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AGENDA ITEM #: 9.
DATE: 08/23/2021

AI #:369
CITY COUNCIL ACTION REPORT
 
SUBJECT: REZONE APPROXIMATELY 1,319.2 ACRES LOCATED ALONG RAINBOW VALLEY ROAD BETWEEN THE WILLIS ROAD ALIGNMENT AND QUEEN CREEK ROAD, KNOWN AS RAINBOW VALLEY, FROM PLANNED AREA DEVELOPMENT (PAD) AND AGRICULTURAL URBAN (AU) TO PAD AND APPROVAL OF AMENDED AND RESTATED DEVELOPMENT AGREEMENT FOR RAINBOW VALLEY.
 
STAFF PRESENTER(S): Christian M. Williams, Planner

SUMMARY

Request to rezone approximately 1,319.2 acres to Rainbow Valley 1st Amended Planned Area Development (PAD) and to approve Amended and Restated Development Agreement for Rainbow Valley.

Recommendation

1.  ADOPT RESOLUTION NO. 2021-2168, DECLARING AS PUBLIC RECORDS THOSE CERTAIN DOCUMENTS FILED WITH THE CITY CLERK AND TITLED "OFFICIAL SUPPLEMENTARY ZONING MAP NO. 20-06A CITY OF GOODYEAR, AZ - REZONE CASE"; AND "LEGAL DESCRIPTION - RAINBOW VALLEY"; AND "RAINBOW VALLEY 1ST AMENDED PLANNED AREA DEVELOPMENT" DATED AUGUST 2021.

2.  ADOPT ORDINANCE NO. 2021-1507, CONDITIONALLY REZONING APPROXIMATELY 1,319.2 ACRES GENERALLY LOCATED ALONG RAINBOW VALLEY ROAD BETWEEN THE WILLIS ROAD ALIGNMENT AND QUEEN CREEK ROAD, KNOWN AS RAINBOW VALLEY; AMENDING THE ZONING MAP OF THE CITY OF GOODYEAR; PROVIDING FOR NON-ABRIDGMENT, CORRECTIONS, SEVERABILITY, AN EFFECTIVE DATE, AND PENALTIES.

3.  ADOPT RESOLUTION 2021-2175 APPROVING THE AMENDED AND RESTATED DEVELOPMENT AGREEMENT FOR RAINBOW VALLEY; DIRECTING THE CITY MANAGER TO EXECUTE THE DEVELOPMENT AGREEMENT FOR RAINBOW VALLEY; AUTHORIZING AND DIRECTING THE CITY MANAGER OR HER DESIGNEE TO TAKE ALL ACTIONS AND EXECUTE ALL DOCUMENTS NECESSARY TO CARRY OUT THE INTENT OF THE RESOLUTION AND THE AMENDED AND RESTATED DEVELOPMENT AGREEMENT FOR RAINBOW VALLEY; AND PROVIDING FOR AN EFFECTIVE DATE. (Christian M. Williams, Planner)

FISCAL IMPACT

Although a fiscal impact analysis has not been conducted on this specific project, all new development will have an ongoing fiscal impact on the city. The development is responsible for construction of all infrastructure necessary to serve the site and will generate one-time revenue for the city through payment of permits, construction sales tax and development impact fees. Longer term fiscal impacts include increased demands for municipal services, the costs of which may or may not be offset by increased property values/tax levies, city sales tax, state shared revenues and the increased demand for commercial and retail development. Any areas that will be maintained by the city are constructed by the developer and then conveyed to the city two years after construction.

BACKGROUND AND PREVIOUS ACTIONS

The proposed rezoning includes 1,319.2 acres of property that is along the east and west sides of Rainbow Valley Road between the Willis Road alignment and Queen Creek Road.

Approximately, 999.3 acres of the total 1,319.2 acres, on the west side of Rainbow Valley Road, was rezoned from Agricultural Urban (AU) Zoning District on October 22, 2018, to Final Planned Area Development (PAD) Zoning District by Ordinance No. 2018-1409 for the development of a mixed-use project known as "Rainbow Valley," which at full build out was expected to result in the development of approximately 2,900 residential dwelling units, commercial uses and non-residential uses.

This area of the City is not contiguous to existing development or to existing infrastructure, is not currently being served by City water or wastewater facilities, and is not located within the City’s Designation of Assured Water Supply. In keeping with the city’s policy that growth pays for growth, on October 22, 2018, the Goodyear City Council adopted Resolution 2018-1908 approving the Development Agreement for Rainbow Valley, which applied to the 999.3 acres rezoned by Ordinance 2018-1409.  The Development Agreement for Rainbow Valley requires owner to purchase all capital equipment, dedicate all necessary on-site and off-site rights-of-way, design, install, and/or construct all public infrastructure, on-site and off-site, determined by the city as being necessary to support the development of the property and to allow the city to provide city services to the property except as otherwise provided in the development agreement.  In addition to this overarching obligation, the Development Agreement for Rainbow Valley addresses transportation requirements, fire services requirements and utility services requirements, government services necessary for the health and safety of future residents of Rainbow Valley.  It further addresses the timing of the development of park and recreational amenities, which are necessary for the welfare of the future residents of Rainbow Valley, and sources of reimbursements for infrastructure that is constructed that provides a regional benefit. The Development Agreement for Rainbow Valley provides specific requirements regarding certain infrastructure improvements and broad descriptions of requirements related to other infrastructure improvements. 

