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HomeMy WebLinkAbout2006-03-16 Minutes, City Commission MINUTES OF THE MEETING OF THE CITY COMMISSION BOZEMAN, MONTANA March 16, 2006 ***************************** The Commission of the City of Bozeman met in regular session in the Community Room, Gallatin County Courthouse, 311 West Main Street, on Thursday, March 16,2006, at 7:00 a.m. Present were Mayor Jeff Krauss, Commissioner Jeff Rupp, Commissioner Kaaren Jacobson, Commissioner Sean Becker, County Commissioner John Vincent, County Commissioner Joe Skinner, County Commissioner Bill Murdock, City Manager Chris Kukulski, and City Clerk Robin Sullivan. Commissioner Steve Kirchhoff was absent. The meeting was opened with the Pledge of Allegiance and a moment of silence. Sianina of Notice of Special Meetina Each of the Commissioners, in turn, signed the Notice of Special Meeting. Discussion reaardina Transfer of Development Rights County Commissioner Bill Murdock introduced the subject, acknowledging that the County is behind on getting a grip on growth. He also noted it appears that both the City Commissioners and County Commissioners are interested in partnering to address growth issues. He indicated that the transfer of development rights (TDRs) is one vehicle that could be used through a partnership program, but acknowledged that political pressures will be a part of that process. He then introduced Rick Preutz, a national expert on TORs. Mr. Rick Preutz gave a power point presentation on transfer of development rights (TDRs), noting their purpose is to allow additional development in places appropriate for growth and to save the outlying areas where people want to see less or no development. He noted that the TOR program works within a community's codes to encourage the voluntary redirection of growth from the "sending" area to the "receiving" area. He stated the sending area can be one where farmland, environmentally sensitive lands, historic landmarks, or open space is to be protected, and the receiving area may be an existing city or the land adjacent thereto where more dense development is desired. He indicated that under the TDR program, those properties in the sending area would be required to record a deed restriction, and would be granted to a certain number of rights based on an adopted scale. Those rights could then be sold to someone who wishes to utilize them within the receiving area, to exceed the maximum density allowed under the code as allowed by an adopted scale. He indicated that, when the program works, it results in landowners being compensated for restricting growth and allows developers to get additional density at minimal public expense. Mr. Preutz highlighted some of the TDR programs used throughout the United States and how they operate, noting they reflect a wide range of options and mechanisms. Mr. Preutz then turned his attention to why Bozeman might want to participate, noting that reasons include helping Gallatin County to implement a county-wide zoning program that helps to save desired resources such as open space. He noted that Gallatin County may choose to undertake a fairly aggressive program while Bozeman could tailor its program to be less aggressive. He also noted that the two entities could enter into an inter-jurisdictional agreement under which the County could approve development adjacent to the city that the City would then agree to annex after development. Mayor Krauss asked if the County would be willing to impose City regulations on development adjacent to the city. He indicated that, if the City is going to agree to annex a development, it is important that its infrastructure be constructed to City standards, and that the necessary rights-of-way be provided. He cited West Babcock Street, Durston Road, Cottonwood Road, South Church Avenue, Sourdough Road, 03-16-06 - 2 - and Valley Center Road as examples of narrow county roads that are not adequate to serve urban density development. He is not interested in annexing development that does not meet those standards. County Commissioner Bill Murdock responded those are issues to be negotiated under an interlocal agreement. County Commissioner Joe Skinner recognized that, during review of a project that is to be later annexed to the city, it is important to ensure City standards are addressed. He noted that, if a project is two miles from the city, however, he does not believe it is necessary to ensure those standards are met. County Commissioner John Vincent noted that when his parents purchased their home, it was eight miles from Bellevue; it is now connected to City services. Given population projections, he suggested that Bozeman and Gallatin County should be looking at an expanded area from the city. He further stressed the importance of infrastructure improvements occurring reasonably concurrently with development rather than ten years later. County Commissioner Bill Murdock stated TDRs are important to him as a tool to compensate property owners where the County wants to discourage development and noted that the extent to which Bozeman is willing to participate in the program will determine how flexible he is willing to be on the interlocal agreement. City Manager Kukulski noted that the City has agreed to annex "99 percent of what comes to the city." He then suggested another tool to be considered is annexation districts, which essentially assure annexation within ten years. Mayor Krauss stated he did not hear any compelling arguments in Mr. Preutz's presentation for what the City would gain from the TOR program. He then noted the County Commission can already approve city density subdivisions adjacent to cities. The Mayor then indicated that he would be willing to amend the City's planning and zoning documents to reduce minimum densities from six units per acre to possibly three or four units per acre. He stated that dense development needs to be on city services, to ensure that adequate infrastructure is provided. Commissioner Rupp expressed interest in the TDR program where bonding was used to create development rights and the governmental entity then had the ability to sell those development rights and create a revolving fund. He also noted that a City/County partnership is important, and an issue he is willing to pursue further. Commissioner Jacobson stated she feels people in the city and the county are ready for the two governmental entities to begin working together on issues like this, noting the boundary is fictional. She finds that the work needs to start somewhere, and this seems to be a good place to start. County Commissioner John Vincent voiced his agreement and suggested that a one-paragraph joint resolution that expresses mutual agreement to continue working on this issue would be a good start to allaying the public perception that the two governmental entities are not working together. Mayor Krauss indicated that he, too, is interested in the possibility of creating a bank of TDRs and suggested that open space bonds might be used to assist in that process. He noted that bank could be established under the existing bond issue and used within the county zoning districts. Mike Harris, Open Lands Coordinator, cautioned that the open space bond monies may be used for conservation easements only; and the County Attorney's office has determined they cannot be used for the TDR program. He expressed a willingness to look at a TDR program that supplements the open space program but is not a part of it. County Commissioner Bill Murdock noted that a presentation on transfer of development rights will be made to the development community this afternoon, and Mr. Preutz has anticipated a number of questions that will likely arise. He then recognized the need for the City Commission to be sensitive to the development community. 