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HomeMy WebLinkAboutPackets - Council Packets (1821)         AGENDA ORO VALLEY TOWN COUNCIL REGULAR SESSION SEPTEMBER 6, 2023 ORO VALLEY COUNCIL CHAMBERS 11000 N. LA CAÑADA DRIVE For information on public comment procedures, please see the instructions for in person and/or virtual speakers at the end of the agenda. To watch and/or listen to the public meeting online, please visit https://www.orovalleyaz.gov/town/departments/town-clerk/meetings-and-agendas Executive Sessions – Upon a vote of the majority of the Town Council, the Council may enter into Executive Sessions pursuant to Arizona Revised Statutes §38-431.03 (A)(3) to obtain legal advice on matters listed on the Agenda.        REGULAR SESSION AT OR AFTER 5:00 PM   CALL TO ORDER   ROLL CALL   EXECUTIVE SESSION - 1. Pursuant to A.R.S. §38-431.03 (A)(3) to receive legal advice and consultation of the consultant contract for Town Attorney services with the law firm of Mesch Clark Rothschild, P.C. 2. Pursuant to A.R.S. §38-431.03 (A)(3) to receive legal advice and A.R.S. §38-431.03 (A)(4) - settlement discussions regarding the case of Joplin v. Town of Oro Valley   RESUME REGULAR SESSSION AT OR AFTER 6:00 PM   CALL TO ORDER   ROLL CALL   1.RESOLUTION NO. (R)23-32, DISCUSSION AND POSSIBLE ACTION TO AUTHORIZE THE TOWN MANAGER TO SIGN, ON BEHALF OF THE TOWN, A RENEWAL FOR THE TOWN ATTORNEY SERVICES CONTRACT WITH MESCH CLARK ROTHSCHILD, P.C.   2.DISCUSSION AND APPROVAL OF SETTLEMENT DIRECTION GIVEN TO THE TOWN'S LEGAL COUNSEL IN EXECUTIVE SESSION REGARDING THE CASE OF JOPLIN V. TOWN OF ORO VALLEY, AND AUTHORIZING THE LEGAL SERVICES DIRECTOR AND/OR TOWN MANAGER TO SIGN NECESSARY DOCUMENTATION   PLEDGE OF ALLEGIANCE   UPCOMING MEETING ANNOUNCEMENTS   MAYOR AND COUNCIL REPORTS ON CURRENT EVENTS   TOWN MANAGER'S REPORT ON CURRENT EVENTS   ORDER OF BUSINESS: MAYOR WILL REVIEW THE ORDER OF THE MEETING   INFORMATIONAL ITEMS   CALL TO AUDIENCE – At this time, any member of the public is allowed to address the Mayor and Town Council on any issue not listed on today’s agenda. Pursuant to the Arizona Open Meeting Law, individual Council Members may ask Town Staff to review the matter, ask that the matter be placed on a future agenda, or respond to criticism made by speakers. However, the Mayor and Council may not discuss or take legal action on matters raised during “Call to Audience.” In order to speak during “Call to Audience” please specify what you wish to discuss when completing the blue speaker card.   PRESENTATIONS   1.Proclamation - Constitution Week   2.Proclamation - Diaper Need Awareness Week   CONSENT AGENDA  (Consideration and/or possible action)   A.Minutes - July 19, 2023   B.Resolution No. (R)23-33, authorizing and approving the transfer of Vistoso Trails Nature Preserve conservation easement assignment from The Conservation Fund to Archeology Southwest   REGULAR AGENDA   3.PUBLIC HEARING: DISCUSSION AND POSSIBLE ACTION REGARDING A PROPOSED 1,649 SQUARE FOOT DRIVE-THRU RESTAURANT LOCATED IN THE CANADA CROSSROADS SHOPPING CENTER AT THE SOUTHWEST CORNER OF LAMBERT LANE AND LA CANADA DRIVE. THE ITEMS INCLUDE: ITEM A: CONDITIONAL USE PERMIT ITEM B: CONCEPTUAL SITE AND LANDSCAPE PLANS AND REVISED MASTER DEVELOPMENT PLAN ITEM C: CONCEPTUAL ARCHITECTURE   4.PUBLIC HEARING: DISCUSSION AND POSSIBLE ACTION REGARDING TWO ITEMS RELATED TO THE PROPOSED ANNEXATION OF APPROXIMATELY 36 ACRES AT THE SOUTHWEST CORNER OF LA CAÑADA DRIVE AND W MOORE ROAD ITEM A: ORDINANCE NO. (O)23-02, EXTENDING AND INCREASING THE CORPORATE LIMITS OF THE TOWN OF ORO VALLEY, ARIZONA, PURSUANT TO THE PROVISIONS OF ARIZONA REVISED STATUTES, TITLE 9, CHAPTER 4, ARTICLE 7, AND AMENDMENTS THERETO, BY ANNEXING A CERTAIN TERRITORY CONTIGUOUS TO THE EXISTING LIMITS OF THE TOWN OF ORO VALLEY ITEM B: ORDINANCE NO. (O)23-03, APPROVING A TRANSLATIONAL REZONING FROM PIMA COUNTY SUBURBAN RANCH (SR) TO TOWN OF ORO VALLEY R1-144 (LARGE-LOT RESIDENTIAL)   FUTURE AGENDA ITEMS (The Council may bring forth general topics for future meeting agendas. Council may not discuss, deliberate or take any action on the topics presented pursuant to ARS 38-431.02H)   ADJOURNMENT The Mayor and Council may, at the discretion of the meeting chairperson, discuss any Agenda item.   POSTED: 8/30/23 at 5:00 p.m. by dt When possible, a packet of agenda materials as listed above is available for public inspection at least 24 hours prior to the Council meeting in the office of the Town Clerk between the hours of 8:00 a.m. – 5:00 p.m. The Town of Oro Valley complies with the Americans with Disabilities Act (ADA). If any person with a disability needs any type of accommodation, please notify the Town Clerk’s Office at least five days prior to the Council meeting at 229-4700. PUBLIC COMMENT ON AGENDA ITEMS The Town has modified its public comment procedures for its public bodies to allow for limited remote/virtual comment via Zoom. The public may provide comments remotely only on items posted as required Public Hearings, provided the speaker registers 24 hours prior to the meeting. For all other items, the public may complete a blue speaker card to be recognized in person by the Mayor, according to all other rules and procedures. Written comments can also be emailed to Town Clerk Michael Standish at mstandish@orovalleyaz.gov for distribution to the Town Council prior to the meeting. Further instructions to speakers are noted below. INSTRUCTIONS TO IN-PERSON SPEAKERS Members of the public shall be allowed to speak on posted public hearings and during Call to Audience when attending the meeting in person. The public may be allowed to speak on other posted items on the agenda at the discretion of the Mayor. If you wish to address the Town Council on any item(s) on this agenda, please complete a blue speaker card located on the Agenda table at the back of the room and give it to the Town Clerk. Please indicate on the blue speaker card which item number and topic you wish to speak on, or, if you wish to speak during Call to Audience, please specify what you wish to discuss. Please step forward to the podium when the Mayor calls on you to address the Council. 1. For the record, please state your name and whether or not you are a Town resident. 2. Speak only on the issue currently being discussed by Council. You will only be allowed to address the Council one time regarding the topic being discussed. 3. Please limit your comments to 3 minutes. 4. During Call to Audience, you may address the Council on any matter that is not on the agenda. 5. Any member of the public speaking must speak in a courteous and respectful manner to those present. INSTRUCTIONS TO VIRTUAL SPEAKERS FOR PUBLIC HEARINGS Members of the public may attend the meeting virtually and request to speak virtually on any agenda item that is listed as a Public Hearing. If you wish to address the Town Council virtually during any listed Public Hearing, please complete the online speaker form by clicking here https://forms.orovalleyaz.gov/forms/bluecard at least 24 hours prior to the start of the meeting. You must provide a valid email address in order to register. Town Staff will email you a link to the Zoom meeting the day of the meeting. After being recognized by the Mayor, staff will unmute your microphone access and you will have 3 minutes to address the Council. Further instructions regarding remote participation will be included in the email. Thank you for your cooperation.    Town Council Regular Session 1. Meeting Date:09/06/2023   Submitted By:Michelle Stine, Town Clerk's Office Department:Town Clerk's Office SUBJECT: RESOLUTION NO. (R)23-32, DISCUSSION AND POSSIBLE ACTION TO AUTHORIZE THE TOWN MANAGER TO SIGN, ON BEHALF OF THE TOWN, A RENEWAL FOR THE TOWN  ATTORNEY SERVICES CONTRACT WITH MESCH CLARK ROTHSCHILD, P.C. RECOMMENDATION: Acceptance is recommended. EXECUTIVE SUMMARY: The Town previously entered into a contract with Mesch Clark Rothschild for Town Attorney Services. The Town desires to renew this contract for an additional one-year term. BACKGROUND OR DETAILED INFORMATION: On September 9, 2021, the Town of Oro Valley entered into a contract for Town Attorney Services with Mesch Clark Rothschild via Resolution No. (R)21-38. This contract was for an initial term of one year and allowed for renewal of the contract for up to four additional one-year terms. The contract has been renewed annually up to this point. The request is for the Town to authorize the Town Manager to sign, on behalf of the Town, a renewal of the Town Attorney Services contract with Mesch Clark Rothschild for an additional one-year term. FISCAL IMPACT: The fiscal impact to the Town will be a fixed per council meeting rate of $1,025. Any additional services requested will be charged at an hourly rate of up to $200 per hour for attorney services and $120 per hour for paralegal services. SUGGESTED MOTION: I MOVE to (approve/deny) Resolution No. (R)23-32, authorizing the Town Manager to sign, on behalf of the Town, a renewal of the Town Attorney Services contract with Mesch Clark Rothschild for next year. Attachments (R)23-32 Resolution  C:\Users\DESTIN~2\AppData\Local\Temp\BCL Technologies\easyPDF 8\@BCL@0431DC3C\@BCL@0431DC3C.doc RESOLUTION NO. (R )23-32 A RESOLUTION OF THE MAYOR AND COUNCIL OF THE TOWN OF ORO VALLEY, ARIZONA, AUTHORIZING THE TOWN MANAGER TO SIGN, ON BEHALF OF THE TOWN, A RENEWAL FOR THE TOWN ATTORNEY SERVICES CONTRACT WITH MESCH CLARK ROTHSCHILD WHEREAS, on September 9, 2021, the Town entered into a contract for Town Attorney Services with Mesch Clark Rothschild via Resolution (R)21-38; and WHEREAS, The contract for Town Attorney Services was for an initial term of one year and allowed for renewal of the contract for up to four additional one year terms; and WHEREAS, The contract for Town Attorney Services has been renewed annually up to this point; and WHEREAS, it is the desire of the Mayor and Council to renew the contract for Town Attorney Services with Mesch Clark Rothschild for an additional one year term; and WHEREAS, it is in the best interest of the Town to authorize the Town Manager to sign, on behalf of the Town, the renewal of the contract for Town Attorney Services with Mesch Clark Rothschild, attached hereto as Exhibit “A” and incorporated herein by this reference. NOW, THEREFORE BE IT RESOLVED by the Mayor and Council of the Town of Oro Valley, that: SECTION 1. The Town Manager is hereby authorized to approve and sign the renewal of the contract for Town Attorney Services with Mesch Clark Rothschild for the coming year, attached hereto as Exhibit “A”. SECTION 2. The Town Manager and other administrative officials are hereby authorized to take such steps as necessary to execute and implement the terms of the renewal. SECTION 3. The Town Manager, Town Clerk, Town Legal Services Director, or their duly authorized officers and agents are hereby authorized and directed to take all steps necessary to carry out the purposes and intent of this resolution. C:\Users\DESTIN~2\AppData\Local\Temp\BCL Technologies\easyPDF 8\@BCL@0431DC3C\@BCL@0431DC3C.doc SECTION 4. All Oro Valley resolutions or motions and parts of resolutions or motions of the Council in conflict with the provision of this Resolution are hereby repealed. SECTION 5. If any section, subsection, sentence, clause, phrase or portion of this Resolution or the renewal of the contract for Town Attorney Services with Mesch Clark Rothschild, attached hereto as Exhibit “A”, is for any reason held to be invalid or unconstitutional by the decision of any court of competent jurisdiction, such decision shall not affect the validity of the remaining portions thereof. PASSED AND ADOPTED by the Mayor and Council of the Town of Oro Valley, Arizona, this 6th day of September, 2023. TOWN OF ORO VALLEY ____________________________________ Joseph Winfield, Mayor ATTEST: APPROVED AS TO FORM: _____________________________ ____________________________________ Michael Standish, Town Clerk Tobin Sidles, Legal Services Director _____________________________ ____________________________________ Date Date C:\Users\DESTIN~2\AppData\Local\Temp\BCL Technologies\easyPDF 8\@BCL@0431DC3C\@BCL@0431DC3C.doc EXHIBIT “A”    Town Council Regular Session 2. Meeting Date:09/06/2023   Submitted By:Mike Standish, Town Clerk's Office Department:Town Clerk's Office SUBJECT: DISCUSSION AND APPROVAL OF SETTLEMENT DIRECTION GIVEN TO THE TOWN'S LEGAL COUNSEL IN EXECUTIVE SESSION REGARDING THE CASE OF JOPLIN V. TOWN OF ORO VALLEY, AND AUTHORIZING THE LEGAL SERVICES DIRECTOR AND/OR TOWN MANAGER TO SIGN NECESSARY DOCUMENTATION RECOMMENDATION: Staff recommends approval. EXECUTIVE SUMMARY: N/A BACKGROUND OR DETAILED INFORMATION: N/A FISCAL IMPACT: N/A SUGGESTED MOTION: I MOVE to accept/deny any settlement of the case of Joplin v. Town of Oro Valley as discussed, and also authorize the Town Manager and/or Legal Services Director to sign any necessary documentation. Attachments No file(s) attached.    Town Council Regular Session 1. Meeting Date:09/06/2023   Proclamation - Constitution Week Subject Proclamation - Constitution Week Summary Attachments Proclamation     Town Council Regular Session 2. Meeting Date:09/06/2023   Proclamation - Diaper Need Awareness Week Subject Proclamation - Diaper Need Awareness Week Summary Attachments Proclamation     Town Council Regular Session A. Meeting Date:09/06/2023   Requested by: Mike Standish Submitted By:Michelle Stine, Town Clerk's Office Department:Town Clerk's Office SUBJECT: Minutes - July 19, 2023 RECOMMENDATION: Staff recommends approval.  EXECUTIVE SUMMARY: N/A BACKGROUND OR DETAILED INFORMATION: N/A FISCAL IMPACT: N/A SUGGESTED MOTION: I MOVE to approve (approve with the following changes) the July 19, 2023, minutes.  Attachments 7-19-23 Draft Minutes  D R A F T   MINUTES ORO VALLEY TOWN COUNCIL REGULAR SESSION JULY 19, 2023 ORO VALLEY COUNCIL CHAMBERS 11000 N. LA CAÑADA DRIVE            REGULAR SESSION AT OR AFTER 5:00 PM   CALL TO ORDER    Mayor Winfield called the meeting to order at 5:00 p.m.   ROLL CALL Present: Joseph C. Winfield, Mayor Melanie Barrett, Vice-Mayor Tim Bohen, Councilmember Harry Greene, Councilmember Joyce Jones-Ivey, Councilmember Steve Solomon, Councilmember Absent:Josh Nicolson, Councilmember EXECUTIVE SESSION - 1. Pursuant to A.R.S §38-431.03(A3) and (A4) regarding Joplin v. Town of Oro Valley. 2. Pursuant to A.R.S. §38-431.03 (A)(3) and (A)(4) to discuss matters pertaining to an Economic Development Agreement between the Town of Oro Valley and Town West regarding the Oro Valley Marketplace    Motion by Mayor Joseph C. Winfield, seconded by Councilmember Harry Greene to go into Executive Session at 5:02 p.m., pursuant to A.R.S §38-431.03(A3) and (A4) regarding Joplin v. Town of Oro Valley. 2. Pursuant to A.R.S. §38-431.03 (A)(3) and (A)(4) to discuss matters pertaining to an Economic Development Agreement between the Town of Oro Valley and Town West regarding the Oro Valley Marketplace    Discussion ensued amongst Council and Mr. Rothschild. Councilmember Nicolson joined the meeting at 5:02 p.m. Mayor Winfield announced that the following staff would be joining Council in the first Executive Session: Town Manager Jeff Wilkins, Deputy Town Manager Chris Cornelison, Town Attorney Nathan Rothschild, Legal Services Director Tobin Sidles, the Attorney from Humphrey and Peterson, P.C., representing the Town assigned from the Municipal Risk Pool, and Town Clerk Mike Standish Mayor Winfield announced that the following staff would be joining Council in the second Executive Session: Town Manager Jeff Wilkins, Deputy Town Manager Chris Cornelison, Town Attorneys 7/19/23 Minutes, Oro Valley Town Council Regular Session 1 Jonathan and Nathan Rothschild, Legal Services Director Tobin Sidles and Town Clerk Mike Standish.    Motion by Mayor Joseph C. Winfield, seconded by Councilmember Harry Greene to go into Executive Session at 5:03 p.m., pursuant to A.R.S §38-431.03(A3) and (A4) regarding Joplin v. Town of Oro Valley. 2. Pursuant to A.R.S. §38-431.03 (A)(3) and (A)(4) to discuss matters pertaining to an Economic Development Agreement between the Town of Oro Valley and Town West regarding the Oro Valley Marketplace  Vote: 7 - 0 Carried   RESUME REGULAR SESSION AT OR AFTER 6:00 PM   CALL TO ORDER    Mayor Winfield resumed the Regular Session at 6:12 p.m.   ROLL CALL    Present: Joseph C. Winfield, Mayor Melanie Barrett, Vice-Mayor Tim Bohen, Councilmember Harry Greene, Councilmember Joyce Jones-Ivey, Councilmember Josh Nicolson, Councilmember Steve Solomon, Councilmember   1.APPROVAL OF ANY DIRECTION TO THE TOWN ATTORNEY AND/OR NECESSARY STAFF AS DISCUSSED IN EXECUTIVE SESSION REGARDING JOPLIN V. TOWN OF ORO VALLEY    No action was taken on this item.   2.APPROVAL OF ANY DIRECTION TO THE TOWN MANAGER AND/OR NECESSARY STAFF AS DISCUSSED IN EXECUTIVE SESSION REGARDING THE DRAFT ECONOMIC DEVELOPMENT AGREEMENT WITH ORO VALLEY LIFESTYLE CENTER LLC (TOWN WEST REALTY)    Motion by Vice-Mayor Melanie Barrett, seconded by Councilmember Harry Greene to proceed as directed in Executive Session.  Vote: 7 - 0 Carried   PLEDGE OF ALLEGIANCE    Mayor Winfield led the audience in the Pledge of Allegiance.   UPCOMING MEETING ANNOUNCEMENTS    Town Clerk Mike Standish announced the upcoming Town meetings. 7/19/23 Minutes, Oro Valley Town Council Regular Session 2   MAYOR AND COUNCIL REPORTS ON CURRENT EVENTS    Councilmember Greene reported that Councilmember Solomon had received the 2023 Metropolitan Pima Alliance Common Ground Award. Councilmember Greene also reported on the status of the Community Center Parking lot. Councilmember Jones-Ivey encouraged involvement and volunteerism for Project Graduation. Mayor Winfield reported that he and his wife had visited three of the Oro Valley Parks and Recreation Youth Camps. Mayor Winfield applauded the Parks and Recreation staff for keeping all the youth camp participants hydrated and cool during the hot summer days.   TOWN MANAGER'S REPORT ON CURRENT EVENTS    Town Manager Jeff Wilkins congratulated the Council, the Historic Preservation Commission, and the Parks and Recreation staff on the Steam Pump Ranch Barbecue and Bunkhouse restoration project and Ribbon cutting event. Mr. Wilkins also recognized the promotions of Lieutenant Peterson and Sergeant Duran, and the retirement of Officer Chmara from the Oro Valley Police Department. Mr. Wilkins reported that the Oro Valley Chamber of Commerce would hold their Annual Meeting and Awards Breakfast on Wednesday, July 26, 2023.   ORDER OF BUSINESS    Mayor Winfield reorganized the agenda by moving Presentation item #1 to a future agenda. The remaining items would remain as posted.   INFORMATIONAL ITEMS    There were no informational items.   CALL TO AUDIENCE    Oro Valley resident Chris Desimone voiced his concerns regarding the Town of Oro Valley. Oro Valley resident Anthony Ferrara voiced his concerns regarding the proposed Oro Valley Church of the Nazarene rezoning request. Oro Valley resident Mike Stonge voiced his concerns regarding the proposed Oro Valley Church of the Nazarene rezoning request. Oro Valley resident Joanne Michaelsen voiced her concerns regarding the proposed Oro Valley Church of the Nazarene rezoning request. Oro Valley resident Tricia Tozier spoke on behalf of herself and Oro Valley resident Tim Tarris. Ms.Tozier voiced her concerns and the concerns of Mr. Tarris, regarding the proposed Oro Valley Church of the Nazarene rezoning request. 7/19/23 Minutes, Oro Valley Town Council Regular Session 3 Oro Valley resident Tim Fagan voiced his concerns regarding the proposed Oro Valley Church of the Nazarene rezoning request. Oro Valley resident Anthony Ferrara voiced his concerns regarding the proposed Oro Valley Church of the Nazarene rezoning request.   PRESENTATIONS   1.Presentation by the Southern Arizona Arts & Cultural Alliance (SAACA) of the winners of the Oro Valley Photography Contest       Mayor Winfield moved this item to an unspecified future meeting date per the request of SAACA.   2.Proclamation - Drowning Impact Awareness Month       Mayor Winfield proclaimed August 2023 as Drowning Impact Awareness month in Oro Valley.   3.Presentation and possible discussion regarding a Naranja Drive update related to speed study and crossing warrants results, current improvements underway and proposed improvements in the near future       Town Engineer and Public Works Director Paul Keesler presented item #3 and included the following: Review Moving Forward - Completed Moving Forward - For Reference Moving Forward - Working on Solutions Moving Forward - Summary Discussion ensued amongst Council and staff regarding Presentation item #3.   