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HomeMy WebLinkAboutChristenot Annexation with letter attached Commission Memorandum REPORT TO: Honorable Mayor and City Commission FROM: Doug Riley, Associate Planner Tim McHarg, Planning Director SUBJECT: Christenot Annexation #A-11001 MEETING DATE: November 28, 2011 AGENDA ITEM TYPE: Action RECOMMENDATION: 1) The City Commission grant a variance to Section 38.23.180, BMC, that provisions for water rights or cash in-lieu of water rights shall be provided upon further development or subdivision of the property and/or payment be required for the existing single-family residence at the time that residence connects to municipal water. and 2) The City Commission adopts the provided findings and approves the annexation, with the 12 recommended terms of annexation listed on pages 2-4 of the Staff Report, and directs staff to prepare an annexation agreement for signature by the parties. RECOMMENDED MOTION(S) 1) Based upon the analysis and findings in the Staff Report, I move to grant a variance to Section 38.23.180, BMC, that provisions for water rights or cash in-lieu of water rights shall be provided upon further development or subdivision of the property and/or payment be required for the existing single-family residence at the time that residence connects to municipal water. and 2) Based upon the analysis and findings in the Staff Report, I move to approve Annexation #A-11001, with the 12 recommended terms of annexation listed on Pages 2-4 of the Staff Report, and direct staff to prepare an annexation agreement for signature by the parties. BACKGROUND: The Christenot annexation was originally on the City Commission’s agenda of August 29, 2011. Following the public hearing and discussion where this item was continued, the Commission took further action to open and continue this item in order to allow for a policy 34 discussion regarding the Durston Road and West Babcock Street Special Improvement and Payback Districts; (in follow-up to questions raised during the original Christenot Annexation public hearing and their request to defer their Durston Road payback district payments). As that policy discussion occurred on November 7, 2011, this item is now back before the Commission for formal action. Staff also re-noticed this item, and the subsequent Zone Map Amendment item, due to the time that has elapsed and to include the noticing of the applicant’s variance request to defer payment of the cash-in-lieu of water rights for the proposed Annexation. As noted at the payback district policy meeting on November 7, this annexation has raised the broader issue regarding the City’s overall policies regarding wholly surrounded un-annexed enclaves. Staff recognizes the City’s annexation, land use, infrastructure, impact fee, special district, and public service policies have interconnected impacts on the potential annexation of these enclave properties. Staff would support a process that would evaluate these interconnected policies to determine how they might be modified to encourage annexation and, as discussed by the Commission, this could be a 2012 work plan item. However, in fairness to the applicant, we recommend the Commission proceed with this pending annexation application prior to that larger policy discussion. Note: This agenda item is related to the following (corresponding) Zone Map Amendment (ZMA) request on the agenda but procedurally is required to be reviewed prior to the ZMA. UNRESOLVED ISSUES: The Applicant made four requests as part of their annexation application: 1) Defer the payment to the Durston Road payback district for Special Improvement District No. 684 until occupancy of new construction; 2) Eliminate the requirement for connecting the existing home to sewer and water; 3) Eliminate the levying of all impact fees for the existing dwelling; and 4) Defer the provision of or payment of cash-in-lieu of water rights until occupancy of new construction. Regarding request 1), at the policy discussion on November 7, the Commission directed staff to proceed with bringing back Resolutions to amend the Durston Road (and West Babcock) payback districts to create a “homestead exemption” (where only a single family equivalent payment would be paid at time of annexation), with the payback on the remaining undeveloped portion of the property being assessed at the time of future development or subdivision of the land. Therefore, staff has included recommended term of annexation #1 (on page 2 of the attached staff report) to reflect this policy direction. Regarding request 2), Sections 40.02.350 and 40.03.330, BMC, provides that the Director of Public Services may temporarily waive the connection to the municipal water and sewer system if the rule introduces unusual difficulty. While connection of the existing structure to municipal services would be relatively easy because the services were stubbed from the water and sewer mains to the property line when Durston Road was reconstructed, these service would likely have to be abandoned at the mains when the house is removed to accommodate future development. The Director of Public Services has found this to be an unusual difficulty and has granted a temporary waiver to these connections subject to several conditions as reflected in recommended terms of annexation #2 #3 and #4 on page 3 of the staff report. This item is also discussed under Annexation Policy Item 6 on page 9 and 10 of the staff report. 