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HomeMy WebLinkAboutItem 18 Glenwood Priority Discussion AGENDA ITEM SUMMARY Meeting Date: 7/21/2014 Meeting Type: Regular Meeting Staff Contact/Dept.: Jeff Towery, Assistant City Manager Staff Phone No: 541-726-3627 Estimated Time: 30 Minutes S P R I N G F I E L D C I T Y C O U N C I L Council Goals: Encourage Economic Development and Revitalization through Community Partnerships ITEM TITLE: GLENWOOD PRIORITY DISCUSSION ACTION REQUESTED: Review and discuss the summarized projects, indicating which Council might desire further detail on in order to make future decisions related to priorities and resources. ISSUE STATEMENT: On May 27th, staff presented to Council key areas for future project investments which might stimulate development at a greater pace in Glenwood. During that meeting, Council directed staff to provide further detailed information on several specific projects. This information is provided here as a tool to better assist Council decision making related to priority projects and resource allocation. ATTACHMENTS: 1 – Glenwood Priority Project Council Briefing Memorandum 2 – Project Area Map 3 – Project and Resource Summary Table DISCUSSION/ FINANCIAL IMPACT: During their May 27th Work Session, Staff presented Council with a list of possible projects to be pursued which might further stimulate the redevelopment of Glenwood, specifically the Phase I Riverfront Area. During this presentation, Council identified several key projects to be further reviewed as potential priority areas for the City to focus resources. These projects included the development of the Riverfront Linear Park and Path, the establishment of the greenway setback line, implementation of a Vertical Housing Zone, and the update of city specifications and design guidelines. This is discussed in greater detail as part of Attachment 1. Additionally, to aid in this conversation, Attachment 2 is included to illustrate the impact areas of the proposed projects. Attachment 3 provides a comparison table overview of the projects discussed in the Glenwood Priority Project Council Briefing Memo (Attachment 1). M E M O R A N D U M City of Springfield 7/17/2014Page 1 Attachment 1, Page 1 of 6 M E M O R A N D U M City of Springfield Date: 7/21/2014 To: Gino Grimaldi COUNCIL From: Jeff Towery, Assistant City Manager BRIEFING Subject: Glenwood Priority Discussion MEMORANDUM ISSUE: On May 27th, staff presented to Council key areas for future project investments which might stimulate development at a greater pace in Glenwood. During that meeting, Council directed staff to provide further detailed information on several specific projects. This information is provided here as a tool to better assist Council decision making related to priority projects and resource allocation. COUNCIL GOALS/ MANDATE: Encourage Economic Development and Revitalization through Community Partnerships BACKGROUND: During their May 27th Work Session, Staff presented Council with a list of possible projects to be pursued which might further stimulate the redevelopment of Glenwood, specifically the Phase I Riverfront Area. During this presentation, Council identified several key projects to be further reviewed as potential priority areas for the City to focus resources. These projects included the development of the Riverfront Linear Park and Path, the establishment of the greenway setback line, implementation of a Vertical Housing Zone, and the update of city specifications and design guidelines. In response to Council’s expressed interest on the above listed projects, further detail including staff recommendations and required resources and anticipated impacts are discussed below. The staff recommendations included in the each project description are actions recommended pending Council’s selection of the particular project as a priority. Discussions related to required resources and anticipated impacts reflect the needs and impacts for implementing the project, not those required for policy discussions as to whether the project should or should not be pursued. Time and ‘full time equivalency’ (FTE) are estimated broadly to capture a sense of project scale and reflect combined totals of the many staff each project impacts. It is staff’s intent to further refine these numbers, providing more detailed scoping, based on Council’s indication of project preferences. Riverfront Linear Park and Path Acquisition Strategy, Design and Development Strategy-  What: The Linear Riverfront Park and Path was established through the Glenwood Refinement Plan Update. The open space serves multiple purposes including, among other things, water quality/stormwater management, habitat and riparian protection, public recreation, and pedestrian and bike transportation through the development of a bike/ped path.  