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HomeMy WebLinkAboutPackets - Council Packets (1294)         AGENDA ORO VALLEY TOWN COUNCIL REGULAR SESSION MARCH 4, 2020 ORO VALLEY COUNCIL CHAMBERS 11000 N. LA CAÑADA DRIVE 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 6:00 PM   CALL TO ORDER   ROLL CALL   PLEDGE OF ALLEGIANCE   UPCOMING MEETING ANNOUNCEMENTS   COUNCIL REPORTS   TOWN MANAGER'S REPORT   The Mayor and Council may consider and/or take action on the items listed below: 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.Presentation of Youth Art by the Arts and Culture Ambassadors   CONSENT AGENDA  (Consideration and/or possible action)   A.Minutes - February 19, 2020   B.Resolution No. (R)20-10, authorizing and approving an Intergovernmental Agreement (IGA) between the Town of Oro Valley and the Pima County Recorder to provide election services for the August 4, 2020 Primary Election and the November 3, 2020 General Election   REGULAR AGENDA   1.DISCUSSION AND POSSIBLE ACTION REGARDING RESOLUTION NO. (R)20-11, PROVIDING NOTICE OF INTENT TO INCREASE THE POTABLE WATER BASE RATES, DECREASE THE RECLAIMED WATER COMMODITY RATE AND DECREASE THE RECLAIMED WATER GROUNDWATER PRESERVATION FEE FOR THE ORO VALLEY WATER UTILITY   2.DISCUSSION AND POSSIBLE ACTION REGARDING A RANCHO VISTOSO PAD TEXT AMENDMENT AND CONCEPTUAL LANDSCAPE PLAN TO CONVERT A NATURAL OPEN SPACE AREA INTO A CONSTRUCTED LANDSCAPED BUFFER YARD LOCATED AT THE NORTHWEST CORNER OF ORACLE ROAD AND RANCHO VISTOSO BOULEVARD AT THE RANCHO VISTOSO CENTER, 1901527. THE REQUEST INCLUDES THE FOLLOWING ITEMS. A. RESOLUTION NO. (R)20-12, DECLARING THE PROPOSED RANCHO VISTOSO PAD TEXT AMENDMENT A PUBLIC RECORD B. PUBLIC HEARING: ORDINANCE NO. (O)20-02, RANCHO VISTOSO PAD TEXT AMENDMENT TO CONVERT A REQUIRED OPEN SPACE AREA TO A CONSTRUCTED LANDSCAPED BUFFER YARD C. CONCEPTUAL LANDSCAPE PLAN FOR THE OPEN SPACE AREA   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)   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.   ADJOURNMENT The Mayor and Council may, at the discretion of the meeting chairperson, discuss any Agenda item.   POSTED: 2/26/20 at 5:00 p.m. by pp 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. INSTRUCTIONS TO SPEAKERS Members of the public have the right to speak during any posted public hearing. However, those items not listed as a public hearing are for consideration and action by the Town Council during the course of their business meeting. Members of the public may be allowed to speak on these topics at the discretion of the Chair. If you wish to address the Town Council on any item(s) on this agenda, please complete a speaker card located on the Agenda table at the back of the room and give it to the Town Clerk. Please indicate on the 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 when completing the blue speaker card. Please step forward to the podium when the Mayor announces the item(s) on the agenda which you are interested in addressing. 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. Please organize your speech, you will only be allowed to address the Council once 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 issue you wish. 5. Any member of the public speaking must speak in a courteous and respectful manner to those present. Thank you for your cooperation.    Town Council Regular Session 1. Meeting Date:03/04/2020   Presentation of Youth Art Subject Presentation of Youth Art by the Arts and Culture Ambassadors Summary Attachments No file(s) attached.    Town Council Regular Session A. Meeting Date:03/04/2020   Requested by: Mike Standish Submitted By:Michelle Stine, Town Clerk's Office Department:Town Clerk's Office SUBJECT: Minutes - February 19, 2020 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 February 19, 2020 minutes.  Attachments 2-19-20 Draft Minutes  D R A F T   MINUTES ORO VALLEY TOWN COUNCIL REGULAR SESSION FEBRUARY 19, 2020 ORO VALLEY COUNCIL CHAMBERS 11000 N. LA CAÑADA DRIVE            *REGULAR SESSION AT OR AFTER 5:30 PM   CALL TO ORDER    Mayor Winfield called the meeting to order at 5:32 p.m.   ROLL CALL Present: Joseph C. Winfield, Mayor Melanie Barrett, Vice-Mayor Joyce Jones-Ivey, Councilmember Rhonda Piña, Councilmember Steve Solomon, Councilmember Absent: Josh Nicolson, Councilmember Bill Rodman, Councilmember EXECUTIVE SESSION - Pursuant to ARS 38-431.03(A)(1) Personnel matters - Police Chief Daniel G. Sharp's annual performance review    Mayor Winfield announced that the following staff members would be joining Council in the Executive Session: Police Chief Danny Sharp, Town Attorney Gary Cohen and Town Clerk Mike Standish.    Motion by Mayor Joseph C. Winfield, seconded by Councilmember Steve Solomon to go into Executive Session at 5:33 p.m. pursuant to ARS 38-431.03(A)(1) Personnel matters - Police Chief Daniel G. Sharp's annual performance review  Vote: 5 - 0 Carried   RESUME REGULAR SESSION AT OR AFTER 6:00 PM    Mayor Winfield resumed the Regular Session at 6:03 p.m.   2-19-20 Minutes, Town Council Regular Session 1         ROLL CALL    Present: Joseph C. Winfield, Mayor Melanie Barrett, Vice-Mayor Joyce Jones-Ivey, Councilmember Rhonda Piña, Councilmember Steve Solomon, Councilmember Absent: Josh Nicolson, Councilmember Bill Rodman, Councilmember   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.   COUNCIL REPORTS    Councilmember Jones-Ivey recognized Sebastian Colondres, a Junior at Basis Oro Valley, for his outstanding community service and academic excellence.   TOWN MANAGER'S REPORT    Town Manager Mary Jacobs reported that the Town's Public Works Department would be adjusting the traffic signals on La Cañada at Naranja Drive with a scheduled completion of February 21st. Ms. Jacobs also reported that construction has started for the access point into the Safeway Plaza on Tangerine Road. Construction for this project was expected to be completed in a month. Ms. Jacobs encouraged residents to participate in the Parks and Recreation Master Plan Needs Assessment. Information was available on the Town's website. Ms. Jacobs also reported that the Town was building a new website and asked residents to provide feedback by viewing the beta test site. More information regarding the beta site was available on the Town's website.   ORDER OF BUSINESS    Mayor Winfield reviewed the order of business and stated that the order would stand as posted.   INFORMATIONAL ITEMS    There were no informational items.   CALL TO AUDIENCE    No comments were received.   PRESENTATIONS 2-19-20 Minutes, Town Council Regular Session 2  PRESENTATIONS   1.Presentation regarding the retirement of K-9 Bruno and the introduction of new K-9 Risu       Oro Valley Police Officer Roger Reynolds introduced K-9 Risu as the newest Oro Valley Police K-9. Risu was donated by Oro Valley resident Lisa Bayless. Councilmember Piña recognized Oro Valley Police K-9 Bruno who recently retired from the Oro Valley Police Department and gave a brief history of Bruno's service.   2.Recognition of outgoing Board and Commission Members       Mayor Winfield recognized the following outgoing Board and Commission members: Mike Shoeppach - Board of Adjustment Grant Kalasunas - Historic Preservation Commission Robert Swope - Planning and Zoning Commission Thomas Gribb - Planning and Zoning Commission Anne Campbell - Water Utility Commission Thomas Vetrano - Municipal Property Corporation C. Kent Russell - Municipal Property Corporation Donald Taylor - Municipal Property Corporation Charles Kill - Budget and Finance Commission Ellen Guyer - Parks and Recreation Advisory Board Nathan Basken - Planning and Zoning Commission   3.Recognition of Police Chief Danny Sharp for his service to the Town of Oro Valley       Mayor Winfield presented Oro Valley Police Chief Danny Sharp with a proclamation and thanked him for his leadership and service to the Oro Valley Police Department and community. Town Manager Mary Jacobs presented Chief Sharp with an official key to the Town of Oro Valley. Council expressed their appreciation and well wishes to Chief Sharp.   CONSENT AGENDA   A.Minutes - January 27, January 28, and February 5, 2020      B.Request for approval of a Final Plat for a 227-lot residential subdivision located within the Rancho Vistoso Planned Area Development, approximately 1 mile west of Oracle Road off of Rancho Vistoso Boulevard, adjacent to the Big Wash Trailhead      C.Resolution No. (R)20-04, approving the dedication of a public trail easement for a portion of Trail No. 322 to the Town of Oro Valley from the Vistoso Community Association as part of the development of Tranquilo at Rancho Vistoso, a residential subdivision located approximately 1 mile west of Oracle Road off of Rancho Vistoso Boulevard, adjacent to the Big Wash Trailhead      D.Resolution No. (R)20-05, approving the Agenda Committee assignment for the period of March 1, 2020, to May 31, 2020      E.Resolution No. (R)20-06, designating Kevin Artz as Chief Fiscal Officer, authorized to submit the Town's Annual Expenditure Limitation Report (AELR) to the Auditor General      F.A request to transfer General Fund contingency to the Capital Fund and to amend the FY 2019/20    2-19-20 Minutes, Town Council Regular Session 3  F.A request to transfer General Fund contingency to the Capital Fund and to amend the FY 2019/20 adopted budget to account for close-out of the police evidence/substation building       Motion by Councilmember Steve Solomon, seconded by Councilmember Joyce Jones-Ivey to approve Consent Agenda items (A) - (F).  Vote: 5 - 0 Carried   REGULAR AGENDA   1.DISCUSSION AND POSSIBLE ACTION ON RESOLUTION NO. (R)20-07, PROPOSING A PERMANENT ADJUSTMENT TO THE 1979-80 BASE EXPENDITURE LIMITATION FOR THE TOWN OF ORO VALLEY       Interim Chief Financial Officer Kevin Artz presented item #1 and included the following: Background Estimated State-Imposed Limitation Why doesn't the State-Imposed Limitation work in Oro Valley? Permanent Base Adjustment Option Budget and Finance Commission (BFC) Base Adjustment to $1,400,000 Base Adjustment to $1,650,000 Calendar Recommendation    Motion by Vice-Mayor Melanie Barrett, seconded by Councilmember Steve Solomon to approve Resolution No. (R) 20-07, proposing a permanent adjustment to the 1979-80 base expenditure limitation of the Town, and amending the expenditure base adjustment amount to $1,377,683.    Discussion ensued amongst Council and staff regarding item #1.    Councilmember Nicolson joined the meeting at 7:08 p.m. Discussion continued amongst Council and staff regarding item #1.    Motion by Vice-Mayor Melanie Barrett, seconded by Councilmember Steve Solomon to amend the original motion and to approve Resolution No. (R) 20-07, proposing a permanent adjustment to the 1979-80 base expenditure limitation of the Town in the amount of $1,127,683.  Vote: 6 - 0 Carried   2.DISCUSSION AND POSSIBLE ACTION ON RESOLUTION NO. (R)20-08, ADOPTING THE 2019-2029 LAND USE ASSUMPTIONS AND INFRASTRUCTURE IMPROVEMENT PLANS DATED DECEMBER 19, 2019, FOR THE TOWN OF ORO VALLEY       Strategic Initiatives Manager Amanda Jacobs provided an overview of item # 2 and included the following; Purpose Arizona Fee Comparison Next Steps Recommendation    Motion by Councilmember Steve Solomon, seconded by Councilmember Rhonda Piña to approve 2-19-20 Minutes, Town Council Regular Session 4   Motion by Councilmember Steve Solomon, seconded by Councilmember Rhonda Piña to approve Resolution No. (R)20-08, adopting the 2019-2029 land use assumptions and infrastructure improvement plans for the Town of Oro Valley dated December 19, 2019.    Discussion ensued amongst Council and staff regarding item #2.    Motion by Councilmember Steve Solomon, seconded by Councilmember Rhonda Piña to approve Resolution No. (R)20-08, adopting the 2019-2029 land use assumptions and infrastructure improvement plans for the Town of Oro Valley dated December 19, 2019.  Vote: 6 - 0 Carried   3.DISCUSSION AND POSSIBLE ACTION ON RESOLUTION NO. (R)20-09, PROVIDING NOTICE OF INTENT TO INCREASE CERTAIN DEVELOPMENT IMPACT FEES FOR THE TOWN OF ORO VALLEY       Strategic Initiatives Manager Amanda Jacobs provided a brief overview of item #3.    Motion by Vice-Mayor Melanie Barrett, seconded by Councilmember Josh Nicolson to approve Resolution No. (R)20-09, providing notice of intent to increase certain development impact fees for the Town of Oro Valley.  Vote: 6 - 0 Carried   4.DISCUSSION AND POSSIBLE ACTION REGARDING A MEMORANDUM OF UNDERSTANDING WITH HSL REGARDING TOWN GOLF       Town Manager Mary Jacobs provided a brief summary of item #4.    Discussion ensued amongst Council and staff regarding item #4.    Motion by Mayor Joseph C. Winfield, seconded by Councilmember Steve Solomon to authorize Town Manager Mary Jacobs to execute the Memorandum of Understanding between the Town of Oro Valley and HSL as presented. Discussion continued amongst Council and staff regarding item #4.  Vote: 6 - 0 Carried   5.*POSSIBLE APPROVAL OF ANY ITEMS DISCUSSED IN EXECUTIVE SESSION    Motion by Mayor Joseph C. Winfield, seconded by Councilmember Rhonda Piña that Chief Sharps annual performance review be deemed outstanding.  Vote: 6 - 0 Carried   FUTURE AGENDA ITEMS    No future agenda items were requested.   CALL TO AUDIENCE    No comments were received.   2-19-20 Minutes, Town Council Regular Session 5         ADJOURNMENT    Motion by Mayor Joseph C. Winfield, seconded by Councilmember Steve Solomon to adjourn the meeting at 8:08 p.m.  Vote: 6 - 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 and study session of the Town of Oro Valley Council of Oro Valley, Arizona held on the 19th day of February 2020. I further certify that the meeting was duly called and held and that a quorum was present. Dated this _____ day of ____________________, 2020. ___________________________ Michael Standish, CMC Town Clerk 2-19-20 Minutes, Town Council Regular Session 6     Town Council Regular Session B. Meeting Date:03/04/2020   Submitted By:Mike Standish, Town Clerk's Office Department:Town Clerk's Office SUBJECT: Resolution No. (R)20-10, authorizing and approving an Intergovernmental Agreement (IGA) between the Town of Oro Valley and the Pima County Recorder to provide election services for the August 4, 2020 Primary Election and the November 3, 2020 General Election RECOMMENDATION: Staff recommends approval. EXECUTIVE SUMMARY: The attached resolution authorizes and approves an IGA between the Town and the Pima County Recorder to provide election services for the Town's August 4, 2020 Primary Election and November 3, 2020 General Election. BACKGROUND OR DETAILED INFORMATION: Arizona Revised Statutes, section 16-408(D), permits the governing body to enter into an agreement with the County Board of Supervisors and County Recorder for election services. FISCAL IMPACT: The Clerk's Office has requested a total of $65,000 in its election budget for FY 2020/21 to cover the costs of the 2020 Primary and General elections, which is generally consistent with previous election budgets. SUGGESTED MOTION: I MOVE to (adopt / deny) Resolution No. (R)20-10, authorizing and approving an Intergovernmental Agreement between the Town of Oro Valley and the Pima County Recorder to provide election services for the August 4, 2020 Primary Election and the November 3, 2020 General Election. Attachments (R)20-10 IGA for Election Services  IGA with Pima County for Election Services  RESOLUTION NO. (R)20-10 A RESOLUTION OF THE MAYOR AND COUNCIL OF THE TOWN OF ORO VALLEY, ARIZONA AUTHORIZING AND APPROVING AN INTERGOVERNMENTAL AGREEMENT BETWEEN THE TOWN OF ORO VALLEY AND PIMA COUNTY FOR ELECTION SERVICES TO BE EFFECTIVE APRIL 15, 2020 THROUGH COMPLETION OF ALL OBLIGATIONS AND ACTIVITIES CONTEMPLATED BY THIS INTERGOVERNMENTAL AGREEMENT, PROVIDED THAT THE TERM SHALL CONTINUE THROUGH FINAL RESOLUTION OF ANY LEGAL CHALLENGE TO THE ELECTION ; 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, pursuant to Arizona Revised Statutes (A.R.S.) § 11-952, is authorized to enter into or renew agreements for joint and cooperative action with other public agencies; and WHEREAS, Pima County is authorized under A.R.S. §§ 16 -205(C), 16-409, 16-450, 11-251(3), 11-951, et. seq. to perform services regarding elections; and WHEREAS, pursuant to A.R.S. Title 9, Title 11 and Title 16, the Town of Oro Valley, Arizona is allowed to call for Elections; and WHEREAS, Pima County and the Town of Oro Valley have determined that the use by the Town of Oro Valley of the services of the P ima County Recorder for the conduct of elections is in the public interest and Pima County has agreed to provide said services. NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND COUNCIL OF THE TOWN OF ORO VALLEY, ARIZONA: SECTION 1. That the Intergovernmental Agreement between the Town of Oro Valley and Pima County for Election Services, attached hereto as Exhibit “A”, is hereby approved. SECTION 2. That the Mayor of the Town of Oro Valley and administrative officials are hereby authorized to take such steps as necessary to execute and implement the terms of the Intergovernmental Agreement. 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. 2 PASSED AND ADOPTED by the Mayor and Town Council of the Town of Oro Valley, Arizona, this 4th day of March, 2020. TOWN OF ORO VALLEY _____________________________ Joseph C. Winfield, Mayor ATTEST: APPROVED AS TO FORM: _______________________________ Michael Standish, Town Clerk Tobin Sidles, Legal Services Director Date: Date: _________________________ 3 EXHIBIT “A”    Town Council Regular Session 1. Meeting Date:03/04/2020   Requested by: Peter Abraham Submitted By:Mary Rallis, Water Department:Water SUBJECT: DISCUSSION AND POSSIBLE ACTION REGARDING RESOLUTION NO. (R)20-11, PROVIDING NOTICE OF INTENT TO INCREASE THE POTABLE WATER BASE RATES, DECREASE THE RECLAIMED WATER COMMODITY RATE AND DECREASE THE RECLAIMED WATER GROUNDWATER PRESERVATION FEE FOR THE ORO VALLEY WATER UTILITY RECOMMENDATION: The Water Utility Commission and Water Utility staff respectfully recommend approval of Resolution No. (R)20-11, providing notice of intent to increase the potable water base rates, decrease the reclaimed water commodity rate and decrease the reclaimed water groundwater preservation fee for the Oro Valley Water Utility. EXECUTIVE SUMMARY: In accordance with the Town Council Water Policies, Water Utility staff review water rates on an annual basis. The Water Utility Commission evaluates staff recommendations based on a water rates analysis to ensure the recommendations meet Town policies and bond covenants. On February 3, 2020, the Commission voted to recommend approval of the water rates identified in the Preferred Financial Scenario and supported by the Water Rates Analysis Report dated March 2020.   Pursuant to A.R.S. § 9-511.01, a municipality must adopt a notice of intent to change water rates at least 60 days prior to the public hearing. The resolution sets in motion the public process by:  Making the Water Rates Analysis Report available for public review by placing a copy in the Town Clerk's Office and on the Water Utility's website 1. Directing the Town Clerk to publish the resolution in a newspaper of general circulation at least 20 days prior to the public hearing 2. Scheduling a public hearing for June 3, 2020, when the Council will consider adoption of the proposed water rate changes 3. Once the notice of intent is approved, the change in water rates that can be adopted may not exceed the water rates shown in the Water Rates Analysis Report. BACKGROUND OR DETAILED INFORMATION: N/A FISCAL IMPACT: There is no fiscal impact associated with adopting a notice of intent to change water rates. SUGGESTED MOTION: I MOVE to (approve or deny) Resolution No. (R)20-11, providing notice of intent to increase the potable water base I MOVE to (approve or deny) Resolution No. (R)20-11, providing notice of intent to increase the potable water base rates, decrease the reclaimed water commodity rate and decrease the reclaimed water groundwater preservation fee for the Oro Valley Water Utility. Attachments (R)20-11 Resolution  RATE REPORT  RESOLUTION NO. (R)20-11 A RESOLUTION OF THE MAYOR AND COUNCIL OF THE TOWN OF ORO VALLEY, ARIZONA, PROVIDING NOTICE OF INTENT TO INCREASE THE POTABLE WATER BASE RATES, DECREASE THE RECLAIMED WATER COMMODITY RATE AND DECREASE THE RECLAIMED WATER GROUNDWATER PRESERVATION FEE FOR THE ORO VALLEY WATER UTILITY; 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, pursuant to A.R.S. § 9-511, et seq., the Town has the requisite statutory authority to acquire, own and maintain a water utility for the benefit of the residents within and without the Town’s corporate boundaries; and WHEREAS, pursuant to A.R.S. § 9-511, et seq., the Town finds it necessary to consider increasing the potable water base rates, decreasing the reclaimed water commodity rate and decreasing the reclaimed water groundwater preservation fee for the Oro Valley Water Utility; and WHEREAS, pursuant to A.R.S. § 9-511, et seq., the Town is required to give a Notice of Intent at a regular Town Council meeting to increase the potable water base rates, decrease the reclaimed water commodity rate and decrease the reclaimed water groundwater p reservation fee; and WHEREAS, the Town has completed a Water Rates Analysis Report, attached hereto as Exhibit “A”, which supports these water rate changes for the Oro Valley Water Utility; and WHEREAS, not less than twenty (20) days prior to the public hearing on the proposed rate changes, the Town shall cause to be published one time in a newspaper of general circulation within the Town’s boundaries, a Notice of Intent showing the date, time and place of the hearing. NOW, THEREFORE, BE IT RESOLVED by the Mayor and Council of the Town of Oro Valley, Arizona, as follows : SECTION 1. This Resolution serves as the Notice of Intent, which is hereby publicly given, for the Town of Oro Valley to increase the potable water base rates, decrease the reclaimed water commodity rate and decrease the reclaimed water groundwater preservation fee. 2 SECTION 2. A public hearing shall be held at the regular meeting of the Mayor and Council at 6:00 p.m. on June 3, 2020, in the Council Chambers of the Town Hall, Town of O ro Valley, 11,000 North La Cañada Drive, Oro Valley, Arizona, to deliberate and vote on the proposed changes. SECTION 3. That Exhibit “A”, attached hereto and incorporated by reference, be made available to the public in the Office of the Town Clerk and on the Town of Oro Valley Water Utility website for review prior to the public hearing. SECTION 4. That 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. PASSED AND ADOPTED by the Mayor and Town Council of the Town of Oro Valley, Arizona, this 4th day of March, 2020. 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” TOWN OF ORO VALLEY WATER UTILITY WATER RATES ANALYSIS REPORT MARCH 2020 TOWN OF ORO VALLEY WATER UTILITY WATER RATES ANALYSIS REPORT MARCH 2020 ORO VALLEY TOWN COUNCIL Joseph Winfield, Mayor Melanie Barrett, Vice Mayor Joyce Jones -Ivey, Council Member Josh Nicolson, Council Member Rhonda Piña, Council Member Bill Rodman, Council Member Steve Solomon, Council Member ORO VALLEY WATER UTILITY COMMISSION Byron McMillian, Chair Richard Reynolds, Vice Chair Chuck Hollingsworth, Commission Member Charlie Hurt, Commission Member Tom Merek, Commission Member Robert Milkey, Commission Member Winston Tustison, Commission Member TOWN STAFF Mary Jacobs, Town Mana ger Kevin Artz, Interim Chief Financial Officer Peter A. Abraham, P.E., Water Utility Director Shirley Kiel, Water Utility Administrator Mary Rallis , CPA, Water Utility Administrator Danielle Tanner, Senior Office Specialist TABLE OF CONTENTS SECTION TITLE PAGE Index of Appendices Executive Summary 1 Introduction 3 Growth Rates 3 Water Use Trends 4 Debt Service 5 Debt Service Coverage Requirements 6 Cash Reserve Policy for Operating Fund 7 Operating Fund Revenue Forecast 8 Revenue Requirements 10 Reclaimed Cost Allocation 11 Water Resource and System Development Impact Fee Fund 12 Preferred Financial Scenario 14 Recommendation on Water Rates, Fees & Charges 16 Conclusion 18 Appendices INDEX OF APPENDICES APPENDIX A. Preferred Financial Scenario Pro Forma A-1 Operating Fund A-2 Groundwater Preservation Fee A-3 Water Resource and System Development Impact Fee Fund A-4 Summary of all Funds B. Rate Schedule s & Tables for Bill Comparisons B-1 Proposed Water Rate Schedule B-2 Tables for Bill Comparisons by Meter Size - Potable B-8 Tables for Bill Comparisons by Meter Size - Reclaimed C. 5-Year Capital Improvement Schedules C-1 Operating Fund C-2 Groundwater Preservation Fee C-3 Water Resource and System Development Impact Fee Fund D. Assumptions for Preferred Finan cial Scenario D-1 Operating Fund D-6 Water Resource and System Development Impact Fee Fund E. Proposed Development Impact Fee Schedule E-1 Water Resource and System Development Impact Fee Schedule - 1 - TOWN OF ORO VALLEY WATER UTILITY WATER RATES ANALYSIS REPORT MARCH 2020 Executive Summary An annual review of the revenue requirements and water rates is a critical component in ensuring the long-term financial health of the Water Utility. Functions of the Oro Valley Water Utility Commission include reviewing and developing recommendations for water revenue requirements, water rates and fee structures. The Commission evaluates staff recommendations based on a rates analysis to en sure the recommendations meet Town policies and bond covenants. Water rates and charges are reviewed annually in accordance with Mayor and Town Council Water Policies – II.A.2.b(4). The Utility has based this financial analysis on the American Water Work s Associations (AWWA) Cash Needs Approach. The AWWA is the largest national organization that develops water and wastewater policies, specifications and rate setting guidelines accepted by both government -owned and private water and wastewater utilities wo rldwide. This Water Rates Analysis Report contains detailed information on the Operating Fund and the Water Resources and System Development Impact Fee Fund. Each fund is individually analyzed with regard to revenue and revenue requirements. As an enterpr ise of the Town, the Utility generates revenue from rates, fees and charges and does not receive revenue from taxes or other monies from the General Fund. Additionally, revenue generated by the Utility does not fund operating costs of any other Town department. In accordance with policy, the water rates analysis is prepared annually based on the most up -to-date information available for a five year period. Although the analysis is fo r five years, any rate increase considered would be approved only for the first year in the five year projection period. In the past, emphasis was placed on developing commodity rates that would promote water conservation. The