Richard Jr. and Mae L. Sartorie have submitted a petition to annex land to the City of Billings under Section 7-2-4600, MCA. The subject property is a parcel totaling about 3 acres. The property is addressed as 1880 and 1916 Hawthorne Lane in the Billings Heights. It is located north of Kyhl Lane and west of Hawthorne Lane. The property owner is requesting annexation in order to obtain City services for development of the property. The property is zoned Residential 7,000. A subdivision application is also under review and will come before the Council on June 23. 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’s policy is to consider annexations at two separate Council meetings. The Council acknowledged receipt of this petition at its meeting on May 27. The Council will conduct a public hearing and take action on the petition at this meeting. 

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 service and the County Water District of Billings Heights will provide water service to the subject property. The owner will be responsible for all costs of extending the utilities from Kyhl Lane and Hawthorne Lane. 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, the property is expected to be developed as single-family residential development and will contribute additional tax revenue to the City.

The subject property totals about 3 acres and is addressed as 1938 Hawthorne Lane. The property owner is requesting annexation in order to obtain City services for development of the property. A preliminary major subdivision plat application is going through the review process concurrently and is expected to go before the City Council in July. 

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 south boundary.

PROCEDURAL HISTORY

• On March 10, 2014, the annexation petition was submitted to the Planning Division.
• On May 27, 2014 the City Council acknowledged receipt of the annexation petition and set a public hearing for June 9.
• On June 9, the City Council will conduct the public hearing for the annexation and may take action on the request.
• On June 23, 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 July 14, 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 23 and published in the Billings Times on May 22. 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 sewer services. The County Water District of Billings Heights is able to provide water 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. County Public Works did state that it was important that all of Kyhl Lane is annexed, if any is still in the County, into the City with this annexation.  

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

• Water: Water service is available via the County Water District if Billings Heights. 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 Kyhl Lane or Hawthorne Lane, depending on the design. 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. The concurrent subdivision review has identified an area along Kyhl Lane at the south end of the subdivision to be used to detain stormwater for the subdivision. 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 Kyhl Lane a Local Residential Street. Details of access and traffic management are being determined through the subdivision process. Currently, the subdivision will have to build Kyhl out to Hawthorne Lane for access requirements. 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 #6, located at 1601 St. Andrews, about 1.76 miles west of the subject property.

• Parks: The subject property is zoned Residential-7000 and will remain zoned that way if annexed. The property is to be developed for residential uses and park land dedication and/or cash-in-lieu for dedication is being determined through the subdivision process.

• Bicycle and pedestrian facilities: The proposed subdivision lies within the jurisdiction of the Billings Area Bikeway and Trail Master Plan. The existing Kiwanis Trail is east of the subject property and could be accessed by residence of the property via Kyhl Lane. The Master Plan shows a proposed bike lane on Hawthorne Lane and Barrett Road that will be constructed in the future and would serve residence of this property.

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. The nearest bus route is on Hawthorne Lane about a block southeast of the subject property.

• Police: The Police Department states that this property is already within an established patrol area and may be served. However, 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 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 however traffic impacts will be identified during the subdivision and site development review process.

• 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 did not have any issues with the petition request.

• Other Departments or Agencies: 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. Billings School District #2 will be affected by the annexation as the property is planned for residential development.

Billings School District #2:  The District noted that students from the annexed property will attend Bitterroot Elementary School, Castle Rock Elementary School, and Skyview High School, all of which are over capacity currently. The Districts current effort to build several new middle schools, shift the 6th graders to middle schools from the elementary schools, and redistrict may alleviate some of the capacity issues over time.

Annexation of this property would adhere to the Future Land Use Map in the Billings Heights Neighborhood Plan, which identifies medium density residential development in the area of this property. The annexation also conforms to the following goal of the Billings Heights Neighborhood Plan:

• To provide safe, good quality and affordable housing the Heights. Develop housing pattern that are compatible with existing neighborhoods. Maintain similar housing in established neighborhoods (Issue: Planning for the future, Page 19).

Annexation of this property would adhere to the following goal 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)