County Zone Change 726 – 3380 Wise Lane - A to C3 - A zone change request from Agricultural (A) to General Commercial (C3) on a 1.5-acre portion in the northeast corner of an unplatted parcel in Section 34, Township 1 South, Range 25 East, a Fraction of the northeast 1/4 & a Fraction of Government Lots 1 and 2 south of the Road, a 59.21-acre parcel of land. A pre-application neighborhood meeting was held on August 26, 2024 at the subject property. Tax ID: D01161 
 

The Planning Division staff is recommending approval based on the proposed findings of the eleven criteria of Zone Change 726.

OWNER: Limpp Family LLC
AGENT: Galen Cook, owner of Golden Valley Honey, retail marijuana dispensary
LEGAL DESCRIPTION: an approximate 1.5 acre portion within a Fraction of Government Lots 1 & 2, south of the road, in a fraction of the northeast one-quarter of the southeast one-quarter of Section 34, Township 1 south, Range 25 east Principal Meridian Montana, Yellowstone County, Montana
ADDRESS: 3380 Wise Lane
CURRENT ZONING: Agriculture (A)
PROPOSED ZONING: General Commercial (C3)
EXISTING LAND USE: Retail Marijuana Dispensary
PROPOSED USE: Retail Marijuana Dispensary (same)
SIZE OF PARCEL:  approximately 1.5 acres

None

The parcel is within the original zoning applied by Yellowstone County (County) in 1973. In July 1999, the Yellowstone County Commissioners approved the property for Special Review to allow commercial recreational activities associated with Oscar's Dreamland, a collection of historic and anachronistic memorabilia from Billings and Yellowstone County. Then in 2018, the County Commissioners approved a sand and gravel open cut mine for the property through Special Review 330. No other zoning applications have been submitted for the property.

The County Commissioners have approved similar requests for small areas of commercial zoning at the intersection of the arterial streets or along arterial streets. These include property at the 5200/5300 block on the north side of King Ave West, and at the intersection of 48th St W and Hesper Road. A recent zone change for property on S 48th St West (Zone Change 724 - the Green Bee) to change from RR1 to commercial zoning was denied. This location also was out of compliance with the County Zoning Regulations for an appropriate zone for a retail marijuana dispensary. Although this property is also along an arterial street, the Commissioners found the proposed zoning to be out of character with the directly adjacent neighborhood on Amber Lane.

NORTH:	Zoning: Agriculture (A)  Land Use: Agriculture and low density residential
SOUTH:	Zoning: Agriculture (A)  Land Use: Agriculture
EAST:	Zoning: Agriculture (A)  Land Use: Agriculture
WEST:	Zoning: Agriculture (A)  Land Use: Agriculture

This is a zone change request for a small area approximately 1.5 acre (metes and bounds description) within an un-platted parcel of land located at the southwest corner of the intersection of Wise Lane and Story Road. The property is owned by the Limpp Family, LLC and the agent for the owner is Galen Cook. Mr. Cook is the owner and licensed holder of Golden Valley Honey (aka Khronic Fashion), located at address 3380 Wise Lane. The current zoning of the property is Agriculture. The zoning does not allow a retail marijuana dispensary, but does allow a marijuana growing operation.

The County Commissioners adopted final zoning regulations on marijuana businesses in 2023, after a two-year period to study the issue. Prior to November 2023, the County had adopted interim zoning regulations. Both the final and interim regulations did not allow retail marijuana dispensaries within Agriculture Zone Districts. The interim zoning did not allow marijuana cultivation in this zoning district, but the final regulations do allow cultivation operations. As part of the 2-year study, the planning staff identified the locations of all existing marijuana businesses within the zoned area of Yellowstone County. Six locations were determined to be out of compliance with the previous zoning, the interim zoning, and the final adopted zoning regulations. The County Commissioners adopted a resolution in October 2024 that allowed these six, identified locations one year to come into compliance with the zoning regulations. In some cases, the owner could apply for a zone change or move all or part of the operation to a conforming location. After October 4, 2024, those locations that have not received a zone change, moved all or part of the business, or closed their operations may be in violation of the county's zoning. After this date, planning staff will no longer provide letters to these businesses affirming compliance with local zoning. These letters are required for license renewals issued by the state through the Cannabis Control Division of the Department of Revenue (DOR).

