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Ordinance 11-001 Emergency, Eliminates "City Center" CITY OF SPOKANE VALLEY SPOKANE COUNTY,WASHINGTON ORDINANCE NO. 11-001 AN ORDINANCE OF THE CITY OF SPOKANE VALLEY, SPOKANE COUNTY, WASHINGTON, AMENDING THE SPOKANE VALLEY COMPREHENSIVE PLAN DELETING REFERENCES TO THE DESIGNATION "CITY CENTER" AND AMENDING THE COMPREHENSIVE PLAN MAP CHANGING THE DESIGNATION "CITY CENTER" TO "MIXED USE AVENUE," AND AMENDING ORDINANCE 09-022 AND DECLARING AN EMERGENCY. WHEREAS,the City of Spokane Valley, (The"City") is a noncharter Code City organized under the laws of Title 35A RCW; and WHEREAS, the City has the authority to amend the City of Spokane Valley Comprehensive Plan,(The"Comprehensive Plan")pursuant to RCW 36.70A.130; and WHEREAS, RCW 36.70A.130(2)(b) allows amendments to the Comprehensive Plan to be considered outside of the annual review process, "whenever an emergency exists" and after "appropriate public participation; and WHEREAS, the City Council of the City of Spokane Valley, (the "City Council"), adopted Ordinance 09-022 on September 15, 2009 amending the Comprehensive Plan and adopting the Spokane Valley Sprague Appleway Subarea Plan, (the"Subarea Plan"); and WHEREAS, on October 26, 2010, the City Council passed a motion to forward an emergency Comprehensive Plan and Zoning Code amendment to the Planning Commission for their review and recommendation; and WHEREAS, the Planning Commission reviewed this request, as well as the recommendation of the Community Development Department to approve this request, at a study session on November 18, 2010 and conducted a public hearing on December 9, 2010; and WHEREAS, the Planning Commission adopted Findings and Recommendations and the same were presented to the City Council on January 4, 2011; and WHEREAS,the City Council considered this Ordinance and the Findings and Recommendations of the Planning Commission on January 18, 2011, for the first reading and on January 25, 2011, for the second and final reading with public comment received at both City Council meetings; and WHEREAS, one of the land use designations contained within the Subarea Plan was the "City Center"designation; and WHEREAS, at the time the City Center designation was approved, the City of Spokane Valley intended to make significant investments in the City Center area through the purchase of property on which it would construct and operate a new City Hall as well as construct improvements to streets and streetscapes adjacent to the new City Hall; and WHEREAS, the plan for the development of the City Center property also included the construction of a Library within its boundaries; and Ordinance 11-001,Amending Comp Plan Deleting Reference to City Center Page 1 of 6 WHEREAS, the Comprehensive Plan envisioned that certain uses within the City Center area would be restricted and limited to encourage the development of a City Center that would provide the community with, "its symbolic, social and geographic heart," the "center of its civic and social life" and provide services such as shops, cafes, restaurants, community services and the offering of"comfortable public streets and public places,"and WHEREAS, the Comprehensive Plan further envisioned that the new City Hall was intended to "preside over the City's main outdoor gathering space and its vista will be the iconic image that stands for Spokane Valley," and spur development including a new regional center including retail, office and residential development; and WHEREAS, the City Center designation in the Comprehensive Plan and subsequent development regulations did not allow a number of specific uses including vehicle sales, convenience stores, gas stations and thrift stores; and WHEREAS, the Mixed Use Avenue designation in the Comprehensive Plan and subsequent development regulations does allow such uses; and WHEREAS, the City Center designation in the Comprehensive Plan and subsequent development regulations, once the development of the "core" City Center Main Street commenced, restricted retail development in areas adjacent to Main Street until specific development thresholds were met; and WHEREAS, the City Center designation in the Comprehensive Plan and subsequent development regulations imposed certain design restrictions and construction requirements that were unique to the City Center area; and WHEREAS, in the last sixteen months since the adoption of the Subarea Plan,the City's revenue forecast has continued to deteriorate. Specifically, sales taxes are projected to decrease by $400,000 from 2010 to 2011; property taxes are projected to decrease by $100,000 from 2010 to 2011, and funds available from the real estate excise tax have decreased from a high of approximately$2.2 million in 2007 and 2008 to