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Home My WebLink AboutMemo - Mail Packet - 5/10/2022 - Memorandum From Rebecca Everette Re: Land Use Code Amendment Projects - Timelines & Sequencing Update 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 MEMORANDUM Date: May 5, 2022 To: Mayor Arndt and City Councilmembers Through: Kelly DiMartino, Interim City Manager Kyle Stannert, Deputy City Manager Caryn Champine, Director of Planning, Development, and Transportation Paul Sizemore, Director of Community Development and Neighborhood Services From: Rebecca Everette, Planning Manager Re: Land Use Code Amendment Projects – Timelines & Sequencing Update __________________________________________________________________ The purpose of this memo is to update Council on the timing of various projects to amend the Land Use Code (LUC): Land Use Code Phase 1 Update 1041 Regulations Oil and Gas Code Regulations Water Adequacy Determination Review (WADR) Wireless Telecommunications Code Update Bottomline: Attached are the current schedules for each of these five LUC projects, which have been guided by prior Council direction. A critical factor in coordinating these timelines is balancing the resources of the community, City Council, the City Attorney’s Office, and Planning staff. We prepared this initial compilation for these key purposes: Increase transparency and clarity of how Planning staff intends to move these projects forward as part of Council’s work plan over the next 6-9 months. To seek any feedback from Councilmembers that may want to consider an adjustment in the sequencing of discussion and action. To note the interplay and scope between the efforts amending the Land Use Code and potential for schedule changes if one or more of these projects need adjustment as they move forward. Land Use Code Phase 1 Update The Land Use Code (LUC) Phase 1 update is focused on housing-related changes and code reorganization to improve housing capacity, choice, and affordability. This effort is an implementation of the previous Council’s priority around affordable housing, City Plan, the Transit and Transportation Master Plans, the Housing Strategic Plan, and the Our Climate Future Plan. While there is not a direct dependency between the LUC Phase 1 update and the other pending code updates, it is important that the code reorganization is complete to support efficient use of staff and consultant time. Under the current schedule, LUC Phase 1 will begin the adoption process (final attorney review, board/commission recommendations, and Council hearing) in late summer/early fall. Phase 1 of the Land Use Code (LUC) update is also a critical path deliverable for the continuation of code updates addressing commercial/industrial uses and other non-housing updates to the LUC (Phase 2, planned for 2023-24). If community engagement and/or Council input results in delays to the adoption timeline, staff will adjust as needed. Further, the timing of adoption of the LUC Phase I modifications may impact the other projects on the list as they are also amending the LUC. To the extent that these other projects modify LUC before the Phase I modification are complete, those amendments may need to be revisited. This could be avoided by sequencing the drafting and adoption of the other projects after the LUC Phase I modifications are completed. 1041 Regulations At the initiation of the 1041 Regulations project, Council imposed a moratorium on new highway and water projects. The moratorium expires on December 31, 2022, which makes 1041 a high priority project to complete this year. Staff has been operating under the assumption that December 31, 2022 is the deadline for adoption. Extending the moratorium deadline is an option if Council determines that other projects are a higher priority. The 1041 regulations would consist of a standalone code section that cross-references several existing sections in the Land Use Code. Because the LUC Phase 1 project would reorganize the code, cross references in the 1041 regulations and other integration issues, if any, will have to be resolved prior to adoption. Delays to the LUC Phase 1 could impact the schedule of 1041 regulations. Oil and Gas Code Update There is no imminent development pressure for new oil and gas activity within City limits, and staff does not anticipate any new development in the near future. The Operator Agreement currently regulates existing oil and gas development, which expires May 29, 2023. As such, the latest deadline for full adoption of oil and gas regulations is May 2023. At the March 2022 work session, Council emphasized that this project is a high priority and a desire to see the regulations completed on a faster track. Council also expressed interest in investigating the feasibility of purchasing mineral interests as a mechanism to mitigate oil and gas development within City limits. Staff has performed preliminary research and a memo is forthcoming in this week’s packet. The project schedule shown at the March 2022 work session estimated the project being completed by Q4 2022. This schedule has shifted slightly to accommodate 1041 Regulations, since that is considered a higher priority and both projects share the same staff resources. Similar to 1041 Regulations, the Oil and Gas Regulations consist of a standalone code section that cross- references several existing sections in the Land Use Code. With the LUC Phase 1 reorganization, it would be more efficient to wait until that project is complete to finalize the oil and gas amendments. Water Adequacy Determination Review (WADR) Although the City has been required under Colorado law to have a water adequacy determination process as part of development review, general reliance on service commitments from established water providers has been sufficient to assure service adequacy in the past. The immediate need for the Water Adequacy Determination Review (WADR) process was prompted by the Montava Development. The developer, HF2M, desires to create a privately-owned and operated groundwater system (drawing water from wells and a new treatment plan and distribution system) to supply the development, as previously discussed with City Council at the February 9, 2021 work session. HF2M has submitted