Owner, Regal Land Development (Dan Wells, President), has submitted a petition to annex land to the City of Billings under Section 7-2-4600, MCA. The subject property is two unplatted tracts of land totaling about 19 acres. It is located at 5506 Grand Avenue. The property has a residence and several out buildings on the property but the majority of it is vacant and has been used for agricultural production in the past. The property owner is requesting annexation in order to obtain City services for development of the property. A subdivision application for a major 74 lot residential subdivision and a zone change application to change the zoning from Agricultural Open Space to Residential-6000 are being reviewed concurrently with this annexation petition. The zone change application will be heard by the City Council at this meeting directly following this annexation action if the annexation is approved. The property is located within the five-year annexation area of the City's Limits of Annexation Map and appears to meet many of the City's criteria in its Annexation Policy.

The City Council may approve or deny a petition submitted by owners of 50% or more of the real property in the area to be annexed (7-2-4601 (3)(b), MCA).

The City is able to provide municipal sewer and water service to the subject property. The owner will be responsible for all costs of extending the utilities from Grand Avenue. Staff is recommending a standard conditions of approval for this annexation that either a Development Agreement or a Subdivision Improvement Agreement between the City and the property owner be executed to clarify how City services will be provided. If the proposed annexation is approved and the zoning is changed, the property is expected to be developed as single-family and some multi-family residential development and will contribute additional tax revenue to the City.

The subject property totals about 19 acres. It is located at 5506 Grand Avenue. The property owner is requesting annexation in order to obtain City services for development of the property. A concurrent zone change to Residential-6000 is being processed and a preliminary major subdivision plat application is also going through the review process.

The property is located within the five year annexation area of the City's Limits of Annexation Map and appears to meet many of the City's criteria in its Annexation Policy. The City Limits are adjacent to the subject property on the northeast corner and on a portion of the west boundary.

PROCEDURAL HISTORY

• On March 24, 2014, the annexation petition was submitted to the Planning Division.
• On May 12, 2014 the City Council acknowledged receipt of the annexation petition and set a public hearing for May 27.
• On May 27, the City Council will conduct the public hearing for the annexation and may take action on the request.
• On June 9, if the resolution to annex is approved by the City Council, a public hearing and first reading of an ordinance to include the property in a City Council Ward boundary will be conducted.
• On June 23, the City Council will conduct the second and final reading for the ordinance expanding the ward boundary.

Annexation by petition does not require notification of adjoining landowners; however, it does require that the City Council conduct a public hearing. Notice of the public hearing was posted on the property on May 9 and published in the Billings Times on May 8. The Planning Division has not received any inquiries about this petition at the time this memo was prepared.

The City Council has expressed concerns regarding how annexing additional properties may affect the City’s ability to provide services to new developments without diminishing the services provided to existing City residents. To address these concerns, the City Council adopted an annexation policy that lists criteria for suitable annexations. The proposed annexation complies with the adopted Annexation Policy criteria as follows:

1. The area is located within the Limits of Annexation.
2. The City is able to adequately provide municipal water and sewer services. Sewer and water services will require extension of lines by the property owner at the time of development.
3. Any proposed improvements to the property will meet City standards.
4. As part of a Development Agreement or Subdivision Improvement Agreement, the owners will sign a Waiver of Right to Protest the creation of any Special Improvement Districts.
5. If annexed, any proposed land use will comply with the zoning. Future development also may conform to the goals of the City of Billings and Yellowstone County Growth Policy.

Although MCA 7-2-4600 allows the municipality to waive the requirement of an annexation public services plan, it is the City’s custom for staff to prepare an analysis of predicted impacts to services and facilities. State law lists the required contents of a public services plan including a 5-year (minimum) plan that outlines how and when services and infrastructure will be extended to the annexed area and how they will be financed. This report follows that general format.

Departmental Response: City and County Departments were given the opportunity to comment on this annexation. City departments mostly responded favorably and detailed responses are provided below. The County Public Works Department also responded and had no concerns with the annexation request. 

City Facilities: The following improvements and facilities are necessary to provide adequate services to the subject property.

• Water: Water service is available and will need to be extended from Grand Avenue to the subject property. The cost to extend service for the property will be at the developer's expense.

• Sewer: The property may be served by the developer extending City sanitary sewer from Grand Avenue. The developer will be required to fund and construct sanitary extension(s) as defined in city policy.

