The Zoning Commission recommends approval and adoption of the findings of the 10 review criteria for Zone Change 1050. The City Council approved the zone change on first reading on April 22, 2024. A second reading is required to approve the zone change.

The proposed zoning would allow an existing vacant property to be developed for a wider variety of mixed uses than allowed under the current zoning of Neighborhood Mixed Use (NMU). The Corridor Mixed Use zones (CMU1 and CMU2) are districts appropriate for higher volume arterial and collector streets where access to the site accommodates both vehicle trips and pedestrian access. The CMU1 district, proposed for this site, is intended to be closer to neighborhood zones, including adjacent or across an alley from residences. The uses allowed in the CMU1 zone include all uses allowed in the NMU zone, but adds uses such as long-term care facilities, higher education facilities, a casino or bar that meets separation requirements and receives special review approval, veterinary clinics with overnight boarding, craft alcohol with restaurants, drive-thru food service without special review (see caveat below), a hotel without special review, a car wash with special review, and gas stations with use restrictions.

The location would not be able to apply for a special review for a bar or casino due to the proximity to Cottonwood Grove Subdivision to the north. Other uses requiring special review, such as a car wash, would also be difficult to locate on this parcel due to the proximity of residences. Under the proposed CMU1 zone district, a drive-thru food service such as a coffee vendor or lunch/dinner could be located on the property as long as the current lot is divided, so the proposed use is not on a parcel that adjoins the residential zoning (Section 27-1005.N).  Drive-thru restaurants in a CMU zone on lots that adjoin residential zones still require special review. Other drive-thru services, such as banks, are required to meet the standards in Section 27-1008.J, and includes mitigation of sound from announcement systems, and the location of drive aisles and queuing lanes away from the front property line to the maximum extent feasible.

The MK Subdivision at the northwest corner of 54th St W and Grand Avenue was first annexed, zoned and subdivided in early 2007. In 2014, Lot 2 of Block 1 was changed from Neighborhood Commercial (NC) to Community Commercial (CC) zoning. The Den received special review approval in 2017 to build a bar, restaurant and casino on this lot. This was the first lot developed in the subdivision. The Diamond X Brewing Company successfully changed the zoning on Lots 1-3 of Block 1 of MK Subdivision 2nd Filing in 2019 from NC to Planned Development-NC with allowance for the brewery and one beer and wine license without gaming. The Planned Development zone was amended last year to delete the provision for a beer and wine license and substitute an all-beverage license – without gaming. The other lots in MK Subdivision, 1st Filing are zoned NMU (Lot 3 – Chy Way & Grand Ave) and CMU2 (Lot 1 – 54th St W & Grand Ave).

The city installed a full traffic signal at the intersection of 54th St W and Granda Avenue in 2017. This signal was paid for through developer contributions from the surrounding neighborhoods and commercial developments. Prior to the signal installation, 54th St W was stop controlled and Grand Ave had the right-of-way. The completion of the Ben Steele Middle School at 56th St W and Grand along with the first development in the MK subdivision required the installation of the signal. Grand Avenue at 54th St W handles about 10,000 vehicle trips per day, while 54th St West handles about 5,000 vehicle trips per day. Both arterial streets are not complete to city arterial street standards. This is primarily due to the “checkerboard” of city and county limits on both streets and also due to the lack of complete city infrastructure such as storm water management facilities. The city will be moving forward with a project (2025) to complete Grand Avenue to city standards from Shiloh Road to 62nd Street West.

The current zoning allows a wide range of available uses but not all the uses the owner would like to market for the property, including a potential drive-thru food service. In addition, the NMU zone requires 90% of the front property line to have a building façade in the build-to range of 5–20 feet from the back of the property line. The NMU zone was placed on this parcel during the zoning code update (2021) as the corollary zone to the retired Neighborhood Commercial (NC) zone district. The new zone districts are based on minimum urban development standards that help maximize compatibility between uses and help increase mobility and safe access to mixed-use developments. Planning and Engineering are continuing to work together to refine these standards. The prior zone districts prescribed minimum setbacks, while the new code requires build-to ranges, minimum door and window openings on the first floor and measures building height in stories. The NMU zone has a minimum door and window coverage on the first floor of 45%, while the CMU1 zone has a minimum of 65% of the first floor frontage. The maximum height in stories in NMU is two stories, while the CMU1 allows up to four stories. The CMU zone requires “step-backs” from a residential zone when the building is over two stories or 35 feet (Section 27-1406.E.3).

The property has a required 25-foot-wide buffer yard along the north property line. This is a requirement of the subdivision to protect the neighborhood to the north. This buffer yard cannot be removed or changed without an amendment to the subdivision plat processed through the Planning Board and City Council. The buffer yard is also mentioned and protected through the private covenants and restrictions of the subdivision. The development requirements in a commercial zone that shares a property line with a neighborhood zone will also require a buffer yard to be installed that includes trees and an opaque screening fence (Section 27-1204.B). This will be in addition to the subdivision landscape buffer yard.