CONSENT AGENDA   A.Minutes - June 21, 2023      B.Reappointments and/or appointments to the Health Care Benefits Trust Board (HCBT), Corrections Officer Retirement Plan (CORP), and the Tucson/Pima County Bicycle Advisory Committee (TPC BAC)      C.Resolution No. (R)23-29, approving the Agenda Committee assignment for the period of September 1, 2023 to November 30, 2023      D.Resolution No. (R)23-31, authorizing GOLEANSIXSIGMA to publish two case studies on projects completed by the Town of Oro Valley      E.Resolution No. (R)23-30, authorizing and approving a school resource officer agreement between Leman Academy of Excellence and the Town of Oro Valley for the assignment of one (1) Town of Oro Valley Police Officer to act as school resource officer (SRO) at Leman Academy of Excellence      7/19/23 Minutes, Oro Valley Town Council Regular Session 4  Motion by Mayor Joseph C. Winfield, seconded by Councilmember Steve Solomon to approve Consent items (A) to (E).  Vote: 7 - 0 Carried   REGULAR AGENDA   3.PUBLIC HEARING: PURSUANT TO A.R.S. SECTION 9-471, DISCUSSION REGARDING THE ANNEXATION OF 36 ACRES AT THE SOUTHWEST CORNER OF LA CAÑADA DRIVE AND W MOORE ROAD       Management Analyst Karl Shaddock presented item #3 and included the following: Possible Annexation of 36-Acres at La Canada and Moore - Purpose Annexation Process Annexation Legal Requirements - State Law Annexation Strategy for Parcel Translational Zoning Provision of Town Services Next Steps Paul Oland with Paradigm Land Design LLC., continued the presentation and included a brief overview of item #3. Mike Jones with Insight Homes spoke regarding item #3. Mayor Winfield opened the Public Hearing. The following individuals spoke regarding item #3. Oro Valley resident Kelly Headley Oro Valley resident T. Brandon Michel Oro Valley resident Steve Stuebner Mayor Winfield closed the Public Hearing. Discussion ensued amongst Council and staff regarding item #3.    Mayor Winfield recessed the meeting at 7:35 p.m. Mayor Winfield reconvened the meeting at 7:47 p.m.   4.CONTINUED PUBLIC HEARING: DISCUSSION AND POSSIBLE ACTION ON THREE ITEMS RELATED TO A PROPOSED OFFICE AND DRIVE-THRU DEVELOPMENT LOCATED ON THE NORTHWEST CORNER OF NARANJA AND LA CANADA DRIVE. THE ITEMS INCLUDE: ITEM A: RECONSIDERATION OF A 2006 GRADING EXCEPTION CONDITION ITEM B: CONCEPTUAL SITE AND LANDSCAPE PLANS ITEM C: CONCEPTUAL ARCHITECTURE       Principal Planner Michael Spaeth presented item #4 and included the following: 7/19/23 Minutes, Oro Valley Town Council Regular Session 5  Principal Planner Michael Spaeth presented item #4 and included the following: Purpose Location Map Item A: Amendment of Grading Exception Condition Site Design Applicants site design Applicant's revised site design Planning and Zoning Commission and Town Council action Summary Paul Oland with Paradigm Land Design LLC., continued the presentation and provided an overview of the updated proposed office and drive-thru development located on the northwest corner of Naranja and La Canada Drive. Property Owner Bob Schwartz spoke regarding the construction portion of the proposed project. Mayor Winfield opened the Public Hearing. The following individual spoke regarding item #4. Oro Valley resident Rob Wanczyk Mayor Winfield closed the Public Hearing. Discussion ensued amongst Council and staff regarding item #4.    Motion by Mayor Joseph C. Winfield, seconded by Councilmember Harry Greene to approve the reconsideration of the Grading Exception condition for the commercial development, subject to the Conditions in Attachment 1 - Item A, located at the northwest intersection of Naranja Drive and La Cañada Drive, based on the finding that the request complies with all General Plan and Zoning Code criteria. Attachment 1 Northwest Corner of Naranja Dr. and La Cañada Dr. Conditional Use Permit, Grading Exception Waiver, and Conceptual Site Plan Conditions of Approval - Item A Item A - Grading Exception Waiver (OV1206-16A) PLANNING CONDITIONS Maintenance of the drainage channels on the property may not reduce the number of required plants needed to meet bufferyard requirements. 1. Maintenance of the drainage channels on the property may not reduce the number of mature trees needed to provide a continuous tree canopy for screening adjacent to residential properties. 2. Discussion ensued amongst Council and staff regarding item #4.    Motion by Mayor Joseph C. Winfield, seconded by Councilmember Harry Greene to approve the reconsideration of the Grading Exception condition for the commercial development, subject to the Conditions in Attachment 1 - Item A, located at the northwest intersection of Naranja Drive and La Cañada Drive, based on the finding that the request complies with all General Plan and Zoning Code criteria. Attachment 1 Northwest Corner of Naranja Dr. and La Cañada Dr. Conditional Use Permit, Grading Exception Waiver, and Conceptual Site Plan 7/19/23 Minutes, Oro Valley Town Council Regular Session 6 Conditions of Approval - Item A Item A - Grading Exception Waiver (OV1206-16A) PLANNING CONDITIONS Maintenance of the drainage channels on the property may not reduce the number of required plants needed to meet bufferyard requirements. 1. Maintenance of the drainage channels on the property may not reduce the number of mature trees needed to provide a continuous tree canopy for screening adjacent to residential properties. 2.  Vote: 7 - 0 Carried    Motion by Mayor Joseph C. Winfield, seconded by Councilmember Josh Nicolson to approve the Conceptual Site and Landscape Plans for the commercial development, subject to the Conditions in Attachment 1 - Item B, located at the northwest intersection of Naranja Drive and La Cañada Drive, based on the finding that the request complies with the El Conquistador Country Club PAD requirements and all applicable Zoning Code criteria. Attachment 1 Northwest Corner of Naranja Dr. and La Cañada Dr. Conditional Use Permit, Grading Exception Waiver, and Conceptual Site Plan Conditions of Approval - Item B Item B - Conceptual Site Plan (2101733) PUBLIC WORKS CONDITIONS The following note shall be added to the Conceptual Site Plan: 1. The Traffic Control Plan is a requirement of the ROW permit application. The application is submitted by the construction contractor. The permit will include the condition that one lane of traffic will be maintained in each direction with minimum 11-foot lanes. Conceptual Site Plan shall be revised to provide two egress lanes, one left-turn and one right-turn, at Naranja Drive connection as shown in revised site design dated 4.27.2023. 2.  Vote: 7 - 0 Carried    Motion by Mayor Joseph C. Winfield, seconded by Councilmember Harry Greene to approve the conceptual Architecture for the commercial development, located at the northwest intersection of Naranja Drive and La Cañada Drive, based on the finding that the request complies with the El Conquistador Country Club PAD requirements and all applicable Zoning Code criteria.  Vote: 7 - 0 Carried   5.DISCUSSION AND POSSIBLE ACTION REGARDING PARKING AND VEHICLE STORAGE       Vice Mayor Barrett introduced the item and explained the reason it was requested.    Motion by Vice-Mayor Melanie Barrett, seconded by Councilmember Josh Nicolson to initiate a zoning code amendment to require a conditional use permit for vehicle storage businesses and parking garages looking at the following: Needed changes to definitions or tables including differentiating between personal vehicles and vehicles like RV's, boats, and large trucks. Implementing a reasonable number of storage spaces to be permitted for an ancillary use and any other needed changes to facilitate this amendment. Discussion ensued amongst Council and staff regarding item #4. 7/19/23 Minutes, Oro Valley Town Council Regular Session 7    Motion by Vice-Mayor Melanie Barrett, seconded by Councilmember Josh Nicolson to initiate a zoning code amendment to require a conditional use permit for vehicle storage businesses and parking garages looking at the following: Needed changes to definitions or tables including differentiating between personal vehicles and vehicles like RV's, boats, and large trucks. Implementing a reasonable number of storage spaces to be permitted for an ancillary use and any other needed changes to facilitate this amendment.  Vote: 7 - 0 Carried   FUTURE AGENDA ITEMS    No future agenda items were requested.   ADJOURNMENT    Motion by Mayor Joseph C. Winfield, seconded by Councilmember Josh Nicolson to adjourn the meeting at 8:41 p.m.  Vote: 7 - 0 Carried     __________________________________________________ Michelle Stine, MMC Deputy Town Clerk I hereby certify that the foregoing minutes are a true and correct copy of the minutes of the regular session of the Town of Oro Valley Council of Oro Valley, Arizona held on the 19th day of July 2023. I further certify that the meeting was duly called and held and that a quorum was present. __________________________________________________ Michael Standish, CMC Town Clerk 7/19/23 Minutes, Oro Valley Town Council Regular Session 8    Town Council Regular Session B. Meeting Date:09/06/2023   Requested by: Matthew Jankowski  Submitted By:Kristy Diaz-Trahan, Parks and Recreation Department:Parks and Recreation SUBJECT: Resolution No. (R)23-33, authorizing and approving the transfer of Vistoso Trails Nature Preserve conservation easement assignment from The Conservation Fund to Archeology Southwest RECOMMENDATION: Staff recommends approval. EXECUTIVE SUMMARY: The Conservation Fund (TCF) purchased the subject 202± acre property (Property) on February 17, 2022, to protect the conservation values and public benefits associated with the former Preserve Vistoso golf course. TCF donated the property to the Town subject to the mutually acceptable perpetual terms and use conditions of the recorded Conservation Easement (CE) on July 19, 2022. Since then, TCF has worked to identify a qualified local land trust who would become the long-term easement steward. It is important to note that from the moment TCF became involved in conservation of the Property, that TCF has been upfront about its desire to eventually transfer the CE to a qualified conservation easement holder as provided in the original Settlement Agreement involving the Town, TCF and others. The Settlement Agreement provides two important requirements, the first being that assignment of the CE cannot be unreasonably withheld, and the second is that the assignment is made to a qualified holder of conservation easements, a group like Archeology Southwest (ASW).     The existing terms and use conditions of the CE will remain in force upon assignment of the CE from TCF to ASW and some of these are:  Preserving land areas for outdoor recreation by, or the education of, the general public. Protecting a relatively natural habitat of fish, wildlife or plants, or a similar ecosystem. Preserving open space for the scenic enjoyment of the general public. Preserving historical, archeological, and cultural aspects of real property. This Property, with its mountain views and varied Sonoran Desert vegetation, provides habitat for wildlife such as mule deer, bobcats, and birds, as well as rock formations bearing Native American petroglyphs. Indigenous People have lived on this land for thousands of years. Resilient and resourceful, the Hohokam were sophisticated desert farmers. Today, the Property still offers the beauty of the Sonoran Desert, active wildlife corridors teeming with a variety of species along with culturally significant remnants of the past. BACKGROUND OR DETAILED INFORMATION: Conservation Easement Assignment by The Conservation Fund   The Conservation Fund (TCF) has identified Archaeology Southwest (ASW) as the qualified long-term easement steward for the Vistoso Trails Nature Preserve.  ASW is a Land Trust Alliance member (LTA’s Terrafirma insures all of their easements) and a 501(c)3 nonprofit organization headquartered in Tucson, Arizona.  ASW will continue the partnership with the Town on this culturally significant property.   Some background information provided by ASW: ASW has worked in the homelands of Indigenous peoples throughout the U.S. Southwest and el Noroeste de México for over 35 years.  ASW is deeply rooted in and committed to collaboration with Indigenous communities to protect heritage places while honoring their diverse values by compiling archaeological information and educating the public and stakeholders.  As advocates for landscape-scale protection, their diverse program activities include current stewardship for 22 Heritage Preserves.  ASW owns both fee lands and conservation easements in Arizona and New Mexico totaling about 1,000 acres. With 26 full and part-time staff members on their annual payroll and over 30 volunteers who support a variety of preservation activities and research programs, ASW is well positioned to add immediate value as a long-term easement steward for the Vistoso Trails Nature Preserve as a culturally significant property.    ASW has Gold Participant status with GuideStar and a 4-star rating with Charity Navigator. According to ASW’s 2021 Annual Report, most of their expenses support site protection (48%) with the remaining expenses attributed to research (21%), management (10%), education (10%), the cyberSW regional database (7%) and fundraising (4%).  Their operating revenue is mainly generated from cooperative agreements and contracts (47%) and grants (26%), with the remaining revenue from private donors (15%) and investment income (12%).  According to ASW’s 2021 Annual Report and IRS Form 990, their total net assets are valued at over $11.6M, with an operating budget and expenses both over $2.8M. (For more details, please refer to: ASW 2021 Annual Report, IRS Form 990. ASW 2021 Audited Financial Statements and Policy documents are also available upon request).   Assignment & Long-term Easement Stewardship   In addition to annual monitoring practices and other necessary easement activities, ASW and the Town will cooperatively work together on implementing the Town’s Master Plan vision for improving the “Vistoso Trails Nature Preserve,” subject to the current easement restrictions.  Additional opportunities to educate the public about the Indigenous Peoples who have occupied this Property are of meaningful benefit to both parties.  Upon easement assignment, The Town and ASW will continue to actively engage and work cooperatively with the community and a variety of stakeholders on the implementing the Master Plan’s focus, which would likely include the following areas:  Landscape regeneration Bunker treatments Former Pond Driving Range Node Trail System Trailhead/Parking Interpretation and Education FISCAL IMPACT: N/A SUGGESTED MOTION: I MOVE to (Approve) Resolution No. (R)23-33, authorizing and approving the transfer of the Vistoso Trails Nature Preserve conservation easement assignment from The Conservation Fund to Archeology Southwest. Attachments (R)23-33 Resolution TCF transfer Easement to Archeology Southwest  Assignment of Interest in Conservation Easement  Assignment of Interest in Conservation Easement Legal Description  RESOLUTION NO. (R)23-33 A RESOLUTION OF THE MAYOR AND COUNCIL OF THE TOWN OF ORO VALLEY, ARIZONA, AUTHORIZING AND APPROVING THE CONSERVATION FUND TO ASSIGN ITS RIGHTS AND OBLIGATIONS UNDER THE CONSERVATION EASEMENT FOR THE FORMER VISTOSO GOLF COURSE, NOW CALLED THE VISTOSO TRAILS NATURE PRESERVE, TO ARCHEOLOGY SOUTHWEST; AND DIRECTING THE TOWN MANAGER, TOWN CLERK, TOWN LEGAL SERVICES DIRECTOR, OR THEIR DULY AUTHORIZED OFFICERS AND AGENTS TO TAKE ALL STEPS NECESSARY TO CARRY OUT THE PURPOSES AND INTENT OF THIS RESOLUTION WHEREAS, the Town of Oro Valley (the Town) granted to the Conservation Fund a Conservation Easement for the former Vistoso Golf Course, now called the Vistoso Trails Nature Preserve, recorded on July 19, 2022 as Sequence No. 20222000701, in the records of the Recorder of Pima County, Arizona; and WHEREAS, under Section 10 of the Conservation Easement, the Conservation Fund is permitted to assign its rights and obligations under the Easement only to an organization that is approved by the Town and that is a qualified holder of a conservation easement as defined under A.R.S. § 33-271(3)(b); and WHEREAS, the Conservation Fund desires to assign its rights and obligations under the Conservation Easement to Archeology Southwest; and WHEREAS, Archeology Southwest is a charitable corporation, the purposes or powers of which include retaining or protecting the natural, scenic or open space values of real property, assuring the availability of real property for agricultural, forest, recreational or open space use, protecting natural resources, maintaining or enhancing air or water quality or preserving the historical, architectural, archaeological or cultural aspects of real property, and is therefore a qualified holder of a conservation easement as defined under A.R.S. § 33-271(3)(b); and WHEREAS, Archeology Southwest will continue to carry out the conservation purposes of the Conservation Easement; and WHEREAS, the Town, the Conservation Fund, and Archeology Southwest desire to set forth the specific terms and conditions for the assignment of the Conservation Fund’s rights and obligations under the Easement to Archeology Southwest in the Assignment of Interests in Conservation Easement, attached hereto as Exhibit “A”; and WHEREAS, it is in the best interest of the Town to allow the Conservation Fund to assign its rights and obligations under the Conservation Easement to Archeology Southwest. NOW, THEREFORE, BE IT RESOLVED, by the Mayor and Council of the Town of Oro Valley, Arizona, that: SECTION 1. The Town of Oro Valley, pursuant to Section 10 of the Conservation Easement for the former Vistoso Golf Course, now called the Vistoso Trails Nature Preserve, hereby authorizes the Conservation Fund to assign its rights and obligations under the Conservation Easement to Archeology Southwest, as described in the Assignment of Interests in Conservation Easement, attached hereto as Exhibit “A”. SECTION 2. The Mayor and other administrative officials of the Town of Oro Valley are hereby authorized to take such steps as necessary to execute and implement the terms of the Assignment. SECTION 3. The Town Manager, Town Clerk, Town Legal Services Director, or their duly authorized officers and agents are hereby authorized and directed to take all steps necessary to carry out the purposes and intent of this resolution. SECTION 4. If any section, subsection, sentence, clause, phrase or portion of this Resolution, or the Assignment attached hereto as Exhibit “A”, is for any reason held to be invalid or unconstitutional by the decision of any court of competent jurisdiction, such decision shall not affect the validity of the remaining portions thereof. SECTION 5. All Oro Valley resolutions or motions and parts of resolutions or motions of the Council in conflict with the provision of this Resolution are hereby repealed. PASSED AND ADOPTED by the Mayor and Council of the Town of Oro Valley, Arizona this 6th day of September, 2023. TOWN OF ORO VALLEY Joseph C. Winfield, Mayor ATTEST: APPROVED AS TO FORM: Michael Standish, Town Clerk Tobin Sidles, Legal Services Director Date: Date: Exhibit “A” 1 ASSIGNMENT OF INTEREST IN CONSERVATION EASEMENT (Vistoso Golf Course, Oro Valley, Arizona) THIS ASSIGNMENT OF INTEREST IN CONSERVATION EASEMENT (the “Assignment”) is entered into this day of , 2023, by and between: (i) THE CONSERVATION FUND, a nonprofit corporation incorporated in Maryland as a nonstock corporation, having its address at 1655 N. Fort Myer Drive, Suite 1300, Arlington, Virginia 22209 (“Assignor”), which is the original grantee under the Conservation Easement described herein; (ii) ARCHAEOLOGY SOUTHWEST, an Arizona nonprofit corporation, having a legal mailing address of 300 North Ash Aly, Tucson, Arizona 85701 (“Assignee”) and; (iii) THE TOWN OF ORO VALLEY, an Arizona municipal corporation, the address of which is Attention: Town Manager, 11000 N. La Canada Drive, Oro Valley, Arizona 85737 (“Owner”), which is Grantor under the Conservation Easement and has executed this Assignment for the purpose of acknowledging its consent to the Assignment. RECITALS A. Owner is the sole owner in fee simple of 202.05 acres, more or less, located in Pima County, Arizona, (the “Property”), more particularly described in Exhibit A, attached hereto and incorporated herein. Assignor donated the Property to Owner, subject to the terms of this Conservation Easement. B. The Property is encumbered by a Conservation Easement granted by Owner to The Conservation Fund (“Assignor”), and recorded on July 19, 2022 as Sequence No. 20222000701, in the records of the Recorder of Pima County, Arizona (the “Conservation Easement”). C. Assignor desires to assign its interest in the Conservation Easement to Assignee so that Assignee is the successor “Grantee” under the terms of the Conservation Easement, and Assignee desires to accept such assignment. D. Paragraph 10 of the Conservation Easement permits assignment of Assignors’ interest as Grantee to an organization qualified to hold conservation easements under Arizona law, that has been approved by Grantor. As a condition of the assignment, Assignor requires that the conservation purposes of the Conservation Easement shall continue to be carried out. E. Assignee has executed this Assignment as Assignee of the interest of Assignor under the Conservation Easement and, by this Assignment, accepts assignment of the interest of Assignor (as Grantee) in the Conservation Easement and accepts the responsibility of Grantee to enforce the terms of the Conservation Easement and uphold its conservation purposes forever. 