Planning and Zoning Commission

Jim Harris, Chairman Lake Havasu City Mychal Gorden, Police Facility Vice-Chairman 2360 McCulloch Blvd North Don Bergen Lake Havasu City, Arizona Doug Hardy 86403 Dan McGowan www.lhcaz.gov Chad Nelson Lucas Still Planning and Zoning Commission Special Meeting Suzannah Ballard, Alternate Sam Levin, Alternate Matthew Mitchell, Alternate Minutes - Final Wednesday, July 22, 2020 9:00 AM 1. CALL TO ORDER Chairman Harris called the meeting to order at 9:00 a.m. Due to the COVID-19 pandemic, public attendance is suspended and the Planning and Zoning meeting is being held through technological means. Public participation is encouraged through several options, including viewing the meeting on Channel 4, live stream on the City’s website, or by calling-in to listen by telephone. 2. PLEDGE OF ALLEGIANCE Chairman Harris led the Pledge of Allegiance. 3. ROLL CALL Alternate Members Sam Levin & Matthew Mitchell were seated. Present: 8- Jim Harris, Lucas Still, Mychal Gorden, Doug Hardy, Chad Nelson, Suzannah Ballard, Matthew Mitchell and Sam Levin Absent: 2- Donald Bergen and Dan McGowan 4. MINUTES Mr. Still made a motion to approve the minutes of the last meeting, seconded by Mr. Nelson, and carried by the following roll call vote: Aye: 7 - Harris, Still, Gorden, Hardy, Nelson, Mitchell and Levin Approval of Regular Meeting Minutes from July 1, 2020. 5. CORRESPONDENCE AND ANNOUNCEMENTS None. 6. PUBLIC HEARING ID 20-2457 A Request for a Zone Change from GC (Golf Course District) to R-E (Residential Estates District) for the Portions of the Following Lots that were Purchased From the Golf Course: 2301 Hogan Ln, Tract 135F, Block 2, Lot 1B; Lake Havasu City Page 1 Printed on 10/20/2020 Planning and Zoning Commission Minutes - Final July 22, 2020 504 Hagen Way, Tract 134, Block 6, Lot 5A; 514 Hagen Way, Tract 134, Block 6, Lot 6A; 1985 Palmer Dr, Tract 135C, Block 3, Lot 2A; 1995 Palmer Dr, Tract 135C, Block 3, Lot 3A Mr. Morris thanked the Chairman and presented a PowerPoint slideshow and narrative including some of the following key points: • This request encompasses 5 different properties that abut to the golf course. • All 5 properties purchased a portion of the golf course and have tied it to their property through the City lot alteration process. • These combined properties now have two zonings, RE (original lot) and GC (purchased portion combined to lot). • The request is rezone the portion purchased from GC to RE. • Rezone will allow RE setbacks and allowable uses to purchased property; whereas, GC limits property to landscaping, grading, and retaining wall improvements only. • No objections received from neighboring properties or the public. Lee Johnson, APL Surveying Inc,, via technological means stated he was available for questions. There were none. Chairman Harris opened the Public Hearing. No public comments were received. Chairman Harris closed the Public Hearing. Mr. Morris stated that based on the findings, the Development Review Committee recommends the Planning Commission recommend approval of land use action No. 20-2457, for a Zone Change from GC to R-E for the portions of the following lots that were purchased from the golf course as shown on the attached Parcel Plat Maps: 2301 Hogan Ln, Tract 135F, Block 2, Lot 1B; 504 Hagen Way, Tract 134, Block 6, Lot 5A; 514 Hagen Way, Tract 134, Block 6, Lot 6A; 1985 Palmer Dr, Tract 135C, Block 3, Lot 2A; 1995 Palmer Dr, Tract 135C, Block 3, Lot 3A. This item is scheduled to be heard by the City Council at their August 25, 2020 meeting. Mr. Nelson made a motion to approve [recommend approval] ID No. 20-2457 land use action [for a Zone Change from GC to R-E for the portions of the following lots that were purchased from the golf course as shown on the attached Parcel Plat Maps] with Staff recommendations: 2301 Hogan Ln, Tract 135F, Block 2, Lot 1B; 504 Hagen Way, Tract 134, Block 6, Lot 5A; 514 Hagen Way, Tract 134, Block 6, Lot 6A; 1985 Palmer Dr, Tract 135C, Block 3, Lot 2A; 1995 Palmer Dr, Tract 135C, Block 3, Lot 3A. Lake Havasu City Page 2 Printed on 10/20/2020 Planning and Zoning Commission Minutes - Final July 22, 2020 The motion was seconded by Mr. Gorden and carried by the following roll call vote: Aye: 7 - Harris, Still, Gorden, Hardy, Nelson, Mitchell and Levin ID 20-2453 A Request for a Zone Change for a Portion of APN 105-14-045, Abutting Granada Vereda, from GC (Golf Course District) to R-E (Residential Estates District) to Create a New Residential Lot from an Unused Portion of the Golf Course Property. Mr. Morris thanked the Chairman and presented a PowerPoint slideshow and narrative including some of the following key points: • Subject property at end of Granada Vereda cul-de-sac off Paseo Granada. • Request to rezone a portion of the Golf Course from GC to RE to create a residential lot and build a single family residence. • After rezone is approved, applicant will go through lot alteration process to create the lot. • In 2016, Golf Course District created to ensure golf course would remain a golf course. • Proposed lot meets all requirements for an RE lot. • No objections from reviewing