current tiered rate structure for the commodity rates encourages water conservation as intended. Because of the decline in water consumption, the emphasis of the rate design has transitioned to increase the Utility’s fixed cost recovery for revenue stability. This is accomplished over time with increases to the mo nthly base rate. The Water Utility Commission has made a recommendation for a Preferred Financial Scenario. Under the Preferred Financial Scenario, the Operating Fund is projected to have a cash balance of $4,508,508 at the end of the five year projection period. This meets the cash reserve requirement. In addition, the debt service coverage ratio of 1.3 is met or exceeded each year. Operational needs and capital improvements are included in the analysis. The Preferred Finan cial Scenario demonstrates a strategic balance between incurring new debt and a planned use of cash reserves to finance capital projects. The Preferred Financial Scenario evaluates the impact of future costs and the revenue sources that will be required to meet those costs. The proposed water rates in the Preferred Financial Scenario will increase the Utility’s fixed cost recovery. - 2 - The Water Utility Commission and Water Utility staff have made the following recommendations on water rates in the Preferre d Financial Scenario for FY 2020-21: ➢ Incre ase the potable water base rates ➢ Decrease the reclaimed commodity rate ➢ Decrease the reclaimed groundwater preservation fee Current and proposed monthly base rates for potable water use are provided in Table 1 below: Table 1 Meter Size Current Proposed Monthly (in inches) Base Rate Base Rate Increase 5/8 $ 18.26 $ 19.26 $ 1.00 3/4 $ 27.38 $ 28.89 $ 1.51 1 $ 45.63 $ 48.14 $ 2.51 1.5 $ 91.26 $ 96.28 $ 5.02 2 $ 146.03 $ 154.06 $ 8.03 3 $ 292.03 $ 308.09 $ 16.06 4 $ 456.31 $ 481.41 $ 25.10 6 $ 912.62 $ 962.81 $ 50.19 8 $1,460.19 $1,540.50 $ 80.31 Cost per month. The financial impact of the proposed rates for a customer with a 5/8 -inch meter is an increase of $1.00 per month. Since this is a base rate increase only, the increase will be the same for all customers with this meter size regardless of the volume of water used. Cu stomers with a 5/8-inch meter represen t 88 percent of the total customer base and include re sidential, commercial and irrigation classifications with the vast majority of those being residential. The potable groundwater preservation fee will remain unchanged while the reclaimed groundwater preservation fee is proposed to decrease by $0.10 in FY 2020-21 with smaller decreases in later years. The reclaimed base rate remains unchanged while the commodity rate is proposed to decrease by $0.12 per 1,000 gallons beginning in FY 2020-21. The proposed decrease in the reclaimed groundwater preservation fee coupled with the decrease in the reclaimed commodity rate result in a reduction of approximately $2,200 per month for an average turf customer. As part of the 2019 Development Impact Fee Analysis, the two existing impact fee funds were combined into one f und known as the Water Resource and System Development Impact Fee Fund. The Preferred Financial Scenario illustrates a financially sound cash balance in the Water Resource and System Development Impact Fee fund. In compliance with state statutes, the cash balance will be used to finance capital projects to meet the demands of new growth. The Water Utility presents this Water Rates Analysis in support of the proposed rates contained in the Preferred Financial Scenario. The Oro Valley Wat er Utility Commission and Water Utility staff respectfully recommend the proposed increase to the potable base rate, decrease to the reclaimed commodity rates and decrease to the reclaimed groundwater preservation f ee as detailed in the Preferred Financial Scenario. - 3 - TOWN OF ORO VALLEY WATER UTILITY WATER RATES ANALYSIS REPORT MARCH 2020 Introduction The Oro Valley Water Utility was established in 1996 as a self -supporting enterprise of the Town. The Utility is comprised of two separate funds that have been established for specific purposes. The Funds are as follows: ➢ Operating Fund ➢ Water Resource and Development Impact Fee Fund The Operating Fund is the primary fund for the Utility. Revenue for this fund includes water sales, service fees, miscellaneous charges and interest income. The expenses managed from this fund include personnel, operations and maintenance for both potable and reclaimed water systems, capital costs for existing potable water system improvements and related debt service. The Utility pays the General Fund for services received including finance, human resources, fleet services, information technology, legal, insurance and rental of office space; however, it does not receive revenue from taxes or other payments from the General Fund. Groundwater Preservation Fee (GPF) revenue and expenses are accounted for within the Operating Fund but are segregated because GPF revenue is restricted for specific uses. This is illustrated in Appendix A, Page A-2. TischlerBise, Inc. was hired i n October 2019 by the Town to update land use assumptions, prepare an infrastructure i mprovements plan and development impact fees pursuant to Arizona Revised Statues (ARS) 9-436.05. The proposed development impact fees will be referred to as the Water Resources and System Development Impact Fees (WRSDIF) and will replace the Alternative Water Resource Development Impact Fee and the Potable Water System Development Impact Fe e. The WRSDIF may be used to fund all types of water resources, the infrastructure to deliver those resources and any related debt including CAP capital infrastructure repayment costs. More information on the WRSDIF may be found on page 12. The revenue and expenses of the Operati ng Fund and the WRSDIF Fund are combined to determine if the Utility meets the debt service coverage requirement established in the Mayor and Town Council Water Policies and current bond covenants. Otherwise, each fund is independent with regard to revenue and expenses. Pursuant to ARS 9-463.05 Section B.9., impact fees must be placed in a separate fund and accounted for separately. ARS 9-463.05 Section B.5. states that the impact fees may not be used for operations and maintenance of existing facilities. Growth Rates The Utility’s growth rates have fluctuated during the past several years. Figure 1 illust rates the Utility’s growth of 1,956 new metered connections over the last 10 years. At the end of FY 2018-19 the customer base totaled 20,217 metered connections. - 4 - Figure 1 Throughout the rates analysis process, Utility staff collaborated with other Town staff. In developing the growth projections, assistance was received from the Community and Economic Development staff who reviewed the current housing inventory, along with plans that have been submitted for review, to conservatively estimate future growth. The growth projections used for this report are consistent with the Town’s financial forecasting and are shown in the following table. Table 2 New Metered Connections 2020-21 2021-22 2022-23 2023-24 2024-25 Single Family Residential 325 350 330 240 225 Commercial, Multi -Family, Irrigation 8 4 4 4 4 Water Use Trends The Utility has experienced a reduction in water use, both potable and reclaimed, over the last 10 years. Figure 2 illustrates this reduction in total water use from FY 2009-10 through FY 2018-19. The graph depicts an overall decline in water use even though the Utility experienced growth of 1,956 metered connections in that same time frame. Water use decreased in FY 2018-19 by approximately 581,000 gallons. Of that amount 230,000 gallons was a decline in reclaimed water use. During FY 2017-18, a single family residential customer with a 5/8-inch water meter used an average of 7,900 gallons of water per month. The weather conditions in the current fiscal year are significantly different tha n last fiscal year. Because of the increased rain and cooler temperatures, residential water use is trending closer to 7,000 gallons per month in FY 2018-19. For a conservative approach , the revenue projections in this analysis used water patterns similar to those in FY 2016-17 when the ave rage water use was 7,300 gallons per month which is consistent with prior years . - 5 - Figure 2 The historical decline in water use has been experienced not only on a local level, but also on regional and national levels. This can be largely attributed to water conservation – both intentional and unintentional. Intentional water conservation is the conscious effort to reduce water use by commonly known measures including changing landscape to drought tolerant plants and the removal of lawns. Unintentional water conservation is a result of plumbing code changes and other regulatory changes regarding water efficiency. For example, all new water using appliances and fixtures are required to be low flow. The consumer’s intention may not have been to conserve water when they chose to replace a n aging or broken dishwasher, clothes washer or bathroom faucet. Debt Service The current annual debt serv ice obligations are met with revenue generated from water rates , the GPF and impact fees. A summary of the existing debt and the outstanding balances at the December 31, 2019 are provided in Table 3. Table 3 Repayment Year Description of Debt Purpose Balance Water Rates 2009 WIFA Loan Existing Potable System $ 1,274,073 Water Rates 2012 Sr. Lien Bonds – Refinance 2003 Existing Potable System $ 2,202,306 Water Rates Water Rates 2014 2015 WIFA Loan Excise Tax Bonds – Refinance 2005 AMI Meter Replacement Land for MOC $ 3,014,023 $ 8 52,060 Water Rates 2017 Excise Tax Bonds – Refinance 2007 Existing Potable System $ 10,555,978 Water Rates 2018 Excise Tax Bonds Existing Potable System $ 5,873,250 GPF 2008 WIFA Loan Reclaimed Water System $ 2,160,662 GPF 2012 Sr. Lien Bonds – Refinance 2003 Reclaimed Water System $ 4,014,308 WRSDIF 2012 Sr. Lien Bonds – Refinance 2003 Potable System Expansion $ 1,238,386 Total Debt $ 31,1 85,046 - 6 - The Town entered into an IGA with Metropolitan Domestic Water Improvement District and the Town of Marana to construct a recharge, recovery and delivery system known as the NWRRDS project to bring additional CAP water into the Town. This rates analysis includes an assumption for new debt in the amount of $10,000,000 in FY 2021-22 to finance portions of the NWRRDS project. The timing of this debt is dependent on the progress of the project. If the project is delayed, the debt will also be delayed. It is assumed that the Utility will issue traditional bonds with a 20-year term at a five percent interest rate . The debt will be repaid with revenue derived from the GPF as this portion of the project benefits the existing customers. There is no proposed debt associated with the growth -related portion of the NWRRDS project. The growth-related portion of the project will be paid for with cash from development impact fees. Project costs identified for the NWRRDS project may be found in the five year capital plan shown in Appendix C. Additionally, the rates analysis incudes an assumption for new debt in FY 2022-23 in the amount of $3,700,000 to finance existing system improvements . It is assumed the Utility will issue a private placement bond issue with a 10-year term at a five percent interest rate. This debt will be repaid with revenue from potable and reclaimed water sales. Debt Service Coverage Requirements The method for cal culating the debt service coverage ratio is pursuant to the Town Financial and Budgetary Policies adopted by the Town Council in 2008. Section C.1 – Debt Capacity, Issuance & Management states the following with respect to debt service coverage ratios: “When utility revenues are pledged as debt service payments, the Town will strive to maintain a 1.3 debt service coverage ratio or the required ratio in the bond indenture (whichever is greater) to ensure debt coverage in times of revenue fluctuation.” The Water Utility currently pays debt service on a number of outstanding debt issuances and loans. For the Series 2012 Senior Lien Water Revenue Bonds, the 2008, 2009 and 2014 Water Infrastructure Finance Authority (WIFA) Loans, Water Utility revenues are spe cifically pledged as the repayment source for these obligations at 1.3 times coverage per the Town’s adopted financial policy. The remaining outstanding debt obligations of the Water Utility are excise tax pledged obligations meaning that the Town’s unrestricted sources of sales taxes, fines, permit fees and state shared revenues are pledged as the repayment sources for these bond s in the bond indentures. Even though the bond indentures pledge these excise taxes as the repayment source, the Water Utility is responsible to pay for these debt service payments from water sales revenues. However, since excise taxes are pledged as coverage, a calculated debt service coverage ratio of 1.0 is applied to avoid double coverage when calculating the debt service coverage ratio for these excise tax -backed bonds in the water rates analysis. It is important to note that the bond indentures for t he excise tax -backed bonds require that the Town’s excise tax collections each fiscal year total at least 2.5 times the annual debt service requirements in order to avoid having to fund a debt service reserve fund. These conditions have been met annually i n the past and are expected to continue in the future. For FY 2018-19 the debt service coverage ratio was 12.27 for the General Fund which exceeds the 2.5 requirement. - 7 - This methodology of segregating the water utility revenue-pledged debt from the excise tax -pledged debt in the rates analysis process is an accepted practice in the industry and has been reviewed by the Town’s Chief Financial Officer and the Town’s financial advisors with Stifel, Nicolaus & Company, Inc. The debt service coverage ratio is determined by dividing the annual net operating revenue by the annual debt service payments. The methodology described above is in accordance with the 2008 policy and reduces the amount of the required debt service coverage. Applying this methodology has b een key in minimizing water rate increases. Debt service coverage for the Water Utility’s outstanding senior lien debt issuances and loans in the Preferred Financial Scenario is shown in Table 4. This includes current and proposed new debt. Table 4 2020-21 2021-22 2022-23 2023-24 2024-25 Debt Service Coverage 2.83 2.41 2.02 2.80 2.90 Cash Reserve Policy The cash reserve policy may be found in the Town of Oro Valley Mayor and Council Water Policies Section II.A.1.d. The policy states “The Utility shall maintain a cash reserve in the Operating Fund of not less than 20% of the combined total of the annual b udgeted amounts for personnel, operations and maintenance, and debt service. This cash reserve amount specifically excludes budgeted amounts for capital projects, depreciation, amortization and contingency. No cash reserve is required for the water utility impact fee funds.” In the Preferred Financial Scenario, the projected cash reserve balance for the Operating Fund for each year in the analysis is listed in Table 5 showing compliance in all years. The projected cash reserve balances include annual increases in the monthly base rates. Table 5 Operating Fund 2020-21 2021-22 2022-23 2023-24 2024-25 Cash Reserve Requirement $ 2,833,292 $ 2,956,487 $ 3,0 55,984 $ 3,073,629 $ 3,154,900 Cash Reserve Balance $ 7,635,153 $ 6,275,621 $ 5,538,993 $ 5,0 4 9,093 $ 4,508,508 Cash reserve balances in the Operating Fund are projected to be stable throughout the analysis. This is a result of strategically balancing the required financing of capital projects with the planned used of cash reserves. The Utility works diligently to balance the use of cash reserves with the issuance of new debt to minimize rate increases . There is no cash reserve requirement for revenue from the GPF because these funds are restricted to pay for renewable water resources, i nfrastructure and associated debt. Although accounted for in the Operating Fund, the GPF cash is segregated from the Operating Fund cash. It is not fiscally prudent to combine cash that has a restricted use with cash that has unrestricted use when determining compliance with a cash reserve policy. Similarly, the expenses paid by GPF revenue are segregated from the general operating expenses for purposes of calculating the cash reserve requirement. In the Preferred Financial Scenario, the projected cash rese rve balance for the GPF in each year of the analysis is listed in Table 6. - 8 - Table 6 Groundwater Preservation Fees 2020-21 2021-22 2022-23 2023-24 2024-25 Cash Reserve Balance $ 1,777,659 $ 1,748,760 $ 1,357,398 $ 1,491,800 $ 1,929,192 GPF cash rese rve balances are projected to remain stable over the five year projection period. This is a direct result of balancing the use of cash and issuance of new debt to pay for capital projects associated with the delivery of additional CAP water through the NWRRDS project . The on-going revenue from the GPF will be used to pay future annual debt service on the portion of capital costs that will be financed. Operating Fund Revenue Forecast The Operating Fund is projected to have a cash balance of $8,197,303 at the beginning of FY 2019-20 and is projected to have a balance of $4,508,508 at the end of FY 2024-25. These funds may be used for operating costs including personnel, operations and maintenance, capital improvements for the existing potable water system and debt service. Groundwater Preservation Fees are included in the Operating Fund; however, the reven ues, expenses and cash balances for the GPF are accounted for separately within the Operating Fund. As discussed above , use of GPF funds is restricted to renewable water resources, infrastructure and associated debt. The following revenue forecast was based on analysis of the Utility’s historic water use trends for and projected growth in the number of new connections detailed in Table 2 on page 4. The revenue forecast includes proposed increases in the potable water base rates show n below in Table 7. Table 7 Base Rates Potable Water Current Rates Proposed Rates Proposed Rates Proposed Rates Proposed Rates Proposed Rates Meter Sizes (inches) 2019-20 2020-21 2021-22 2022-23 2023-24 2024-25 5/8 $ 18.26 $ 19.26 $ 20.32 $ 21.39 $ 22.46 $ 23.53 3/4 $ 27.38 $ 28.89 $ 30.47 $ 32.07 $ 33.68 $ 35.28 1 $ 45.63 $ 48.14 $ 50.79 $ 53.45 $ 56.13 $ 58.79 1.5 $ 91.26 $ 96.28 $ 101.57 $ 106.91 $ 112.25 $ 117.58 2 $ 146.03 $ 154.06 $ 162.54 $ 171.07 $ 179.62 $ 188.15 3 $ 292.03 $ 308.09 $ 325.04 $ 342.10 $ 359.21 $ 376.27 4 $ 456.31 $ 481.41 $ 507.88 $ 534.55 $ 561.28 $ 587.94 6 $ 912.62 $ 962.81 $1,015.77 $1,069.10 $1,122.55 $1,175.87 8 $1,460.19 $1,540.50 $1,625.23 $1,710.55 $1,796.08 $1,881.39 The potable water base rates are projected to increase annually beginning in FY 2020-21. There are no recommended increases in potable water commodity rates while the Utility continues to focus the rate design on increase fixed cost recov ery. Fixed costs are costs the Utility incurs that do not fluctuate based on the volume of water sold. Examples of fixed costs include , but are not limited to, debt service, personnel, billing costs, fleet maintenance and regulatory costs. The current base rates generate a 53 percent fixed cost recovery. The remaining 47 percent of the fixed costs are recovered with revenue generated from the volume of water sold. Increasing the Utility’s ability to recover fixed costs with fixed - 9 - rate revenue or base rates will ensure revenue stability. Water rates dependent on the volume of water sales to pay for fixed costs can result in revenue volatility. The reclaimed base rates are proposed to remain unchanged throughout the projection period; however, the reclaimed commodity rate is proposed to decrease in years one and two as shown in Table 8. The proposed decrease will generate the revenue needed to operate the reclaimed system and will continue to provide an incentive to use reclaimed water. Table 8 Base Rates Reclaimed Water Current Rates Proposed Rates Proposed Rates Proposed Rates Proposed Rates Proposed Rates Meter Sizes (inches) 2020-21 2021-22 2022-23 2023-24 2024-25 5/8 $ 14.62 $ 14.62 $ 14.62 $ 14.62 $ 14.62 $ 14.62 3/4 $ 21.93 $ 21.93 $ 21.93 $ 21.93 $ 21.93 $ 21.93 1 $ 36.54 $ 36.54 $ 36.54 $ 36.54 $ 36.54 $ 36.54 1.5 $ 73.08 $ 73.08 $ 73.08 $ 73.08 $ 73.08 $ 73.08 2 $ 116.94 $ 116.94 $ 116.94 $ 116.94 $ 116.94 $ 116.94 3 $ 233.86 $ 233.86 $ 233.86 $ 233.86 $ 233.86 $ 233.86 4 $ 365.41 $ 365.41 $ 365.41 $ 365.41 $ 365.41 $ 365.41 6 $ 730.83 $ 730.83 $ 730.83 $ 730.83 $ 730.83 $ 730.83 8 $1,169.32 $1,169.32 $1,169.32 $1,169.32 $1,169.32 $1,169.32 Commodity Rates Reclaimed Water All Usage Reclaimed GPF $ 2.27 $ .47 $ 2.15 $ .37 $ 2.10 $ .35 $ 2.10 $ .35 $ 2.10 $ .30 $ 2.10 $ .30 The potable reclaimed GPF rates will remain unchanged while the reclaimed GPF rates will decrease over the projection period as depicted above in Table 8. The financi al analysis illustrates that expenses to be funded with GPF revenue are being met annually. Table 9 provides the water sales and GPF revenue forecast for the five year projection period using the proposed base rates in Table s 7 and 8. The Utility will be utilizing $754,995 in funds conditionally allocated to the Town by the Central Arizona Project. The funds are restricted and may only be used for infrastructure that provide s the Town with water resource reliability. The funds will be used to pay for NWRRDS project costs. Table 9 Revenue Source 2020-21 2021-22 2022-23 2023-24 2024-25 Potable Water $11,985,463 $12,459,653 $12,950,102 $13,424,305 $13,882,420 Reclaimed Water $ 1,367,466 $ 1,340,751 $ 1,340,751 $ 1,340,751 $ 1,340,751 Total Water Sales GPF Revenue NW Reliability Funds $13,352,929 $ 2,216,499 $ 354,995 $13,800,404 $ 2,219,882 $14,290,853 $ 2,234,665 $14,765,056 $ 2,214,872 $ 400,000 $15,223,171 $ 2,225,638 Other revenue generated by the Utility consists of charges for services. Charges for services include funds received as a result of an IGA with the Pima County Wastewater Reclamation Department to provide - 10 - monthly billing services on their behalf. The IGA w as renewed in June 2019 and included an increase in the amount to be paid to the Water Utility. The IGA is reviewed annually to e nsure cost recovery. Charges for services also include, but are not limited to, new service establishment fees, late fees, reco nnection fees, inspection fees and plan review fees. The total of all charges for services are projected to generate annual revenue ranging from $866,100 to $888,219. Projections for interest income for the Operating Fund are a cumulative total of $461,907 over the five year period. Projected interest income for the GPF monies are a cumulative total of $130,668 over the five year period. The interest rate assumed for the projection period is 1.5 percent annually . Revenue Requirements Table 10 is a summary of revenue requirements for the Operating Fund that were used in the financial analysis. These revenue requirements exclude expenses to be paid with GPF revenue. Table 10 Operating Fund 2020-21 2021-22 2022-23 2023-24 2024-25 Expenses Personnel $ 3,102,282 $ 3,161,551 $ 3,222,036 $ 3,283,761 $ 3,3 46,752 Operations/Maintenance 2,148,590 2,191,562 2,235,393 2,280,101 2,325,702 Power for Pumping NWRRDS Operating Costs 831,904 846,549 8 62,765 881,675 894,301 $1,566,000 CAP Wheeling Costs 1,828,632 1,898,273 1,954,506 2,041,009 817,857 CAP Recharge Costs 1,684,535 2,096,735 2,158,565 2,158,565 2,156,875 Reclaimed Personnel 341,254 347,774 354,427 361,217 368,146 Reclaimed Operations/Maint. 