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08-05-2021 Planning and Zoning Commission
PLANNING AND ZONING COMMISSION Thursday, August 5, 2021 Formal Meeting — 7:00 PM The Center —Assembly Room 28 S. Linn Street (Entrance on E. Washington Street) Agenda: 1. Call to Order 3. Public Discussion of Any Item Not on the Agenda Comprehensive Plan and Zoning Code Amendment Items 4. Case No. REZ21-0007 Consideration of Zoning Code Amendment (REZ21-0007) to allow self-service storage uses in Community Commercial (CC-2) zones by special exception. 61l�a ► Icy &T_vA Q*U> r I A request to set a public hearing for August 19, 2021 on a proposed amendment to the South District Plan. 6. Discussion on the proposed South District Plan Amendment (CPA21-0001) and draft form -based zones and standards (REZ21-0005) 7. Consideration of Meeting Minutes: July 15, 2021 8. Planning & Zoning Information 9. Adjournment If you will need disability -related accommodations to participate in this meeting, please contact Anne Russett, Urban Planning, at 319-356-5251 or anne-russett(a)-iowa-city.org. Early requests are strongly encouraged to allow sufficient time to meet your access needs. Upcoming Planning & Zoning Commission Meetings Formal: August 19 / September 2 / September 16 Informal: Scheduled as needed. ,r - -4 ®1�4 Date: August 5, 2021 CITY OF I O WA CITY MEMORANDUM To: Planning & Zoning Commission From: Kirk Lehmann, Associate Planner, Neighborhood & Development Services Re: Zoning Code Amendment (REZ21-0007) to allow self-service storage uses in Community Commercial (CC-2) zones by special exception Introduction SouthGate Companies has requested a text amendment to Title 14 Zoning to allow indoor self- service storage uses in Community Commercial (CC-2) zones (REZ21-0007). While the proposed amendment would affect all CC-2 zones, the applicant is requesting the amendment to facilitate occupancy of the former Slumberland site at 947 Highway 6 East with an indoor self-service storage use and a wrap of small retail storefronts. Concepts for this are included in the applicant's application materials (Attachment 4). Due to the changing retail landscape and structure of the proposed project, staff supports a text amendment. Staff developed the proposed amendment (Attachment 1) to allow self-service storage uses in CC-2 zones by special exception. The special exception approval criteria incorporated into the amendment ensure that any such use continues to meet the intent of the CC-2 zone by requiring self-service storage be able to accommodate other allowable commercial uses along the front fagade and by applying enhanced design standards. Background Table 2C-1 in the Zoning Code lists whether a land use is permitted, provisionally allowed, or allowed by special exception in each commercial zone. Provisional uses are allowed if they meet specified requirements. Uses allowed by special exception require approval from the Board of Adjustment and must meet both general and specific approval criteria. The Zoning Code classifies self-service storage uses as an industrial land use characterized by separate storage areas for individuals or businesses which are designed to allow private access for storing personal property by tenants. They are distinct from warehouse and freight movement uses where employees are the primary movers of goods to be stored or transferred and where there are no individual storage areas. Accessory uses may include security and leasing offices. However, if storage areas are utilized for other uses, such as a business, that is considered a separate primary use. Self-service storage uses are currently allowed only in Intensive Commercial (CI-1), General Industrial (1-1), and Heavy Industrial (1-2) zones. These uses have been characterized historically by individual garage doors facing exterior corridors which are only appropriate in zones intended to accommodate more land -intensive commercial operations or uses with significant amounts of outdoor storage. However, a recent trend towards indoor, climate -controlled self-service storage uses produces a different facility that does not create the same sorts of negative externalities. The purpose of the CC-2 zone is to provide for major business districts to serve a significant segment of the total community population. In addition to a variety of retail goods and services, these centers may feature large traffic generators requiring access from major thoroughfares. They are usually characterized by indoor operations. CC-2 zones allow a number of land uses, including residential, commercial, institutional/civic, and limited industrial uses including small scale manufacturing and some accessory warehousing uses. August 5, 2021 Page 2 Staff finds that indoor self-service storage uses are an appropriate addition to Community Commercial (CC-2) zones. However, they require carefully constructed standards and a level of scrutiny to ensure that they continue to meet the intent of zone and do not produce similar negative externalities associated with other, outdoor -oriented self-service storage uses. Proposed Amendment: Self -Service Storane Uses in CC-2 Zones The proposed amendment allows self-service storage as a special exception to provide a higher level of scrutiny than for permitted and provisional uses. Special exceptions are specifically listed circumstances in the code which are heard by the five -member Board of Adjustment. The Board may only approve the use where they find that all specific and general approval criteria area met. Because they are a quasi-judicial body, an appeal of their decision goes through the district court. Approval Criteria To be approved under the proposed amendment, the Board of Adjustment must find that each requested exception meets the following general approval criteria set forth in 14-4B-3A: 1) The specific proposed exception will not be detrimental to or endanger the public health, safety, comfort or general welfare. 2) The specific proposed exception will not be injurious to the use and enjoyment of other property in the immediate vicinity and will not substantially diminish or impair property values in the neighborhood. 3) Establishment of the specific proposed exception will not impede the normal and orderly development and improvement of the surrounding property for uses permitted in the district in which such property is located. 4) Adequate utilities, access roads, drainage and/or necessary facilities have been or are being provided. 5) Adequate measures have been or will be taken to provide ingress or egress designed to minimize traffic congestion on public streets. 6) Except for the specific regulations and standards applicable to the exception being considered, the specific proposed exception, in all other respects, conforms to the applicable regulations or standards of the zone in which it is to be located. 7) The proposed exception will be consistent with the Comprehensive Plan of the City, as amended. In addition, staff proposes the following specific approval criteria to maintain a variety of goods and services in the CC-2 zone, to ensure high quality, active building facades, and to minimize any potential negative visual impacts: 1) All self-service storage units or areas shall be completely within conditioned space, and no outdoor storage is allowed in conjunction with self-service storage uses. 2) Self-service storage units shall not be individually accessed from the outside, and no more than 2 garage or overhead doors shall provide access into the building. Said doors shall only be provided at the rear of the building. 3) A substantial portion of the front building facade must accommodate other allowable commercial uses. Self-service storage uses are not allowed within the first 30' of the front building depth as measured from the roof overhang, except for the primary entrance to the storage area(s) which are not to exceed 30% of the building width. This area may consist of a hallway, lobby, and/or retail storefront, but not individual self-service storage units. 