Staff recommends the City Council hold a public hearing. In this case, a joint public hearing that considers both the annexation and associated zone change. Upon completion of the hearing, staff recommends the City annex the petitioned property with the staff recommended conditions of approval. 

NOTE: Though a joint hearing is being held, individual action will need to be taken on each item. 

Sanderson Stewart on behalf of Seve Michelotti submitted a petition to annex land using the provisions of Section 7-2-4600, MCA. The property is located South of Avenue D and East of Tiburon Lane. The land being annexed is described as being Tract 2B, Certificate of Survey No. 2974, Amended Tract 2, recorded November 26th, 2012, under Document No. 3647208; also Including all Right-Of-Way of Avenue D within proposed Michelotti Subdivision. Said annexation containing 7.000 gross and net acres, more or less.

The property is zoned Rural Residential 3 (RR3). This is not a zoning district recognized by the City. The accompanying zoning application proposes to change the property to Mixed Residential 1 (NX1) a district that allows 1-4 unit structures and Mixed Residential 3 (NX3) a district that requires at least 5-units per structure.  Zone Change 1020 is an accompanying application that the Council will review. A joint public hearing to consider both the annexation and zone change will be held on October 24, 2022.

It is the City’s custom to have staff prepare a brief analysis of predicted impacts to services and facilities. Staff finds 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: The property is confirmed to be in the red area, see attached map.
2. The City is able to provide adequate city services within a time period mutually agreed to by the property owners requesting annexation and the city: The Subdivision Improvement Agreement (conditional approval) is the binding contractual agreement that identifies requirements of the City and the Developer to ensure services are provided in a mutually agreed to time. The SIA will be considered at a subsequent City Council meeting with its accompanying preliminary plat. The developer is required to meet this condition within 45 days.
3. Existing or proposed public improvements within the area to be annexed will meet City standards: The existing property is vacant therefore and planned infrastructure will be new and is required to meet the City's regulations. The SIA which is a condition of approval will outline public improvements required of the developer as part of subdividing the property. The only way this property could be developed in the city not according to adopted policies and regulations would require action from City Council or the Board of Adjustment to grant variances allowing deviations from adopted codes. It is required and standard practice that prior to the issuance of any building permit, the building and site plans will undergo planning review to confirm it is designed in accordance with zoning regulations. 
4. All property owners within the area to be annexed must sign a Waiver of Right to Protest future Special Improvement Districts: A standalone waiver is required as a condition of approval for this annexation. This waiver is good in perpetuity and is not subject to the 20-year limitation as identified in the Montana Subdivision and Platting Act.
5. All residential property owners within the area to be annexed must create or join an existing park maintenance district: This criteria is not applicable, as confirmed by the Parks Department as there is not a park maintenance district governing the area, nor is there a parkland dedication requirement at this time. The property is being subdivided, however, per the Montana Subdivision and Platting Act divisions of land that are First Minor Subdivisions are not subject to park dedication requirements. 
6. Residential densities planned for development within the area to be annexed must meet an overall average density of at least 4-7 dwelling units per acre: The zone districts of NX1 and NX5 ensures a minimum of 4-7 units per acre. NX1 requires 1-4 unit buildings and NX3 requires a minimum of 5 units. The criteria is intended to be a minimum standard. At this time there is no site plan available for the development to identify a specific number of dwelling units, however, easy assumptions are made based on the requirements of the NX districts identified in BMCC, 27-300.6 and 37-300.7. The number of units is generated based on lot frontage, therefore the street network will govern the allowable units.
7. The proposed land use within the area to be annexed must conform to the goals of the Adopted City of Billings Growth Policy: Chapter 2 of the 2016 City of Billings Growth Policy outlines 7 growth guidelines. Essential Investments, Place Making, Community Fabric, Strong Neighborhoods, Home Base, Mobility and Access and Prosperity. Particularly this parcel with the proposed zoning is most in line with the following:

Strong Neighborhoods:

• Zoning regulations that allow a mixture of housing types provide housing options for all age groups and income levels
• 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, pedestrian-scale streetlights, street trees and walkable access to public spaces
• Neighborhoods that are safe and attractive and provide essential services are much desired
• Implementation of the Infill Policy is important to encourage development of underutilized properties

Home Base:

• A mix of housing types that meet the needs of a diverse population is important
• The Housing Needs Assessment is an important tool to ensure Billings recognizes and meets the demands of future development
• 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
• Public safety and emergency service response are critical to the well-being of Billings' residents
• Homes that are safe and sound support a healthy community

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

• Water and Sanitary Sewer: Public water and sanitary sewer service is available to the property proposed for annexation. The Developer will be required to extend an 8-inch sanitary sewer along Avenue D. Further, the Developer is required to extend a 8-inch water main located at the along Avenue D.
• Storm water: Any development is required to be compliant with the adopted Stormwater Management Manual. This is a requirement of the SIA.
• Transportation: The Developer Tract will be accessed from Avenue D. The Public Right-of-way along Avenue D will be dedicated to the City of Billings.
• Fire Stations: The Billings Fire Department currently serves the subject property through the Billings Urban Fire Service Area agreement.  The Billings Fire Department will continue to serve the property upon annexation.  As this and additional annexations are built out, additional fire department resources will be needed to meet and maintain our high level of service due to the increased call volume and burden on our department these annexations create.  The nearest fire station is Station #7, located at 1504 54th ST W, approximately 2.49 road miles or 5 minutes driving time to the subject property.
• Parks: No Parkland or Trails will be required as part of this annexation.
• School facilities: Portions of the proposed property will be used for residential development. With residential growth comes demand on the school system. The School district has noted west end schools are currently over capacity. The School District has recently indicated it may undergo a redistricting process to handle over-crowding issues. The School District is not in opposition of this annexation.

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, however the Fire Department in its comments above did note its concerns as additional property is annexed into the City.

• Transit: The annexed area is not directly serviced by a MET Route. The nearest route, 5A/5B-Grand, currently operates through the intersection of Grand and Zimmerman traveling east and west, which is the nearest accessible point to the property. This intersection is approximately 0.64 miles from the proposed annexation location via roadway. MET does not anticipate that fixed-route would operate in the area until more significant commercial and/or residential growth necessitated transit service in the area.
• Police: This proposed development is adjacent to established city limits and will not require an adjustment in schedules or staffing at this time. There is sufficient ingress/egress to the area. Despite recent passage of a safety levy, continued annexation and development will affect our ability to deliver service without commensurate resources.
• Public Utilities: The Public Works-- Distribution and Collection Division had no concerns with the annexation request.
• 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 had no concerns with annexing the property, but pointed out that State Law allows the property owner to choose what 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. Depending on factors at any given time such as traffic and congestion, 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.
• 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 criteria of the annexation policy has been met. Further, coordination with other departments does not raise concerns that cannot be mitigated. Therefore, City Council is being provided with a recommendation of approval.

Annexation by petition does not require notification of adjoining landowners; however, it does require that the City Council conduct a public hearing, advertise the hearing, and post the property with information on the annexation petition and public hearing. Notice of the public hearing was posted on the property and was advertised in the Yellowstone County News.
 

The City Council may

• Approve,
• Conditionally approve or
• Deny the petition for annexation.

Denial of the petition will mean the City Council cannot consider other agenda items related to this property regarding the development agreement and ward boundary ordinance. On September 7, 2022, the annexation petition was submitted to the Planning Division by the owner's agent.  On October 24, 2022, the City Council is scheduled to take action on the petition.