773,544 789,014 804,795 820,891 837,309 Reclaimed Power for Pumping 45,241 45,241 45,241 49,766 49,766 Subtotal Expenses $ 10,755,982 $ 11,376,699 $ 1 1,637,718 $ 11,876,985 $ 12,362,708 Debt Service 3,410,479 3,405,738 3,642,203 3,491,162 3,411,795 Capital Outlay 733,000 1,352,000 710,000 844,000 949,000 Total Expenses $ 14,899,461 $ 16,134,437 $ 15,989,921 $ 1 6,212,147 $ 16,723,503 Projected personnel costs include two percent annual merit increases, two percent annual increases in retirement contributions and half a percent annual increases in health care costs . Health care costs are reduced primarily because employees are paying a higher portion of the premiums . There are no new employees being added within the five year projection period. These projected increases are consistent with the General Fund’s financial planning. A portion of the personnel costs are allocated to the reclaimed water system based on a weighted average of 9.91 percent annually. The projected operations and maintenance (O&M) costs for both the potable and reclaimed water systems are based on the FY 2019-20 budget and include inflationary increases of two percent annually. The inflation factors are consistent with the General Fund’s financial planning. Beginning in FY 2020-21, a new cost allocation model was utilized to allocate various administrative and operational costs to the reclaimed water system. - 11 - In September 2019, a reclaimed cost allocation analysis was prepared by WestLand Resources, Inc. to aid in identifying costs associated with the reclaimed water system. The intent was to develop an intuitive methodology for allocating costs between the po table and reclaimed water systems that could be used in a cost allocation model. The model is used to allocate costs based on a variety of methodologies. These methodologies are based on a percentage of staffing costs; the volume of water delivered; miles of pipeline; the number of meters; number of facilities; and the value of facility assets net of depreciation. Budgeted O&M expenditures for FY 2019-20 were used to allocate reclaimed costs based on various methodologies used in the model. These allocations were then increased by a two percent inflation factor for each year in the pro forma. Power costs for the potable and reclaimed water systems were segregated from the traditional O&M costs because they are not subject t o annual inflationary increases. Tucson Electric Power has historically increased its pumping rates every four years. In 2017, the power rate increased by 10 percent. Another 10 percent rate increase has been projected in FY 2020-21. CAP wheeling costs are fees charged by Tucson Water to wheel Oro Valley’s CAP water through their recharge and recovery system. The IGA with Tucson Water was renegotiated in FY 2016 -17. Based on the new IGA, costs are assumed to incre ase annually by four percent. The total annual delivery of 2,510 acre feet is projected in FY 2020-21 through FY 2023-24. The operating costs for the delivery of CAP water through the NWRRDS project are estimated at $1,566,000 beginning in FY 2024-25. These costs are offset by a reduction in CAP wheeling charges from Tucson Water which are projected to decrease by approximately $1.2 million in FY 2024-25 when the NWRRDS becomes operational. CAP water recharge costs represent costs to take annual delivery of the Utility’s entire CAP water allotment of 10,305 acre feet. This water will be recharged and stored in various recharge facilities including the Tucson Water facilities. Costs to take delivery of and store the CAP water are based on the rate schedule adopted by the Central Arizona Proj ect. Projected capital outlay for existing system improvements in this analysis includes drilling and equipping one replacement well, re -lining of reservoirs, booster station modifications, water main replacements, vehicles and water meters. The schedule for five year capital improvements may be found in Appendix C. Debt service costs are relatively flat over the projection period . The existing debt service is declining as older debt is paid off while the proposed new debt increases the annual co sts netting a flat annual cost. Table 11 is a summary of revenue requirements paid with GPF revenue that were used in this financial analysis. Table 11 Groundwater Preservation Fees 2020-21 2021-22 2022-23 2023-24 2024-25 Expenses Capital Cost of $7,305 AF of CAP $ 482,130 $ 518,655 $ 496,740 $ 511,350 $ 511,350 Capital Cost for NWRRDS project 1,772,000 ---- ---- 544,000 ---- Debt Service 1,364,417 1,756,411 2,152,667 1,446,260 1,302,108 Total GPF Expenses $ 3,618,547 $ 2,275,066 $ 2,649,407 $ 2,501,610 $ 1,813,458 - 12 - Expenses paid with GPF funds include the existing customers’ portion of the CAP water capital costs associated with ownership of the CAP water allotment. These costs increase annually based on projected rates developed by the Central Arizona Project. During the projection period, the Utility will use approximately $755,000 of the Northwest Reliability Funds allocated to the utility by the Central Arizona Project. The Central Arizona Project conditionally allocated a total of $924,000 to the Utility with the requirement that the funds be used solely for a project that would result in water reliability. The NWRRDS project meets the intent of the Central Arizona Project requirements. Debt service f or the reclaimed water system is paid with GPF funds. Outstanding debt on the reclaimed water system will be paid in full by July 2029. This analysis includes an assumption that the Utility will borrow an additional $10 million in FY 2021-22. Water Resource System Development Impact Fee Fund The relationship between infrastructure historically funded with Potable Water System Developme nt Impact Fees (PWSDIF) and infrastructure funded with Alternative Water Resources Development Impact Fees (AWRDIF) are very similar. Both are potable wa ter resource driven and both are required to meet the demands of growth. As such, the infrastructure ne eds are being combined into one capital plan resulting in the creation of one new development impact fee to replace the two existing impact fees. Effective July 1, 2020, the AWRDIF and the PWSDIF will be combined into one fee known as the Water Resource and System Development Impact Fee (WRSDIF). Revenues for the WRSDIF Fund will be from impact fees collected at the time water meters are purchased and from interest income. Expenses include capital repayment obligation charges for the Town’s CAP allotment, CAP infrastructure and associated debt incurred to deliver CAP water to the To wn to meet the demands of future growth. In addition, wells, pump stations, reservoirs and mains for the potable water system required to meet the demands of future growth will also be financed with these impact fees . The WRSDIF Fund is projected to have a cash balance of $13,046,938 at the beginning of FY 2020-21 and is projected to have $1,527,507 at the end of FY 2024-25. The revenue sources for the WRSDIF Fund are from impact fees collected when a water meter is purchased and from interest earned on cash balances. Interest income is projected to be a total of $463,811 for this analysis. The interest rate assumed for the projection period is 1.5%. The revenue forecast was based on new service units related to the number of ne w connections. A service unit is the equivalent of one single family residential (SFR) 5/8-inch water meter. The SFR service units are equal to the number of new connections. O ther service units are forecast based on pending development projects within the Town. Other service units include commercial, multi -family and irrigation uses with the number of service units depending on the estimated meter sizes for each project. In addition, the service units are forecasted based on historic trends and pending development projects within the Town. The impact fee for a SFR 5/8-inch water meter or one service unit is projected to be $6,387. It is assumed that the Development Impact Fee s will remain constant throughout the five year projection period. Table 12 provides the projected growth in service units and the revenue associated with that growth. These growth projections are consistent with the Town’s financial planning. - 13 - Table 12 Growth / Revenue 2020-21 2021-22 2022-23 2023-24 2024-25 SFR Service Units 325 350 330 240 225 Other Service Units 61 10 10 10 10 Projected Revenue $2,504,337 $2,378,746 $2,251,006 $1,676,176 $1,580,371 WRSDIF funds may be used for capital expe nses related to CAP water. Capital expenses during this projection period total $20,759,000 and include the capital costs assessed by the Central Arizona Project for 3,000 acre feet of our CAP water allotment and design and construction of the NWRRDS project that will deliver additional CAP water to the Town. These projects are identified in the five year capital improvement project sche dule shown in Appendix C. All projects will be cash funded. The WRSDIF fund may also be used for capital expenses related to potable water system improvements including wells, booster stations, reservoirs and water mains required to meet the demands of ne w growth. Capital projects are identified in the five year capital improvement plan shown in Appendix C. Debt service for previously constructed growth -related facilities is also paid from impact fee revenue. The annual capital expenses and debt service for the WRSDIF Fund are listed in Table 13 below. No new debt is proposed during this projection period. All expenses will be paid for with impact fees collected. Projects will be constructed commensurate with the timing of new development demands. Table 13 Expenses 2020-21 2021-22 2022-23 2023-24 2024-25 CAP Capital Charges $ 198,000 $ 213,000 $ 204,000 $ 210,000 $ 210,000 Capital Costs NWRRDS $ 2,658,000 $ 5,004,000 $ 7,092,000 $ 3,720,000 Capital Costs Potable $ 750,000 $ 500,000 Debt Service $ 325,099 $ 323,180 $ 322,578 $ 104,707 $ 60,288 Total Expenses $ 3,931,099 $ 5,540,180 $ 7,618,578 $ 4,034,707 $ 770,288 - 14 - Preferred Financial Scenario Prior to developing forecasts, financial considerations were evaluated relating to projected operating costs, capital expenses, the Utility’s existing cash reserves, existing outstanding debt and debt service payments. When developing a Preferred Financial Scenario, the goals of the Utility are to ensure that all existing rate setting policies are met, cash reserves are utilized to minimize future debt and proposed rate increases do not result in rate shock. One of the rate setting policies includ ed in the Mayor and Council Water Policies is for rate structures to be designed to encourage water conservation. The development of water conservation pricing, also known as a tiered commodity rate, began in 1999 when a second tier was added to the unif orm or flat commodity rate. That structure evolved into four tiers by 2007. Over the last 12 years, the Utility has increased the tiered commodity rates to a level that encourages water conservation. Having achieved rates that encourage water conservation, the Utility is continuing to place emphasis on the rate design that will increase fixed cost recovery to ensure revenue stability. Figure 3 illustrates an overall decline in potable water deliveries even though the Utility experienced growth in the customer base. There was a 14 percent de crease in potable water deliveries in FY 2018-19 compared to FY 2017-18 resulting from consumer conservation and improved rainfall compared to previous years. Figure 3 To stabilize revenue when water deliveries decline or fluctuate, it is necessary to increase fixed charge revenue which is revenue received from base rates. Fixed costs are costs incurred by the Utility that do not fluctuate based on the volume of water de livered. These costs include, but are not limited to, billing related costs, regulatory expenses, personnel, debt service, insurance, fleet maintenance and administrative services paid to the Town’s General Fund. These costs ar e all incurred every year regardless of the volume of water delivered. The Utility’s fixed costs projected for FY 2020-21 total $10.6 million. Ideally, these costs would be paid by revenues received from the base rate revenue. Base rates charged to custome rs are the same every month regardless of the volume of water delivered. The existing base rates generate just under $5.6 million or 53 percent of the fixed costs. As a result, the Utility is - 15 - dependent on water sales to generate the revenue needed to recov er the remaining fixed costs as well as the variable costs. Variable costs are those costs incurred by the Utility that fluctuate based on the volume of water delivered. If the deliveries decrease, the costs decrease and likewise, if deliveries increase, the costs increase. Variable costs include, but are not limited to, power for pumping, chemicals for disinfection, delivery of reclaimed water, CAP water wheeling costs and maintenance on plant facilities. The Utility’s variable costs projected for FY 2020-21 total $3.6 million. These costs are paid by revenues received from the variable charge revenue also known as commodity rate revenue. Commodity rates are charged on the volume of water delivered which varies from customer to customer and from month to m onth. The existi ng commodity rates generate $7.5 million. Funds in excess of the variable costs are used to help pay for fixed costs. The Utility’s customer base is not diverse enough to rely so heavily on revenue from commodity rates. To increase revenue stability, the Utility will need to reduce its dependence on water sales for fixed cost recovery. This can be accomplished by increasi ng the monthly base rates. Declining water consumption has impacted water providers on a regional level. Table 16 illustrates how regional water providers have increased their base rates to compensate for the declines in water consumption as compared to the historical and the 2020 proposed rates for Oro Valley. Table 16 Year Oro Valley Metro Marana Tucson 2020 19.26 30.45 15.96 16.33 2019 18.26 29.50 19.09 16.33 2018 16.45 29.50 19.09 15.00 2017 14.62 29.50 19.09 14.39 2016 14.19 29.50 18.18 12.67 2015 14.19 27.00 17.31 11.90 2014 14.19 22.00 16.18 11.00 2013 14.19 20.00 15.12 9.68 2012 14.19 17.50 15.12 8.27 2011 14.19 17.50 15.12 7.53 2010 14.19 15.03 15.12 5.87 The Water Utility developed a Preferred Financial Scenario that supports key financial and policy goals. The scenario generates the revenue needed to maintain an adequate cash balance in all funds over the projected five year period thus meeting the cash reserve requirements in each year . Additionally, the scenario balances the use of both available cash and proposed new debt to finance capital projects. Under this scenario, the fixed cost recovery i s projected to increase from 53 pe rcent to 56 percent by the end of FY 2020-21. If all proposed rate increases are implemented as shown in the Preferred Financial Scenario, fixed cost re covery will be approximately 63 percent by the end of FY 2024-25. The financial projections for the Ope rating Fund and WRSDIF Fund were combined to evaluate the overall debt service coverage at the end of each fiscal year. Analysis indicates that, under the Preferred Financial Scenario, the Utility will meet the debt service coverage requirement established by the Mayor and Council Water Polices and bond covenants for all five years . The pro forma for the Preferred Financial Scenario may be found in Appendix A. The assumptions used to develop the financial projections in the Preferred Financial Scenario may be found in Appendix D. - 16 - Recommendation on Rates, Fees & Charges After reviewing the analysis of the two funds and their respective revenue requirements contained in the Preferred Financial Scenario, the Water Utility Commission and Utility staff recommend the following for FY 2020-21: ➢ Increase the potable water monthly base rates ➢ Decrease the reclaimed commodity rate ➢ Decrease the reclaimed groundwater preservation fee With regard to the recommendation to increase the water rates, table 17 shows the proposed potable water base rates for each meter size. Approximately 88 percent of the Utility’s customers use a 5/8-inch water meter and will see an increase of $1.00 per month regardless of the volume of water they use. Table 17 Meter Size Current Proposed Monthly (in inches) Base Rate Base Rate Increase 5/8 $ 18.26 $ 19.26 $ 1.00 3/4 $ 27.38 $ 28.89 $ 1.51 1 $ 45.63 $ 48.14 $ 2.51 1.5 $ 91.26 $ 96.28 $ 5.02 2 $ 146.03 $ 154.06 $ 8.03 3 $ 292.03 $ 308.09 $ 16.06 4 $ 456.31 $ 481.41 $ 25.10 6 $ 912.62 $ 962.81 $ 50.19 8 $1,460.19 $1,540.50 $ 80.31 Monthly charge. There is no recommended increase in the potable water commodity rates. In the past, emphasis was placed on developing commodity rates that would promote water conservation. The current tiered rate structure for the commodity rates encourages water conserva tion as intended. Because of the decline in water consumption, the continued emphasis of the rate design will be to increase the Utility’s fixed cost recovery to ensure revenue stability. This will be accomplished with increases to the monthly base rates. The reclaimed base rates will remain unchanged while the commodity rate is proposed to decrease twice over the projection period. It is proposed to decrease by $0.12 in FY 2020-21 with another decrease of $0.05 in FY 2021-22 as shown below in Table 18. The potable GPF rate will remain unchanged while the reclaimed GPF rate is proposed to decrease three times over the five year projection period as shown in Table 18. The financial analysis illustrates that the expenses to be funded with GPF revenue will continue to be met with the proposed GPF rates. Table 18 Reclaimed Water Rates Cost per 1,000 Gallons Current Proposed Proposed Proposed Proposed Proposed 2019-20 2020-21 2021-22 2022-23 2023-24 2024-25 Commodity GPF $ 2.27 $ .47 $ 2.15 $ .37 $ 2.10 $ .35 $ 2.10 $ .35 $ 2.10 $ .30 $ 2.10 $ .30 - 17 - Table 19 illustrates Oro Valley’s current and proposed potable water rates for a customer with a 5/8-inch water meter. Water rates of other water providers in the region are included for comparison of the base rates and the cost per 1,000 gallons. Table 19 Water Provider Monthly Base Rate Tier 1 Tier 2 Tier 3 Tier 4 Tier 5 GPF or Water Resource Fee Oro Valley Current $18.26 $2.34 $3.25 $4.53 $6.29 --- $0.90 Oro Valley Proposed $19.26 $2.34 $3.25 $4.53 $6.29 --- $0.9 0 Metro Water $30.45 $2.75 $4.6 5 $6.2 0 $7.25 --- $1.55 Marana Water $15.96 $3.15 $4.41 $5.67 $7.09 $10.23 $1.13 Tucson Water $16.33 $2.77 $5.12 $11.24 $17.33 --- $1.07 Tier rates and GPF are the c ost per 1,000 gallons. Direct comparison of specific base rates and commodity rates is not ideal for cost comparisons because of the varying rate structures of each utility. A more effective comparison is to calculate the cost for specific consumption levels for one month. Table 20 provides a calculation of a monthly bill amount for a single family residential customer with a 5/8-inch meter for the water utilities surrounding the Oro Valley Water Utility service area. The following bill comparisons in clude water rates and water resource fees similar to the Utility’s GPF. Table 20 Water Provider Cost for 7 ,000 Gallons Cost for 15,000 Gallons Cost for 25,000 Gallons Cost for 40,000 Gallons Oro Valley Current $40.94 $ 74.14 $127.16 $222.69 Oro Valley Proposed $41.94 $ 75.14 $128.16 $223.69 Metro Water $45.65 $ 85.75 $153.25 $271.00 Marana Water $45.92 $ 86.46 $148.16 $264.36 Tucson Water $47.32 $119.80 $2 58.19 $533.61 Table 21 illustrates the financial impact to customers with varying meter sizes based on monthly water use for specific customer classifications. These charges are for Oro Valley Water Utility customers and include the base rates, commodity rates and groundwater p reservation fees. Table 21 Classification Meter Size (inches) Water Use (gallons) Current Bill Proposed Bill Increase SF Residential 5/8 7,000 $ 40.94 $ 41.94 $ 1.00 SF Residential 5/8 15,000 $ 74.14 $ 75.14 $ 1.00 Irrigation 5/8 25,000 $127.16 $128 .16 $ 1.00 Commercial 5/8 40,000 $147.86 $148 .86 $ 1.00 Irrigation 1 27,000 $142.21 $144.72 $ 2.51 Commercial 2 57,000 $330.71 $338.74 $ 8.03 MF Residential 4 700,000 $ 2,724.31 $ 2,749.41 $ 25.10 Turf – Potable 4 4,000,000 $13,416.31 $13,441.41 $ 25.10 Commercial 6 6,000,000 $20,352.62 $20,402.81 $ 50.19 - 18 - Proposed rates for all Oro Valley Water Utility meter sizes may be found in Appendix B. Tables that calculate monthly bills under the proposed rates may also be found in Appendix B. Monthly bill amounts are calculated in 1,000 gallon increments for the 5/8-inch meters and a variety of increments for larger me ter sizes. Conclusion Each year the water rates analysis is prepared based on the most up -to-date information available. Operational needs and capital improvement requirements change annually and are carefully evaluated when they are included in the analysis. It is important th at the Utility perform a water rates analysis every year to plan for changes in debt service, operating or capital costs. This Water Rates Analysis Report is presented in support of the proposed water rates contained in the Preferred Financial Scenario. The Oro Valley Water Utility Commission and the Water Utility staff respectfully recommend approval of the water rates detailed in the Preferred Financial Scenario. The Oro Valley Water Utility staff and Commission are dedicated to serving the Town of Oro Valley and the customers of its water utility and extend their appreciation to the Mayor and Council for consideration of the proposed water rates. APPENDIX A Preferred Financial Scenario Pro Forma A-1 Operating Fund A-2 Groundwater Preservation Fee A-3 Water Resources and System Development Impact Fee Fund A-4 Summary of All Funds APPENDIX B Rate Schedules & Tables for Bill Comparisons B-1 Proposed Water Rate Schedule B-2 Tables for Bill Comparisons by Meter Size - Potable B-8 Tables for Bill Comparisons by Meter Size – Reclaimed METER SIZE (in inches) 5/8 $19.26 $14.62 3/4 $28.89 $21.93 1 $48.14 $36.54 1.5 $96.28 $73.08 2 $154.06 $116.94 3 $308.09 $233.86 4 $481.41 $365.41 6 $962.81 $730.83 8 $1,540.50 $1,169.32 METER COMMODITY COMMODITY COMMODITY COMMODITY SIZE TIER 1 TIER 2 TIER 3 TIER 4 $2.34 $3.25 $4.53 $6.29 COST PER 1000 GALS.COST PER 1000 GALS.COST PER 1000 GALS.COST PER 1000 GALS. 5/8 0 - 7,000 7,001 - 16,000 16,001 - 32,000 OVER 32,000 3/4 0 - 10,000 10,001 - 24,000 24,001 - 48,000 OVER 48,000 1 0 - 17,000 17,001 - 40,000 40,001 - 80,000 OVER 80,000 1.5 0 - 35,000 35,001 - 80,000 80,001 - 160,000 OVER 160,000 2 0 - 56,000 56,001 - 128,000 128,001 - 256,000 OVER 256,000 3 0 - 112,000 112,001 - 256,000 256,001 - 512,000 OVER 512,000 4 0 - 175,000 175,001 - 400,000 400,001 - 800,000 OVER 800,000 6 0 - 860,000 860,001 - 2,000,000 2,000,001 - 3,500,000 OVER 3,500,000 8 0 - 860,000 860,001 - 2,000,000 2,000,001 - 3,500,000 OVER 3,500,000 COMMODITY RATES - POTABLE WATER RESIDENTIAL & IRRIGATION CLASSIFICATIONS COMMERCIAL CLASSIFICATION ORO VALLEY WATER UTILITY PROPOSED WATER RATES POTABLE BASE RATE RECLAIMED BASE RATE B-1 GROUNDWATER PRESERVATION FEES COMMODITY RATES - RECLAIMED WATER ALL RECLAIMED WATER USES & CLASSIFICATIONS $2.34 per 1000 gallons for all water use $ 2.15 per 1000 gallons for all water use POTABLE WATER $ 0.90 per 1000 gallons for all water use RECLAIMED WATER $ 0.37 per 1000 gallons for all water use MASTER-METERED MULTIFAMILY CLASSIFICATION $2.34 per 1000 gallons for all water use CONSTRUCTION WATER $7.29 per 1000 gallons for all water use TABLE FOR MONTHLY CHARGES & PERCENT INCREASE COMPARISON RESIDENTIAL & IRRIGATION CUSTOMERS WITH A 5/8-INCH METER Tier Levels GALLONS CURRENT CURRENT CURRENT PROPOSED PROPOSED PROPOSED TOTAL PERCENT USED WATER GPF MONTHLY WATER GPF MONTHLY MONTHLY INCREASED BILL BILL INCREASE 0 18.26 - 18.26 19.26 - 19.26 1.00 5.5% 1,000 20.60 0.90 21.50 21.60 0.90 22.50 1.00 4.7% 2,000 22.94 1.80 24.74 23.94 1.80 25.74 1.00 4.0% 3,000 25.28 2.70 27.98 26.28 2.70 28.98 1.00 3.6% 4,000 27.62 3.60 31.22 28.62 3.60 32.22 1.00 3.2% 5,000 29.96 4.50 34.46 30.96 4.50 35.46 1.00 2.9% 6,000 32.30 5.40 37.70 33.30 5.40 38.70 1.00 2.7% 7,000 34.64 6.30 40.94 35.64 6.30 41.94 1.00 2.4% 8,000 37.89 7.20 45.09 38.89 7.20 46.09 1.00 2.2% 9,000 41.14 8.10 49.24 42.14 8.10 50.24 1.00 2.0% 10,000 44.39 9.00 53.39 45.39 9.00 54.39 1.00 1.9% 11,000 47.64 9.90 57.54 48.64 9.90 58.54 1.00 1.7% 12,000 50.89 10.80 61.69 51.89 10.80 62.69 1.00 1.6% 13,000 54.14 11.70 65.84 55.14 11.70 66.84 1.00 1.5% 14,000 57.39 12.60 69.99 58.39 12.60 70.99 1.00 1.4% 15,000 60.64 13.50 74.14 61.64 13.50 75.14 1.00 1.3% 16,000 63.89 14.40 78.29 64.89 14.40 79.29 1.00 1.3% 17,000 68.42 15.30 83.72 69.42 15.30 84.72 1.00 1.2% 18,000 72.95 16.20 89.15 73.95 16.20 90.15 1.00 1.1% 19,000 77.48 17.10 94.58 78.48 17.10 95.58 1.00 1.1% 20,000 82.01 18.00 100.01 83.01 18.00 101.01 1.00 1.0% 21,000 86.54 18.90 105.44 87.54 18.90 106.44 1.00 0.9% 22,000 91.07 19.80 110.87 92.07 19.80 111.87 1.00 0.9% 23,000 95.60 20.70 116.30 96.60 20.70 117.30 1.00 0.9% 24,000 100.13 21.60 121.73 101.13 21.60 122.73 1.00 0.8% 25,000 104.66 22.50 127.16 105.66 22.50 128.16 1.00 0.8% 26,000 109.19 23.40 132.59 110.19 23.40 133.59 1.00 0.8% 27,000 113.72 24.30 138.02 114.72 24.30 139.02 1.00 0.7% 28,000 118.25 25.20 143.45 119.25 25.20 144.45 1.00 0.7% 29,000 122.78 26.10 148.88 123.78 26.10 149.88 1.00 0.7% 30,000 127.31 27.00 154.31 128.31 27.00 155.31 1.00 0.6% 31,000 131.84 27.90 159.74 132.84 27.90 160.74 1.00 0.6% 32,000 136.37 28.80 165.17 137.37 28.80 166.17 1.00 0.6% 33,000 142.66 29.70 172.36 143.66 29.70 173.36 1.00 0.6% 34,000 148.95 30.60 179.55 149.95 30.60 180.55 1.00 0.6% 35,000 155.24 31.50 186.74 156.24 31.50 187.74 1.00 0.5% 36,000 161.53 32.40 193.93 162.53 32.40 194.93 1.00 0.5% 37,000 167.82 33.30 201.12 168.82 33.30 202.12 1.00 0.5% 38,000 174.11 34.20 208.31 175.11 34.20 209.31 1.00 0.5% 39,000 180.40 35.10 215.50 181.40 35.10 216.50 1.00 0.5% 40,000 186.69 36.00 222.69 187.69 36.00 223.69 1.00 0.4% B-2 APPENDIX C 5-Year Capital Improvement Schedules C-1 Operating Fund C-2 Groundwater Preservation Fee C-3 Water Resource and System Development Impac t Fee Fund APPENDIX D Assumptions for Preferred Financial Scenario D-1 Operating Fund D-6 Water Resource and System Development Impact Fee Fund PREFERRED FINANCIAL SCENARIO ASSUMPTIONS FOR OPERATING FUND Growth SFR growth rates for FY 20 20-2 1 through FY 202 4-25 were based on worksheets provided by D. Laws on 2/12/19 and were updated with information from the Finance Department to be consistent with the Town financial forecasting. Other growth rates include commercial, irrigation and multi -family connections that were projected by Water Utility Staff. Connections FY 20-21 FY 21-22 FY 22-23 FY 23-24 FY 24-25 SFR 325 350 330 240 225 Other 8 4 4 4 4 Current Water Rate Structure The following base rates are for both the potable and reclaimed water meters: Meter Sizes (in inches) Potable Reclaimed 5/8 x ¾ $ 18.26 $ 14.62 3/4 x ¾ $ 27.38 $ 21.93 1 $ 45.63 $ 36.54 1.5 $ 91.26 $ 73.08 2 $ 146.03 $ 116.94 3 $ 292.03 $ 233.86 4 $ 456.31 $ 365.41 6 $ 912.62 $ 730.83 8 $ 1,460.19 $ 1,169.32 The following commodity rates are the cost per 1,000 gallons for potable and reclaimed water use: Classifications Tier 1 Tier 2 Tier 3 Tier 4 Single Family Residential $ 2.34 $ 3.25 $ 4.53 $ 6.29 Irrigation $ 2.34 $ 3.25 $ 4.53 $ 6.29 Multi -family Residential $ 2.34 --- --- --- Commercial $ 2.34 --- --- --- Construction Water $ 7.29 --- --- --- Reclaimed Water $ 2.27 --- --- --- GPF – Potable $ 0.90 --- --- --- GPF – Reclaimed $ 0.47 --- --- --- Proposed Base Rates for FY 2020 -21 The following are the proposed base rates for the potable and reclaimed water meters: Meter Sizes (in inches) Potable Reclaimed 5/8 x 3/4 $ 19.26 $ 14.62 3/4 x 3/4 $ 28.89 $ 21.93 1 $ 48.14 $ 36.54 1.5 $ 96.28 $ 73.08 2 $ 154.06 $ 116.94 3 $ 308.09 $ 233.86 4 $ 481.41 $ 365.41 6 $ 962.81 $ 730.83 8 $ 1,540.50 $ 1,169.32 D -1 PREFERRED FINANCIAL SCENARIO ASSUMPTIONS FOR OPERATING FUND (continued) Proposed Commodity Rates for FY 2020 -21 The following proposed commodity rates are the cost per 1,000 gallons for potable and reclaimed water use: Classifications Tier 1 Tier 2 Tier 3 Tier 4 Single Family Residential $ 2.34 $ 3.25 $ 4.53 $ 6.29 Irrigation $ 2.34 $ 3.25 $ 4.53 $ 6.29 Multi -family Residential $ 2.34 --- --- --- Commercial $ 2.34 --- --- --- Construction Water $ 7.29 --- --- --- Reclaimed Water $ 2.15 --- --- --- GPF – Potable $ 0.90 --- --- --- GPF – Reclaimed $ 0.37 --- --- --- There are no proposed changes to the usage allowed in each tier of the SF Residential and Irrigation classifications. Proposed Potable Water Rate Increases The “overall impact” and “monthly increase” are representative of a customer with a 5/8 -inch water meter using 7,000 gal lons of water per month. Base Overall Monthly Rate Tier 1 Tier 2 Tier 3 Tier 4 GPF Impact I ncrease FY 20-21 5.50% 0.0% 0.0% 0.0% 0.0% 0.0% 2.4% $ 1.00 FY 21-22 5.50% 0.0% 0.0% 0.0% 0.0% 0.0% 2.5% $ 1.06 FY 22-23 5.25% 0.0% 0.0% 0.0% 0.0% 0.0% 2.5% $ 1.07 FY 23-24 5.00% 0.0% 0.0% 0.0% 0.0% 0.0% 2.4 % $ 1.07 FY 24-25 4.75% 0.0% 0.0% 0.0% 0.0% 0.0% 2.4% $ 1.07 Proposed Reclaimed Water Rate Impact The reclaimed base rate remains the same for the five year period however, the reclaimed commodity rate will be reduced FY 20 -21. The “overal l impact” and “monthly increase” are representative of a turf customer with a 6-inch meter using 10,000,000 gallons of water per month. Base Commodity Overall Monthly Rate Rate GPF Impact Decrease FY 20-21 0.0% -5.5% $ 0.37 - 7.8% -$ 2,200.00 FY 21-22 0.0% -2.0% $ 0.35 -2.7% -$ 700.00 FY 22-23 0.0% 0.0% $ 0.35 0.0% $ 0.00 FY 23-24 0.0% 0.0% $ 0.30 -2.0% -$ 500.00 FY 24-25 0.0% 0.0% $.0.30 0.0% $ 0.00 Groundwater Preservation Fee Rates (cost per 1,000 gallons) The tables above indicates the proposed decrease in the reclaimed GPF throughout the five-year projection period. There are no