HomeMy WebLinkAboutPackets - Council Packets (1424)Town Council Meeting
Regular Session and Special Session
November 4, 2020
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Town Council Meeting
Announcements
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Upcoming Meetings
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Lyra Done
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Proposed Code Amendments to Regulate Recreational Marijuana in response to voter-approval of Prop. 207
Town Council
November 4, 2020
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Purpose
Proposed code amendments to regulate recreational marijuana
Response to voter-approval of Proposition 207 on the Nov. 3 election ballot
Regulations must be in place before Proposition goes into effect
League of AZ Cities and Towns provided model code to jurisdictions
Several other jurisdictions (Gilbert, Sahuarita, Oro Valley, etc.) amending codes using the same model
Joint effort by the Town’s Legal, Police and Planning departments
Proposed amendments are necessary to regulate recreational marijuana to the strictest extent allowed by the Proposition
Rec.
Medical
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Process and Timing
Emergency declaration for immediate application
Regulations must be in place before proposition goes into effect
Avoid potential conflicts with takings law
Without the proposed amendments the Town has no local regulations for recreational marijuana
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Prop. 207 will authorize the sale, use, cultivation, processing, transport, manufacturing, testing etc. of recreational marijuana
Approval will go into State-wide effect
Requirements need to be in place before it goes into effect to regulate recreational marijuana
The Town cannot:
Outright ban all aspects of recreational marijuana
Apply stricter standards to recreational marijuana than currently applied to medical marijuana
The Town can ban:
Single-use recreational marijuana retail establishments (must be dual licensed with medical)
Sale of marijuana on Town property
Use of marijuana in public places or open space throughout the Town
Facilities that test the potency or contamination of marijuana
Door-to-door delivery of marijuana
Parameters of the Proposition
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Non-zoning related items enforced by OVPD, Town Clerk and Legal Departments
Individual use
Must be 21 or over
Permitted 6 plants per adult in a home – not to exceed 12 plants per home
Business aspects
Ban single-use recreational marijuana retail establishments (dispensary)
Recreational marijuana establishments can only operate with a nonprofit medical marijuana establishment in a shared space
Banned activities
Sale of marijuana on Town property
Use of marijuana in public places or open space throughout the Town
Facilities that test the potency or contamination of marijuana
Door-to-door delivery of marijuana
Proposed Revisions to Chapter 8 of the Town Code
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Proposed Revisions to Zoning Chapters of the Town Code
Zoning related items enforced by planning and inspectors
Medical marijuana added to the code in 2010 to regulate:
Location
Building Type
Operations
Apply same standards to recreational marijuana in alignment with Proposition 207
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Key Existing Medical Marijuana Requirements
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C-1 & C-2 zoning districts
2000’ from other marijuana establishments
1000’ from:
Schools/child care centers
Churches
Public parks
Libraries
Substance abuse treatment facilities
Permanent buildings
No drive-thru
Max floor area of 2,000 sf
Limited storage area
Cultivation indoors only
Operations
Restricted business hours (7am-10pm)
Consumption not allowed on the premises
Marijuana cannot be sold from a cultivation site
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General Plan Conformance
Goal J: A safe community with low crime, safe neighborhoods and positive relationships between law enforcement and community members.
Policy TS.3: Protect vulnerable populations (e.g. children, seniors and those with disabilities) and provide security of community members through community and police support.
Policy TS.5: Coordinate community safety and land use planning in order to reduce sources of conflict and nuisance crime through design, regulation and management.
Goal X: Effective transitions between differing land uses and intensities in the community.
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Planning and Zoning Commission
Considered on October 27, 2020
Discussion topics:
Effective date for proposition
Possibility of adding stricter requirements
Enforcement of regulations
Development and permitting process for marijuana uses
Recommends conditional approval of the zoning chapters, subject to the passage of Prop. 207
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Prop. 207 will authorize the sale, use and cultivation of recreational
marijuana throughout the State of Arizona
Proposed amendments provide local regulations for recreational marijuana
Emergency declaration for immediate application
The Town cannot:
Outright ban all aspects of recreational marijuana
Apply stricter standards to recreational marijuana than currently applied to medical marijuana
The Town can ban:
Single-use recreational marijuana retail establishments (must be dual licensed with medical)
Sale of marijuana on Town property
Use of marijuana in public places or open space throughout the Town
Facilities that test the potency or contamination of marijuana
Door-to-door delivery of marijuana
League of AZ Cities and Towns provided model code to jurisdictions
Several other jurisdictions (Gilbert, Sahuarita, Oro Valley, etc.) amending codes using the same model
Key Takeaways
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Summary and Recommendation
Joint effort by the Town’s Legal, Police and Planning departments
Proposed amendments regulate recreational marijuana to the strictest extent allowed by:
Applying existing medical marijuana standards to recreational and banning the following:
Single-use recreational marijuana retail establishments (must be dual licensed with medical)
Sale of marijuana on Town property
Use of marijuana in public places or open space throughout the Town
Facilities that test the potency or contamination of marijuana
Door-to-door delivery of marijuana
Staff and the Planning and Zoning Commission recommend conditional approval, subject to the passage of Prop. 207
Rec.
Medical
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Town of Oro Valley
Apartment Study 2020
Prepared by the Real Estate Consulting Group
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Opened in 2007
Specialize in market research, analysis and projections.
