Planning staff is recommending approval of Zone Change 1080 and adoption of the findings of the 10 review criteria.  

This request involves a PND-MU zone change and annexation of approximately 53 acres located west of Shiloh Road near Zoo Drive. The proposal would rezone the property from County designations (A, RR1) and NMU to a mix of CMU1, NX1, N1, and P1, creating a mixed-use development with commercial frontage along Shiloh Road, transitioning to higher-density residential and then lower-density residential adjacent to existing county properties.

The proposal aligns with the 2016 Growth Policy and the West Billings Neighborhood Plan by supporting mixed-use development, a range of housing types, connectivity, and appropriate land use transitions. 

The site is within the City’s annexation area, with annexation and zoning proceeding concurrently. Future subdivision and master site plan reviews will address infrastructure, layout, and design. Existing nearby City services position the property for coordinated urban development. This PND will allow commercial uses to front the project and keep the housing away from Shiloh Road, a major arterial road. 

This is a zone change request from Agriculture (A), Rural Residential 1 (RR1), and Neighborhood Mixed Use (NMU) to Corridor Mixed Use 1 (CMU1), Mixed Residential 1 (NX1), First Neighborhood (N1) and Parks and open space 1 (P1) on approximately 53 acres. The property is legally described as Tract D of Amended Tract 1-A-2 of COS 1100, Tract 2-B of Amended Plat of Tract 2, COS 1100, and Tract 2-A-1 of Amended Tract 2-A of Amended Tract 2, COS 1100, S22, T01 S, R25 E. The property is generally located west of Shiloh Road and north of Summer Lane. This is a zone change request using the Planned Neighborhood Development Mixed Use (PND-MU) zone change process for a proposed annexation.  PND-MU will include approximately 34 acres of CMU1 on the Shiloh Road frontage, 9 acres of NX1, 6 acres of N1, and 2 acres of P1. These acreage amounts reflect approximate gross acres.

This area of Billings has experienced a great deal of growth and development recently with retail and some housing to the north. Housing demand has reached a high level while supply of all types of housing choices has not kept up with the demand. Development on the edge of the City of Billings presents challenges, including ensuring appropriate transitions between adjacent county properties and new urban neighborhoods. While these transitions do not require homogeneity, the development plan will include buffering, connectivity that supports the planned network in the neighborhood plus existing and needed ROW dedications, and recognition of shared goals across property types.

The proposed PND-MU zoning is consistent with the goals and policies of both the 2016 Billings Growth Policy and the 2001 West Billings Neighborhood Plan. The West Billings Neighborhood Plan emphasizes the importance of compatible land use patterns and a range of housing types and densities, which are supported by the proposed zone change. It also promotes a gradual transition from existing residential development to the west toward higher-intensity uses, including multifamily, mixed-use, and commercial development along the Shiloh Road corridor. Similarly, the 2016 Billings Growth Policy encourages a diverse mix of housing options, the development of walkable neighborhoods with strong connectivity to transportation networks and services, and the creation of cohesive community spaces through thoughtful urban design. The proposed zoning aligns with these objectives by incorporating commercial uses along Shiloh Road, transitioning to higher-density residential uses internally, and providing lower-density development adjacent to existing County residential areas.

The subject property is located within the City’s Limits of Annexation (Zone 1), with the annexation petition proceeding concurrently with the proposed zone change. Following annexation and zoning, the property will be subject to subdivision review, which will evaluate traffic impacts, connectivity, public utilities, and other applicable design requirements. Subsequent development involving multiple structures on individual lots will require Master Site Plan approval. This review will address the overall layout of the development, including private and public roadway design, building placement and design, landscaping, and utility infrastructure. Although the property is located near the edge of the City, municipal services are available in the Shiloh Road area and can be extended to serve the site upon annexation. This availability of infrastructure supports coordinated and orderly development consistent with City standards.

