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ITEM #: 5.
DATE: 11/16/2026
AI #:3540

CITY COUNCIL ACTION REPORT

SUBJECT:

ORDINANCE REZONING APPROXIMATELY 137.77 ACRES FROM PALM VALLEY CROSSING 5TH AMENDED & RESTATED PAD TO PALM VALLEY CROSSING 6TH AMENDED & RESTATED PAD

STAFF PRESENTER(S):

Ann Dolmage, Principal Planner

OTHER PRESENTER(S):

Madison Leake, Burch & Cracchiolo

SUMMARY

This is a public hearing to request a rezone of approximately 137.77 acres, generally located at the northeast corner of West Van Buren Street and North Litchfield Road, from Planned Area Development (PAD) to PAD with multiple underlying zoning districts. The proposed PAD will be known as the Palm Valley Crossing 6th Amended and Restated PAD. Details about the project are provided in the attached Ordinance No. 2026-1656 (Attachment A), Aerial Photo (Attachment B), Details of Request (Attachment C), Project Narrative (Attachment D), and Evaluation Criteria (Attachment E).

STRATEGIC PLAN ALIGNMENT

RECOMMENDATION

Adopt Ordinance No. 2026-1656 conditionally rezoning approximately 137.77 gross acres located at the northeast corner of Van Buren Street and Litchfield Road to Palm Valley Crossing 6th Amended and Restated Planned Area Development. (Ann Dolmage, Principal Planner)

STIPULATIONS

The complete list of stipulations is contained within Ordinance No. 2026-1656, included as Attachment A.

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

On November 4, 2026, the Planning and Zoning (P&Z) Commission held a public hearing for this item. After the staff presentation and applicant presentation, one (1) speaker who represented New Life Center (a domestic violence shelter affiliated with Hope's Closet, a thrift shop adjacent to Pam Valley Church) expressed concerns that construction of the new hotel could affect traffic on Auto Drive and deter people from making donations to Hope's Closet, which in turn would impact New Life Center. The applicant and speaker agreed to connect after the meeting to discuss these concerns in more detail. At the conclusion of the public hearing, the P&Z Commission voted 6-0 to recommend approval, subject to the proposed stipulations which are reflected in the Ordinance, included as Attachment A.

A Public Hearing notice for the City Council Meeting was published in the Arizona Business Gazette - Republic Edition on October 16, 2026, at least fifteen (15) days prior to the meeting; postcards were mailed to 135 property owners located within the PAD boundaries and/or within 1,200 feet of all parcels within the PAD that have underlying C-2 zoning, on October 10, 2026; and a sign was posted on the site on October 19, 2026.

Additional details regarding the previous actions are provided in the P&Z Commission Staff Report, included as Attachment F.

STAFF ANALYSIS

Staff recommends that the City Council adopt the Ordinance No. 2026-1656, consistent with the P&Z Commission recommendation.

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