35 Regarding request 3), as the Director of Public Service temporarily waived the requirement for the connection of the existing home to the municipal water and sewer system, no sewer and water impact fees are due at the time of annexation. At the time of an application for connection to these services, (and impact to the system), impact fees would have to be paid. This requirement is reflected in recommended terms of annexation #5.B and #5.C on page 3 of the staff report. A street impact fee would not have to be paid unless or until there is some new construction or further development on the property that would trigger a building permit. The only required impact fee due at the time of annexation would be a fire impact fee and this would have to be paid equal to the amount for an equivalent single family home as reflected in recommended term of annexation #5.A on page 3 of the staff report. Regarding request 4), the Department of Public Service’s review of this requested variance, (located on page 8 of the staff report), has resulted in a recommendation to the Commission that provisions for water rights or cash in-lieu of water rights shall be provided upon further development or subdivision of the property and/or payment be required for the existing single-family residence at the time that residence connects to municipal water. This recommendation is reflected in recommended term of annexation #6 on page 3 of the staff report. ALTERNATIVES: 1) The City Commission can decide to modify the “Recommended Terms of Annexation” (including the requested variance to cash- in-lieu of water rights). 2) The City Commission could decide to not annex the property. FISCAL EFFECTS: Annexing the property and establishing the new municipal zoning will enable future development with connection to City sewer and water services and service by the public services (police, fire, streets, etc.) of the City. This would increase tax values and corresponding revenue from the property. The City will accrue additional costs to service the property with municipal services. Attachments: Applicant’s submittal materials, Staff Report, August 29, 2011 Commission Minutes. Report compiled on: November 15, 2011 36 #A-11001 Christenot Annexation Staff Report 1 City Commission Staff Report for the Christenot Annexation - File #A-11001 Item: Annexation #A-11001, an application requesting annexation of 6.663 acres located on the south side of Durston Road which is addressed as 5200 Durston Road. Applicant/Owner: Paul Christenot, Executor for Orville Christenot RLT 2400 Durston Road #68 Bozeman, MT 59718 Representative: Madison Engineering 895 Technology Blvd., Suite 203 Bozeman, MT 59718 Date: Bozeman City Commission on Monday, November 28, 2011 at 6:00 PM in the Commission Meeting Room, City Hall, 121 North Rouse Avenue, Bozeman, Montana Report By: Doug Riley, Associate Planner Recommendation: Approval with Terms of Annexation ______________________________________________________________________________ Project Location The subject property is located on the south side of Durston Road across from Springbrook Avenue and is addressed as 5200 Durston Road. The approximately 6.663 acres is legally described as a portion of Tract 6, Smith Subdivision located in the NW 1/4 of Section 11, T2S, R5E, PMM, Gallatin County, Montana. Please refer to the vicinity map below. Proposal 37 #A-11001 Christenot Annexation Staff Report 2 The property owner and applicant, Paul Christenot, Executor for Orville Christenot RLT, represented by Madison Engineering, proposes to annex the 6.663-acre subject property to the corporate limits of the City of Bozeman and establish an initial municipal zoning designation of R-4 (Residential High Density District). The purpose of the annexation and zone map amendment request is to obtain municipal infrastructure and services in order to develop the property for residential purposes as outlined in the Bozeman Community Plan. The underlying land use designation for the property is “Residential”. There is an existing home and associated accessory buildings on the northern portion of the subject property along Durston Road. The southern portion of the property is currently vacant. This annexation was originally on the City Commission’s agenda of August 29, 2011. Following the public hearing and discussion where this item was continued, the Commission took further action to open and continue this item in order to allow for a policy discussion regarding the Durston Road and West Babcock Street Special Improvement and Payback Districts (in follow-up to questions raised during the original Christenot Annexation public hearing and the applicant’s request to defer their Durston Road payback district payments). As that policy discussion occurred on November 7, 2011, this annexation application is now back before the Commission for formal action. Staff also re-noticed this item, and the subsequent Zone Map Amendment, due to the time that has elapsed and to include the noticing of the applicant’s variance request to defer payment of the fee-in-lieu of water rights for the proposed Annexation until further development of the property. As noted at the payback district policy meeting on November 7, this annexation has raised the broader issue regarding