0 12,000 Greenfield 6. The Genesis Project Larimer Co. Institutional 0 9,600 (addition only) Redevelopment 7. Summit View Ready Mix Larimer Co. Concrete Batch Plant 0 0 Greenfield 8. Zurich Ct Industrial Flex Larimer Co. Commercial / Industrial 0 36,000 Greenfield Collectively, these larger projects amounted to approvals or master planning for over 2,500 dwelling units, 200,000 square feet of commercial and industrial space, and the potential for several hundred thousand additional square feet of retail and office space when factoring in plans for the Bloom project. C. Infrastructure Over the past five years, several important infrastructure projects were recently completed and early design and planning for several additional projects is beginning. Like recent developments, these infrastructure projects may result in changed conditions or catalyze further changes in the vicinity that impact priorities and the timeline and suitability for potential annexation. Recent projects include: Figure 3: Recent Developments (2018 - 2023) DocuSign Envelope ID: 386C922B-324C-4C24-8BB7-F7EA6E9E538D 7  Mulberry Bridge Replacement (2016) – Reconstruction of the Mulberry Street bridge over the Poudre River along the enclave’s western boundary between Riverside Avenue and Lemay Avenue. The new bridge was widened and further elevated over the river with new landscaping, median, and urban design features as well as nearby enhancements to the Poudre Trail.  Lemay Overpass (2021) – Realignment of Lemay Avenue and construction of a new overpass carrying Lemay Avenue over Vine Drive and the BNSF railroad tracks. The overpass was constructed to reduce delays caused by the railroad crossing and limited right of way at the existing Lemay Avenue and Vine Drive intersection, and to improve access for the Andersonville/San Cristo and Via Lopez neighborhoods onto Lemay Ave/9th Street.  Vine & Timberline Intersection Improvements (Construction anticipated 2024) - Intersection improvements are proposed at the Vine & Timberline intersection, including drainage channel regrading, signalization enhancements, and intersection widening. Similar to the Vine & Lemay intersection, the City’s Master Street Plan identifies this intersection as the potential location for a future grade separated crossing.  Lincoln & Timberline Intersection (Construction anticipated 2024) – Design work is being finalized for improvements at the Lincoln Avenue and Timberline Road intersection to include new turning movements, turn lanes, and medians/Channelized-T to improve safety and capacity and prevent back-ups onto adjacent Mulberry Street.  I-25 & Mulberry Interchange – (Preliminary design 2024) - Preliminary design and engineering is beginning to explore replacement of the existing interchange at I-25 & Mulberry. This is a long- term project that will require additional stakeholder engagement, funding, and design but has the potential to be transformative to the Mulberry Corridor by improving multi-modal safety, traffic operation, and creating new gateway elements at an important comm unity entrance. D. City / Institutional Land Ownership Within the enclave, the City of Fort Collins represents a large and growing property owner. Over the past five years, the City has continued purchasing or received dedication of additional properties for the purpose of constructing future parks, conserving/protecting land and natural habitat, or for future utility, stormwater, and infrastructure projects. Recent land acquisition in the enclave includes:  Properties near Weicker Drive & Centro Way – Between 2016-2021 the City purchased several parcels west of the Weicker Drive & Centro Way intersection to the east of the Cooper Slough. These properties were purchased by the Natural Areas department and are intended to help protect and preserve a buffer around the Slough.  Northern Cooper Slough – In 2023 the City’s Natural Areas Department also purchased a 36-acre property along the northern portion of the Cooper Slough near Vine Drive to preserve a buffer. The City will continue to look for opportunities to purchase additional properties in/near the Cooper Slough in the future. In addition to these recent land purchases, the City also owns land along the Poudre River south of Mulberry Street near Lemay Avenue as part of its Natural Areas portfolio and a large piece of land north of Vine Drive and the Trailhead Neighborhood for use as a future regional stormwater detention facility and electric substation. In addition, the Parks Department was dedicated land within the developing Mosaic Neighborhood for a future local park site. E. Additional Topics Additional topics that will be explored in future Monitoring Reports, or explored when studying specific annexation thresholds may include: o Existing Signage & Billboards o Existing Special Improvement