Golden Valley Honey has never requested or received a zoning compliance letter from the Planning Division. The business name GVH - Golden Valley Honey - is listed as a licensed marijuana dispensary in Billings, MT. Due to state regulations, the Cannabis Control Division does not list specific addresses for these licensed businesses. Most are easily found through internet searches or by using a reverse directory for the phone number listed with the state license. Golden Valley Honey is listed at this address on internet pages and on review pages for marijuana providers in Montana. Another location is also listed at 3701 S 56th St West Unit 4. This location is outside the county's zoning jurisdiction. It appears that Golden Valley Honey (GVH) opened its operation on Wise Lane sometime in late 2022 or early 2023. Khronic Fashion, a business name previously operating within the city limits at 2910 Grand Avenue, closed at about the same time that GVH opened on Wise Lane.

Wise Lane and Story Road are designated arterial streets on the county functional road classification system. Arterial streets are intended to provide connections throughout the community from place to place. Collector streets, by comparison, are intended to "collect" traffic from a place and take it to one or more arterial street connections. Local streets are intended to provide access only within a developed area such as a neighborhood or commercial development such as Shiloh Crossing or the development south of King Ave W between 24th St West and 32nd St West and north of Gabel Road. Local street networks usually have one or more designated collector streets. Zoning for some commercial activity at the intersections of arterial streets or arterial and collector streets is expected and is common throughout Billings and the zoned area of Yellowstone County. For example, the small commercial zoning node at Hesper Road and S 48th St West is only on the north side of Hesper Road. The northeast corner has developed with personal storage warehousing and the northwest corner has yet to develop. There are similar commercial nodes in Lockwood and at 62nd ST W and Grand Avenue. Not every commercial zone proposal fits with the surrounding area or neighborhood.

Traffic on Wise Lane and Story Road is typical of a County arterial street in rural areas. The traffic volume is low, but speeds are higher. The streets are two lanes with little to no shoulder area and open drainage to both sides of the street. The development of gravel mining in the area will impact the type of traffic on these two streets for the next 5 to 10 years, depending on the amount of gravel resources to be extracted. There are few homes in the area with only two residences within 1/4-mile of the location. Until very recently, there was a major cattle feeding and grazing operation on the east side of Wise Lane across from this location. A gravel mining company recently purchased this 160-acre property. This same gravel company has purchased several properties in the area and is engaged by the Limpp Family, LLC to perfect the gravel mining permit for this parcel of land. The gravel mine for this property was approved by the County Commissioners in 2018.

The existing and proposed use will not have an appreciable effect on traffic management. Other uses allowed in the C3 zone could have a greater impact on traffic. The planning staff must consider all potential uses on the subject property including retail, retirement communities, office space, restaurants (with or without alcohol service), and similar. Most of these uses would require annexation for provision of public utilities. The property is not within the current limits of annexation for the city, or even in the long-range urban planning area. A 5,000 square foot restaurant would generate approximately 200 new vehicle trips per day, but is not likely at this location without public water and sewer services. A more intense use under the proposed zoning would require additional analysis of traffic at the intersection as well as the location of access to the subject property in relation to the intersection. The current zoning allows agricultural uses and single-family dwellings, including manufactured homes.   

A neighborhood meeting was conducted by the applicant on August 26, 2024, at the subject property. No surrounding property owners attended the meeting. The planning staff did not receive any telephone or written comments concerning the application.

Planning staff has reviewed this application and is forwarding a recommendation of approval for the proposed zone change based on the 11 criteria for zone changes. The property is located at the intersection of two principal arterial streets about 1.5 miles from the city limits. The County Growth Policy (2008) indicates that proposed zone changes should be compatible with existing uses and located in areas that can handle any potential traffic generated from the development. The planning division also believes the existing business fits in with the existing uses on the rest of the Limpp Family lands that includes commercial recreational uses and outdoor events. The proposed zoning also will allow the property to change uses over time, which may better support the future recreational lakes planned for when the gravel mining is completed on the property/ The uses available in the C3 zone are limited without the provision of public water and sewer services. If the property were annexed in the future, the proposed zoning would be compatible with similar urban intersections.

 

The Yellowstone County Zoning Commission, prior to any recommendation, shall consider the following:

1. Is the new zoning designed in accordance with the Yellowstone County 2008 Growth Policy?
The proposed zoning does comply with the following goals of the Yellowstone County 2008 Growth Policy and area plans:

• Predictable land use decisions that are consistent with neighborhood character and preferred land use patterns identified in neighborhood plans. (Land Use Element, page 6).