the City’s overall policies regarding wholly surrounded un-annexed enclaves. Staff recognizes the City’s annexation, land use, infrastructure, impact fee, special district, and public service policies have interconnected impacts on the potential annexation of these enclave properties. Staff would support a process that would evaluate these interconnected policies to determine how they might be modified to encourage annexation and, as discussed by the Commission, this could be a 2012 work plan item. However, in fairness to the applicant, we recommend the Commission proceed with this pending annexation application prior to that larger policy discussion. The Applicant made four requests as part of their annexation application: 1) Defer the payment to the Durston Road payback district for Special Improvement District No. 684 until occupancy of new construction; 2) Eliminate the requirement for connecting the existing home to sewer and water; 3) Eliminate the levying of all impact fees for the existing dwelling; and 4) Defer the provision of or payment of cash-in-lieu of water rights until occupancy of new construction. Each one of these items has been discussed within the framework of this staff report under the “Review Criteria & Findings” section and the respective staff recommendation on each of these requests is addressed under the first six (6) “Recommended Terms of Annexation” below. Recommended Terms of Annexation Should the City Commission choose to accept the request for annexation, staff and the Development Review Committee (DRC) recommend the following terms of annexation be addressed prior to acknowledging the Annexation Agreement and formal annexation: 1. Prior to final annexation, the Durston Road payback shall be made for the existing home per the amended SID payback resolution with the remaining payback assessed at the time of future development or subdivision of the land. 38 #A-11001 Christenot Annexation Staff Report 3 2. The existing single-family home may continue to utilize the on-site sewer system until: a) the existing fails; b) the existing single-family home is converted to any use other than a single-family home; c) the existing single-family home is removed or destroyed, by whatever means, beyond 50 percent of the market value, or d) other habitable development occurs anywhere on the annexed parcel. If the existing on-site sewer system fails, the existing single-family home must connect to the public sanitary sewer main. A replacement on-site sanitary sewer system cannot be utilized. 3. At the time the existing on-site sewer system is disconnected, the on-site system must be properly vacated and removed, which at a minimum entails the septic to be pumped and filled in with gravel/dirt, or the tank totally removed, as required by the Gallatin County Health Department. 4. The existing single-family home may continue to utilize the on-site groundwater well for domestic use until: a) the existing well fails to the point it needs to be drilled deeper or replaced; b) the existing single-family home is converted to any use other than a single- family home; c) the existing single-family home is removed or destroyed, beyond 50 percent of the market value, or d) other habitable development occurs anywhere on the annexed parcel. 5. The land owners and their successors shall pay: A) Fire impact fees equal to the amount for an equivalent single family home per Chpt. 2, Art. 6. Div. 9 BMC, or as amended, at time of annexation. B) Water impact fees as required by Chpt. 2, Art. 6. Div. 9 BMC, or as amended, at the time of application for connection to city water. C) Sewer impact fees as required by Chpt. 2, Art. 6. Div. 9 BMC, or as amended, at the time of application for connection to city sewer. 6. Upon approval of a variance from 38.23.180, BMC, that provisions for water rights or cash in-lieu of water rights shall be provided upon further development or subdivision of the property and/or payment be required for the existing single-family residence at the time that residence connects to municipal water. If the variance is not approved, water rights or cash in-lieu thereof shall be made as required in Section 38.23.180, BMC. 7. That the documents and exhibits to formally annex the subject property shall be identified as the “Christenot Annexation”. 8. That the applicant execute at the Gallatin County Clerk & Recorder’s Office a waiver of right-to-protest creation of S.I.D.’s for a City-wide Park Maintenance District, which would provide a mechanism for the fair and equitable assessment of maintenance costs for City parks as part of the Annexation Agreement. 9. An Annexation Map, titled “Christenot Annexation Map” with a legal description of the property and any adjoining unannexed rights-of-way and/or street access easements shall be submitted by the applicant for use with the Annexation Agreement. The map must be supplied on a mylar for City records (18" by 24"), a reduced 8 ½" x 11" or 8 ½” by 14" exhibit for filing with the Annexation Agreement at the County Clerk & Recorder, and a digital copy for the City Engineer’s Office. This map must be acceptable to the Director of Public Services and City Engineer’s Office, and shall be submitted with the signed 39 #A-11001 Christenot Annexation Staff Report 4 Annexation Agreement. 