approximately$900,000 in 2010 and 2011; and WHEREAS, funds for significant private development are not as available as they would have been at the time the initial ordinance was passed, and major commercial investments within the City have had financial difficulties; and WHEREAS, the City is not able and does not intend to make any significant investment in the Center area as was contemplated at the time the Comprehensive Plan and development regulations comprising the Subarea Plan was adopted. Specifically the City Council has, by motion, ended negotiations for the purchase of property on which to locate a new City Hall, and adopted a 2011 budget that does not include sums for the purchase of such property, and further reduced funds available for the construction of a new City Hall by$2.2 million to fund other necessary capital projects; and WHEREAS,the voters of the City rejected a bond proposal to construct a Library within the City Center property; and WHEREAS, the property owners within the City Center designation are burdened by the restriction on allowable uses outlined above, the further restrictions that would be in place if and when a development plan for the core was adopted, and the design restrictions and requirements unique to the City Center designation,without the City investment and infrastructure improvements; and Ordinance 11-001,Amending Comp Plan Deleting Reference to City Center Page 2 of 6 WHEREAS, the City has been made aware of potential development that could occur within the City Center area that currently is precluded by the current designation; and WHEREAS, a number of uses, buildings and signs have been made non-conforming by the adoption of the City Center designation and development regulations implementing the same; and WHEREAS, testimony before the City Council and Planning Commission has demonstrated both the economic hardships and the desire to remove the current limitations as is set forth in the findings of fact below; and WHEREAS, the issues and factors concerning the creation of the City Center designation has been the subject of three years of study and analysis, and public meetings and testimony, specifically as set forth in Ordinance 09-022 and in additional public hearings and meetings identified in the Findings of Fact below; and WHEREAS,the Comprehensive Plan adopted in 2006, prior to the adoption of the Subarea Plan, recognizes the goal of identifying and creating a City Center for the City, and the City Council wishes to continue to pursue this goal with staff, taking into consideration the existing economic situation and the City's current financial circumstances, in a manner consistent with the provisions of the Comprehensive Plan; and WHEREAS, the Planning Commission recommendations fail to take into account the specific factors set forth in the findings of fact below; and WHEREAS, an amendment to the Comprehensive Plan through the annual process set forth in RCW 36.70A.130 would delay any change in zoning to the designated City Center property until May of 2011 or later preventing any planning or application for future construction for at least another full calendar year; and WHEREAS,adoption of this amendment to the Comprehensive Plan and Map must comply with the requirements of the State Environmental Policy Act("SEPA")as set forth in RCW 43.21C; and WHEREAS, the City is required to notify the Washington State Department of Commerce of its intent to adopt this amendment to the Comprehensive Plan and Map at least 60 days prior to final adoption pursuant to RCW 36.70A.106. NOW,THEREFORE,THE CITY COUNCIL MAKES THE FOLLOWING FINDINGS OF FACT: 1. The facts set forth in the recitals above are incorporated by this reference as Findings of Fact. 2. The proposed amendment to the Comprehensive Plan and Map has been provided to the Department of Commerce pursuant to RCW 36.70A.106 on November 3, 2010. 3. The City of Spokane Valley has complied with the requirements of RCW 43.21C and issued a Determination of Non Significance ("DNS") for the proposed amendment on November 12, 2010 in a manner consistent with the City of Spokane Valley Environmental Ordinance. 4. At the time the City Center designation was approved,the City intended to make significant investments in the City Center area through the purchase of property on which it would Ordinance 11-001,Amending Comp Plan Deleting Reference to City Center Page 3 of 6 construct and operate a new City Hall as well as construct improvements to streets and streetscapes adjacent to the new City Hall. 5. The plan for development of the City Center property also included plans for the construction of a Library within the City Center boundaries but the voters rejected a bond proposal to construct that Library. 