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HomeMy WebLinkAbout02/13/2017 Work Session City of Springfield Work Session Meeting MINUTES OF THE WORK SESSION MEETING OF THE SPRINGFIELD CITY COUNCIL HELD MONDAY FEBRUARY 13,2017 The City of Springfield Council met in a work session in the Library Meeting Room,225 Fifth Street, Springfield, Oregon, on Monday February 13,2017 at 5:30 p.m.,with Mayor Lundberg presiding. ATTENDANCE Present were Mayor Lundberg and Councilors VanGordon, Wylie,Moore, Stoehr,Woodrow and Pishioneri.Also present were City Manager Gino Grimaldi,City Attorney Mary Bridget Smith,City Recorder Amy Sowa and members of the staff. 1. Library Advisory Board: Application Review. Rob Everett,Library Director,presented the staff report on this item. The Library Advisory Board currently has one vacant position due to the expiration of board member, Kristine Fuller's term on December 31, 2016. Fuller had completed the unexpired term of board member Gary Ross and is now eligible to apply for a full,four-year term on the board. On December 31,2016 the Library Advisory Board seat held by Kristine Fuller expired. This was a partial term filled in September 2015 to complete Gary Ross's tenure on the board. We posted the opening on December 30th and at closing on January 13th there was only one application submitted. Kristine Fuller applied for a full, four-year term on the board. At its November meeting the board had determined that they would interview candidates if more than Fuller applied but that if she were the only person to apply they would forego interviewing her due to her exemplary work on the board. In fact,they would welcome her back. The Board is forwarding its recommendation and request that Fuller be appointed. She meets all eligibility requirements and has been an active and positive member of the Board. Her term would expire December 31, 2020. Council agreed to appoint Ms.Fuller to the Library Board at the February 21,2017 regular meeting. Mr. Everett also thanked the Council for their support at the recent Books and Brews fundraising event. The Library Foundation raised$26,000 which was the highest amount ever raised. 2. Review and Discuss Final Report and Recommendations from the Development Advisory Committee. Jim Donovan,Planning Supervisor, introduced DAC members Renee Clough,Rick Satre and Ed McMahon.He referred to the Council Briefing Memorandum which included the DAC's recommendations. Some of the recommendations have already been implemented and others will be implemented in future projects. Mayor Lundberg took a moment to acknowledge Cub Scout Pack 81 who was in the audience. The boys were attending the Council meeting to earn their badge. City of Springfield Council Work Session Minutes February 13,2017 Page 2 Ms. Clough thanked staff for their patience. Some of the conversations were difficult,but they remained professional and were willing to hear the feedback. Ms. Clough said the DAC was assigned four main topics: 1)site plan review and minimum development standards(MDS); 2)advocacy and communication; 3)fees; and 4) system development charges(SDC). She spoke first regarding SDCs.Because there is a separate Ad Hoc Committee for SDC's,the DAC didn't get into the details of that,but focused on ways that SDCs could be used to promote development. Their primary suggestion is to encourage Council to direct staff to have a clear,easily identified conversation regarding each project in the Capital Improvement Project(CIP) list, so they can see the impact on SDC funds. The DAC also brainstormed ways fees could be reduced for ways to promote development. The details for both SDC and fees are contained in the report. Ms. Clough spoke regarding advocacy and communication. The DAC understands the staff must remain neutral for all projects,but felt they could work to resolve internal conflicts between different codes.A matrix was created that included some practices that they liked and some practices that were easily changed. The DAC appreciated the responsiveness of staff to make those changes. The DAC recommends directing staff to develop a plan for moving forward with the other items,which had been prioritized by the committee. They also recommend having a way to monitor and report on those processes to make sure they are working. Ms. Clough spoke regarding site plan review and MDS. There is a lot of technical terminology around this subject. Certainty is very important to developers, sometimes more important than cost and time. The MDS process that is currently in place does address that to a degree. There are still a large number of projects that fall under the site plan review process,also known as discretionary.A discretionary process can be very subjective and has a level of uncertainty.Having a Ministerial Process which provides certainty will promote development by making it cost effective and quick for a developer to know if their project can move forward.Developers are often willing to sacrifice flexibility and some things they originally wanted in the project in order to have certainty through a Ministerial Process. Affordable housing is another type of project that would benefit from using the Ministerial Process. She explained further.Last time the DAC met with the Council,they were hoping to find a way to work within the current code to accomplish a Ministerial Process for site plan review,but were having difficulty working within the current code.At that time,Council directed staff to implement the MDS process for smaller projects and look more