Public hearing followed by discussion and possible action on any and all matters regarding Rezoning Case No. 2020-0474B and Ordinance No. 416. An ordinance of the Mayor and City Council of the City of San Luis, Arizona, amending the conditions on Low-Density Residential (R1-20) zoning, as approved by Ordinance No. 402, on property located at Quintero Avenue & County 22nd Street. (Jose A. Guzman, Director of Planning & Zoning)

A. Open public hearing     (City Clerk to read the ordinance by title only)
D. Action on Ordinance No. 416

This is a request by Edais Engineering, on behalf of, Salmos 127:1, LLC., owner, to amend conditions on Low-Density Residential (R1-20) zoning as approved by Ordinance No. 402 on the property is located at Quintero Avenue & County 22nd Street. 

The subject property is Assessor Parcel ID No. 211-31-012 and is located east of the East Main Canal and north of County 22nd Street. The areas to the west, east, and north are zoned as Rural Area Residential (RA-10) and are undeveloped and only the property to the west is being used for agricultural purposes. The area to the south is zoned as Medium Density Residential (R1-6) and is where the new residential subdivision Las Quintas de San Luis 2 is located.

GENERAL PLAN:
This area is designated as Medium Density Residential (MDR) in the City of San Luis 2020 General Plan. The activities proposed will be consistent with and conforms to the designation (Page 2-9). The MDR Land Use designation allows detached single-family residential density range up to one dwelling unit per acre. 

AGENCY REVIEW:
As part of the review process, all land use cases are reviewed by various city and outside agencies. As required by State Statute, staff sent notification letters to property owners within 300 feet of the proposed project (9 letters).

The City has not received any other significant concerns or objections from the various review agencies or adjacent property owners.

CITIZEN REVIEW MEETING:
As required by State Statute (A.R.S. §9-462.03) and City of San Luis Zoning Ordinance (City Code §18.15.010(C)), a Citizen Review meeting was held at City Hall on May 5, 2021, at 6:00 p.m., due to the pandemic, this meeting was conducted via teleconference. Notice of the meeting was sent to the adjacent neighbors, and they were able to connect to the meeting or send out questions or comments via email before the meeting. The intent of this meeting was to allow the public to learn about the project, ask questions, and express any comments. There were no people from the public connected to the teleconference neither did the city received any comments or questions prior to the meeting.

ANALYSIS:
A development agreement for this project has been approved by City Council by Resolution No. 2146. The conditions of the development agreement are in Article 2. Special Provisions for Infrastructure and are listed as follows:

• 2.1 The Owner shall have a traffic study conducted at the Owner’s expense in accordance with said Public Works Standards of the City of San Luis and shall construct or provide for the construction and/or development of all improvements required by the said study as a condition for issuance of any permit authorizing construction or development. Improvements shall also comply with the City’s Ordinance No. 390. 
• 2.2 Owner agrees to provide off-site drainage.  Water retention/detention areas may be counted towards the 2% Open Space required by the Zoning Regulations (Chapter 152 Table No. 2). The required 2% for Las Quintas 3 Subdivision is 0.2104 acres.
• 2.3 Owner agrees to provide a 10” water line and fire hydrants at least every 240 feet. And provide a 54-foot right-of-way for Quintero Avenue, as shown in Exhibit 2. 
•  2.4 Owner agrees to provide curb, gutter, and sidewalk on the north side of County 22nd Street between Las Quintas De San Luis 3 subdivision and 10th Avenue.
• 2.5 Grading and erosion control shall comply with the 2003 International Building Code Appendix J standards for all aspects of the development, including developing lots and building houses or other buildings. The Owner shall provide a system for effective future maintenance of all improvements needed or necessary to maintain grading and erosion control after the development of the subdivision.  Such future maintenance shall include, but shall not be limited to and as an example only, placing common improvements such as retaining walls in common areas and establishing a homeowner’s association to maintain same.  
• 2.6 Owner agrees to sign necessary improvement districts for the subdivisions of the rezoned parcel. Said districts to include a street lighting improvement district, a community facilities district, and a parkway district pursuant to A.R.S. § 48-572.  
• 2.7 Owner agrees to obtain ownership of necessary right-of-way for improvements. 
• 2.8 Owner agrees to submit a complete full set of plans at the time of the preliminary plat application.  Said plans to include plans for landscaping to comply with § 152.298 of the Zoning Regulations.  In the alternative for the provision of landscaping, the Owner agrees to submit an engineer’s cost estimate for compliance with landscaping to the satisfaction of the Public Works Director and to pay to the City an amount equal to said estimate.  Said monies to be used by City to provide future landscaping to city rights of way or other public Property in or near the Property.  
• 2.9 Offset from a collector street should be set at a safe distance for construction of required turn lanes and safe turning movements.
• 2.10 The terms of this Agreement are in addition to City codes, rules, fees, and regulations that are applicable to this action. 