03-16-06 - 3 - County Commissioner Skinner voiced his interest in annexation districts, noting that they would help define the area where annexation is anticipated and where the County can partner with the City to ensure city standards are required. County Commissioner John Vincent cited Ryan Glen Subdivision and Gallatin Heights Subdivision as examples of urban density subdivisions recently denied by the County Commission because of infrastructure issues. He acknowledged that the County must find a way to ensure that development is done right. Mayor Krauss voiced his appreciation for the County Commissioners' willingness to look much harder at the infrastructure issues when considering subdivisions. He then encouraged the County Commissioners to look at the impact fee situation in an effort to ensure that any changes in the City's program don't negatively impact either entity. Commissioner Sean Becker stated the City and County economies are tied together, and it is important that the governmental entities establish a relationship. He noted the growth policy talks about 50,000 people working in Bozeman every day, but not all of those people live in the city and, thus, impact the services of both entities. He recognized that the minimum density may be too dense; however, he cautioned that the TDR program is based on the maximum density rather than the minimum density. He also suggested that the two governmental entities should work together to develop a streamlined system so that applicants go through the same process with either agency. He indicated interest in the banking idea, and suggested that the City may need to manufacture some TORs, based on its own property holdings, to implement the program. County Commissioner Skinner identified the marked~based component of TDRs as one of the selling points of the program. Mr. Preutz stressed that a sending or receiving area for TDRs must be consistent with the general growth plan, noting that a developer does not automatically get increased density simply based on the purchase of TDRs. County Commissioner Bill Murdock noted the public perception is that Gallatin County is at odds with the City of Bozeman and the City of Belgrade. He recognized that, ideally, all development should occur within cities and noted that the County does not lose any tax base under that type of development. He then suggested that the "turf issue" is really not an issue. Mayor Krauss noted that, until recently, the City and the County have cooperated fully on development around Bozeman occurring in Bozeman. He realized the success of not having development adjacent to Bozeman is a direct result of the County's sending applicants to the City when development was proposed adjacent to the city. He voiced concern that this cooperation seems to be slipping away now and suggested that entering into an agreement will help alleviate the potential of further eroding the system that has worked well. Commissioner Rupp indicated he has no problem with adopting a resolution expressing joint mutual agreement; however, he also would like to see some specifics attached to that resolution, possibly including a timeline. County Commissioner John Vincent indicated that the County Commissioners will work with City Manager Kukulski to draft a resolution for everyone's review prior to adoption. He then noted that, at this time, it is fortunate that both the City Commission and County Commission have cross-overs between the two agencies. He suggested that serve as a springboard to entering into a cooperative effort that serves the agencies and the citizenry well. Mayor Krauss recognized it is important to talk to the development community and have those people understand where the programs are headed; however, he stressed that government relations, and ensuring the protection of property rights and the needs of the citizens are the key issues to be addressed. County Commissioner John Vincent suggested that this discussion be continued at the next joint meeting, which is scheduled for next Friday. 03-16-06 - 4- Public comment Mr. Jim Loessberg, resident of Reese Creek, noted he is chair of a working committee on the formation of a zoning district. He observed that everyone living here is starting to "live under the same roof more and more." He suggested that transferring rights from the Reese Creek area to the city would be beneficial and help to protect the areas that city residents enjoy, noting that he has observed a significant amount of traffic from the city to the trail heads in the immediate area. He noted that one of the largest landowners in the proposed district was strongly opposed to zoning initially; however, he now recognizes the benefits or protecting the agricultural land and wildlife corridors and is now a strong supporter of the district. He stated that many landowners are coming under incredible pressure from out-of-state people and realtors to sell their property for development. Ms. JP Pomnichowski noted she served as the City's representative on the TOR committee, which did a lot of work on the program and has a substantial amount of information available. She stated they talked about sending and receiving areas based on land characteristics, including critical land, wildlife habitat, and agricultural lands; either adjusting the maximum densities for the various city zoning designations or shifting the paradigm and allowing less dense development; and allowing development in the county that is anticipated to be annexed to not develop to City standards but to allow for ease of connection to City services upon annexation. She then cited Bill Muhlenfeld's project as a model of the TOR process, noting that he bought TDRs and then exchanged lots within the subdivision for those TDRs. She concluded by suggesting the urban landscape should be promoted where it makes the most sense-adjacent to the city and along the major road corridors, and a continuity of open space provided. She concluded by voicing an interest in discussing the details of the program with the Commissioners at the appropriate time. Adiournment - 8:35 a.m. There being no further business to come before the Commissions at this time, the meeting was adjourned. ATTEST: ~~ C ft.... .~- JEFF. Y . RA SS,Mayor ~z~~ ROBIN L. SULLIVAN City Clerk 03-16-06