10. That the applicant executes all contingencies and terms of said Annexation Agreement with the City of Bozeman within six (6) months of the City Commission action to annex the property, or annexation approval shall be null and void. 11. That the applicant shall provide and file with the County Clerk and Recorder's office executed Waivers of Right to Protest Creation of Special Improvement Districts (SID) for the following: A. Street improvements including paving, curb/gutter, sidewalk and storm drainage facilities for the following streets: a. Fowler Avenue B. Signalization Improvements for the following intersections: a. Durston Road/27th Ave. b. Durston Road/Fowler Ave. c. West Babcock St/Fowler Ave. The documents filed shall specify that in the event an SID is not utilized for the completion of these improvements, the developer agrees to participate in an alternate financing method for the completion of said improvements on a fair share, proportionate basis as determined by square footage of property, taxable valuation of the property, traffic contribution from the development or a combination thereof. 12. The owner shall provide a public street and utility easement for West Villard Street. The easement shall be 60 feet wide which is the local street standard as shown in the Greater Bozeman Area Transportation Plan. Zoning Designation & Land Uses The following land uses and zoning are adjacent to the subject property: North (Across Durston Road): Residential; Zoned: R-1 (Residential Single-Household Low Density District) South: Residential; Zoned R-1 and R-2 (Residential Two-Household Medium Density District) East: Residential and School; Zoned R-4 (Residential High Density District) West: Residential and vacant: Unannexed County Land – Designated “Residential” on the City of Bozeman Future Land Use Map Adopted Growth Policy Designation The subject property is recognized as “Residential” on Figure 3-1 (Future Land Use Map) of the Bozeman Community Plan. The Residential land use designation of the Bozeman Community Plan indicates that: “This category designates places where the primary activity is urban density dwellings. Other uses which complement residences are also acceptable such as parks, low intensity home based occupations, fire stations, churches, and schools. High density residential areas should be established in close 40 #A-11001 Christenot Annexation Staff Report 5 proximity to commercial centers to facilitate the provision of services and employment opportunities to persons without requiring the use of an automobile. Implementation of this category by residential zoning should provide for and coordinate intensive residential uses in proximity to commercial centers. The residential designation indicates that it is expected that development will occur within municipal boundaries, which may require annexation prior to development. The dwelling unit density expected within this classification varies between 6 and 32 dwellings per net acre. A higher density may be considered in some locations and circumstances. A variety of housing types can be blended to achieve the desired density. Large areas of single type housing are discouraged. In limited instances the strong presence of constraints and natural features such as floodplains may cause an area to be designated for development at a lower density than normally expected within this category. All residential housing should be arranged with consideration of compatibility with adjacent development, natural constraints such as watercourses or steep slopes, and in a fashion which advances the overall goals of the Bozeman growth policy. The residential designation is intended to provide the primary locations for additional housing within the planning area.” Agency Review The Planning Department requested written summary-review comments from the Bozeman Development Review Committee (DRC) and other applicable review agencies regarding the request for annexation. Comments received as of the writing of this Staff Report have been outlined within this report according to the goals and policies of City Commission Resolution No. 3907. Additional comments and/or recommendations received prior to consideration of this request for annexation will be forwarded to the Commission as received. Public Comment As of the writing of this staff report, the Department of Planning and Community Development has not received any written public testimony specific to the annexation. (Public comment has been received regarding the zoning of the subject property and is addressed under that agenda item and those packet materials). Any written comments received by the Planning Office specific to the annexation will be forwarded to the City Commission prior to or during the public hearing. Review Criteria & Findings Resolution No. 3907 Goals Goal 1: It shall be the goal of the City of Bozeman to encourage annexations of land contiguous to the City. The property in question is contiguous to the City limits on the north, south and east boundaries. Goal 2: The City shall seek to annex all areas that are totally surrounded by the City, without regard to parcel size. The subject property, (and some additional un-annexed neighboring properties), are completely surrounded by the exterior boundaries of the City. Goal 3: The City shall seek to annex all property currently contracting with the City for services such as water, sanitary sewer and/or fire protection. The subject property is not currently contracting with the City for any services. 