6. In the last sixteen months, since the adoption of the Subarea Plan, the city's revenue forecast has continued to deteriorate. Specifically, sales taxes are projected to decrease by $400,000 from 2010 to 2011; property taxes are projected to decrease by $100,000 from 2010 to 2011, and funds available from the real estate excise tax have decreased from a high of approximately $2.2 million in 2007 and 2008 to approximately $900,000 in 2010 and 2011. 7. Funds for significant private development are not as available as they would have been at the time the initial ordinance was passed, and major commercial investments within the City have had financial difficulties. The City Council has, by motion, ended negotiations for the purchase of property on which to locate a new City Hall, and adopted a 2011 budget that does not include sums for the purchase of such property, and further reduced funds available for the construction of a City Hall by $2.2 million to fund other necessary capital projects. 8. The City has been made aware of potential development that could occur within the City Center area that currently is precluded by the current designation. 9. An amendment to the Comprehensive Plan through the annual process set forth in RCW 36.70A.130 would delay any change in zoning to this designated property until May of 2011 or later, preventing any planning or application for future construction for at least another full calendar year. 10. Public testimony has favored and opposed the change. Specific comments at the City Council meeting of October 26, 2010 supporting the amendment include comments that businesses were struggling, vacancy rates were high, and that the property owners within the City Center designation support removal of the current restrictions; further testimony at the Planning Commission meeting on December 9, 2010 supporting the amendment indicated that the city Council has, since taking office in January of 2010, reviewed the Subarea Plan in detail, reviewed each zone classification, and heard testimony concerning the impacts of the current regulations on development and how the current economy is affecting properties within this designation, as well as the desire of property owners for additional flexibility for development within this designation, as well as testimony by a property owner within the City Center designation requesting more flexibility to enable redevelopment to increase the tax base and create more jobs; Further, public comments at the City Council meetings of January 18, 2011 and January 25, 2011, supporting this change included comments that current restrictions stymied business growth and development, created a significant percentage of non-conforming uses and buildings, resulted in little or no building applications since the designation was established; further that City investment and major tenant interest has not materialized,that the City is suffering the effects of a serious economic downturn, and that investment opportunities may exist if the restrictions on use and development were removed. Ordinance 11-001,Amending Comp Plan Deleting Reference to City Center Page 4 of 6 11. The City of Spokane Valley has provided notice and engaged in a public process to ensure citizen participation pursuant to RCW 36.70A.035, RCW 36.70A.130 and RCW 36.70A.140, providing the public an opportunity to be heard on October 26, 2010, December 9, 2010, January 18, 2011 and January 25, 2011. The notice provided and meetings identified constitute early and continuous public participation in the consideration of this proposed amendment to the comprehensive plan and map. 12. The City Council does not accept the Findings of the Planning Commission for the reasons set forth in these Findings of Fact as well as the following: a. The public has had an appropriate opportunity to be heard. Public notice was provided and public comment on this issue was taken on October 26, December 9, 2010, January 18, 2011, and January 25, 2011. There further is no evidence in the record that the current designation, without the anticipated City investment, provided any guidance or stability for future economic investment, on the contrary, economic development has not occurred due to the restrictions currently in place. b. The change is not inconsistent with the remaining portions of the Comprehensive Plan including Chapter 2.2.1-City Center, and Goals and Policies LUG-6 and LUP-6.1.11. The City Council is not abandoning the concept of a future City Center and is actively exploring alternatives to this site. All remaining provisions of the Subarea Plan contained in the Comprehensive Plan and development regulations are still in place. c. The City Council finds that the economic threat to existing property owners within the City Center designation is immediate and a result of the restrictive development standards imposed. 