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HomeMy WebLinkAbout2004-04-15 Minutes, City Commission MINUTES OF THE SPECIAL MEETING OF THE CITY COMMISSION BOZEMAN, MONTANA April 15, 2004 ***************************** The Commission of the City of Bozeman met in special session with the County Commissioners at the Gallatin County Courthouse, 311 West Main Street, Bozeman, Montana, at 7:00 a.m. on Thursday, April 15, 2004. Present from the City were Commissioner Marcia Youngman, Commissioner Jeff Krauss, Commissioner Steve Kirchhoff, Commissioner Lee Hietala, Acting City Manager Ron Brey and Clerk of the Commission Robin Sullivan. Present from the County were County Commission Chair John Vincent and County Commissioner Bill Murdock. Mayor Andrew Cetraro and County Commissioner Jennifer Smith Mitchell were absent. Informal work session with County Commissioners The breakfast meeting was called to order at 7:00 a.m. by County Commission Chair John Vincent. Topics of discussion included: transfer of development rights and fairgrounds. Transfer of development rights (TOR). County Commission Chair John Vincent stated he feels it is important for the City and the County to work together on this issue. County Commissioner Bill Murdock noted that he and Commissioner Steve Kirchhoff met a few years ago to discuss how to encourage growth around Bozeman and discourage itin other areas of the county; and Commissioner Kirchhoff questioned why the City of Bozeman should do that. Members of the TDR Committee present at this meeting included: Bill Wright, Joe Skinner, Debbie Deagen, Mark Evans, Barry Jacobsen, and JP Pomnichowski. County staff members present included Planning Director Jennifer Madgic and Planner Sean Q'Callahan. County Planning Director Jennifer Madgic stated that the TDR Committee, comprised of 10 or 11 citizens, has been meeting every Monday since late December, and is exploring options throughout the county. She noted that under the transfer of development rights, the rights for development of one parcel are transferred to another to promote cluster development in certain areas and protect other areas. She cited the Middle Cottonwood area as a local example with a TOR program, distributing copies of that program to those present. She stressed that, for a TOR program to work well in the county, cooperation with and from the City of Bozeman is important. JP Pomnichowski distributed a sheet of information on transfer of development rights programs, noting that the more she participates on the committee, the more hopeful she becomes that this program would work. She stated the TDR program would be good for Bozeman as well as Gallatin County. She noted that there is strong voter support for the preservation of open lands, as evidenced by the passage of an open space bond in 2002 and a survey last week that revealed widespread support for another open space bond issue. She stated that a TDR program will also allow Bozeman to control its own destiny by encouraging higher densities within established receiving areas in the donut that preclude the development of a greenbelt of county densities that thwart city growth. She noted that the City of Bozeman needs receiving areas for TORs, citing the Bozeman Creek corridor as a prime example of a sending area that needs to be protected. Commissioner Kirchhoff noted that the Bozeman 2020 Community Plan suggests that residential development will ideally be an average six to eight units per acre; however, it allows for both lower and higher densities. County Planning Director Jennifer Madgic stated her office is currently in the process of updating the donut regulations, and she feels this provides a great opportunity for adding a TDR program. She noted that the sending areas are those areas to be protected and receiving areas are those areas where more dense development is being encouraged. 04-15-04 Special - 2 - Responding to Commissioner Kirchhoff, Mr. Barry Jacobsen stated the Committee is looking at those areas where City services are available and where annexation is anticipated as potential receiving areas. He stressed that it is much more desirable to have development around the city rather than in the county, and a transition between urban and rural densities is preferable. Commissioner Kirchhoff noted that the City of Bozeman is reactionary to annexation requests, and is willing to annex properties seeking to become part of the city because it provides for an increased tax base. He suggested that if the city is to be a receiving area, then an encouraging TDR program is needed. County Commissioner Murdock suggested that, rather than automatically allowing development at 8 units per acre, the City Commission might allow 5 units per acre, with increased densities for those developers who buy development rights from someone else at a free market price. He acknowledged that the County will probably need to provide a financial contribution to help offset the costs of that additional density. Commissioner Kirchhoff noted that under the current system, a county property owner who does not vOluntarily seek annexation prior to development must first submit an application to, and be denied by, the County to give the City the leverage needed to annex the property and ensure its development on City services and at urban densities. Mr. Barry Jacobsen stated he sees having development occur on City services as a win/win situation, particularly since it helps to reduce the potential groundwater problems that can arise from development on wells and septic systems. He then suggested that the Bozeman Creek corridor is not the only area within city limits that could be protected, citing the Valley View Golf Course as another example. Mr. Joe Skinner stressed that, for a