When the Development Agreement for Rainbow Valley was entered, city staff was unwilling to commit to providing water and wastewater services to the Rainbow Valley development.  After further analysis and consideration, city staff determined the city should provide water and wastewater services and, on October 28, 2019, the Goodyear City Council adopted Resolution 2019-2009 approving the First Amendment to Development Agreement for Rainbow Valley.  This amendment set forth terms pursuant to which the city will provide water and wastewater services to the property, including the property owners’ obligations to acquire all capital equipment and to design, install, and/or construct all infrastructure (on-site and/or off-site,) needed for the city to provide water and wastewater services to the property and conveying all lands to the city for such infrastructure. 

The developer is seeking to rezone the 999.3 acres and include an additional approximately 319.9 acres, located on the east side of Rainbow Valley Road between Germann and Queen Creek Roads, by the adoption of the Rainbow Valley 1st Amended Planned Area Development, which would create a cohesive 1,319.2 ace development.  The proposed rezoning is conditioned upon the execution of an Amended and Restated Development Agreement for Rainbow Valley, which will apply to the entire 1,319.2 acres subject to the proposed rezoning and which has been modified to incorporate changes needed to address additional infrastructure needs to be created by the inclusion of the additional 319.9 into the Rainbow Valley development.

The General Plan Land Use Plan designates the Property as ‘Neighborhoods’ and the ‘Neighborhoods’ land use category provides areas for the growth and development of neighborhoods with a wide range of densities and housing types.

STAFF ANALYSIS

Current Policy:
A rezoning request requires public review and vote by the Planning and Zoning Commission and the City Council. The proposed rezoning must be in conformance with the General Plan and should not adversely impact the surrounding area.  As set forth below, the proposed zoning is both consistent with the General Plan and will not adversely impact the surrounding area.

Details of the Request:
The request is to rezone approximately 1,319.2 acres generally located between the Willis Road alignment on the north and Queen Creek Road on the south and between Perryville Road on the west and 175th Avenue alignment on the east from Planned Area Development (PAD) and Agricultural Urban (AU) to Planned Area Development (PAD) and to approve an Amended and Restated Development Agreement for Rainbow Valley that addresses certain infrastructure requirements for the development of the 1,319.2 acres.

Rezoning:
The rezone provides for the development of a project known as Rainbow Valley as set forth In the Rainbow Valley 1st Amended PAD (“the PAD”), which provides for the development of a mix of low density and medium density residential uses with a maximum unit count of 4,121.  A portion of the Project may develop as an active adult community.  The location of the active adult community has not been determined. Active adult communities are defined as those whose full-time residents are over a certain age threshold, consistent with state and federal fair housing laws. Age related restrictions for active adult communities will be governed by the Project’s CC&Rs, and not by the city. The PAD will also allow for the development of commercial uses, open space and parks, a place of worship, a school, and utility facilities to serve the PAD.

The Rainbow Valley 1st Amended PAD establishes the development standards for each of the uses.  All permitted uses, development standards, design guidelines, landscape standards, sign regulations, and lighting regulations will be governed by the underlying zoning district, except as expressly modified by this PAD and as further modified by the stipulations and conditions of approval as set forth in the proposed zoning ordinance. 

Low-Density Residential:
The LDR land use districts offer a range of single-family housing opportunities disbursed throughout the Project.  The low-density residential land use districts are LDR1, LDR2, and LDR3.
Underlying Zoning
  • R1-7 (LDR1)
  • R1-6 (LDR 2)
  • R1-4 (LDR3)
For any subdivision that includes lots with widths less than 55-feet, two of the following streetscape elements shall be provided:
  1. Clustered Driveways.  Driveways may be clustered (but need not share the same curb cut) so that there is at least 36 feet of uninterrupted curb between the clustered driveways.
  2. Paving Material.  Decorative surfaces (i.e. pavers or aggregate, salt finish, stamped, textured, or patterned concrete) are utilized for all horizontal paved surfaces between the house and sidewalk.
  3. Detached Sidewalk.  A detached sidewalk will be utilized with a planter strip that is a minimum of 5.5 feet wide.  Planter strips shall be planted, irrigated, and maintained with live plant material.  CC&Rs, applicable to the Property, shall require that the HOA formed for the Property maintain the landscaping within the landscape planting strip.
  4. Alley loaded units.
  5. Alternative streetscape elements, similar in scope and impact as the items listed above as determined and approved by the Development Services Director or designee.

