This is a special review request to allow the location of an All-Beverage Liquor License with Gaming (bar & casino) as part of a new Town Pump gas station, convenience and liquor store in a Community Commercial (CC) zone on Lot 1, Block 5 of Zimmerman Home Place Subdivision, a 3.39-acre parcel of land. 

Special Review applications are reviewed using City Code criteria referenced in the Alternatives Analyzed section of this memo. Special Reviews do not require an ordinance for approval, are not zone changes on property; rather, are tied to specific uses that are allowed in a given zoning district but are subject to a review by the City prior to the use being allowed. Special Reviews, unlike zone changes, may be conditioned to mitigate possible impacts from the use on the subject property or surrounding properties.
 

City Council may:

• Approve the request;
• Conditionally approve the request;
• Deny the request;
• Allow the applicant to withdraw the request; or
• Delay action on the request for up to 30 days.

APPLICATION DATA
OWNER:                             Town Pump, Inc.
LEGAL DESCRIPTION:      Lot 1, Block 5, Zimmerman Home Place Sub. 1^st Filing
ADDRESS:                          3415 Grand Avenue
CURRENT ZONING:           Community Commercial
EXISTING LAND USE:        Vacant/Agricultural
PROPOSED USE:               All Beverage with Gaming  
SIZE OF PARCEL:               3.39 acres 

The Planning Division reviewed the application and recommended conditional approval to the Zoning Commission. The Zoning Commission concurred with the recommendation. Before a recommendation of approval or conditional approval can be made, each special review request must demonstrate conformance with three primary criteria: 1) The application complies with all parts of the Unified Zoning Regulations, 2) The application is consistent with the objectives and purposes of the Unified Zoning Regulations and the 2016 Growth Policy, and 3) the application is compatible with surrounding land uses and is otherwise screened and separated from adjacent land to minimize adverse impacts.

This application conforms to the first criteria in so far that the zoning regulations adopted by the City Council have designated that any on-premise liquor license in a CC zone may apply for a special review. The proposed site plan meets all the requirements of the zoning regulations for setbacks, building height, clear vision areas and lot coverage.
 
The application meets criteria from the second requirement as it is consistent with some of the objectives of the Growth Policy:
Essential Investments:
Infill development and development near existing City infrastructure may be the most cost effective. 
The development of a vacant parcel in an area close to established commercial areas will be a cost effective project where City infrastructure and some services already exist.
 
Strong Neighborhoods and Essential Investments: Neighborhoods that are safe and attractive and provide essential services are much desired. Infill development and development near existing City infrastructure may be the most cost effective. 
The proposed special review will promote infill development of an existing parcel where there are City services and infrastructure near the site. This will provide an additional service to those residents within the surrounding neighborhoods.
 
Prosperity: A diversity of available jobs can ensure a strong Billings’ economy. Successful businesses that provide local jobs benefit the community. 
This development will allow a new business to be located in a growing area of Billings, creating new jobs. This development will help support and sustain the tax base for Billings.
 
The application also meets the third criteria in that it is compatible with surrounding land uses in the area. This site is in a growing area of Billings, with good access to transportation choices. The area provides access to essential everyday services such as restaurants, retail shopping, convenience shopping and services. There are minimal impacts from the proposed use that need to be mitigated. The conditions recommended with the special review should mitigate impacts on the site and the surrounding properties.
 

If the special review is approved, value will be added to the City's tax base. If the special review is not approved, the property may remain as it is and not increase any taxable value

This is a special review request to allow the location of an All-Beverage Liquor License with Gaming (bar & casino) as part of a new Town Pump gas station and convenience and liquor store in a Community Commercial (CC) zone on Lot 1, Block 5 of Zimmerman Home Place Subdivision, a 3.39-acre parcel of land.
 
According to the 2016 Billings Urbanized Area Traffic Count Map, there are no traffic counts available for this section of Zimmerman Trail.  The closest traffic count on Zimmerman Trail is north of Rimrock Road at 11,890 trips.  The closest traffic count for Grand Avenue is 14,000 trips.  Zimmerman Trail and Grand Avenue are both considered principle arterials.
 
The applicants are proposing construction of a new Town Pump gas station with convenience store, lounge, liquor store and casino on the recently annexed parcel of land on the northwest corner of Grand Ave. and Zimmerman Trail. The City requires a special review any time an existing or new on-premise liquor license is located within the city limits. The City does not control the number of on-premise liquor licenses that may be issued by the state. The City can specify appropriate zoning districts, separation requirements and provide for conditions of approval to mitigate any potential negative effects of the location on an on-premise liquor license.