13. The inability and decision of the City and other public entities to invest in the City Center area as contemplated by the Comprehensive Plan, and the current and ongoing economic hardships suffered by both the City and its constituents, along with the code restrictions contemplated by the City Center designation of the Comprehensive Plan and subsequent development regulations set forth above in the recitals and incorporated herein, as well as the significant delay that would occur if this matter were reviewed as part of the annual Comprehensive Plan review process, creates a significant and ongoing economic hardship for property owners within the City Center designated area, and constitutes a legitimate and sufficient basis to declare an emergency requiring immediate action by the City Council amending the Comprehensive Plan pursuant to RCW 36.70A.130(2)(b). BASED UPON THE RECITALS AND FINDINGS OF FACT SET FORTH ABOVE, THE CITY COUNCIL OF THE CITY OF SPOKANE VALLEY HEREBY ORDAINS AS FOLLOWS: Section 1: Declaration of an Emergency The City Council of the City of Spokane Valley hereby declares that an emergency exists, as is described in the findings above, allowing the amendment of the Comprehensive Plan and Map as is set forth below pursuant to RCW 36.70A.130(2)(b). Section 2: Amendment of the Spokane Valley Comprehensive Plan. The Comprehensive Plan is herby amended as set forth in Exhibit A, attached hereto and by this reference incorporated herein. Section 3: Amendment of the Spokane Valley Comprehensive Plan Map. The Comprehensive Plan Map is hereby amended as is set forth in Exhibit B, attached hereto and by this reference incorporated herein. Ordinance 11-001,Amending Comp Plan Deleting Reference to City Center Page 5 of 6 Section 4: Severability. If any section, sentence, clause or phrase of this Ordinance should be held to be invalid or unconstitutional by a court of competent jurisdiction, such invalidity or lack of constitutionality shall not affect the validity or constitutionality of any other section, clause or phrase of this ordinance. Section 5: Effective Date. This Ordinance shall be in full force and effect five (5) days after publication of this Ordinance or a summary thereof in the official newspaper of the City of Spokane Valley as provided by law. Passed by the City Council this 25th day of January,2011. OF ATT T. T omas E. Towey, Mayor / istine Bainbridge, City Clerk y- 1 Approved As To Form: (e) '- ' -4--"4-:i ii Office o , e City orney Date of Publication: "• Effective Date: 0_ 9' d d// Ordinance 11-001,Amending Comp Plan Deleting Reference to City Center Page 6 of 6 Exhibit A Emergency Comprehensive Plan Amendment INTRODUCTION: i.1 PURPOSE This Subarea Plan is established in response to the community's desire to reverse the visual and economic decline of the Sprague and Appleway corridors, and restore the beauty and vitality of these corridors, and instigate the - • - -• - ' '• - - It presents the community's vision for the future of these corridors. It establishes the primary means of regulating land use and development within the Plan Area(see Fig.i.1. Plan Area). Finally, it describes the City actions and public investments that will support the corridors' 1 revitalization and creation of the City Center. IThe Subarea Plan is intended to implement the broad policies established in the Spokane Valley Comprehensive Plan for a new City Center and the development/redevelopment of Sprague Avenue/Appleway Boulevard corridor into an area of quality commercial and mixed-use development. The regulations contained within the Subarea Plan replace land use and development regulations previously contained within the City Zoning Ordinance for this portion of the City. In the instance of conflicting regulations with other municipal planning documents containing policies for land use and development within the Plan Area, the Subarea Plan shall prevail. The Subarea Plan document does not replace or augment regulations pertaining to issues of building safety codes or other non-planning related codes. All applications for new construction, substantial modifications to existing buildings, and for changes in land use, shall be reviewed for conformance with the policies contained in the Subarea Plan. BOOK I 1.2. INTENT : . .-• • •• • • .. - • . :•.cstrian oriented street environments. 