4) Buildings containing self-service storage uses shall be considered a large retail use as it relates to the site development standards at 14-2C-6K. These requirements incorporate design standards regulating wall modulation, visual interest, building and roof details, building materials, and entryways. The intent of these standards is to facilitate adaptive reuse of large commercial structures, to moderate the scale of large buildings, and to ensure consistent appearance with other shopping center developments August 5, 2021 Page 3 Analysis The retail landscape has changed significantly in recent years with the closure of many large national brick -and -mortar retailers and the continued expansion of e-commerce. Businesses that remain often adapt by reducing retail footprints, focusing on experiential retail, and co -locating with other uses that are not traditionally associated with retail areas. Unfortunately, these trends have negatively impacted the demand for large retail spaces, including vacant big box stores. If these spaces remain vacant for long periods of time, this leaves behind empty storefronts and can lead to deferred maintenance, depressed property values, and ultimately blight. Finding alternative uses for such spaces is beneficial, especially if paired with opportunities to support other small businesses that can struggle to find high -quality space. Many commercial areas across Iowa City could be affected by the proposed amendment. Figure 1 shows the location of CC-2 zones throughout the city. Most are along major corridors, including Highway 6 (such as Pepperwood Plaza and S. Riverside Drive), Highway 1 (such as the US-218 interchange and N. Dodge Street), and other defined commercial nodes (such as Towncrest, the Iowa City Marketplace, Olde Town Village, Walden Square, and portions of the Riverfront Crossings District). While some of these areas may be appropriate for indoor self-service storage uses, many are not. Figure 1. Map of Community Commercial (CC-2) Zones �. 41 ... �., .<V The proposed amendment relies on the general and specific approval criteria to ensure that self- service storage uses are a good fit for a particular site. For that reason, specific criteria focus on encouraging an active, pedestrian -friendly front fagade which is appropriate in commercial contexts, and on requiring the frontage to accommodate other commercial uses. In the case of SouthGate Companies's proposed reuse of the Slumberland site, they have indicated they will provide a few small retail storefronts along the front fagade to accommodate local entrepreneurs in collaboration with the South District Neighborhood Association. The general criteria further ensure a use is a good fit by requiring consideration of impacts on surrounding properties and consistency with the City's Comprehensive and District Plans. This may, for example, help prevent CC-2 zones in the Riverfront Crossings District or Towncrest from being redeveloped with self-service storage uses, even where allowed by special exception. However, it is also possible for new self-service storage uses to be developed along in new commercial areas. August 5, 2021 Page 4 Comparable Communities Other large communities in Iowa allow some self-service storage uses in a wider variety of zones, and several distinguish between enclosed and exterior self -storage uses with enclosed uses being permitted in a wider variety of zoning districts. Generally, self-service storage uses are required to abide by additional standards in lower intensity zones, including review by the Board of Adjustment in some cases. Figure 2 summarizes how Des Moines, Cedar Rapids, and Davenport regulate self-service storage uses. Full standards can be found in Attachment 3. Figure 2. Regulation of Self -Service Storage Uses in Other Communities Des Moines Self-service storage is allowed by right in 2 Downtown zones, 2 mixed use zones, and 2 industrial zones. It is also allowed with conditional use approval by the Board of Adjustment in two additional mixed use zones which are for moderate intensity mixed use nodes and corridors. Applicable 1. The self -storage use shall be permitted only within the interior of converted Conditions: pre-existing buildings or the interior of building types allowed in the applicable zoning district, in accordance with chapter 135 of this code. 2. No external storage or additional buildings shall be permitted as part of the self -storage use. 3. The landscape regulations of chapter 135 of this code shall be required of any self -storage use of property, whether associated with a pre-existing building or an allowed building type Cedar Rapids Self-service storage is allowed by right in 2 industrial districts and is allowed subject to use - specific standards in all mixed use districts T-xx, S-xx and several urban districts U-xx . Applicable U-xx and T-xx District Standards: Conditions: 1. Individual storage units or areas shall be located completely within an enclosed structure and shall not be individually accessed from the outside. 2. No more than 2 garage or overhead doors providing access to the individual storage areas shall be permitted. The intent is to permit a secure interior area for the loading and unloading of material to be stored. 3. Individual structures shall not exceed 250 feet on any side. S-xx District Standards: 1. Exterior doors serving individual units shall not be oriented towards a public right of way unless located behind other structures. 2. Individual units accessed from outdoors shall be located at least 100 feet from a front or street set property line. 3. No self-service storage facility shall exceed 3 acres in size. Davenport Self-service storage distinguishes between enclosed and outdoor self -storage facilities. Enclosed facilities are allowed by special exception in the C-2 Corridor Commercial zone and permitted by right in 3 commercial and 3 industrial zones. Outdoor self -storage facilities are allowed by s pecial exception in the C-3 zone and are otherwise only allowed in industrial zones. Applicable Enclosed self-service storage uses are subject to the following standards: Conditions: 1. All self -storage activities must be contained within a single building and conducted exclusively indoors. Individual storage units may be accessed from inside the building only. 2. All facilities must meet the design standards of the district. 3. No storage units located on the first floor may be located within the first 25 feet of the front facade. No storage units located on the first floor may be visible from any public right-of-way. 4. Access to loading areas must be located to the interior or rear of the building, August 5, 2021 Page 5 Consistency with Comprehensive Plan The proposed amendment supports several related goals and strategies from the City's Comprehensive Plan: • Increase and diversify the property tax base by encouraging the retention and expansion of existing businesses and attracting businesses that have growth potential and are compatible with Iowa City's economy. • Encourage a healthy mix of independent, locally -owned businesses and national businesses. By allowing self-service storage uses in CC-2 zones that are completely within a building, and by requiring that a substantial portion of the front building fagade must accommodate other allowable commercial uses, the proposed amendment efficiently promotes economic activity while supporting an active and attractive front fagade. The applicant has noted a high unmet demand for Class A storage, and the use can drive traffic to the site which can support other nearby businesses. Self-service storage uses also serve nearby residential users by providing storage space for those living in or moving to smaller dwelling units. The City of Iowa City's 2020-2021 Strategic Plan includes a goal to promote an inclusive and resilient economy throughout the City. To reach that goal, the City is seeking to invigorate neighborhood commercial districts and create new neighborhood commercial nodes which encourage healthy, diverse, and sustainable economic activity. By allowing more flexible uses in the CC-2 zone, it can increase the resiliency of existing commercial areas and improve the economic viability of these nodes. In addition, it allows a new use which can be adapted to reuse vacant big box commercial buildings. Next Steps Pending recommendation of approval from the Planning and Zoning Commission, the City Council must hold a public hearing to consider the proposed text amendments. Staff Recommendation Staff recommends that the zoning code be amended as illustrated in Attachment 1 to allow self- service storage uses in Community Commercial (CC-2) zones by special exception, subject to specific approval criteria that mitigate potential negative impacts. Attachments 1. Proposed Zoning Code Text Amendments 2. Map of Potentially Eligible Sites for the Commercial Reuse Exception 3. Self -Service Storage Use Standards: Des Moines, Cedar Rapids, and Davenport 4. Application Materials Approved by: Department of Neighborhood and Development Services Attachment 1 Page 1 Draft Zoning Code Text Underlined text is suggested new language. Strike -through notation indicates language to be deleted. Amend 14-2C-2 as follows: Table 2C-1: Principal Uses Allowed in Commercial Zones Use Categories Subgroups CC-2 Industrial uses: Industrial service uses Manufacturing and production uses General manufacturing PR Heavy manufacturing Technical/light manufacturing PR Salvage operations Self-service storage uses S Warehouse and freight movement uses Waste related uses Wholesale sales uses PR Amend 14-4B-4C as follows: 10. Self -Service Storage in CC-2 Zones a. All self-service storage units or areas shall be completely within conditioned space, as defined in the Building Code. No outdoor storage is allowed in conjunction with self-service storage uses. b. Self-service storage units shall not be individually accessed from the outside, and no more than 2 garage or overhead doors shall provide access into the building. Said doors shall only be provided at the rear of the building. c. A substantial portion of the front buildina facade must accommodate other allowable commercial uses. Self-service storage uses are not allowed within the first thirty feet (30') of the front building depth as measured from the overhang of the roof, except for the primary entrance to the self-service storage areas, not to exceed thirty percent (30%) of the width of the building, which may consist of a hallway. lobbv. and/or retail storefront. Individual self-service storaae units shall not be allowed within this entrance area d. 