Planning staff recommended approval based on the proposed findings of the 10 review criteria. The Zoning Commission concurred with this recommendation. The current zone is not necessarily intended for placement along a busy arterial street. “The NMU district is intended to accommodate a mix of uses, primarily located along neighborhood corridors, that are highly walkable and accessible to pedestrians.” Neighborhood corridors are typically collector streets such as Rehberg Lane or Colton Blvd. The CMU1 district is described this way: “The CMU1 district is intended to accommodate commercial and other uses along transportation corridors to promote development that is comfortably accessible via all modes of transportation, including motor vehicles, bicycles, and walking.” The CMU1 may also have uses that are slightly larger in scale than the NMU zone and may include uses that are more vehicle oriented (gas stations, drive-thru restaurant).

 

The applicant conducted a pre-application neighborhood meeting on February 22, 2024, at Ben Steele Middle School. Fourteen interested property owners attended the meeting. The primary concerns were about noise from future uses, building height, traffic generation, gas stations and lighting. The pre-application information and notes are attached to the report. Planning staff posted the property, mailed notices to owners within 1,320 feet of the subject property, and published a legal ad in the newspaper. The planning staff also posted the application on our "Current Zoning Applications" web page. Planning staff received no comments or emails on the application prior to the writing of this report.

Zoning Commission public hearing April 2, 2024
The Zoning Commission conducted a public hearing on April 2, 2024, and received the staff recommendation of approval and testimony from the applicant's agent, Anna Vickers of IMEG Corp. There was no other testimony received. The applicant's agent stated the reason for the zone change was to broaden the possible marketable uses for lease of the property. The owner has no intention of entertaining a lease for a bar or casino. She stated the owner intends to own the land long-term and build-to-suit for businesses that will lease the building(s). She stated any development requirements would be met, including a traffic analysis to ensure traffic is managed. 

In response to a question from the Commission, staff clarified that no access would be granted from the property directly on to 54th St West. Chair Dan Brooks stated he would support the request, although there is a potential for a gas or service station on the property under the new zoning. He stated he believes the use standards in the new code would be protective of the neighborhood to the north if vehicle related uses were developed. Member Andy Megorden made a motion to recommend approval to the City Council and adoption of the findings of the 10 review criteria. The motion was seconded by member Beau Mulvaney and was approved on a 4-0 vote. Commission member Greg McCall was absent from the meeting.

City Council Public Hearing and 1st reading April 22, 2024
The City Council held a public hearing on April 22, 2024, and received the Zoning Commission's recommendation of approval and testimony from the applicant's agent, Anna Vickers of IMEG Corp. There was no other testimony. Anna Vickers stated the owners of the Diamond X Beer Company property to the west are not the same owners of the subject parcel. She stated there is a possibility of a bar on the south end of the lot - at least 150 ft away from the neighborhood to the north, but no casino could ever be located on this parcel as the separation distance to the neighborhood of 350 feet could not be met. Ms. Vickers stated the owners want to open up the available uses to better market the property. She stated there is no active concept or building plan on the parcel. Councilmember Neese asked to have the requirement of the paved pedestrian trail clarified. Ms. Vickers stated there is the requirement for a 25-foot landscape buffer yard along the north property line and that is where the paved pedestrian trail must be located and constructed. She stated she was unsure how the requirement might be triggered as there was no indication in the records of the subdivision. Councilmember Aspenlieder stated it was his understanding, having worked with the owners of the adjacent parcel, that the pathway would be triggered at the time of lot development.

Mayor Cole closed the public hearing. Councilmember Joy made a motion to approve the zone change and adopt the recommended findings of the 10 review criteria. The motion was seconded by Councilmember Tidswell and was approved on a unanimous vote.

The City Council may:

• Approve and adopt the findings of the ten review criteria for Zone Change 1050 as recommended by the Zoning Commission and as adopted on first reading on April 22, 2024; or,
• Deny and adopt different findings of the ten review criteria for Zone Change 1050; or,
• Delay action on the zone change request for up to 30 days at the request of the applicant or on its own motion;or
• Refer the application back to the Zoning Commission for an additional public hearing based on 1) new information submitted that the applicant and public have not had an opportunity to examine; or 2) new information has been presented that was never submitted or considered by the Zoning Commission or staff; or
• Allow the applicant to withdraw the zone change request.

The applicant has not requested a delay or withdrawal of the application.

Approval or denial of the proposed zone change will not have an effect on the Planning Division budget.