2 ASSIGNMENT NOW, THEREFORE, in consideration of Ten Dollars ($10.00), the receipt and sufficiency of which is hereby acknowledged, the parties agree as follows: 1. Assignment. Assignor hereby assigns all of its rights and obligations as Grantee under the Conservation Easement to Assignee, as permitted by the terms of Paragraph 10 of the Conservation Easement. 2. Acceptance of Assignment. Assignee hereby accepts the assignment of the rights and obligations of Assignor as Grantee under the Conservation Easement. Assignee and Assignor agree that a condition of this Assignment is that Assignee, as Grantee, shall continue to carry out the conservation purposes that the Conservation Easement was originally intended to advance. Specifically, Assignee will assume any and all responsibilities and liabilities associated with the Conservation Easement, including the responsibilities associated with monitoring and enforcement. 3. Acknowledgement. Assignee acknowledges that this Assignment is subject to the Original Settlement Agreement signed by the Conservation Fund on November 29, 2021 and the Easement Agreement recorded by the Pima County Recorder at Sequence Number 20222000702 and signed by the Conservation Fund on July 18, 2022. 4. Representation by Assignor. Assignor represents to Assignee that to the best of its knowledge, there are no outstanding violations of the Conservation Easement as of the date of this Assignment. Assignee has inspected the Property, is satisfied that Owner is in compliance with the terms of the Conservation Easement, and accepts the Conservation Easement encumbering the Property in its current condition. 5. Release. Assignor is hereby released from any and all obligations and liability as Grantee under the terms of the Conservation Easement, for all events arising before or after this Assignment. Assignee is hereby released from any and all obligations and liability as Grantee under the terms of the Conservation Easement for events arising prior to the date of this Assignment. 6. Owner Consent. By its signature below on the Consent and Approval of Assignment, Owner hereby consents to this Assignment, agrees to its terms, waives any notice requirements, if any, in the Conservation Easement, and makes the representations herein. [Remainder of Page Intentionally Left Blank – Signature Page Follows] 3 ASSIGNOR: THE CONSERVATION FUND, a nonprofit corporation incorporated in Maryland as a nonstock corporation By Name: Title: COMMONWEALTH OF VIRGINIA ) ) ss. COUNTY OF ARLINGTON ) On this day of , 2023, before me, the undersigned, a Notary Public in and for the jurisdiction aforesaid, personally appeared as of The Conservation Fund, a Maryland non-profit corporation, known to me to be the person whose name is subscribed to the foregoing instrument, and acknowledged to me that the same was his/her act and deed for the purposes therein expressed. IN WITNESS WHEREOF I have hereunto set my hand and affixed my official seal the day and year first above written. Notary Public Name: Notary Registration Number: My commission expires: 4 ASSIGNEE: ARCHAEOLOGY SOUTHWEST, an Arizona nonprofit corporation By Name: Title: STATE OF ) ) ss. COUNTY OF ) The foregoing document was acknowledged before me this day of , 2023, by , as of Archaeology Southwest, an Arizona nonprofit corporation. WITNESS my hand and official seal. Notary Public My commission expires: 5 CONSENT AND APPROVAL OF ASSIGNMENT The Town of Oro Valley, an Arizona municipal corporation, (“Owner”) hereby consents to the Assignment of the Conservation Easement by and between THE CONSERVATION FUND, a Maryland nonprofit corporation (“Assignor”) and ARCHAEOLOGY SOUTHWEST, an Arizona nonprofit corporation (“Assignee”), pertaining to the transfer of the Conservation Easement for Vistoso Golf Course, recorded on July 19, 2022, as Sequence Number 20222000701 in the records of the Recorder of Pima County, Arizona. Owner hereby releases Assignor from any and all claims, obligations and liability as Grantee under the terms of the Conservation Easement. Owner hereby releases Assignee from any and all claims, obligations and liability as Grantee under the terms of the Conservation Easement for events arising prior to the date of this Assignment. Owner hereby represents to Assignee that Owner, as the role of Grantor in the Conservation Easement, is in full compliance with the terms and conditions of the Conservation Easement and that there are no violations of the Conservation Easement that exist as of the date of this Assignment. TOWN OF ORO VALLEY, an Arizona municipal corporation By:_________________________ Joseph C. Winfield, Mayor ___________________________ Date ATTEST: ___________________________ Michael Standish, Town Clerk APPROVED AS TO FORM ____________________________ Tobin Sidles, Legal Services Director EXHIBIT A LEGAL DESCRIPTION OF THE PROPERTY [Insert]    Town Council Regular Session 3. Meeting Date:09/06/2023   Requested by: Bayer Vella, Community and Economic Development  Case Number:2202232, 2202252, 2202253 SUBJECT: PUBLIC HEARING: DISCUSSION AND POSSIBLE ACTION REGARDING A PROPOSED 1,649 SQUARE FOOT DRIVE-THRU RESTAURANT LOCATED IN THE CANADA CROSSROADS SHOPPING CENTER AT THE SOUTHWEST CORNER OF LAMBERT LANE AND LA CANADA DRIVE. THE ITEMS INCLUDE: ITEM A: CONDITIONAL USE PERMIT ITEM B: CONCEPTUAL SITE AND LANDSCAPE PLANS AND REVISED MASTER DEVELOPMENT PLAN ITEM C: CONCEPTUAL ARCHITECTURE  RECOMMENDATION: The Planning and Zoning Commission recommends:  Approval of Item A - Conditional Use Permit, subject to conditions in Attachment 1 Approval of Item B - Conceptual Site and Landscape Plans and Revised Master Development Plan Approval of Item C - Conceptual Architecture EXECUTIVE SUMMARY: The applicant is proposing a 1,649 square foot drive-thru restaurant on a vacant, 0.76 acre, commercially-zoned parcel located at the southwest corner of Lambert Lane and La Cañada Drive as shown on the map to the right. The property (outlined in blue) is located within the Cañada Crossroads shopping plaza, which is zoned Neighborhood Commercial (C-N). This zoning permits a broad range of small-scale commercial uses, including restaurants. The proposed drive-thru restaurant use requires three separate but related applications, which are:  Item A: Conditional Use Permit for a drive-thru use (Attachment 2) Item B: Conceptual Site and Landscape Plans and Revised Master Development Plan (Attachment 3) Item C: Conceptual Architecture (Attachment 4) Key considerations of the applicant's requests include:  Architecture and positioning of the building, screen walls, and landscaping to achieve compatibility with existing businesses Traffic circulation and drive-thru stacking capacity More information is provided in the 'Background or Detailed Information' section of this Council communication. The applications have been reviewed and found to be in conformance with the Oro Valley Zoning Code. The Planning and Zoning Commission recommends conditional approval of Item A, subject to conditions in Attachment 1, and approval of Items B and C. Please note that Item A must be approved in order to consider items B and C, as the site design and architecture are contingent on the Conditional Use Permit. BACKGROUND OR DETAILED INFORMATION: A. EXISTING CONDITIONS AND CONTEXT Land Use Context: The subject property is designated Neighborhood Commercial/Office (Tier 2 Growth Area) in the Your Voice, Our Future General Plan and is zoned Neighborhood Commercial (C-N). This zoning permits restaurants as well as retail, office, and other commercial uses. Drive-thru uses require a conditional use permit. Site Conditions:  0.76 acres Graded and vacant pad, with existing and adjacent parking and landscaping  Surrounding Cañada Crossroads shopping plaza uses include:  Vacant standalone pad to the north A mix of restaurants, retail, office, and personal services Proposed Improvements: One 1,649 square foot single-story building  72% smaller than 5,950 square foot building approved by existing Master Development Plan Proposed 20' tall, which includes equipment screening parapets  Permitted height within zoning is 25', with an additional 10' for equipment screening parapets Drive-thru with 8 queuing spaces  Meets demonstrated vehicle stacking capacity requirements for this business. See condition 7 in Attachment 1 Screenwall exceeds Zoning Code requirements 32 total parking spaces (26 exist)  2 accessible spaces Outdoor patio (approximately 500 square feet) Related Approvals:  1997: Area rezoned from R1-144 to C-N (Neighborhood Commercial) 1998: Development Agreement for Cañada Crossroads shopping plaza    Expired in 2013 1999: Cañada Crossroads Master Development Plan  Master Development Plan and C-N zoning allow:  25' tall structures 5,950 square foot building on subject site B. DISCUSSION/ANALYSIS Item A: Conditional Use Permit (CUP) While restaurants are a permitted use on the subject property, the drive-thru component requires a CUP. All CUP applications are reviewed for conformance with specific criteria in the Zoning Code to ensure the use is appropriate on a particular site, and potential impacts have been sufficiently mitigated. The criteria are listed below in italics with both the applicant and staff response. 1. That the granting of such conditional use permit will not be materially detrimental to the public health, safety, or welfare. In arriving at this determination, the factors which shall be considered shall include the following: a. Damage or nuisance arising from noise, smoke, odor, dust, vibration or illumination; b. Hazard to persons and property from possible explosion, contamination, fire or flood; c. Unusual volume or character of traffic. Applicant Response (full response provided in Attachment 2, the section below is a direct quote, but makes omissions): a. Noise: The noise generated by the proposed Tropical Smoothie Cafe will be minimal. The assessment concluded that noise associated with the Tropical Smoothie Drive-thru speaker during daytime hours were found to decrease faster than and fall below the roadway noise levels at the nearest residential properties. During nighttime hours, the assessment concluded the sound pressure levels were found to meet the limits specified in the town of Oro Valley Zoning Code at Table 25-1.A. Smoke: Tropical Smoothie does not employ the use of an exhaust hood and produces no smoke. Odor: The Project's food offerings of smoothies, sandwiches, and salads do not generate exterior odors. Since The Project will not use an exhaust hood system, odors will be minimal at most. Dust: The use will not involve any activities that create dust. Vibration: The use will not involve any activities that create vibration. Illumination: The Project will have minimal additional lighting, consisting of the interior lights and the exterior lights on the building, which must be shielded in accordance with the Town Outdoor Lighting Ordinance. Two light poles already exist on the subject parcel, which will remain. The existing Canada Crossroads commercial buildings and the existing screen wall around the southern perimeter of Canada Crossroads will block the view of The Project from the residential lots within the Rancho Feliz subdivision to the south. b. The use will not pose any hazards to persons or property relating to possible explosions, contamination, fire, or flood. c. The Project's traffic will come mostly from La Canada drive, a major street with ample capacity for the proposed traffic. . . In addition, the traffic generated by The Project will not be of unusual volume or character. The Traffic Impact Statement prepared for The Project by Greenlight Traffic Engineering concluded that The Project is not expected to have a significant impact to the surrounding roadway infrastructure and there are no sight-distance concerns at the existing project driveyways. . . For this case, an existing Tropical Smoothie Cafe, located in Tucson at Houghton Town Center (Houghton Road at Old Vail Road), has the same building model and same franchisee/operator as The Project. The franchisee provided data regarding the drive-thru volume at that location. The peak business hours of the restaurant are between 11:00am and 1:00pm, with 11:00am to 12:00pm being the typical peak hour. The busiest day occurred in May 2021, with a peak hour of approximately 26 entering vehicles. The typical peak hour maximum number of vehicles in the drive-thru queue is 6-7 vehicles. Vehicles typically complete the entire drive-thru transaction within approximately 2 minutes. Based on the data provided, the provision of queuing space for at least 7 vehicles in the drive-thru lane should be provided. The design of The Project provides a lane that can accommodate 8 vehicles with 4 queued for the ordering speaker and 4 queued between the speaker and the pick-up window. Staff Response a. The applicant submitted a Noise Impact Study (Attachment 2) with the CUP application to evaluate potential noise impacts from the order kiosk. The kiosk is located at the southwest portion of the site and is oriented away from adjacent residential properties and the majority of restaurant patios within the commercial plaza. The Noise Impact Study demonstrates the order kiosk complies with Zoning Code standards.  During the building permit process, an Odor Abatement Plan will be required for the restaurant to ensure there will be no negative impacts from odor. The drive-thru will not generate smoke, dust, or vibration, and all outdoor lighting must comply with Zoning Code requirements. b. The proposed drive-thru poses no hazards related to possible explosion, contamination, fire or flood.  c. A traffic impact statement (TIS) (Attachment 2) was provided by the applicant's Traffic Engineer. The Town Engineer reviewed the TIS and is in general agreement with the methodology, calculated results and findings. Key results of the TIS are as follows: Access: Motorists will have access to the Tropical Smoothie via the following three existing commercial driveway access points: 1) a full-access driveway off La Canada Drive, 2) a secondary right-in/out driveway off La Canada Drive, and 3) a right-in/out access point off Lambert Lane Traffic Generation: The proposed project will generate the following new traffic to the Tropical Smoothie site: 69 peak hour trips in the AM period, 51 peak hour trips in the PM period, and a total of 722 average daily trips (ADT). The estimated "peak hour" and ADT trips were calculated based on the Institute of Transportation Engineers (ITE) Land Use Code 934, "Fast-Food Restaurant with Drive-Through Window". For reference, a "trip" is a single, one-way vehicle movement from a point of origin to a destination. For example, a motor vehicle entering the commercial center from an adjacent street would count as a single "trip", and the same motor vehicle exiting the center onto an adjacent street would count as another single "trip", for a total of two "trips". The TIS also estimated how much of the traffic generated by the Tropical Smoothie will be new trips versus existing traffic that is passing by the center, also known as "pass-by traffic". Pass-by traffic is defined by the ITE as trips attracted to a site from traffic that is already on the adjacent road(s) and "passing-by" the use. In other words, the Tropical Smoothie won't always be the primary destination for a user but will sometimes be an intermediate stop on the way to a primary destination (e.g., stop while on the way to work or school). This is an important detail because although the drive-thru use will generate a level of new traffic at the commercial center's three access points, it won't generate the same level of new traffic volume on the adjacent streets. In this case, the TIS estimated the proposed project will generate the following new traffic after pass-by traffic reductions have been taken into consideration: 33 peak hour trips in the AM period, 21 peak hours trips in the PM period, and a total of 656 average daily trips (ADT). This is generally accepted to be a relatively low volume of traffic and therefore is not considered to be an "unusual volume or character of traffic" for an existing commercial shopping center. Drive-thru Queuing: The proposed drive-through design will provide stacking for up to eight vehicles. The Town Zoning Code requires the "length of vehicle queuing to order/menu boards and/or pickup windows shall be determined by using drive-thru volume data from similar businesses in locations with corresponding site design and traffic characteristics as determined by the Planning and Zoning Administrator and Town Engineer ". The TIS looked at another Tropical Smoothie location with similar site characteristic and documents that the peak business hour of the restaurant was between 11 AM to 12 PM and during that period had a maximum number of seven vehicles stacked in the drive-through. It went on to also state that vehicles typically complete the entire drive-through transaction in about two minutes. It should be noted that this proposal will be held to the standards of 22.5.H, that violation of the use permit is a violation of the code. Additionally, Condition 7, a new condition of approval, (Attachment 1) states, "The use is limited to drive thru businesses that require no more vehicle stacking capacity then represented in the application. If the stacking capacity is significantly exceeded by any business, the CUP is subject to reconsideration by Planning & Zoning Commission and Town Council." In addition, staff has received concerns from the public regarding vehicle emissions' detrimental impacts on health due to idling vehicles near outdoor gathering spaces. To be specific, the impact of idling vehicle emissions of this request near the outside patio of Harvest restaurant. While the Town, by statute, does not and cannot regulate vehicle emissions, by practice, it does what it can to keep traffic flowing within our arterial street network by minimizing congestion to the maximum extent possible. The reason being is that Town intersections serve several thousand vehicles daily and congested traffic generates more pollution than moving traffic.  However, drive-thrus are treated differently. Drive-thrus, such as with this request, service only a small fraction of traffic as compared to the arterial network. Drive-thrus located adjacent to outdoor seating areas are also not uncommon. There are several examples throughout town, such as In-N-Out Burger, Starbucks, Freddie's Steakburgers, Taco Bell, McDonalds, Dunkin' Donuts, Wow Wow Lemonade Stand, and Panera Bread that all have outdoor dining areas adjacent to their drive-thrus. And not to mention, all the sit-down restaurants, including Harvest, that have outdoor dining areas within the serving parking lots, where patrons are exposed to slow-moving, stand and idling vehicles emitting similar amounts of exhaust. So, in evaluating this request with respect to vehicular emissions, referring back to the code that asks "Unusual volume or character of traffic", the answer is no.  The request is consistent with this criterion. 