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It comes as no surprise that the retail landscape has changed drastically since the advent of online shopping. These changes have only accelerated during the pandemic, leaving large commercial retail spaces vacant across the Midwest. These large empty spaces not only suppress their neighboring property values and businesses, but they also pose a very real threat to their local municipalities. As large retail spaces sit vacant, the owners often times are forced to reassess the properties lower to account for the vacancies and changing market conditions, sometimes multiple times across a span a few years, which in turn reduces the taxable income to the cities. This can become a vicious cycle that often ends with the property becoming blighted, being labeled as a "brownfield" property in a short time. We have been marketing a large, deep 35,000+square foot retail space in Iowa City for almost 8 months with no user interest in utilizing a large portion of the space. The specific space becoming available no longer meets the demand for retail space in our community. The majority of interest and demand we've received for this large vacant space is for small 1,000-2,000 sq ft retail frontage space only. We request that the City of Iowa City amend the zoning code for CC2 to allow the use of indoor, climate controlled self -storage. By granting our request to alter the zoning code, the city would not only be heading off this potential future property value decline, they would also be protecting their own income from property taxes while simultaneously allowing the owners to provide a much needed product to the market. Our research shows an unmet demand of 496,570 square feet of class A, indoor, climate -controlled storage in the Iowa City area. We have collaborated closely with neighboring businesses, community members, and the neighborhood association to determine the best repurposing and long term use of the space in question. We received valuable feedback in these discussions that have shaped how we plan to repurpose the space. We believe, with the zoning code text amendment approved, we'll be able to provide a valuable amenity to the community that meets the current retail demand and provides a sustainable, long term use of the building. Thank you for your consideration of this request. Has a pre -application meeting been held? Yes Is the proposed text amendment City initiated? No CSouthGate C O M P A N I E S DEVELOPMENT• CONSTRUCTION HOMES •PROPERTY MANAGEMENT MEMO To: City of Iowa City — Planning & Zoning From: Caleb Wilson, CFO of SouthGate Companies Date: 7/14/2021 Re: CC2 Zoning Code Text Amendment Application I write today requesting a CC2 Zoning Code text amendment to allow the use of indoor, climate -controlled self -storage. It comes as no surprise that the retail landscape has changed drastically since the advent of online shopping. These changes have only accelerated during the pandemic, leaving large commercial retail spaces vacant across the Midwest. These large empty spaces not only suppress their neighboring property values and businesses, but they also pose a very real threat to their local municipalities. As large retail spaces sit vacant, the owners often times are forced to reassess the properties lower to account for the vacancies and changing market conditions, sometimes multiple times across a span a few years, which in turn reduces the taxable income to the cities. This can become a vicious cycle that often ends with the property becoming blighted, being labeled as a "brownfield" property in a short time. We have been marketing a large, deep 35,000+ square foot retail space in Iowa City for almost 8 months with no user interest in utilizing a large portion of the space. The specific space becoming available no longer meets the demand for retail space in our community. The majority of interest and demand we've received for this large vacant space is for small 1,000-2,000 sq ft retail frontage space only. We request that the City of Iowa City amend the zoning code for CC2 to allow the use of indoor, climate controlled self - storage. By granting our request to alter the zoning code, the city would not only be heading off this potential future property value decline, they would also be protecting their own income from property taxes while simultaneously allowing the owners to provide a much needed product to the market. Our research shows an unmet demand of 496,570 square feet of class A, indoor, climate -controlled storage in the Iowa City area. We have collaborated closely with neighboring businesses, community members, and the neighborhood association to determine the best repurposing and long-term use of the space in question. We received valuable feedback in these discussions that have shaped how we plan to repurpose the space. We believe, with the zoning code text amendment approved, we'll be able to provide a valuable amenity to the community that meets the current retail demand and provides a sustainable, long term use of the building. Thank you for your consideration of this request. Zr/ Caleb Wilson, CFO SouthGate Companies 755 MORMON TREK BLVD I IOWA CITY, IA 52246 1 319.337.4195 1 SOUTHGATECO.COM Concepts Submitted by SouthGate Companies Former Slumberland Site 947 Highway 6 East ;wm 0 w ub,�i ii'II�, y fum u1�11�li1' � �III�I II�IIIII II ill P �r � l.Y�_ Date: August 5, 2021 CITY OF IOWA CITY MEMORANDUM To: Planning & Zoning Commission From: Kirk Lehmann, Associate Planner, Neighborhood & Development Services Re: Comprehensive Plan Amendment (CPA21-0001) to facilitate development that follows form -based principles in the South District Introduction The current South District Plan governs a large amount of undeveloped land. To manage new development in these areas, the Plan recommends that the City consider a form -based code to help ensure that a true mix of housing at compatible scale can be achieved. A form -based code can also encourage the development of compact and connected neighborhoods. The City has worked with Opticos Design since January 2019 to develop a form -based zoning code for the undeveloped portion of the South District (the study area is shown in Figure 1). Through this process, staff has determined that amendments to the South District Plan are necessary before the City could adopt a form -based code. Figure 1. South District Form -Based Code Study Area August 5, 2021 Page 2 One of the City's primary tools in implementing its Comprehensive and District Plans is the Zoning Code. It provides rules for how land can be used and developed, including what structures can be built where, and how they will be used. Conventional zoning codes focus on regulating land use and related standards such as allowable density of dwelling units, maximum heights, lot coverage, and minimum on -site parking. Form -based codes differ by focusing less on land use (e.g. commercial vs. residential) and more on the scale of development (e.g. bulk and height) and its relationship to the public realm. Following the proposed Comprehensive Plan Amendment, staff will seek to adopt form -based zoning standards to implement the Comprehensive Plan's vision for context -specific, walkable development reflective of Iowa City's distinct development patterns and community character. The intent is to produce neighborhoods that: • Are safe for pedestrians and