pr oposed changes to the potable water GPF throughout the projection period. Water Use Trends The average monthly water use for a residential custo mer with a 5/8 -inch water meter in 2018 -19 was 6 ,900 gallons per month due to extreme wet weather conditions. H owever, this analysis assumes 7 ,0 00 gallons per month. Projected reclaimed deliveries were reduced annually due to the closure of the Vistoso Golf Course. D-2 PREFERRED FINANCIAL SCENARIO ASSUMPTIONS FOR OPERATING FUND (continued) Other Revenue Other revenue is based on FY 201 9-20 proposed budget. Revenue from billing sewer fees for Pima County will increase annually as a result of growth and minor rate increases. The remaining o ther revenue is not projected to increase although misc. cha rges fluctuate annually and includes l ate fees, reconnect fees, new service es tablishment fees, storm water billing and meter income. Beginning Cash Balance Cash balance is estimated based on budgeted revenue, expenditures and known cost over runs for FY 2019 -20. Began with actual cash balance at 6/30/1 9 as shown on the Balance Sheet report dated 10-17-19 added budgeted revenues, subtracted budgeted and known unbudgeted expenditures. Interest Income The interest rates vary for the five years in the analysis period. Interest rates are projected in at 1.5% across the board. These projections were estimated by Water Utility staff . Personnel Costs No new employees were added during the projec tion period. The following increases were provided by the Finance Department on 8/08/1 9 and are consistent with Town financial forecasting: the annual merit increase is projected to be 2% annually and health care costs are projected to increase by 0.5% annually. It i s projected that the state pension is projected to increase 2% annually over the five-year projection period. O&M Costs - Potable Based on the Utility’s proposed budget for FY 201 9 -20 plus 2% inflation. Costs increase annually by 2% inflation except power costs. Projected 10% increase in power costs for a potential Tucson Electric rate increase in FY 202 0 -21 and again in FY 2023 -24. O&M Costs – NWRRDS It is assumed that the NWRRDS project will begin operations in FY 2024 -25 with estimated operating costs of $1,566,000. Groundwater Extinguishment Credits The Utility does not project Groundwater Extinguishment credits to be purchased during this projection period. O&M Costs - Reclaimed The overall reduction in water use created an effluent shortage. As such, costs to purchase additional reclaimed water from Tucson Water has been included annually. Remaining O&M costs are based on the Utility’s proposed budget for FY 2019 -20 plus 2% infla tion. Costs increase annually by 2% inflation except power costs. Projected 10% increase in power costs for a potential Tucson Ele ctric rate increase in FY 2020 -21 and again in FY 2023 -24. The O&M costs include allocations for personnel, administrative cos ts, fleet service costs and trustee services. Cost allocations were made using a variety of methodologies supporting the calculations. Personnel costs were allocated using a weighted average of 9.91%. Refer to the reclaimed cost allocation worksheet. Inflation Rates The Town’s Finance Department provided rate of 2% annually for inflation rates on 8/08/19. For purposes of this report, the inflation rate will be 2% annually for the 5 -year period. Reclaimed Water Wheeling Costs Pursuant to the existing I GA, the reclaimed water is delivered on a non -interruptible basis at an interruptible rate. Inflationary increases of 2% are included annually. D-3 PREFERRED FINANCIAL SCENARIO ASSUMPTIONS FOR OPERATING FUND (continued) CAP Wheeling Costs Costs include the fees charged by Tucson Water to wheel the CAP water through their recharge and recovery system. Tucson Water fees are in accordance with an IGA. The increases will be 4% each year. It is also assumed that the Utility will wheel 2,510 AF annually for the first 4 years. In FY 2024 -25 the NWRRDS system will be in operation; therefore, the amount of CAP wheeling will be reduced to 960 acre feet. CAP Recharge Costs Costs are ba sed on the rate schedule adopted by CAP 6/06/19. The figures represent the annual cost to deliver the Utility’s entire allotment of CAP water (10,305 AF) for recharge. Capital Improvements – Operating Fund The following table identifies the amount of the capital projects for the existing potable water system for each fiscal year and the projected financing as identified in the revised five -year CIP dated 10/30/19. Fiscal Total Project Financing Year Capital Costs Cash Reserves Existing Debt New Debt 2020-21 $ 2,003,000 $ 733,000 $ 1,270,000 ------- 2021-22 $ 1,922,000 $ 1,352,000 $ 570,000 ------- 2022-23 $ 1,980,000 $ 710,000 $ 1.270,000 2023-24 $ 2,364,000 $ 844,000 $ 1,520,000 2024-25 $ 1,769,000 $ 949,000 $ 820,000__ $10,038,000 $ 4,588,000 $ 1,840,000 $ 3,610,000 Capital Improvements – Groundwater Preservation Fee The following table identifies the capital projects for the existing customers’ portion of the NWRRDS CAP water delivery system and the projected financing as identified in the revised CIP dated 10/30/19. The projects will be both cash funded with revenue from groundwater preservation fees. Fiscal Total Project Financing Year Capital Costs Cash Reserves New Debt 2020-21 $ 1,772,000 $ 1,772,000 ------ 2021-22 $ 3,336,000 ------ $ 3,336,000 2022-23 $ 4,728,000 ------ $ 4,728,000 2023-24 $ 2,480,000 $ 544,000 $ 1,936,000 2024-25 ------ ------ ----- $ 12,316,000 $ 2,316,000 $10,000,000 Debt Service The following table identifies the existing and proposed debt service included in this pro forma: Bonds Type Description Amortization Schedule By 2008 Sr. Lien Reclaimed Ph. 2 WIFA 2009 Sr. Lien Existing System CIP WIFA 2012 Sr. Lien Refunding (Reclaim Ph. 1) Stone & Youngberg 2014 Sr. Lien AMI Project WIFA 2015 Excise Tax Refunding (2005) Stifel & Nicolaus & Co. 2017 Excise Tax Refunding (2007) Stifel & Nicolaus & Co. 2018 Excise Tax Existing System CIP Stifel & Nicolaus & Co. 2021 Sr. Lien NWRRDS Utility Staff 2022 Sr. Lien Existing System CIP Utility Staff D-4 PREFERRED FINANCIAL SCENARIO ASSUMPTIONS FOR OPERATING FUND (continued) Minimum Debt Service Coverage Requirement 1.30 debt service coverage ratio for 2012 Sr. Lien Bonds & all WIFA Loans 1.00 debt service coverage ratio for all Excise Tax Pledged Bonds Cash Reserve Requirement Mayor and Town Council Water Policies require the Utility to maintain cash reserves in the Operating Fund of not less than 20% of the combined total of the annual budgeted amounts for personnel, O&M and debt service. This specifically excludes costs for capital projects, depreciation, amortization and contingency. D-5 PREFERRED FINANCIAL SCENARIO ASSUMPTIONS FOR WATER RESOURCE AND SYSTEM DEVELOPMENT IMPACT FEE FUND Growth SFR growth rates for FY 20 20-2 1 through FY 202 4-25 were based on worksheets provided by D. Laws on 2/12/19 and were updated with information from the Finance Department to be consistent with the Town financial forecasting. Other growth rates include commercial, irrigation and multi -family connections that were projected by Water Utility FY 20-21 FY 21-22 FY 22-23 FY 23-24 FY 24-25 SFR SU’s 325 350 330 240 225 Other SU’s 61 10 10 10 10 Impact Fees The mandatory 5 -year Impact Fee Analysis was in process during this rates analysis period. The new impact fees are projected to be $6,387 per service unit. These projected fees are included in this rates analysis beginning in FY 2020 -21 and are used throughout the analysis. It is assumed that the new fees will become effective July 1, 2020. Beginning Cash Balance Cash balance is estimated based on budgeted revenue and expenditures for FY 2019 -20. Began with actual cash balance on 6/30/19 as shown on the Balance Sheet report dated 9 -22-19, added budgeted revenue and subtracted budgeted expenditures. Interest Income The interest rates vary for the five years in the analysis period. Interest rates are projected in at 1.5% across the board. These projections were estimated by Water Utility staff . Debt Service There is no new debt in this fund during the projection per iod. The following table identifies the existing debt service included in this pro forma: Bonds Type Description Amortization Schedule By 2012 Sr. Lien Refunding (2003) Stone & Youngberg Debt Service Coverage 1.30 debt service coverage ratio for 2012 Sr. Lien Bonds CAP Capital Costs Based on 3,000 AF using the rate schedule adopted by CAP 6/06/19. Capital Improvements The following table identifies the amount of the NWRRDS CAP water capital projects for ea ch fiscal year and the related financing as identified in the revised five year CIP dated 10/30/19: Fiscal Total Project Financing Year Capital Costs Cash Reserves New Debt 2020-21 $ 2,658,000 $ 2,658,000 ------ 2021-22 $ 5,004,000 $ 5,004,000 ------ 2022-23 $ 7,092,000 $ 7,092,000 ------ 2023-24 $ 3,720,000 $ 3,720,000 ------ 2024-25 ------ ------ ------ $18,474,000 $18,474,000 ------ D -6 PREFERRED FINANCIAL SCENARIO ASSUMPTIONS FOR WATER RESOURCE AND SYSTEM DEVELOPMENT IMPACT FEE FUND (continued) The following table identifies the amount of the miscellaneous growth related capital projects for each fiscal year and the related financing as identified in the revised five year CIP dated 10/30/19: Fiscal Total Project Financing Year Capital Costs Cash Reserves New Debt 2020-21 $ 750,000 $ 750,000 ------ 2021-22 ------ ------ ------ 2022-23 ------ ------ ------ 2023-24 ------ ------ ------ 2024-25 $ 500,000 $ 500,000 ------ $ 1,250,000 $ 1,250,000 ------ D -7 APPENDIX E Proposed Development Impact Fee Schedule E-1 Water Resource and System Development Impact Fees Residential Meter Size Capacity Ratio Demand Adjustment Factor Proposed Fee 5/8 "1.00 1.00 6,387$ 3/4"1.50 1.00 9,569$ 1 "2.50 1.00 15,934$ 1.5" standard 5.00 1.00 31,846$ 2" compound 8.00 1.00 50,941$ Multi-Family (per unit)N/A 0.32 2,044$ Nonresidential Meter Size Capacity Ratio Demand Adjustment Factor Proposed Fee 5/8 "1.00 1.11 7,087$ 3/4"1.50 1.11 10,619$ 1 "2.50 1.11 17,684$ 1.5" standard 5.00 1.11 35,347$ 2" compound 8.00 1.11 56,542$ 3" compound 16.00 1.11 113,062$ 4" compound 25.00 1.11 176,647$ 6" compound 50.00 1.11 353,273$ 8" compound 80.00 1.11 565,224$ Irrigation Meter Size Capacity Ratio Demand Adjustment Factor Proposed Fee 5/8 "1.00 2.25 14,343$ 3/4"1.50 2.25 21,503$ 1 "2.50 2.25 35,824$ 1.5" standard 5.00 2.25 71,627$ 2" compound 8.00 2.25 114,590$ 3" compound 16.00 2.25 229,158$ 4" compound 25.00 2.25 358,047$ 6" compound 50.00 2.25 716,072$ 8" compound 80.00 2.25 1,145,702$ Oro Valley Water Utility Proposed Development Impact Fees E-1    Town Council Regular Session 2. Meeting Date:03/04/2020   Requested by: Bayer Vella, Community and Economic Development  Submitted By:Hannah Oden, Community and Economic Development Case Number: 1901527 SUBJECT: DISCUSSION AND POSSIBLE ACTION REGARDING A RANCHO VISTOSO PAD TEXT AMENDMENT AND CONCEPTUAL LANDSCAPE PLAN TO CONVERT A NATURAL OPEN SPACE AREA INTO A CONSTRUCTED LANDSCAPED BUFFER YARD LOCATED AT THE NORTHWEST CORNER OF ORACLE ROAD AND RANCHO VISTOSO BOULEVARD AT THE RANCHO VISTOSO CENTER, 1901527. THE REQUEST INCLUDES THE FOLLOWING ITEMS. A. RESOLUTION NO. (R)20-12, DECLARING THE PROPOSED RANCHO VISTOSO PAD TEXT AMENDMENT A PUBLIC RECORD B. PUBLIC HEARING: ORDINANCE NO. (O)20-02, RANCHO VISTOSO PAD TEXT AMENDMENT TO CONVERT A REQUIRED OPEN SPACE AREA TO A CONSTRUCTED LANDSCAPED BUFFER YARD C. CONCEPTUAL LANDSCAPE PLAN FOR THE OPEN SPACE AREA RECOMMENDATION: Item A Item A is an administrative function declaring the text amendment a public record. Staff recommends approval.  Item B The Planning and Zoning Commission recommends conditional approval of the proposed Planned Area Development (PAD) Text Amendment. Please note, the Planning and Zoning Commission condition has been incorporated into Attachment 2.  Item C The Planning and Zoning Commission recommends approval of the proposed Conceptual Landscape Plan subject to the conditions in Attachment 3. Please note, Item B directly impacts Item C. If Town Council should choose to deny Item B, Item C must also be denied.  EXECUTIVE SUMMARY: The purpose of this request is to consider three items related to converting an area of natural open space to a constructed landscaped buffer yard located at the northwest corner of Oracle Road and Rancho Vistoso Boulevard, known as the Rancho Vistoso Center.  The Rancho Vistoso Planned Area Development (PAD) currently requires a 100-foot natural open space area along the west side of Oracle Road. The three items include the following: Item A This item is an administrative requirement declaring the proposed text amendment a public record (Attachment 1)  Item B The second item is a text amendment to the Rancho Vistoso PAD to allow for a required open space area to be converted into a constructed landscaped buffer yard and applies only to the property in question, as shown in the image at right. The text amendment would allow for disturbance and re-vegetation to accommodate drainage improvements and landscaping as allowed by the Zoning Code. Item C The third item is a proposed Conceptual Landscape Plan for the area that conforms to Zoning Code requirements. The landscape plan is designed to improve visibility into the shopping center and manage erosion and drainage issues through the addition of rock rip-rap and water harvesting basins. Items B and C were triggered by a violation when the property owner removed trees from the open space area to increase visibility into the shopping center. The applicant's proposal includes mitigation for the removed trees. One neighborhood meeting was held on August 21, 2019, for the proposal. Based on feedback received at the meeting (Attachment 6), a second neighborhood meeting was not needed as all questions and concerns had been addressed. PAD Text Amendment requests are reviewed for conformance with the Your Voice, Our Future General Plan land use designation, goals and policies and Zoning Code. Conceptual landscape plans are reviewed for conformance with the Zoning Code. The Planning and Zoning Commission considered the applicant's requests at a public hearing on February 4, 2020. The Commission included one condition for Item B (the PAD text amendment) which has been incorporated into the applicant's proposal in Attachment 2. Finding that the proposal conforms to the General Plan and Zoning Code, the Planning and Zoning Commission voted to recommend approval of both items subject to the conditions included in Attachment 3.  BACKGROUND OR DETAILED INFORMATION: The purpose of this request is to consider three items related to converting a required natural open space area to a constructed landscaped buffer yard located at the northwest corner of Oracle Road and Rancho Vistoso Boulevard at the Rancho Vistoso Center commercial development. Item A The first item is an administrative function to declare the proposed Rancho Vistoso PAD Text Amendment a public record. Item B The request is to change the natural open space area to a constructed landscaped buffer yard via a Text Amendment to the Rancho Vistoso PAD. The proposal includes grading a portion of the site on the southern half of the project area for drainage improvements and landscaping. The northern portion of the open space area is proposed to be preserved in place, but will allow for transplanting salvaged plants, placement of irrigation lines, and removal of dead plant material and additional debris. The applicant is seeking the change to address a lack of visibility from Oracle Road into the shopping center and to rectify existing drainage issues. Over the years, the Rancho Vistoso Commercial Center has struggled with tenant turnover, vacant spaces, and the loss of a major grocery anchor. The proposal would allow for a landscaped buffer yard similar to other commercial centers in Oro Valley and along Oracle Road designed to increase visibility into the shopping center.  The existing open space area does not provide high quality habitat or environmental resource value and is disconnected from other open space areas. The 100-foot undisturbed natural open space requirement is also more restrictive than what the Town's Zoning Code currently allows, as landscaping and grading for drainage restrictive than what the Town's Zoning Code currently allows, as landscaping and grading for drainage improvements are permitted in buffer yards.  Item C The third item is a conceptual landscape plan for the buffer yard which entails grading a portion of the site for drainage improvements and water harvesting, replanting the area in a way that improves visibility into the shopping center, and transplanting salvaged plants to prominent locations within the buffer yard. A condition of approval, only associated with Item C, is included in Attachment 3 to address minor outstanding issues on the Native Plant Salvage and Conceptual Landscape Plans that will be addressed on the Final Landscape Plan. The existing natural open space area was previously disturbed for the installation of utilities in a 30-foot wide utility easement and much of the existing vegetation is in decline. The area is disconnected from other open space areas and does not have high habitat or environmental resource value. No significant plant species, such as saguaros or ironwood trees exist on the site. Moreover, the existing Oro Valley Zoning Code allows more flexibility for buffer yards than what the Rancho Vistoso PAD required along Oracle Road when it was established in 1987. Lastly, the property owner was formally cited with a violation in 2017 for removing a number of trees to increase visibility into the commercial center. The applicant's two requests seek to address the outstanding violation while creating a constructed landscaped buffer yard to increase visibility and adding drainage improvements to address erosion.   A. EXISTING CONDITIONS AND CONTEXT Zoning Context  The existing zoning for the property and the surrounding areas are shown on the map to the right. The subject property is currently designated as Open Space in Rancho Vistoso Neighborhood 2. Nearby zoning designations include Community Commercial, and Campus Park Industrial. Site Conditions  1.63 acres Property is vacant Property History   June 1987: Rancho Vistoso Planned Area           Development established, Open Space Zoning designation February 2017: Property owner formally cited for a violation after removing trees in the open space buffer yard  Rancho Vistoso PAD Neighborhood 2  Neighborhood 2 of the Rancho Vistoso PAD requires the following: "There shall be a 100-foot natural area setback from the planned right-of-way line of Oracle Road. The Rancho Vistoso Plan shows a 100 foot natural setback from the right of way line of Oracle Road, thus preserving the natural feeling and views along this scenic corridor". B. APPLICANT'S REQUEST The applicant's request includes the two items detailed below. Item B A PAD Amendment to the text of the Rancho Vistoso PAD to allow for the required natural open space area along Oracle Road to be converted into a constructed landscaped buffer yard and would apply only to the property in question as part of this request. The request would accommodate drainage improvements, landscaping, and ongoing maintenance as allowed by the Zoning Code. As previously mentioned, the open space area has been previously disturbed and a number of plants are in decline. The area is not indicative of prime habitat or a critical environmental resource and includes no significant native plant species, such as saguaros or ironwood trees. This parcel is also disconnected from other open space areas by existing roads and development and does not provide connectivity to other open space areas. Additionally, the current requirement for the 100-foot natural open space setback per the Rancho Vistoso PAD is more restrictive than what the Town's Zoning Code currently requires, including the Oracle Road Scenic Corridor Overlay District (ORSCOD) requirements. The Town's Zoning Code permits disturbance and landscaping within buffer yards for drainage improvements and ongoing maintenance. The amendment would treat the property the same as others. Item C A Conceptual Landscape Plan for the existing open space area along the Oracle Road right of way. The applicant has provided a Conceptual Landscape Plan and native plant inventory and mitigation plan (Attachment 5) that comply with the Zoning Code. The landscape plan proposes grading the southern portion of the site (0.37 acres) for drainage and erosion improvements through the use of rock rip-rap and two new water harvesting basins. The northern portion of the project area will not be graded. The proposed landscaping provides improved visibility into the shopping center while grouping trees to provide a vegetated buffer between Oracle Road and the shopping center. Disturbed and graded areas, will be re-vegetated or hydroseeded, including the 30-foot wide utility easement. The applicant has inventoried all native plants in accordance with the Zoning Code, including significant vegetation and Corridor Character Vegetation (CCV) as part of ORSCOD. The trees that were previously removed have been classified as significant vegetation by the applicant and mitigated for at a 2:1 ratio. As such, the Conceptual Landscape Plan addresses the violation. C. GENERAL PLAN CONFORMANCE ANALYSIS PAD text amendment applications are reviewed for conformance with the Your Voice, Our Future General Plan Vision, Guiding Principles, Goals and Policies. On balance, staff finds that the proposed PAD Amendment conforms to the General Plan specifically regarding:  Protection from stormwater impacts View preservation and conserving natural resources and native vegetation Supporting the viability of local businesses and the local economy  Below is a more detailed General Plan analysis: The General Plan Vision "Oro Valley strives to be a well-managed community that provides all residents with opportunities for quality living. Oro Valley will keep its friendly, small-town, neighborly character, while increasing services, employment and recreation. The Town's lifestyle continues to be defined by a strong sense of community, a high regard for public safety and an extraordinary natural environment and scenic views". Staff finds that the proposed PAD Amendment is consistent with the Vision as it manages stormwater and respects the natural environment through the proposed landscape design while supporting the local economy. Guiding Principles, Goals, and Policies Item B and C Policy SD.10 of the General Plan emphasizes protection of the public and environment from stormwater impacts. The text amendment would accommodate drainage improvements and address problems stemming from erosion, particularly behind the Rancho Vistoso monument sign. The request is consistent with this policy as the improvements will rectify existing drainage concerns at the shopping center by slowing the flow of stormwater and encouraging water infiltration. Goal K  and policy SD.6  of the General Plan emphasize the protection and restoration of lands with high scenic values and maintaining the visual character of the community. The area associated with this proposed PAD Amendment is a visible stretch of land along a major roadway. While the applicant's request allows disturbance, the associated Conceptual Landscape Plan utilizes native, low water use plants and preserves in place, transplants, or mitigates for viable significant and non-significant vegetation. The proposal captures rainwater and enhances vegetative density at the northern portion of the site by transplanting salvaged plants in this area. As previously mentioned, this open space buffer yard is disconnected from other open space systems and has limited habitat and natural resource value. The request is consistent with these goals and policies as it is sensitive to the natural environment and surrounding landscape while enhancing an area along a scenic corridor. Policy SD.3 and Policy SD.4 emphasize conserving the Town's natural resources and protecting native vegetation. While this portion of open space does not have a high natural resource value, the applicant is maintaining the open space designation of the area and transplanting or preserving in place a large number of viable native vegetation. The request is consistent with these policies as it protects native vegetation and maintains the buffer yard as open space while utilizing native vegetation in the landscape plan.  Goal B  and policy E.1 of the General plan emphasize a strong local economy and economic stability. The proposed improvements provide increased visibility into the shopping center which supports local businesses and the local economy while maintaining the scenic view shed along Oracle Road. The request is consistent with these goals and policies by bolstering the economic vitality of the Rancho Vistoso Center.  D. ZONING CODE CONFORMANCE ANALYSIS Conceptual Landscape Plans are also reviewed for conformance with the requirements of the Zoning Code. A summary of the conformance of Item C is provided below.  Buffer Yards: The Zoning Code and Oracle Road Scenic Corridor Overlay District requirements allow for drainage improvements and landscaping designed to provide visibility into commercial centers within buffer yards. This provides a balance between functionality and providing open space. The intent of the natural setback adopted in 1987 along Oracle Road was to maintain a buffer yard between Oracle Road and commercial development. The intent is still met by the proposed Conceptual Landscape Plan and conforms to what is permitted by the Town's Zoning Code. Site Design: The proposed landscape plan utilizes native, low water use plants while addressing existing drainage issues. Planting locations, ground cover, buffer yard requirements, and native plant salvage and mitigation, including CCV, all conform to the requirements of the Town Zoning Code. The trees that were previously removed by the property owner are being mitigated at a 2:1 ratio as required by code. Lastly, the site design provides headlight screening onto Oracle Road as required by code through a combination of berms and a proposed screen wall between Oracle Road and the shopping center. Several minor conditions of approval are included in Attachment 1 to ensure the screen wall meets the required height and to address outstanding issues on the native plant inventory. The request and Conceptual Landscape Plan are in conformance with the requirements specified in the Town Zoning Code and Rancho Vistoso PAD.  