• Stormwater: There is currently no City storm drain in the area of this subdivision and on-site retention or detention will be necessary to manage stormwater. Stormwater impacts will be identified during the subdivision and site development process and mitigating measures developed at that time meeting the requirements of the city and the public works department at the time of development.

• Transportation: The subject property has frontage on Grand Avenue, a Principal Arterial Street. Details of access and traffic management are being determined through the subdivision process. Any specific traffic impacts will be identified during the subdivision and site development process and mitigating measures developed.

• Fire Stations: The subject property is currently served by the Billings Fire Department through the Billings Urban Fire Service Area and the Billings Fire Department will continue to serve the property upon annexation. The Billings Fire Chief stated that as this and other annexations are built out, additional fire department resources will be needed. The nearest fire station is Station #7, located at 1501 54th Street West, about 0.3 miles northwest of the subject property.

• Parks: The subject property will be zoned Residential-6000 if annexed and the zone change is approved. Park land dedication and/or cash-in-lieu for dedication is being determined through the subdivision process. This property also is within the service area of Cottonwood Park and so any cash-in-lieu provided for this development is expected to go toward development of Cottonwood Park.

• Bicycle and pedestrian facilities: The proposed subdivision lies within the jurisdiction of the Billings Area Bikeway and Trail Master Plan. The Master Plan shows a proposed bike lane on Grand Avenue as well as on a collector street identified in the proposed subdivision. The City will construct Grand Avenue in the area of this subdivision to a full Principal Arterial Street standard at some time in the future and the bike lane and/or trail along Grand will be built at that time. When the collector street is constructed by the subdivider through the subdivision, it will be built to a Collector Road Standard and bike lanes will be provided at that time.

General City Services: These are the City services that are provided to all residents and businesses in the City, such as police and fire protection, street and storm drain maintenance, and garbage collection and disposal. The service providers that responded did not object to the annexation of this property.

• Transit: MET transit system operators have no objections to the annexation request, but the nearest bus route on Grand Avenue currently does not go west beyond the Peter Yegen Golf Course, about  2.6 miles east of the subject property.

• Police: The Police Department states that while the Police do patrol the property in the City Limits in this area, continued development and annexation will adversely affect the Department's ability to deliver services without an increase in resources.

• Public Utilities: The Public Works-- Distribution and Collection Division had no objection with the annexation request as long as the owner agrees to fund the necessary water and sewer connection costs, and agrees to a waiver of protest for future SIDs through a Development Agreement or Subdivision Improvement Agreement as a condition in the Annexation Resolution.

• Public Works -Street and Traffic Division: The Street and Traffic Division stated that it has no problems serving the property.

• Public Works-Solid Waste: The Solid Waste Division notes that it can serve the property when developed, but noted that Senate Bill 234 passed in the 2011 State Legislature dictates that it is up to the property owner as to whether the City or a private carrier collects solid waste from the property.

• Ambulance Service: The City does not provide ambulance service, however it does dictate the level of service provided by American Medical Response (AMR). By City ordinance, 90% of ambulance calls must be answered within 8 minutes; this annexation is within the area of acceptable response time.

• Legal and Finance: General Fund services, such as the Legal and Finance Departments should not be negatively impacted by this annexation. The Finance Department responded that it did not see any issues with the petition request.

• Other Departments: City/County services including Library, Planning, and Environmental Health are only slightly affected by the annexation since they will continue to serve new development whether in the City or the County.

Annexation of this property would adhere to the following goals, objectives and policies of the West Billings Plan:

• Plan for the orderly and efficient urbanization of agricultural lands (Land Utilization Goal 1, p. 32).
• Promote efficient utilization of land within the West Billings planning area by promoting well designed, more pedestrian friendly, urban development patterns (Planned Growth Goal 1, p. 16). 

Annexation of this property would adhere to the following goals, objectives and policies of the Yellowstone County and City of Billings 2008 Growth Policy:
 

• Predictable land use decisions that are consistent with neighborhood character and preferred land use patterns identified in neighborhood plans. (Land Use Element Goal, page 6)
• A multi-purpose trail network integrated into the community infrastructure that emphasizes safety, environmental preservation, resource conservation and cost effectiveness (Open Space and Recreation Element Goal, Page 10).
• Safe, functional, and attractive streets for all users, including drivers, bicyclists and pedestrians (Public Facilities and Services Element Goal, p. 13).