closely at the Ministerial Process.The DAC supports staff rewriting the Code as that will be the only way to accomplish what is needed to encourage development. They recommend monitoring on the MDS process to see the impact. Mr. Satre thanked Ms. Clough for serving as the DAC Chair over the last 4+years, and for Jim Donovan and Matt Stouder who have served as the staff liaisons. He referred to the DAC final report. There have been accomplishments including a simplified site review checklist and Council approved modifications to the MDS. The development market is willing to sacrifice some flexibility to get certainty in return. The Ministerial Process has the most certainty in advance of the land use application.The rewrite of the Springfield Development Code will take time and effort, but they have the support of the DAC and likely many others in the community. The current code was written in 1986, adopted in 1987 and things have changed since then. Springfield has a 'get to yes' attitude and that is very much appreciated. City of Springfield Council Work Session Minutes February 13,2017 Page 3 Councilor Pishioneri thanked the committee for their hard work.He said he has no objections to the recommendations from the DAC, and he supports moving forward. It makes sense to use the Ministerial Process whenever we can.Developers should know exactly what will be expected. Councilor VanGordon thanked the committee and said he has enjoyed getting to know the committee members over the last 4 '/2 years.He has learned a lot and it was very insightful. Two of the big projects the DAC provided the ground work for include the code re-write,and the memo sent out by Ms. Spickard outlining steps the City would be taking to support developers and become business friendly. He supports all of the listed recommendations. He spoke regarding the SDCs and said current practice is to see the menu before they see the price. That is a gap that needs to be closed.When they choose projects,they need to have a sense of what it does to the SDCs. Getting those conversations closer together makes a lot of sense from a policy perspective. Some of the recommendations will be part of the code rewrite such as clarity and certainty. It may be best to wait to do the Ministerial Process after the code rewrite. Councilor Stoehr asked how deep the DAC got into specific projects. Ms. Clough said they didn't look at specific projects,but rather how to encourage development. Councilor Stoehr said there was a recommendation that fees be prorated depending on the number of hours the review took for a specific project. Ms. Clough said there are pros and cons to that idea, and it was just one of the brainstorm ideas. The DAC was not necessarily promoting that idea.Mayor Lundberg has brought up the idea of a master developer idea,but the DAC has heard feedback that there could be legal issue with that process. If it is important to the Mayor,they could look at other ways to accomplish the same end goal. The DAC was trying to respond to feedback from the Mayor. Councilor Stoehr asked if a higher density project would require more review than a subdivision. Mr. Donovan said a project with different design standards would take more time, and those usual apply to multi-unit projects. Councilor Woodrow thanked the DAC members for their work and she appreciated the information provided. She understands the relevance of the Ministerial Process in terms of certainty for the developer. If possible, she would like to see some of it be integrated before the code rewrite is completed. Councilor Moore said this has been a great opportunity with this committee engaging the development community, staff and the Council. That has been a positive thing and she appreciates the members serving. One of the recommendations was to appoint a new Ad Hoc Committee for the code rewrite. She asked if the Council needed to formally direct staff to create that committee and if the DAC members could serve. Mr.Donovan said the public involvement plan will go to the Planning Commission initially,and their recommendation will be brought to Council.An advisory committee would be created for public involvement and would be open to all. Those currently serving on the DAC would have the opportunity to apply to that committee. 4 City of Springfield Council Work Session Minutes February 13,2017 Page 4 Councilor VanGordon said there is also reference to a simplified annexation process. There is always opportunity to look at our annexation process,especially a model that could include reduced fee for a neighborhood that is all in agreement to annex. Councilor Pishioneri said he concurs that those serving on the DAC would be great members on the code rewrite committee.He asked if they could be appointed to the new committee without the full process. City Attorney Mary Bridget Smith said they could serve, but she would need to review the Citizen Involvement Policy to make sure they could be appointed without the formal process. Councilor Pishioneri said he felt it could save time and resources. Mayor Lundberg said they could also give deference to those already serving on the DAC. Mr. Donovan said the committee would be large enough that they would need other community members to apply. Mayor Lundberg said she heard that Council would like certainty,which should be built into everything we do. She provided an example. She also heard there is interest in looking at the annexation process and the how to make it affordable.Prior to the DAC being formed, she met with a couple of developers