TOR program to work well, there must be incentives for a developer in the receiving area. If the City continues to annex everything it can and allow the developer to build at the desired density, it is extremely difficult to build in any incentives. Commissioner Krauss noted that some developers may not wish to have a high density, and the market may also encourage lower density development in some areas. He questioned what incentives may be used to encourage those individuals to develop at a higher density than they want. County Planning Director Madgic noted the best possible scenario is to have more density close to the city. She suggested that one alternative might be to charge a TDR fee for those who wish to develop at a density lower than identified for a particular area. Responding to Commissioner Krauss, County Commissioner Murdock stated that, if the City chooses to participate in the TOR program, certain areas within the city could be identified as sending areas, thus ensuring that trails, creek corridors and sensitive areas are protected and preserved. He suggested that those rights could then be used in an identified receiving area within the donut. Mr. Joe Skinner stressed the fact that a TOR program has to be voluntary and market based; it cannot be based on insistence. County Planning Director Madgic acknowledged it is difficult to take away something that exists in an effort to create the type of incentives needed to make a TDR program work effectively. She then noted that she has several examples of TOR programs elsewhere; every one of them is different and Gallatin County does not fit into anyone of those molds. She suggested that, through creative thinking, a successful program could be developed for Gallatin County, particularly if the City of Bozeman participates. Commissioner Youngman suggested that one possibility would be to trigger the TDR program for those areas where more density is desired than the identified zoning in the urban growth area allows. She . noted, however, it is difficult to consider charging developers to develop at the types of densities that the City wants. County Commissioner Murdock acknowledged that difficulty, noting that is one reason the County would possibly be willing to assist financially. He suggested that the area outside the urban growth area may also be one to consider for the TOR program, noting it may provide for better options and a greater opportunity to bend. 04-15-04 Special - 3 - Ms. Debbie Deagen stated that the donut outside the immediately annexable property is a very large area, and suggested identifying areas where development nodes are to be encouraged. She suggested that an incentive program and assistance with infrastructure dollars could provide the desired results. Mr. Bill Wright stated he envisions the TDR program as a facilitator for getting back to the concept of the donut area and providing an orderly transition from the city to the county. Acting City Manager Ron Brey affirmed that the City has tended to meet developers' demands for maximum density on a development by development basis with no incentives. He suggested that, through the use of impact fees, development could be directed to those areas where growth is desired, both inside and outside city limits; and those areas could then be designated for the TDR program. He then stressed that the City gets hurt financially when urban density development occurs in the county because of the impacts that such development has on various City services. He further noted that such development, when it occurs without the requirement to provide City-standard infrastructure, creates another complete set of issues. He noted that the framework of the interlocal agreement for development within the donut would help to address that issue, although that agreement has never been accepted by either governing body. Responding to Ms. Deagen, County Planning Director Jennifer Madgic stated that the policy to require property adjacent to the city to be annexed prior to development, unless the City denies annexation, is an unwritten policy; and enforcing it is sometimes painful for her office. She suggested that to have a written policy could ease the situation. County Commissioner Murdock suggested the possibility of creating test areas within the county, with the County providing some assistance with the installation of infrastructure improvements. County Commission Chair John Vincent noted that when high-density development is proposed in the donut, the County finds that it meets with a lot of resistance because people want to live in the country but immediately adjacent to the facilities and advantages of the city. He suggested that, through the use of a computer graphics program, it may be possible to create different scenarios for future development and reach some type of community consensus for how the area is to look. He noted that Mayor Kadas has created such a computer program in Missoula and suggested he could be used as a resource. Mr. Joe Skinner confirmed there is a lot of resistance to update of the regulations and plan for the donut area. Ms. Debbie Deagen noted the Committee realizes that voluntary efforts will not work. She stated there is significant interest in identifying both sending and receiving areas for TDRs. The Committee also feels that the City's best contribution would be providing for dense, compact development; although it would be possible to provide those areas in the county. Commissioner Kirchhoff stated he feels the TDR program is a good one, and suggested that a small program be initially implemented and then allowed to evolve and expand. Commissioner Krauss stated that if County roads in the donut were improved to City standards, the disincentive to develop in