AMENDMENT REQUEST:
The reason for this request is to amend the conditions on the development agreement. Since the rezoning was conditioned on the development agreement, the rezoning process was done as a regular rezoning to give the opportunity to the public to comment or ask questions regarding this request. This rezoning request will be presented to City Council during the same meeting of the new proposed development agreement with the amended conditions. If the development agreement is approved, then the rezoning will be presented for approval. 

The owner request is to change the following conditions:

• 2.4 Owner agrees to provide curb, gutter, and sidewalk on the north side of County 22nd Street between Las Quintas De San Luis 3 subdivision and 10th Avenue.

This condition was proposed by staff in order to create pedestrian connectivity, however, the owner mentioned that this request is not feasible for the number of lots to be constructed and the cost it requires. This recommendation from staff is not a requirement of our regulations. The regulations require the owner to improve half of the street directly in front of the subdivision.

Since the layout of the subdivision changed and now is proposed to be a gated community, staff is proposing the following changes:

• The Development Agreement was approved based on a layout with 10 lots, the new proposal is 19 lots. The plat is part of the agreement as "Exhibit 2: Conceptual Plan" and will be updated with the new conceptual plan.
• The name for the future subdivision was changed from "Las Quintas de San Luis 3" to "Palencia Hills" and the agreement needs to change appropriately. 
• The applicant must provide to the City any documentation regarding the Home Owners Association including but not limited to Declaration of Covenants, Conditions and Restrictions(CC&Rs), the articles of incorporation, the bylaws, and the rules and regulations. The applicant must provide an acceptable mechanism to generate funds necessary to maintain any private streets, landscape, retention, common areas, and amenities associated with the development including the landscape in the adjacent public right-of-way. The applicant agrees to submit a petition to create any applicable improvement district, dedicate easements to the City, and make changes to the plat as deem necessary by the City. If the applicant is not in agreement with any requirement or administrative interpretation, then the appeal process shall be followed in accordance with City Code Section 152.045. 

PLANNING AND ZONING COMMISSION:
This item was presented to the Planning and Zoning Commission at their regular meeting of May 11, 2021.  The Commission recommended approval of this item with the conditions as presented by staff.  Staff presented the request to amend the conditions as set for in Resolution No. 2146 Development Agreement and recommended approval of the rezoning with additional conditions mentioned above. The Commission agreed with the conditions presented by staff and recommended approval of Rezoning Case No. 2020-0474B with the condition that City Council approves any amendments to the development agreement with the conditions proposed by staff. 