E. PUBLIC PARTICIPATION The following notice has been provided:  Notification to all property owners within 600 feet Notification to all interested parties who signed in at neighborhood meetings Homeowners association mailing Advertisement in The Daily Territorial  Posting on property Posting at Town Hall and on Town's Website One neighborhood meeting for the request was held on August 21, 2019, with approximately 10 residents and tenants in attendance. The main topics discussed at this meeting included:  Mitigation of previously destroyed trees  The applicant explained that the trees would be mitigated for as required by code. Type of landscaping and vegetation used and methods  The applicant discussed the type of low water use, native plants used for the landscape design and where they would be placed.  Scope of the project  The applicant discussed the parameters and limits of the project.  How the proposal would address drainage issues  The applicant discussed the proposed drainage improvements through grading, water harvesting basins, and the rock rip-rap at the southern portion of the site to mitigate erosion. If the proposed vegetation would affect the integrity of the monument wall  The applicant explained the proposed vegetation would not structurally impact the monument wall. Rather, the improved erosion control would help limit future impacts. A copy of the neighborhood meeting summary is provided as Attachment 6. Staff has not received any further comments from residents or neighbors. PLANNING AND ZONING COMMISSION The Planning and Zoning Commission considered the applicant's proposals at a public hearing on February 4, 2020. No members of the public spoke on the issue. Discussion among the Commission focused on the proposed site design and allowances within the buffer yard. Ultimately, the Planning and Zoning Commission voted to recommend approval of both requests with conditions. Item B was conditioned to change the text amendment language to the following to provide clarification on the intent and ensure the proposed changes comply with the Oro Valley Zoning Code.   The 100’ natural area setback from the planned right-of-way line of Oracle Road in the C-1 commercial use area may be disturbed and revegetated as a constructed landscaped buffer yard compliant with the Oro Valley Zoning Code.   The applicant has updated the language and included the revision in Attachment 2 Planning and Zoning Commission recommended Approval of Item C subject to the conditions in Attachment 3. The applicant has satisfied the second condition related to updating an exhibit in the Site Analysis (Attachment 4) to correctly show a screen wall. The remaining condition of approval is still included in Attachment 3.    The staff report submitted to Commission is included in Attachment 7 and draft meeting minutes are included in Attachment 8.  F. SUMMARY AND RECOMMENDATION The proposed PAD Text Amendment and associated Conceptual Landscape Plan conform to the Zoning Code and Your Voice, Our Future General Plan and there are no outstanding concerns from neighbors. Planning and Zoning Commission recommends approval of both Item B and Item C subject to the conditions of approval included in Attachment 3. FISCAL IMPACT: N/A   SUGGESTED MOTION: The Town Council may wish to consider the following suggested motions: Item A I MOVE to (approve or deny) Resolution No. (R)20-12, declaring the proposed Rancho Vistoso PAD Text Amendment a public record. Item B I MOVE to ADOPT Ordinance No. (O)20-02, the Rancho Vistoso PAD Text Amendment, to permit construction of a landscaped buffer yard within the open space area, based on the finding that the application is in conformance with the Your Voice, Our Future  General Plan and Zoning Code. OR I MOVE to DENY Ordinance No. (O)20-02, the PAD Text Amendment, based on the finding that _______________________________________. Item C I MOVE to APPROVE Item C, the Conceptual Landscape Plan, subject to the conditions in Attachment 3, based on the finding that the application is in conformance with all Zoning Code requirements. OR I MOVE to DENY Item C, the Conceptual Landscape Plan, based on the finding that _______________________________________. Attachments (R)20-12 Resolution  (O)20-02 Ordinance  Attachment 3: Condition of Approval  Attachment 4: Applicant Submittal, Site Analysis and Text Amendment  Attachment 5: Applicant Submittal, Conceptual Landscape Plan  Attachment 6: Neighborhood Meeting Summary  Attachment 7: Staff Report, 2.4.20 Planning and Zoning Commission  Attachment 8: DRAFT Meeting Minutes, 2.4.20 Planning and Zoning Commission  RESOLUTION NO. (R)20-12 A RESOLUTION OF THE MAYOR AND COUNCIL OF THE TOWN OF ORO VALLEY, ARIZONA, DECLARING AS A PUBLIC RECORD THAT CERTAIN DOCUMENT ENTITLED THE RANCHO VISTOSO PLANNED AREA DEVELOPMENT, SECTIONS 1.1 “DEVELOPMENT PROGRAM” AND 1.2 “THE RANCHO VISTOSO PAD POLICIES”; ATTACHED HERETO AS EXHIBIT “A” AND FILED WITH THE TOWN CLERK BE IT RESOLVED BY THE MAYOR AND COUNCIL OF THE TOWN OF ORO VALLEY, ARIZONA, that certain document entitled the “Rancho Vistoso Planned Area Development” Sections 1.1 “Development Program” and 1.2 “The Rancho Vistoso PAD Policies”, attached hereto as Exhibit “A”, three copies of which are on file in the O ffice of the Town Clerk, is hereby declared to be a public record, and said copies are ordered to remain on file with the Town Clerk. PASSED AND ADOPTED by the Mayor and Town Council of the Town of Oro Valley, Arizona this 4th day of March, 2020. 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” ORDINANCE NO. (O)20-02 AN ORDINANCE OF THE TOWN OF ORO VALLEY, ARIZONA, AMENDING THE RANCHO VISTOSO PLANNED AREA DEVELOPMENT, SECTION S 1.1 “DEVELOPMENT PROGRAM” AND 1.2 “THE RANCHO VISTOSO PAD POLICIES”; REPEALING ALL RESOLUTIONS, ORDINANCES AN D RULES OF THE TOWN OF ORO VALLEY IN CONFLICT THEREWITH; PRESERVING THE RIGHTS AND DUTIES THAT HAVE ALREADY MATURED AND PROCEEDINGS THAT HAVE ALREADY BEGUN THEREUNDER WHEREAS, on June 22, 1987, the Mayor and Council approved Ordinance No. 154, which adopted the Rancho Vistoso Planned Area Development; and WHEREAS, the Applicant has requested a text amendment to address a lack of visibility from Oracle Road into the shopping center due to the existing slope and to address existing drainage issues, attached hereto as Exhibit “A”; and WHEREAS, the amendments to the PAD involve changing a natural open space area to a constructed landscaped buffer yard which would increase visibility in to the shopping center and would allow for a landscaped buffer yard similar to other commercial centers in Oro Valley and along Oracle Road ; and WHEREAS, the existing open space does not provide high quality habitat or environmental resource value and is disconnected from other open space areas; and WHEREAS, the Planning and Zoning Commission held a duly noticed public hearing on February 4, 2020, and voted to recommend approval to the Town Council; and WHEREAS, the Town Council has duly considered the Applicant’s proposal for the text amendment to the Rancho Vistoso Planned Area Development (PAD) to convert a required open space area to a constructed landscaped buffer yard. NOW, THEREFORE BE IT ORDAINED by the Mayor and Council of the Town of Oro Valley, Arizona that: Section 1. The text amendment to the Rancho Vistoso Planned Area Development (PAD) to convert a required open space area to a constructed landscaped buffer yard is hereby approved. Section 2. All Oro Valley ordinances, resolutions or motions and parts of ordinances, resolutions or motions of the Council in conflict with the provision of this Ordinance are hereby repealed. 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. PASSED AND ADOPTED by the Mayor and Council of the Town of Oro Valley, Arizona on this 4th day of March, 2020. 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” Attachment 3 Conditions of Approval Rancho Vistoso Center Conceptual Landscape Plan (Case No.1901527) Planning 1. Address the following comments on the associated Landscape Plans: a. Mesquite and palo verde trees, whether from a nursery or transplanted, must be spaced 20' apart (Section 27.6.C.2.j). Move transplanted plants on the northern portion of the project farther apart. Or, a letter may be submitted by a landscape architect documenting in writing that a particular variety will thrive at a closer distance without negative impact to adjacent trees or vegetation and approved by the Planning and Zoning Administrator. b. Revise the screen wall for vehicle headlights at the southwest portion of the project to be a minimum of 42" (3.5') high (Section 27.6.C.5.xi). c. A duplicate of plant 179 was marked in the field and must be reflected on the plan set. d. A remaining palo verde tree by plant 145 must be inventoried and reflected on the plan set. e. Plant 150 must be reflected in the inventory table with a corresponding treatment. f. Verify the caliper of vegetation by plant 152 and 159 and include in the landscape plan if plants meet the criteria per Section 27.6.B.4.c.ii. ––Cover Rancho Vistoso PAD Amendment Oro Valley, Arizona Submitted to: Town of Oro Valley Planning Division 11000 North La Cañada Drive Oro Valley, Arizona 85737 Prepared for: WCCP Rancho Vistoso, LLC 2900 N. Swan Road, Suite 600 Tucson, AZ 85712 Prepared by: The Planning Center 2 East Congress, Suite 600 Tucson, Arizona 85701 With assistance from: Perry Engineering 501 W Wetmore Rd. Tucson, AZ 85705 February 2020 Case #: 11901527 Oro Valley Self-Storage & Business Center Rezoning Table of Contents i Site Analysis Introduction .............................................................................................................1 Part I. Inventory and Analysis........................................................................................................3 1. Existing Land Uses ....................................................................................................................................... 4 A. Site Location and Regional Context ................................................................................................... 4 B. Existing On-Site and Off-Site Land Uses ........................................................................................... 8 C. Conditions on Properties within a One-Quarter (1/4) Mile Radius ..................................................... 8 2. Topography ................................................................................................................................................ 13 A. Site Topography ................................................................................................................................ 13 B. Sloped Area Analysis ........................................................................................................................ 13 C. Slope Area Analysis Map - Two (2) Foot Contour Intervals: ............................................................ 14 3. Cultural, Archaeological and Historic Resources....................................................................................... 16 A. Report from Arizona State Museum (ASM), State Historic Preservation Office (SHPO), qualified archaeologist or a professional architect .......................................................................................... 16 2. Hydrology.................................................................................................................................................... 19 A. Off-Site Watersheds ......................................................................................................................... 19 B. Balanced and Critical Basins ............................................................................................................ 19 C. Significant Off-site Features (Natural or Man-made) that May Affect or be Affected by the Site .... 19 D. Area in Acres of Upstream Off-Site Watersheds with 100-Year Discharges Greater than 100 cfs 20 E. Location and Ownership of Wells/Well Sites within 100 Feet .......................................................... 20 F. On-Site Hydrology............................................................................................................................. 20 G. Existing Drainage Conditions Along Downstream Property Boundary ............................................ 21 3. Vegetation................................................................................................................................................... 24 A. Describe and Map ............................................................................................................................. 24 4. Viewsheds .................................................................................................................................................. 27 A. Corridor Character Vegetation (CCV) .............................................................................................. 27 5. McHarg Composite Map ............................................................................................................................ 28 A. Composite Map ................................................................................................................................. 28 Part II. Land Use Proposal ........................................................................................................... 30 1. Project Overview ........................................................................................................................................ 31 Oro Valley Self-Storage & Business Center Rezoning Table of Contents ii A. Tentative Development Plan ............................................................................................................ 31 B. General Plan Future Land Use Designations................................................................................... 31 C. Proposed Land Uses, Principal and Accessory Uses ...................................................................... 31 2. Existing Land Uses ..................................................................................................................................... 35 A. Zoning and Existing Land Uses on Adjacent Properties .................................................................. 35 B. Effect of Proposed Development on Existing Land Uses On-site and Off-site................................ 35 3. Topography ................................................................................................................................................ 35 A. Tentative Development Plan’s Response to Site Topography ........................................................ 35 B. Areas of Encroachment onto Slopes ................................................................................................ 36 C. “Hillside Conservation Areas” ........................................................................................................... 36 D. On-site Grading ................................................................................................................................. 36 4. Cultural/Archeological/Historic Resources ................................................................................................. 39 5. Hydrology.................................................................................................................................................... 39 A. Tentative Development Plan Response to Hydrologic Conditions .................................................. 39 B. Substantiate any Modification of Drainage Patterns ........................................................................ 41 C. Map Drainage Impacts ...................................................................................................................... 41 D. Describe & Map Engineering & Design Features Used for Mitigation ............................................. 41 E. Describe Conformance to Area & Basin Management Plans .......................................................... 41 6. Vegetation................................................................................................................................................... 41 7. Buffer Yards ................................................................................................................................................ 44 A. Techniques for Mitigating Sound, Visibility, Exterior Lighting and Traffic ........................................ 44 B. Buffer yard Cross Sections ............................................................................................................... 44 Part III. Text Amendment .............................................................................................................. 47 List of Exhibits Exhibit I.1.A.1: Regional Context ..................................................................................................5 Exhibit I.1.A.2: Local Context .......................................................................................................6 Exhibit I.1.A.3: Site Location .........................................................................................................7 Exhibit I.1.B: Existing Land Uses ..................................................................................................9 Oro Valley Self-Storage & Business Center Rezoning Table of Contents iii Exhibit I.1.C.i: Existing Zoning ................................................................................................... 10 Exhibit I.1.C.ii: General Plan Land Use Designations ............................................................... 12 Exhibit I.2.C: Existing Topography ............................................................................................ 15 Exhibit I.3: Arizona State Museum Letter .................................................................................. 17 Exhibit I.2.A.i: Offsite Watershed Map ....................................................................................... 22 Exhibit I.2.A.ii: Existing Onsite Watershed Map ........................................................................ 23 Exhibit I.5.A: McHarg Composite Map ........................................................................................ 29 Exhibit II.1.A.1: Tentative Development Plan ............................................................................. 32 Exhibit II.1.A.1: Tentative Development Plan cont. .................................................................... 33 Exhibit II.1.A.1: Tentative Development Plan cont. .................................................................... 34 Exhibit II.4.D: Preliminary Grading Plan .................................................................................... 37 Exhibit II.4.D: Preliminary Grading Plan .................................................................................... 38 Exhibit II.6.A: Post-Development Hydrology ............................................................................. 40 Exhibit II.6.A: View Simulation .................................................................................................... 43 Exhibit II.15.B: Buffer yard Sections ........................................................................................... 45 List of Tables Table I.2.B.i.a: Acreage of Slope by Category .................................................................................................. 14 Table I.3.A.i: Plant Species Observed On-site .................................................................................................. 24 Table I.3.A.ii: USFWS List of Plant Species for Pima County ........................................................................... 25 Oro Valley Self-Storage & Business Center Rezoning Introduction I-1 Site Analysis Introduction Rancho Vistoso PAD Amendment Introduction 2 Site Analysis Introduction The Rancho Vistoso PAD (“The PAD”) encompasses 7,626 acres located at the north eastern limits of the Town of Oro Valley. It is bounded on the south by Tangerine Road, the east by Oracle Road and the north by the Tortolita Mountains. The PAD is comprised of thirteen neighborhoods each with their own mix of land uses. The PAD was originally written in 1977 and approved by Pima County. Through the subsequent years, several neighborhood plans were adopted. In 1985 the Wolfswinkel Group assumed ownership and an extensive environmental analysis was completed which resulted in a new community plan and additional neighborhood plans. Rancho Vistoso was annexed into the Town of Oro Valley and the Rancho Vistoso Planned Area Development District #5 document was adopted June 22, 1987. Much of Rancho Vistoso’ s residential and commercial areas have been developed, but some areas of developable land still exist. The glaring difference between the two land types has been its occupancy and ability to attract users. Residential properties have seen continual inhabitants while much of the commercial space has been vacant and has a high turnover rate. The focus of this amendment is the commercial property within Neighborhood 2 with frontage on Oracle Road. If the amendment is approved, changes to Oracle Road frontage C-1 property development program and policies will be incorporated into the PAD document as Amendment 26. Rancho Vistoso PAD Amendment Part I – Inventory and Analysis 3 Part I. Inventory and Analysis Rancho Vistoso PAD Amendment Part I – Inventory and Analysis 4 1. Existing Land Uses This section of the Inventory and Analysis identifies existing zoning, land uses and structures onsite and on surrounding properties, as well as proposed developments in the project vicinity. A. Site Location and Regional Context The proposed PAD Amendment request is for a 69,696-square foot, or approximately 1.6-acre, project (a portion of Assessor Parcel Number APN: 223-02-017R) located at the northwest corner of Oracle Road and Rancho Vistoso Boulevard. The northern limit of the project area is from the entry to the Rancho Vistoso Center (RVC) on Oracle Road and extends south to the drainage basin behind the Rancho Vistoso Monumentation. From east to west, the limits of the project extend from the Oracle Road right-of-way (ROW) to the eastern edge of the western most Parking Area Access Lane (PAAL) of RVC. The project area is approximately one-hundred feet wide by six-hundred eighty feet long. The proposed amendment will allow the natural vegetation within the first one-hundred feet of street frontage along Oracle Road to be disturbed and revegetated as a constructed landscape buffer yard compliant with the Oro Valley Zoning Code. The impetus of this project is rectifying a zoning violation that was the result of previous disturbance to vegetation in the detention basin. A revegetation effort and refresh of the buffer is the proposed compensation. As part of the effort, drainage improvements and increased visibility are requested. The drainage improvements are intended to mitigate erosion issues in the retention/detention basin located behind the Rancho Vistoso Monumentation. Runoff from the RVC and property to the north will be captured and diverted into a series of landscaped water harvesting basins to help slow the flow of water and spread it across a larger area of natural surfaces and encourage increased water infiltration and reduce erosion on-site. To accommodate the drainage improvements a portion of the existing berm will need to be removed. The associated landscape will also have to be removed, but a salvage operation will ensure healthy plants, capable of surviving the transplanting process, will be relocated into the northern portion of the buffer where there will be no grading. The buffer will be planted utilizing the same native species that are currently found in the project area. The proposed development will be sensitive to the natural environment and protect the character of the area. See Exhibit I.1.A.1: Regional Context and Exhibit I.1.A.2: Local Context. Rancho Vistoso PAD Amendment Part I – Inventory and Analysis 5 Exhibit I.1.A.1: Regional Context Rancho Vistoso PAD Amendment Part I – Inventory and Analysis 6 Exhibit I.1.A.2: Local Context Rancho Vistoso PAD Amendment Part I – Inventory and Analysis 7 Exhibit I.1.A.3: Site Location Rancho Vistoso PAD Amendment Part I – Inventory and Analysis 8 B. Existing On-Site and Off-Site Land Uses The subject property is part of the Rancho Vistoso PAD and serves as the landscape roadway buffer for the commercial center called the Rancho Vistoso Center. The RVC is comprised of 4 building complexes, two standalone structures a smaller drive-thru bank and suites and a more traditional strip mall with anchor tenant. The RVC has not had the anchor tenant suite filled for an extended period of time. According to Your Voice, Our Future, the existing general plan land use designation for the property is Neighborhood Commercial and Office, which is intended to serve and be integrated with the surrounding neighborhoods. Ideal services include grocery stores, drugstores and professional offices. The land uses of surrounding properties within one-quarter mile, as depicted in Exhibit I.1.B: Existing Land Uses are as follows: North: Rancho Vistoso Urgent Care, Vistoso Commerce Plaza, Rancho Vistoso Neighborhood 2, Miles Label Company, Healthy Skin Dermatology South: Vacant, Shell Gas Station, Rancho Vistoso Neighborhood 3, Oro Valley Municipal Operations Center East: Vacant State Trust Land West: Vacant, Vistoso Funeral Home C. Conditions on Properties within a One-Quarter (1/4) Mile Radius The existing Town of Oro Valley zoning designation on the property is Planned Area Development, “Rancho Vistoso PAD District #5” Neighborhood 2. i. Existing Zoning The zoning of surrounding properties, as depicted in Exhibit I.1.C.i includes: North: Rancho Vistoso Planned Area Development District #5 South: Rancho Vistoso Planned Area Development District #5 East: Pima County RH- Rural Homestead West: Rancho Vistoso Planned Area Development District #5 Rancho Vistoso PAD Amendment Part I – Inventory and Analysis 9 Exhibit I.1.B: Existing Land Uses Rancho Vistoso PAD Amendment Part I – Inventory and Analysis 10 Exhibit I.1.C.i: Existing Zoning Rancho Vistoso PAD Amendment Part I – Inventory and Analysis 11 ii. General Plan Land Use Designations The site is in an area that has been developed around it in years past but has seen very little recently. There is vacant land immediately west of the property and south of Rancho Vistoso Boulevard. There is also vacant land in Innovation Park. All of the Catalina State Park land east of the of the property and Oracle Road is vacant. The land to the north is developed. The Town of Oro Valley General Plan Land Use Map reflects the desire for continued growth in this area (see Exhibit I.1.C.ii: General Plan Land Use Designations). The subject rezoning area is currently designated as Neighborhood Commercial and Office. The surrounding general plan designations within one-quarter mile of the site as depicted in Exhibit I.1.C.ii, are as follows: North: Neighborhood Commercial/Office Commerce/ Office Park Medium Density Residential (2.1-5.0 DU/AC) South: Neighborhood Commercial/Office Commerce/ Office Park East: Park West: Open Space Neighborhood Commercial/Office iii. Number of Stories of Existing Structures The existing structures within one-quarter mile of the site are one story. iv. Pending Rezones There are no pending rezoning’s of properties within one-quarter mile of the site. v. Conditionally Approved Zonings There are no pending conditionally approved zonings of properties within one-quarter mile of the site. vi. Approved Subdivisions and Development Plans Approved Subdivisions within a quarter mile radius include: • Rancho Vistoso Neighborhood 2 • Rancho Vistoso Neighborhood 3 Parcel B • Vistoso Commerce Plaza Condo Plat Rancho Vistoso PAD Amendment Part I – Inventory and Analysis 12 Exhibit I.1.C.ii: General Plan Land Use Designations Rancho Vistoso PAD Amendment Part I – Inventory and Analysis 13 Approved Development plans within a quarter mile radius include: • Rancho Vistoso • Vistoso Commerce Plaza • Vistoso Commerce Loop Office Building • Innovation Commerce Campus • Vistoso Memorial Chapel • Rancho Vistoso Center Neighborhood II • Plaza at Rancho Vistoso vii. Architectural Styles of Adjacent Development The commercial buildings in the area are typical southwest style architecture found in Oro Valley and surrounding communities. They are one-story buildings with a typical maximum height of 24’ with architectural detailing that extends above that. The materials are stucco and adobe with rock veneer and tile roof accents. Other buildings are constructed of natural earth tone materials such as block and stucco with accent colors and materials. 