Why Pursue: The development of open space in Glenwood serves as a distinctive feature to redevelopment. The City’s leadership role in acquisition, design, and development of the Riverfront Linear Park and Path would help private development as the built open space not only sets firm anchors for future development to develop around but it lessens the burden to private development to handle acquisition, design, and construction. Specifically in the case of the Riverfront Linear Park, acquisition and development also ensures a connected linear riverfront multi-use path. The development and construction of the path not only removes the burden of path construction from the individual private developer, but it creates an existing amenity to assist in attracting development to the Riverfront area. If the City does not assume a leadership MEMORANDUM 7/17/2014 Page 2 Attachment 1, Page 2 of 6 role in acquisition and development of the Riverfront Linear Park, in partnership with Willamalane, the park would develop as private property owners along the river develop their properties. This would mean the path would be built in segments, not necessarily contiguous to other constructed segments, and over an unknown timeline.  Staff Recommendation: The acquisition strategy, design and development strategy of the Riverfront Linear Park and Path is extremely complex and involves a significant number of sub-projects to be coordinated, including the establishment of the greenway setback line. This project will require a significant amount of time, funds and partners. Staff recommends working with a consultant to over the next several months to begin the process of scoping out the project in detail, developing a reasonable timeline for implementation, strategies for coordinating the public process, property acquisition, annexation, and design as well as the navigation of the NEPA process. The development of a detailed scope and critical path will create generate clarity on the most effective next steps for the project. Due to the importance of funding and design partnership with Willamalane on this project, generating clarity of project scale and priority is imperative to successful coordination of both entities.  How: The development of the Riverfront Linear Path includes extensive amounts of funding, negotiation, partnership, coordination, and design. Staff would work with a consultant to outline the broad complexities of what is needed, seeking the development of a detailed project scope for the coordination of this project.  Resources & Impacts: Due to the complexity of this project, activities are broken up here into an initial phase, consisting of planning, public outreach and some acquisition and a second phase consisting of design, completed acquisition, secured funding, and construction. Staff anticipates the development of the Linear Riverfront Park and Path to require approximately 2-4 years and 2.5 FTE during the initial phase and another 5+ years to secure funding and complete acquisition and construction. The impacts of completing this project will affect staff throughout DPW including Planning, Engineering, Survey, and GIS. City Manager’s Office staff will be significantly impacted with the negotiations and partnerships with affected property owners. These numbers and impacts do not include those impacts to Willamalane staff which are also estimated to be significant. This project will require extensive consultant services for management of process and design and construction as well as involvement from the City Attorney’s Office. This project will also require a significant partnership from Willamalane in the coordination of design and construction. This project would require the establishment of the greenway setback line. This priority project would require the largest financial burden to the City and Urban Renewal Agency of those projects proposed in this memo. o To begin working on this project, other areas of focus within the City would require backfill or project delay. These focus areas and numbers are estimates and will require further refinement.  Due to the complexity and extensive timelines for completion of this project, this work would not likely shift current workloads as tasks would be built into future work-plans. Future workloads and tasks would be impacted in areas like management of the Historic Commission, Bike/Pedestrian Committee, and plan review. These impacts will depend on the staff member(s) assigned to the project.  