departments/agencies. Comments received from utilities that will be addressed during lot alteration process when lot is created. When Mr. Nelson questioned about the utility comments, Mr. Morris stated that the utility providers advise that the developer or parcel owner of the newly created parcel may be responsible for all costs associated with extending utility facilities to the newly created parcel. They also ask for an 8-foot utility easement at the front of the lot when it is created. The Engineering Department commented that the blow-off present in the middle of the lot will need to be preserved, and a long reach of sewer lateral will be required to make it to the house. Lee Johnson, APL Surveying Inc., via technological means stated the utilities do come to the front of the lot. The developer will bear the cost of bringing a new lateral to the property. Chairman Harris opened the Public Hearing. No public comments were received. Chairman Harris closed the Public Hearing. Mr. Morris stated that based on the findings, the Development Review Committee recommends the Planning Commission recommend approval of land use action No. 20-2453, rezoning the 18,911 square foot portion of APN 109-01-067, as described on the attached proposed lot map, from GC to R-E. This item is scheduled to be heard by the City Council at their August 25, 2020 meeting. Mr. Still made a motion to approve [to recommend approval of land use action No. Lake Havasu City Page 3 Printed on 10/20/2020 Planning and Zoning Commission Minutes - Final July 22, 2020 20-2453, rezoning the 18,911 square foot portion of APN 109-01-067, as described on the attached proposed lot map, from GC to R-E] based on Staff’s recommendation. The motion was seconded by Mr. Nelson and carried by the following roll call vote: Aye: 7 - Harris, Still, Gorden, Hardy, Nelson, Mitchell and Levin ID 20-2452 A Request for a Zone Change for a Portion of APN 109-01-067, Abutting Hogan Lane, from GC (Golf Course District) to R-E (Residential Estates District) to Create a New Residential Lot from an Unused Portion of the Golf Course Property. Mr. Morris thanked the Chairman and presented a PowerPoint slideshow and narrative including some of the following key points: • Subject property located on Hogan Ln, off of Acoma Blvd S, about 26,000 square feet. • Request to rezone a portion of the Golf Course from GC to RE to create a residential lot and build a single family residence. • After rezone is approved, applicant will go through lot alteration process to create the lot. • Proposed lot meets all requirements for an RE lot. • In 2016, Goff Course District created to ensure golf course would remain a golf course. • Utilities will need to be extended to the property. Lee Johnson, APL Surveying Inc, via technological means stated this parcel is very similar to previous request and was available for any questions. There were none. Chairman Harris opened the Public Hearing. Four written comments were read into the record by the recording secretary. All comments were received in opposition of the request, citing the following as main concerns: • Loss of open space/view obstruction. • Increase in traffic. • Devaluation of neighboring properties. • Precedence being set for future rezoning. • Concerns have not been addressed with in-person meetings. • Parking issue. • Addition of residence to already dense culdesac. • Safety concern regarding narrow entrance into culdesac. • Negative impact of green zones to Golf Course. Lake Havasu City Page 4 Printed on 10/20/2020 Planning and Zoning Commission Minutes - Final July 22, 2020 Chairman Harris closed the Public Hearing. Mr. Morris stated that based on the findings, the Development Review Committee recommends the Planning Commission recommend approval of land use action No. 20-2452, rezoning the 26,290 square foot portion of APN 109-01-067, as described on the attached proposed lot map, from GC to R-E. This item is scheduled to be heard by the City Council at their August 25, 2020 meeting. Mr. Nelson made a motion to not approve this item which was revised to disapprove this item, this land use action [recommend disapproval of land use action No. 20-2452, rezoning the 26,290 square foot portion of APN 109-01-067, as described on the attached proposed lot map, from GC to R-E]. The motion was seconded by Mr. Mitchell and carried by the following roll call vote Aye: 5 - Gorden, Hardy, Nelson, Mitchell and Levin Nay: 2 - Harris and Still ID 20-2454 A Request for a Planned Development Rezone of 2430 Tradewind Drive, Tract 2293, Block 5, Lot 11, from R-3 (Limited Multiple-Family Residential District) to R-3/PD (Limited Multiple-Family Residential/Planned Development District), for a Height Exception from the Maximum Building Height of 15 Feet to Allow a Single-Family Residence with a Height of Up to 20 Feet. Mr. Morris thanked the Chairman and presented a PowerPoint slideshow and narrative including some of the following key points: • Subject property located on southeast corner of McCulloch Blvd. and Tradewind Drive. • Request to rezone from R-3 to R-3/PD, surrounded by R3. • Request for height exception over 15 feet for a proposed