APPLICATION DATA:
APPLICANT: Larson Family Properties LLC
AGENT: John Halverson, Sanbell Engineering
LEGAL DESCRIPTION: Tract D of Amended Tract 1-A-2 of COS 1100, Tract 2-B of Amended Plat of Tract 2, COS 1100, and Tract 2-A-1 of Amended Tract 2-A of Amended Tract 2, COS 1100, S22, T01 S, R25 E
ADDRESS: N/A
CURRENT ZONING: Agricultural (Ag) Neighborhood Mixed-Use (NMU) Rural Residential 1 (RR1)
PROPOSED ZONING: Corridor Mixed Use 1 (CMU1) Mixed Residential 1 (NX1) First Neighborhood Residential (N1) and Parks and Open Space 1 (P1).
EXISTING LAND USE: Agriculture/Vacant
PROPOSED LAND USE: Mixed Use
SIZE OF PARCEL(S): 53 acres

SURROUNDING LAND USE & ZONING:
NORTH Zoning: N2 - Mid-Century Neighborhood, NO - Neighborhood Office, P1 - Parks and Open Space (City)
NORTH Land Use: Residential
SOUTH Zoning: P2 - Public, Civic and Institutions
SOUTH Land Use: Zoo Montana
EAST Zoning: CX - Heavy Commercial
EAST Land Use: Costco Retailer
WEST Zoning: A - Agriculture
WEST Land Use: City of Billings future water detention facility

SUMMARY
Before making a recommendation to the City Council, the Zoning Commission shall consider the following findings of the ten review criteria:

1) Is the new zoning designed in accordance with the Growth Policy?
The proposed Mixed-Use Planned Neighborhood Development (MU-PND) zoning is consistent with the 2016 Billings Growth Policy. The development supports the City's goals for housing diversity, walkable and safe neighborhoods, efficient use of infrastructure, and long-term economic vitality. The following sections summarize key Growth Policy goals.
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.
• Safe and livable neighborhoods can be achieved through subdivision design that focuses on complete streets, connectivity, pedestrian-scale streetlights, street trees and walkable access to public spaces.
• Neighborhoods that are safe and attractive and provide essential services are much desired.

Home Base:

• A mix of housing types that meet the needs of a diverse population is important.
• Common to all types of housing choices is the desire to live in surroundings that are affordable, healthy and safe.
• Planning and construction of interconnected sidewalks and trails are important to the economy and livability of Billings.

Essential Investments:

• Infill development and development near existing city infrastructure may be the most cost-effective. 
• Neighborhoods that are safe and attractive and provide essential services are much desired.
• Infrastructure and service investments that stabilize or improve property values, secure future utility costs, consider maintenance costs, and improve environmental quality far into the future (i.e., energy efficient) are desirable.

The proposed zoning supports these objectives by providing a mix of residential types (single-family, duplex, and multi-family units) to meet diverse population needs. The inclusion of CMU1 commercial uses creates convenient neighborhood destinations, fostering walkability and social interaction. Subdivision design standards will incorporate complete streets and pedestrian-scale lighting, ensuring safe streetscapes. By locating development near existing city infrastructure, the project uses public services efficiently and promotes orderly growth. Commercial and residential integration also contributes to long-term economic activity.

The West Billings Neighborhood Plan goals and objectives stated the need to locate compatible uses and offer a range of housing choices and development densities. The West Billings Plan adopted a number of Goals, Policies, and Implementation Strategies. The proposed MU-PND for the property is consistent with the following adopted Policies of Planned Growth.
Goal 1: Establish Development Patterns that Use Land More Efficiently

• Policy E Commercial nodes should contain business development sites of various sizes to accommodate a variety of businesses.
• Policy M Development in the West Billings planning area shall provide for a variety of residential types and densities.
• Policy R Encourage innovative land-use planning techniques to be used in building higher density and mixed-use developments as well as infill developments.

The proposed zoning supports these policies by creating a commercial node that includes approximately 34.88 acres of CMU1 along the Shiloh Road frontage. This area will be, in the future, subdivided into smaller lots. This provides space for a variety of businesses while maintaining compatibility with surrounding uses. The mix of housing types allowed within NX1 and CMU1 ranges from 1 to 9+ dwelling units per structure, offering a variety of residential options that align with Policy M. N1 zoning allows for higher density of single-family and duplexes. This zoning is near the existing County residential housing that exists just outside this proposed area in the south-west corner.