the first phase of development for review. HF2M plans to use the East Larimer County Water District (ELCO) to supply treated water for indoor water uses for this phase. HF2M proposes that the majority of the rest of the development would be served treated water for indoor uses by the proposed privately-owned and operated groundwater system. HF2M proposes that a separate, non-potable system for outdoor uses would serve the entire development, including the initial phase. HF2M has a pending water court case to seek the water rights needed to operate the proposed groundwater supply. In addition to potential other approvals, the Colorado Department of Public Health and Environment (CDPHE) would need to review and approve the proposed groundwater supply system. CDPHE’s approval process is estimated to take approximately six months. The City is required to evaluate and make a determination on the water supply adequacy for new development projects within incorporated areas of the City pursuant to Colorado Revised Statutes 29-20- 301 et seq. Even without the Montava project, the City could still benefit from a more formalized process than the Will-Serve Letters from established water providers the City currently relies upon. A request for proposals is currently out for a consultant to lead this work and a work session with Council is scheduled for July 12, 2022. It is anticipated that once a consultant is on board, draft code language could be prepared in approximately six-months with a few additional months needed to go through the code adoption process. Wireless Telecommunications Code Update The Wireless Telecommunications Code Update timeline was established around bringing Code changes to Council for adoption in Q3/Q4 of 2022 (approximately 12 months after the adoption of the Wireless Telecommunications Master Plan). Currently, the project is scheduled for a City Council Work Session on August 23rd. The majority of the code changes will occur in LUC Section 3.8.13, but references to wireless telecommunication uses appear across many code sections. Since the LUC Phase 1 project would reorganize the LUC, it would be most efficient for the wireless telecommunication code changes to be made after the LUC Phase 1 project is complete, and that is how the Wireless Telecommunication project schedule is currently planned. Changes to the LUC Phase 1 schedule could impact the Wireless Telecommunication timeline if there are significant delays. As of Spring 2022, there are no impending applications for new wireless telecommunication facilities. Staff does expect future applications as Platte River Power Authority leases with various providers expire over the next 12-24 months. While there is less urgency driving these code changes, staff is striving to adhere to the commitment to bring changes forward for Council consideration before the end of 2022. In addition to the Code update, a budget offer to fund the creation of a Wireless Telecommunications Design Guidelines document has been submitted for the 2023/2024 budget cycle. Public Engagement All five LUC projects will involve public engagement. Code updates are technical in nature but can have long-term, far-reaching impacts on how development occurs, so it is important that community members are well-informed and have the opportunity to help shape these regulations. Ensuring a broad range of perspectives, and particularly perspectives from historically underrepresented groups, is a top priority. Staff will seek to mitigate “engagement fatigue” by looking for ways to coordinate presentations across multiple projects and leverage existing community activities and events. Next Steps City Staff will continue to advance this work on the timelines described and provide these holistic updates to Council as needed. If there needs to be any changes, City Staff will proactively engage Council for guidance before finalizing. If Councilmembers have questions or concerns about the current schedules, we suggest that input be directed to the May 16th Leadership Planning Team meeting. City Staff will work with City Attorney Daggett and Interim City Manager DiMartino to follow up. Attachments: Current timelines for the five Land Use Code projects CC: Carrie Daggett, City Attorney Judy Schmidt, Senior Assistant City Attorney Brad Yatabe, Assistant City Attorney Claire Havelda, Assistant City Attorney Eric Potyondy, Assistant City Attorney Land Use Code Amendment Project Timelines Q4 January February March April May June July August September October November December January February March Phase 1 LUC Code Outline Internal Review Draft Code Internal Review Draft Code Public Review Adoption 1041 Regulations Draft Final Draft Adoption Oil and Gas Draft Final Draft Adoption Water Adequacy Current Conditions Assessment Determine New Requirements/ Review Procedure Implementation and Code Updates Wireless Code Update Draft Final Draft Adoption PROJECT 2022 2023 Q1 Q2 Q3 Q1 Final Att. Review Address Comments Draft Code Released Engagement Refine Draft Address Comments Final Attorney Review Code Development Address Comments Engagement Final Attorney Review Refine Draft Engagement Draft Outline Draft Code Final Att. Review Staff Edits Draft Code Final Draft Released Draft Code Released Final Draft Released Address Comments Code Development Final Attorney Review Adoption City Council Work Session Final Attorney Review Adoption Staff Edits Public EgagementtP Council Work Session/Release of public draft Final Draft Released Adoption Address Comments Engagement Final Att. Review Refine Draft Adoption Process Adoption City Council Work Session Wor City Council Work Session City Council Work Session City Council Work Session Final Att. Review Final Att. Review t. w Draft Code Released tt. .. w Final Draft Released Code DevelopmentCouncil Follow- Up / Memo Code Review & Recommendations Work Sess CCCCCCCC Finalize Project Plan Memo Prepare Code Updates Final Atty Review Implemetation Plan Create Review Procedure MemoCreate Requirements Next Phase Next Phase Adoption Process City Council Work Session Best Practices Review Engagement Prelim. Attny Rev P Engagement City Council Work Session? Attyy AAAAdA Engagement Adoption Prelim. Attny Rev Prelim. Attny Rev W P Address Comments