1.4. THE ENVISIONED FUTURE CORRIDORS • Figure 1.1 Urban Design Concept Map— remove City Center - Core and add Mixed Use Avenue designation From Commercial Strip to a Pattern of Centers and Segments: During the period of time in which development is guided by this Subarea Plan,the Sprague Avenue Corridor will begin its transformation from commercial strip to a pattern of Centers and Segments (see Figure 1.1). Whereas the commercial strip is undifferentiated—a linear pattern of exclusively commercial buildings,typically one-story (with very few notable exceptions), surface parking lots,and pole signs, —the future corridor will be increasingly characterized by emerging structural differentiation: there will be clusters of shops, activity, mix, and intensity - Centers, and there will be longer linear portions distinguished by cohesive building types, frontage landscaping, and dominant uses—Segments. Whereas the commercial strip caters to a narrow segment of market demand(the demand for commercial goods and services),the emerging Centers and Segments will have differentiated market I focus. Neighborhood Centers will specialize in serving the needs of neighborhoods within a short drive; the City Exhibit A Page 1 of 5 - - ' - - - -• ' ••-• ; Appleway Boulevard will ultimately be lined primarily with large residential buildings facing a landscaped boulevard; the Gateway Commercial Segment of Sprague Avenue will continue to enhance its position as a regional Auto Row, and the Mixed Use Avenue Segments of Sprague will focus on a synergistic mix of workplace,commercial and high density residential uses. 1.4. THE ENVISIONED FUTURE CORRIDORS 1) The City Center community to complete the formation of their City by establishing its Center. The City Center will provide and by the offering of comfortable public streets and plaza spaces to linger in when the weather is fine. And the new City. . ... . . . . .. .. - -- _ .....- - The City Center will be built in the vicinity of the region's first shopping mall a prominent location for Avenue, the City and region's primary arterial. The Sprague Avenue frontage will provide the new district • • - .. - - - -b - .. . - generous assortment of sitting places, warmly lit sidewalks and attractive window displays. Walking and grained network of streets shared by vehicles and pedestrians alike (Fig.1.2.). Along these streets, offices, n) The City Center Core shopping, and dining core. Larger retail establishments will anchor new boutique retail, restaurants with fronts. Shop windows and doors will adorn buildings with a high level of finish and detail (Fig.L'1 ). atmosphere (Fig.1.5.). The narrow streets, lined with street trees and decorative furnishings, will offer Exhibit A Page 2 of 5 The backbone of the City Center Core will be a new "Main Street," featuring continuous ground level experience the hustle and bustle of City Center life (Fig.1.7.). Buildings such as a City Hall and Public Library terminating prominent views and presiding over civic spaces will add to the long list of .. - �.. . b. .. b) The City Center Sprague Avenue • a. • .b. . .. .. . . .. .. slow moving traffic and amenities that buffer the sidewalk from the fast moving center of Sprague. Pedestrians will be able to stroll, at outdoors when the w other is nice, and window shop. This main e) The City Center Neighborhood difference. The City's widest range of housing types, the greatest mixture of homes, offices, and •- , • --b • . . - . - ..• -• . . ' . . - . - - •.. restaurants, cafes, nightlife, and amenities. Building off of the existing STA Plaza and potential future . � .. :. - ..• .. ... .. gardens, front stoops, and bay windows. This variety of buildings and entrances will add interest and activity to the sidewalk(Fig.1.11.). Remove figures 1.2-1.11 1) Neighborhood Centers An even distribution of supermarkets and neighborhood serving convenience uses currently punctuate the corridor at major intersections along Sprague Avenue. As the corridor transitions, development in these neighborhood centers will introduce mixed-use buildings and line grocery anchors with shops that will be located closer to the sidewalk(Fig.1.12.). New mixed-use development in these locations will be larger scale with parking lots that are screened from nearby housing in order to ensure compatibility with adjacent development(Fig.1.13.). A combination of new infill development and streetscape improvements with wide sidewalks and on-street parking will provide nearby residents with a safe and convenient pedestrian environment(Fig.1.14.). - -- . • .. - - --•-- . : City Center,Neighborhood Centers and their services will continue to be distributed throughout the Plan Area. These centers, with their close proximity to surrounding neighborhoods,will supply nearby residents with all their daily needs(Fig.1.15.). 