encourage walking; • Will preserve important environmental resources; • Contain a connected network of streets and paths; and • Allow for a variety of housing types and price -points The form -based code project builds on previous planning work in the neighborhood, beginning in earnest with the 2015 South District Plan which outlines the vision for this area following months of work with the community. Subsequently, Opticos Design assisted City staff in assessing the feasibility of implementing a form -based code for undeveloped areas in the District. Completed in August 2017, the "Project Direction Report and Form -based Code Analysis' included the results of stakeholder interviews, a community workshop, and a visual preference exercise. Since beginning the form -based code project, there have been numerous additional opportunities for public input. A residential market analysis was also completed in 2019 to help inform the plan. Staff developed the proposed Comprehensive Plan Amendment (CPA21-0001), shown in Attachment 1, to facilitate the development of new neighborhoods that follow form -based principles in the South District. It also supports other goals of City Council, including those related to equity and climate action. Additional context in the proposed amendment ensures consistency with those priorities. Proposed Amendment: The proposed amendment includes several changes to the South District Plan that lay the groundwork for form -based zoning for the South District and provide additional context to address Council's strategic goals. First, new contextual information was added, mostly in the plan's introduction. This includes a description of recent development in the South District and minor changes to other sections, such as updating place names (like "The Quarters", formerly "Rose Oaks"). More notable additions include a description of native peoples who occupied the area prior to white settlement, narrative on how land use practices have been used historically to perpetuate racial segregation, and text describing how the City is striving to overcome these historic injustices. These changes are intended to provide background and to help advance social justice, equity, and human rights efforts in the community. Other changes to the plan will help guide development in the South District in a way that is based on form rather than use, the latter of which is the foundation of the City's current zoning designations. These include descriptions of the City's development of form -based standards and changes throughout the Plan that better reflect intended development outcomes, specifically in sections on new residential development, the future neighborhood scenario, street layout & walkability, and neighborhood commercial areas. New goals and objectives are August 5, 2021 Page 3 proposed for the Housing, Transportation, and Commercial Area chapters that explicitly discuss adoption of a form -based code. Finally, a new section is proposed to explain what form -based land use regulations are and how they may be implemented in the South District. This includes proposed updates to the original future land use map and new form -based future land use and thoroughfare maps which will guide development over time. While form -based standards generally align with the existing policies in the South District Plan, these changes address potential discrepancies in the future land use map between conventional and form -based zones, and they facilitate the adoption of a form -based code. Analysis The Iowa City Comprehensive Plan serves as a land -use planning guide by illustrating and describing the location and configuration of appropriate land uses throughout the City, providing notification to the public regarding intended uses of land; and illustrating the long-range growth area limit for the City. The City Council may consider amendments to the City's Comprehensive Plan after a recommendation by the Planning and Zoning Commission. For a Comprehensive Plan Amendment to be approved, evidence must be provided that the request meets the following two approval criteria in Section 14-8D-3D of the City Code. 1. Circumstances have changed and/or additional information or factors have come to light such that the proposed amendment is in the public interest. Since its adoption in 2015, development has continued in the South District. Residential subdivisions, such as Brookwood Pointe, General Quarters, and Sandhill Estates, have seen ongoing construction. Archibald Alexander Elementary School was completed in 2016 and now serves a portion of the South District. In addition, McCollister Boulevard was extended to Sycamore Street, providing an important east -west connection. For undeveloped land in the South District Study Area, just over half is inside City limits while the remainder is in unincorporated Johnson County. The land contains a range of existing land uses including agricultural, single- and multi -family residential, institutional, and open space. Overall, development in the area has aligned with the 2015 South District Plan. The City has also undertaken extensive work towards the Plan's objective that "the City should consider a form -based code to help ensure that a true mix of housing at a compatible scale can be achieved." The 2017 feasibility study for form -based zoning in the South District noted the need to "[b]uild upon [the] existing South District Plan to implement new form -based standards and incorporate more recent efforts for [an] improved community plan." This is largely because the adopted future land use scenario better aligns with the City's current conventional zoning standards rather than form -based standards. For example, the future land use map distinguishes between single-family, mixed, and multi -family residential uses and provides for limited neighborhood commercial areas. Staff believes the results of the work towards form - based standards completed since 2015 have revealed the need for a revised future land use map, constituting a change in circumstances that makes this amendment in the public interest. In addition, the City is increasingly emphasizing policies that promote social justice and equity, especially as it relates to housing diversity and affordability. In June 2020, the City adopted actions in Resolution 20-159 to enhance social justice and racial equity in the community. Historically, conventional zoning regulations have been used to enforce racial and class segregation. While courts invalided explicitly racial zoning in 1917, single-family zones and large minimum lot sizes were often used across the nation as an exclusionary practice, along with other public and private policies such as redlining and the demolition of "slums" where persons of color lived. In Iowa City, owners used racially restrictive covenants until it was made illegal in 1968. A 2019 Fair Housing Study completed by the City found that 81 % of residential land in the August 5, 2021 Page 4 City is zoned for single-family development, and over half of single-family residential zoning is for low density development (IRS-5). Facilitating adoption of a form -based code for new development helps address this by permitting a mix of housing types and price points. While it does not solve this complex issue, it mitigates one barrier to providing housing options that are more affordable and allows for a broader range of housing choices for all residents, including those still recovering from generations of targeted exclusion and disinvestment. Furthermore, the City strives to demonstrate leadership in climate action, which has culminated in the 2018 Climate Action & Adaptation Plan. The plan includes goals to reduce carbon emissions by 45% by 2030 and to achieve net zero emissions by 2050. Conventional zoning contributes to higher greenhouse gas emissions because it produces neighborhoods that are difficult to navigate by anything other than a personal car. Low density zoning encourages sprawl which reinforces an auto -oriented pattern of development and increases traffic congestion and greenhouse gas emissions. Higher minimum parking standards assume car - ownership and increase the price of housing. Form -based standards can help address this by improving the City's building and transportation systems through development of compact neighborhoods that can be easily traversed by foot, bike, and bus in addition to cars. The increased focus on climate action, social justice, and equity constitutes another change in circumstances and further demonstrates that the proposed amendment is in the public interest. 