LDR DEVELOPMENT STANDARDS
Districts LDR1

 
LDR2

 
LDR3

 
 Underlying Zoning Districts* R1-7 R1-6 R1-4
Lot Standards      
Min. Lot Area (sq. ft.) 7,000 6,000 4,500
Minimum Lot Width (ft.) 65 55 45
Minimum Lot Depth (ft.) 100 100 100
Building Form and Location      
Maximum Height (ft.) 30 30 30
Maximum Building Coverage N/A (1) N/A (1) N/A (1)
Minimum Setbacks (ft.)      
Front ** 10 10 10
Front Facing Garage 20 18 (2) 18 (2)
Side 5 5 5
Total Both Sides 15 10 10
Street Side *** 15 10 10
Rear yard 20 20 15
Development Standards      
Open Space % (of net area) 5 (3)(4) 5 (3)(4) 5 (3)(4)
*The Development Standards in the Goodyear Zoning Ordinance applicable to the underlying zoning districts identified herein shall apply except as otherwise modified herein.
 ** Front setback shall be measured to patios, livable space, and side entry garages.
*** Where a minimum 10-foot wide landscape tract is provided, the typical side setbacks, rather than Street Side setback applies.
(1) Lot coverage is controlled by the required yard setbacks.  Accessory buildings are regulated per Article 8-2 of the City's Zoning Ordinance.
(2) 20' minimum from face of garage to back of sidewalk.
(3) Net area excludes Loop 303. parkway, and arterial streets.
(4) Overall open space for all parcels, excluding commercial and public facility parcels, shall be a minimum of 20%.

Medium-Density Residential:
The MDR land use districts offer a variety of housing opportunities.
Underlying Zoning
  • R-2 (MDR)
  • R1-A (MDR)
  • R1-C (MDR)
  • MF-12 (MDR)
A. Non-permitted uses include Vertical apartment complex, defined as multi-story building(s) with one or more units above a ground floor unit.

For any subdivision developing under the R1-A and R1-C district shall provide one of the following elements:
  1. Paving Material.  Decorative surfaces (i.e. pavers or aggregate, salt finish, stamped, textured, or patterned concrete) are utilized for all horizontal paved surfaces between the house and sidewalk.
  2. Detached sidewalk.  A detached sidewalk will be utilized with a planter strip that is a minimum of 5.5 feet wide.  Planter strips shall be planted, irrigated, and maintained with live plant material.  CC&Rs, applicable to the Property, shall require that the HOA formed for the Property maintain the landscaping within the landscape planting strip.
  3. Additional streetscape elements, similar in scope and impact as the items listed above as determined by the Development Services Director or designee.


MDR DEVELOPMENT STANDARDS



Commercial:
The commercial district is designed to respond to opportunities and constraints of the site, as well as respond to demographic projections for the Community at build-out.  Community Commercial District (CC) is intended to provide services to serve the Project and larger area.  The permitted uses, regulations, and development standards shall be governed by C-2 of the Zoning Ordinance, except as expressly modified by this PAD. 

Underlying Zoning
  • C-2 (CC)

CC DEVELOPMENT STANDARDS
Districts CC

 
 Underlying Zoning Districts* C-2
Minimum Net Site Area 10,000
Minimum Lot Width 150'
Maximum Height 56' (2)
Maximum Building Coverage 50%
Minimum Setbacks  
 Front 10'
Side N/A (1)
Rear N/A (1)
Street Side 10'

* The Development Standards in the Goodyear Zoning Ordinance applicable to the underlying zoning districts identified herein shall apply except as otherwise modified herein.

(1) Buildings adjacent to any residential use or district are subject to additional minimum building setbacks as defined in Subsection B.6 of the Goodyear Zoning Ordinance.
(2) Buildings with heights in excess of 30' shall provide 1 foot of additional setback for each foot of building height over 30'.


Parks, Open Space and Public Facilities:
OS:     Enhanced Neighborhood Parks and Waterman Wash are the only areas with this land use district.  Additional open spaces will develop within parcels.
One five-acre neighborhood park shall be provided within a one-quarter mile walking distance of all residential areas. As an alternative to a five-acre park, the following shall be permitted.
a. The seven smaller parks “Neighborhood Park 1”, as identified on Figure 2a, may count towards the required park sites.
b. The two larger parks “Neighborhood Park 2”, as identified on Figure 2a, may count towards the required park sites.  If split into smaller park sites, the developer must demonstrate the following:
i. The smaller park site is needed due to site constraints.
ii. The smaller parks result in better access for residents.
iii. The smaller parks result in additional park acreage.
iv. The smaller parks result in additional amenities being provided.
c. Park sites shall be located to maximize walkability to the park.
d. Park sites shall be the focal point of neighborhoods.

Neighborhood Park 1 and Neighborhood Park 2 shall include the following minimum amenities and design considerations:
a. A portion of neighborhood parks may be used for retention.
b. Parking shall be provided onsite or on-street adjacent to the park.
c. Homes may back up to no more than 50% of the perimeter of the park. It is strongly encouraged that parks are designed so homes face the park and that no homes back up to the park.
d. One tot lot with a shade canopy shall be provided.
e. Facilities for active recreation shall be provided such as multi-use diamonds, rectangular fields, or sport courts. The park site shall be designed in a manner to accommodate these fields.
f. Shaded seating areas, such as ramadas, shall be provided.
g. Shaded walking paths connecting the park to sidewalk shall be provided.
h. Amenities provided for parks within age-restricted communities may be adjusted with approval of the Development Services Director or designee.

The Enhanced Neighborhood Parks identified in Figure 2(a) shall include the minimum amenities and design considerations for Neighborhood Park 1 and Neighborhood Park 2, and, in addition, shall include:
a. Restrooms and
b. Fields, such as those depicted in the conceptual park layout as shown on Figure 2b, Figure 2c, Figure 2d, and Figure 2e.