41 #A-11001 Christenot Annexation Staff Report 6 Goal 4: It shall be the goal of the City of Bozeman to require annexation of all land proposed for development lying within the service boundary of the existing sewer system as depicted in the Bozeman Growth Policy, and to encourage annexations within the urban growth area identified in the Bozeman Growth Policy. The subject property lies within the 20-year sewer service boundary as depicted in the adopted 2007 Bozeman Wastewater Facilities Plan. The subject property also lies within the Bozeman Community Plan planning boundary and the “Capital Facilities Overlay District.” The “Capital Facilities Overlay District” is intended to establish a priority area for development within the larger scope of the Bozeman Community Plan. It designates an area within the long-range growth area of the City where services would be most efficiently provided in the near term and where development in the near term would advance the goals of the Community Plan. Resolution No. 3907 Policies Policy 1: Annexations shall include dedication of all easements, rights-of-way for collector and arterial streets, water rights, and waivers of right-to-protest against the creation of improvement districts necessary to provide the essential services for future development of the city. The Recommended Terms of Annexation include requirements for waivers of right-to-protest against the creation of improvement districts for park maintenance, street and stormwater improvements (Recommended Terms of Annexation #8 & #11). The annexation agreement would also require the dedication of street and utility easements for W. Villard Street through the subject property (Recommended Term of Annexation #12). Water rights and the applicant’s requested variance are discussed under Policy Item No. 5 later in this report. Regarding the applicants request to defer the payment to the Durston Road payback district for Special Improvement District No. 684 until occupancy of new construction, at the policy discussion on November 7, the Commission directed staff to proceed with bringing back resolutions to amend the Durston Road (and West Babcock) payback districts to create a “homestead exemption”, (where only a single family equivalent payment would be paid at time of annexation), with the remaining payback on the remaining undeveloped portion of the property being assessed at the time of future development or subdivision of the land. Therefore, staff has included Recommended Term of Annexation #1 to reflect this policy direction. Policy 2: Issues pertaining to master planning and zoning shall be addressed in conjunction with the application for annexation. a. The initial application for annexation shall be in conformance with the current Bozeman Growth Policy. If a Growth Policy Amendment is necessary to accommodate anticipated uses, said amendment process may be initiated by the applicant and conducted concurrently with the processing for annexation. The property is designated “Residential” within the Bozeman Community Plan. This annexation, and the applicant’s proposed R-4 zoning (#Z-11001), would be in compliance with this designation. b. Initial zoning classifications of the property to be annexed shall be determined by the City 42 #A-11001 Christenot Annexation Staff Report 7 Commission, in compliance with the Bozeman Growth Policy and upon a recommendation of the City Zoning Commission, prior to final annexation approval. The applicant has applied for a Zone Map Amendment (#Z-11170) to establish an initial municipal zoning designation of R-4 (Residential High Density District) on the 6.663 acres. The Zoning Commission held a public hearing on the Zone Map Amendment application on August 16, 2011, and voted 4-0 against a recommendation of the proposed R-4 zoning. (The zone map amendment and the Zoning Commission’s recommendation are addressed under that respective action item and packet materials). c. The applicant may indicate his or her preferred zoning classification as part of the annexation application. The applicant/owner has indicated that they prefer a zoning designation of R-4 (Residential High Density District) and that item is addressed under that respective agenda item and packet materials. Policy 3: Fees for Annexation procedures shall be established by the City Commission. No fee will be charged for any City-initiated annexation. The appropriate application processing and review fees accompanied the application. Policy 4: It shall be the general policy of the City that annexations will not be approved where unpaved county roads will be the most commonly used route to gain access to the property. The property proposed for annexation fronts on Durston Road which is paved and designated as an arterial roadway in the Greater Bozeman Area Transportation Plan. West Villard Street (to the east) and Meriwether Avenue (to the south) are paved local streets that have been stubbed to the property’s boundaries to allow for connection to this property. The Annexation Agreement will include notice that, prior to future development, the applicant will be responsible for installing any facilities required to provide full municipal services to the property in accordance with the City of Bozeman’s facility plans and all