NEW DEVELOPMENT AGREEMENT:
A new development agreement for this project has been created and will be presented to City Council prior to this item (Resolution No. 2180). Some conditions that are part of the new agreement are the following:

• 2.1 The Owner shall have a traffic study conducted at the Owner’s expense in accordance with said Public Works Standards of the City of San Luis and shall construct or provide for the construction and/or development of all improvements required by the said study as a condition for issuance of any permit authorizing construction or development. Improvements shall also comply with the City’s Ordinance No. 390. 
• 2.2 Owner agrees to provide off-site drainage.  Water retention/detention areas may be counted towards the 2% Open Space required by the Zoning Regulations (Chapter 152 Table No. 2). The required 2% for Las Quintas 3 Subdivision is 0.2104 acres.
• 2.3 Owner agrees to provide a 10” water line and fire hydrants at least every 240 feet. And provide a 54-foot right-of-way for Quintero Avenue, as shown in Exhibit 2. 
• 2.4 Grading and erosion control shall comply with the 2003 International Building Code Appendix J standards for all aspects of the development, including developing lots and building houses or other buildings. The Owner shall provide a system for effective future maintenance of all improvements needed or necessary to maintain grading and erosion control after the development of the subdivision.  Such future maintenance shall include, but shall not be limited to and as an example only, placing common improvements such as retaining walls in common areas and establishing a homeowner’s association to maintain same.  
• 2.5 Owner agrees to sign necessary improvement districts for the subdivisions of the rezoned parcel. Said districts to include a street lighting improvement district, a community facilities district, and a parkway district pursuant to A.R.S. § 48-572.  
• 2.6 Owner agrees to obtain ownership of necessary right-of-way for improvements. 
• 2.7 Owner agrees to submit a complete full set of plans at the time of the preliminary plat application.  Said plans to include plans for landscaping to comply with § 152.298 of the Zoning Regulations.  In the alternative for the provision of landscaping, the Owner agrees to submit an engineer’s cost estimate for compliance with landscaping to the satisfaction of the Public Works Director and to pay to the City an amount equal to said estimate.  Said monies to be used by City to provide future landscaping to city rights of way or other public Property in or near the Property.  
• 2.8 Offset from a collector street should be set at a safe distance for construction of required turn lanes and safe turning movements.
• 2.9 The applicant must provide to the City any documentation regarding the Home Owners Association including but not limited to Declaration of Covenants, Conditions and Restrictions(CC&Rs), the articles of incorporation, the bylaws, and the rules and regulations. The applicant must provide an acceptable mechanism to generate funds necessary to maintain any private streets, landscape, retention, common areas, and amenities associated with the development including the landscape in the adjacent public right-of-way. The applicant agrees to submit a petition to create any applicable improvement district, dedicate easements to the City, and make changes to the plat as deem necessary by the City. If the applicant is not in agreement with any requirement or administrative interpretation, then the appeal process shall be followed in accordance with City Code Section 152.045. 
• 2.10 The terms of this Agreement are in addition to City codes, rules, fees, and regulations that are applicable to this action. 

Additionally, the following changes will be made to the actual agreement:

• The name for the future subdivision was changed from "Las Quintas de San Luis 3" to "Palencia Hills" and the agreement needs to be changed appropriately.
• An agreement will be made with the new owner of the property. 
• The Development Agreement was approved based on a layout with 10 lots, the new proposal is 19 lots. The plat is part of the agreement as "Exhibit 2: Conceptual Plan" and will be updated with the new conceptual plan.

STAFF RECOMMENDATION:
The applicant has provided the information and materials necessary for review of amendments to the conditions of rezoning as set for by Ordinance No. 402. 

Staff recommends approval of Rezoning Case No. 2020-0474B and Ordinance No. 416 if Resolution No. 2180 - Development Agreement is approved. 

A. I MOVE TO OPEN THE PUBLIC HEARING
      1. Staff presentation
      2. Call to the public on this item
B. I MOVE TO CLOSE THE PUBLIC HEARING
C. I MOVE TO APPROVE READING OF ORDINANCE NO. 416 BY TITLE ONLY
     (City Clerk to read the ordinance by title only)
D. I MOVE TO APPROVE THE REZONING CONDITIONED UPON THE TERMS OF THE DEVELOPMENT AGREEMENT APPROVED BY RESOLUTION NO. 2180 AND TO APPROVE ORDINANCE NO. 416.