The first or second Enhanced Neighborhood Park constructed within the Project’s Westside shall include at least one of the following enhanced amenities:
a. Community center;
b. Aquatic center;
c. Splash pad complex; or
d. Other amenity of similar scale.


If the first or second Enhanced Neighborhood Park constructed within the Project’s Westside that includes one of the foregoing amenities is located within an age-restricted or gated community or is not accessible to all homeowners on the Project’s Westside, the third remaining Enhanced Neighborhood Park that is to be constructed shall include at least one of the foregoing amenities and such park shall be accessible to all residents within the Project’s Westside that are not located within an age-restricted or gated community.

The Enhanced Neighborhood Park constructed within the Project’s Eastside shall include at least one of the following enhanced amenities:
a. Community center;
b. Aquatic center;
c. Splash pad complex; or
d. Other amenity of similar scale.

The Enhanced Neighborhood Park constructed within the Project’s Eastside shall be accessible to all residents within the Project’s Eastside.

A 75-foot buffer shall be located on the north and south side of Waterman Wash as shown on Figure 3. The buffer will include a portion of the City’s planned regional multi-use path system and may also include:
a. Open space;
b. Parks; and
c. Streets, so long as the 34- to 36-foot minimum pathway easement is maintained.

An approximately 3-acre Level 2 Trailhead (T2) with a minimum 6-30 standard parking spaces, benches, drinking water, restroom, lighting, shade structure, picnic ramada, bike racks, and signs per the City of Goodyear Parks, Recreation, Trails and Open Space Master Plan, shall be located along the north side of Waterman Wash near Rainbow Valley Road as shown on Figure 2a, Open Space & Trails Plan.

PFD:   Public Facilities District, except as expressly modified by the PAD.

The water campus is designed to meet a public need for the surrounding community.  An update to the City of Goodyear Infrastructure Water Master Plan (IWMP) is anticipated.  In the event the IWMP does not locate the water campus at this location, the parcel may develop per the LDR2 development standards without requiring a PAD Amendment.  The City of Goodyear PFD standards apply to this district.

The PAD Narrative Book includes additional information, as well as conceptual exhibits, intended to describe and depict the planned character of the Rainbow Valley development. Except for certain conceptual exhibits that are included as part of the Rainbow Valley 1st Amended PAD, the descriptive informative and the conceptual exhibits are not being adopted as part of the rezone, and such as they are not regulatory. Specific details of the development will be established in the platting and site plan approval processes in conformance with the Rainbow Valley 1st Amended PAD approved with the rezone.


Evaluation Criteria:
Per the city of Goodyear Zoning Ordinance, the city’s review and recommendation on a zoning amendment is to be guided by the following criteria:

1. Consistency with the General Plan.

The Property is designated as Neighborhood and Open Space by the Goodyear 2025 General Plan (“General Plan”) Land Use Map. With these land use designations, the City anticipates that the Neighborhood land use will develop in a way that allows for a wide range of densities and housing types and commercial uses at appropriate locations. Other lands designated as Open Space are meant to provide areas that can be used to preserve natural areas and create both active and passive recreational uses and amenities for the surrounding land uses.

The Rainbow Valley 1st Amended PAD development is proposed with these land uses in mind. Additionally, Applicant has taken great care in ensuring the PAD will be in conformance with all of the goals of the General Plan. 

The PAD creates interconnected residential neighborhoods with a wide range of densities and housing types with a commercial development located near Willis Road and Loop 303, a highly trafficked interchanged, and a second commercial development between the Rainbow Valley Parkway and residential development.

The PAD creates a strong, coherent neighborhood that will provide development opportunities for the fast-growing City of Goodyear. Applicant is aware of the strategic location of the Rainbow Valley Development and its adjacency to Estrella, and other existing and proposed developments.

Section 5.3 of the PAD provides a detailed analysis of how the Rainbow Valley 1st Amended PAD is consistent with the goals, objectives, and policies and future land use map of the Goodyear General Plan. 

The Rainbow Valley PAD was approved by City Council on October 22, 2018.  Since that time, current market factors, demographics, infrastructure, traffic, and environmental issues have not changed.  The purpose of this amendment is to add 320 acres and build on the strong foundation formed by the 2018 PAD.

2. Suitability of the subject property’s physical and natural features for the uses permitted under the proposed zoning district.

Rainbow Valley will be developed in a way that is sensitively designed with the Waterman Wash and the surrounding natural landscape. Historically, Waterman Wash has flooded the area during heavy storms.  The jurisdictional limits within Waterman Wash will remain in its natural condition, except at roadway and utility crossings.

The area within Waterman Wash and outside of the Jurisdictional Determination and channel will be revegetated with native plants. Over time, it is anticipated the lines between developed and natural will blur and will have a more natural appearance. Waterman Wash will be the centerpiece of the Community and will provide significant open spaces, trails, and recreational amenities that integrate into the overall parks, trails, and open spaces. Other lands that are designated as Open Space are meant to provide areas that can be used to preserve natural areas and create both active and passive recreational uses and amenities for the surrounding land uses. This will provide a seamless compatibility with the Rainbow Valley development to the surrounding environment and aesthetics of the land.