2. That the characteristics of the proposed use are reasonably compatible with the types of uses permitted in the surrounding area and sufficient mitigation measures are employed to minimize impact on adjoining properties. Applicant Response (full response within Attachment 2, the section below is a direct quote, but makes omissions): Compatibility: The characteristics of The Project are compatible with uses permitted in the surrounding area. The Canada Crossroads development is zoned C-N throughout and the properties in the vicinity north of Lambert Lane and east of La Canada Drive. . . Businesses within Canada Crossroads include restaurants, hair and nail salons and various offices. . . The mitigation measures that will be employed to minimize the impact of The Project on adjacent properties will include a minimum three and one-half feet tall opaque screen wall around the perimeter of the drive-thru lane with landscaping along the exterior side of the screen wall. . .Enhancements that exceed the minimums standards for drive-thru land screening and landscaping will be provided at key points between the Tropical Smoothie and the adjacent Harvest restaurant patio as well as at the drive-up window. Namely, the screen wall will be supplemented with a vegetation trellis that extends three feet above the screen wall height. Additionally, the screen wall height will be increased to four and one-half feet around the 90-degree turn in the drive-thru lane. Staff Response: The proposed use is compatible with the surrounding area, which includes a mix of residential and commercial uses.  The proposed building is approximately a quarter of the size of the approved building footprint allowed by the existing Master Development Plan, and as much as 15' shorter than what would be permitted through the existing zoning when mechanical screening elements are considered. The noise associated with the Tropical Smoothie drive-thru speaker during daytime hours was found to decrease faster than and fall below the roadway noise levels at the nearest residential properties. During nighttime hours, the sound pressure levels were found to meet the limits specified in the Zoning Code. Mitigation measures have been incorporated into the screen wall (Attachment 2) and enhanced landscaping, including lower height trees at an adjacent business owner's request, have been provided. The location of existing shopping center buildings, hillsides, and bufferyard walls separates this proposed development from residential uses both visually and acoustically. Architectural elevations have been developed with the specific intent of matching the materials and design of the existing commercial plaza. These factors mitigate the potential negative impacts to adjacent properties and create a development that is compatible with the surrounding area. The Planning and Zoning Commission has found the request is consistent with this criterion. 3. That the proposed use is consistent with the goals and policies of the general plan. Applicant Response (full response within Attachment 2, the section below is a direct quote, but makes omissions): The Project-- a drive-thru restaurant within an existing commercial center --is in conformance with the Town's Your Voice, Our Future General Plan (the "General Plan"). The Property is located within a Tier II Growth Area, which is a neighborhood-focused commercial area, supported by a variety of residential areas. . .This project was designed to adhere to the goals and policies of the General Plan. Staff Response: Of the 102 General Plan Goals and Policies, 17 are applicable and have been met. Key goals and policies in the Your Voice, Our Future General Plan that relate to this application are listed below:  Community Goal 3.4.D: A community with a wide range of services, amenities, shopping and dining opportunities and housing types that meet the needs of current and future residents. Development Goal 5.4.X: Effective transitions between differing land uses and intensities in the community. Policy LU.5: Provide diverse land uses that meet the Town's overall needs and effectively transition in scale and density adjacent to neighborhoods. Policy LU.9: Promote the design of cohesive developments that enhance and promote the pedestrian experience. This request is consistent with the Your Voice, Our Future General Plan. 4. That the hours of operation of the proposed use will not adversely impact neighboring properties. Applicant Response (full response within Attachment 2, the section below is a direct quote, but makes omissions): The hours of operation for The Project will be from 6am to 10pm daily. The hours of operation will have no negative impact on immediately adjacent properties because they all consist of other commercial businesses within the Canada Crossroads Shopping Center. . .the Noise Assessment conducted for The Project concluded that noise levels anticipated at the nearest residential lots, day or night, are within acceptable levels per Town Code and are less than the La Canada Dr. roadway noise during daytime hours. Staff Response: C-N zoning limits the hours of delivery and service, including drive-thru service, from 6am to 9pm Monday through Saturday, and 7am to 7pm on Sundays. The applicant is requesting to extend these hours to allow service from 6am to 10pm. The Noise Impact Study has demonstrated the order kiosk will meet required noise levels at all hours, and that the hours of operation will not adversely impact neighboring properties. The request is consistent with this criterion. Convenience Use Criteria Another component of the applicant's request is related to the distance between the drive-thru and adjacent residential properties. The Zoning Code requires drive-thru's to be "a minimum of two hundred fifty (250) feet from any property used or intended for residential purpose." This distance is measured from the property line of the drive-thru use to the nearest residential used or intended property line. The Zoning Code allows for a reduction in this requirement "by Town Council when major barriers exist to mitigate impacts on adjacent residential, public park or school properties." The applicant is requesting a reduction from 250 feet to 185 feet (to the south). The residential properties to the south are screened by existing buildings, a hillside, and screen wall. All of these factors together represent "major barriers" and make the reduction of the required 250-foot distance appropriate for this specific development. Item B: Conceptual Site and Landscape Plans and Revised Master Development Plan The proposed development requires approval of a Conceptual Site Plan, Conceptual Landscape Plan, and Revised Master Development Plan by Town Council. The Conceptual Site Plan (Attachment 3) includes:  1,649 square foot restaurant building  20 foot height (max permitted height 25 feet) Outdoor patio Drive-thru with queuing for 8 cars  Enhanced screen wall and landscaping  32 parking spaces (6 new spaces)  2 accessible spaces, and bicycle parking Trash and loading served through the shopping plaza's existing service areas Pedestrian access connections throughout the site Conceptual Site Plan Conceptual Site Plans are reviewed for their conformance with the Design Principles and applicable Design Standards in the Zoning Code. The Conceptual Site Plan is in conformance with applicable Conceptual Site Design Principles and Standards. The following are Design Principles in italics, followed by staff analysis: Conceptual Site Design Principles, Section 22.9.E.3.b.iii Building Orientation: The location, orientation and size of structures shall promote a complementary relationship of structures to one another. Staff Response: The proposed drive-thru restaurant has been located as far southeast on the lot as possible to better preserve and protect the views of the mountains of the existing restaurants and patios. Drainage/Grading: Site grading shall minimize impacts on natural grade and landforms and provide for subtle transitions of architectural elements to grade. Significant cuts and fills in relation to natural grade shall be avoided or minimized to the extend practical given property constraints. Staff Response: This project is proposed on a pre-graded pad that has been vacant for 20 years. As such, minimal grading will need to occur. Connectivity: Strengthen the usability and connectivity of the pedestrian environment internally and externally by enhancing access to the public street system, transit, adjoining development and pedestrian and bicycle transportation routes. Where appropriate, buildings and uses should provide access to adjacent open space and recreational areas. Staff Response: This project includes three new crosswalks that connect the project's sidewalks, which include landscaping, benches and patio seating, to the rest of the shopping plaza, as well as external sidewalks on La Canada Drive.   Conceptual Landscape Plan The Conceptual Landscape Plan (Attachment 3) meets all Town Zoning Code requirements as detailed below:  Existing bufferyard and vegetation on the east of the parcel will be maintained Landscaping provided around screen wall Enhanced landscaping provided on west side of parcel (nearest to the Harvest restaurant patio)  Trees in this area will have a low mature height to ensure views of mountains are minimally impacted Item C: Conceptual Architecture The applicant's conceptual architecture submittal (elevations shown below) for the proposed restaurant can be found in Attachment 4. Below are noteworthy design principles in italics followed by staff commentary. Section 22.9.E.7.b.iii.2: Building scale, height and mass shall be consistent with the Town-approved intensity of the site, designated scenic corridors, and valued mountain views. Buildings shall be designed to respect the scale of adjoining areas and should mitigate the negative and functional impacts that arise from scale, bulk, and mass. The height of the proposed restaurant is 20 feet, 5 feet lower than allowed by the existing master development plan. Additionally, the building is proposed to be 1,649 square feet, where the approved plan shows a 5,950 square foot building. This is an approximately 72% decrease in size, meaning adjacent businesses views of the mountains will be significantly less impacted compared to what could be built on this parcel per the approved Master Development Plan. Section 22.9.E.7.b.iii.3: All building facades shall be fully articulated, including variation in building massing, roof planes, wall planes, and surface articulation. Architectural elements including, but not limited to, overhands, trellises, projections, awnings, insets, material, and texture shall be used to create visual interest that contributes to a building's character. This building achieves four-sided articulation and design, with varied roof and wall planes despite its small size. Further material, texture, and color differences support the visual interest of the building while maintaining congruency with the surrounding plaza. Lastly, the design has utilized the approved colors and materials of the commercial center. Section 22.9.E.7.b.iii.4: Building design and screening strategies shall be implemented to conceal the view of loading areas, refuse enclosures, mechanical equipment, appurtenances, and utilities from adjacent public streets and neighborhoods. This development will utilize existing trash enclosures and loading areas within the Canada Crossroads commercial plaza and has included parapet walls to ensure rooftop mechanical equipment is fully screened. Additionally, the drive-thru use is screened through enhanced screen walls and vegetation to address visual impacts for adjacent commercial structures to the east and south of the proposed development. Design Standards Analysis The proposed building is in conformance with the Design Standards found in Addendum A of the Town Zoning Code by providing four sided architecture, articulated facades, varied rooflines with the use of parapets, and a varied material and color pallette consistent with the surrounding area. The mass of the proposed building is also minimized by using varied wall planes and rooflines and the use of different materials, such as CMU block and stucco, that provide variety of texture. The design of the building complements the existing shopping plaza and was design to closely match. GENERAL PLAN CONFORMANCE ANALYSIS The applicant's proposals have been reviewed for conformance with all one hundred and two General Plan Goals and Policies. Seventeen are applicable and have been met, with notable goals and policies highlighted below:  Community Goal 3.4.D: A community with a wide range of services, amenities, shopping and dining opportunities and housing types that meet the needs of current and future residents. Development Goal 5.4.X: Effective transitions between differing land uses and intensities in the community. Policy LU.5: Provide diverse land uses that meet the Town's overall needs and effectively transition in scale and density adjacent to neighborhoods. Policy LU.9: Promote the design of cohesive developments that enhance and promote the pedestrian experience. C. PUBLIC PARTICIPATION Two neighborhood meetings were held for this proposal. A combined summary is provided in Attachment 5. Key concerns identified during these meetings included:  Views from the Harvest restaurant's patio Compatibility of the drive-thru use with the overall plaza Based on these concerns and meetings, the applicant revised the plan. Changes include:  Moving the structure as far to the southeast of the parcel as possible Enhancing the design of the drive-thru screen wall Providing additional landscaping near Harvest  Specifying that trees with lower heights at maturity be used in this area, per the Harvest restaurant-owner's request Additionally, correspondence was received from a number of sources, and has been compiled in Attachment 6. Summary of Public Notice Public notice has been provided:  Postcard to all property owners within 600 feet Mailing to all affected Homeowners Associations Posting on property Posting at Town Hall and on website Notice in the Daily Territorial D. SUMMARY AND RECOMMENDATION In summary, the applicant is requesting approval of three separate but related applications for a new drive-thru restaurant use. Mitigation measures have been incorporated into the site design to reduce the impacts of the drive-thru to adjacent businesses and neighbors. The proposal meets all Conditional Use Permit review criteria and applicable zoning requirements. As such, the Planning and Zoning Commission recommends conditional approval of Item A, and approval of Items B and C. Please note that Item A must be approved in order to consider Items B and C, as the site design and architecture are contingent on the Conditional Use Permit approval. FISCAL IMPACT: N/A SUGGESTED MOTION: The following suggested motions are for Town Council consideration: ITEM A - CONDITIONAL USE PERMIT I MOVE to approve the Conditional Use Permit for the proposed drive-thru restaurant located in the Canada Crossroads Shopping Center, subject to the conditions in Attachment 1, based on the finding that the request complies with all applicable zoning code review criteria. OR I MOVE to deny the Conditional Use Permit for the proposed drive-thru restaurant located in the Canada Crossroads Shopping Center, based on the finding that ____________. ITEM B - CONCEPTUAL SITE AND LANDSCAPE PLANS AND REVISED MASTER DEVELOPMENT PLAN I MOVE to approve the Conceptual Site and Landscape Plan and Revised Master Development Plan for the proposed drive-thru restaurant located in the Canada Crossroads Shopping Center, based on the finding that the proposal complies with all Zoning Code criteria. OR I MOVE to deny the Conceptual Site, Landscape Plan and Revised Master Development Plan for the proposed drive-thru restaurant located in the Canada Crossroads Shopping Center, based on the finding that ____________. ITEM C - CONCEPTUAL ARCHITECTURE I MOVE to approve the Conceptual Architecture for the proposed drive-thru restaurant located in the Canada Crossroads Shopping Center, based on the finding that the request complies with all applicable Zoning Code criteria. OR I MOVE to deny the Conceptual Architecture for the proposed drive-thru restaurant located in the Canada Crossroads Shopping Center, based on the finding that ____________.   Attachments Attachment 1 - Conditions of Approval  Attachment 2 - Conditional Use Permit  Attachment 3 - Development Package  Attachment 4 - Conceptual Architecture  Attachment 5 - Neighborhood Meetings Summary  Attachment 6 - Public Correspondence  Staff Presentation  Attachment 1 Conditions of Approval Tropical Smoothie Drive-Thru Conditional Use Permit (22002252) 1. An automatic gain control must be installed as part of the menu board speaker to prevent any inadvertent increase in noise decibels that exceed Zoning Code standards. 2. Noise thresholds may not exceed the levels established in the Noise Impact Study. 3. Hours of operation for the drive-thru limited to 6am to 10pm. 4. No signage copy on the west side of the subject pad may be visible from on -site properties to the west. 5. No drive-thru signage copy may be visible to on-site properties to the south. The menu-board shall be oriented and screened by screen wall and landscaping as depicted on site plan dated July 2023. 6. A small tree species with low mature canopy will be selected for all trees north of the building to protect mountain views as seen from the restaurant patio to the northwest of this project. 7. The use is limited to drive thru businesses that require no more vehicle stacking capacity then represented in the application. If the stacking capacity is significantly exceeded by any business, the CUP is subject to reconsideration by Planning & Zoning Commission and Town Council. Traffic and Parking Questions Comments or concerns Co m p r eh en s i v e Su m m ar y o f Nei g h b o r h o o d Meet i n g s Project: Proposed drive-thru use near the southwest corner of Lambert Ln. and La Cañada Dr. Location and Time: Town Hall and online from 6-7:30 Dates: 1st Neighborhood Meeting held on: June 8, 2022 2nd Neighborhood Meeting held on: June 27, 2023 Impact to shared parking - parking lot is full now Where will deliveries occur? How will customers access the business? Were other locations considered? (OV Marketplace) Could this be moved to the northern, vacant pad? What happens if vehicles extend outside of the queuing area? Where is the menu board located? How much traffic will this generate? How does the centers traffic numbers compare to other Tropical Smoothies? Signs, lighting, design Other How will people parked south of the building access the front door? Concern about the width of driving aisles in the center Traffic circulation in the center Lighting - impacts to other businesses Concerns with the architecture Views Is the height comparable to the other buildings? Compatibility and impact to adjacent patios Signs - Quality and appearance Effects on Harvest restaurant Can the screen wall be taller? Could the building be moved further east? Does the building need to be 20' tall? Location of trash enclosure Noise, fumes and safety of drive thru Compatibility Drive thru fit within center How many new parking spaces are proposed? Are other tropical smoothies located next to outdoor patios? Do any conditions from the previous rezoning or development agreement apply? Compromises / Design Changes Plant shorter maturing trees to limit view impacts What are the permitted uses for the site if the project is not approved? What is the approved height and footprint of the building? Move building further towards the south east. Relocate/reorient drive-thru speaker away from Harvest Patio. Opposition against reducing the 250' from residential Move patio to other side of the building Continued concerns about drive-thru use on site What happens if Tropical Smoothie goes out of business? Is there a market in Oro Valley for a drive-thru service? Applying design standards to preserve Oro Valley views How many drive-thrus are allowed on the site? Concern about noise from diesel/larger vehicles in the drive-thru Compliance with the existing development agreement Odors from drive-thru impacting other businesses Safety concerns for pedestrians Is a conditional use permit required if a drive-thru is not built? What are the requirements for a conditional use permit? Are drive-thrus permitted in Oro Valley outside Oracle Road? Drive-thru compatiblity along La Canada and Lambert. Oro Valley has is signifcant market segment in Oro Valley for drive thrus. Support for drive-thru use In t r o d u c t i o n s an d Wel c o m e Meeting facilitator Milini Simms, Principal Planner, introduced the agenda for the meeting and public participation process. Approximately 30 residents and interested parties attended, including Councilmembers Greene and Jones-Ivey, and Planning and Zoning Commissioner Sturmon. To w n St af f Pr es en t at i o n Kyle Packer, Senior Planner and the Town?s lead reviewer for this proposal, provided a presentation that included: -Location -Existing zoning and previously approved development plan for the entire center -Factors considered during the development review process such as traffic, noise, compatibility and use-specific requirements -Conditional Use Permit (CUP) process -Applicant?s request to reduce the residential buffer distance A p p l i c an t Pr es en t at i o n Rory Juneman of Lazarus and Silvyn, representing the applicant Tropical Smoothie, provided a presentation that included: -Existing Property and Development Plan -Review of June 2022 Meeting Feedback -Updated Site Plan -Changes made based on Feedback -Updated Renderings -Viewsheds Qu es t i o n s an d c o m m en t s The participants reviewed and added (new comments shown in yellow) to the questions and comments heard from the previous meeting. Each area of concern was then discussed in detail to identify potential design solutions. Co n c l u s i o n an d Nex t St ep s : The applicant?s representative, Rory Juneman provided more detail and answered questions related to the proposal. Senior Planner Kyle Packer answered questions about the Town?s processes and requirements. Ms. Simms closed the meeting, thanked everyone for their attendance and encouraged participants to contact Kyle Packer, at kpacker@orovalleyaz.gov, with any additional comments, questions, or concerns and visit OVprojects.com for updated project information and opportunities to stay involved. The next step is for the project to be considered by the Planning and Zoning Commission. Project has good compatibility; lower height, smaller size, and doesn't directly compete with other businesses Project is likely to bring additional clients to plaza. LEGEND Blue - received during 1st neighborhood meeting Yellow - added during 2nd neighborhood meeting Green - Potential design changes. 