2. Topography A. Site Topography The topography of the subject property is characterized by relatively flat terrain with isolated areas of steeper terrain. The property generally slopes downward from north to south toward E. Rancho Vistoso Boulevard just west of N. Oracle Road. Elevations range from approximately 2,856 feet at the highest point, which is at the extreme northeast corner of the property, to 2,834 feet at the lowest point, which occurs at the culvert inlet at the southern border of the site at Rancho Vistoso Boulevard. The site contains no areas of regulated slopes greater than 15%. No areas of this development are subject to the ESL Hillside Area Category. i. Rock Outcrops The site does not contain any restricted peaks, rock outcrops, or ridgelines. ii. All other Significant Topographic Features The most significant topographic features at the site is a mounded surface in the northern portion, and a slope down at a maximum of about 7% at the southern end to accommodate incoming and outgoing culvert pipes to convey onsite and offsite storm water. B. Sloped Area Analysis The site area does not meet the Hillside Area requirement per Section 27.10.D.3.g.ii, as the minimum extents per item b are not met anywhere on the site. Further, the intent of the Hillside Area Category is to protect visually significant sloped areas and to protect the Rancho Vistoso PAD Amendment Part I – Inventory and Analysis 14 visual and scenic character of the Town. These standards are not intuitively met at the site. Table I.2.B.i.a: Acreage of Slope by Category C. Slope Area Analysis Map - Two (2) Foot Contour Intervals: Topographic Feature Category Acreage 15% to less than 18% < 0.01 18% to less than 20% < 0.01 20% to less than 25% < 0.01 25% to less than 33% < 0.01 33% or greater 0.01 Ridgelines 0 Rock Outcrops & Boulders 0 Rancho Vistoso PAD Amendment Part I – Inventory and Analysis 15 Exhibit I.2.C: Existing Topography Rancho Vistoso PAD Amendment Part I – Inventory and Analysis 16 3. Cultural, Archaeological and Historic Resources A. Report from Arizona State Museum (ASM), State Historic Preservation Office (SHPO), qualified archaeologist or a professional architect i. A report from Arizona State Museum (ASM) indicates that the site was previously surveyed in 1986 but recommends that the property be re- surveyed prior to disturbance due to the age of the previous survey. See Exhibit I.3: Arizona State Museum Letter ii. According to ASM, no known archaeological or historic resources are known to exist on the property iii. SWCA Environmental Consultants performed a cultural resources survey for the property on November 19, 2019. The survey resulted in no discovery of prehistoric or historic artifacts or features. iv. No previously recorded sites or historic-era buildings or structures are within or near the property (refer to Archaeological Survey prepared by SWCA submitted under separate cover). Rancho Vistoso PAD Amendment Part I – Inventory and Analysis 17 Exhibit I.3: Arizona State Museum Letter Rancho Vistoso PAD Amendment Part I – Inventory and Analysis 18 Rancho Vistoso PAD Amendment Part I – Inventory and Analysis 19 2. Hydrology The following site hydrology information was analyzed and prepared by Perry Engineering. All hydrology information is for planning purposes only and is subject to verification/modification via the drainage report with supporting calculations based on then existing and proposed conditions at the time of development plan approval. A. Off-Site Watersheds There is one off-site and one on-site watershed impacting the project site. The off-site watershed is a minor watershed of approximately 10.8 acres, located on the east side of Oracle Road, which contributes storm water to an existing 42-inch diameter corrugated metal pipe (CMP) under Oracle Road into the site. There is also an on-site watershed which contributes storm water from a portion of the adjacent Rancho Vistoso Center, from a portion of the west half of Oracle Road via a catch basin and 18-inch diameter CMP, and from the site itself. This on-site watershed is approximately 5.7 acres in size. Storm water from these two contributing watersheds commingle at the 60-inch reinforced concrete pipe (RCP) culvert inlet at Rancho Vistoso Boulevard before being conveyed through that culvert off the site. The entire property area is designated as being within a Federal Emergency Management Agency (FEMA) Zone ‘X’ per the FEMA Flood Insurance Rate Map (FIRM), Panel 04019C1085L, effective June 16, 2011. The terrain of the off-site watershed is of an undisturbed foothills nature, and the on-site watershed is mostly of a commercially developed area, and an urban roadway nature. The storm water provided by these watersheds, and by the site itself, is conveyed south through the aforementioned 60-inch RCP under Rancho Vistoso Boulevard and then through a series of natural conveyance channel to an eventual confluence with Big Wash. Please refer to Exhibit I-2-.i: Offsite Watersheds. B. Balanced and Critical Basins The entire Town of Oro Valley is classified as a critical basin. C. Significant Off-site Features (Natural or Man-made) that May Affect or be Affected by the Site Offsite storm water affecting the site is conveyed on to the site in one of three locations. These are the 42-inch CMP under Oracle Road delivering flows from the offsite watershed on the east side of Oracle Road; The 18-inch CMP delivering flows from the adjacent catch basin on the west shoulder of Oracle Road; and the overland inflow locations from the adjacent Rancho Vistoso Center to the west of the site. The site itself produces only a marginal magnitude of storm water discharge. These inflows will not change in the foreseeable future and will not change as a result of any changes to occur on the site. Rancho Vistoso PAD Amendment Part I – Inventory and Analysis 20 Storm water released by from the site do so through a 60-inch RCP under Rancho Vistoso Boulevard. Magnitudes and frequencies of storm water discharges from the site will not be affected by any changes that may occur on the site. D. Area in Acres of Upstream Off-Site Watersheds with 100-Year Discharges Greater than 100 cfs There are no upstream offsite watersheds with 1% annual chance (100-Year) discharges of 100 CFS or greater. The east off-site watershed that impacts the site has a contributing area of approximately 10.8 acres of undeveloped area. Further, this inflow to the site from this east offsite area is limited by the single 42-inch CMP under Oracle Road. The west offsite area is a commercially developed area, but is only about 5.7 acres in size, and as such will deliver much less than 100 cfs during a 1% event. E. Location and Ownership of Wells/Well Sites within 100 Feet According to the Arizona Department of Water Resources well registry, there are no wells located within 100 feet of the project site. F. On-Site Hydrology Onsite hydrology consists of 2.0 +/- acres of undeveloped and/or landscaped areas. The northern portion is mounded, and storm water will run off to either side and be conveyed along the east or west edge of the site to the southern portion. The southern portion will collect this onsite storm water, plus storm water from the offsite sources, before conveying it through the existing 60-inch RCP under Rancho Vistoso Boulevard. Because the onsite area is only 2.0 +/- acres of undeveloped and/or landscaping area, the 1% onsite peak discharge will intuitively be far less than 50 cfs. The entire site is typical of the upland desert Sonoran Desert scrub, featuring a mix of cacti, mesquite, palo verde, native shrubs and grasses, and other species. Please refer to Exhibit I-5-B: Onsite Hydrology Characteristics. i. Approximate 100-year floodplains with discharges equal to or greater than 50 cfs. There are no 100-year floodplains onsite with discharges equal to or greater than 50 cfs. ii. Areas of sheet flooding, with average depths The site is not subject to sheet flooding. iii. Federally mapped floodways and floodplains The site does not include or contain any federally mapped Special Flood Hazard Areas as illustrated with the FEMA FIRM Panel: 04019C1085L. iv. Calculation of all 100-year peak discharges exceeding 50 cfs There are no onsite sub-basins with a 1% annual chance (100-Year) peak discharge exceeding 50 CFS. Rancho Vistoso PAD Amendment Part I – Inventory and Analysis 21 G. Existing Drainage Conditions Along Downstream Property Boundary Existing drainage conditions along the downstream property boundary have been considered and handled appropriately by the Rancho Vistoso Center developer. Conditions can be described as the headwall of the aforementioned 60-inch RCP under Rancho Vistoso Boulevard. This culvert will have a calculated headwater well below the surface grades of the adjacent Oracle Road, Rancho Vistoso Boulevard, and the Rancho Vistoso Center. Grading, culverts and channelization have been implemented to adequately protect the downstream properties from a 100-year storm event. Rancho Vistoso PAD Amendment Part I – Inventory and Analysis 22 Exhibit I.2.A.i: Offsite Watershed Map Rancho Vistoso PAD Amendment Part I – Inventory and Analysis 23 Exhibit I.2.A.ii: Existing Onsite Watershed Map Rancho Vistoso PAD Amendment Part 1 – Inventory and Analysis 24 3. Vegetation A. Describe and Map i. Vegetative Communities and Associations On-Site The site was inventoried in January of 2019 to address the requirements of the PAD amendment. Site resource inventory and preliminary native plant preservation inventories were conducted at this time. The vegetation is naturally occurring with densities on the north end of the project being higher than those toward the middle and south. A public utility easement on the eastern thirty feet of the project has removed all trees, large shrubs, and cacti. It does not appear to be heavily traveled, but only small annual shrubs appear to be present. Desert Broom is taking root in the southern end of the utility easement near the culvert inlet and is prohibiting growth of native grasses and shrubs. The basin in the southern portion of the project has been disturbed and will be revegetated in a manner that is more conducive to the water flows that come through that area. All disturbed vegetation will be considered as significant vegetation for the purposes of mitigation and revegetation. Table I.3.A.i: Plant Species Observed On-site SCIENTIFIC NAME COMMON NAME Acacia constricta Whitethorn acacia Acacia greggii Catclaw acacia Celtis pallida Desert hackberry Ferocactus wislizenii Barrel cactus Parkinsonia florida Blue paloverde Parkinsonia microphylla Foothills paloverde Prosopis velutina Velvet mesquite Ericameria laricfolia Turpentine bush Encelia farinose Brittlebush Optunia sp Cholla/ Prickly pear Psilostrophe cooperi Paper Flower And other upland Sonoran Desert scrub perennials and forbs ii. Significant Cacti and Groups of Trees and Federally Listed Threatened or Endangered Species A site visit and inventory of significant cacti and vegetation was completed in accordance with Town of Oro Valley requirements in January 2019 (see Exhibit II.1.A.i: Tentative Development Plan). There were 29 trees to be considered as significant vegetation with potentially 8 found within the tentative development plan improvement areas. Corridor Character Vegetation (CCV) within 100 feet of Oracle Road was also evaluated and is shown on the Landscape Plan. Rancho Vistoso PAD Amendment Part 1 – Inventory and Analysis 25 The U.S. Fish and Wildlife Service (USFWS) identified four plant species in Pima County that have protection under the Endangered Species Act (ESA) (Table I.6.A.ii.b). None of these species are expected to occur on the property. In addition, the Arizona Game and Fish Department’s (AGFD) Heritage Data Management System (HDMS) was accessed via their On-line Environmental Review Tool, to locate records of occurrences within 3 miles of the property for these species. The HDMS also includes records for numerous other species that do not have Endangered Species Act (ESA) protection (special-status species), and of lands of environmental concern, such as critical habitat for species with ESA protection and wildlife linkage corridors. The HDMS does not include records for any plant species with ESA protection on site. The HDMS summary has been included as Exhibit: I.6.A.ii: AGFD Online Environmental Review. Table I.3.A.ii: USFWS List of Plant Species for Pima County Common Name Scientific Name ESA Status Plants Acuña cactus Echinomastus erectocentrus var. acunensis) Proposed Endangered Huachuca water umbel Lilaeopsis schaffneriana ssp. recurva) Endangered Pima pineapple cactus Coryphantha scheeri var. robustispina) Endangered Nichol Turk’s head cactus Echinocactus horizonthalonius var. nicholii) Endangered iii. Vegetative Densities by Percentage of Plant Cover Pima County GIS (2018) categorizes the entire site as Palo Verde Mixed Cactus. Rancho Vistoso PAD Amendment Part 1 – Inventory and Analysis 26 Exhibit I.3.A: Vegetation Map Rancho Vistoso PAD Amendment Part 1 – Inventory and Analysis 27 4. Viewsheds A. Corridor Character Vegetation (CCV) The projects’ adjacency to Oracle Road and the Oracle Road Scenic Corridor Overlay District requires the inventory of vegetation that meets the requirement for Corridor Character Vegetation (CCV). Designated plants listed in Section 27.10.D.3.f.iv.b.3 of the Town of Oro Valley Zoning Code, found within the first one-hundred (100) feet of property adjacent to Oracle Road were recorded as required. See Exhibit I.6.A: Landscape Plan Areas of distinct vegetation and significant vegetation are also included within the CCV; and have been identified. All plants inventoried were inventoried in accordance with the requirements established in Section 27.6.B Native Plant Preservation, Salvage and Mitigation of the Town of Oro Valley Zoning Code. Exhibit I.4.A.i: Existing Conditions Rancho Vistoso PAD Amendment Part 1 – Inventory and Analysis 28 5. McHarg Composite Map A. Composite Map Information regarding topography, hydrology, and vegetation, have been combined to form the McHarg Composite Map, shown in Exhibit I.5.A. The purpose of the McHarg Composite Map is to highlight areas that are available for development. Refer to Part 2 - Land Use Proposal for more information on how the site plan responds to the site’s physical constraints. Exhibit I.5.A: McHarg Composite Map shows the overlap and/or interaction of the following site opportunities and constraints as applicable to the site: Topography: A. “Hillside Natural Areas” B. Rock outcrops C. Slopes equal or greater than 15% Hydrology: i. 100-year floodplains with discharge equal or greater than 50 cfs. ii. Areas of sheet flooding deeper than one (1) foot iii. Federally mapped floodways and floodplains Vegetation: i. Areas of medium and high vegetation density ii. Federally listed Threatened or Endangered Species iii. Saguaros and other visually prominent cacti iv. Areas where vegetation facilitates soil stabilization Rancho Vistoso PAD Amendment Part 1 – Inventory and Analysis 29 Exhibit I.5.A: McHarg Composite Map Rancho Vistoso PAD Amendment Part II – Land Use Proposal 30 COVER Part II. Land Use Proposal Rancho Vistoso PAD Amendment Part II – Land Use Proposal 31 1. Project Overview A. Tentative Development Plan The changes proposed to the Rancho Vistoso PAD will mitigate the existing zoning violation and allow for drainage improvements and erosion issues that stem from offsite flows. The PAD amendment is only applicable to the open space immediately adjacent to the C-1 property in Neighborhood 2. If approved, the investments in the landscape buffer will encourage enhanced economic opportunities to the Rancho Vistoso Center through increased visibility, and a refreshed landscape. Rectifying the zoning violation will also support Oro Valley’s Environmentally Sensitive Lands ordinance and goals and policies set forth in the general plan geared towards preserving its unique character and identity. In particular, the long-term survival of native plants and plant communities and preserving the natural and scenic qualities of Oro Valley are aspects of the ESL exemplified by this project. i. Conformity with General Plan and the General Plan Future Land Use Map The proposed PAD Amendment is in conformance with Your Voice, Our Future. The existing land use designation will remain Open Space. • Development Goal 5.4.Q – A built environment that creatively integrates landscape, architecture, open space and conservation elements to increase the sense of place, community interaction and quality of life. • 4.5. Sonoran Desert Resources Focus – Policy SD.4. Protect and conserve healthy native vegetation during the development process. • Development Goal 5.4.U – Conservation of natural and cultural resources through effective land use and transportation planning, design, construction and management. • 5.5. Land Use and Design Focus – Conservation of Natural Resources LU.1. Promote land use development practices and programs that conserve and minimize impacts to natural and cultural resources. • 4.5. Sonoran Desert Resources Focus – Policy SD.6. Protect scenic corridors, public park and trail viewsheds, and the distinctive visual character and visual appeal of Oro Valley. B. General Plan Future Land Use Designations The proposed changes are in line with future land use designations. C. Proposed Land Uses, Principal and Accessory Uses No changes are proposed to the land use. Rancho Vistoso PAD Amendment Part II – Land Use Proposal 32 Exhibit II.1.A.1: Tentative Development Plan Rancho Vistoso PAD Amendment Part II – Land Use Proposal 33 Exhibit II.1.A.1: Tentative Development Plan cont. Rancho Vistoso PAD Amendment Part II – Land Use Proposal 34 Exhibit II.1.A.1: Tentative Development Plan cont. Rancho Vistoso PAD Amendment Part II – Land Use Proposal 35 2. Existing Land Uses A. Zoning and Existing Land Uses on Adjacent Properties Zoning of surrounding properties is depicted in Exhibit I.1.C.i in Part 1 - Inventory and Analysis and includes: North: Rancho Vistoso Urgent Care, Vistoso Commerce Plaza, Rancho Vistoso Neighborhood 2, Miles Label Company, Healthy Skin Dermatology South: Vacant, Shell Gas Station, Rancho Vistoso Neighborhood 3, Oro Valley Municipal Operations Center East: Vacant, Catalina State Park West: Vacant, Vistoso Funeral Home The land uses of surrounding properties are depicted in Exhibit I.1.B: Existing Land Uses provided in Part 1 – Inventory and Analysis and include: North: Rancho Vistoso Planned Area Development District #5 South: Rancho Vistoso Planned Area Development District #5 East: Pima County RH- Rural Homestead West: Rancho Vistoso Planned Area Development District #5 B. Effect of Proposed Development on Existing Land Uses On-site and Off-site The proposed amendment and enhanced landscaping will not affect existing land uses on- site or off-site. The improvements will encourage growth and prosperity to the Rancho Vistoso Center and hopefully encourage and attract an anchor tenant to fill the largest vacant space. The goal is to create a vibrant shopping center at Oro Valley’s northern most border and attract additional users from Catalina, Saddlebrook and Eagles Nest. 3. Topography A. Tentative Development Plan’s Response to Site Topography The Tentative Development Plan has to do only with landscaping, and as such will not impact the topographic characteristics of the site in any meaningful way. There is no significant grading or other construction to take place within the site within the current scope. The topography of the site will be essentially unchanged. Rancho Vistoso PAD Amendment Part II – Land Use Proposal 36 B. Areas of Encroachment onto Slopes The subject property does contain area of 15% or greater slopes. These slopes are associated with previous grading within the site (the buffer area between Oracle Road and the Rancho Vistoso Center). Any encroachment or disturbance of slopes is to be considered incidental and negligible. Such encroachment would be minimal, and be for the purposes of landscaping and/or irrigation. C. “Hillside Conservation Areas” There are no Hillside Conservation Areas within the project site. D. On-site Grading There will not be any grading of site other than that required for landscaping and possible installation of irrigation infrastructure. Any ground disturbance to occur during the course of construction will be restored to its original condition. There will be no areas to be improved with buildings or hardscape. The entire site will be revegetated and will become landscaped common area. (see Exhibit II.4.D: Preliminary Grading Plan). Rancho Vistoso PAD Amendment Part II – Land Use Proposal 37 Exhibit II.4.D: Preliminary Grading Plan Rancho Vistoso PAD Amendment Part II – Land Use Proposal 38 Exhibit II.4.D: Preliminary Grading Plan Rancho Vistoso PAD Amendment Part II – Land Use Proposal 39 4. Cultural/Archeological/Historic Resources See letter prepared by Arizona State Museum in Section 1 Site Analysis. All recommendations for protection of cultural and historic resources will be followed. Mitigation measures for possible finds will also be as recommended by the ASM (refer to Archaeological Survey prepared by SWCA submitted under separate cover). 5. Hydrology A. Tentative Development Plan Response to Hydrologic Conditions The activities to occur on the site will have at best a negligible impact on the hydrologic characteristics of the site. There will no impervious areas added, and grades will remain mostly identical to what they are currently. Additionally, this project will incorporate appropriate mitigation measures in accordance with the Town of Oro Valley Floodplain Management Code and the Drainage Criteria Manual. Total runoff from the site in the developed condition is 34.3cfs (see Exhibit II.6.A: Post- Development Hydrology). Rancho Vistoso PAD Amendment Part II – Land Use Proposal 40 Exhibit II.6.A: Post-Development Hydrology Rancho Vistoso PAD Amendment Part II – Land Use Proposal 41 B. Substantiate any Modification of Drainage Patterns There will be no modification of onsite or offsite drainage patterns associated with the planned activities at the site. C. Map Drainage Impacts There will be no potential drainage impacts to off-site land uses, either upstream or downstream of the site. Storm water conveyance will remain as it is currently, and there will be no changes in the runoff potential of the site as a result of the planned activities D. Describe & Map Engineering & Design Features Used for Mitigation During the planned landscaping activities at the site, the appropriate Stormwater Pollution Prevention (SWPPP) Best Management Practices (BMPs) will be employed in order to mitigate the potential erosion and downstream deposition of soils or other pollutants generated at the site. These BMPs will be removed when the planned landscape activities are complete, and final stabilization has been accomplished. The post-developed 1% annual chance (100-Year) discharge exiting the site will be maintained in its current condition. Because the site will not add any impervious areas to the site, no permanent storm water peak discharge attenuation measures are proposed at the site. E. Describe Conformance to Area & Basin Management Plans The proposed activities will improve the appearance of the site. The project site will be rezoned in order to bear the zoning that allows for planned and maintained landscaping, and its associated vegetation, instead of natural or undisturbed land area with its associated vegetation that exists under the current zoning. 