This is a special review request to construct a new 43-space parking lot with alley access and landscaping in a Residential 7,000 (R-70) zone, on the North 130 feet of Lot 8 and the North 140 feet of Lot 7, Block 3 of West View Subdivision, a 20,250 square foot parcel of land generally located on the east side of 16th St. West just north of the intersection of Lewis Avenue. The Zoning Commission conducted a public hearing on August 2, 2016, and is forwarding a recommendation of conditional approval and adoption of the findings of the 3 review criteria on a 3-1 vote.

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
• Delay action on the request for up to 30 days

The Planning Division reviewed the request and recommended conditional approval based on the findings of the 3 review criteria.  The Zoning Commission concurred with this 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 2008 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 because it is within a district where a parking lot may be allowed by special review.
 
The application also conforms to the second and third criteria. The zoning regulations adopted by the City Council have designated that all residential zoning districts can have a parking lot on them as long as they go through the special review process. The proposal is consistent with goals of the 2008 Growth Policy – specifically the goal of encouraging uses that are compatible with the character of the adjacent land use patterns. This site is in a transitional area of Billings, with residential and professional office uses next to each other.  The development of this parcel into a parking lot would continue that trend and take a parcel that is vacant and contains weeds and redevelop it to improve the neighborhood. There are minimal impacts from the proposed location of the parking lot that need to be mitigated. The conditions recommended with the special review should mitigate impacts on the site and the surrounding properties.

The Zoning Commission recommends the following conditions of approval:

1. The special review approval is for the construction of a parking lot facility generally located at the 1100 Block of 16^th St. West.
2. The approval is limited to North 130 feet of Lot 8 and the North 140 feet of Lot 7, Block 3 of West View Subdivision, a 20,250 square foot parcel of land.
3. The proposed use as a parking lot is supported by City Engineering and with this special review process, also grants the applicant a variance from the requirement of a separate Site Development Variance normally required by City Engineering for access through the alley.
4. Increases in the number of parking spaces greater than 10% of the numbers shown on the site plan will require additional special review approval.
5. The site will be developed in conformance with City Planning and City Engineering input to ensure it meets the requirements of zoning, site development and safety identified by staff, including those identified by City Engineering in the ‘Engineering Comments’ attached to this staff report.
6. The applicant will install screening, fencing, and landscaping along the 16^th St. West frontage with an opening at the southwest corner and directional signage to encourage pedestrian crossing at the signalized intersection of 16^th St. West and Lewis Avenue.
7. No construction can take place before 7 am or after 8 pm.
8. These conditions of special review approval shall run with the land described in this authorization and shall apply to all current and subsequent owners, operators, managers, lease holders, heirs and assigns.
9. The proposed development shall comply with all other limitations of Section 27-613 of the Unified Zoning Regulations concerning special review uses, and all other City of Billings, regulations and ordinances that apply.

If the special review is approved, the property will develop and be assessed at a higher property value. This will raise the City's tax revenue collection for this property.

This is a special review request to construct a parking lot on vacant land that is zoned Residential 7000, located north of the intersection of 16^th Street West and Lewis Avenue.  This parcel has been vacant for many years and has not been developed into housing as have properties to the southeast and north.  To the west, commercial uses have developed.  There are some circumstances that make this parcel difficult to develop as housing.  Spring Creek ditch is enclosed in a culvert under this property and there is also a City storm drain system under the property and in the adjacent alley.  Another issue that has prevented the residential development of this parcel is the availability of a sewer connection.  The closest sewer connection is in Lewis Avenue, uphill from the subject property.  Although the sewer line in Lewis Avenue is approximately 17 feet deep, there is no easement through the properties to the south to access that sewer line.  City Engineering is willing to let a developer put the sewer line in the City right of way, but there is the challenge of digging up hill in 16^th Street West and into the intersection of 16^th Street West and Lewis Avenue, and missing the footings of the existing signal light poles.  A sewer line from this property would also most likely need to have a pump system to get effluent to the sewer line in Lewis Avenue.  All of these factors make development of this lot for residential purposes complex and costly. 
 