1 Ancona, Jeanna From:Packer, Kyle Sent:Wednesday, August 23, 2023 11:08 AM To:Ancona, Jeanna Subject:FW: Drive-thru restaurants Jeanna, can you censor the email below so I can add it to the packet? Thanks! From: Vella, Bayer <bvella@orovalleyaz.gov> Sent: Tuesday, August 22, 2023 11:04 AM To: Rory Juneman <rjuneman@lslawaz.com> Cc: Packer, Kyle <kpacker@orovalleyaz.gov>; Keesler, Paul <pkeesler@orovalleyaz.gov> Subject: FW: Drive-thru restaurants Good morning Rory, As discussed this morning, please be prepared to address the issue below --- at the Town Council hearing. Thanks, Bayer From: Winfield, Joe <jwinfield@orovalleyaz.gov> Sent: Tuesday, August 22, 2023 10:27 AM To: Vella, Bayer <bvella@orovalleyaz.gov> Cc: Wilkins, Jeff <jwilkins@orovalleyaz.gov> Subject: FW: Drive-thru restaurants Bayer, This is the email I referred to in our meeting today. From: Diane Peters <> Sent: Saturday, July 29, 2023 1:58 PM To: Winfield, Joe <jwinfield@orovalleyaz.gov>; Barrett, Melanie <mbarrett@orovalleyaz.gov>; Jones-Ivey, Joyce <jjones- ivey@orovalleyaz.gov>; Bohen, Timothy <tbohen@orovalleyaz.gov>; Nicolson, Josh <jnicolson@orovalleyaz.gov> Subject: Drive-thru restaurants Mayor Winfield and Council, This letter is in regards to the two recent drive-thru proposals (Coffee drive-thru at the NW corner of La Canada and Naranja and a Tropical Smoothie drive-thru at the SW corner of La Canada and Lambert). It appears that you have already approved the Conceptual Site Plan for the coffee drive- thru plaza, but I believe that the CUP still needs to be approved. Before continuing to approve these drive-thru restaurants, I would like you to consider the following: 2 I contacted the Town Engineer’s office to inquire about studies comparing exhaust fumes from moving traffic vs. idling vehicles (such as what you would have at a drive-thru). Mr. Keesler said that his office does not have that information. That was surprising to me since I would think that Planning and Zoning and the Town Council should have that information when deciding whether to approve a drive-thru restaurant, especially one located in a residential neighborhood or where restaurants with outdoor patio seating are adjacent to the proposed drive-thru. He suggested that I contact the Pima County Dept. of Environmental Quality or the Pima Association of Governments since they both study air pollution. I did both. I haven’t heard back from PAG but I did receive a response from PDEQ. Although they were not aware of any specific studies comparing tailpipe emissions from moving vs. idling vehicles, they did have information regarding exhaust fumes from idling vehicles. They informed me that PDEQ has an "Idle Reduction Program for Schools and Businesses." Their website states: “Air monitoring at schools has shown elevated levels of toxins during pick-up times as parents idle their cars while waiting for their kids. Exhaust fumes from cars are linked to increases in asthma, allergies, heart and lung disease, and even cancer. Children are especially at risk because their lungs are still developing and they inhale more air per pound of body weight.” They also agreed with my assumption that idling vehicles would produce a heavier emissions volume in the area where they are idling. They also pointed me to the EPA’s “Idle-Free Schools Toolkit for a Healthy School Environment.” The EPA website states, “Monitoring at schools has shown elevated levels of benzene, formaldehyde, acetaldehyde and other air toxics during the afternoon hour coinciding with parents picking up their children.” It stands to reason that idling vehicles at any location, not just schools, would emit the same elevated levels of these toxins. We need to protect the health of all of our citizens, not just children. Vehicle exhaust fume generation should be a pertinent factor when approving a drive-thru. Why hasn't this been considered? Respectfully, Diane Peters 20-year Oro Valley Resident Links to the PDEQ and EPA information provided in my letter are below: 3 https://www.pima.gov/578/Vehicle-Idle-Reduction Vehicle Idle Reduction | Pima County, AZ Pima County schools are encouraged to join the 2022 Idle-Free School Program to reduce student&#x27;s exposure to toxic air pollution emitted by motor vehicles. www.pima.gov https://www.epa.gov/schools/idle-free-schools-toolkit-healthy-school- environment#:~:text=Idling%20vehicles%20contribute%20to%20air%20pollution%20and%20emit,hou r%20coinciding%20with%20parents%20picking%20up%20their%20children. Idle-Free Schools Toolkit for a Healthy School Environment | US EPA Toolkit for schools on why its important to not idle schools buses; creates air pollution around school environments www.epa.gov WARNING: This email came from outside the Town of Oro Valley. Do not click links or open attachments unless you recognize the sender and know the content is safe. If this looks suspicious, report it using the Phish Alert Button. 1 Packer, Kyle From:Vella, Bayer Sent:Thursday, August 10, 2023 8:43 AM To:Sirois, Andrea; Simms, Milini Cc:Packer, Kyle; Keesler, Paul; Laws, David Subject:RE: Proposed Smoothie Business (La Canada and Lambert) Follow Up Flag:Follow up Flag Status:Flagged Thanks Andrea. We will include in the TC packet when those goes to public hearing..... -----Original Message----- From: Sirois, Andrea <asirois@orovalleyaz.gov> Sent: Thursday, August 10, 2023 8:37 AM To: Vella, Bayer <bvella@orovalleyaz.gov>; Simms, Milini <msimms@orovalleyaz.gov> Subject: FW: Proposed Smoothie Business (La Canada and Lambert) FYI Sincerely, Andrea Sirois ExecuƟve Assistant Town Manager, Mayor and Council Town of Oro Valley Direct Line: 520-229-4714 -----Original Message----- From: Pamela Krebs <> Sent: Thursday, August 10, 2023 6:12 AM To: Town Council <council@orovalleyaz.gov> Subject: Proposed Smoothie Business (La Canada and Lambert) Melanie BarreƩ suggested I follow up with council. Here is her suggesƟon followed by my original comments to her on a FB OV community site regarding the proposal to locate a Smoothie business at the intersec Ɵon of La Canada and Lambert. ….. From Melanie BarreƩ: Pam Krebs good points. Please send your comments to council@orovalleyaz.gov, so all may benefit from them. Thanks! Usually these proposals go through the process with very liƩle, if any, input from anyone on council. They get input from Town Staff who guides them through the process, but typically not the council-members. My original note to Melanie BarreƩ: Melanie BarreƩ I aƩended the very first meeƟng held regarding the smoothie operaƟon on the pad in front of the Harvest restaurant. It was a public meeƟng with the Mayor in aƩendance listening together with the general public. The Smoothie developer presented their proposed plan and the meeƟng was then opened up for public quesƟons and comments. This was held about 1 year ago or maybe longer. I imagine most residents given the lapse in Ɵme thought this 2 project was off the table. Obviously not. The majority of the tax paying OV residents expressed at this ini Ɵal meeƟng expressed several concerns regarding the proposal. The two that resonated with me and should be fully considered by council were: 1.traffic paƩern and danger of increased traffic accidents because of the proposed loca Ɵon of the Smoothie business and the insufficient set back for drive-thru in and out access at an extremely busy inte rsecƟon of Lambert and La Canada. 2. Building Codes to avoid a cheesy colorful looking take out /drive thru-operaƟon. The public aƩendees all said they welcome new business but based on points 1 and 2 above keep these businesses on Oracle with sufficient set back for a drive thru operaƟon - not allow at a busy intersecƟon of two 45 mph roads. We already have too many accidents at this intersecƟon. AŌer this iniƟal meeƟng nothing further was ever communicated to my knowledge to residents unƟl the most recent public meeƟng. This would seem to indicate that Council while not officially yet vo Ɵng on the proposal may have already considered the proposal “posi Ɵvely”. Finally don’t the exisƟng loyal merchants in this locaƟon deserve consideraƟon in this maƩer? Perhaps you can share more with the concerned ci Ɵzens of OV. I urge council to consider these points and the concerns if the ci Ɵzens of our town and not allow a drive-thru business at this locaƟon. Sincerely, Pam Krebs Sent from my iPhone WARNING: This email came from outside the Town of O ro Valley. Do not click links or open aƩachments unless you recognize the sender and know the content is safe. If this looks suspicious, report it using the Phish Alert Bu Ʃon. 1 Packer, Kyle From:Hynd, Jessica Sent:Monday, June 6, 2022 5:11 PM To:Packer, Kyle Subject:CUP comments Hi Kyle, I received a few calls to object to the “fast food restaurant” proposal. As an additional FYI, am sure you are aware, Harvest posted on their Facebook page for people to attend the Wednesday meeting and stop the pad from being built on. There is also a petition সহ঺঻ 1. Pam Krebs – concerned that for a place that sells fast food, this is the wrong location, should go on Oracle Rd, takes away from the upscale of Oro Valley, this is already a busy intersection. I explained the CUP and she said Oro Valley is know for having allowed plans changed and she does not want a fast food business going in. 2. Louise – Objection to the fast food restaurant by Harvest, will hurt the patio views 3. Linda - - Objection to the building of a fast food restaurant that will hurt the 2 restaurants already in complex Jessica Hynd Constituent Services Coordinator/ Management Assistant Town of Oro Valley 11000 N. La Canada Drive Oro Valley, Arizona 85737 Office: 520.229.4711 Jhynd@orovalleyaz.gov 1 Packer, Kyle From:Hynd, Jessica Sent:Tuesday, June 7, 2022 2:19 PM To:Packer, Kyle Subject:FW: Proposed drive thru fast food restaurant at SW corner of Lambert and La Canada Follow Up Flag:Follow up Flag Status:Flagged Hey, This was forwarded to me as FYI and I am not going to put into my report since I am not responding Jessica Jessica Hynd Constituent Services Coordinator/ Management Assistant Town of Oro Valley 11000 N. La Canada Drive Oro Valley, Arizona 85737 Office: 520.229.4711 Jhynd@orovalleyaz.gov From: Sirois, Andrea <asirois@orovalleyaz.gov> Sent: Tuesday, June 7, 2022 8:37 AM To: Stine, Michelle <mstine@orovalleyaz.gov>; Standish, Michael <mstandish@orovalleyaz.gov> Cc: Hynd, Jessica <jhynd@orovalleyaz.gov> Subject: FW: Proposed drive thru fast food restaurant at SW corner of Lambert and La Canada FYI Sincerely, Andrea Sirois Executive Assistant Town Manager, Mayor and Council Town of Oro Valley Direct Line: 520-229-4714 From: Sent: Monday, June 6, 2022 9:10 PM To: Town Council <council@orovalleyaz.gov> Subject: Proposed drive thru fast food restaurant at SW corner of Lambert and La Canada To the Mayor and Council The proposed drive thru fast food restaurant in front of the two restaurants presents a dilemma in that both restaurants claim that a drive thru would ruin their patio dining with exhaust and vehicle traffic noise in addition to spoiling their 2 patrons’ patio views. The other side of the coin is the owner of the parcel having a presumptive right to develop (something) on a lot that has been empty for a substantial period of time. If it would be financially feasible for both restaurants to purchase that property and leave it undeveloped, problem solved. But the city of Oro Valley precluding an owner from developing would be tantamount to a taking of property without just compensation. Bad press? Lawsuit? I do agree that a drive thru fast food establishment probably is not the best solution as it would be to the detriment of both restaurants given the configuration of the area and might additionally create problem traffic patterns for that SW corner. The property owner and the restaurant owners (to the extent they have not already done so) should take additional time to meet and hammer out some reasonable compromise. My Thoughts: Property owners should not be unreasonably precluded from developing their investment in Oro Valley; that corner could use more business entities; Oro Valley could use more sales tax revenue from added business entities to that corner; the two existing restaurants in their current states are positive attractions to that corner and to Oro Valley. Bill Wissler 1433 W Bridalveil Place Oro Valley, Arizona 85737 1 Packer, Kyle From:Hynd, Jessica Sent:Tuesday, June 7, 2022 2:19 PM To:Packer, Kyle Subject:FW: Fast food restaurant Follow Up Flag:Follow up Flag Status:Flagged And another one Jessica Hynd Constituent Services Coordinator/ Management Assistant Town of Oro Valley 11000 N. La Canada Drive Oro Valley, Arizona 85737 Office: 520.229.4711 Jhynd@orovalleyaz.gov From: Sirois, Andrea <asirois@orovalleyaz.gov> Sent: Tuesday, June 7, 2022 8:38 AM To: Standish, Michael <mstandish@orovalleyaz.gov>; Stine, Michelle <mstine@orovalleyaz.gov> Cc: Hynd, Jessica <jhynd@orovalleyaz.gov> Subject: FW: Fast food restaurant FYI Sincerely, Andrea Sirois Executive Assistant Town Manager, Mayor and Council Town of Oro Valley Direct Line: 520-229-4714 From: Sent: Monday, June 6, 2022 7:00 PM To: Town Council <council@orovalleyaz.gov> Subject: Fast food restaurant To the Mayor and Council: I am registering my opposition to the fast food drive thru “restaurant” to be built at the SW corner of La Canada and Lambert. We do not need more traffic on either street, nor the noise and pollution produced by such traffic, nor the loitering common to fast food establishments. Oro Valley deserves better than this. 2 The construction of the intersection does not allow for safely exiting to the west or to the north from that quadrant. Please do not approve this. Janis Johnson 1433 W Bridalveil Pl Oro Valley AZ Public Hearing: Proposed drive-thru restaurant near the southwest corner of Lambert Lane and La Cañada Drive Town Council September 6, 2023 Purpose Proposed 1,649 sq. ft. Drive- thru Restaurant Public Hearing Item A: Conditional Use Permit, residential buffer reduction, modified hours of operation Item B: Development Plan, Revised Master Development Plan, and Landscape Plan Item C: Conceptual Architecture Discussion and Possible Action Three separate motions required Approval for Items B and C is dependent on approval of Item A La Canada DrCaffe Torino Harvest Fry’s Cañada Crossroads Harvest N La Cañada DrFry’s Caffe Torino Cañada Crossroads Harvest Zoning, History, and Master Development Plan (MDP) 1997 - Rezoned from R1-144 to C-N (Neighborhood Commercial) Zoning Allows restaurant, office, retail, and other similar uses 1998 - Development Agreement with Town Development conditions for grading, infrastructure, ownership, etc. Expired in 2013 1999 - Master Development Plan approved Approximately 71% of the shopping center has been developed Two remaining vacant commercial sites, highlighted in orange N La Cañada DrCaffe Torino Harvest Approved / Permitted Proposed Floor Size 5,950 sq. ft.1,649 sq. ft. Height 25 ft.20 ft. Item A: Conditional Use Permit CUP for Drive-thru Use Requests: Residential buffer modification Modified drive-thru service hours CUP Criteria: Damage or nuisance from noise, smoke, odor, dust, vibration or illumination Hazard from explosion, contamination, fire or flood Unusual traffic volume/character Compatibility with surrounding area, and sufficient mitigation measures La Canada DrCaffe Torino Harvest Item A: Conditional Use Permit - Compatibility La Canada DrHarvest Caffe Torino Breadsmith Order Kiosk Addressing impacts from adjacent patios Moved building southeast Enhanced screen wall and landscaping Lower trees on north of property Order kiosk orientation Traffic / Stacking 8 vehicle stacking spaces Code and Conditions of Approval enable Town to reconsider the CUP if queuing exceeds quantities shown in application Item A: Conditional Use Permit – Distance and Time Requests Requests Reduction from 250’ of separation from residential to approximately 185’ Revised hours of service from 6am to 10pm Mon-Sun C-N limits service hours to: 6am-9pm Mon-Sat 7am-7pm Sun Planning and Zoning Commission recommends approval Per code, “Major barriers exist to mitigate impacts” for distance reduction Noise Study and Conditions of Approval ensure no noise concerns during proposed hours of service Both requests have no impact to adjacent residential properties Approximately 185’ Applicant Property Closest Residence (behind screen wall) Existing Building (Caffe Torino, Subway, etc.) Approximately 185’ Item B: Development Plan and Landscape Plan 1,649 square foot building ~72% reduction from approved 20’ height 5’ lower than permitted height Outdoor patio 32 parking spaces La Canada DrCaffe Torino Harvest Item C: Conceptual Architecture Review Criteria Conformance with Zoning Code standards CUP and drive-thru requirements Goals and Policies Of 102 Plans and Policies, 17 are applicable and have been met. Some Goals and Policies include: Community Goal 3.4.D: A community with a wide range of services, amenities, shopping and dining opportunities and housing types that meet the needs of current and future residents. Development Goal 5.4.X: Effective transitions between differing land uses and intensities in the community. Policy LU.5: Provide diverse land uses that meet the Town's overall needs and effectively transition in scale and density adjacent to neighborhoods. Policy LU.9: Promote the design of cohesive developments that enhance and promote the pedestrian experience. Public Participation Informational video Two neighborhood meetings Key concerns: Impacts to adjacent businesses Drive -thru use compatibility Changes to address concerns Moved building as far southeast as possible Lowered height of building Oriented order kiosk away from patios Lowered height of trees on north at Harvest restaurant’s request Enhanced drive-thru screen wall and landscaping Summary and Recommendations Lambert LaneAthletic Field Reviewed for conformance with Zoning Code Criteria and the General Plan Planning and Zoning Commission recommends: Approval of Item A, subject to the conditions of approval in Attachment 1 Approval of Item B Approval of Item C Discussion and Possible Action Items require three separate motions Approval for Items B and C is dependent on approval of Item A    Town Council Regular Session 4. Meeting Date:09/06/2023   Requested by: Jeff Wilkins Submitted By:Karl Shaddock, Town Manager's Office Department:Town Manager's Office SUBJECT: PUBLIC HEARING: DISCUSSION AND POSSIBLE ACTION REGARDING TWO ITEMS RELATED TO THE PROPOSED ANNEXATION OF APPROXIMATELY 36 ACRES AT THE SOUTHWEST CORNER OF LA CAÑADA DRIVE AND W MOORE ROAD ITEM A: ORDINANCE