6. Vegetation The proposed TDP will preserve approximately half of the landscape buffer. Existing topography in conjunction with the utility easement makes the northern half an ideal preservation area. This area is difficult to sculpt in a meaningful way, and rather than ignore it, additional vegetation will be added via on-site transplants and new nursery stock. The new vegetation will be strategically located to fill in gaps in the existing vegetation. This area will receive some much-needed maintenance to ensure all plants remain viable and continue to grow in a healthy manner. The southern portion of the buffer will be improved with water harvesting basins, new vegetation, and erosion control measures. Existing viable trees and cacti capable of surviving the transplanting process for five years will be relocated throughout the buffer. The utility easement immediately adjacent to Oracle Road will be cleared of invasive species and the Desert broom that is beginning to take hold in the area. Trees and shrubs may not be planted in the easement due to its associated infrastructure and access impediment, but the area will be hydroseeded and new rock will be added. Rancho Vistoso PAD Amendment Part II – Land Use Proposal 42 These improvements will restore the buffer’s scenic and environmental quality to support Oro Valley’s Environmentally Sensitive Lands ordinance. The new vegetation will enhance the scenic character from Oracle Road and ensure long term survivability of existing plants. Existing native plants will be transplanted on-site, to the greatest extent possible, to supplement the existing preservation area. Invasive plant species currently on-site will be removed. This high-quality landscape will complement the existing commercial development. The proposed grading and erosion control measures will protect existing infrastructure and development from future hazard. See Exhibit II.6.A: View Simulation for proposed conditions. Rancho Vistoso PAD Amendment Part II – Land Use Proposal 43 Exhibit II.6.A: View Simulation Rancho Vistoso PAD Amendment Part II – Land Use Proposal 44 7. Buffer Yards A. Techniques for Mitigating Sound, Visibility, Exterior Lighting and Traffic The buffer yard will be approximately one-hundred feet wide and planted in a manner that is similar to the existing vegetation. Voids in the buffer will be revegetated and the overall width will mitigate noise, light, traffic and other effects from Oracle Road. A 42” screen wall or berm or a combination of the two will be provided where the existing topography does not adequately screen parking light headlights from shining onto Oracle Road. B. Buffer yard Cross Sections The buffer yard will consist of a revegetated planting plan. Approximately half of the existing buffer yard will remain in place and be augmented with additional plants transplanted from on-site. The plants will receive maintenance to remove dead and dying growth, parasitic plants such as mistletoe, and growth that is impeding continued viability and health. Buffer yard plantings will consist of plants native to the Sonoran Desert and will primarily be comprised of plant species existing on-site. The buffer yard will be composed through the use of an upper level or tree level, a middle shrub level and a groundcover level. The upper level will be comprised of species that grow between fifteen and twenty five feet tall when fully grown. The shrub level will be comprised of species that grow between three feet and six feet when fully grown and the groundcover plane will be less than three feet tall. Rancho Vistoso PAD Amendment Part II – Land Use Proposal II-45 Exhibit II.15.B: Buffer yard Sections Rancho Vistoso PAD Amendment Part II – Land Use Proposal II-46 Exhibit II.15.B: Buffer yard Sections Rancho Vistoso PAD Amendment Part III – Text Amendment III-47 COVER Part III. Text Amendment Rancho Vistoso PAD Amendment Part III – Text Amendment III-48 Format of this Document: This document identifies the specific changes to the PAD that are being requested by this proposed amendment in the following manner: • The specific section of the PAD proposed for change is identified. • Language in the existing PAD that is proposed for removal is shown with strike through text. • Language that is proposed to be added to the PAD is shown in all capital letters. Proposed PAD Text Changes: Section 1.1 Development Program B. Consistency with Oro Valley’s Goals and Objectives (Page 11 of the PAD) This requested PAD amendment is proposed to change discussion point 6. On page 11 to allow for drainage improvements within the one-hundred-foot buffer. Use innovative planning and design techniques in environmentally sensitive areas. The Rancho Vistoso Plan shows a 100 foot natural setback from the right of way line of Oracle Road,(EXCEPT AS MODIFIED HEREIN) thus preserving the natural feeling and views along this scenic corridor. The overall planning of Rancho Vistoso is intended to respect the integrity of each future resident’s view of desert and mountain. Landscaping is to follow guidelines for compatibility with the existing desert vegetation. Environmentally sensitive areas such as washes, rock outcroppings, steep slopes and the ecologically rich Honey Bee Canyon have been preserved as open space. Section 1.2 The Rancho Vistoso PAD Policies A. Rancho Vistoso PAD General Policies (Page 47 of the PAD) This requested PAD amendment is proposed to change development requirement 5.L.1) Transportation: to allow for disturbance and revegetation of the 100-foot setback from the planned right-of-way. There shall be a 100-foot natural area setback from the planned right-of-way line of Oracle Road, EXCEPT AS MODIFIED HEREIN. Section 1.2 The Rancho Vistoso PAD Policies C. Neighborhood Policies Neighborhood #2 (Page 51 of the PAD) 3. Open Space Rancho Vistoso PAD Amendment Part III – Text Amendment III-49 c. THE 100’ NATURAL AREA SETBACK FROM THE PLANNED RIGHT-OF-WAY LINE OF ORACLE ROAD IN THE C-1 COMMERCIAL USE AREA MAY BE DISTURBED AND REVEGETATED AS A CONSTRUCTED LANDSCAPED BUFFER YARD COMPLIANT WITH THE ORO VALLEY ZONING CODE. CEEFFFGGGGGTTOWNER/DEVELOPER:WESTERN COMMERCIAL, LLCCONTACT: PHIL SKILLINGSTEL: 520-326-4500APPROVAL SIGNATURES:SCALE: 3" = 1 MILENORTHLOCATION MAPNORTH0'25'50'100'SCALE: 1"=50'DATELANDSCAPE PLANSRANCHO VISTOSO CENTERTHIS SHEETNP-LS-1NP-LS-2NP-LS-3COVERNPPO AND LANDSCAPENPPO AND LANDSCAPENPPO SUMMARYSHEET INDEX:SUBMITTAL HISTORY:June 2019Oct. 2019Jan. 2020Jan. 20201st2nd3rd4thTOWN OF ORO VALLEYTOWN OF ORO VALLEYTOWN OF ORO VALLEYTOWN OF ORO VALLEYLANDSCAPE PLANSRANCHO VISTOSOCENTER.----1901527GENERAL NOTES1.Zoning: existing zoning is "Rancho Vistoso PAD", with a land use designation of C-1.2.Area: the project area is approximately 1.63 acres.3.Area: project disturbance is approximately 25,674 sf.4.Area: significant vegetation disturbance is approximately 3,087 sf (calculated by canopy area) or 55% disturbance.4.1.Previous significant vegetation disturbance accounts for majority of disturbance.5.The project is located adjacent to Oracle Road within the Rancho Vistoso Center and subject to the ORSCOD.6.Previous disturbance will be mitigated for as part of this plan.7.A thirty-foot easement exists immediately adjacent to Oracle Road8.A PAD amendment is required as part of this landscape package in order to accommodate removal of the natural landscapeadjacent to Oracle Road.9.This plan is conceptual in nature. This plan is for compliance only and not for construction.10.Landscape to conform to Oro Valley Landscape Code11.Mitigation of surveyed plants in the Native Plant Preservation Plan will be incorporated in the landscape design12.Shrub locations are preliminary13.Assurances for water service, site stabilization and landscaping must be posted prior to the issuance of grading permits.NATIVE PLANT NOTES1.A native plant inventory was completed January 8, 2019 and revisited January 7, 2020. Significant vegetation and plants andor plant groupings that meet the criteria for Corridor Character Vegetation (CCV) were inventoried at the same time.2.Plants previously removed were identified by remaining stumps. Species and size were assessed using the stump, remainingmaterial, regrowth, aerial photography, and old Google Street View images. All previously removed plants are accounted for aspart of the significant vegetation summary.3.All plants were inventoried in accordance with section 27.10 of the Town of Oro Valley code.4.Every effort for direct transplant in-lieu of using a temporary nursery shall be made.LANDSCAPE NOTES1.Plants that are preserved in place will be maintained and pruned for continued health and viability of the landscape border. Allinvasive species and parasites will be removed.2.Decorative rock and future irrigation may not interfere with existing vegetation in the preservation area.3.Continued maintenance of the landscape border is allowed and includes removal of plants that are deemed in poor health. Allplants removed shall be replaced in like kind and species with a minimum size of 24" box for trees and 15 gallons for shrubs.4.The public utility easement shall be cleaned and maintained as part of this plan and continued maintenance. No planting isallowed to occur in the easement so a hydroseed mix with tackifier will be applied. No large shrubs or trees that may preventor impede access are allowed in the mix. See hydroseed mix this page. No rock will be applied to the easement5.Decorative rock will be applied to all areas of the project as indicated in landscape plans.I:\PROJECTS\WCP-01\AUTOCAD\WORKING DRAWINGS\WCP-01 LS 1.2.20.DWG, 01/21/2020, 10:44 AM, CHRIS LARIAPROJECT:DRAWN BY:CHECKED BY:DATE:REVISIONS/SUBMITTALSDATE# OF CASE NO:REFERENCE:CALL TWO WORKINGDAYS BEFORE YOU DIG602-263-11001-800-STAKE-IT(OUTSIDEMARICOPA COUNTY)THE USE OF PLANS PREPARED BY THE PLANNING CENTER SHALL BE RESTRICTED TO THE ORIGINAL SITE FOR WHICH THEY WERE PREPARED AND PUBLICATION THEREOF IS LIMITED TO SUCH USE. REPRODUCTION, PUBLICATION OR RE-USE BY ANY METHOD, IN WHOLE OR PART WITHOUT THE EXPRESSED WRITTEN CONSENT FROM THE LANDSCAPE ARCHITECT IS PROHIBITED. TITLE TO THESE CONCEPTS AND PLANS R E MA I N WI T H T HE LA N DS CA P E A RC HI T E CT W IT H O UT P RE J UD ICE . V I SU A L CO N T A CT W IT H T H E P LA N S S HA LL C O NS T I T UT E P RIM A F A C IE E V ID E NC E O F T HE A C CE P T A NC E O F T HE S E RE S T R ICT IO NS . T HE DR A W IN G S O R CO N CE P T S S HA L L N O T BE US E D IN P A RT O R I N W HO L E F O R CO N S T RU CT I O N W IT H O UT J US T C O M PE N S AT IO N A ND P E RM IS S IO N F R O M T HE PL A NN IN G C EN T E R.THEPLGCEANNNINERTadiviiIsooonfnTPCGrup,c.escrconegtetuosnaz857012600520.623.6146520.622.1950azplanningcenter.comssWCP-011/21/2020CJLDBCOVER14ORACLE ROADRANCHO VISTOS0 BOULEVARDEXISTINGMONUMENTATIONPROJECT EXTENTSMATCHLINEOFF-SITE FLOWENTRANCESHEET NP-LS-1 &SHEET IR-1, VIEW 1THIS PROJECTInventory & Mitigation Calculations Per Town of Oro Valley Code (Section 27.10)DANIEL A.BRADSHAW58092EXPIRES 06/30/ 2 0SHEET NP-LS-2 &SHEET IR-1, VIEW 215' WATER UTILITY EASEMENTPER DKT. 1C233, PG. 51515' PUBLIC UTILITY EASEMENTPER DKT. 10041, PG. 69930' PUBLIC UTILITY EASEMENTPER SEQ. 2013261059710' GAS EASEMENTPER DKT. 2112, PG. 23015'X25' SOUTHWESTGAS EASEMENTPER SEQ. 2013000045ORACLE RD.RANCHO VISTOSO BLVD.HYDROSEED MIXTYPEBOTANICAL NAME COMMON NAME LBS. PLS/ACSHRUBSAmbrosia deltoideaTriangle-leaf Bursage0.5Caliandra eriophylla Fairy Duster 3.0Encelia farinosaBrittlebush0.5Ericamerica laricifolia Turpentine Bush 1.0PERENNIALSBaileya multiradiata Desert Marigold 2.0Cassia covesii Desert Senna 0.5Glandularia gooddingii Goodding's Verbena 1.5Sphaeralcea ambigua Desert Globe Mallow 1.0GRASSESAristida purpurea Purple Three-Awn 1.25Aristida ternipes Spidergrass 1.25Eragrostis intermediaPlains Love Grass1.25 Sporobolus cryptandrus Sand Dropseed 1.25ANNUALSEschscholtzia mexicanaMexican Poppy1.0Lupinus sparsiflorus Desert Lupine 1.0Penstemon parryi Parry's Penstemon 2.0Penstemon subulatusScarlet Buglar 1.0ENGINEER:PERRY ENGINEERINGCONTACT: CARL LARSONTEL: 520-620-9870LANDSCAPE ARCHITECT:THE PLANNING CENTERCONTACT: DANIEL BRADSHAWTEL: 520-623-6146GRADING LIMITSTEMPORARY NURSERY(IF NEEDED)1/21/2020LIMITS OF DISTURBANCE EEFFGT172171170169168167166143141140.5139138136135134133132131130129.1128127126125124123122121120.6119118117116115114113112111110109108107106105104103102101137140.1140.2140.4140.3140.6179177178176120.1120.2120.3120.4120.5120.8120.9120.10120.7129.2129.5129.3129.4BOTANICAL NAMESIZEQTYCOMMON NAME TREESPROSOPIS VELUTINAVELVET MESQUITE SHRUBSENCELIA FARINOSA5 Gal.22BRITTLE BUSH19 ACCENTSBAILEYA MULTIRADIATADESERT MARIGOLDYUCCA GLAUCASOAPWEED YUCCA5 Gal.131535CALLIANDRA ERIOPHYLLA5 Gal.FAIRY DUSTERAGAVE HUACHUCENSISHUACHUCA AGAVE5 Gal.FEROCACTUS WISLIZENIIFISHHOOK BARREL CACTUSTOS44CERCIDIUM MICROPHYLLUMFOOTHILLS PALO VERDEASCLEPIAS SUBULATA5 Gal.DESERT MILKWEED31OPUNTIA BASILARISBEAVERTAIL PRICKLYPEAR5 Gal.10CERCIDIUM FLORIDUM155BLUE PALOVERDE15 Gal.36" Box48" BoxFOUQUIERIA SPLENDENSOCOTILLOECHINOCEREUS SPP.5 Gal.HEDGHOG CACTI6 Canes219HESPERALOE PARVIFLORARED YUCCA50HESPERALOE FUNIFERAGIANT HESPERALOE5 Gal.1414PEDILANTHUS MACROCARPUSLADY SLIPPER5 Gal.PLANT LEGEND2011TOS15 Gal.36" Box48" Box10677TOS15 Gal.36" Box48" BoxMUHLENBERGIA EMERSLEYIBULLGRASS472'X2'X2' BOULDER (OR LARGER)"DESERT GOLD" BY KALAMAZOO MATERIALS145 Gal.5 Gal.5 Gal.PRESERVE IN PLACE TREESPECIES VARIES39PIPNOTE: 215 OF THE 323 SHRUBS AND ACCENTS SATISFY UNDER-STORYMITIGATION REQUIREMENT (FOUQUIERIA SPLENDENS NOT INCLUDEDIN 315 COUNT)HYDROSEED W/ TACKIFIER: APPLY HYDROSEED TO EASEMENTADJACENT TO ORACLE ROAD (30') AND BASIN BOTTOMS ASINDICATED (SEE COVER SHEET FOR HYDROSEED MIX)DECORATIVE ROCK (DG): SIZE MIX: 60% 2"-4" RIP RAP, 20% 1" SCREENED,AND 20% 12" SCREENED. COLOR OF "DESERT GOLD" AS MANUFACTURED BYKALAMAZOO MATERIALS. INSTALLED AS INDICATEDRIP-RAP: COLOR OF "APACHE BROWN" AS MANUFACTURED BY KALAMAZOOMATERIALS. SIZE: 4" TO 10". CONTRACTOR TO SUBMIT SAMPLE FORAPPROVAL PRIOR TO CONSTRUCTION.EEFFGTTOSTOSTOSTOSTOSTOSTOSTOSTOSTOSTOSNPPO LEGENDPRESERVE IN PLACESIGNIFICANT VEGETATION(CORRIDOR CHARACTER VEG. (CCV))PLANT OR PLANT GROUPINGMEETING CCV DEFINITIONSTUMP/PREVIOUSLY REMOVED103TRANSPLANT ON SITE103REMOVE FROM SITE103NON-VIABLE103LANDSCAPE PLANSRANCHO VISTOSOCENTER.NATIVE PLANT & LANDSCAPE----1901527NORTHI:\PROJECTS\WCP-01\AUTOCAD\WORKING DRAWINGS\WCP-01 LS 1.2.20.DWG, 01/21/2020, 10:34 AM, CHRIS LARIAPROJECT:DRAWN BY:CHECKED BY:DATE:REVISIONS/SUBMITTALSDATE# OF CASE NO:REFERENCE:CALL TWO WORKINGDAYS BEFORE YOU DIG602-263-11001-800-STAKE-IT(OUTSIDEMARICOPA COUNTY)THE USE OF PLANS PREPA RED BY THE PLANNING CEN TER SHALL BE RESTR ICTED TO TH E O RIGINAL S ITE FOR WHICH THEY WE RE PR EPARED A ND PUBLICATION THEREOF IS LIMITED TO SUCH USE. REPRODUCTION, PUBLICATION OR RE-USE BY ANY ME THOD , IN WHOLE OR PAR T WIT HOUT THE EXP RESSED WRITTEN CON SENT FROM T HE LANDSCAPE ARCH ITECT IS PROH IBITED. TITLE TO T HESE CON CEPTS AND P LANS R E MA I N W I T H T HE L A ND S CA P E A R C HI T E C T W I T H O U T PR E J U D I C E. V I S U A L CO N T A CT WI T H T HE P L A N S S H A L L C O N S T I T U T E PR I M A F AC I E E V I D EN C E O F T H E A C C E P T A N C E O F T H E S E R E S T R I C T I O NS . T H E D R A W I NG S O R C O N C E PT S S H AL L NO T B E U S E D I N P AR T O R IN W H O L E F O R C ON ST R U C T I O N W I T HO U T J U ST CO M P EN SA T I O N A N D P ER M I S S I O N F R O M T H E P L AN N I NG C EN T E R .THEPLGCEANNNINERTadiviiIsooonfnTPCGrup,c.escrconegtetuosnaz857012600520.623.6146520.622.1950azplanningcenter.comssWCP-011/21/2020CJLDBNP-LS-1240'10'20'40'SCALE: 1"=20'MATCHLINE:SEE NP-LS-2 LEFTPROJECT EXTENTSMATCHLINE:SEE NP-LS-2 RIGHTPROJECT EXTENTSDANIEL A.BRADSHAW58092EXPIRES 06/30/ 2 0GRADING LIMITSNO PROPOSEDGRADING IN THIS AREA.NO PROPOSEDGRADING IN THIS AREA.EXISTING PLANTS IN THISAREA SHALL BEPRESERVED-IN-PLACE (PIP)EXISTING PLANTS IN THISAREA SHALL BEPRESERVED-IN-PLACE (PIP)15' WATER UTILITY EASEMENTPER DKT. 1C233, PG. 51515' WATER UTILITY EASEMENTPER DKT. 1C233, PG. 51515' PUBLIC UTILITY EASEMENTPER DKT. 10041, PG. 69915' PUBLIC UTILITY EASEMENTPER DKT. 10041, PG. 69930' PUBLIC UTILITY EASEMENTPER SEQ. 2013261059710' GAS EASEMENTPER DKT. 2112, PG. 23030' PUBLIC UTILITY EASEMENTPER SEQ. 2013261059710' GAS EASEMENTPER DKT. 2112, PG. 230EXISTINGWALLNOTE: THIS AREA TO BE CLEANEDAND MAINTAINED. DEAD PLANTSREMOVED AND DECORATIVEROCK TO BE INSTALLEDEXISTINGWALLWATER HARVESTING BASINSEE ENGINEERS PLANSHYDROSEEDEASEMENT(FIRST 30')GRADING LIMITS1/21/2020LIMITS OF DISTURBANCELIMITS OF DISTURBANCE40" WALL(EXACT LOCATION & LENGTHTO BE DETERMINED DURINGFINAL DESIGN PROCESS) BOTANICAL NAMESIZEQTYCOMMON NAME TREESPROSOPIS VELUTINAVELVET MESQUITE SHRUBSENCELIA FARINOSA5 Gal.22BRITTLE BUSH19 ACCENTSBAILEYA MULTIRADIATADESERT MARIGOLDYUCCA GLAUCASOAPWEED YUCCA5 Gal.131535CALLIANDRA ERIOPHYLLA5 Gal.FAIRY DUSTERAGAVE HUACHUCENSISHUACHUCA AGAVE5 Gal.FEROCACTUS WISLIZENIIFISHHOOK BARREL CACTUSTOS44CERCIDIUM MICROPHYLLUMFOOTHILLS PALO VERDEASCLEPIAS SUBULATA5 Gal.DESERT MILKWEED31OPUNTIA BASILARISBEAVERTAIL PRICKLYPEAR5 Gal.10CERCIDIUM FLORIDUM155BLUE PALOVERDE15 Gal.36" Box48" BoxFOUQUIERIA SPLENDENSOCOTILLOECHINOCEREUS SPP.5 Gal.HEDGHOG CACTI6 Canes219HESPERALOE PARVIFLORARED YUCCA50HESPERALOE FUNIFERAGIANT HESPERALOE5 Gal.1414PEDILANTHUS MACROCARPUSLADY SLIPPER5 Gal.PLANT LEGEND2011TOS15 Gal.36" Box48" Box10677TOS15 Gal.36" Box48" BoxMUHLENBERGIA EMERSLEYIBULLGRASS472'X2'X2' BOULDER (OR LARGER)"DESERT GOLD" BY KALAMAZOO MATERIALS145 Gal.5 Gal.5 Gal.PRESERVE IN PLACE TREESPECIES VARIES39PIPNOTE: 215 OF THE 323 SHRUBS AND ACCENTS SATISFY UNDER-STORYMITIGATION REQUIREMENT (FOUQUIERIA SPLENDENS NOT INCLUDEDIN 315 COUNT)NPPO LEGENDPRESERVE IN PLACESIGNIFICANT VEGETATION(CORRIDOR CHARACTER VEG. (CCV))PLANT OR PLANT GROUPINGMEETING CCV DEFINITIONSTUMP/PREVIOUSLY REMOVED103TRANSPLANT ON SITE103REMOVE FROM SITE103NON-VIABLE103CFGGGGT175174173165164163162161159158157156155154153152151149148145144143142141150147146183180181179182179177178176TOSCFGGGGTTOSHYDROSEED W/ TACKIFIER: APPLY HYDROSEED TO EASEMENTADJACENT TO ORACLE ROAD (30') AND BASIN BOTTOMS ASINDICATED (SEE COVER SHEET FOR HYDROSEED MIX)DECORATIVE ROCK (DG): SIZE MIX: 60% 2"-4" RIP RAP, 20% 1" SCREENED,AND 20% 12" SCREENED. COLOR OF "DESERT GOLD" AS MANUFACTURED BYKALAMAZOO MATERIALS. INSTALLED AS INDICATEDRIP-RAP: COLOR OF "APACHE BROWN" AS MANUFACTURED BY KALAMAZOOMATERIALS. SIZE: 4" TO 10". CONTRACTOR TO SUBMIT SAMPLE FORAPPROVAL PRIOR TO CONSTRUCTION.LANDSCAPE PLANSRANCHO VISTOSOCENTER.NATIVE PLANT & LANDSCAPE----1901527NORTHI:\PROJECTS\WCP-01\AUTOCAD\WORKING DRAWINGS\WCP-01 LS 1.2.20.DWG, 01/21/2020, 10:34 AM, CHRIS LARIAPROJECT:DRAWN BY:CHECKED BY:DATE:REVISIONS/SUBMITTALSDATE# OF CASE NO:REFERENCE:CALL TWO WORKINGDAYS BEFORE YOU DIG602-263-11001-800-STAKE-IT(OUTSIDEMARICOPA COUNTY)THE USE OF PLANS PREPA RED BY THE PLANNING CEN TER SHALL BE RESTR ICTED TO TH E O RIGINAL S ITE FOR WHICH THEY WE RE PR EPARED A ND PUBLICATION THEREOF IS LIMITED TO SUCH USE. REPRODUCTION, PUBLICATION OR RE-USE BY ANY ME THOD , IN WHOLE OR PAR T WIT HOUT THE EXP RESSED WRITTEN CON SENT FROM T HE LANDSCAPE ARCH ITECT IS PROH IBITED. TITLE TO T HESE CON CEPTS AND P LANS R E MA I N W I T H T HE L A ND S CA P E A R C HI T E C T W I T H O U T PR E J U D I C E. V I S U A L CO N T A CT WI T H T HE P L A N S S H A L L C O N S T I T U T E PR I M A F AC I E E V I D EN C E O F T H E A C C E P T A N C E O F T H E S E R E S T R I C T I O NS . T H E D R A W I NG S O R C O N C E PT S S H AL L NO T B E U S E D I N P AR T O R IN W H O L E F O R C ON ST R U C T I O N W I T HO U T J U ST CO M P EN SA T I O N A N D P ER M I S S I O N F R O M T H E P L AN N I NG C EN T E R .THEPLGCEANNNINERTadiviiIsooonfnTPCGrup,c.escrconegtetuosnaz857012600520.623.6146520.622.1950azplanningcenter.comssWCP-011/21/2020CJLDBNP-LS-2340'10'20'40'SCALE: 1"=20'MATCHLINE:SEE NP-LS-1 LEFTEXISTINGMONUMENTATIONPROJECT EXTENTSOFF-SITEDRAINAGECURB CUT ANDRIP-RAP TO CAPTURESTREET RUN OFFWATER HARVESTING BASINSEE ENGINEERS PLANEXISTINGMONUMENTATIONPROJECT EXTENTSMATCHLINE:SEE NP-LS-1 RIGHTDANIEL A.BRADSHAW58092EXPIRES 06/30/ 2 030' PUBLIC UTILITY EASEMENTPER SEQ. 2013261059710' GAS EASEMENTPER DKT. 2112, PG. 23030' PUBLIC UTILITY EASEMENTPER SEQ. 2013261059710' GAS EASEMENTPER DKT. 2112, PG. 23015'X25' SOUTHWEST GAS EASEMENTPER SEQ. 201300004515'X25' SOUTHWESTGAS EASEMENTPER SEQ. 201300004510' ELE. EASEMENTPER DKT. 10521, PG. 23810' ELE. EASEMENTPER DKT. 10521, PG. 238EXISTINGWALLEXISTINGRETAININGWALLHYDROSEEDEASEMENT(FIRST 30')DECORATIVE ROCKINSTALLED AS INDICATEDGRADING LIMITS1/8/202040" WALL(EXACT LOCATION & LENGTHTO BE DETERMINED DURINGFINAL DESIGN PROCESS) LANDSCAPE PLANSRANCHO VISTOSOCENTER.NATIVE PLANT & LANDSCAPE----1901527I:\PROJECTS\WCP-01\AUTOCAD\WORKING DRAWINGS\WCP-01 LS 1.2.20.DWG, 01/21/2020, 10:34 AM, CHRIS LARIAPROJECT:DRAWN BY:CHECKED BY:DATE:REVISIONS/SUBMITTALSDATE# OF CASE NO:REFERENCE:CALL TWO WORKINGDAYS BEFORE YOU DIG602-263-11001-800-STAKE-IT(OUTSIDEMARICOPA COUNTY)THE USE OF PLANS PREPA RED BY THE PLANNING CEN TER SHALL BE RESTR ICTED TO TH E O RIGINAL S ITE FOR WHICH THEY WE RE PR EPARED A ND PUBLICATION THEREOF IS LIMITED TO SUCH USE. REPRODUCTION, PUBLICATION OR RE-USE BY ANY ME THOD , IN WHOLE OR PAR T WIT HOUT THE EXP RESSED WRITTEN CON SENT FROM T HE LANDSCAPE ARCH ITECT IS PROH IBITED. TITLE TO T HESE CON CEPTS AND P LANS R E MA I N W I T H T HE L A ND S CA P E A R C HI T E C T W I T H O U T PR E J U D I C E. V I S U A L CO N T A CT WI T H T HE P L A N S S H A L L C O N S T I T U T E PR I M A F AC I E E V I D EN C E O F T H E A C C E P T A N C E O F T H E S E R E S T R I C T I O NS . T H E D R A W I NG S O R C O N C E PT S S H AL L NO T B E U S E D I N P AR T O R IN W H O L E F O R C ON ST R U C T I O N W I T HO U T J U ST CO M P EN SA T I O N A N D P ER M I S S I O N F R O M T H E P L AN N I NG C EN T E R .THEPLGCEANNNINERTadiviiIsooonfnTPCGrup,c.escrconegtetuosnaz857012600520.623.6146520.622.1950azplanningcenter.comssWCP-011/21/2020CJLDBNP-LS-3441.MITIGATION MEASURES AND PROCEDURESALL SPECIES THAT ARE IDENTIFIED ASSALVAGEABLE WILL BE SALVAGED DURING THECOURSE OF THIS PROJECT AND UTILIZED ONSITE. THE PREFERRED METHOD OF TREESALVAGE IS DIRECT TRANSPLANT, HOWEVERBOTH BOX AND SPADE SALVAGE METHODS MAYBE USED. ALL TREES WHOSE CALIPER IS LESSTHAN 6 INCHES MAY BE SALVAGED WITH A TREESPADE. THIS ASSUMES THAT AN 60 INCH SPADEWILL BE USED FOR THE OPERATION AND THATSOIL CONDITIONS ON THE SITE ARE AMENABLETO SPADING. SPECIES SALVAGED WITH THESPADE WILL BE MOVED ONLY ONE TIME - TOTHEIR FINAL PLANTING LOCATION. THIS WILLREQUIRE CAREFUL COORDINATION BETWEENCONTRACTORSALL SALVAGED SPECIES WILL BE PROVIDED WITHTEMPORARY IRRIGATION AT THE HOLDINGNURSERY AND PERMANENT IRRIGATION WHENTRANSPLANTED TO THEIR FINAL LOCATION.AREAS WHERE SALVAGED SPECIES WILL BETRANSPLANTED INCLUDE LANDSCAPEDBUFFERYARDS. SALVAGE CONTRACTORS WILLBE RESPONSIBLE FOR GUARANTEEING ALLSALVAGED PLANT MATERIAL FOR A MINIMUM OFONE YEAR IN THE HOLDING NURSERY AND FOR90 DAYS ONCE TRANSPLANTED.ALL SALVAGEABLE PLANT SPECIES THAT AREDAMAGED THROUGH CONSTRUCTION ORTRANSPLANTING OPERATION WILL BE REPLACEDWITH CONTAINERIZED NURSERY STOCKMATERIALS OF THE SAME SIZE, GENUS ANDSPECIES AT A RATIO OF 1:1 . ALL SALVAGEDMATERIAL WILL REQUIRE IRRIGATION.2.BOXING VS. SPADINGBOXING TECHNIQUES ARE RECOMMENDED FORALL TREES WITH A CALIPER MORE THAN 6". THETREE BOXING OPERATION SHOULD BEGIN,IDEALLY, AT LEAST SIX WEEKS IN ADVANCE OFSITE GRADING TO AVOID SCHEDULINGCONFLICTS.3.DETERMINATION OF BOX SIZEFOR THOSE TREES, WHICH ARE GREATER THAN6" IN CALIPER, THE SIZE OF BOX THAT THE TREEWILL BE TRANSPLANTED INTO MUST BEDETERMINED PRIOR TO BEGINNING THETRANSPLANT PROCEDURE. IN GENERAL, THEFOLLOWING SIZE RANGES APPLY:TRUNK DIAMETER BOX SIZE 3.5 - 4.0" 24" 4.0 - 5.5" 36" 5.5 - 7.5" 42" 7.0 - 9.5" 48" 9.0 - 11.5" 54" 11.0 - 13.5" 60" 13.0 - 15.5" 66" 15.5 - 18.0" 72"4.PRUNING LIMIT PRUNING TO LESS THAN 15% OF THE TOTALTREE CANOPY. THE OBJECTIVE IS TO PROVIDEAN AESTHETIC FRAMEWORK OF BRANCHES THATPRESERVES THE ORIGINAL NATURAL FEATURESOF THE TREE BEING SALVAGED. RESTRICTPRUNING TO THE SMALLEST POSSIBLE CUT JUSTOUTSIDE OF THE BRANCH COLLAR. DO NOTPRUNE INTERIOR FOLIAGE. USE CLEAN TOOLSONLY. PRUNE OUT ALL DEAD WOOD ANDMISTLETOE.5.FERTILIZATIONDURING PLANTING OF BOXED TREES, FERTILIZERTABLETS MAY BE PLACED IN EACH PLANTING PIT.THE TABLETS SHALL BE PLACED AFTERBACKFILLING HALFWAY UP THE ROOTBALL -APPROXIMATELY 1" FROM THE ROOT TIPS.6.IRRIGATION OF SALVAGED PLANTSIRRIGATION IN THE TEMPORARY HOLDING AREAWILL BE BY PVC / POLYETHYLENE DRIP SYSTEMCONFORMING TO TOWN OF ORO VALLEY CODE,WITH A MANUAL OR AUTOMATIC CONTROLVALVE. THE SYSTEM WILL LATER BEABANDONED / REMOVED.GENERAL NOTES1.Any spaded or boxed tree transplanted on site that dies due to neglect or lack of maintenance shall be replaced with the samesize and species of the original salvaged tree, as required by the salvage plan2.No salvage of plants regulated the the Endangered Species Act and/or the Arizona Have Plant Law may occur without theissuance of the appropriate permit by the State Department of Agriculture3.Salvage of operations shall no commence until the Zoning inspector has performed an inspection and given approval to besalvaged4.Temporary nursery shall be in conformance with Section 27.6.B.4.j5.Mitigation of Significant Vegetation shall be in accordance with Table 27-1 Mitigation of Significant Vegetation6.Any plant the meets the salvage criteria in Section 27.6.B.4 shall be preserved in lace or transplanted on-site. Any plants thatmeet the salvage criteria that are destroyed shall be replaced on a one-to-one ratio of the same species and size as thatdestroyed. Five under story plants from the supplemental Arizona Department of Water Quality native plant list will be plantedfor every mitigated tree.7.The limits of disturbance shall be staked in the field, in accordance with Section 27.6.B.7.c.ii. Disturbance outside the approvedgrading limits shall not be permitted.8.All transplants on-site meet the CCV criteria and must be transplanted to prominent locations. transplants with a caliper greaterthan 8 inches shall be located closer to Oracle Road.DANIEL A.BRADSHAW58092EXPIRES 06/30/ 2 01/8/2020 Neighborhood Meeting Summary Rancho Vistoso Center Planned Area Development (PAD) Amendment Request August 21, 2019, 5:00 – 6:30 pm Rancho Vistoso Center, 13005 N. Oracle Road 1. Introductions and Welcome Meeting facilitator Hannah Oden, Town of Oro Valley Senior Planner, summarized the nature of the request and the review process for the application. Approximately 10 residents and interested parties attended the meeting. In attendance were Planning Commissioners Thomas Gribb, Skeet Posey, and Ellen Hong. 2. Staff Presentation Hannah Oden, the project manager for the Town, provided a presentation that included:  Purpose of the meeting  An explanation of a Planned Area Development  Existing zoning parameters of the property  Applicant’s proposal for the property  General Plan and Zoning Code evaluation criteria  Overview of the amendment process and opportunities for public participation 3. Applicant Presentation The applicant, Ms. Linda Morales of the The Planning Center, provided a presentation detailing the applicant’s proposal. The applicant’s presentation included:  Overview of the site and history  Overview of the proposal  The proposed conceptual landscape plan  Overview of the PAD Amendment Process 4. Public Questions and Comments Following is a summary of the topics, questions and comments discussed at the meeting.  Scope of the project and if it would include the monument area.  What the mitigation would look like for trees previously removed and if that area would be re- vegetated to its previous state.  The purpose of the proposal and how it is related to the zoning violation.  How the landscaping and zoning violation is connected with new signs for the property.  The review time and process.  Type of vegetation used and concern over plants damaging the monument wall.  How the proposal would address drainage and erosion concerns.  