RV garage. • Planned Development process required for height exception to underlying development code. • Requesting to 20-foot height allowance. • Development plans submitted for underlying exceptions. • Max grade and height determination process explained by Mr. Morris. Chairman Harris stated there is a neighboring two-story complex. Mr. Morris stated some properties developed prior to the development code are taller than 15 feet, but because of the way they are dug down, they meet the height restrictions. Mr. Nelson stated he understands the request. However, he asked if Staff was concerned about opening up Pandora's box and setting a precedence to which Mr. Morris stated every planned development review is case sensitive. Lake Havasu City Page 5 Printed on 10/20/2020 Planning and Zoning Commission Minutes - Final July 22, 2020 Allan Atwell, applicant gave his presentation. He said the two biggest concerns for this development are 1) Does it affect the neighbor in a negative way and 2) Does this planned development fit into the neighborhood or affect the City services in a negative way. Only concern from neighbor at citizen’s meeting was that he did not want a multi-family unit next door. This is not his plan. As far as opening up Pandora’s box, R1 and R2 are not allowed to have a PD overlay. Mr. Atwell referenced neighboring lots that are taller than his proposed development. When questioned by Mr. Nelson, Mr. Morris stated that any major changes to proposed development plan would have to be reviewed through an amendment before the Commission and City Council. Applicant is aware the PD runs with the land. Chairman Harris opened the Public Hearing. No public comments were received. Chairman Harris closed the Public Hearing. Chairman Harris and Mr. Gorden expressed their opinions stating they do not see any detriment to the neighborhood with the request, as it is restrictive and any changes to the development would have to come back before the Commission and then City Council. Mr. Morris stated that based Staff’s analysis of the proposed site plan indicates the proposed building can be constructed by simply manipulating the grade of the property. There is no need to rezone the property in order to accommodate the requested building height. Based on the findings, the Development Review Committee recommends the Planning Commission recommend denial of land use action 20-2454, for a Planned Development Rezone of 2430 Tradewind Drive, Tract 2293, Block 5, Lot 11, from R-3 to R-3/PD, for a height exception from the maximum building height of 15 feet to allow a single-family residence with a height of up to 20 feet, as shown on the attached Development Plan. This item is scheduled to be heard by the City Council at their September 8, 2020 meeting, at the request of the applicant. Mr. Gorden made a motion to approve [recommend approval] ID 20-2454 [a Planned Development Rezone of 2430 Tradewind Drive, Tract 2293, Block 5, Lot 11, from R-3 to R-3/PD, for a height exception from the maximum building height of 15 feet to allow a single-family residence with a height of up to 20 feet, as shown on the attached Development Plan]. The motion was seconded by Mr. Levin and carried by the following roll call vote: Aye: 7 - Harris, Still, Gorden, Hardy, Nelson, Mitchell and Levin ID 20-2455 A Request for a Planned Development Rezone of Tract 2345, Block 1, Lot 1 from C-CHD (Commercial Health District) to C-CHD/PD (Commercial Health District/Planned Development), Approving a General Development Lake Havasu City Page 6 Printed on 10/20/2020 Planning and Zoning Commission Minutes - Final July 22, 2020 Plan Allowing a Use Exception for Light Industrial (Manufacturing) at the Previous K-Mart Location. Mr. Morris thanked the Chairman and presented a PowerPoint slideshow and narrative including some of the following key points: • Subject property is the former K-Mart property located on McCulloch Blvd. • Subject property is part of entire K-Mart Shopping Center, which includes the former K-mart building, number of parking spaces in the rear of the building and some in the front, and measures about 6-acres. PD boundary outline provided on screen. • The building itself is just over 100,000 square feet. • 252 parking spaces (90 of which are in rear); rest of shopping center has 260 parking spaces. • Zoning is currently CHD. • All activities associated with production will take place inside K-Mart building, including material and storage of product. • Anticipated traffic from deliveries and shipments- 2 semi-trucks per week and daily FedEx/UPS deliveries/pickups. • Employees to park in rear. • Low noise production. James Gray, Director for Partnership for Economic Development, gave a presentation regarding the proposed zoning change from a CHD to a CHD/PD and addressed the following key points: Retail in rural communities, addressed areas of concern from the applicant’s public meetings held, and spoke about quality job creation in Lake Havasu. Rich Heine, former Kmart Building owner, gave a presentation on his history with Lake Havasu and history on researching retail stores for his building. Main problem is that we