NO. (O)23-02, EXTENDING AND INCREASING THE CORPORATE LIMITS OF THE TOWN OF ORO VALLEY, ARIZONA, PURSUANT TO THE PROVISIONS OF ARIZONA REVISED STATUTES, TITLE 9, CHAPTER 4, ARTICLE 7, AND AMENDMENTS THERETO, BY ANNEXING A CERTAIN TERRITORY CONTIGUOUS TO THE EXISTING LIMITS OF THE TOWN OF ORO VALLEY ITEM B: ORDINANCE NO. (O)23-03, APPROVING A TRANSLATIONAL REZONING FROM PIMA COUNTY SUBURBAN RANCH (SR) TO TOWN OF ORO VALLEY R1-144 (LARGE-LOT RESIDENTIAL)   RECOMMENDATION: Staff recommends approval of Item A, Annexation. The Planning and Zoning Commission will consider Item B, Translational Rezoning, only, during a public hearing on September 5, 2023. The Commission’s recommendation will be provided as part of the staff presentation. Please note, Item A must be approved for Town Council to consider Item B. EXECUTIVE SUMMARY: The purpose of this public hearing is to consider a request for annexation of approximately 36 acres at the southwest corner of Moore Rd. and La Cañada Dr. and the subsequent implementation of translational rezoning to match existing Pima County zoning to the Town’s closest equivalent. Item A – Annexation The property under consideration meets all key criteria for annexation under state law including contiguity, size and shape, and unincorporated area requirements for annexation into the Town of Oro Valley. The Town’s Annexation Strategy includes the subject property within Priority Area 4. Annexation directly benefits key elements of the Your Voice, Our Future General Plan, including:  Providing an opportunity to control anticipated growth using Town development standards. Ensuring long-term water resource supply and groundwater conservation through utilization of alternative water resources, such as Central Arizona Project water. Maintaining long-term financial stability for Town operations. Item B – Translational Rezoning The purpose of this item is to consider a proposed "translational" rezoning of an approximately 36-acre property located at the southwest corner of La Cañada Drive and Moore Road. The request (Attachment 2) is to change the existing Pima County Suburban Ranch (SR) zoning to Town of Oro Valley R1-144 (large-lot residential). As required by state law, when a jurisdiction annexes new territory, it is required to:  “...adopt zoning classifications that permit densities and uses not greater than those permitted by the county immediately before annexation. Subsequent changes in zoning of the annexed territory shall be made according to existing procedures established by the city or town for the Rezoning of land." With consideration of permitted uses and development standards, the R1-144 zoning district is the closest comparable zoning district to the existing Pima County Suburban Ranch district. It is anticipated that the applicant will pursue a future rezoning application for the property, which will proceed through the standard public participation and public hearing process. The request is in conformance with all State requirements and any applicable zoning code requirements. The Planning and Zoning Commission will consider the request at a public hearing on September 5, 2023. Staff will provide a summary of the Commission recommendation during the staff presentation.   BACKGROUND OR DETAILED INFORMATION: Item A - Annexation Annexation Process On June 28, 2023, staff filed a blank annexation petition, accurate map and legal description of the property with the Pima County Recorder. This petition was required after the Town received an official application for annexation filed by representatives of the property owner. Since the Town received the annexation application, the annexation application must be processed and considered. Two public hearings are required by state law. The first public hearing was held on July 19, 2023, where Town Council had the opportunity to review, discuss, and hear public comments on the annexation application. For the proposed annexation to be successful, more than 50% of property owners, representing more than 50% of the assessed valuation of real and personal property of the parcels, must sign a petition in favor of annexation. The property has a single owner who has signed the petition, representing 100% of the assessed valuation of real and personal property. Tonight's item is the second public hearing during which Town Council may decide on whether to annex the property. If annexed, Town Council may adopt proposed translational rezoning, changing the property’s existing Pima County zoning to Town of Oro Valley zoning standards. Upon adoption of this Ordinance, the annexation will become final after 30 days. Annexation Criteria The property under consideration meets all key criteria for annexation.   State Law The property under consideration meets all criteria for annexation including contiguity, size and shape, and unincorporated area requirements as set out by state law. Key considerations:  The territory to be annexed shall adjoin the boundary of the annexing city or town for at least 300 feet. The property under consideration is surrounded by the Town on three sides and adjoins the boundary of the Town for over 3,600 feet. The size and shape of the parcel to be annexed must be a minimum of 200 feet in width at all points, exclusive of rights-of-way and roadways. Length and width requirements do not apply if the territory considered for annexation is surrounded by the annexing city on at least three sides. The property under consideration meets both the minimum width size and shape criteria. The property is currently unincorporated territory and eligible for annexation by the Town of Oro Valley.   General Plan The applicant has provided an in-depth analysis of General Plan policies as part of the attached application (Attachment 5). Most General Plan policies are best applied as part of a site planning or rezoning process. However, there are key Your Voice, Our Future policies that are of particular relevance to the annexation being considered. Below are focal General Plan policies followed by a staff response pertaining to the annexation of this property:    Financial and Economic Stability Community Goals. A. Long term financial and economic stability and sustainability for Town government Economic Policies. E.5. Support annexations that are economically beneficial to the Town while also considering the impacts to residents and the social, aesthetic, and environmental quality of the Town As provided in the independent fiscal analysis, annexing the area would result in a marginally positive annual net impact in the General Fund and Highway Fund with revenues exceeding expenditures by about 6% per year. Development  Guiding Principles: Manage how we grow and maintain high development standards. If annexed, the Town’s unique design and aesthetic standards and environmental conservation requirements would be applied. There are three existing Oro Valley subdivisions adjacent to the subject parcel. Applying Oro Valley’s unique design standards to the property would help ensure compatibility. Infrastructure and Water Resources Water Resource Policy 1. Ensure the long-term water resource supply and groundwater conservation for present and future Water Utility customers Annexation enables control of water resources in a new subdivision, including encouraging utilization of the Independent Northwest Recharge and Recovery Delivery System (NWRRDS) infrastructure. Environment Sonoran Desert Policy 2. Protect and provide connections between contiguous, environmentally sensitive lands within the Town, including key habitat areas and significant natural resource areas Town standards would be applied to ensure environmental conservation of natural resources, including the wash running through property. Additionally, any subsequent development would result in trail easements and improvements to connect trails to the north and south of the subject parcel.    Annexation Strategy Within the Town Council-adopted Annexation Strategy, the property under consideration is designated within Priority Area 4 (long-term). Priority 4 areas consist primarily of vacant Arizona State Land Department property on the northern boundary of the Town and several residential areas along Lambert, Shannon/Thornydale and Tangerine/Moore to round out the Town’s boundaries. Priority designations do not preclude the opportunity to annex properties lower on the priority scale out of order if there is strong interest on the part of the property owner or the elected body. Ability to Provide Service As an infill property, extensive infrastructure and public services are already in close proximity to the property, minimizing the cost of providing them to future residents of this property:  Frontage on two major collector roadways with sidewalks and shared-use paths. OV Water Utility mains within two adjacent rights-of-way. A sewer manhole in an adjacent right-of-way. The Oro Valley Police Department will require no additional resources for this area. No water improvements will be needed in the current condition; however, any new utility infrastructure required as a result of development shall be funded by the developer. New developments within the annexation property will pay for transportation improvements required as a result of that development.     Item B – Translational Rezoning This item is for a proposed translational rezoning of the vacant property at the southwest corner of La Cañada Drive and Moore Road (Attachment 2). The request is to translate the existing zoning from Pima County Suburban Ranch (SR) to Town of Oro Valley R1-144 (large-lot residential). The table below compares key development standards for the property currently and under a translational rezoning:    Current Entitlements Translational Rezoning Entitlements Pima County Oro Valley Zoning Designation Suburban Ranch (SR)R1-144 Minimum Lot size 144,000 sf 144,000 sf Maximum Building Height 34 feet 18 feet Setbacks   Front 50 feet 50 feet Side 10 feet 20 feet Rear 50 feet 50 feet   Site Conditions  Approximately 36 acres Located in Pima County, but within the Town's General Plan Planning Area boundary. Generally, flat topography bisected by a wash running north to south. Trail number 325 on the Town's adopted Trails Map, follows the wash alignment. Public Notification  All owners of property within the translational Rezoning area have been notified. Notices were sent to all property owners within 600 feet of the property (distance increased in some areas to ensure entire subdivision was included) Posting on the property Posting at Town Hall on the Town website Planning and Zoning Commission The Planning and Zoning Commission will consider this request at a public hearing on September 5, 2023. Staff will provide a summary of the Commission's discussion and recommendation during the staff presentation. FISCAL IMPACT: Item A - Annexation According to an independent fiscal impact analysis conducted by Applied Economics, annexing the southwest corner of La Cañada Dr. and W Moore Rd would result in a marginally positive annual net impact in the General Fund and Highway Fund with revenues exceeding expenditures by about 6% per year. Annual revenues are estimated at about $14,500 per year, and annual expenditures are estimated at about $13,700 (estimated net increase of $800 annually). With development, there is an estimated $246,000 in one-time revenues related to new construction, including construction sales taxes, planning and permitting fees and development impact fees.  Since the annexation area includes only 10 new single-family homes, the net fiscal impact is positive, but very small compared to the Town’s overall budget. Item B – Translational Rezoning N/A SUGGESTED MOTION: The Town Council may wish to consider one of the following suggested motions: Item A - Annexation I MOVE to (APPROVE/DENY) Ordinance No. (O)23-02, extending and increasing the corporate limits of the Town of Oro Valley, Arizona, pursuant to the provisions of Arizona Revised Statutes, Title 9, Chapter 4, Article 7, and amendments thereto, by annexing certain territory contiguous to the existing limits of the Town of Oro Valley, known as the 36-acres at the southwest corner of La Cañada Drive and W Moore Road annexation area. Item B – Translational Rezoning I MOVE to (APPROVE/DENY) Ordinance No. (O)23-03, the translational rezoning of the entire property from Pima County SR to Town of Oro Valley R1-144 Attachments Attachment 1 (O)23-02 - Annexation Ordinance  Attachment 2 - (O)23-03 Translational Rezoning Ordinance  Attachment 3 - Annexation Petition, Map, and Legal Description  Attachment 4 - Fiscal Impact Analysis  Attachment 5 - Annexation Application and Letter  Staff Presentation  ORDINANCE NO. (O)23-02 AN ORDINANCE OF THE TOWN OF ORO VALLEY, ARIZONA, EXTENDING AND INCREASING THE CORPORATE LIMITS OF THE TOWN OF ORO VALLEY, ARIZONA, PURSUANT TO THE PROVISIONS OF ARIZONA REVISED STATUTES, TITLE 9, CHAPTER 4, ARTICLE 7, AND AMENDMENTS THERETO, BY ANNEXING A CERTAIN TERRITORY CONTIGUOUS TO THE EXISTING LIMITS OF THE TOWN OF ORO VALLEY LOCATED AT THE SOUTHWEST CORNER OF LA CANADA DR. AND MOORE RD. AND IDENTIFIED BY PIMA COUNTY PARCEL NUMBER 219-49-003A WHEREAS, a petition in writing, accompanied by a map or plot of said real property, having been filed and presented to the Mayor and Council of the Town of Oro Valley, Arizona, signed by the owners of more than one-half in value of the real and personal property and more than one-half of the persons owning real and personal property as would be subject to taxation by the Town of Oro Valley in the event of annexation within the territory and land hereinafter described as shown by the last assessment of said property, which said territory is contiguous to the Town of Oro Valley, and not now embraced within its limits, asking that the property more particularly hereinafter described be annexed to the Town of Oro Valley, and to extend and increase the corporate limits of the Town of Oro Valley so as to embrace the same; and WHEREAS, the Mayor and Council of the Town of Oro Valley, Arizona, are desirous of complying with said petition and extending and increasing the corporate limits of the Town of Oro Valley to include said territory; and WHEREAS, the said petition sets forth a true and correct description of all the exterior boundaries of the entire area proposed to be annexed to the Town of Oro Valley, and had attached thereto at all times an accurate map of the territory desired to be annexed; and WHEREAS, no alterations increasing or reducing the territory sought to be annexed have been made after the said petition had been signed by any owner of real and personal property in such territory; and WHEREAS, the provisions of A.R.S. §9-471, and amendments thereto, have been fully observed; and WHEREAS, proper and sufficient certification and proof of the foregoing facts are now on file in the office of the Town Clerk of the Town of Oro Valley, Arizona, together with a true and correct copy of the original petition referred to herein, which is on file in the office of the county recorder. NOW, THEREFORE BE IT ORDAINED by the Mayor and Council of the Town of Oro Valley, Arizona, as follows: SECTION 1. That the following territory be, as described in Exhibit “A” attached hereto and incorporated herein by this reference, annexed to the Town of Oro Valley. SECTION 2. That a copy of this Ordinance, together with an accurate map of the territory hereby annexed to the Town of Oro Valley, certified by the Mayor of said Town of Oro Valley, either has been or forthwith will be filed and recorded in the Office of the County Recorder of Pima County, Arizona and that a copy of this ordinance either has been or will be provided to the Clerk of the board of Supervisors of Pima County, Arizona. SECTION 3. It is necessary for the preservation of the peace, health and safety of the Town of Oro Valley that this ordinance become effective thirty days after passage by the Mayor and Council. SECTION 4. If any section, subsection, sentence, clause, phrase or portion of this Ordinance is for any reason held to be invalid or unconstitutional by the decision of any court of competent jurisdiction, such decision shall not affect the validity of the remaining portions thereof. SECTION 5. All Oro Valley Ordinances, Resolutions, or Motions and parts of Ordinances, Resolutions or Motions of the Council in conflict with the provisions of this Ordinance are hereby repealed. PASSED AND ADOPTED by Mayor and Town Council of the Town of Oro Valley, Arizona, this 6th day of September, 2023. TOWN OF ORO VALLEY Joseph C. Winfield, Mayor ATTEST: APPROVED AS TO FORM: Michael Standish, Town Clerk Tobin Sidles, Legal Services Director Date: Date: EXHIBIT “A” CERTIFICATION OF MAP MAP OF AREA TO BE ANNEXED I, Joseph C. Winfield, Mayor of the Town of Oro Valley, Arizona, do hereby certify that the foregoing map is a true and correct map of the territory annexed under and by virtue of the petition of the real and personal property owners in the said territory and by Ordinance No. (O)23-__ , annexing the territory described in Ordinance No. (O)23-__ and as shown on said map as a part of the territory to be included within the corporate limits of the Town of Oro Valley, Arizona. Joseph C. Winfield, Mayor ORDINANCE NO. (O)23-03 AN ORDINANCE OF THE TOWN OF ORO VALLEY, ARIZONA, ADOPTING TOWN OF ORO VALLEY R1-144 (LARGE-LOT RESIDENTIAL) ZONING FOR THE UNINCORPORATED PIMA COUNTY PARCEL 219-49-003A IN PLACE OF THE PARCEL’S CURRENT PIMA COUNTY SR (SUBURBAN RANCH) ZONING UPON ANNEXATION OF PARCEL 219-49-003A INTO THE TOWN LIMITS OF THE TOWN OF ORO VALLEY WHEREAS, The Town of Oro Valley is in the process of Annexing unincorporated Pima County Parcel 219-49-003A, located at the southwest corner of La Canada Dr. and Moore Rd., into the Town Limits of the Town of Oro Valley; and WHEREAS, A.R.S. § 9-471(M) requires that any city or town annexing an area shall adopt zoning classifications that permit densities and uses not greater than those permitted by the county immediately before annexation; and WHEREAS, Parcel 219-49-003A is currently zoned Pima County SR (Suburban Ranch); and WHEREAS, Town of Oro Valley R1-144 (Large-Lot Residential) is the nearest equivalent Town of Oro Valley zoning to Pima County SR (Suburban Ranch); NOW, THEREFORE BE IT ORDAINED by the Mayor and Council of the Town of Oro Valley, Arizona, as follows: SECTION 1. Upon annexation of Parcel 219-49-003A into the Town Limits of the Town of Oro Valley, Town of Oro Valley R1-144 (Large- Lot Residential) zoning shall be adopted for the parcel in place of the current Pima County SR (Suburban Ranch) zoning. SECTION 2. That the Town of Oro Valley Zoning Map be amended, and the zoning designations be adopted as indicated on the map attached as Exhibit “A”. SECTION 3. If any section, subsection, sentence, clause, phrase or portion of this Ordinance is for any reason held to be invalid or unconstitutional by the decision of any court of competent jurisdiction, such decision shall not affect the validity of the remaining portions thereof. SECTION 4. All Oro Valley Ordinances, Resolutions, or Motions and parts of Ordinances, Resolutions or Motions of the Council in conflict with the provisions of this Ordinance are hereby repealed. PASSED AND ADOPTED by Mayor and Town Council of the Town of Oro Valley, Arizona, this 6th day of September, 2023. TOWN OF ORO VALLEY Joseph C. Winfield, Mayor ATTEST: APPROVED AS TO FORM: Michael Standish, Town Clerk Tobin Sidles, Legal Services Director Date: Date: EXHIBIT “A” DigiSign Verified - 03e88863-e0c5-43f7-9e9f-7c92853ac7d5 DigiSign Verified - 03e88863-e0c5-43f7-9e9f-7c92853ac7d5 GregSHewett 08/09/2023 DigiSign Verified - 03e88863-e0c5-43f7-9e9f-7c92853ac7d5 DigiSign Verified - 03e88863-e0c5-43f7-9e9f-7c92853ac7d5 Economic & Fiscal Impact Demographic Analysis Economic Development FISCAL IMPACTS OF THE LA CAÑADA AND MOORE PROPERTY ANNEXATION ON THE TOWN OF ORO VALLEY JULY 2023 PREPARED BY: APPLIED ECONOMICS 11209 N. TATUM BLVD, SUITE 225 PHOENIX, AZ 85028 Table of Contents EXECUTIVE SUMMARY ............................................................................................................ 1 1.0 INTRODUCTION .............................................................................................................. 3 1.1 General Approach ..................................................................................................... 3 1.2 Report Organization .................................................................................................. 