Districts DocuSign Envelope ID: 386C922B-324C-4C24-8BB7-F7EA6E9E538D 8 o Changes in County Maintenance of streets or other existing infrastructure1 Annexation Threshold Candidates & Next Steps As explored in the East Mulberry Plan, multiple annexation threshold types have been formulated to help identify, categorize, and evaluate changes in condition within the East Mulberry Enclave and whether further study of annexation feasibility is warranted. The East Mulberry Plan outlined three defined annexation threshold categories:  Maintenance of Logical Boundaries  Achievement of Citywide Policy Priority  External Funding & Capital Project Alignment A threshold based on Maintenance of Logical Boundaries seeks to streamline the provisions of services and enforcement responsibilities by uniting an area that is split between City and County jurisdiction. Under an Achievement of Citywide Policy Priorities threshold, the City may elect to pursue annexation in portions of the enclave to advance important community policy priorities . In nearly all cases, this would require properties to be located within City boundaries in order to enforce standards or receive funding. An example of achieving a Citywide policy priority may include protecting manufactured housing communities. An annexation threshold based on External Funding & Capital Project Alignment could apply when external funding is awarded that could alleviate costs associated with annexation. Additionally, this threshold type may apply in cases where geographic efficiencies could be achieved if multiple capital project sites are able to be consolidated by one annexation action. Please refer to the East Mulberry Plan for a more detailed description of threshold types. City staff identified the following potential annexation threshold candidates with a description of the threshold category, the activity initiating the threshold consideration, and potential next steps. Each Threshold Candidate and associated Potential Expansion Areas are highlighted in the maps on the subsequent pages. A corresponding table describes the type of annexation thresholds that would be considered as well as recommended next steps. The Potential Expansion Areas described in the tables below would be sequential and augmentative considerations. It is important to note that the information contained within this report is not the only resource that City Council members will utilize to make decisions regarding future annexations. As is outlined in the East Mulberry Plan, when a potential annexation threshold candidate has been identified, City staff initiate an analysis period. The analysis period will include evaluation of existing infrastructure and the City’s ability to begin providing services to these areas upon potential annexation. Another significant component of the analysis period is evaluation of the financial impacts and resources required for potential annexation. During this time, adjustments may be made to annexation threshold candidate area boundaries based on these findings. The analysis period will include community outreach, business outreach, and in many cases, the formation of an official Annexation Transition Team (formerly referenced as Annexation Transition Committee). Following an analysis period, staff will deliver a full analysis report for City Council review. 1 A memo was recently distributed to City Councilmembers dated March 11, 2024, with a subject: “Annexed Streets Conditions and Levels of Service”. This memo explores maintenance categories of annexed roads and the challenges of bringing annexed roads up to Larimer County Urban Area Street Standards (LCUASS) for City Maintenance and Acceptance. DocuSign Envelope ID: 386C922B-324C-4C24-8BB7-F7EA6E9E538D 9 A. Annexation Threshold Candidate #1 – East Vine Mixed-Use Project Annexation Threshold Location: Near Vine Drive and Timberline Road intersection. Threshold Initiating Factor: Potential voluntary annexation and subsequent development of the property located at the northeast corner of the Vine and Timberline intersection, otherwise known as ‘East Vine Mixed-Use Project’. The project location is outlined in red in Figure 5 below. This would be a voluntary annexation initiated by the property owner and developer. At the time of Monitoring Report publication, no official application for annexation has been received. Areas 1 through 4 in Figure 4 are annexation threshold candidates if and when the East Vine Mixed-Use Project is annexed. Potential Expansion Area ① Potential Expansion Area ② Potential Expansion Area ③ Potential Expansion Area ④ Voluntary Annexation (East Vine Mixed-Use Project) + Potential Expansion Area 1 Maintaining Logical Boundaries Threshold: After annexation of the parcels composing the East Vine Mixed- Use project, the area indicated as 1 becomes isolated and disconnected