2) Is the new zoning designed to secure from fire and other dangers?
All proposed zoning district included within the Mixed Use PND are subject to established setbacks, build-to areas, height restrictions, and building codes, which help maintain safe separation between structures and minimize fire and other hazards. Subdivision and Master Site Plan reviews ensure that streets, access points, and fire hydrants are designed and installed to provide adequate emergency response throughout the development. Building design and materials will comply with the International Building Code and International Fire Code, which regulate safe egress and hydrant location.

3) Whether the new zoning will promote public health, public safety and general welfare?
The mix of residential and commercial uses encourages walkable neighborhoods, providing convenient access to parks, open spaces and services. This supports physical activity and social interaction, contributing to overall public health. As mentioned in Criteria 2, the proposed zoning complies with setbacks/build to zones, building separation requirements, and height restrictions, which help reduce fire risk and other hazards. Master Site Plan and subdivision reviews ensure streets, sidewalks, and access points are designed for emergency vehicle access, safe circulation for all users in the neighborhood area, and utility lines with fire hydrants will meet City standards to ensure reliable emergency response. The future subdivision will require a traffic impact study to analyze the impact of the proposed development on intersections. If the future development is determined to have an impact on area intersections the developer will be required to make a proportionate share contribution associated with the impacts. 

4) Will the new zoning facilitate the adequate provision of transportation, water, sewerage, schools, parks and other public requirements?
Transportation: The applicant has started the process of developing a traffic impact study (TIS) as part of the subdivision process. The TIS identifies intersections within proximity to the development to evaluate their current level of service and the development's impact on each intersection. If impacts are determined, the developer is required to contribute their proportionate contribution. This contribution is then used to improve intersections in the area.
Water and Sewer: This property has water and sewer lines along the Shiloh Road frontage with stubs into the property. As part of the annexation agreement, the City evaluates water and sewer sizing for the proposed development while anticipating future development. Adequate provision of water and sewer are addressed within the agreement.
Schools and Parks: The proposed zoning itself will have no impact on schools or parks, but the development will. Schools and parks will be affected by the new residential housing units. SD #2 will be contacted for comments with the subdivision review as lot design is finalized.
Fire and Police: The subject property will be served by city public safety services. The Police and Fire Departments were both contacted for comments on the proposed zone change. The police department currently has a route in the area and do not have concerns. The fire department have no comments at this time as this is a zone change and does not show structures or streets. 

5) Will the new zoning provide adequate light and air?
The proposed zoning is designed to maintain adequate light, air, and openness for all residents and adjacent properties. Each zoning district, CMU1, NX1, N1, and P1, has established setbacks/build-to, height limits, and will regulate building placement and separation. These standards prevent overcrowding, ensure sunlight reaches streets and open spaces, and allow airflow throughout the development.

6) Will the new zoning affect motorized and non-motorized transportation?
Shiloh Road is a principal arterial street. The average daily traffic on Shiloh Road/Zoo roundabout is 11,900 trips per day, (2025 data). Shiloh Road has had improvements made to it as well as Zoo Drive, with the new Costco retailer moving onto Zoo Drive. Shiloh Road and Zoo Drive are both State of Montana owned roads. All internal to the development streets will be designed in accordance with City standards, ensuring safe access for cars, buses, pedestrians and emergency vehicles. Subdivision and Master Site Plan reviews will evaluate traffic circulation, intersections, and connections to the surrounding street network to minimize congestion and maintain smooth vehicular flow. The future subdivision will require a traffic impact study to analyze the impact of the proposed development on intersections. If the future development is determined to have an impact on area intersections the developer will be required to make a proportionate share contribution associated with the impacts. 