The 30-foot Southwest Gas easement traverses the Project and provides a significant opportunity for non-vehicular access to the overall Project.  Additional area is added to the easement to incorporate a Project Path that directly links the three Enhanced Neighborhood Parks, Waterman Wash, elementary school, larger community commercial site, and additional trails and paths.  Improvements are limited to low growth desert landscaping and roadway and infrastructure crossings perpendicular to the easement.

3. Compatibility of all potential uses allowed in the proposed zoning district with surrounding uses and zoning.

The opportunities for a variety of living options, houses, and densities in Rainbow Valley will be compatible and complementary to the existing CantaMia at Estrella development located ¼ mile north of the Project.  Additionally, the synergy of these communities, with the development of additional rooftops, will bring the commercial services, retail, and employment opportunities that inevitably follow residential for the benefit of CantaMia at Estrella, Rainbow Valley, and the surrounding communities.

Rainbow Valley is just the beginning of what is planned to be a dynamic, energetic part of the City.  Rainbow Valley Road/Parkway and the planned Arizona State Route 303 Loop bisect the Project, and a large Business and Commerce area is planned less than a quarter mile from the project.  The densities and housing opportunities proposed with Rainbow Valley will help to attract and support the future retail, commercial, and employment uses. Proposed zoning district’s consistency with other land uses within the immediate area and whether uses allowed under the proposed zoning district would be better suited to the subject property than the uses allowed under current zoning.


Current and future uses and development of the properties surrounding the subject property include:
North –Vacant and large properties zoned AU (Agricultural Urban);
South – Vacant and large properties zoned AU (Agricultural Urban) and vacant land zoned Estrella Region III (Hidden Valley at Estrella) Preliminary PAD;
East – Vacant and large properties zoned AU (Agricultural Urban) and Estrella Region III (Rainbow Ranch at Estrella);
West –County island, largely vacant agricultural lands (largely zoned RU-43/city equivalent to AU (Agricultural Urban));

4. Proposed zoning district’s consistency with other land uses within the immediate area and whether uses allowed under the proposed zoning district would be better suited to the subject property than the uses allowed under the current zoning.

The immediate adjacency of Rainbow Valley to the developments located in Estrella to the north, Estrella Mountain Ranch PAD zoning to the east and south, and PAD zoning for the majority of Rainbow Valley, demonstrate the consistency of the proposed development with the surrounding area. The purpose of the current AU zoning for the additional 320 acres in Rainbow Valley is to “provide a low-density, estate-type residential use that allows for non-commercial agricultural uses and Large Animal and Small Animal privileges.” The Property has historically been used as agricultural uses. At one point in time, this area made sense for this type of use because it could operate completely separate from any neighborhoods and other City uses without any compatibility issues. However, with the continued development immediately to the north and surrounding PAD zoning, the Rainbow Valley property is the next property in line for growth. The Property owners no longer wish to use the Property for agricultural uses.

This is further supported by the Goodyear General Plan, which designates the Property as Neighborhood. This is defined as, “Provid(ing) areas for the growth and development of neighborhoods. Neighborhoods include a wide range of densities and housing products, public and community facilities such as schools and places of worship, and commercial uses at appropriate intensities and locations.” Rainbow Valley will provide a master planned community that will bring the expected growth and development of neighborhoods that occur as cities grow outward.

Luke Air Force Base:
The subject property is not located within the vicinity of a military airport. Given the location of the subject property, base operations will not be adversely impacted by this proposed residential development.

Phoenix-Goodyear Airport:
The property does not fall within the Phoenix-Goodyear Airport DNL.

5. Demand for the types of uses permitted in the proposed zoning district in relation to the amount of land currently zoned and available to accommodate the demand.

The market demand for residential housing is here. This strength of that market shows it will be here for a while and the need for a quality master planned community with a variety of housing product will continue. Housing permits will continue to rise in all Phoenix Valley cities, including Goodyear, with a demand for all types of housing continuing to be strong amongst all demographics.

While there are other areas of the City of Goodyear that are currently zoned and available for residential uses, it is difficult to determine the economic intricacies involved with why or when the other 57,000 entitled lots will be built or to do a lot for a lot comparison without reviewing the type of housing product provided, the amenities provided, and especially the unique place and location of a development. It seems that the intent of Zoning Ordinance regulation 1-3-1-D-3(e) is to compare those other properties surrounding “the proposed zoning district” of the PAD with similar zoning that offers comparable locations, amenities, and character. When compared in this way, Rainbow Valley provides a unique location with a vastly different environment and locale than can be found in other parts of the City to the north.

Additionally, Applicant has entertained a high interest from homebuilders for Rainbow Valley because of the specialness of the surrounding Rainbow Valley area and the uniqueness that is provided by the closeness to the beautiful Estrella Mountains and the desert landscapes. This interest demonstrates a tangible market demand that Rainbow Valley brings despite the other entitled developments in the City.


6. Demands for public services that will be generated by the uses permitted in the proposed zoning district.

School Districts:
The subject property is located within the Liberty Elementary School District and the Buckeye Union High School District. Both school districts have been notified of the rezoning request.