2) Sprague Avenue—Between the Centers b) Gateway Commercial Avenue The community intends to maintain the specialty segment between I-90 and the railroad overpass as the region's premier destination for automobile sales. The Gateway Commercial Avenue will be a"themed" stretch of Sprague Avenue,home to a busy cluster of vehicle dealers and supporting services(Fig.1.21.). In this District, Sprague Avenue will provide easy access and on-street parking to all dealers and other businesses in the district. A unique streetscape design with special treatments will include architectural vehicle display spaces that reinforce the district's generally auto oriented character. Sprague Avenue's Exhibit A Page 3 of 5 new streetscape improvements, with modern boulevard-scale streetlights, will be complemented by well designed signs advertising the District's brands and services. Interspersed with the automobile dealers, compatible uses such as "medium box" commercial sales and services will line Sprague Avenue, taking advantage of the District's clear identity and proximity to 1-90 (Fig.1.22.). Gateway features and coordinated signage will announce a revitalized Sprague Avenue and the new City Center to passing motorists on I-90. 3) Appleway—The Community Boulevard The undeveloped Appleway right-of-way provides an immense opportunity to improve the Sprague- Appleway corridor and the City as a whole. Appleway Boulevard will be extended East of University Road, creating a lush, pedestrian friendly environment. This new "Grand Boulevard", with continuous planting strips along the sidewalk featuring street trees, decorative lighting, and pedestrian amenities will provide the perfect opportunity for previously undevelopable deep parcels to build new grand scale housing and sensitively designed residentially compatible office buildings(Fig.1.24). This new housing corridor will help transition between Sprague Mixed Use Avenue development and the single family residential neighborhoods South of Appleway(Fig.1.25.). Center(Fig.1.2.). Down the Center of this Community Boulevard, a wide, landscaped central parkway median with large, leafy trees accommodates multi-use pathways for biking or strolling(Fig.1.26.). This prominent open space is also located to maintain the potential to accommodate a future transit line. The transit line will take advantage of the existing bus transit center to provide easy access to the City Center to Spokane valley residents, workers, and visitors, from throughout the City and the region while further increasing the development potential of Appleway as a mixed-office/residential boulevard. 1.5. CORRIDOR REVITALIZATION STRATEGY a) Move swiftly the region's lack of urban .center projects to date, move as -swiftly as possible to instigate the of shops, restaurants, civic buildings, public space and ambiance to begin functioning as a primary destination for the larger community. b) Public private partnership c) City Center must come first that will radiate out in ever increasing rings from the Center. Therefore, notwithstanding the various Exhibit A Page 4 of 5 d) Flexible entitlement:, • .•� •� .... • • • • • • •• . ' •. " . . • .•- 5 . . . . .. . • . •� . . . . .. ', .• sides of University Road. 1) Provide a Policy Framework that accommodates the market's preference for retail concentrations at major crossroads,while building on the patterns of value already in place. b) Refocus retail development over time to foster a mutually supportive hierarchy of retail-driven centers and mixed use segments Transition from miles of"anything goes retail" to a pattern that clusters mutually supportive types of retail in centers or segments with differentiated market focus. Use land use & development policies to - • ocus neighborhood center retail at the designated crossroad locations; cluster auto-row serving retail and services in convenient clusters, and limit retail in between crossroad-located centers to non-competing retail types that thrive on visibility and that make less sense in pedestrian-oriented districts. 2) Reverse creeping disinvestment by identifying the long term "highest and best uses" for the Corridor as a whole. b) Replace entitlements for retail types suited to city center and neighborhood center clusters with residential entitlements Exhibit A Page 5 of 5 Exhibit B Comprehensive Plan r. w 1 ensity 'en-,entla B .adwa. Bro dwa. Broadway_Bro.adway B oadway an Broadway II Broadway Broadw.y iBro•dwa. Gethsemane Broadwa.,Broadwa, III!! ,'. . Neigghbor tiooFd Commercial ° �"r i,. Broadway ', Lit an ■,i f■ s ■ Elementary " _d -r♦ "" Sprin:field I . 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' ■IoII■ t 11111 i 1111191■■ 8 I I, h 4h ■S 1111 • Low Density , � Wirt Low Density_Residential • 1111111111111 3 1a 11 ■ o Residential v_1.Oth-8 l a th t -w—J--L4 es 1 iIflII!!i!uluIlI 4 t o 1 �pth � 1 - r,_ th ■ 3 ==__ University IIII EM"■II!■11I■111111■!■■■■,fo m■�1 ■ ■I' � Center , ____ ■ MEMOOME ' M■INEMA■■■■■■ oa_t_tth �I ECPA-01-10 Request: Change the Comprehensive Plan map designation from City of Spokane Valley CCT to MUA; subsequent Zoning change from CCT to MUA. Community Development Department