City policies that may be in effect at the time of development. Policy 5: Prior to annexation of property, it shall be the policy of the City of Bozeman to acquire usable water rights, or an appropriate fee in lieu thereof, equal to the average annual diversion requirement necessary to provide the anticipated average annual consumption of water by residents and/or users of the property when fully developed on the basis of the zoning designation(s). The fee may be used to acquire water rights or for improvements to the water system which would create additional water supply capacity. This policy may be subject to the following exceptions: a. For any annexation in excess of ten acres, it shall be carried out prior to final plat approval, final site plan approval or the issuance of any building permits, whichever occurs first, provided that the applicant executes a promissory note or other appropriate document acceptable to the City. This policy item has now been codified under Section 38.23.180 of the BMC. This section states: A. 43 #A-11001 Christenot Annexation Staff Report 8 Prior to a final approval of all development reviewed as a site plan, conditional use permit, planned unit development, or subdivision and prior to an annexation of any land, 1. one of the following must occur: Payment shall be made to the city of a payment-in-lieu of water rights calculated based on the annual demand for volume of water the development will require multiplied by the most current annual unit price; or 2. A transfer to the city of ownership of water rights adequate to provide the volume of water the development will require. A transfer of ownership of water rights must be in a manner approved by the director of public services. B. If adequate water rights or a payment-in-lieu was previously provided to the city for the subject property, evidence of those rights or payment-in-lieu may be offered to demonstrate compliance with this section. If the expected demand for water by the proposed development increases by more than one acre-foot over that for which water rights or payment-in-lieu of water rights were previously provided, additional water rights or payment-in-lieu of water rights equal to the difference between the previously provided water rights or payment-in-lieu and the estimated current demand or payment-in-lieu price shall be provided. C. Provision of water rights or payment-in-lieu may be deferred by phase for phased developments or for annexations when the phase or annexation is in excess of ten acres. D. The city manager may adopt administrative procedures to implement this section. The director of public services shall adopt standards for the calculation of demand for water use. The city commission shall establish the unit cost for payment-in-lieu by resolution. E. The amount paid for a payment-in-lieu shall be calculated using the per unit price in effect on the date the payment-in-lieu of water rights is to be made to the city. The applicant, in their attached letter of October 25, 2011, requested a variance to this section of the code to “defer payment of the fee-in-lieu of water rights for the proposed Annexation…until such time as an application for development of the property is submitted to the City and approved.” The Department of Public Services reviewed the applicant’s variance request to this code standard as required under the variance review criteria of Section 38.35.060.C of the BMC: Staff recommends a partial variance be granted on the request to defer cash in lieu of water rights until the time of development. We recommend that payment be required for the existing single- family residence at the time that residence connects to city water and the remainder be deferred until the time of development. (This recommendation is reflected in Recommended Term of Annexation #6). 44 #A-11001 Christenot Annexation Staff Report 9 1. The Variance will not be contrary to and will serve the public interest. The purpose of the annexation is to prepare the property for sale for future development. At the time of future development of the property, the existing single-family residence will very likely need to be removed to accommodate future development. The existing house has been served by an on-site groundwater well since the time it was constructed. As long as the existing well is operable and safe, and the structure continues to only be used as a single-family residence, the continued use of the well is acceptable. While connection to municipal services is typically required, Section 40.02.350 BMC, provides that the Director of Public Service may temporarily waive the connection if the rule introduces unusual difficulty. While connection of the existing structure to municipal services would be relatively easy because the service was stubbed from the water main to the property line when Durston Road was reconstructed, that service would have to be abandoned at the water main when the house is removed to accommodate future development. The Director of Public Services has found this to be an unusual difficulty and has granted a temporary waiver to the connection. Until the time the existing structure connects to the municipal system, there is no need for water rights to serve the annexed property. 