Strategic Financing: Rough estimates for the design and construction of the Riverfront Linear Path from the I-5 Bridge to Downtown Springfield bridges are approximately $2.5 Million and extending from the Downtown Springfield bridges south along the McVay Hwy riverfront another $2.9 Million. Willamalane has established the path as a high priority project with possible bond MEMORANDUM 7/17/2014 Page 3 Attachment 1, Page 3 of 6 funds available to expedite construction assuming the Council’s equal prioritization of the project. Because Willamalane’s funds are time-sensitive, the longer the City takes to determine priority on this project, the less opportunity Willamalane will have to dedicate bond funds. These cost estimates do not include costs associated with property acquisition and planning fees. Greenway Setback Establishment –  What: Statewide Planning Goal 15 strives to “protect, conserve and maintain the natural, scenic, historical, agricultural, economic and recreational qualities of lands along the Willamette River as the Willamette River Greenway.” It requires the inventory of, among other items, fish and wildlife habitat for the purpose of determining which lands are suitable or necessary for inclusion into a greenway setback line. Within this line, only water-related or water-dependent uses may be permitted.  Why Pursue: All properties developed in the Glenwood area along the Willamette River will be required to establish their greenway setback line, typically at their own cost. Within this line, only water- related or water dependent uses will be permitted. For a developer, understanding where this line is to be established is not only required, but pivotal in their decision making process for how they might develop their parcel.  Staff Recommendation: Staff recommends establishing a greenway setback line for the entire Glenwood Riverfront area in advance of development.  How: Staff would notify impacted property owners, seeking permission to access the property for the purpose of conducting the required surveys. This work would be completed at no cost to the property owner. The establishment of a greenway setback line is processed through a typical Type III land use application process and would require decision by the Springfield Planning Commission in incorporated areas and a Hearings Official in the unincorporated areas.  Resources & Impacts: Staff anticipates the establishment of a greenway setback line to require approximately 9 months and 0.5-0.75FTE. The impacts of completing this project will affect staff throughout the organization including Planning, Survey, GIS, and possibly Police for access and safety issues. City staff has limited experience preparing land-use applications of this nature so it may benefit the project and staff to contract some portion of the work to a consultant to assist in the preparation of the application on behalf of the City. In addition to staff and consultant costs, the land use application process carries a cost estimated at approximately $10k. This work could be completed concurrently with other Glenwood projects and is a predecessor to any ability to develop the linear Riverfront Park which is impacted by the greenway setback line. o To begin working on this project, other areas of focus within the City might require backfill or project delay depending on the staff assigned. Project and task areas like current development review, Metro Plan amendments, and the 2030 Plan. These focus areas and numbers are estimates and will require further refinement.  2030 Comprehensive Plan requires 1.1 FTE to complete Needed to complete setback work: 0.25 FTE of 1.1 FTE  Current Development Review requires 4.75 FTE to manage Needed to complete setback work: 0.75 FTE of 4.75 FTE Vertical Housing Zone (VHZ) –  What: A VHZ is intended to incentivize, through subsidies, mixed-use projects consisting of ground- MEMORANDUM 7/17/2014 Page 4 Attachment 1, Page 4 of 6 floor commercial with one or more upper floors of residential housing. This type of development is already required for new development in the much of the Riverfront area in Glenwood. Once established, a VHZ offers a 10 year property tax exemption on the new structure, or incremental change in the property value of the building that comprises the project. An eligible and approved project is granted a tax exemption of 20% for each floor of housing that is incorporated above ground floor commercial, with a maximum tax exemption of 80% for any single project. It should be noted that a VHZ is a form of tax abatement which would remove some portion of the private development’s tax increment from the Glenwood Urban Renewal District, a tax increment funding district.  Why Pursue: A VHZ can become a tool for the City to both incentivize the required mixed-use project as outlined in the Glenwood Refinement Plan and shift funding priority away from System Development Charge (SDC) payments being made by the Urban Renewal Agency opposed to the developer. The City might still offer both the SDC payments and the VHZ tax exemption but stipulate that the developer may only use one.  Staff Recommendation: Staff recommends performing a detailed cost/benefit assessment of designating the Subarea A of the Glenwood Riverfront Area, which is the Residential Mixed-Use Zone (RMU), for the VHZ. Subarea A was identified by Council during the drafting and adoption of the Phase I Glenwood Refinement Plan Update as the focus area for housing development. Because a VHZ removes tax increment from the district, the cost of lost increment to the Urban Renewal District may or may not outweigh the benefit of the new development. Based on this assessment, staff might only recommend the use of a VHZ for a limited window of time or number of developments.  