who were upset about Springfield's fees. Out of that conversation and other conversations with developers,came the need for the DAC. She thanked everyone for serving on this committee and for their commitment to Springfield. We need to be a competitive community for development with an updated code. She thanked the committee members and Councilor VanGordon for serving on this committee. She agrees with all of their recommendations. Mr. Donovan noted that Planning Commission Chair Greg James also served on the DAC. Eric Hall,DAC member, spoke from the audience. He noted that the City of Eugene does projects without a site review process and he has tried to push for that in Springfield. One of the issues with zoning in Springfield with the many overlay districts that have additional requirements. Staff acknowledged that it can be very complex to determine the requirements. The City of Eugene resolved that with their GIS system and mapping the requirements to the property. That may be part of the code rewrite or it may be something more specific. It would provide more certainty for developers.As they move forward,he would ask that they provide staff with that level of technology to provide that certainty. Stormwater and traffic are two areas where there is a lot of judgement,making it another technical challenge. Mayor Lundberg thanked Mr.Hall for his service on the DAC. 3. Developing an Affordable Housing Strategy. Sandy Belson,Comprehensive Planning Manager,presented the staff report on this item.Erin Fifield, Community Development Analyst was also at the table. Ms.Belson said this is the third work session on affordable housing with the ultimate goal of developing an Affordable Housing Strategy for Springfield. Based on previous discussions, staff has put together a draft strategy. The key words are preliminary draft. This presents some potential projects to support or promote affordable housing. Some of those are existing programs the City could City of Springfield Council Work Session Minutes February 13,2017 Page 5 continue, such as the HOME Repair program for low-income homeowners,the SHOP program that provides downpayment assistance for qualifying households;and some are new, such as establishing a property acquisition program for affordable housing, or promoting accessory dwelling units(ADU). The preliminary draft includes reference to various housing project ideas that we know of for Springfield to provide a breadth of options for Council to consider. Some of those came out of the survey conducted by Ms. Fifield in preparation for the One-Year Action Plan for the Community Development Block Grant(CDBG). Staff would like to know whether they want to include these potential projects in Springfield's strategy,and if they have further comments or need additional information or analysis. She also asked Council to let her know if they left anything out which they would like included. Ms. Belson said to support the strategy,there are a variety of financial tools to fund an affordable housing program or to incentive development. Those include federal funds,HOME funds, system development charge(SDC)waivers or discounts,property tax exemptions and construction excise tax. At the last work session, Council talked about a tiny home pilot project. That could include a variety of definitions or manifestations. They presented some different models for discussion. Staff will continue to revise and refine the draft strategy based on Council direction and come back in March for further discussion. Councilor Stoehr said he appreciated the illustrations in the CBM.He asked about the cost per unit of the Conestoga Huts. Mayor Lundberg said they were about$800 each. Councilor Stoehr said Eugene has a ratio of number of units that require a bathroom and kitchen that would be permanent and shared among the temporary dwellings. He asked if Springfield had something similar. Ms.Belson said Springfield doesn't have current code that applies to the model illustrated. We would need to develop how we would want to permit those as they are not currently covered under our Building Code because they are not permanent structures.We would need to develop our own safety and health standards. There is a campground code at the State level that would provide guidance. Councilor Stoehr asked if there would be an ongoing need for case managers in this type of set up. Ms.Belson said it would depend on the people housed there and the model. The minimal is to have a self-managed residence. Mayor Lundberg asked Ms. Stoehr to review our current Conestoga Hut program. Ms.Belson said the current program as provided in the Municipal Code allows up to three vehicles per church site or approved industrial site. We currently don't have any industrial sites utilizing this program. St.Vincent DePaul administers that program and does background checks on each participant, and coordinates the provision of porta-potties and trash pick-up. The City pays for the porta-potties and trash pick-up. The sites have to be approved by the City. The units can be Conestoga Huts or recreational vehicles(RVs). Councilor Woodrow noted that there are still many places available. We are not maxed out. City of Springfield Council Work Session Minutes February 13,2017 Page 6 Councilor Stoehr said Option 2 included those families that are being processed through G Street Oasis.He asked how much the money allocated would go towards accommodating those 35 families. He asked how much each one of the houses would cost. Ms.Belson said it would depend on whether