2(a)(b) The Variance is necessary, owing to conditions unique to the property, to avoid an unnecessary hardship which would unavoidably result from the enforcement of the literal meaning of this title. Due to the odd shape of the property and access constraints, the future density of the property cannot be determined with any certainty. Therefore, staff feels it is reasonable to defer payment until development occurs and the density is determined and/or until the existing structure connects to municipal water. 3. The Variance will observe the spirit of the title, including the growth policy, and do substantial justice. Partial granting of the variance will encourage annexation of the property. Policy 6: Infrastructure and emergency services for an area proposed for annexation will be reviewed for the health, safety and welfare of the public. If it is found that adequate services cannot be provided to ensure public health, safety and welfare, it shall be the general policy of the City to require the applicant to provide a written plan for accommodations of these services, or not approve the annexation. Additionally, annexation proposals that would use up infrastructure capacity already reserved for properties lying either within undeveloped portions of the City limits or lying outside the City limits but within the identified sewer or water service area boundaries, shall generally not apply. Full City infrastructure and emergency services are immediately available to the subject property. The Annexation Agreement should contain provisions that discuss the developer’s responsibility for extending the necessary services (water, sewer, streets, storm water facilities, etc.) to/into the site under consideration. The purpose of the annexation is to prepare the property for sale for future development. At the time of future development of the property, the existing single-family residence will very likely need to be removed to accommodate future development. The existing house has been served by an on- site sewer system and groundwater well since the time it was constructed. As long as the existing on- site sewer system and groundwater well are operable and safe, and the structure continues to only be used as a single-family residence, the continued use of these systems is acceptable. While connection to municipal services is typically required, Sections 40.02.350 and 40.03.330, BMC, provides that the 45 #A-11001 Christenot Annexation Staff Report 10 Director of Public Services may temporarily waive the connection to the municipal water and sewer system if the rule introduces unusual difficulty. While connection of the existing structure to municipal services would be relatively easy because the services were stubbed from the water and sewer mains to the property line when Durston Road was reconstructed, these service would likely have to be abandoned at the mains when the house is removed to accommodate future development. The Director of Public Services has found this to be an unusual difficulty, and has granted a temporary waiver to these connections, subject to the following conditions: A. The existing single-family home may continue to utilize the on-site sewer system until: a) the existing fails; b) the existing single-family home is converted to any use other than a single- family home; c) the existing single-family home is removed or destroyed, by whatever means, beyond 50 percent of the market value, or d) other habitable development occurs anywhere on the annexed parcel. If the existing on-site sewer system fails, the existing single-family home must connect to the public sanitary sewer main. A replacement on-site sanitary sewer system cannot be utilized. (Recommended Term of Annexation #2) B. At the time the existing on-site sewer system is disconnected, the on-site system must be properly vacated and removed, which at a minimum entails the septic tank to be pumped and filled in with gravel/dirt, or the tank totally removed, as required by the Gallatin County Health Department. (Recommended Term of Annexation #3) C. The existing single-family home may continue to utilize the on-site groundwater well for domestic use until: a) the existing well fails to the point it needs to be drilled deeper or replaced; b) the existing single-family home is converted to any use other than a single-family home; c) the existing single-family home is removed or destroyed, by whatever means, beyond 50 percent of the market value, or d) other habitable development occurs anywhere on the annexed parcel. (Recommended Term of Annexation #4) The applicants should be made aware that at the time of any further development on the property, the land owners and their successors shall pay all additional impact fees. At such time that any site plan or further development proposal is considered by the City, the extension of services will be determined in detail based upon the type of development being reviewed by the advisory and decision-making bodies. The DRC considered the annexation request and did not identify any significant impacts to the City’s sanitary sewer and water municipal facilities, or transportation system that could not be addressed or fulfilled by the applicant during any subsequent review for further development of the property The applicants should be made aware that at the time of any further development on the property, the land owners and their successors shall pay all additional impact fees. At such time that any site