How: VHZs are established at the request of the local jurisdiction and under the authority and approval of Oregon Housing and Community Services (OHCS). As Glenwood has a significant amount of unincorporated property, both Springfield and Lane County would be required to pass resolutions authorizing this request to OHCS, assuming both entities are satisfied that the impacts of a VHZ are favorable to the area. The State is currently scheduled to ‘sunset’ the ability for jurisdictions to apply for VHZs in 2015. It is unknown whether the State intents to take action to extend the program past 2015.  Resources & Impacts: The staff proposed recommendation is to analyze the cost/benefits of a VHZ establishment in the Glenwood Riverfront area. This analysis could likely be completed within 3 months with little impact to current staff workloads. Due to the complexity around coordination of multiple taxing entities in Glenwood, staff anticipates the actual establishment of a VHZ to require approximately 9-12 months and 0.85FTE. If the Council decides to pursue a VHZ analysis to support the implementation of such a taxing incentive, a reasonable goal for the establishment of the VHZ would be July 1, 2015. The impacts of completing this project will affect Planning staff with some impacts to City Manager’s Office staff for coordination of Council priorities with County priorities. This work would not require consultant services and could be completed concurrently with other Glenwood projects. o To begin working on this project, other areas of focus within the City would require backfill or project delay. These focus areas and numbers are estimates and will require further refinement.  Community Development Block Grant Administration requires 1 FTE. Of this 1 FTE, approximately 0.5 FTE would be reassigned to the vertical housing project.  Downtown Design Plan requires 1.1 FTE to complete. Of this 1.1 FTE, 0.25 FTE would be reassigned to the vertical housing project. MEMORANDUM 7/17/2014 Page 5 Attachment 1, Page 5 of 6  Development Code Update requires 0.3 FTE. Of this 0.3 FTE, 0.1 FTE would be reassigned to the vertical housing project. Update of City Specifications and Design Guidelines –  What: The City of Springfield utilizes multiple documents to standardize how construction of facilities is completed, how they should function and what they should look like. Examples of these documents include the Springfield Development Code (SDC), the Minimum Development Standards (MDS), Standard Construction Specifications, and the Engineering Design Standards and Procedures Manual (EDSPM). Ideally, these documents should all align with each other and with the adopted refinement plan language in Glenwood. This alignment creates a seamless message and process for the development community and City staff.  Why Pursue: At this time, review and changes are needed to align all development specification documents. Specifically, the Standard Constructions Specifications are significantly dated and in need of updates, independent of impact of Glenwood development. The EDSPM document needs additional provisions to support Glenwood riverfront development. These documents do not currently provide the flexibility to support or encourage some of the desired built environment features suggested in the Glenwood Refinement Plan like curb-less streets, roundabout configurations, and pervious pavement maintenance.  Staff Recommendation: Staff recommends the comprehensive review of City standardized construction documents with an initial priority on creating alignment with desired development as outlined in the Glenwood Refinement Plan.  How: City guidelines and development codes are approved and adopted by Council. The update of these documents and manuals would require Council action.  Resources & Impacts: Due to the complexity of reviewing multiple documents and alignment of development standards and land use requirements, staff anticipates the update of city specifications and design guidelines to require approximately 12 months and 1.0 FTE. The impacts of completing this project will affect staff throughout DPW. While this work would not require consultant services, it might benefit from the use of consultant time to carry some of the load related to document review. This work could be completed concurrently with other Glenwood projects. o To begin working on this project, other areas of focus within the City might require backfill or project delay depending on the staff assigned. Project and task areas like Downtown Design Plan Update, Capital Improvements, ADA Compliance planning, Emergency Management and Floodplain Mapping. These focus areas and numbers are estimates and will require further refinement. b  Downtown Design Plan requires 1.1 FTE to complete. Of this 1.1 FTE, 0.2 FTE would be reassigned to the update of specifications and guidelines.  