3 2.0 METHODOLOGY............................................................................................................... 4 2.1 Development Characteristics .................................................................................... 4 2.2 Population and Housing Units ................................................................................... 4 2.3 Household Spending and Retail Sales ....................................................................... 4 2.4 Fiscal Assumptions .................................................................................................... 5 3.0 FISCAL IMPACT RESULTS ................................................................................................ 10 3.1 Annual Operating Impacts ......................................................................................... 10 3.2 One-Time Impacts ..................................................................................................... 13 3.3 Summary ................................................................................................................... 14 APPENDIX A – Revenue and Expenditure Rates for New Development ................................. 15 1 Executive Summary This analysis quantifies the potential socioeconomic and fiscal impacts of the annexation and development of the La Cañada and Moore property on the Town of Oro Valley’s operations and maintenance budget. The property includes about 36 gross acres at the southwest corner of Moore Road and La Cañada Drive (Map 1). Under translational zoning, the site could support ten new single family homes. This analysis presents the estimated annual net impacts at build out. MAP 1 SITE LOCATION Applied Economics developed a customized fiscal impact model for the Town of Oro Valley that has been used for previous annexation studies. The model has been updated with the newest budget data for this analysis. The results show the estimated annual operations and maintenance impacts at build out, including the marginal increase in taxable sales from new residents that could be captured in Oro Valley. 2 The fiscal results show a marginally positive annual net impact in the General Fund and Highway Fund with revenues exceeding expenditures by about 6% per year. Annual revenues are estimated at about $14,500 per year, and annual expenditures are estimated at about $13,700. There could also be an estimated $246,000 in one-time revenues related to new construction, including construction sales taxes, planning and permitting fees and development impact fees. Since the annexation area includes only ten new single family homes, the net fiscal impact is positive, but very small compared to the town’s overall budget. 3 1.0 INTRODUCTION This analysis demonstrates the potential fiscal impacts of annexation for the La Cañada and Moore property. The site includes about 36 gross acres that could support ten new single family housing units under translational zoning. This analysis shows the annual net impacts at build out once development is complete. 1.1 General Approach The impact assessment reflects revenues and expenditures in the General Fund and Highway Fund that would be affected by future development of the La Cañada and Moore property. It does not include capital costs for new infrastructure, but on-going maintenance costs are included. However, all residential streets within the development would be private, so there would be no new street maintenance costs to the town. The approach begins with estimating the socioeconomic impacts of future development (measured in acres, housing units and population), and then estimates the operating revenues and expenditures likely to be associated with that development. Revenue and expenditure line items that could be impacted by new development are identified using current and historical town budgets. A socioeconomic factor is associated with each line item in the General Fund and Highway Fund to predict a corresponding impact for the new development. Projected annual impacts at build out exclude construction-related revenues and expenditures that are captured in the one-time impacts. 1.2 Report Organization The balance of this report is divided into two sections. Section 2.0 details the methodology, development characteristics, socioeconomic assumptions, household spending and sales tax projections and fiscal assumptions. Section 3.0 describes the results of the fiscal impact analysis. The information and observations contained in this report are based on our present knowledge of the components of development, and of the current physical, socioeconomic and fiscal conditions of the affected areas. Projections made in this report are based on hypothetical assumptions and current public finance policies. However, even if the assumptions outlined in this report were to occur, there will usually be differences between the projections and the actual results because events and circumstances frequently do not occur as expected. This analysis is based on the best available information and is intended to aid the Town of Oro Valley in making decisions relative to this annexation. All dollar figures should be interpreted as order of magnitude estimates only. 4 2.0 METHODOLOGY 2.1 Development Characteristics The La Cañada and Moore property could support 10 new single family units, based on projections provided by the Planning Division (Figure 1). The average unit is expected to be about 3,200 square feet. The analysis assumes 2.3 persons per household based on information from the American Community Survey for Oro Valley. Taxable utilities are estimated at $2,074 per unit per year. FIGURE 1 DEVELOPMENT ASSUMPTIONS Development Type Units Population per Unit Residential Utility Cost New Street Miles Single Family 10 2.3 $2,074 0.0 Sources: Town of Oro Valley Planning Division (units, street miles); C2ER Cost of Living Index, 2022 Annual Average (utility cost); American Community Survey 2021 data (occupancy rate and household size). 2.2 Population and Housing Units Information on housing units, combined with occupancy rates and persons per household, is used to estimate future population. At build-out, it is anticipated that the 10 new houses could support a population of 23 new residents (Figure 2). Socioeconomic impacts also include projected household spending and residential utility costs, both of which generate sales tax revenues. FIGURE 2 ANNUAL SOCIOECONOMIC IMPACTS Build Out Housing Units 10 Population 23 Annual Taxable Sales (thousands of dollars) Household Spending in Oro Valley $137.17 Residential Utilities $20.74 Sources: Applied Economics, 2023. 2.3 Household Spending and Retail Sales It is likely that the new households in the La Cañada and Moore property will slightly increase taxable sales at local retail and restaurants. The first step in estimating the potential increase in retail sales is to estimate the increase in household spending based on household incomes. 5 Applied Economics estimates that household incomes in this development would be about $260,000 per year based on the expected value of the homes at $1.1 million. The next step is to translate household income into household spending. The Bureau of Labor Statistics, Consumer Expenditure Survey provides annual data on household spending by pre- tax income level. The spending categories include the full range of typical consumer expenditures. Household with incomes in the over $200,000 range typically spend about 51% of their pre-tax income on goods and services, according to the Consumer Expenditure Survey. The detailed types of expenditures in the Consumer Expenditure Survey can be grouped into local retail and services such as groceries and other household items that are typically purchased within a three-to-five-mile radius of the consumer’s residence, and regional retail and services such as furniture, appliances, vehicles and entertainment where consumers may be willing to drive a greater distance to compare prices or to access specialized providers. The Consumer Expenditure Survey also includes non-retail expenditures for items such as rent, utilities and insurance where the location of the provider may not be relevant. Figure 3 shows estimated annual household spending for the 10 new households in the La Cañada and Moore property. At build out, new annual household spending could total $2.6 million, including $0.7 million in local and regional retail and services. It is important to keep in mind that not all new spending will be captured in Oro Valley. 6 FIGURE 3 ANNUAL HOUSEHOLD SPENDING BY NEW RESIDENTS (Thousands of Dollars) Local Retail & Services $281,086 Groceries $76,182 Restaurants & Bars $70,928 Personal care products and svcs $13,135 Housekeeping supplies $13,135 Small appliances, misc housewares $2,627 Household textiles $1,313 Drugs $6,567 Medical supplies $2,627 Gasoline and motor oil $26,270 Vehicle maintenance and repairs $13,135 Other household expenses $35,464 Tobacco products $1,313 Reading $2,627 Pet Supplies $15,762 Regional Retail & Services $369,090 Home maintenance services $44,659 Furniture and floor coverings $17,075 Major appliances $7,881 Miscellaneous household equip $22,329 Apparel and shoes $35,464 Cars and trucks, new $56,480 Cars and trucks, used $32,837 Other vehicles $1,313 Medical services $19,702 Entertainment fees and admissions $23,643 Audio and visual equipment $14,448 Toys and hobbies $2,627 Other entertainment $31,524 Education $47,286 Public and other transportation $11,821 Non-Retail Expenditures $1,907,065 Housing rent or mortgage $181,261 Other lodging $35,464 Utilities $52,540 Vehicle finance charges $3,940 Vehicle insurance $18,389 Vehicle rental, leases, licenses $17,075 Health insurance $49,913 Cash contributions $76,182 Personal insurance and pensions $240,368 Savings, income taxes and other $1,231,933 Total Household Income $2,557,242 Source: Census 2021 Consumer Expenditure Survey, 2023; Applied Economics, 2023. 7 To estimate the potential increase in taxable retail sales in Oro Valley, it is necessary to identify types of purchases that could potentially be made locally, and the share of those purchases that are likely to be captured in Oro Valley. Taxable categories from the Consumer Expenditure Survey that could potentially be purchased in the town include the following: • Restaurants and bars • Personal care products • Housekeeping supplies • Small appliances and miscellaneous housewares • Household textiles • Medical supplies • Reading materials • Pet supplies • Furniture and floor coverings • Major appliances • Apparel and shoes • Entertainment fees and admissions • Audio and visual equipment • Toys and hobbies The Economic Census for retail industries includes estimates of total retail sales and e- commerce sales by retail category. As of 2021, which is the most current data available, e- commerce accounts for 3% to 6% of sales in most retail categories. Estimates of taxable retail sales captured at stores in Oro Valley are adjusted for e-commerce sales. Next, it is necessary to estimate the share of purchases by category that could be captured in Oro Valley based on the types of stores currently in the town and the surrounding market area, and Oro Valley’s share of actual sales tax collections. Using data on monthly sales tax collections by industry in FY22 from the Arizona Department of Revenue, Oro Valley accounts for 6.3% of taxable restaurant sales and 4.6% of taxable retail sales in the Oro Valley/Marana/Tucson region. Oro Valley makes up 7.4% of the population in the three-city area, indicating that there is retail leakage occurring with Oro Valley capturing only about 85% of its per capita share of restaurant sales and 62% of its per capita share of retail sales. These capture rates are applied to household spending for the taxable categories listed above to estimate the potential increase in new household spending in Oro Valley from development in the La Cañada and Moore property. Figure 4 shows estimated annual taxable sales in Oro Valley. This information provides a rough estimate of the increase in retail sales taxes in Oro Valley from new residential development in the La Cañada and Moore property. These are high level estimates that could vary over time depending on the types of stores in Oro Valley compared to stores available in the surrounding market area and consumer preferences. 8 FIGURE 4 ESTIMATED ANNUAL TAXABLE SPENDING AND SALES TAX COLLECTIONS IN ORO VALLEY BY NEW RESIDENTS (Thousands of Dollars) Taxable Sales Sales Tax Collections Restaurants & Bars $60.17 $1.50 Personal care products and svcs $7.72 $0.19 Housekeeping supplies $7.92 $0.20 Small appliances, misc housewares $1.58 $0.04 Household textiles $0.79 $0.02 Medical supplies $1.58 $0.04 Pet Supplies $4.60 $0.11 Furniture and floor coverings $5.14 $0.13 Major appliances $1.91 $0.05 Miscellaneous household equip $13.47 $0.34 Apparel and shoes $20.49 $0.51 Entertainment fees and admissions $5.91 $0.15 Audio and visual equipment $4.36 $0.11 Toys and hobbies $1.53 $0.04 Total Annual Increase $137.17 $3.43 2.4 Fiscal Assumptions The fiscal model created to assess the impacts of new development is based on current and historical budgets for the town for the past seven fiscal years, with greater emphasis on the past two to three years of budget data. Revenue and expenditure line items in the General Fund and Highway Fund are the focus since these funds would be most impacted by the new development. In general, the analysis focuses on operations and maintenance. The model does not include any construction costs for new infrastructure. Various drivers are identified for each of the revenue and expenditure items in the model to develop rates that are applied to socioeconomic projections for the projected new development. In most cases, the model uses an average of the rate for the previous two or three years to better reflect line items that fluctuate from year to year. Some revenue and expenditure items increase at rates that are less consistent over time, or reflect permanent increases or decreases due to operational or other changes. In these cases, the model uses only the most recent fiscal year to accurately reflect current conditions. The rates and basis for all revenue and expenditure items in the fiscal impacts of new development are shown in Appendix A. Many of the revenue and expenditure drivers include population, or “service population”, which includes both population and employment. This is because many of the services provided by the town, as well as the various types of revenues that local governments depend on, are proportional to the number of people living and working there. In some cases, 9 population is weighted more heavily than employment since residents use some municipal services proportionally more than businesses. Major line items that are not driven by population or employment include sales tax, which is a function of taxable resident spending in Oro Valley and residential utilities. On the expenditure side, transportation engineering is based on the number of lane miles added and is a one-time expenditure, while street maintenance is also a function of lane miles but is an on-going expenditure (although no new public streets are included in this development). Police services are a function of calls for service by type of land use and implied staffing at that call level based on current staffing and call levels in Oro Valley and a total annual cost of approximately $192,486 per officer in current dollars.1 The projected number of additional calls varies depending on the type of development. Golder Ranch Fire District would provide fire service, which is not part of the fiscal model. 1 The cost per officer represents the 2022-23 budgeted general fund expenditures for police and support services (excluding one-time costs) divided by the existing number of sworn officers. Vehicle maintenance for police vehicles is included in fleet services, which is a separate line item in the budget. 10 3.0 FISCAL IMPACT RESULTS The fiscal impacts assume the level of services provided by the town and the structure of municipal revenues would remain similar to current conditions with both revenues and expenditures increasing to support additional residential development. 3.1 Annual Operating Impacts The 10 new homes that are anticipated in the La Cañada and Moore property could create a small positive net impact in the General Fund and Highway Fund with revenues exceeding expenditures by an estimated 6 percent per year at build out, based on the assumptions used in this analysis (Figure 5). ▪ These new housing units could result in an estimated 23 new residents. General and dedicated sales taxes from resident spending combined with utility sales taxes, are estimated at about $4,000 per year. Sales taxes are one of the largest sources of operating revenues for the town. No construction sales tax is included in the build out impacts. Section 3.2 provides more detail about one-time revenues including construction sales taxes and other construction-related fees. ▪ Other major revenues include state shared income tax, state sales tax, vehicle license tax and highway user revenues that increase proportional to population and are estimated at about $9,000 per year, based on current per capita distribution levels and projected population in the La Cañada and Moore property. State shared revenues are important to the town and make up about one third of current General Fund revenues. ▪ The largest on-going expenditures for the town would be police services. Annual police costs are based on existing expenditures plus the projected calls generated by new residential development, the average number of calls per officer and the total police services cost per officer in Oro Valley. Annual police costs for the new households in the La Cañada and Moore property are estimated at about $11,000 per year in 2023 dollars. ▪ Other expenditure impacts include information technology and general administration expenditures (as well as other Management & Policy expenditures) at an estimated $1,000 per year. In general, Management and Policy and Administrative Services expenditures increase marginally as population increases, based on the assumptions used in this model. ▪ There could also be modest impacts of about $340 per year in parks and recreation, and $1,400 per year in public works (mainly for facilities and fleet maintenance). This fiscal model is often used for larger projects and is intended to capture the marginal increase in overall expenditures that are required to serve new development. ▪ There would also be non-recurring expenditures in community and economic development in years when there is construction that are not captured in the build out impacts. These expenditures are fully offset by construction sales taxes and permit fee revenues. Since this is a very small development, the impacts to community and economic development during construction would be minimal. 