7) Will the new zoning promote compatible urban growth?
The proposed zoning is designed to encourage compatible urban growth by providing a mix of residential and commercial uses that integrate with surrounding neighborhoods. The combination of N1, NX1, and CMU1 zoning allows a range of housing types, from single-family and duplex units to multi-family units in mixed-use buildings providing a variety of housing. The commercial nodes are strategically located along Shiloh Road to concentrate activity and reduce impacts on adjacent residential areas. The project will utilize existing streets, utilities, and city services efficiently, ensuring that growth occurs in an orderly manner without overextending public resources.

8) Does the new zoning consider the character of the district and the peculiar suitability of the property for particular uses?
The proposed zoning considers the character of the district and the suitability of the property for the proposed uses. This area is experiencing rapid urban and commercial growth, with increasing demand for a variety of housing types, including townhomes, apartments, single family and attached homes, as well as local neighborhood and commercial services. The proposed CMU1 zoning along Shiloh Road provides an appropriate location for neighborhood serving commercial uses, concentrating activity along a major corridor while minimizing impacts on adjacent residential areas by its location on an arterial street. The mix of residential zones (NX1 and N1) offers a range of housing choices and densities that transition smoothly from lower-density county subdivisions to the south-west to higher-density city developments to the north.

9) Will the new zoning conserve the value of buildings?
The proposed zoning utilizes setbacks, build-to zones, building orientation, and height restrictions to minimize impacts on adjacent properties and maintain the overall character of the surrounding area, while transitioning to a city development. The development to the north is zoned Mid Century Neighborhood (N2) and Neighborhood Mixed Use (NMU) and is developed with duplexes. The proposed development utilizes CMU1 adjacent to Shiloh, transition to NX1 and then to N1 moving further away from Shiloh. The proposed zoning is compatible with uses in the area and will conserve the value of the buildings. 

10) Will the new zoning encourage the most appropriate use of land throughout the City of Billings?
The proposed Mixed Used PND with N1, NX1, CMU1 and Public 1 zoning will encourage the most appropriate use of this land. The property is within the City's Limits of Annexation and is planned for urban / commercial development. Utilizing this land for a mix of residential and commercial uses leverages existing streets, utilities, and city services. As mentioned in prior criteria, the development provides a range of housing types and neighborhood-serving commercial spaces. This balance ensures the land supports multiple community needs while maintaining compatibility with surrounding properties.

Approval or denial of the proposed zone change will not have a financial impact on the Planning Division budget.

The applicant conducted a pre-application neighborhood meeting on February 23rd, 2026, at 6:00 p.m. at Sanbell offices located at 1300 North Transtech Way. Six surrounding property owners attended the meeting, excluding the applicant. In accordance with PND requirements, notification was provided to all property owners and interested parties within a one-quarter mile radius of the subject property, totaling 44 recipients.

Discussion at the meeting generally focused on the anticipated number of dwelling units, potential traffic impacts, and access to Shiloh Road. Attendees expressed concerns regarding traffic conditions, including the current state of the Shiloh Road overpass crossing the Interstate. In response, the applicant’s agent indicated that a Traffic Impact Study (TIS) is under contract and will evaluate project-related impacts and identify any required mitigation measures, including proportionate share contributions. Questions were also raised regarding the proposed realignment of Summer Lane into the subdivision. The agent explained that the adjustment is intended to increase separation from the Zoo entrance and Pierce Parkway. Retaining the existing alignment would likely require conversion to a right-in/right-out configuration to reduce potential traffic conflicts. Additional discussion included future development plans for the property. The applicant indicated that the intent is to subdivide the property and sell individual lots to developers, who would then be responsible for final construction and site development. A summary of the neighborhood meeting is included in the application materials.

At the time of writing this report, staff has not received any correspondence from surrounding property owners or others in the area. 

The Zoning Commission may:

• Recommend approval and adoption of the findings of the ten review criteria for Zone Change 1078; or,  
• Recommend denial and adopt different findings of the ten review criteria for Zone Change 1078; or,
• Delay action on the zone change request for up to 30 days; or,  
• Allow the applicant to withdraw the zone change request.

As of the writing of this staff report. the applicant has not requested a delay or withdrawal of the application.