from any other parcels that remain in Larimer County. Additionally, a portion of this highlighted area is owned by the City of Fort Collins. Voluntary Annexation (East Vine Mixed-Use Project) + Potential Expansion Area 1 + Potential Expansion Area 2 Maintaining Logical Boundaries Threshold: If the area contained within Potential Expansion Area #1 were to be annexed, the area shaded in orange and indicated as 2 on the map would be a partially isolated cluster of unincorporated parcels on the north side of Vine Drive. Therefore, potential annexation of these parcels could also be considered a Maintaining Logical Boundaries Threshold. Achievement of City Policy Priorities: In addition to a potential Maintaining Logical Boundaries Threshold, the Plummer School is also located within this area. This building is on the National Register of Historic Places. The parcel on the northeast corner of the Vine/Timberline Intersection is also a potentially significant historic resource. External Funding and Capital Project Alignment: Multiple upcoming transportation improvements are slated for the corner of Vine/Timberline. It may be advantageous for these parcels to be within City limits as these projects are pursued. Voluntary Annexation (East Vine Mixed-Use Project) + Potential Expansion Area 1 + Potential Expansion Area 2 + Potential Expansion Area 3 Achievement of City Policy Priorities: Potential Expansion Area 3 contains the Collins Aire Manufactured Home Park. Physical proximity of this community to other areas under consideration as thresholds could warrant inclusion of the Collins Aire Manufactured Home Park. This could contribute towards the goal of preserving manufactured home communities. Maintaining Logical Boundaries Threshold: If Collins Aire were to be annexed into City limits, the westernmost portion of Potential Expansion Area 3 would become isolated and disconnected from any other parcels that remain in Larimer County. Additionally, a portion of this land is owned by the City of Fort Collins. Voluntary Annexation (East Vine Mixed-Use Project) + Potential Expansion Area 1 + Potential Expansion Area 2 + Potential Expansion Area 3 + Potential Expansion Area 4 Maintaining Logical Boundaries Threshold: If Potential Expansion Area 3 is considered for annexation, the area around Timberline Road and International Boulevard would become the northernmost boundary of the enclave. For efficient provision of service, a Maintaining Logical Boundaries Threshold may apply to consider all areas north of International Boulevard. City staff are aware of potential future development activity in this area that would require annexation into the City prior to development. In February 2024, Heritage Christian Academy has submitted materials for the City to perform a Conceptual Development Review of a campus expansion project within Potential Expansion Area 4. For additional discussion about this project, please see the section titled Other Threshold Candidates Under Surveillance below. Next Steps: Staff will initiate the formal analysis period, including assembly of an analysis team and an Annexation Transition Team upon receipt of an official petition for annexation related to the East Vine Mixed Use project. Precise timing of the analysis period may depend on coordination between Threshold Candidate #1 and #2. Figure 4: Annexation Threshold Candidate #1 DocuSign Envelope ID: 386C922B-324C-4C24-8BB7-F7EA6E9E538D 10 B. Annexation Threshold Candidate #2 – I-25 Gateway Area Figure 5: Annexation Threshold Candidate #2 Threshold Location: Near I-25 and Mulberry Interchange Threshold Initiating Factor: Potential annexation and subsequent development of the property located within the northeast quadrant of the I-25 and Mulberry Interchange. This would be a voluntary annexation initiated by the property owner and developer. At the time of Monitoring Repor t publication, Initiating Resolution of the 45-acre undeveloped property depicted in Figure 5 is scheduled for the April 2 Council Meeting. Potential Expansion Area 1 ① Maintaining Logical Boundaries Threshold: Following the annexation of the proposed development project parcel, there will be small ‘islands’ of unincorporated Larimer County land within a larger area of City of Fort Collins jurisdiction. Next Steps: Staff will initiate the formal analysis period, including assembly of an analysis team and an Annexation Transition Team. Precise timing of the analysis period may depend on coordination between Threshold Candidate #1 and #2. DocuSign Envelope ID: 386C922B-324C-4C24-8BB7-F7EA6E9E538D 11 C. Other Annexation Threshold Candidates Under Observation Peakview: Peakview is an existing development project located north of Mulberry Street, near the intersection of Greenfields Court. City Council previously adopted Ordinance 2022 -099 on October 4, 