The Zoning Commission conducted a public hearing on June 5, 2018, and received the staff recommendation and testimony from the applicant's agent Mark Olson, of AT Architects. Mr. Olson gave an overview of the property and development plan. He said the site plan submitted is preliminary and can be modified to accommodate conditions required. He said the project will comply with all landscaping and parking requirements. Mr. Olson reviewed the property and surrounding uses, noting the land north and west is currently vacant and is being used for agricultural purposes.

Commissioners voiced concerns with the location of another all beverage license with gaming (a casino) when there are currently several existing within a few miles on Grand Avenue. 
  
Susan Smith spoke in opposition of the request, stating the close proximity of the subject property to existing casinos, gas stations and liquor stores.  She also provided a copy of state statutes that would allow local government to restrict, or put limitations, on the number of casinos allowed in the City of Billings or County of Yellowstone. Karen Freeman concurred with Susan and said there are 21 casinos along Grand Avenue from 8th Street West to 24th Street West, or about 1 every 1,000 feet.  She said there are already too many casinos in Billings. Tiffany Wardell concurred with the previous statements of opposition, but said she wasn't as concerned about the gas station and convenience store at this location. She questioned if the governing bodies of Billings wanted the casinos to be a defining characteristic of Billings.

Connie Wardell concurred with the previous opposition and added that she drives Grand Avenue 4 times a day and knows there are 5 casinos within 1/2 mile  as well as 3 gas stations.  She said she has seen great improvements along Grand Avenue over the years and didn't want to see us move backwards.

Cary Smith, State Senator from District 27, concurred with previous opposition and added the City Council has the ability to restrict where casinos and liquor stores are located.  He said he wanted it on the record the allowance of casinos and liquor stores in Billings needs to be addressed.  

Commissioner Ulvestad asked what the State Legislature can do. Mr. Smith said it is difficult to address local casinos in the State House.  He strongly encouraged the Commission and Council to utilize the existing legislative authority in place.  Trying to make changes at the State Legislative level is difficult when dealing with 150 different people (Senators).  Changes can be made at the local level if the Commissioners and Council would use the tools in place.  Commissioner Wagner agreed we should not let the Legislature determine our community needs, it should be done at the local level.  

Gordon Olson concurred with previous opposition and added there are over 150 casinos in Yellowstone County, and the revenue of millions of dollars primarily goes to the State of Montana. He said the public bears the cost of crime related to this type of business.  He said this needs better control at the local level.  Pete Castellano concurred with previous opposition and said he lives on Avalon and watched the growth of new business on the east side of Zimmerman. He said he has no issues with a gas station.  He also stated that a condition of approval to restrict hours of construction was fine, however it did not restrict the hours of operation.  The casinos would likely be open later than this restriction and so the condition would not mitigate the noise and traffic generated after 8:00 P.M. He said he did not see anything that a casino would do to benefit the community.  Jim Wise concurred with previous opposition. 

Mark Olson gave a rebuttal. He said the license is only on 3.39 acres and is far away from the residents to the north and west. He said at peak hours there are rarely more than 10 patrons at a given hour.  Commission Wagner asked what the separation distance was from the nearest Town Pump.  Mr. Olson did not have that information.  There was discussion and clarification as to how licenses are issued in the State of Montana based on population.  Commissioners were very concerned with the traffic issues that would burden the intersection without a right hand turn lane. Traffic congestion at the intersection was a major concern.

Chairman Wagner closed the public hearing and called for a motion.  A motion was made by Commissioner Ulvestad to forward a recommendation of denial to the City Council, it was seconded by Chairman Wagner. The motion failed on a 1-3 vote. 

A substitute motion was made by Commissioner Larson, seconded by Commissioner Mariska, to forward a recommendation of conditional approval and adoption of the findings of the 3 criteria for Special Review 964, with the staff recommended conditions.  The motion passed with a 3-1 vote, with Commissioner Ulvestad voting against the motion.

The Commissioners felt that it was very important to have on the record they wanted to encourage the City Council to initiate action to address the continued influx of casinos, bars and liquor stores.  They wanted it clearly on the record there were issues with traffic, crime as well as other items that are not essential for our neighborhoods and felt there are State statutes in place that allow the Council to restrict the amount of these types of businesses in Billings.

The Consistency with Adopted Plans and Policies is discussed in the Alternatives Analyzed section above.