2. The proposed amendment will be compatible with other policies or provisions of the comprehensive plan, including any district plans or other amendments thereto. The proposed changes align well with the existing goals and objectives in the South District and Comprehensive Plans. The adopted future land use map of the Comprehensive Plan shows the area as containing residential land uses, primarily at a density of 2-8 dwelling units per acre but with some areas being 8-16 dwelling units per acre. It also includes some general commercial uses. However, the South District Plan uses specific land use categories such as low -medium density single-family residential, low -medium density mixed residential, multi -family, and mixed use/neighborhood commercial. These descriptions in the future land use map contrast somewhat with the text of plan, which speaks towards incorporating "a true mix of housing at a compatible scale" including missing middle housing types. As such, the proposed amendment refines those categories to better reflect a range of housing types, including missing middle housing. The proposed amendment also supports several goals from the IC2030 Comprehensive Plan: • Ensure a mix of housing types within each neighborhood, to provide options for households of all types (singles, families, retirees, etc.) and people of all incomes. • Encourage pedestrian -oriented development and attractive and functional streetscapes that make it safe, convenient, and comfortable to walk. • Plan for commercial development in defined commercial nodes, including small-scale neighborhood commercial centers. • Support preservation of valuable farmland, open space, and environmentally sensitive areas. • Ensure that future parks have visibility and access from the street. • Discourage parks that are surrounded by private property; encourage development of parks with single -loaded street access. Similarly, many existing goals of the South District Plan align with the proposed amendment: • Preserve environmentally sensitive features and ensure long-term stewardship for the benefit of the neighborhood and the community. • Consider opportunities for small neighborhood commercial or mixed use nodes at key intersections ... and encourage quality design and construction that enhances adjacent residential or public open space areas. August 5, 2021 Page 5 • As residential development extends south toward the school, ensure multiple safe and logical walking routes to the school, including well -marked crosswalks for schools. One new goal and three new objectives are proposed to be added as part of the amendment to clarify how form -based standards further implement the intent of the South District Plan. Other amendments are relatively minor or simply provide context as to why and how the City should implement a form -based code. In addition to being compatible with the IC2030 Comprehensive Plan and South District Plan, the proposed amendment aligns well with other more recent policy efforts of the City as discussed previously, including the City Council's Strategic Plan, the Climate Action and Adaptation Plan, and the City's Black Lives Matter & Systemic Racism Resolution. As other District Plans are updated in the future, incorporating these elements is essential to ensuring consistency in all City documents. Staff Recommendation Staff recommends that the Planning and Zoning Commission set a public hearing for August 19, 2021 on CPA21-0001, a proposed amendment to the South District Plan to facilitate development that follows form -based principles in the South District of Iowa City. Attachments 1. 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F- m N v W D_ v io m- J E W v 0, '- O O (a w C u c u_ 0 C E E C W V `o C C m J E J N `o J d °O o Y = v> N m E o v E.m F, u 0'5 O > �,� m W j O m y `0 v m w .x > W .N UI W E W 0 o v o o E f0 ° p ;� o v 'c W c Y io u c o N L„ '> E 0 :> _ t41 E W t 3 m e v 7 0 m 0 0 M u� m o 'o tO u Y L t0 N m o E v yL, -o '0 `n — c L m O L W O 0 E 0 C L J W 0 (O E N N W E m VI N J W u m 2 = m z¢ E E Wl C Z Ou Lim �' r-I J6F- �i K i | <Z m co I 1' i _s= - i iw .. 4 Date: August 5, 2021 CITY OF I O WA CITY MEMORANDUM To: Planning & Zoning Commission From: Anne Russett, Senior Planner and Kirk Lehmann, Associate Planner; Neighborhood & Development Services Re: Follow-up to 7/15 Commission comments on the draft form -based zones and standards (REZ21-0005) Introduction At the Planning and Zoning Commission's July 15, 2021 meeting, the Commission had a few questions and comments regarding the draft form -based zones and standards. This memo provides a summary of those comments and staff's response. Summary of Comments and Staff Responses Comment #1: Many concerns and questions were raised regarding the proposed regulatory incentives for voluntary affordable housing Staff Response: Housing is considered "affordable" if a household pays less than 30% of its gross annual income on rental or owner housing costs. Rental costs include the combined cost of rent and selected utilities, while homeowner costs refer to mortgage and insurance payments, and selected utilities. Because affordable housing depends on a household's income, it can change with every new occupant and increase or decrease over time. Income Limits Most affordable housing programs are targeted towards housing that is affordable to low-income households. The US Department of Housing and Urban Development (HUD) defines households as low income if they make 80% or less of the Area Median Income (AMI) based on their household size. If households make less than 50% AMI, they are considered very low income, and if they make less than 30% AMI (which is close to the poverty line), they are considered extremely low income. Figure 1 shows 2021 income limits for Iowa City as determined by HUD. For example, a family of four is considered low-income if they make less than $79,750 annually. Fiqure 1: Income Limits Income Category Household Size 1 2 3 4 5 6 Low Income 80%AMI $55,850 $63,800 $71,800 $79,750 $86,150 $92,550 Common Rental Limit 60%AMI $41,880 $47,880 $53,880 $59,820 $64,620 $69,420 Very Low Income 50% AMI $34,900 $39,900 $44,900 $49,850 $53,850 $57,850 Extremely Low Income 30% AMI $20,950 $23,950 $26,950 $29,900 $32,300 $34,700 Rental Limits Many federal affordable housing programs use the Fair Market Rent (FMR), as calculated annually by HUD. In general, the FMR is the amount that would be needed to pay rental costs (rent plus utilities) of privately owned, decent, and safe rental housing of a modest nature. This is typically set at the 40th percentile of the distribution of gross rents in the metro area. Figure 2 shows the 2021 FMR limits for Iowa City as determined by HUD. As an example, a 2-bedroom unit with utilities included cannot cost more than $1,036 monthly, which is affordable to a August 5, 2021 Page 2 household making $41,440 ($1,036 x 12 / 0.30). This means it is affordable to a 1- or 2-person household making at least 60% AMI, or a 3-person household making at least 50% AMI. Figure 2: Rent Limits SRO Eff. 1 BDR 2 BDR 3 BDR 4 BDR 5 BDR Fair Market Rent $551 $735 $803 $1,036 $1,483 $1,794 $2,063 Affordable to HH Making... $22,040 $29,400 $32,120 $41,440 $59,320 $71,760 $82,520 Program Design Different affordable housing programs use different income and rent limitations depending on if and how much of a subsidy is available, and the targeted income segment. It is often only possible to provide affordable housing to those making less than 30% AMI with deep subsidies. For affordable housing encouraged by the proposed Form -Based Code, income limitations of 80% AMI for owners and 60% AMI for renters imitates other affordable housing programs administered by the City. These include HOME, CDBG, Healthy Homes, the Riverfront Crossings Affordable Housing Requirement, Public Housing (PH), and the economic development and affordable housing annexation policies. The Housing Choice Voucher (HCV) Program requires that participants earn no more than 50% AMI. A few programs also allow higher incomes limits, such as GRIP (110% AMI), UniverCity (140% AMI), and Historic Preservation grant assistance (140% AMI). While affordable housing projects can always require lower incomes, and often do, these are the base standards for these programs. Rents limits for most of these programs are based on, or informed by, Fair Market Rents. However, Public Housing and the Housing Choice Voucher Programs instead base rents on 30% of a given household's income. Consistent, City-wide rent limits assist with ongoing monitoring and administration of affordable housing programs. In the case of the PH and HCV programs, these are funded federally to cover the costs of ongoing compliance requirements. For affordable housing encouraged in the draft Form -Based Code, the proposed rent limitation is Fair Market Rent. However, where a project is awarded Low Income Housing Tax Credits (LIHTC) through the Iowa Finance Authority, they may use LIHTC rent limits. A separate discussion on the LIHTC program is below. Low Income Housing Tax Credit (LIHTC) Program The Low Income Housing Tax Credit (LIHTC) program provides owners a reduction in tax liability in exchange for providing affordable rental housing for those with limited incomes. The amount of the credit is based on how much is invested. The Internal Revenue Service (IRS) administers the program nationwide in conjunction with state housing finance agencies. In Iowa, the Iowa Finance Authority (IFA) directly allocates tax credits and routinely monitor compliance. To retain awarded tax credits, a development must rent to qualified households, keep rents affordable, and maintain the property in good repair for 30 years. There are two sub -programs which have different applications, compliance requirements, and levels of subsidy: 9% Housing Tax Credit. This credit is applied for competitively and provides the highest level of subsidy. Applications are accepted and awarded annually. 