need a 250 thousand population (including Kingman and Parker) which we do not meet. He also read a letter about his experience with his visit to the PMG Manufacturing (PMG) plant in Corona, California. Ryan Busnardo, President and CEO of PMG, stated he has been visiting Lake Havasu for 30 years and wants to make this his full time residence. He thanked all involved in the process for bringing this item forward and shared a video presentation about PMG companies. Mr. Nelson asked if the applicant is not purchasing the property, why are we not doing a conditional use permit. While this is the hot market for this product today, in ten years the market may shift leaving this building as a manufacturing building open to an applicant who is not quiet or limited shipping/storage. Mr. Morris stated a Conditional Use Permit is typically laid out among potential options Lake Havasu City Page 7 Printed on 10/20/2020 Planning and Zoning Commission Minutes - Final July 22, 2020 for a property for use on specific zoning districts in our development table so this specific use does not really fall into a category of conditional use permits. The final decision for a conditional use permit would be made by the Planning Commission. Mr. Schmeling, Development Services Director, stated that a conditional use permit could have been placed on this property; however, once the application was submitted to staff and all information given, Staff felt it was more appropriate for the property to be rezoned through the PD process. We can also place conditions that are relevant as well through the PD Process. More importantly, Staff felt that a significant decision needed to be made by City Council. Mr. Nelson's concern is how the limitations to this PD satisfy what the current zoning regulations are, such as outdoor storage for 24-hour operation for future use. Also, will that hurt owner if he’s locked to this manufacturing zoning and this PD if the tenant moves out in 10 years. Mr. Schmeling stated PD process allows the Commission to place conditions as part of the planned development that are relative to the proposed use; one of which definitely could be, everything is handled indoors. Yes, there could be some concern in case this happen to fail or leave and another potential industrial use would try to occupy this facility, but we will deal with that at that time. You can place a condition to this planned development as you feel that would help, to mitigate some of the impact i.e., parking, hours of operation, etc. When questioned by Chairman Harris as to whether Staff has placed conditions on this item, Mr. Schmeling stated based on all the information provided, with the fact that they were proposing everything internal, the operation is appropriate. Based on the information you receive, as well as public information, you can place conditions. The conditions you place today are recommendations to the City Council who also has the ability to place conditions and terms on it if they choose. Mr. Levin asked if the rezone could be conditional to the applicant’s use. Mr. Morris stated the zoning goes with the property and the underlying zoning is not changing from its Commercial Health District. If this business went away and another retail or light industrial business came along, as long as they meet the requirements of the planned development they can operate there. It is also possible to abandon or modify PDs through the same public process, if another business came in that did not meet the proposed planned development. There was extensive discussion amongst the Commission regarding allowable uses and the possibility of opening up manufacturing through this PD in the center of town, a district Lake Havasu City Page 8 Printed on 10/20/2020 Planning and Zoning Commission Minutes - Final July 22, 2020 that is not really meant for manufacturing. When questioned by Mr. Levin, Mr. Busnardo affirmed that his plans for this facility in Lake Havasu is to move all of their design prototyping here and make this his corporate headquarters. Chairman Harris opened the Public Hearing. Twenty written comments were read into the record by the recording secretary. All comments were received in opposition of the request, citing the following as main concerns: • Area not suited for manufacturing. • Jobs yes, rezoning no. • Plenty of other vacant buildings in industrial area. • Keep downtown area for retail. • Parking and traffic to McCulloch and Swanson. • Affect to adjacent retail and library. • Loss of retail use space. • Proximity of manufacturing to residential property. • Proximity to Veteran’s park. • No manufacturing in Mainstreet and pedestrian of City. • Smell concern. • Noise concern. • Not location for mixed use. • Opens door for other manufacturing in area. Chairman Harris closed the Public Hearing. Mr. Morris stated that based on the findings, the Development Review Committee recommends the Planning Commission recommend approval of land use action 20-2455, for a Planned Development Rezone of Tract 2345, Block 1, Lot 1, from C-CHD to C-CHD/PD, approving a General Development Plan allowing a use exception for Light Industrial (Manufacturing) in the previous K-Mart location. This item is scheduled to be heard by the City Council at their August 25, 2020 meeting. 