The type of landscaping, including trees and hydroseed, that would be used and where, including the methods. Chris Laria, The Planning Center, provided more detail on the proposed conceptual landscape plan. Property owner, Mr. Phil Skillings, addressed some of the questions related to the proposed development throughout the question and comment period. Ms. Morales and Ms. Oden addressed the remaining questions. Ms. Oden closed the meeting, thanked everyone for their attendance, and encouraged everyone to contact her with any additional thoughts, comments, or concerns and to visit OVprojects.com for additional information. She also announced that based on comments shared at the meeting, no additional neighborhood meetings will be required unless the project changes substantially.    Planning & Zoning Commission AGENDA ITEM: 3. Meeting Date:02/04/2020   Requested by: Bayer Vella, Community and Economic Development  Case Number: 1901527 SUBJECT: DISCUSSION AND POSSIBLE ACTION REGARDING A RANCHO VISTOSO PAD TEXT AMENDMENT AND CONCEPTUAL LANDSCAPE PLAN TO CONVERT A NATURAL OPEN SPACE AREA INTO A CONSTRUCTED LANDSCAPED BUFFER YARD LOCATED AT THE NORTHWEST CORNER OF ORACLE ROAD AND RANCHO VISTOSO BOULEVARD AT THE RANCHO VISTOSO CENTER, 1901527. THE REQUEST INCLUDES TWO ITEMS. A. PUBLIC HEARING: PAD TEXT AMENDMENT TO ALLOW GRADING AND LANDSCAPING FOR DRAINAGE IMPROVEMENTS IN A NATURAL OPEN SPACE AREA B. CONCEPTUAL LANDSCAPE PLAN FOR THE OPEN SPACE AREA RECOMMENDATION: Item A Staff recommends approval of the proposed Planned Area Development (PAD) Text Amendment request to convert a natural open space area into a landscaped buffer yard. Item B Staff recommends approval of the proposed Conceptual Landscape Plan subject to the conditions in Attachment 1. Please note, Item A directly impacts Item B. If the Planning and Zoning Commission should choose to recommend denial of Item A, a recommendation of denial must also be provided for Item B. EXECUTIVE SUMMARY: The purpose of this request is to consider two items related to converting an area of natural open space to a constructed landscaped buffer yard located at the northwest corner of Oracle Road and Rancho Vistoso Boulevard, as shown on the map to the right.  The Rancho Vistoso PAD currently requires a 100-foot natural open space area along the west side of Oracle Road. The two items include:  An amendment to the text of the Rancho Vistoso PAD to convert an area of natural open space to a constructed landscaped buffer yard to accommodate drainage improvements (Attachment 2). A. A Conceptual Landscape Plan which involvesB. grading a portion of the site, replanting the area, transplanting salvaged plants within the project area, and installation of drainage improvements (Attachment 3).  The request involves changing a natural open space area to a constructed landscaped buffer yard. The proposal includes grading a portion of the site on the southern half of the project area for drainage improvements and landscaping. The northern portion of the open space area is proposed to be preserved in place but allow for transplanting salvaged plants, placement of irrigation lines, and removal of dead plant material and additional debris. The applicant is seeking the change to address a lack of visibility from Oracle Road into the shopping center due to the existing slope and to address existing drainage issues. Over the years, the Rancho Vistoso Commercial Center has struggled with tenant turnover and the loss of a major grocery anchor. The center currently has vacant spaces and the applicant is proposing increased visibility into the shopping center through a landscaped buffer yard to bolster the vitality of the commercial area. The proposal would allow for a landscaped buffer yard similar to other commercial centers in Oro Valley and along Oracle Road.  The two items were triggered by a violation when the property owner removed trees from the open space area to increase visibility into the shopping center. The applicant's proposal includes mitigation for the removed trees. The existing open space area does not provide high quality habitat or environmental resource value and is disconnected from other open space areas. The 1987 requirement for a 100-foot undisturbed natural open space area is also more restrictive than what the Town's Zoning Code currently allows, as landscaping and grading for drainage improvements are permitted in buffer yards.  The applicant's proposal for Item B includes a Conceptual Landscape Plan that utilizes low water use, native vegetation designed to improve visibility into the shopping center. Significant vegetation has been transplanted, mitigated, or preserved in place and the previously destroyed trees have been mitigated in accordance with the Zoning Code.  Drainage improvements include enhanced grading to address ongoing issues in the parking lot, the addition of rock rip-rap to mitigate erosion, and water harvesting basins to capture rainwater and address erosion behind the Rancho Vistoso monument sign.  One neighborhood meeting was held on August 21, 2019 for the proposal. Based on feedback received at the meeting (Attachment 4), a second neighborhood meeting was not needed as all questions and concerns had been addressed. PAD Text Amendment requests are reviewed for conformance with the Your Voice, Our Future General Plan land use designation, goals and policies and Zoning Code. Conceptual landscape plans are reviewed for conformance with the Zoning Code. Staff finds that Items A and B conform to the General Plan and Zoning Code and staff recommends approval.    BACKGROUND OR DETAILED INFORMATION: The purpose of this request is to consider two items related to converting a natural open space area to a constructed landscaped buffer yard located at the northwest corner of Oracle Road and Rancho Vistoso Boulevard at the Rancho Vistoso Center commercial development. Item A Item A is a text amendment to the Rancho Vistoso PAD to allow for a required open space area to be converted into a constructed landscaped buffer yard and applies only to the property in question. The text amendment would allow for disturbance and re-vegetation to accommodate drainage improvements and address erosion issues while permitting ongoing maintenance for vegetation health. Item B Item B is a conceptual landscape plan which entails grading a portion of the site for drainage improvements and water harvesting, replanting the area in a way that improves visibility into the shopping center, and transplanting salvaged plants to prominent locations within the buffer yard. Conditions of approval, only associated with Item B, are included in Attachment 1 that address minor outstanding issues on the Native Plant Salvage and Conceptual Landscape Plans. This includes specifying the location and treatment of a small number of remaining plants, meeting the minimum separation distance between transplanted mesquite and palo verde trees, and ensuring the wall to screen vehicle headlights onto Oracle Road is the proper height.  The existing natural open space area was previously disturbed for the installation of utilities in a 30-foot utility easement and much of the existing vegetation is in decline. Furthermore, the area is disconnected from other open space and does not have high habitat or environmental resource value as it is a small portion of land surrounded by roads and development. No significant plant species, such as saguaros or ironwood trees exist on the site. Due to these factors, the area does not serve as a prime example of undisturbed natural open space. Moreover, the existing Oro Valley Zoning Code allows more flexibility for buffer yards than what the Rancho Vistoso PAD required when it was established in 1987. Lastly, the property owner was formally cited with a violation for removing a number of trees. The commercial center has struggled over the years with tenant turnover and loosing a major grocery anchor. The applicant's two requests seek to address the outstanding violation while incorporating re-vegetation of disturbed areas and a refresh of the buffer yard. The design also includes drainage and landscaping improvements to increase visibility into the shopping center to support the vitality of the existing businesses and attract new tenants to fill existing vacant spaces.  A. EXISTING CONDITIONS AND CONTEXT Zoning Context  The existing zoning for the property and the surrounding areas are shown on the map to the right. The subject property is currently designated as Open Space in Rancho Vistoso Neighborhood 2. Nearby zoning designations include Community Commercial, and Campus Park Industrial. Site Conditions  1.63 acres Property is vacant Property History  June 1987: Rancho Vistoso Planned Area           Development established, Open Space Zoning designation February 2017: Property owner formally cited for a violation after removing trees in the open space buffer yard  Rancho Vistoso PAD Neighborhood 2 "There shall be a 100-foot natural area setback from the planned right-of-way line of Oracle Road. The Rancho Vistoso Plan shows a 100 foot natural setback from the right of way line of Oracle Road, thus preserving the natural feeling and views along this scenic corridor". B. APPLICANT'S REQUEST The applicant's request includes two items detailed below. Item A A PAD text Amendment to the text of the Rancho Vistoso PAD to allow for the required natural open space setback from Oracle Road to be converted into a constructed landscaped buffer yard and would apply only to the property in question as part of this request. The request would allow for disturbance necessary to address existing drainage and erosion issues and allow for landscaping and re-vegetation in a manner typical of commercial shopping centers on Oracle Road. Furthermore, the disturbance allowance would provide for ongoing maintenance for health and viability of plants. As previously mentioned, the open space area has been previously disturbed and a number of plants are in decline. The area is not indicative of prime habitat or a critical environmental resource and includes no significant native plant species, such as saguaros or ironwood trees. The proposed changes would permit clearance of dead plant material and weeds, native plant salvage in conformance with the Zoning Code, and re-vegetation of the area with healthy native plants. This parcel is also disconnected from other open space areas by existing roads and development and does not provide connectivity to other open space areas. . Additionally, the current requirement for the 100-foot natural open space setback per the Rancho Vistoso PAD is more restrictive than what the Town's Zoning Code currently requires, including the Oracle Road Scenic Corridor Overlay District (ORSCOD) requirements. The Town's Zoning Code permits disturbance and landscaping within buffer yards for drainage improvements.  Item B A Conceptual Landscape Plan for the existing open space area along the Oracle Road right of way. The applicant has provided a Conceptual Landscape Plan and native plant inventory and mitigation plan (Attachment 3). The proposed landscape plan utilizes low water use, native vegetation in accordance with the Zoning Code. The landscape plan incorporates drainage and erosion improvements through the use of rock rip-rap and two new water harvesting basins. The proposed landscaping provides improved visibility into the shopping center while grouping trees to mimic a natural landscape to provide a vegetated buffer between Oracle Road and the shopping center. The Conceptual Landscape Plan proposes grading a portion of the open space area on the southern half f the site to allow for two water harvesting basins. This area will be completely re-vegetated. Additional trees will be removed or transplanted outside the grading limits as part of the landscape plan on the southern half of the project. The northern portion of the project area will not be graded and all plants will be preserved in place. The existing berm will remain in place and salvaged plants will be transplanted to this area. Minor intrusion in this area is proposed for the placement of irrigation and clearing out dead plant material and additional debris.  Ground cover for the entire site includes native shrub and accent plants, decorative screen rock, and hydroseeding. There is a previously disturbed and graded 30-foot wide utility easement on the western portion of the buffer yard which the applicant is proposing to re-vegetate. The applicant has inventoried all native plants in accordance with the Zoning Code, including significant vegetation and Corridor Character Vegetation (CCV) as part of the Oracle Road Scenic Corridor Overlay District. Viable significant vegetation and CCV in the proposed graded area will be salvaged and transplanted to prominent locations within the buffer yard or preserved in place. The landscape design is removing two viable CCV trees to allow for easement access and drainage improvements. The trees that were previously removed have been classified as significant vegetation by the applicant and mitigated for at a 2:1 ratio. Salvaged plants will be transplanted directly on-site with no anticipated need for a temporary nursery. However, one is identified on the landscape plans if the need for one arises. The area of proposed grading for water harvesting basins is approximately 0.37 acres. The applicant is proposing minimally impacting the entire site for transplanting salvaged vegetation, ground cover treatments, irrigation, and clearing out dead plant material and additional debris.   C. GENERAL PLAN CONFORMANCE ANALYSIS PAD text amendment applications are reviewed for conformance with the Your Voice, Our Future General Plan Vision, Guiding Principles, Goals and Policies. On balance, staff finds that the proposed PAD Amendment conforms Vision, Guiding Principles, Goals and Policies. On balance, staff finds that the proposed PAD Amendment conforms to the General Plan specifically regarding: Item A  Protection from stormwater impacts View preservation and conserving natural resources and native vegetation Supporting the viability of local businesses and the local economy  Below is a more detailed General Plan analysis: The General Plan Vision "Oro Valley strives to be a well-managed community that provides all residents with opportunities for quality living. Oro Valley will keep its friendly, small-town, neighborly character, while increasing services, employment and recreation. The Town's lifestyle continues to be defined by a strong sense of community, a high regard for public safety and an extraordinary natural environment and scenic views". Staff finds that the proposed PAD Amendment is consistent with the Vision as it manages stormwater and respects the natural environment through the proposed landscape design while supporting the local economy. Guiding Principles, Goals, and Policies Item A and B Policy SD.10 of the General Plan emphasizes protection of the public and environment from stormwater impacts. The text amendment would accommodate drainage improvements and address problems stemming from erosion, particularly behind the Rancho Vistoso monument sign. The request is consistent with this policy as the improvements will improve drainage at the shopping center by slowing the flow of stormwater and encouraging water infiltration, thus reducing impacts.  Goal K and policy SD.6 of the General Plan emphasize the protection and restoration of lands with high scenic values and maintaining the visual character of the community. The area associated with this proposed PAD Amendment is a visible stretch of land along a major roadway. While the applicant's request allows some disturbance, the associated Conceptual Landscape Plan utilizes native, low water use plants and preserved in place, transplants, or mitigates for all viable significant and non-significant vegetation. The proposal captures rainwater and enhances vegetative density at the northern portion of the site by transplanting salvaged plants in this area. As previously mentioned, this open space buffer yard is disconnected from other open space systems and has limited habitat and natural resource value. The proposal enhances the area and restores the area with native vegetation. The request is consistent with these goals and policies as it is sensitive to the natural environment and surrounding landscape while enhancing an area along a scenic corridor. Policy SD.3 and Policy SD.4 emphasize conserving the Town's natural resources and protecting native vegetation. While this portion of open space does not have a high natural resource value compared to larger, more connected open space areas, the applicant is maintaining the open space designation of the area and transplanting or preserving in place a large number of viable native vegetation. The request is consistent with these policies as it protects native vegetation and maintains the buffer yard as open space and utilizes native vegetation in the landscape plan.  Goal B and policy E.1 of the General plan emphasize a strong local economy and economic stability. The proposed improvements provide increased visibility into the shopping center which supports local businesses and the local economy while still maintaining the scenic view shed along Oracle Road. The request is consistent with these goals and policies by bolstering the economic vitality of the Rancho Vistoso Center.  D. ZONING CODE CONFORMANCE ANALYSIS Conceptual Landscape Plans are also reviewed for conformance with the requirements of the Zoning Code. A summary is provided below.  Item A Buffer Yards: The Zoning Code and ORSCOD requirements allow for drainage improvements and landscaping designed to provide visibility into commercial centers within buffer yards. This provides a balance between functionality and providing open space. The intent of the natural setback adopted in 1987 along Oracle Road was to maintain a buffer yard between Oracle Road and commercial development. The intent is still met by the proposed PAD Amendment and conforms to what is permitted by the Town's Zoning Code.  Item B Site Design: The request and Conceptual Landscape Plan are in conformance with the requirements specified in the Town Zoning Code and Rancho Vistoso PAD.  The proposed landscape plan utilizes native, low water use plants while addressing existing drainage issues. Planting locations, ground cover, and native plant salvage and mitigation all conform to the requirements of the Town Zoning Code. The trees that were previously removed by the property owner are being mitigated at a 2:1 ratio as required by code. Viable Corridor Character Vegetation (CCV) may not be removed within 100-feet of Oracle Road without Planning and Zoning Commission approval. As previously mentioned two viable CCV plants are proposed to be removed for easement access and drainage improvements. The applicant is transplanting all remaining viable CCV and significant vegetation to visible locations or preserving the vegetation in place.  Lastly, the site design provides headlight screening onto Oracle Road as required by code through a combination of berms and a proposed screen wall between Oracle Road and the shopping center. Several minor conditions of approval are included in Attachment 1 to ensure the screen wall meets the required height and to address outstanding issues on the native plant inventory. E. PUBLIC PARTICIPATION The following notice has been provided:  Notification to all property owners within 600 feet Notification to all interested parties who signed in at neighborhood meetings Homeowners association mailing Advertisement in The Daily Territorial  Posting on property Posting at Town Hall and on Town's Website One neighborhood meeting for the request was held on August 21, 2019 with approximately 10 residents and tenants in attendance. The main topics discussed at this meeting included:  Mitigation of previously destroyed trees  The applicant explained that the trees would be mitigated for as required by code. Type of landscaping and vegetation used and methods  The applicant discussed the type of low water use, native plants used for the landscape design and where they would be placed.  Scope of the project  The applicant discussed the parameters and limits of the project.  How the proposal would address drainage issues  The applicant discussed the proposed drainage improvements through grading, water harvesting basins, and the rock rip-rap at the southern portion of the site to mitigate erosion. If the proposed vegetation would affect the integrity of the monument wall  The applicant explained the proposed vegetation would not structurally impact the monument wall. Rather, the improved erosion control would help limit future impacts. A copy of the neighborhood meeting summary is provided as Attachment 4. Staff has not received any further comments from residents or neighbors. E. SUMMARY AND RECOMMENDATION E. SUMMARY AND RECOMMENDATION In summary, the proposal conforms to the goals and policies of the General Plan and all applicable requirements of the Zoning Code. Staff recommends approval of both Item A and Item B subject to the conditions in Attachment 1. FISCAL IMPACT: N/A SUGGESTED MOTION: The Planning and Zoning Commission may wish to consider the following suggested motions: Item A I MOVE to RECOMMEND APPROVAL of Item A, the PAD Text Amendment, to permit construction of a landscaped buffer yard, based on the finding that the application is in conformance with the Your Voice, Our Future General Plan and Zoning Code. OR I MOVE to RECOMMEND DENIAL of Item A, the PAD Text Amendment, based on the finding that _______________________________________. Item B I MOVE to RECOMMEND APPROVAL of Item B, the Conceptual Landscape Plan, subject to the conditions in Attachment 1, based on the finding that the application is in conformance with all Zoning Code requirements. OR I MOVE to RECOMMEND DENIAL of Item B, the Conceptual Landscape Plan, based on the finding that _______________________________________. Attachments Attachment 1: Conditions of Approval  Attachment 2: Applicant Submittal, Site Analysis and Text Amendment  Attachment 3: Applicant Submittal, Conceptual Landscape Plan  Attachment 4: Neighborhood Meeting Summary  D R A F T MINUTES ORO VALLEY PLANNING AND ZONING COMMISSION REGULAR SESSION February 4, 2020 ORO VALLEY COUNCIL CHAMBERS 11000 N. LA CAÑADA DRIVE            REGULAR SESSION AT OR AFTER 6:00 PM Chair Gambill called the meeting to order at 6:00 p.m.   CALL TO ORDER   ROLL CALL Present: Hal Bergsma, Commissioner Celeste Gambill, Commissioner Skeet Posey, Commissioner Neal Herst, Commissioner Jacob Herrington, Commissioner Daniel Sturmon, Commissioner Absent: Ellen Hong, Commissioner Staff Present:Michael Spaeth, Principal Planner David Laws, Permitting Manager Joe Andrews, Chief Civil Deputy Attorney  Town Council Liaison Melanie Barrett arrived at 6:29 p.m.   PLEDGE OF ALLEGIANCE Chair Gambill led the Commission and audience in the Pledge of Allegiance.   CALL TO AUDIENCE There were no speaker requests.   COUNCIL LIAISON COMMENTS Council Liaison Melanie Barrett provided an update of Planning items on past and upcoming Town Council agendas.   REGULAR SESSION AGENDA   1.REVIEW AND APPROVAL OF THE DECEMBER 19, 2019 STUDY SESSION MEETING MINUTES       Motion by Commissioner Jacob Herrington, seconded by Commissioner Skeet Posey to approve the February 4, 2020 Planning and Zoning Commission Meeting Minutes 1  Motion by Commissioner Jacob Herrington, seconded by Commissioner Skeet Posey to approve the December 19, 2019 meeting minutes as written.  Vote: 6 - 0 Carried   2.REVIEW AND APPROVAL OF THE JANUARY 6, 2020 SPECIAL SESSION MEETING MINUTES       Motion by Commissioner Neal Herst, seconded by Commissioner Hal Bergsma to approve the January 6, 2020 meeting minutes as written.  Vote: 6 - 0 Carried   3.DISCUSSION AND POSSIBLE ACTION REGARDING A RANCHO VISTOSO PAD TEXT AMENDMENT AND CONCEPTUAL LANDSCAPE PLAN TO CONVERT A NATURAL OPEN SPACE AREA INTO A CONSTRUCTED LANDSCAPED BUFFER YARD LOCATED AT THE NORTHWEST CORNER OF ORACLE ROAD AND RANCHO VISTOSO BOULEVARD AT THE RANCHO VISTOSO CENTER, 1901527. THE REQUEST INCLUDES TWO ITEMS. A. PUBLIC HEARING: PAD TEXT AMENDMENT TO ALLOW GRADING AND LANDSCAPING FOR DRAINAGE IMPROVEMENTS IN A NATURAL OPEN SPACE AREA B. CONCEPTUAL LANDSCAPE PLAN FOR THE OPEN SPACE AREA       Senior Planner Hannah Oden provided a presentation that included the following: - Purpose - Location Map - Applicant's Request - Item A: Existing Zoning and Proposed Text Amendment - Existing Conditions - Item B: Conceptual Landscape Plan - Cross Section of the Proposed Design - Public Outreach - General Plan and Zoning Code Conformance - Summary and Recommendation Applicant Chris Laria with The Planning Center, provided a presentation that included the following: - Regional Context Map - Location Map - General Plan Land Use Map - Zoning Map - Goals and Objectives; Project Evolution and Outreach - Landscape Plans - Landscape Buffer Sections - View Simulations - Continued Work Discussion ensued among the Commission, applicant and staff.    Chair Gambill opened the public hearing. There were no speaker requests. Chair Gambill closed the public hearing.    Motion by Commissioner Hal Bergsma, seconded by Commissioner Daniel Sturmon to recommend February 4, 2020 Planning and Zoning Commission Meeting Minutes 2  Motion by Commissioner Hal Bergsma, seconded by Commissioner Daniel Sturmon to recommend approval of Item A, the PAD Text Amendment with the revised language, "The 100’ natural area setback from the planned right-of-way line of Oracle Road in the C-1 commercial use area may be disturbed and revegetated as a constructed landscaped buffer yard compliant with the Oro Valley Zoning Code", based on the finding that the application is in conformance with the relevant Your Voice, Our Future General Plan goals and policies and the Zoning Code.  Vote: 6 - 0 Carried    Motion by Commissioner Skeet Posey, seconded by Commissioner Neal Herst to recommend approval of Item B, the Conceptual Landscape Plan, subject to the conditions in Attachment 1, based on the finding that the application is in conformance with all Zoning Code requirements.  Vote: 6 - 0 Carried   PLANNING UPDATE (INFORMATIONAL ONLY)    Principal Planner Michael Spaeth provided the Planning Update which included tentative agenda items for the next Commission meeting, a date change for the August meeting and two upcoming neighborhood meetings.   ADJOURNMENT Chair Gambill adjourned the meeting at 6:52 p.m.   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 Planning and Zoning Commission of Oro Valley, Arizona held on the 4th day of February, 2020. I further certify that the meeting was duly called and held and that a quorum was present. Dated this 5th day of February, 2020. ___________________________ Jeanna Ancona Senior Office Specialist February 4, 2020 Planning and Zoning Commission Meeting Minutes 3