4% Housing Tax Credit. This credit is awarded on an ongoing, noncompetitive basis and provides a lower level of subsidy. Income limits vary, but one of the following tests must be met: 1. At least 20% of units must be occupied by those making less than 50% AMI; or 2. At least 40% of units must be occupied by those making less than 60% AMI; or 3. At least 40% of units may serve households earning up to 80% AMI, as long as the average income/rent limit in the property is 60% or less of AMI. Often income levels are lower than those required by these tests, especially for competitive proposals. Figure 3 shows three projects within Iowa City that were recently awarded through the August 5, 2021 Page 3 9% tax credit process. While all provide some market rate units, most units are provided to households at or below 60% AMI, with some units also provided to those making 40% and 30% AMI. F. ure 3: Iowa it LITHC Projects Developer The Housing Fellowship Iowa City Senior LLC Sand Development All Recent Projects Project Del Rey Ridge Diamond Senior Apartments NEX Apartments Address 628 S Dubuque 1030 William St 671 Nex Avenue Tenure Rental New Construction Rental New Construction Rental New Construction Unit Mix by Income Level Market Rate 4 4 4 12 60% AMI 20 20 17 57 40% AMI 5 12 11 28 30% AMI 4 4 4 12 Total Units 33 40 36 109 Rent limits for LIHTC projects are based on an affordable rent for each given household income level. Rents for each unit at a particular income level are thus theoretically affordable for the occupant of that unit, especially in lower income units. However, a lower income occupant may also live in a unit that is affordable to someone making 60% AMI, which may be higher than Fair Market Rent. Figure 4 shows LIHTC rent limits. As an example, gross rent for a 2-bedroom, 60% AMI unit cannot cost more than $1,347 monthly, which is affordable to a household making $53,880 ($1,347 x 12 / 0.30). This means it is affordable to a 3-person family making exactly 60% AMI. If that unit is occupied by a household with a lower income, it would be considered unaffordable. Figure 4: Iowa City LIHTC Rents Eff. 11BDR 12BDR 13BDR 14BDR 15BDR 60% AMI Unit $1,047 $1,122 $1,347 $1,555 $1,735 $1,915 40% AMI Unit $698 $748 $898 $1,037 $1,157 $1,277 30% AMI Unit $523 $561 $673 $777 $867 $957 Summary The goal of incorporating the voluntary regulatory incentives in the draft code is to incentivize the building of additional affordable housing in the community. Although it does not provide financial assistance, it offsets the loss of revenue for voluntary affordable units by allowing more units or density and decreased costs associated with parking reductions and flexibility from certain standards. Flexibility can also be used by other affordable housing providers that do not utilize the density bonus. Staff has structured the proposed incentives consistent with existing affordable housing policies administered by the City. This creates consistent expectations for owners and simplifies ongoing monitoring requirements. While these affordable housing incentives will not solve housing affordability in Iowa City, they will encourage the development of additional units that are affordable to low-income households. This is especially important in an area that will be entirely new construction, which is often unaffordable to low-income households. August 5, 2021 Page 4 Comment #2: Do any of the proposed zones allow gas stations? Staff Response: Gas stations are classified as a "quick vehicle servicing use" in the City's zoning code. Table 14- 2H-3B-1: Uses of the draft code lists the permitted uses, provisional uses, and uses allowed by special exception. Quick vehicle servicing uses are not allowed in any of the proposed zones. Residential Uses Household Living Uses Detached Single -Family P P P Dwellings Detached Zero Lot Line PR PR PR PR PR - - - 14-484A-4 Dwellings Group Households PR PR PR PR PR PR PR PRz 14-4B-4A-6 Uve/work - - - PR PR PR PR PR' 14-2H-3C-2 Missing Middle P P P P P P p p 2 Housing Group Living Uses Assisted Group Living - - S S S S PR 2 14-4B-4A-8(RM-44) Independent Group _ _ _ _ S S S Z 14-46-4A-9(RM-44) Living - S S S Z 14-4B-4A-10(RM- Fratemal Group Living 44) Commercial Uses Eating and Drinking _ _ pyS+ - PR/S+ - PR/S+ P 14-46-46-1D(CN-1) Establishments Office Uses General Office - - P' - p - P+ p P i - P i - P+ P Retail Uses Sales Oriented personal Service Oriented Alcohol Sales Oriented Hospitality Oriented Indoor Commercial Recreational Uses General Animal Related PP' P+ p P� _ Pi _ P+ p PR ' - PR + PR/S 14-411-48-15 PR PR PR PR PR PR PR PR 14-48-48-18(CN-1) PR/S 14-48-48-7 S I - S' PR 144818-2(CN-1) Commercial Parking - - - - - - - PR 2 144846-9 r Max ' Not allowed on the ground floor within 30' of the sidewalk. Allowed on ground floor along side streets if at least 60' from the front of the design site. Use must be completely within enclosed building. Comment #3: Please clarify how form and use are regulated in the draft code. Staff Response: Zoning through a Form -Based Code represents a paradigm shift in the way that the built environment is regulated. Unlike conventional, use -based codes, FBCs utilize the intended August 5, 2021 Page 5 physical form and character of a context type, rather than use as the organizing framework of the code. Further, FBCs regulate a series of elements not just to create a good individual building, but a high -quality place. The terminology in FBCs reflects the intended physical form and hierarchy of different places. For example, instead of a zone being "commercial' or "mixed use," it might be called "main street." The term ties back to the intended physical form or place, which includes a mix of uses, civic spaces, thoroughfares, frontages, and building types that create vibrant walkable urbanism. For this reason, FBC also do not regulate by maximum density, which is a change from previous use -based standards utilized by the City. While FBCs primarily regulate the intended physical form, they regulate use secondarily. FBCs allow a range of uses that are carefully chosen to maximize compatibility between uses and the intended physical form. Table 14-2H-3B-1: Uses (inserted above) provides an overview of the uses allowed in the various zones. As is shown in the table, commercial uses, such as eating and drinking establishments, are only allowed in the open zones (i.e T3NG-0, T4NS-O, and T4NM- 0) and the Main Street Zone (T41VIS). The draft future land use map [Attachment 1] includes a land use designation for open subareas. The open zones align with this open subarea. The draft future land use map identifies four areas where the open subareas are depicted; it also identifies the main street area. These are the areas that function as walkable, neighborhood centers and allow non-residential uses. In these open zones, the building types must comply with the base zone. For example, in a T4NS-O zone the allowed building types include Cottage Court, Multiplex Small, Courtyard Building Small, and Townhouse. The most likely building type for non-residential uses in this zone would be Townhouse. There are other instances where non-residential uses are allowed outside of the Main Street zone and the open zones. These include home occupations and live/work uses. Home occupation regulations will not be changed with the draft code. The draft code does include live/work as a new use category. Live/work uses are allowed in T4NS, T4NS-O, T4NM, T4NM-O, and the T41VIS zones. Live/work uses are subject to the following