1. PD that requires a Deed restriction 2. No outdoor storage 3. No outdoor activity 4. No fumes or emission 5. Maintaining retail storefront appearance Luke Still stated that a group of people have tried bringing in box retail stores to Lake Lake Havasu City Page 9 Printed on 10/20/2020 Planning and Zoning Commission Minutes - Final July 22, 2020 Havasu and has not been feasible. Mr. Still personally feels it is appropriate to repurpose the vacant space. Mr. Still stated he does not think it is inappropriate to object to manufacturing downtown; however, he does not feel that this takes on the characteristics of manufacturing. When questioned by Chairman Harris as to whether the dental facility in Wings Loop on upper McCulloch is manufacturing, Mr. Morris affirmed they create or manufacture dental equipment or dentures. It is a manufacturing business, it is quiet and Staff has received no complaints or reports. Mr. Schmeling added that the Dentist manufacturing was approved via a zoning administrative interpretation based on the existing code at that time, not current code and is legal nonconforming. Mr. Gorden stated that with retail already struggling, injecting jobs into the community is vital to the future of Lake Havasu City and bringing life to the core part of McCulloch, the library, and existing retail in the shopping center is vital. Mr. Gorden would also like to see the storefront look be maintained, so it can look like it is part of the commercial retail lifestyle of that part of town. Mr. Harris stated the dynamics of retail are changing; however, this is probably a way of helping the owner and the community in ways that manufacturing positions would be covertly housed in that particular location. Agreed that conditions need to be placed as far as appearance, restricted parking areas, zoning to run with business, operations contained indoors, no outdoor storage, no fumes and emission in order to make this a successful story. The Commission and Staff went into discussion about the rezoning, uses allowed for proposed use; how it is permanent and conditions to place. The question arose as to whether a deed could be applied to the business. Mrs. Gary stated the whole point of going through a PD is that it is specific. If someone else wanted to come in and operate in that same exact way, they can. If they want to do something different, then they will have to come in and amend the PD or get rid of the PD designation. Not sure what is being accomplished by just making the PD go away. Typically, the zoning goes with the property, not the zoning. Mr. Schmeling stated Code section does allow the Commission and Council to place Deed restrictions as part of PD. However, as Mrs. Gary indicated, we have not done that in the past; also we have to be careful because a rezoning cannot simply revert back. It would have to go through due process to remove a PD. Mr. Morris stated that based on the findings, the Development Review Committee recommends the Planning Commission recommend approval of land use action 20-2455, Lake Havasu City Page 10 Printed on 10/20/2020 Planning and Zoning Commission Minutes - Final July 22, 2020 for a Planned Development Rezone of Tract 2345, Block 1, Lot 1, from C-CHD to C-CHD/PD, approving a General Development Plan allowing a use exception for Light Industrial (Manufacturing) in the previous K-Mart location.This item is scheduled to be heard by the City Council at their August 25, 2020 meeting. Mr. Still made a motion to recommend to approve the PD [land use action 20-2455, for a Planned Development Rezone of Tract 2345, Block 1, Lot 1 from C-CHD to C-CHD/PD, approving a General Development Plan allowing a use exception for Light Industrial (Manufacturing) in the previous K-Mart location] with restrictions that would allow the following: 1. The PD would run with the existing business, whether that would be through deed restrictions or whether that can be done through verbiage that just simply says that if the business runs out of business or just changes locations the property owner is giving the City the right to take that back through the abandonment of that PD in the future, by accepting these conditions. 2. There will be no outdoor storage, 3. There will be no outdoor activity related to manufacturing. 4. There will be no ominent order created from any activities within the building. 5. The building will maintain the existing storefront. The motion was seconded by Mr. Levin and carried by the following role call vote: Aye: 6 - Harris, Still, Gorden, Hardy, Mitchell and Levin Nay: 1 - Nelson 7. CALL TO PUBLIC None. 8. FUTURE MEETING The meeting scheduled for August 5, 2020 has been cancelled. The next meeting is scheduled for August 19, 2020; however, not items have been submitted. 9. ADJOURNMENT Chairman Harris adjourned the meeting at 11:53 a.m. _________________________________________ Jim Harris, Chairman _________________________________________ Maria Hart, Recording Secretary Lake Havasu City Page 11 Printed on 10/20/2020