Fire Response:
Emergency response times and distances are provided below:
 
Nearest Goodyear Fire Station Shortest path Longest path 2nd Nearest Goodyear Fire Station Shortest path Longest path
Mins Miles Mins Miles Mins Miles Mins Miles
Fire Station #186 2.97 1.49 5.93 2.97 Fire Station #182 11.65 5.83 14.61 7.30

The city recently completed a new fire station (Fire Station 186) on Willis Road adjacent to the city water campus. Rainbow Valley 1st Amended PAD, per the Amended and Restated Development Agreement, owner will be sharing in the capital costs and the operations & maintenance costs of the new station. Rainbow Valley 1st Amended PAD is located within the service area of the new Fire Station 186 and response times should be between 2 to 6 minutes.  In addition, if certain triggers are met, the owner will be required under the terms of the Amended and Restated Development Agreement for Rainbow Valley to fund a second fire station, including making contributions for operating and maintenance costs. 

Police Response:
The subject property is located outside of an existing patrol beat and a new beat will not be established until development occurs.  The property is subject to development impact fees for police services. 

Streets/Transportation:
Access to the subject property will be from Rainbow Valley Road, Germann Road, Queen Creek Road, and Perryville Road. Pursuant to the Amended and Restated Development Agreement for Rainbow Valley, the property owner is required to design, install, and/or construct, all on-site transportation-related infrastructure and all off-site transportation-related infrastructure, other than off-site bridges, necessary to provide for safe and adequate circulation within the Rainbow Valley 1st Amended PAD, connectivity to neighboring properties, and connectivity to existing and future regional transportation routes.  In addition, to ensure connectivity to Willis Road, which currently is the only roadway future residents of Rainbow Valley can use to reach the developed sections of the city, owner is responsible for constructing partial improvements to Rainbow Valley between Germann Road and Willis Road. 

Also pursuant to the stipulation in Ordinance 2021-1507 and terms in the Amended & Restated Development Agreement for Rainbow Valley, the property owner shall be responsible for constructing or making in-lieu payment for all required traffic signals.

Water/Wastewater:
The property is not currently served by city water or wastewater facilities and it is not located within the City’s Designation of Assured Water Supply. City staff has determined that the city should provide water and wastewater service to the property. The Amended and Restated Development Agreement will include terms and conditions under which the city will provide water and wastewater services. The details must be resolved during the development process.

7. Potential adverse fiscal impacts that will result from providing services to areas not in proximity to where existing public services are provided.

The subject property is not in proximity to where public services exist, however, in keeping with the city’s policy that growth pays for growth, the Amended and Restated Development Agreement for Rainbow Valley requires owner to purchase all capital equipment, dedicate all necessary on-site and off-site rights-of-way, design, install, and/or construct all public infrastructure, on-site and off-site, determined by the city as being necessary to support the development of the property and to allow the city to provide city services to the property. 
 
8. General public concerns.

Public Participation, Public Comment and Planning and Zoning Commission Meeting:
This rezoning was initiated while the city was still operating under the City of Goodyear Emergency Declaration in Response to Coronavirus.  An alternative citizen review process was conducted for this proposal due to the city of Goodyear Emergency Declaration in Response to Coronavirus and notice of the application was provided to property owners within 500 feet of the property at least 35 calendar days prior to public hearing to provide ample opportunity for input prior to noticing the public hearing itself, those notices were mailed on April 9, 2021.

A public notice that this rezoning request would be considered and reviewed at a public hearing to be held before the Planning and Zoning Commission on August 11, 2021 appeared in the Arizona Republic Southwest Valley Edition July 23, 2021; postcards were mailed to adjoining owners on July 1, 2021; and a sign was posted on the site on June 15, 2021.

Staff received no communications in response to the notices that were sent on April 9, 2021 as part of the alternative citizen review process or in response to the postcards, notices in the Arizona Republic Southwest Valley Edition or posted signs providing public notice of the public hearing on this rezoning was to be held before the Planning and Zoning Commission on August 11, 2021.  The owner’s representative was the only one to speak regarding the proposed rezoning at the August 11, 2021 meeting before the Planning and Zoning Commission.  Planning and Zoning Commission voted (5-0) to recommend approval of the proposed rezoning.

A public notice that this rezoning request would be considered and reviewed at a public hearing to be held before the Goodyear City Council on August 23, 2021 appeared in the Arizona Republic Southwest Valley Edition July 23, 2021; postcards were mailed to adjoining owners on July 1, 2021; and a sign was posted on the site on June 15, 2021.  Staff has not received any communications in response to the notices provided.


9. Whether the amendment promotes orderly growth and development.

The development is located approximately one-quarter mile from the CantaMia at Estrella community. Rainbow Valley is the next proposed development and presents opportunities to bring commercial and retail services more quickly to existing residents in the area with the increased rooftops.

Applicant is willing to pay for and provide its “fair share” of the necessary services for the development. Thus, adverse fiscal impacts should not be an issue regarding orderly growth and development of Rainbow Valley.


Applicant will continue to work with City Staff on “growth paying for growth” and using all avenues for creative solutions to public/private partnerships. Additionally, Applicant will work with the City to amend the Development Agreement for Rainbow Valley, as required, to address the required improvements and/or contributions by the developer to help fund infrastructure services. The City already has an obligation to provide solid waste collection and disposal and emergency services for CantaMia at Estrella residents, located a short distance from the proposed Rainbow Valley PAD development. Additional developments and residents in an area where the City already has a commitment to provide service should make providing services more cost effective on a per capita basis. 