The applicant is proposing to develop the land into a parking lot for the use of employees that work in the office building at 1601 Lewis Avenue, across the street from the subject property.  With this proposal, there would be no need to obtain a sewer connection to the parcel and water is readily available for landscape irrigation.  In the letter submitted by the applicants, they are stating that this will open more parking for them around the office building for clients and provide enough parking to attract more new businesses into the office building. 
 
City Engineering has submitted some comments to the Planning Division about this parcel outlining some work that will need to take place on this parcel, but the staff is supportive of the parking lot proposal.  City Engineering staff stated concerns about safety of pedestrians crossing 16^th Street West to get to work at 1601 Lewis Avenue.  It is recommended the applicant install landscaping, fencing, or screening to discourage direct crossing from the proposed parking lot across 16^th Street West (See Attachment ‘Engineering Comments’).
 
There have been other parking lots that have gone through special review to allow them on land that is zoned residential.   A few examples of other properties with parking on residentially zoned land include 819 Grand Avenue, Off The Leaf, Residential 6000; 1045 Grand Avenue, Dairy Queen, Residential Multi-Family Restricted; 1403 Grand Avenue, Stockman Bank, Residential 6000; 2032 Grand Avenue, Dana Motors, Residential 6000.  There are also many Church buildings with parking lots on residentially zoned property.  Section 27-305 BMCC allows parking lots to be placed on residentially zoned land with a Special Review.

The Zoning Commission conducted a public hearing on August 2, 2016, and received the staff recommendation.  The applicant, Dave Pfohl, spoke in favor of the proposed parking lot.  He stated that they have a shortage of parking around their building at 1601 Lewis Avenue.  With the advent of computerization of offices, they now need less room for people and they don't currently have enough parking.  This new parking lot would provide additional employee parking and save the spaces around the building for client parking. They plan to level out the lot as much as possible, lowering the south end.  Drew Smith stood to speak in favor of the application, reiterating some of Mr. Pfohl's comments.

The public hearing was then open to those wishing to speak in opposition.  Six different surrounding neighbors spoke in opposition.  The main concerns were drainage from the parking lot during a rain storm and from piled snow during the winter.  The neighbors also stated that there is already unusually heavy traffic in the alley and the addition of the parking lot will make it worse.  Other concerns and questions stated by the neighbors included  what type of fencing is required for the parking lot, and the type of lighting proposed to be installed in the parking lot. 

Mr. Pfohl addressed concerns expressed by the neighbors.  He stated he is not able to do anything about the traffic already in the alley, but most of the cars using the parking lot will arrive in the morning and leave around 5 pm, with limited traffic during the middle of the day.  He stated that he has been talking with engineers about handling water in the parking lot and believes that the problems they now have with water run off will be addressed with the requirements he has to meet to retain water on the parking lot site to meet City storm water regulations. He said that  they plan to have snow removal done on the same basis as his current office building, which includes hauling snow off site if too much snow accumulates.  Mr. Pfohl stated that the fence will be a privacy fence along the south and east property lines next to the existing houses.  He stated he appreciates all the input and would like to talk more with the neighbors to resolve issues raised at the meeting.

The public hearing was closed and a motion was made by Commission Member Ulvestad recommending a 30-day delay of the application to further discuss issues with the neighbors. The motion died for lack of a second.

Commission Member Boyett made a motion to recommend conditional approval of the application.  The motion was seconded by Commission Member Mariska.  Commission Member Boyett stated that he believed that the three weeks between the Zoning Commission meeting and the City Council meeting would be enough time to speak with the neighbors and work out any issues that have been raised.  Commission Member Mariska concurred with that statement.  The commission members voted to forward a recommendation of conditional approval to the City Council with a vote of 3-1.

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