or not they had interior plumbing or electrical services. The minimal cost could be about$20,000 for materials alone,with donated labor. Councilor Stoehr asked if that would include plumbing. Ms.Belson said a lot would depend on the design and size, and whether or not it is permanent or portable. She doesn't have a lot of data regarding cost on these models at this point. She could do more based on interest. Councilor Stoehr said he would like that information. Councilor VanGordon said he felt all of the parts were here for the Housing Strategy,but it just needed more refinement. He is not interested in having a separate pilot program for land banking,but would like it rolled into one conversation. Landbanking is an interesting idea and should be leveraged with how it could be developed. Perhaps that could be a pilot project with economic development attached.They could partner with a non-profit agency and get creative with construction material or innovation in the housing market to get families housed. Springfield is good at leveraging our partnerships. This year,we need to spend all of our HOME funds so we don't lose it.He is only interested in expanding the Conestoga Hut program only in encouraging more eligible sites to allow that type of housing. There are still churches who are interested.He is not interested in the Construction Excise Tax. He would like to see more information on the ADU SDC waiver and possibly capping the SDC to 10%of the value. He asked for clarification on the multi-unit property tax exemptions. Ms.Belson said the multi-use property tax exemption could help make it more cost effective for developers to build in dense areas where it is sometimes harder to construct than in a green field area. Sometimes infill in a denser area is more costly to build and harder to make the project pencil out. The property tax exemption is a way to keep the rent lower and allow the developer to recover their investment. Councilor VanGordon said it sounds like it is similar to what is used for commercial development in an Enterprise Zone. Ms. Spickard said there is certain statutory criteria that is needed in this type of program,plus any the Council would like to add,and the projects need to qualify to be eligible for the exemption. This does not include the land. It is a tool the legislature has given to cities to shape to their needs. Councilor VanGordon asked if that was different or in conjunction with the Vertical Housing Program. Ms. Spickard said they are different and have different criteria. She explained. Councilor VanGordon said he would like additional information discussion in the future about Enterprise Zones and Vertical Housing Zones. City of Springfield Council Work Session Minutes February 13,2017 Page 7 Ms. Spickard said they started a Vertical Housing Zone in downtown and have discussed one in Glenwood,but have not gotten any further. Councilor VanGordon said he wasn't sure which would be more beneficial—Vertical Housing Zone or Construction Tax Exemption. He is interested in efforts to repair mobile home park stock,but not interested in adding more mobile home parks if possible. His concern is the longevity for affordable housing. Councilor Pishioneri said the option of an SDC waiver or discount for Accessory Dwelling Units (ADU)makes sense. He noted the impact on a home's value when the owner converts their garage rather than adding a separate dwelling.Promoting the tiny home as an ADU adds to the value of the property and provides housing. He is not interested in putting a lot of energy into Conestogas or small parks,but interested in making the models as illustrated in Models 3 (permanent small residences as rentals),4(permanent small residences as owner-occupied)and 5 (owner-occupied cluster subdivision). Those are homes where people can live in a more permanent setting, and eventually move into a larger home. He doesn't want something that will negatively impact surrounding properties. Councilor Moore said she visited affordable housing in Bend several years ago.Much of it was made available because they were able to use the Construction Excise Tax to build up funds. The legislature has looked at it as a way to come up with funds for this type of development. She doesn't see the 1% as too much money, especially if it is known that percentage will be applied to making money available. She would be in favor of looking into that. She agreed that the more permanent tiny homes made more sense, especially if they were in a cluster as a community. She also feels there is a need for the transitional housing, and is not sure how to promote the Conestoga Hut program to the churches and industrial sites. She asked if Ms. Belson had visited Opportunity Village. She was interested in visiting that to see how it is working and what types of needs are being met. She saw the value in both transitional and permanent housing. She thinks it's important to make clear to property owners what they can and can't do regarding ADUs. Lowering the fees since they would already be in an established neighborhood makes sense. She appreciated all of the information provided by staff. She said some of the mobile home parks have lasted for a number of years if properly maintained. Mobile home parks could relieve the pressure of needed housing sooner than building. She asked how interested St.Vincent DePaul was in opening a mobile home park and where they had them. Ms. Belson said they have opened them in Portland and Oakridge. Councilor Moore asked if they were interested in taking over