the area around Bozeman would be eliminated; and the City would not then incur another South Church Avenue or Durston Road. He voiced a willingness to trade roundabouts for those street standards. Mr. Barry Jacobsen suggested that the new open space bond could be used as the banker for purchasing TORs. County Planning Director Jennifer Madgic showed the Commissioners a copy of the map on which staff and the Committee have been working. She noted that the map depicts nodes where development is to be encouraged and areas desired for open space. She stated that one of the big issues is the extension of City services through the Montana State University campus and who will bear the costs of those extensions. Responding to Ms. Deagen, County Commissioner Murdock affirmed that the County could unilaterally implement a TDR program, but would prefer to have cooperation from the City of Bozeman. 04-15-04 Special -4- Ms. JP Pomnichowski noted that the zoning districts in the county are self-contained with their own individual character. She stated that the Bozeman Creek corridor is similar, with its own well-defined borders, and could act in a manner similar to those zoning districts. She suggested that to begin with those areas rather than a county-wide or city-wide program could be beneficial. She then suggested that the TOR program could serve as an additional mechanism for a landowner to glean benefit from the land rather than from developing the land. Commissioner Kirchhoff noted that the City is currently short staffed; however, he suggested it would be logical for the City to work with the TOR Committee. Responding to Acting City Manager Brey, Mr. Joe Skinner stated there are three developers on the TOR Committee. Further responding to Acting City Manager Brey, predictability, sharing in infrastructure costs, and an expedited review process were identified as issues that could help to create a successful TOR program, in addition to increased density. Mr. Mark Evans noted that this program would give the owner of a piece of land with several constraints to derive some value, possibly in an amount that would closely approximate the net value that would be realized from maximum development in exchange for keeping the land as open space. County Commission Chair John Vincent expressed his appreciation for the ability of the two governing bodies to now sit down and discuss this type of issue, noting that it would not have been possible a year and a half ago. Fairgrounds. Fairgrounds Manager Sue Shockley noted that the possible exemption of the Fairgrounds from the noise ordinance will be on the City Commission agenda in a couple of weeks. Commissioner Youngman noted that the Northeast Neighborhood Association is organizing in preparation for that Commission meeting. She stated that a sub-committee of that organization is working with the Fair Board in an effort to identify possible common ground within which to operate. She encouraged the County to voluntarily comply with the City's zone code, noting that MSU, the School Oistrict and City have previously done so. Ms. Shockley stated it is good to have the neighbors more organized, and commended Neighborhood Coordinator Tracy Oulman for her assistance. She noted that the result is more open communications between the affected parties. County Commissioner Bill Murdock stated it appears the neighbors are more concerned about the amphitheater than the arena. Commissioner Youngman responded that the neighbors are concerned about the frequency of events that might result from new facilities being constructed at the Fairgrounds and the intensified impacts on the neighborhood. She recognized those issues are generally addressed under the zone code, which does not apply to public lands. Commissioner Krauss stated he believes there is great value in having the Fairgrounds remain where they are, within the county seat's city limits. As a result, he encouraged the Commissioners to find the good parts of the revitalization and the economic and social benefits of keeping the Fairgrounds where they are. He cautioned that when people are allowed to venture into the negative sides, the issue of whether the Fairgrounds belongs in an urban environ arise; and he finds that discussion is of benefit to no one. I Ms. Sue Shockley stated the Fair Board is interested in being a good neighbor, but it also recognizes that more revenue is needed to support the Fairgrounds. She noted that 4,000 people attend the Farmers Market every Saturday during the summer; hockey events have increased; and great demands are being placed on the facilities for various community activities. She indicated that the Fairgrounds is making every effort to accommodate those demands, which generate additional revenues for their operations and hopefully result in a positive economic impact on the community. She then noted that the Warped Tour has held its concerts there twice, but this year will be holding an outdoor concert at the Valley Ice Garden. 04-15-04 Special - 5 - Ms. Shockley stated it is unfortunate that the newspaper chose to print an article about the proposal to construct an amphitheater, particularly since it was very premature. She acknowledged that is one proposal that has been submitted; however, it is not the only one currently being considered. She noted that she has also received a request from the City for a community garden area, and a request from GalaVan for a garage to house their vans. She stressed that each of these requests and proposals must be carefully weighed. Adiournment - 8:40 a.m. . There being no further business to come before t~ '19" fissions at this time, the meeting was adjourned. (. I ~ JY -=. ATTEST: ANDREW L. CETRARO, Mayor ~~~ Clerk of the Commission 04-15-04 Special --