2022, annexing the property known as Peakview Annexation No. 1. Peakview Annexation No. 2 was delayed by ongoing discussion between City staff and the project applicants. However, those discussions have concluded and resubmittal of the annexation petition for this property is expected. Peakview Annexation No. 2 would annex approximately 75.9 acres of the project site into the City of Fort Collins. Staff are continually monitoring this project and will examine for applicable thresholds when the petition for annexation resumes. Potentially applicable threshold considerations that would be examined in this location include proximity to the Cooper Slough as well as proximity to City-owned properties. Heritage Christian Academy: On March 8th, 2024, Planning staff performed a Conceptual Development Review (CDR240012 – Annexation at Heritage Christian Academy) for the existing Heritage Christian Academy school site located at 2506 Zurich Drive. Heritage Christian Academy previously acquired property located west of the existing school site with the intent to expand their facilities. Materials submitted to the City as part of the Conceptual Development Review application indicated that Heritage Christian Academy intends to expand their campus in a two-phase growth plan. Prior to development, this project would be required to annex into the City of Fort Collins. Dependent on timing for both the East Vine Mixed Use and Heritage Christian Academy projects voluntarily petitioning for annexation, a threshold study similar to the considerations outlined in Annexation Threshold Candidate #1 could be examined but in th is case, the threshold initiating factor would originate instead with the Heritage Christian Academy project site. Because of their geographic proximity, many of the same potential annexation threshold considerations could apply. Staff will continue to monitor the status of both projects. Cloverleaf Manufactured Home Community: The Cloverleaf Community is an existing manufactured housing community located near the northeast quadrant of the I-25 and Mulberry Interchange. There is an active request to expand the existing community further to the east with approximately 180 lots and new amenity areas for residents. Both the existing Cloverleaf Community and the proposed expansion area are outside of the East Mulberry Enclave, but within the City’s Growth Management Area. City of Fort Collins planning staff have been participating in ongoing coordination discussions with Larimer County regarding this proposed project. Other Annexation Threshold Candidates: City staff are continually monitoring the East Mulberry Enclave for development activities or other changes in condition that may warrant threshold analysis. If additional potential threshold activities arise between issuance of Monitoring Reports, City staff will prepare updates as needed and reissue reports for City Council review. DocuSign Envelope ID: 386C922B-324C-4C24-8BB7-F7EA6E9E538D 12 Figure 6: Other Annexation Threshold Candidates Under Observation D. Next Steps As previously mentioned, City staff plan to issue updated Monitoring Reports such as this one every two years. If additional potential threshold activity between each two-year period warrants interim updates, staff will amend and reissue the most recent Monitoring Report with updates highlighted. City staff will continue working closely with Larimer County staff to coordinate and communicate on matters within the East Mulberry Enclave. Section 5 of the East Mulberry Plan identifies actions to follow when a potential annexation threshold has been identified, when to continue monitoring a threshold or initiate the analysis period. When the analysis period is kicked off, staff will identify potential annexation boundaries and will initiate a neighborhood meeting. Residents and businesses from within this area will be invited to participate in the neighborhood meeting. Following this meeting, staff will begin to perform the detailed financial analysis and will assemble a detailed annexation threshold analysis report that City Council will receive at the end of the analysis period. After reviewing the report, City Council will request additional information as needed and instruct City staff how to proceed. At this time, City Council may determine to not proceed with annexation, to proceed with annexation for the entire area that was studied, or a portion of the area that was studied. CC: Paul Sizemore, Director of Community Development and Neighborhood Services Clay Frickey, Planning Manager Travis Storin, Chief Financial Officer DocuSign Envelope ID: 386C922B-324C-4C24-8BB7-F7EA6E9E538D 13 Sylvia Tatman-Burruss, Senior Project & Policy Manager Shawna Van Zee, City Planner Janelle Guidarelli, Associate City Planner DocuSign Envelope ID: 386C922B-324C-4C24-8BB7-F7EA6E9E538D