10. Any other factors related to the impact of the amendment on the general health, safety and welfare of the citizens of the City and the general public.

Property owner requirements to facilitate development of the subject property will be established through on-going discussions between staff and owner and future amendments to the Amended and Restated Development Agreement for Rainbow Valley. Between the stipulations in Ordinance 2021-1507 and the Amended and Restated Development Agreement for Rainbow Valley and future amendments thereto, any negative impacts of the rezone on the general health, safety and welfare of the citizens of the city and the general public will be mitigated. 

Staff’s Recommendation

As noted above, other than communications with the property owner and its representative supporting the rezoning, staff has not received any communications from the general public in response to any of the notices that have been provided and no one other than the owner’s representative spoke before the Planning and Zoning Commission during the public hearing on the rezoning held on August 11, 2021.  The Planning and Zoning Commission voted 5-0 to recommend approval of the rezoning of the Property as set forth in Ordinance 2021-1507.

Staff recommends the adoption of Ordinance 2021-1507 conditionally rezoning the Property as set forth in Ordinance. 

Amended and Restated Development Agreement

In keeping with the city’s policy that growth pays for growth, the Amended and Restated Development Agreement For Rainbow Valley (the “Restated DA”) owner to purchase all capital equipment, dedicate all necessary on-site and off-site rights-of-way, design, install, and/or construct all public infrastructure, on-site and off-site, determined by the city as being necessary to support the development of the property and to allow the city to provide city services to the property except as otherwise provided in the development agreement.  In addition to this overarching obligation, the Restated DA addresses transportation requirements, fire services requirements and utility services requirements, government services necessary for the health and safety of future residents of Rainbow Valley.  In addition, the Restated DA addresses the timing of the development of park and recreational amenities, which are necessary for the welfare of the future residents of Rainbow Valley, and sources of reimbursements for infrastructure that is constructed that provides a regional benefit. 

The agreement provides a broad description of the requirements related to specific categories of infrastructure.  The parties anticipate that there will be numerous amendments or separate agreements that will provide more detail during the development process.  The major terms of the development agreement include the following: 

Water and Wastewater Infrastructure

This property is not located within the City’s assured water supply designation. The source of water to serve the property is ground water and the City’s existing assured water supply designation (legal availability) is not sufficient to cover build-out and has been acquired and funded by impact fees for development north of the Property.  Ensuring the availability of a physical water supply sufficient to supply water to the Property at build-out for 100 years, ensuring the legal availability of a water supply sufficient to supply water to the Property at build-out for 100 years and ensuring the development of the facilities needed to provide water service to the property were critical components of the development agreement. 

Under the terms of the Restated DA, Owner will be entitled to begin partial development of the property by establishing a satellite service area with the ability to access a limited portion of the City’s Designated Assured Water Supply (“DAWS”) allocated to Rainbow Valley (274 acre-feet per year) in the 2016 Designation Decision and Order.  The Owner may plat up to 274 acre-feet per year (AFY) of demand.  The City will apply to extend the City’s designation in mid-2023.  The City’s application will propose to include the groundwater supply already proven physically available in the property owner’s Analysis of Assured Water Supply (“AAWS”) issued by the Arizona Depart of Water Resources (“ADWR”), which the Owner has agreed to assign to the City’s designation.  Upon application and approval of the City’s extension of the designation, and assuming the approval includes the full amount of the City’s existing groundwater supply recognized as physically available in the Rainbow Valley sub-basin (274 acre-feet per year) and the full amount of the Owner’s AAWS, Owner may apply to fully plat the remainder of the Property up to the amount of Owner’s AAWS recognized by the ADWR.  If the ADWR does not recognize the full amounts as still physically available as set forth above, Owner will have the ability to plat the Property up to the volume of groundwater actually approved by ADWR subject to the allocation in the development agreement.   

Transportation Infrastructure

Owner is required to design, install, and/or construct, all on-site transportation-related infrastructure, necessary to provide for safe and adequate circulation within the Property, connectivity to neighboring adjacent properties, and connectivity to existing and future regional transportation routes, including: 
· A high and dry culvert and/or bridge crossing over Waterman Wash that will accommodate a 100-year storm event must be constructed before development of the portion of the Property south of Waterman Wash is constructed.

Owner is required to design, install, and/or construct, off-site transportation-related infrastructure, other than off-site bridges and off-site traffic signals, necessary to provide for safe and adequate circulation within the Property, connectivity to neighboring adjacent properties, and connectivity to existing and future regional transportation routes
· Obligations for the construction of off-site transportation related infrastructure are limited to the transportation related infrastructure identified in the development agreement and the Initial Traffic Impact Analysis for a specified period of time (15 years from the date the Initial Traffic Impact Analysis was approved) except:
o If final plats are recorded that cumulatively plat a minimum of 100 residential lots within property between Pecos and Patterson and any updated Traffic Impact Analysis demonstrates that additional off-site transportation infrastructure is needed, other than off-site bridges and off-site traffic signals, then the Owner will be responsible for the design, installation, and construction of such infrastructure other than off-site bridges and off-site traffic signals.