TREND Report
Monthly publication highlighting trends in office, commercial, residential and multifamily development
About Us
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Purpose of the Study
Assist the Town with implementing the voter-approved General Plan
(Goal D): A community with a wide range of services, amenities, shopping and dining opportunities and housing types that meet the needs of current and future residents.
(Policy CC.7) Support the development of diverse housing types within the community
(Action 135) Respond to and plan for the present and future housing needs of the community, while considering changes in demographics and overall growth by conducting a housing inventory,
developing a housing plan that addresses the needs of a diverse community, and developing zoning strategies that implement the housing plan.
Provide pertinent information to the governing body to evaluate:
Current housing mix and future needs
Upcoming apartment proposals
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Apartments’ Role in the “Housing Mix”
Broadens housing options to meet the demands of an economically and demographically diverse population
Support employment growth
More compact housing where land supply is low
Density to support commercial areas
Contribute to viability of existing and future retail
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Scope of the Study
Objectively analyze data to address recurring concerns previously raised by residents recently and over the years
Market is minimal
High vacancy rates
Deteriorate over time
Schools lack capacity
Impacts of young and low-income tenants
Significantly increase crime
Report more crimes than single-family residential homes
Perceptions & concerns:
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Source: Town of OV Staff
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Data collected from national and local sources
U.S. Census – American Community Survey 2013-2018 projections
National Multi-Family Housing Council
Real Data, Inc./ Apartment Insights (Real Estate Analysis)
Economic and Business Research Center (EBRC - Eller College of Management, University of Arizona)
Pima Association of Governments
Oro Valley Police Department
CityProtects.com
Apartments.com
Interviews with Town staff
Zoning information
Current and anticipated apartment proposals
Recurring questions and concerns previously heard from residents
Limitations
Demographic data pertains to all renters
Data collected pre-Covid-19
Methodology
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What is the demand and supply of apartments?
Demand for apartments is high
Driven by the following factors:
Population and employment growth
Growing faster than the entire County by 1.4%
Projections through 2020:
200-250 new households
175-200 new jobs
Homeownership pattern
Amount of renter households continue to increase in the region (35.8% to 39.7%)
25% of households in OV are renters
Housing affordability
Average rent ($1,123) is $1,057 less per month than the average monthly mortgage ($2,180)
Affordable, low-maintenance and flexible option for young professionals and empty nesters
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Source: EBRC and US Census
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Supply is limited
Apartments represent 15.3% of Oro Valley’s housing stock
12 communities, totaling 2,961 units
Majority of the communities are Class A (highest quality)
Includes properties over 30 years old
Source: Real Data
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A – Highest
Quality
B – Great
Quality
C – Good
Quality
What is the demand and supply of apartments?
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12 apartment communities
2, 961 unites
15.3% of Oro Valley’s housing stock
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Existing supply is performing strong
Vacancy is low: reduced from 7.33% to 5.42% (over past 5 years)
Lower than the National rate of 6%
Indicates new properties are being absorbed properly
Rent is increasing: 29% increase in average monthly rent (past 5 yrs.)
Highest rent growth in the region
Performance of Existing Apartments
Source: Real Data
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2015:
$872
2016:
$940
2017:
$970
2018:
$1,060
2019:
$1,123
Average Monthly Apartment Rent
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Anticipated Supply
Limited land supply
Town is 85% built out: bulk of remaining land is for single-family homes
Limited land zoned for apartments left
Majority are smaller parcels (average size- 5 acres, desired -12 acres)
Largest land area (Capella PAD on La Cholla) also approved for single-family residential
Town processing 5 apartment proposals (2 more anticipated)
Due to size of remaining parcels, most require a rezoning request
Source: Town of OV Staff
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Demand and Supply
Demand for apartments exceeds the current supply
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Do apartments command significantly lower rent over time due to deterioration?
Age does not indicate a decline in quality or performance
Quality: all apartments are classified high to great quality
3 of the older apartments are Class A (high quality)
5 of the older apartments are Class B (great quality)
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A – Highest
Quality
B – Great
Quality
C – Good
Quality
Source: Real Data
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Older apartments (20-36 years old) are performing well
Rent: All the older apartments increased rent every year between 2015-2019
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Source: Real Data
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Do apartments command significantly lower rent over time due to deterioration?
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What are the ages and income of renters in comparison to homeowners?
Renters tend to be young professionals or empty nesters
OV median age is 53
The 25-44 age groups account for 37% of renters
The 55+ age groups account for 42% of renters
Renters in OV have higher than average incomes compared to the region
Oro Valley’s median income is $76,484
Renters’ median income is lower at $51,092
(Teachers, police officers, administrative professionals)
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Source: US Census
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Do local schools have the capacity for more apartments?
Average size of OV renter households is 2.2 ppl/home
Less than the average size of owner households, 2.3 ppl/home
90% of apartment units in OV are 1-2 bedrooms
School capacity is verified with every rezoning application
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Renter households have less of an impact on schools than owner households
Source: National Multifamily Housing Council and Real Data
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Do apartments significantly contribute to overall crime?
Apartments do not significantly contribute to overall Part I crime
Report an average of 13% of all Part I (more serious) crimes
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Source: OVPD
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Is crime higher in apartment communities than in single-family residential subdivisions?
Crime reported in apartments is proportional to crime reported in single-family homes
Over a 6 month period, less crime was reported from apartments than similar-sized single-family residential subdivisions
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Source: Cityprotects.com
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Conclusion and Key Data Findings
Perceptions and concerns are not substantiated by the data
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Taking a short break
We’ll be back at 8:58!
Town Council
November 4, 2020
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