If Council determines to begin this project now, current Capital Improvement. Projects might experience delay. This is not necessarily work which could be backfilled in time to avoid delay. That said, staff is already planning to begin this work at the end of this calendar year, after the close of the construction season, avoiding construction delay or need for backfilled FTE. Summary Each of the projects discussed in this memo carry impacts to City resources, both staff time and financial, and projects and priorities elsewhere in the City. Specific areas of impact to other City priority projects include, but are not limited to, the 2030 Comprehensive Plan Update, the development MEMORANDUM 7/17/2014 Page 6 Attachment 1, Page 6 of 6 of Downtown Design Standards, administration of the Community Development Block Grant (CDBG) Program and the delivery of multiple currently budgeted capital improvement projects (CIP). These impacts are acknowledged as a way to continue managing existing resources and workloads in relationship to current and future priority projects. Of the projects listed in this memo, at this time Staff recommends pursuing two projects now; the Vertical Housing Zone assessment and, based on the outcome of the assessment, application as this incentive program expires at the state level at the end of 2015, and the Linear Riverfront Park and Path project. The primary factors for moving forward now with the Linear Riverfront Park and Path include the multiple sub-projects requiring coordination and the extensive timeline to reach and complete construction. The remaining projects would be delivered in tandem with the Linear Park and Path project, as resources allow. Based on Council direction, staff will spend the next several months detailing timelines, costs, and resource needs for the desired projects and report this information back to Council after their summer recess. RECOMMENDED ACTION: Review and discuss the summarized projects, indicating which Council might desire further detail on in order to make future decisions related to priorities and resources. Pr o p o s e d  Gl e n w o o d    Pr i o r i t y  Pr o j e c t  Lo c a Ɵon s      Ve r Ɵca l  Ho u s i n g  Zo n e     Gr e e n w a y  Se t b a c k  Li n e     Li n e a r  Pa r k  an d  Pa r k  Bl o c k  De v e l o p m e n t   AT T A C H M E N T  2  ATTACHMENT 3 POTENTIAL FUTURE GLENWOOD PROJECTS – Comparison Table During the May 27th, 2014 Work Session, Staff presented Council with a list of possible projects to be pursued which might further stimulate the redevelopment of Glenwood, specifically the Phase I Riverfront Area. During this presentation, Council identified several key projects to be further reviewed as potential priority areas for the City to focus resources. These projects include the implementation of a Vertical Housing Zone, the establishment of the greenway setback line, development of the Riverfront Linear Park and Path, and the update of city specifications and design guidelines. Summarized here are rough estimates of impacts and resources anticipated for each project. ‘Time to Complete’ and ‘Staff Impact[s]’ reflects the needs and impacts for implementing the project, not those required for policy discussions as to whether the project should or should not be pursued. Time and ‘full time equivalency’ (FTE) are estimated broadly to capture a sense of project scale and reflect combined totals of the many staff each project impacts. It is staff’s intent to further refine these numbers, providing more detailed scoping, based on Council’s indication of project preferences. PROJECT TIME TO COMPLETE STAFF IMPACT CONSULTANT SERVICES PREDECESSORS PARTNER AGENCIES AREAS OF IMPACT TO OTHER CITY PRIORITY PROJECTS Riverfront Linear Park and Path Phase I 2-4 years Phase II 5+ years Phase I 2½ FTE Phase II unknown Yes – Project planning and approach Yes – Greenway Setback Line Willamalane Property Owners Due to the complexity and extensive timeline, this project would not likely shift current workloads as tasks would be built into future work-plans. Future workloads and task impacts might include management of the Historic Commission, CDBG Programs, Bike/Ped Committee, and plan review Greenway Setback Line 9 Months .5-.75 FTE Possibly – Land- use application No Property Owners Lane County • 2030 Comprehensive Plan Update • GIS Resources – Staffing • Metro Plan Amendments • Current Plan Review Vertical Housing Zone 9-12 Months .25 FTE No No Lane County • Downtown Design Standards • CDBG Administration • Development Code Updates City Specifications and Design Guideline Update 12 Months 1 FTE Possibly – Document review No • Delayed Delivery of Current Budgeted CIPs • Downtown Design Standards • Floodplain Mapping • Emergency Management