Sanderson Stewart submitted a petition to annex land on behalf of Jamey Eisenbarth, owner, using the provisions of Section 7-2-4600, MCA. The subject property is a 10.87 acre parcel described as Tract 2, Certificate of Survey 3426. The property is located at the southeast corner of the intersection of Blue Creek Road and Santiago Boulevard south of the Yellowstone River. The property is vacant and the owner is requesting annexation in order to develop the property in the City for commercial purposes. The owner has submitted a preliminary subdivision plat application for an expedited subdivision plat in the City to create two lots. The annexation schedule has been coordinated with the expedited plat to ensure the property is within the City before the platting process is completed.

The property is located within the City Annexation Petition Area on the City's Limits of Annexation Map and appears to meet some of the City's criteria in its Annexation Policy. The City is able to serve the property and further analysis and discussion is provided in the Consistency with Adopted Plans and Policies section of this memo. The City Council considers this annexation at two separate Council meetings. At the first meeting on July 24, the Council accepted the annexation petition for this property and set a public hearing date for August 14. At this meeting, the Council will conduct the hearing and decide if it will annex the property.

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 only alternative that is consistent with City Council policy and state law is to conduct a public hearing and review the request before taking action.

 

The City is able to provide municipal water and sewer to the subject property via existing mains along Blue Creek Road adjacent  and in easements along the frontage of the property. Staff is recommending the two standard conditions of approval for this annexation: That a Development Agreement be executed with the City to identify infrastructure improvements and timing of those improvements to serve the property, and dedication of road right-of-way will be required before development; and/or that a Subdivision Improvement Agreement through a subdivision platting process be signed and recorded between the property owner and the City to identify infrastructure improvements and timing of those improvements to serve the property, and dedication of road right-of-way be defined. Since this property is under preliminary plat review for a commercial subdivision, it is expected to be developed for commercial uses for small businesses and personal storage. The City will receive property tax revenue and payment for fees and assessments for City services after the property is developed.
 

The subject property totals about 18 acres. It is located at the southwest corner of the intersection of Santiago Boulevard and Blue Creek Road. There is property inside the City Limits along the eastern and northern boundary of the property. The property is vacant at this time. The property appears to meet some of the City's criteria in its Annexation Policy.

PROCEDURAL HISTORY

• On June 8, 2017, the annexation petition was submitted to the Planning Division by the owner's agent. Coordination of the timing of the review of the annexation petition somewhat delayed the schedule for consideration of the annexation petition. 
• On July 24, the City Council accepted the petition to annex the property and set a public hearing date for August 14.
• On August 14, the City Council will conduct the public hearing for the annexation and may take action on the request.
• On August 28, if the City Council approves the annexation resolution, a public hearing and first reading of an ordinance to include the property in City Council Ward III will be conducted.
• On September 11, the City Council will conduct the second and final reading for the ordinance expanding the Ward III boundary.

Annexation by petition does not require notification of adjoining landowners; however, it does require that the City Council conduct a public hearing and post the property with information on the annexation petition and public hearing. Notice of the public hearing was posted on the property on July 27 and published in the Yellowstone County News on July 28. The Planning Division has not received any inquiries about this petition at the time this memo was prepared.

Although Montana Code does not require the City to prepare a provision of public services plan for Annexation by Petition (Section 7-2-4600, MCA), it is the City’s custom to have staff prepare an analysis of predicted impacts to services and facilities, and information on how services will be provided to the property after annexation. The proposed annexation complies with the adopted Annexation Policy criteria as follows:

1. The area is located within the City's Annexation Petition Area on its Limits of Annexation Map.
2. The City is able to provide municipal water and sewer services to the property.
3. Any proposed public improvements within the area to be annexed will meet City standards.
4. All property owners within the area to be annexed must sign a Waiver of Right to Protest future Special Improvement Districts. The proposed conditions of annexation that the property owner enter into a Development Agreement or Subdivision Improvement Agreement with the City will ensure that the waiver is signed.
5. If annexed, any proposed land use will comply with the zoning. The property is currently zoned Neighborhood Commercial and Community Commercial. Any development of the property would comply with the zoning regulations.