11 FIGURE 5 ANNUAL NET FISCAL IMPACTS - GENERAL FUND AND HIGHWAY FUND (Thousands of Dollars) Build Out REVENUES $14.51 Taxes and Fees Retail Sales Tax (2%)$2.74 Construction Sales Tax (4%)$0.00 Utility Sales Tax (4%)$0.88 Dedicated Sales Tax (0.5%)*$0.69 Bed Tax (6%)$0.00 Cable Franchise Fees $0.24 State Shared Revenues State Income Tax $3.19 State Sales Tax $2.85 Vehicle License Tax $1.17 Highway Users Revenue $1.96 Intergovernmental Federal/State Operating Grants $0.00 Other Intergovernmental $0.54 Licenses and Permits Building Permits $0.00 Sign Permits $0.00 Special Inspection Fees $0.00 Grading Permits $0.00 Fire Permit Fees $0.00 Business License $0.00 Charges for Services Zoning and Subdivision Fees $0.00 Engineering Plan Check $0.00 Copies and Publications $0.00 Administrative Fees $0.00 Police Fees $0.00 Rental Income $0.00 Recreation Fees $0.20 Court Fees $0.02 Fare Box $0.00 Fines and Forfeitures Fines $0.01 Other Revenues Misc. Revenue $0.00 *Dedicated sales tax revenues captured in Community Service Fund. 12 FIGURE 5 (continued) ANNUAL NET FISCAL IMPACTS - GENERAL FUND AND HIGHWAY FUND (Thousands of Dollars) Build Out EXPENDITURES $13.69 Management & Policy Mayor & Council $0.00 Town Manager $0.00 General Administration $0.12 Town Clerk $0.01 Legal $0.04 Town Court $0.36 Administrative Services Finance $0.01 Human Resources $0.21 Information Technology $0.22 Parks and Recreation Administration $0.03 Park Maintenance $0.00 Aquatics $0.19 Recreation Centers & Culture $0.12 Community & Economic Development Administration $0.00 Planning & Permitting $0.00 Inspection and Compliance $0.05 Economic Development $0.00 Public Safety Police Services $10.97 Public Works Public Works/Streets Admin $0.20 Street Maintenance $0.00 Transportation Engineering $0.00 Facilities & Fleet Maintenance $1.10 Transit Services $0.06 OVERALL NET OPERATING IMPACT $0.82 as percent of revenue 6% 13 3.2 One-Time Impacts The impact results in the previous section reflect annual O&M revenues and expenditures at build out for the La Cañada and Moore property. During construction, there would be one-time revenues estimated at $246,000, which could accrue over multiple years (Figure 6). Construction costs that form the basis for construction sales taxes are based on residential construction costs from Gordian, Square Foot Costs, 2023. The construction sales tax of $140,000 estimates assumes materials make up 65% of construction sales tax. FIGURE 6 ONE-TIME POTENTIAL TAXES AND FEES (Thousands of Dollars) Construction Sales Tax (4%)$140.29 Building Permit and Planning Fees $75.53 Development Impact Fees* Transportation $16.60 Police $10.54 Parks $2.83 Total One-Time Revenues $245.78 Non-General Fund Portion $29.97 *Dedicated funds, not part of General Fund. Applying the town’s current impact fee rates, the proposed level of new development could generate about $30,000 in non-utility development impact fees, the majority of which would be for transportation. The proposed single family development in the La Cañada and Moore property could generate an estimated $76,000 in building permit, planning and engineering fees in the General Fund, based on per unit estimates provided by the town. There would also be costs to the town associated with planning and permitting activities, and infrastructure construction funded by development impact fees, proportional to one-time revenues. 14 3.3 Summary The proposed annexation of the La Cañada and Moore property would likely result in build out of this parcel within the next five years, given its size and proximity to existing development. The projected fiscal impacts would be small, proportional to the number of new housing units and residents, and a marginal positive annual impact is projected at build out. This result assumes new taxable sales at local retail and restaurants related to demand from new residents. The impacts also reflect the fact that all new streets in the development would be maintained by the homeowners. Because the overall size of the annexation area is small, it could easily be absorbed into existing town operations. 15 APPENDIX A REVENUE AND EXPENDITURE RATES FOR NEW DEVELOPMENT 16 Revenue/Expenditure Item Driver Rate/Basis for Calculation REVENUES Taxes and Fees Local Sales Tax (2%) and Dedicated Sales Tax (0.5%) taxable utilities, household spending (4% * residential utilities)+(annual household spending * Oro Valley capture rate*2.5% Bed Tax (6%)taxable room sales 6% * average daily room rate * occupancy rate * number of rooms * 365 Cable Franchise Fees service population $9.72 * (population + employment) State Shared Revenues State Income Tax population $131.03 * population State Sales Tax population $116.94* population Vehicle License Tax population $47.88 * population Highway User Fees population $80.60 * population Intergovernmental Federal and State Operating Grants not impacted Other Intergovernmental (RTA reimbursement)population $22.32 * population Licenses and Permits Building Permits data provided by Town Sign Permits employment $0.72 * employment Special Inspection Fees na included in building permits Grading Permits na included in building permits Fire Permit Fees na included in building permits Business License employment $1.74 * employment Charges for Services Zoning and Subdivision Fees not impacted Engineering Plan Check na included in building permits Financial Services not impacted Copies and Publications population $0.15 * population Administrative Fees service population $5.95 * (population *2 + employment) Police Fees population (25% of normal rate)$0.21 * population Rental Income not impacted Recreation Fees population (50% of normal rate)$8.30 * population Court Fees population (25% of normal rate)$0.89 * population Fare Box not impacted Fines and Forfeitures Fines service population (25% of normal rate)$0.26 * (population *2 + employment) Other Revenues Misc. Revenue not impacted EXPENDITURES Management & Policy Mayor & Council not impacted Town Manager not impacted General Administration service population (50% of normal rate)$10.44 * (population*2 + employment) City Clerk service population (10% of normal rate)$0.64 * (population*2 + employment) Magistrate Court population growth (25% of normal rate)$14.90 * population Legal service population (10% of normal rate)$0.73 * (population*2 + employment) 17 Revenue/Expenditure Item Driver Rate/Basis for Calculation EXPENDITURES Administrative Services Finance local revenues 2.9% * local tax and fee revenues Human Resources City FTEs @ 0.0004 per (population*2 + employment)$1,192 * City FTE growth Information Technology City FTEs @ 0.0004 per (population*2 + employment)$1,274 * City FTE growth Parks and Recreation Administration % of other Parks and Rec expenditures 14.5% * other parks and rec expenditures Park Maintenance park acres $3,070 * new park acres Aquatics population (20% of normal rate)$3.88 * population Recreation Centers and Culture population (50% of normal rate)$5.06* population Community and Economic Development Administration construction value 8.6% * other community dev expenditures Planning & Permitting 81% * building permit fees Inspection and Compliance construction value 41% * building permit fees Economic Development new jobs created $18.39 * job growth Public Safety Police Services calls for service by land use, 1 officer per 300 calls $192,486 * police staff Public Works Public Works/Streets Administration other public works expenditures 18.4% * other public works expenditures Street Maintenance street lane miles for maintenance $3,500 * new street lane miles (on-going) Transportation Engineering not impacted Facilities & Fleet Maintenance City FTEs @ 0.0004 per (population*2 + employment)$6,344 * City FTEs Transit Services population $2.26 * population Note: service population = population + employment. Page 1 of 5 G:\Projects\21ab La Canada & Moore SWC\b01 Rezone\0260\Sub 1\Sub 1 - Request Ltr.docx TO: PROJECT: Chris Cornelison, Interim Town Manager Town of Oro Valley 11000 North La Cañada Drive Oro Valley, AZ 85737 Annexation Request APN 219-49-003A FROM: DATE: PROJECT #: Paul Oland 2/17/2023 21abb01 Dear Mr. Cornelison, I am writing to request annexation of the approximately 36-acre parcel at the southwest corner of La Canada Drive and Moore Road. The property meets all of the dimensional requirements for annexation, as well as a number of the goals and guidelines from the Town’s Annexation Strategy: 1. “Pursue the filling out and squaring off of the Town limits. Strive toward a configuration for the Town limits which eliminates County islands and peninsulas and yields an identifiable and manageable boundary for the Town.”  This property, which is circled in red on the map to the right, is a County peninsula, and so annexing it will square off the Town limits. The properties to the north, east, and south were all annexed in the late 1980’s. The Town’s last significant annexation was La Cholla Airpark, which is just to the northwest of this property. 2. Areas to be considered shall be prioritized as to the quantifiable benefit to the Town.  Unlike all surrounding properties, which are already developed, this infill acreage has yet to yield development impact fees. Once developed, those residents will increase the Town’s share of State shared revenue proceeds. Additionally, being at the corner of two major collector roadways, appropriate development of this property will facilitate efficient use of the Town’s significant investment in nearby infrastructure. 3. Require the submittal of a fiscal impact analysis for both undeveloped (rural) and developed properties, the level of detail and contents of which may vary with the intensity or complexity of the proposed or existing use of the land. Such analysis is required, regardless of who initiates the annexation process.  Based on the current development concept showing 34 custom home sites, this neighborhood is expected to generate approximately $449K in development impact fees to OV (plus $142K to Pima County for sewer connections), and ongoing state shared revenue of approximately $40K annually at current rates. PROJECT #: 21abb01 DATE: 2/17/2023 Page 2 of 5 G:\Projects\21ab La Canada & Moore SWC\b01 Rezone\0260\Sub 1\Sub 1 - Request Ltr.docx 4. Future annexations of the Town shall be generally consistent with the policies and the planning area of the Town’s adopted General Plan.  This proposed neighborhood will follow the existing General Plan future land use designations. No General Plan amendment is proposed. 5. The Oro Valley Planning and Zoning Commission shall review any proposed annexation outside the General Plan Planning Area. The Commission shall forward a recommendation to the Town Council within 30 days of the initial hearing on the proposed annexation.  This property is within the General Plan Planning Area, indicating that the property is in an area that influences growth in Oro Valley. The implication is that the Town should actively pursue ensuring development of such properties is compatible with, or conforms to, the Town’s vision and development regulations. 6. Provide the community with a wide range of services, amenities, shopping and dining opportunities and housing types that meet the needs of current and future residents.  High-quality, relatively low-density housing forms a significant portion of Oro Valley’s suburban fabric. Despite recent economic softening, demand for that staple segment of the local housing market remains strong, and is expected to continue. The Town’s Annexation Strategy document provides the following criteria for prioritizing annexation opportunities and requests: A. The Town’s ability to provide the full range of Town services and facilities, and the ability for the area to financially support those services.  As an infill property, extensive infrastructure and public services are already in close proximity to the property, minimizing the cost of providing them to future residents of this property: • Frontage on two major collector roadways with sidewalks and shared-use paths. • OV Water mains within two adjacent rights-of-way. • A sewer manhole in an adjacent right-of-way. • Within bicycling distance of Vistoso Trails Nature Preserve, Honey Bee Canyon Park, Honey Bee Archaeological Preserve, the Oro Valley Community and Recreation Center, Golf Courses, and Naranja Town Park. B. The potential of the area to accommodate job growth.  The General Plan designates this property for relatively low-density residential development, so job creation other than home-based businesses wouldn’t be appropriate onsite. However, increasing the Town’s stock of high-quality housing opportunities always indirectly benefits job growth. C. The opportunity to control urban growth using Town development standards in areas where future development is likely.  The property owner knows that the project could be developed in Pima County approximately as proposed. However, Oro Valley’s development regulations and quality branding are superior, so we respectfully request annexation. PROJECT #: 21abb01 DATE: 2/17/2023 Page 3 of 5 G:\Projects\21ab La Canada & Moore SWC\b01 Rezone\0260\Sub 1\Sub 1 - Request Ltr.docx D. The importance of the area in terms of key multimodal transportation or open space corridors.  A significant wash and trail alignment run through the center of the property. Annexing into the Town will ensure that those amenities are protected during the development process. E. Creation of logical Town boundaries and service areas.  As discussed in Item #1 above, this annexation will eliminate a County peninsula and help square off the Town’s boundary. It is logical that the Town control development at all four corners of the recently approved roundabout intersection of La Canada and Moore. F. The perceived level of support for annexation by affected property owners/residents.  With only one owner covering such a relatively large parcel, this annexation request comes with 100% support of the affected property owners. G. Consistency with the Town’s Your Voice Our Future General Plan goals and policies. 3.4.D. – The people of Oro Valley strive for a community with a wide range of services, amenities, shopping and dining opportunities and housing types that meet the needs of current and future residents.  Continued strong demand for high quality, high value housing in Oro Valley indicates a continuing “need” of current and future residents. 3.5.E.5. – Support annexations that are economically beneficial to the Town while also considering the impacts to residents and the social, aesthetic and environmental quality of the Town.  The brief economic benefit calculations offered above demonstrate half of the economic benefit equation. The other half relates to the cost of providing services, which is also a positive indicator in this case due to the abundant existing infrastructure available to this infill property.  The relatively low density of this proposed development will ensure compatibility with surrounding residential areas, preserving and enhancing the aesthetic and environmental qualities of the vicinity. 3.6.CC.2. – Provide appropriate park facilities and services for residents of all ages in the community.  The anticipated demographics of this proposed neighborhood suggest that a private picnic area and trailhead would be most likely to be utilized and enjoyed by future residents. Having developed other neighborhoods in the area, including the one directly to the south of this property, Insight Homes has an educated understanding of which amenities would be most appropriate for this neighborhood. 3.6.CC.3. – Link existing and planned neighborhoods with parks and open spaces by incorporating path and trail facilities.  The Oro Valley trails master plan shows a trail alignment running within the wash coursing through the property. During the platting process a trail easement will be granted to help fulfil the trails master plan and provide connectivity to nearby pedestrian facilities. PROJECT #: 21abb01 DATE: 2/17/2023 Page 4 of 5 G:\Projects\21ab La Canada & Moore SWC\b01 Rezone\0260\Sub 1\Sub 1 - Request Ltr.docx 4.4.K. – Proactive conservation, protection and restoration of environmentally sensitive lands, natural resource areas and habitats and lands with high scenic value.  Wilder Landscape Architect and Recon Enrivonmental recently completed a habitat analysis of the property. Their findings will be provided to Town staff for review and incorporation into the Town’s Environmentally Sensitive Lands mapping. A portion of the site has been proposed as ESL Critical Resource Area, and will be conserved accordingly. 4.5.SD.2. – Protect and provide connections between contiguous, environmentally sensitive lands within the Town, including key habitat areas and significant natural resource areas.  Mapped ESL Critical Resource Areas exist to the north and south of this property, defining those stretches of the same wash that bisects this land. CRA mapping will be established onsite, providing continuity of wash protection. 4.5.SD.4. – Protect and conserve healthy native vegetation during the development process.  This development will abide by the Town’s native plant preservation requirements. Indeed, the native vegetation onsite adds much to the quality and aesthetics of the neighborhood once fully developed. 4.5.SD.8. – Encourage development project designs that connect wildlife habitat areas, avoid disturbing significant wildlife habitats and minimize the overall impacts on wildlife habitat areas.  Please refer to the above responses to 4.4.K, 4.5.SD.2, and 4.5.SD.4. 4.5.SD.10. – Strive to protect the public and environment from the threats and risks of stormwater surges and potential negative impacts of contaminants from runoff.  Development of this neighborhood will involve minimal floodplain encroachment, and will not result in any negative impacts to offsite lands, either upstream or down. 5.4.X. – Effective transitions between differing land uses and intensities in the community.  This proposed neighborhood matches the density and character of Insight Homes’ prior neighborhood to the south. Along our western edge we have included lots with a minimum size of one acre to provide a soft transition to the larger lots in Pima County to the west. Additionally, the proposed residential density is below that which is designated by the General Plan. The existing subdivisions to the east and north are significantly more dense. Thus, this project will be entirely compatible with surrounding uses. PROJECT #: 21abb01 DATE: 2/17/2023 Page 5 of 5 G:\Projects\21ab La Canada & Moore SWC\b01 Rezone\0260\Sub 1\Sub 1 - Request Ltr.docx 5.5.LU.6. – Maintain the small-town, neighborly character and improve the design and safety of the built environment.  By developing at similar or lower residential density to surrounding areas, this neighborhood will help maintain the small-town, neighborly character of this part of Oro Valley. 5.7.DG.1. – Require new development to pay its share toward the cost of additional public facility and service needs generated by new development while balancing public and private interests in cost allocation.  The developer will fund their fair share of any new infrastructure is required to offset the impacts of this development. Based on the prioritization criteria listed above, the Town’s Annexation Strategy includes the subject property within Priority Area 4. As the Annexation Strategy states, “annexing land that is primarily undeveloped enables the Town to properly plan for future development”. This property is an ideal candidate for annexation into Oro Valley, and I look forward to working with your staff throughout this process. Please do not hesitate to contact me with any questions. Sincerely, Paul Oland I, The Estate of Hopson D D H Tremont, the owner of the property described herein, authorize the applicant designated above to file this annexation application and to act as the point of contact for matters relating to this annexation on my behalf. (see attached) Property Owner Signature Discussion and Possible Action Related to the Proposed Annexation of 36-Acres at La Cañada and W. Moore September 6, 2023 1 Item A:Consideration of annexation petition of a single, vacant parcel of 36- acres at the southwest corner of La Cañada Dr. and Moore Rd Item B:If approved, subsequent implementation of translational rezoning Process: Possible Annexation and Subsequent Rezoning 2 Item A: Annexation Criteria State and Oro Valley Criteria: Meets all key provisions in state law for annexation, including contiguity, size and shape Property is within the Town’s General Plan Planning Area Boundary Included Town Annexation Strategy 3 Item A: Annexation Considerations 4 Considerations: Controlling urban growth using Town development standards in areas where future development is likely. Ensuring long-term water resource supply through utilization of alternative water resources. Protest period Annexation becomes final at the end of 30 days Second public hearing Town Council considers annexation ordinance and subsequent translational rezoning Obtain petition signature(s) First public hearing A public hearing to discuss the annexation proposal Annexation documents filed 30-day waiting period begins Annexation application received from property owner Town performs due diligence, verifies applicant information We are here Item A: Annexation Process 5 Item B: Translational Rezoning 6 Item B: Translational Rezoning 7 Current Entitlements Translational Rezoning Entitlements Pima County Oro Valley Zoning Designation Suburban Ranch (SR) R1-144 Minimum Lot size 144,000 sf 144,000 sf Maximum Building Height 34 feet 18 feet Setbacks Front 50 feet 50 feet Side 10 feet 20 feet Rear 50 feet 50 feet 8 Applicant Presentation and Discussion 9 Item B: Potential Future Rezoning Districts Potential future rezoning districts Pima County Oro Valley Pima County Oro Valley Pima County Oro Valley CR-1 R1-36 CR-2 R1-20 CR-3 R1-7 Minimum Lot size 36,000 sf 36,000 sf 16,000 sf 20,000 sf 8,000 7,000 sf Maximum Building Height 34 18 feet 34 18 feet 34 feet 25 feet Setbacks Front 30 feet 30 feet 30 feet 30 feet 20 feet 20 feet Side 10 feet 15 feet 10 feet 15 feet 4 feet 7.5 feet Rear 40 feet 40 feet 40 feet 30 feet 10 feet 20 feet