Prior to making a decision, the City Council shall consider the Zoning Commission's recommended findings as follows:

1) Is the new zoning designed in accordance with the Growth Policy and neighborhood plans?
The proposed zone change is consistent with the following guidelines of the 2016 Growth Policy:

Infill development and development near existing City infrastructure may be the most cost-effective. (2011 City Infill Policy; 2016 Growth Policy: Essential Investments, Strong Neighborhoods)  

Walkable neighborhoods that permit convenient destinations such as neighborhood services, open space, parks, schools and public gathering spaces foster health, goodwill, and social interaction. (2016 Growth Policy: Strong Neighborhoods)

Implementation of the Infill Policy is important to encourage the development of underutilized properties. (2016 Growth Policy: Strong Neighborhoods)

A diversity of available jobs can ensure Billings’ strong economy. Retaining and supporting existing businesses helps sustain a healthy economy. (2016 Growth Policy: Prosperity)

The proposed zoning is also supported by the West Billings Neighborhood Plan that indicated the intersections of arterial streets would be appropriate for nodes of commercial uses including service business and retail options. The plan indicated this intersection as a “Community Center” node, roughly the same area as West Park Plaza at 15th St W and Grand Avenue or about 30 acres. This subdivision along with the commercial area on the east side of 54th St West (Albertson’s) is about 21 acres in area. The proposed zoning will allow uses more appropriate for a transportation corridor (arterial street) than a neighborhood corridor (e.g. a collector street – Rehberg Lane, Poly Drive).

2) Is the new zoning designed to secure from fire and other dangers?
The new zoning requires build-to ranges, open and landscaped areas and building separations. The new zoning, as do all zoning districts, provides adequate building separations and density limits to provide security from fire and other dangers. The site will be developed in conformance with Section 27-406 (BMCC) as well as sections on landscaping, and off-street parking. New buildings would be required to meet city Building Codes and Engineering standards as well.

3) Whether the new zoning will promote public health, public safety and general welfare?
Similar to criteria two, public health and public safety will be promoted by both the existing zoning and the proposed zoning. The proposed CMU1 zone will allow marketing to a range of uses that may require more land area or allow a drive-thru service. Developed land will increase property values. Vacant land tends to add unpredictability to the area.

4) Will the new zoning facilitate the adequate provision of transportation, water, sewerage, schools, parks and other public requirements?
Transportation: The proposed zoning should not have any measurable impact on transportation. When the property develops, the developer will be required to update or confirm the information in the existing traffic study for the subdivision and provide mitigation accordingly. Any drive-thru service will require a queuing analysis to ensure customers are not backed into a street (public or private). The property cannot have a driveway access onto 54th St W. This was a condition of subdivision approval. The only access will be via Hawk Creek Avenue.
Water and Sewer: The City will provide water and sewer service to the property. Stubs for both services are already in from Hawk Creek Ave. Storm water will be managed on the site.
Schools and Parks: Schools and parks should not be negatively affected by the proposed zoning. The school district provided no comment on the proposed zone change. Parks should not be negatively impacted by the proposed zoning. The property is not intended for residential development but could have a mixed-use building with apartments.
Fire and Police: The subject property is served by city public safety services. The Police and Fire Departments had no concerns about the zone change.

5) Will the new zoning provide adequate light and air?
Similar to criteria 2 and 3, the proposed zoning provides for sufficient setbacks to allow for adequate separation between structures and adequate light and air. Any development of the property would follow the requirements of Section 27-400 (BMCC) and other city regulations for development.

6) Will the new zoning affect motorized and non-motorized transportation?
The existing property has frontage on 54th St W and on Hawk Creek Avenue. The multi-use path on 54th St West has already been installed, and no drive approach will be allowed on to this street. New drive approaches will be allowed off Hawk Creek Avenue. The streets in this subdivision are private, but the subdivision improvement agreement requires the installation of sidewalks along these streets. The connection to the public streets and sidewalks will help complete a pedestrian connection from 54th St W to the existing development on the lots to the west.  

7) Will the new zoning promote compatible urban growth?
The proposed zoning is compatible with the adjacent zoning and existing urban growth. The CMU1 zoning is compatible with the surrounding property and development. To the south and east is CMU2 zoning that supports commercial development that can be much larger and have more intense uses than the CMU1. To the north in N2 zoning for Cottonwood Grove Subdivision. The CMU1 zone combined with the landscaping requirements will protect the adjacent neighborhood's uses. To the west is the Planned Development zone for the Diamond X Brewing Company and CMU2 for the Den. The zoning does promote compatible urban growth.

8) Does the new zoning consider the character of the district and the peculiar suitability of the property for particular uses?
The proposed zoning does consider the character of the district and the suitability of the property for the proposed use or uses. The proposed zoning will allow a CMU1 zone on a property with arterial frontage and within a “community center” node of development as envisioned by the 2001 West Billings Plan.

9) Will the new zoning conserve the value of buildings?
The new zoning should add stability to the value of the existing neighborhood by adding predictability and to the existing commercial developments to the west. New development tends to increase surrounding property values.

10) Will the new zoning encourage the most appropriate use of land throughout the City of Billings?
The proposed zoning will allow the development of vacant property with uses that are compatible with the street frontage (arterial) and with the adjacent neighborhood zone. This is the most appropriate use of the land.