Rainbow Valley Road, which is a two-lane road, is the only partially developed road that provides a connection between the Property and the currently developed sections of the city.  To provide access to the Property needed for the provision of government services and to provide connectivity between the Property and the city north of the Gila River where most of the employment, retail, entertainment, and medical services have been developed, owner is required to construct limited improvements sections of Rainbow Valley Road that are not adjacent to the Property.  To avoid the possibility that all of Rainbow Valley Road is shut down in the event of a serious event, Owner is required to construct improvements to Rainbow Valley Road such that there are four travel lanes and a median between the Willis Road alignment (generally the northern boundary of the Property) to the existing section of Willis Road prior to the issuance of the first building permit for vertical construction.  Owner is also responsible for the construction of full-street improvements to the sections of Rainbow Valley Road adjacent to the Property as well as to the sections of Germann Road adjacent to the Property. 

Owner will be required to provide another point of access into the portion of the Property located on the west side of Rainbow Valley Road other than off of Rainbow Valley Road, but this point of access does not have to be an all-weather roadway, but it must be accessible to the public. In addition, Owner is required to provide secondary access, which must be all-weather, to the portion of the Property located on the east side of Rainbow Valley Road. 

Fire

Owner is responsible for making contributions under the Fire Services Agreement between the City, Newland and AV Homes and, if certain triggers are met, for constructing a new fire station and for provided O&M payment for a period of five years. 

Impact Fees for Emergency Services (Fire and Police) that include this area are to be adopted to provide a reimbursement mechanism for the capital contributions toward the Willis Road Fire Station
o The City is responsible for processing and paying for the costs of the updated impact fee studies
o Owner will receive all fire impact fees collected within Property until they are fully reimbursed for the Willis Road Fire Station Capital Contribution


Parks

Property is to be developed in accordance with the 1st Amended Rainbow Valley PAD, as modified by the Restated DA or the Goodyear Parks, Recreation, Trails and Open Space Master Plan in effect when the Property develops, whichever will provide the most open space, parks and recreational amenities, and Owner shall, at its sole cost, design, install, construct and equip all parks, open space, and recreational amenities that are to be developed.
· The open space and parks requirements in the 1st Amended Rainbow Valley PAD will be vested provided that Owner satisfies various requirements within ten (10) years of the effective date of the Agreement, including:
o recording a final plat for the development of the entire First Phase (100 acres)
o obtaining a building permit for vertical construction of at least one production home within the First Phase
· The development agreement provides triggers for the timing of the construction of the various open space and park amenities, which include:
o Sections of the Waterman Wash Paths
o Trailhead
o Regional Path that provides access to the Waterman Wash Paths from properties to the south
o The Project Trail along the Power Corridor
o The Enhanced Neighborhood Parks

Finance

The parties anticipate that some of the infrastructure that Owner will need to construct pursuant to the terms of the development agreement may benefit other properties in the region (“Regional Infrastructure”).  The development agreement includes terms related to reimbursements for such infrastructure.  The following is a summary of the terms related to reimbursements: 
· No guarantees of reimbursement, but the City has to make a good faith effort to obtain reimbursements for Regional Improvements as provided in the agreement
· Only one source of recovery (for example, if reservation of capacity is used as the mechanism for reimbursement for water infrastructure, then the costs of such water infrastructure would not be eligible to be included in an impact fee study)
· Cost Recovery for Regional Street Improvements and Regional Utility Lines
o Owner responsible for all costs
o No guarantee that Cost Recovery Ordinance/Resolution will be enacted
o City’s sole liability is to remit monies collected and to endeavor to enforce any Cost Recovery Ordinance/Resolution Enacted
· Reservation of Capacity for regional utility infrastructure
o City will reserve capacity in excess of what is needed to serve the Property - but the reservation has to be pursuant to an amendment to the agreement that gives the City the right to convey the capacity at an established price per gallon as established in the amended and that is to be based on the actual cost of the infrastructure
· Development Fees
o Street development impact fees that include this area are to be developed and considered to reflect developments proportionate share of eligible regional transportation infrastructure, such as the expansion of the Estrella Parkway bridge necessitated by new growth south of the Gila River
§ The City is responsible for processing and paying for the costs of the updated transportation impact fee study
o Other than the initial impact fee study for police, fire and transportation that the City is paying for, Owner will be responsible for all costs associated with the impact fee process and providing the information needed for the adoption of impact fees if impact fees are to be used as the source of reimbursement for regional infrastructure costs
o Cost Recovery is the only source of recovery for off-site roadways constructed by Owner that are eligible for reimbursement under the agreement
· Other Reimbursements – City agrees to consider requests to pursue available mechanisms that do not create contingent liability on the part of the City
· No interest to accrue or be owed for any reimbursements or credits to be provided
· The City is waiving all fees applicable to the modification, amendment or restatement of this Agreement or the creation of a new development agreement that are needed to modify or implement the terms of the development agreement. 

Staff’s Recommendation

Staff recommends the adoption of Resolution 2021-2175 approving the Amended and Restated Development Agreement for Rainbow Valley.

Attachments