established parks, or establishing a new one. Ms.Belson said either.They are expanding in this area. Councilor Moore asked how the City would be involved in that process. Ms.Belson said in general the non-profits want to know from the City what type of housing we need so they can know how to focus their efforts. They can adapt their projects to meet our needs. Councilor Stoehr asked about a facility on 9th and Broadway. It was noted that this property was actually in Eugene. City of Springfield Council Work Session Minutes February 13,2017 Page 8 Councilor Stoehr said he would like to know the cost for Model#2 units. Councilor Wylie said there are different levels of homes to provide the homeless from transitional to permanent low-income housing. We should have a plan of where we fit into that and how to coordinate with the other programs.All along the way,people sometimes fall through the cracks and become homeless again and need programs to support them. There are a lot of non-profits doing that and providing treatment,but we need to know where we fit in and what we can do with our resources. She likes the idea of providing sleeping housing such as small village housing with centralized kitchens and bathrooms. It gives people a sense of community. They often self-police,but there is a need for some type of sanitation and garbage maintenance and security. People need housing year round and we need plans to provide housing year round. It will cost money to build,maintain and to staff. There is no easy answer. Councilor Woodrow said in looking at the housing continuum, it removes the focus from homeless and to the continuum of affordable housing. In looking at the homeless issue in our region,they need to look at where the City of Springfield can fit in and contribute. The Oasis Program is very successful and focuses on helping families transition into a better,more self-sufficient situation. Rather than setting up a village, Springfield could look at a program where they can move people through, focusing on families while other communities focus on individuals. She noted the Dusk to Dawn Program that had a referral process letting people know where they can go based on whether they are a family or individual. If Springfield focuses on families, and other communities on individuals, it helps encourage the efficiency of time and expenditures. We can't be everything to all people,but can be more efficient if we are all award of what each other is doing and how we can leverage our partnerships. She wants to focus on the continuum and helping people move forward. Councilor Moore said she understands the G Street Oasis program is very successful. Some people are camping out of town and coming into town for day services. She appreciates promoting diverse housing types and agrees we need to do that. She is also concerned about those that don't have an opportunity for any shelter. Councilor Woodrow said more marketing for the parking program would also help. Mayor Lundberg said she has put her focus on the families and TEAM Springfield had agreed to support the Oasis Project. She talked to the School Superintendent and asked if they could place students in schools if the City found ways to help families get housed. She has been approached by enough churches that she will be meeting with the churches about the Conestoga Hut program. They should look at how we can come up with permanent,affordable housing that solves more than one issue. It could be a kit or something else.They could couple that with the incentives and landbanking. She noted that she is not supportive of a Construction Excise Tax. The community agrees that one segment of the homeless that comes with a unique set of issues is families. There are a lot of pieces and we need to figure out how to put them together. She would like another discussion about this topic. She would like to talk more about ADU's. There are a number of ideas from AARP for ADU's. She noted how sometimes non-profits will move people out of one type of affordable housing so they can replace it with another affordable housing,which doesn't actually add units,which doesn't seem practical. If we add mobile home parks,we could end up with something we don't want. She wants us to look at ways we can be innovative and come up with a type of housing that is unique that we can replicate and becomes an economic driver,becomes Career Technical Education(CTE),becomes the workforce development, and local builders can build it. That can't happen overnight, but she would like to start thinking about where we could go with it. In the meantime we can try to expand what we have. She would like to invite Councilor Moore to the meeting with the churches. 4 City of Springfield Council Work Session Minutes February 13,2017 Page 9 Councilor Pishioneri agrees with a lot of what has been discussed. What stands out to him is that there are safety nets currently in place, and we need to make sure those programs are stronger. There needs to be a space for people to move; something more permanent. We need small, affordable,permanent housing for people to go, and then start looking at the other price points for larger homes. The private sector can make that happen,but it's the City's job to make it work in our Code.He noted he was opposed to the Construction Excise Tax. Ms. Belson said she would bring this back for further discussion at the March 20 work session. ADJOURNMENT The meeting was adjourned at 7:07 p.m. Minutes Recorder—Amy Sowa Christine L.Lundberg Mayor Attest: Amy So City Recorder