This zone change would allow for an existing commercial use, Golden Valley Honey, to conform to the County Zoning Regulations. The zoning also would allow for incremental changes over time which may be possible when the active gravel mining in the area is completed. The location is at the intersection of two principal arterial streets. This is consistent with the neighborhood character, as the business already exists.

• Goal: New developments that are sensitive to and compatible with the character of adjacent development. (Land Use Element Goal, page 6).

This property is not adjacent to any urban commercial uses but may be in the future. The existing and intended use are compatible with the surrounding uses.    

2. Is the new zoning designed to secure from fire and other dangers?
The subject property is currently served by the Billings Urban Fire Service Area (BUFSA). The nearest fire station is located on S 24th Street West (Station #5) five miles north and east of the subject property. Depending on the specific future uses, the Fire Marshal may require on-site water supply for fire protection.

3. Will the new zoning facilitate the provision of transportation, water, sewerage, schools, parks and other public requirements?
Transportation: The new zoning may increase traffic depending on future uses. The existing use, Golden Valley Honey, has occasional delivery and may have customer traffic on a daily basis. This amount of traffic should not cause traffic congestion on either street.   
Water and Sewerage: The property is served by septic systems and on-site water (cisterns or wells). Billings’ public utilities are not available and are not intended to be extended to this area for more than five years.  
Schools and Parks: The proposed zoning should not impact the student population. Residential uses are not planned for the property.
Fire and Police: The subject property is serviced by the Billings Fire Department and the Yellowstone County Sheriff’s Department.  Fire protection will be evaluated at the time of any future development plan.

4. Will the new zoning promote health and general welfare?
The new zoning will allow an existing commercial use to be conforming. The commercial recreation uses on the other parts of the property are compatible with this use. The county granted previous approval for these commercial recreation uses. The proposed zoning should not have a negative impact on the surrounding uses. The proposed C3 zoning will allow the owner to keep the existing use and consider future commercial uses when the market changes. The C3 zone is compatible with typical urban intersection zoning. The zoning will promote the health and general welfare of the area.
  
5. Will the new zoning provide adequate light and air?
The proposed zoning requires minimum setbacks, maximum building heights and maximum lot coverage. Any new development would require conformance with site development standards for landscaping and parking. These requirements should allow adequate light and air to reach the subject property and adjacent properties.

6. Will the new zoning effect motorized and non-motorized transportation?
The proposed zoning itself will not generate more traffic on any of the adjacent streets. Pedestrian traffic in the area is limited due to high speed arterial streets, no pedestrian facilities, and little residential development. The 2016 Bikeway and Trail Master Plan did not include any facilities on Wise Lane or Story Road. There is a Yellowstone River Greenway Plan that encourages the acquisition and development of a trail corridor along the north bank of the Yellowstone River. This location is more than 1/4-mile from the river and any development should not affect the ability to create a greenway area along the river.

7. Will the new zoning be compatible with urban growth in the vicinity?
The proposed zoning is compatible with any nearby urban development. The proposed zoning and development is consistent with the area.

8. Does the new zoning consider the character of the district and the suitability of the property for particular uses?
The subject property is in an area that is primarily agricultural with a few small residential subdivisions. The property is suitable for C3 use and is at the intersection of two arterial streets. It is likely the character of the area will change to commercial uses at this node.

9. Will the new zoning conserve the value of buildings?
The new zoning will make the current commercial development conform to zoning and conserve the value of the investment in this structure. The new zoning could also allow future commercial uses adjacent to agricultural uses and an active gravel mining area. The commercial zoning will not affect the value of the existing buildings surrounding the site.  

10. Will the new zoning encourage the most appropriate use of land in Yellowstone County?
The property is suitable for some of the uses allowed in the C3 zoning district. Without access to public utilities, many of the higher intensity uses could not be developed, including restaurants, medical facilities, day care centers and similar. The C3 zone is the most appropriate use for the land. Certain uses that generate higher levels of traffic such as restaurants and service businesses are not possible here without annexation and the provision of public water and sewer.

11. Will the new zoning be as compatible as possible with adjacent zoning in the City of Billings?
The proposed zoning is not close to the City of Billings but is compatible with the typical urban development at an arterial intersection.  
 

Staff recommends approval and adoption of the findings of the 11 review criteria for Zone Change 726.