Departmental Response: City and County Departments were given the opportunity to comment on this annexation. City departments responded favorably and detailed responses are provided below. The County Public Works Department did not have comments on this annexation request. 

City Facilities:
Specific comments from City Departments are provided below:

• Water: This property is intended to be served by an existing water main located in Blue Creek Road along the west side of the property. The subject property will be responsible for extending a service main and connecting to the main at the time of development.

• Sewer: The property will be served by an existing sanitary sewer main located in an easement along the west side of the property adjacent to Blue Creek Road. The subject property will be responsible for extending the sewer main and connecting to the main at the time of development.

• Storm water: All of the storm water runoff from this property will need to meet the City of Billings requirements for storm water management. Any future development will follow the City of Billings storm water regulations.

• Transportation: The subject property will be served by Blue Creek Road and Santiago Boulevard, both public roads that abut the subject property to the north and west. The specific development plans for the property also will be a factor in the future transportation infrastructure for the property and will be reviewed by the City of Billings and the Montana Department of Transportation.

• Fire Stations: The subject property is currently served by the Blue Creek Volunteer Fire Department. Upon annexation, the City of Billings Fire Department will provide service to the property. 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 #4, located at 476 6th Street West, about 3 road miles north of the subject property.

• Parks: The subject property is planning for commercial uses, so park land dedication or a cash-in-lieu contribution is not expected to be required with the development.

• Bicycle and pedestrian facilities: The property lies within the jurisdiction of the 2017 Billings Area Bikeway and Trail Master Plan Update. The Plan identifies a long-range plan for a shared use path on Blue Creek Road out to Briarwood past the subject property. The developer of the subject property may be required to contribute to improvements to Blue Creek Road in the future through the subdivision process or an SID. No improvements are planned at this time.

• School facilities: The subject property would be served by Blue Creek School District for Elementary and Middle School, and Billings School District #2 for high school. However, the property is expected to develop for commercial uses and so there is not expected to be demand on schools in the area.

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. However, MET Transit does not currently have plans to extend service to the Blue Creek area to serve this and other properties.

• Police: The Police Department staff stated that while the Department can serve the area as it near an established patrol area that includes the Cedar Park and Briarwood subdivisions, continued annexation and development will eventually adversely impact the Department's ability to deliver services.

• Public Utilities: The Public Works-- Distribution and Collection Division had no concerns with the annexation request. The City is moving forward to annex its sewer lift station property, described as Tract 1, Certificate of Survey 3426, following this annexation, as the lift station property will be surrounded and should be included in the City.

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

• Public Works-Solid Waste: The Solid Waste Division has no concerns with annexing the property, but pointed out that State Law allows the property owner to choose which garbage hauler may service the property after it is in the City. 

• 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 property may be 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 and did not provide any comments with the 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 the property whether it is in the City or the County. The Planning Division staff supports the annexation because the property is in the City Annexation Petition Area, has access to City services, is in an area that in the long term should develop to in the City to City standards.

 Annexation of this property would adhere to the following guidelines of the 2016 City of Billings Growth Policy:

• Essential Investments: Infill development and development near existing City infrastructure may be the most cost effective

The property is currently outside the City Limits but is within the limits of annexation. City water and sewer infrastructure was constructed along Blue Creek Road in this area for the provision of services for urban development in this area.  The commercial zoning of the property is an efficient use of this property along a principal arterial street and supports a variety of commercial uses.

• Essential Investments: Infrastructure and service investments that stabilize or improve property values, secure future utility costs, consider maintenance costs, and improve our environmental quality far into the future are desirable 

Developing this property that is in close proximity to the Yellowstone River using City services helps protect the river corridor, helps cover the cost of the utility infrastructure installed in this area for City development, and may increase property values in the area.