plan or further development proposal is considered by the City, the extension of services will be determined in detail based upon the type of development being reviewed by the advisory and decision-making bodies. The DRC considered the annexation request and did not identify any significant impacts to the City’s sanitary sewer and water municipal facilities, or transportation system that could not be addressed or fulfilled by the applicant during any subsequent review for further development of the property. Policy 7: It shall be the general policy of the City of Bozeman to require annexation of any contiguous property for which city services are requested or for which city services are currently being contracted. No City services are currently being contracted. With further development of the property, municipal 46 #A-11001 Christenot Annexation Staff Report 11 infrastructure will be extended into the site. Policy 8: The annexation application shall be accompanied by mapping to meet the requirements of the Director of Public Service. Mapping to meet the requirements of the Director of Public Service must be provided with the Annexation Agreement. Typically, this includes an 18-inch x 24-inch mylar map, a reduced 8½-inch by 11 or 14-inch annexation map exhibit, and a digital copy containing the metes and bounds legal description of said property. (Mapping requirements are addressed in Recommended Term of Annexation # 9). Policy 9: It shall be the policy of the City of Bozeman to assess a system development/impact fee in accordance with Chpt. 2, Art. 6, Div. 9 Bozeman Municipal Code (Impact Fees), and in accordance with the Bozeman Growth Policy and other policies as they are developed. As previously noted, the applicant has requested to eliminate the requirement for connecting the existing home to sewer and water and to eliminate the levying of all impact fees for the existing dwelling. The Director of Public Services granted the request to delay connection of the existing home to municipal services. As such, Sewer and Water Impact Fees do not have to be paid until the time an application is made to connect to these services (Recommended Terms of Annexation #5B & 5C). The payment of fire impact fees for the existing home will be required upon annexation per Chpt. 2, Art. 6, Div. 9 BMC as this new demand/service is being supplied by the City upon annexation. (Recommended Term of Annexation #5.A) A street impact fee would not have to be paid unless or until there is some new construction or further development on the property that would trigger a building permit. At the time of any further development on the property, the land owner or their successors shall pay all additional impact fees required by Chpt. 2, Art. 6, Div. 9 BMC. Policy 10: Public notice requirements shall be in compliance with Montana Code Annotated. In addition, notice shall be posted in at least one conspicuous location on the site in question, and mailed to all owners of real property of record within 200 feet of the site in question using the last declared county real estate tax records, not more than 45 days nor less than 15 days prior to the scheduled action to approve or deny the annexation by the City Commission, specifying the date, time and place the annexation will be considered by the City Commission. The notice shall contain the materials specified by Section 38.40.020.A, BMC. In addition, where a commonly identifiable street address is not visible on the property to be annexed, the notice shall provide a map of the area in question so as to indicate its general location and proximity to surrounding properties. Notices of the public hearing have been sent and posted on the site in several locations as set forth under this policy. Staff also recently re-noticed this application in compliance with this section due to the time that had elapsed since the original public hearing on this item in August. Policy 11: Annexation agreements shall be executed and returned to the City within 60 days of distribution of the annexation agreement, unless another time period is specifically identified by the City Commission. At the August public hearing, the applicant requested the Annexation Agreement be executed within six months of the City Commission’s approval to annex the property. If the Commission agrees to this 47 #A-11001 Christenot Annexation Staff Report 12 request, this policy item is specified in Recommended Term of Annexation #10. Policy 12: When possible, the use of Part 46 annexations is preferred. This annexation is being processed under Part 46 provisions. Summary and Conclusion Staff, the DRC and other local review agencies have reviewed the request for annexation and have provided the above comments as they relate to the Goals and Policies set forth in Commission Resolution No. 3907. Should the City Commission choose to proceed with the request for annexation, staff recommends that the terms of annexation listed in this Staff Report be addressed prior to acknowledging the Annexation Agreement and formal annexation of said property. Attachments: Applicant’s Submittal Materials, August 29, 2011 Commission Minutes Report Sent to: Paul Christenot, Executor for Orville Christenot RLT, 2400 Durston Road #68, Bozeman, MT 59718 Madison Engineering, 895 Technology Blvd., Suite 203, Bozeman, MT 59718 48 49 50 51 52 53 54 55 56 57 58 59