use specific standards: Specific Use Description General Standards Live/Work Combines residence Non-residential uses limited to: sales oriented and place of business retail, personal service oriented retail (with for resident(s) with some exceptions), daycare, bed and "work" typically at breakfast homestays, and specified office ground level and uses "live" on upper levels • On -premises sales limited to goods made in the unit. Differs from home • No clients/deliveries before 7 AM or after 10 occupations in that PM work may be the • The "live" component must be the principal predominant use (ex. residence of at least one person employed in outside employees, a the live/work unit separate designated • Up to 3 additional outside employees entrance, signage, • Cannot sublet part of unit as window displays, etc) commercial/industrial space to someone not living there or as residential space for someone not working there 0 Limit of 10 clients/customers day August 5, 2021 Page 6 Correspondence to Date Staff has received some correspondence from stakeholders regarding the proposed amendment to the South District Plan and the draft form -based code. You can find those comments in Attachment 2. Staffw illcontinue to collect comments and share those with the Commission. Approved by: • Dance a Sitzman, AICP, Development Services Coordinator Department of Neighborhood and Development Services Attachments: 1. 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Staff, The affordable housing plan in the new draft is worth comment. It is unlikely to result in new affordable housing in part because it is voluntary but more because of setting the rent ceiling at Fair Market Rent (which is 40-45%AMI level) instead of 30% of a selected AMI. You will see in the attached article that in 1,019 affordable housing plans in the country NO ONE USES FAIR MARKET RENT for rent ceilings. 87% of plans use 51%-80%AMI income AND rent limits. 2% use 50%AMI income and rent limit. All others plans are higher than 80%AMI. The majority use a mixed income approach such as 25%of affordable units at 50%AMI and 75%at 80%AMI. HUD has issued tables for 30%, 40%, 50%, 60%, 80% AMI paying 30% of income for as long as LIHTCs have existed though the math is easy to calculate. The new draft plan continues the dichotomy of private developers using FMR and LIHTCs using 60%AMI paying 30% of income even though the latter are highly subsidized. Using FMR for new construction would cause rental housing owners to lose hundreds of dollars a month in addition to all the expenses for every affordable unit produced. Agreeing to lose money for 20 years seems unlikely. The added density allowed would all go to money losing units. Less parking would not be much incentive in out lying areas that are likely to need a car. Inclusionary housing plans work in high growth areas where incentives and density bonus will allow market rate units to cover the cost of the affordable units. Otherwise it will not pencil out and will not be built. (Note we are not in a high growth area now, in fact we lost population from 2019 to 2020.) The objective of inclusionary housing is to provide for low -moderate income households at 60% AMI-100% AMI who do not qualify for Federal programs. Very low and extremely low income require a public subsidy. Fair Market Rent should only be used for Housing Choice Vouchers, CDBG, and HOME projects. It is volatile as adjusted annually because it is based on the 40th percentile of a tiny number of survey takers who are renting a 2 bedroom unit and moved recently. Median income is not as volatile. Best regards, Cheryl Cruise Iowa City IA https://groundedsolutions.org/sites/default/files/2021-OS/Inclusionary Housing US v1 O.odf Kirk Lehmann From: Cheryl Cruise <cherylcruise@aol.com> Sent: Wednesday, July 21, 2021 12:00 PM To: Anne Russett; mhensch@johnsoncountyiowa.gov, Kirk Lehmann Subject: Public input to Planning and Zoning Commission Commissioners, Some of you may be unfamiliar with HUD's Fair Market Rent. It is neither fair nor market. It is the annual calculation by HUD of maximum rent for a Housing Choice Voucher (Section 8). Each year since 2005 the American Community Survey has gathered data from about 1.6% of local households. About half are renters. Of those some rent a 2 bedroom unit. HUD looks at data from the 2 bedroom renters who moved recently. They may report $700/month rent or $1500/month rent. HUD finds the 40th percentile of the 2 bedroom rents and averages it over the last 5 years and then mathematically figures out rent for other size units. That is FMR. It is based on very few households which can make it volatile. It may go up or down 10+% each year. It is used for government subsidized projects. Of 1,019 affordable housing programs across the country Fair Market Rent is not used for rent ceilings. Everyone else uses 30% of a selected AMI level. 87% use somewhere between 51% AMI and 80% AMI. 2% of programs use 50% AMI for rent ceiling. Others are 80% AMI to 120%AMI. 60%-100%AMI is considered low to moderate income and is the target of non subsidized programs although incentives must be offered to insure that there is some profitability or nothing will get built. City of Iowa City, Johnson County Housing Trust Fund, and Johnson County Affordable Housing Coalition all define affordable housing as 80% AMI paying 30% of income for rent. Other than new luxury units, most Iowa City rents are under the 80% AMI level. Many units are available for less than Fair Market Rent. Low Income Housing Tax Credit programs average 60% AMI paying 30% of income. They have lots of funding subsidy. Private developers should not be expected to produce units with lower rents than LIHTCs. There may be "sticker shock" looking at rent amounts if you are not a renter or didn't recently buy a house. The cost of land, lumber, and labor have all gone up for builders. You may be shocked to look at property taxes or insurance costs or maintenance costs on apartments even if they are old. Profits may be 4%-8% ROI for well managed units. I hope this information helps as you discuss the ordinance. Best regards, Cheryl Cruise Iowa City IA Sent from my iPad This email is from an external source. Kirk Lehmann From: Sent: To: Cc: Subject: RISK Anne and Kirk, Kelcey Patrick -Ferree <kelcey.patrickferree@gmail.com> Thursday, July 15, 2021 12:08 PM AJ Anne Russett; Kirk Lehmann; Megan Alter; Jessica Bovey; Elinor Levin; Eric Harris; Tatiana Washington; South District Re: Revised Draft Form -Based Code Available for Public Review I'm starting to look through this, but the odds of me finding time for 140 pages of highly detailed information are low. The map on the first page has no key, so I can't tell what the plan is quickly and easily. I am glad that this level of thought and detail is available, but find it nearly impossible to wade through in a helpful or timely fashion. Is there a better high level summary available? Preliminary feedback: One thing I was able to figure out from the newspaper: Part of the plan is to build a "main street" district on the circle on Sycamore north of Alexander Elementary. I am concerned with the idea of elementary school children having no option but to walk through a commercial district, even a small one, on their way home from school. If it's ice cream and dry goods shops, that's one thing. If it's more liquor stores (which seem to be proliferating at an alarming rate in our area), that's quite another. I see on p. 82 that the uses of "Main street" areas are unrestricted. So that's a big concern for me. I'd also like to know what traffic calming measures along Sycamore are built into this plan. People speed there, even (and if they're late, especially) on their way to drop off kids at the elementary school. This plan appears to add housing on the far side of Sycamore, and depending on what ICCSD does, that could mean more children having to cross Sycamore to get to school. TLDR: I want the plan to consider safety issues for Alexander Elementary children walking or biking to and from school. Warm regards, Kelcey And biannual time changes must be abolished. #LockTheClock E Virus -free. www.avast.com On Thu, Jun 17, 2021 at 6:04 PM AJ <fivecaloriebanio@yahoo.com> wrote: Thank you Anne for the information. I am out of town until Tuesday next week, and I have cc the rest of the SDNA Leadership Committee in case any of them are able to review and offer feed back. We always welcome folks to share at our neighborhood meetings during the Announcement part of our agenda towards the end and are glad you all are coming to keep us informed! "See" you next week, Angie Sent from Yahoo Mail for iPhone On Thursday, June 17, 2021, 2:34 PM, Anne Russett <Anne-Russett@iowa-city.ore> wrote: Hi, Angie — We have some good news! We have an updated draft of the South District Form -Based Code that is available online for review. Thank you for your patience while we worked over the last several months to edit the draft and address comments from stakeholders. Please take some time to review the code. We would appreciate any comments by Friday. July 23, but will take comments throughout the formal approval process. Comments can be submitted to Kirk Lehmann at kirk-lehmann(a)iowa-citv.org. Kirk and I plan to attend your neighborhood meeting on June 22. We know you have a full agenda, but just wanted to let people know where we are at in the process. In addition to the draft Form -Based Code, we have also drafted revisions to the South District Plan to ensure alignment between the land use policies in the plan and the draft code. All draft documents are available on our project website: https://www.icqov.org/project/form-based-zones-and-standards The anticipated timeline is as follows: July 1 Planning and Zoning Commission Meeting Introduction to the Form -Based Code (Part 1) July 15 Planning and Zoning Commission Meeting • Introduction to the Form -Based Code (Part 2) • Request the Commission to set a public hearing on the amendment to the South District Plan **Consider attending these meetings to better understand the draft code. No worries if you can't attend, you can watch a video of the meeting at your convenience here: https.//citychannel4. com/boards-commissions-and-committees. html ** August 5 Planning and Zoning Commission Meeting • Public hearing on the changes to the South District Plan • Recommendation to the City Council on the Form -Based Code The Planning and Zoning Commission will make a recommendation to the City Council. When that occurs, the City Council will also hold public hearings on these documents. Please let me know if you have any questions. We are available to discuss any questions or concerns you may have. If you'd like to schedule a time to discuss the draft code in more detail please let us know. Thanks, Anne CITY OF IOWA CITY UNESCO [ iY OF U`dlARM WWW ICGOV.ORG 0000 Anne Russett, AICP Senior Planner She/Her/Hers p:319-356-5251 410 E Washington St Iowa City, IA 52240 From: Sandhill Estates To: Anne Russett Subject: South District Plan - Letter of Concerns Date: Wednesday, July 28, 2021 11:30:16 PM Attachments: We sent You safe versions of your fles.msa sandhi I I -estates -south -district -plan -concerns. Ddf RISK Mimecast Attachment Protection has deemed this file to be safe, but always exercise caution when opening files. Hi Anne, Attached you will find a document highlighting some concerns our Home Owners Association and residents share regarding the South District Plan. We request you please include the attachment in the packet provided to Planning and Zoning Commission members in advance of the August 5th meeting. The attachment contains a letter of concern drafted by HOA members, signatures of support from our neighborhood residents, and maps highlighting (in yellow) those households where signatures were obtained. We look forward to learning more about the South District Plan and to our discussion with you on August 3rd. Sincerely, Robert Domsic Director -at -Large Sandhill Estates Homeowners Association Sandhill Estates Homeowners Association Iowa City, IA sandhi ll.estates.igQomail. com July 22, 2021 Dear Members of the Planning and Zoning Commission: We are writing on behalf of the residents of the Sandhill Estates Neighborhood and would like to express our concerns regarding the proposed changes in the South District Plan. While there are many positive aspects of the South District Plan we believe the plan will be stronger if the following concerns are addressed. Concern #1 - A lack of transition to the existing neighborhood (McCollister Ct) The triangular plot of land immediately South of McCollister Court, East of Gilbert Street, and North of McCollister Boulevard lacks an area of housing transition between the existing neighborhood and the proposed zoning in the South District Plan. We ask the City to revise the South District Plan to include T3 - Neighborhood Edge and T3 - Neighborhood General zoning in this area before the higher density T4 zones are reached. We believe there is precedent for this change. Currently, the South District Plan defines an area of transition consisting of T3 - Neighborhood Edge and T3 - Neighborhood General housing zoning located immediately South of Langenberg Avenue (see fig. 1). Since a significant portion of Langenberg Avenue is part of our Homeowners Association, we feel the neighborhood would have better continuity if a similar zone of transition were adopted on the triangular plot of land. A zone of transition at this site would ease any visual juxtaposition resulting from the architectural changes contained in the South District Plan. � J `Y�►i �`i1�t � � l;j R t ..J � n Fig. 1.PI ied FUUAe Lg UWNIWVOm%6S Or cl Gig,depkMj me gAeoManseon 4 JNE AIMO.1S Ih ams& pvrea Sankof W4 KoWr eve, �GWWW1 aA TONS S TAW Our concerns regarding this plot of land are not new. Members of our neighborhood have attended and expressed our concerns at Planning and Zoning meetings and City Council meetings dating back to 2017. In 2017 a local developer submitted a design proposal (see fig. 2) for the development of this land -- using nearly identical plotting, road and zoning maps from the currently proposed South District Plan. When development of the triangular plot of land came to vote. the Planning and Zoning Commission and the City Council both rejected the proposed development. Transcriptions from the meetings in 2017 note the City Council members expressed desire to modify the plans to account for better transition between the w �j : IIp.11011 Myn Pew n�"• Nf1ft"PY.""lop current housing and any new development. The current South District Plan does not address any of these historical recommendations. We believe the precedent from the area South of Langenberg, the resulting vote in 2017, and the City's public record reaffirm the triangular plot of land should be revised to include T3 - Neighborhood Edge and T3 - Neighborhood General zoning as a transition layer before the T4 zones are reached at McCollister Boulevard. Concern #2 - Design sites being administratively changed after approval Historically, the City has been a proponent of developers communicating with and getting buy -in from adjacent neighborhoods when new development plans are proposed. These discussions can be very beneficial for both parties. However, the announcement that design sites can be administratively adjusted at the subdivision level after approval raises concern. This applies not only to our neighborhood, but any future neighborhood that may be impacted by such adjustments. Our concern is once agreements are set (formally or informally) between a developer and an adjacent neighborhood, administrative adjustments without notice may violate expectations and create tensions between the two parties. We understand the desire to make processing adjustments easier. However, we feel this could be used as a mechanism to create a false pretense by a disingenuous developer. Concern #3 - The impact on education The South District Plan projects there will be approximately 4,000 - 8,000 dwelling units resulting from this plan. A member of our Board contacted Anne Russett who reaffirmed these numbers, but did not include an estimated population when asked. From the number of dwelling units, we believe it is reasonable to assume the estimated population would be in the ballpark of-10,000 - 20,000 people. Alexander Elementary School has been near capacity since 2017. An influx of a population this size would almost certainly strain the schools resources. How does the City plan to address the impact the South District expansion will have on our schools? Concern #4 - The reduction in required parking 4,000 - 8,000 dwelling units will bring about a sizable population. Commercial spaces and restaurants will likely attract visitors from all over Iowa City, not just surrounding neighborhoods. The reduction in required parking is an unwise decision and will lead to greater street congestion, potentially jeopardizing the safety and well-being of the neighborhood's residents. The adoption of electric vehicles has increased drastically in the last few years. Sales models predict electric vehicle sales will continue to climb at an annual rate of 29% over the next ten years'. These numbers are substantial and should be considered. The plan currently does not indicate any locations where electric vehicles may be charged. Furthermore, problems may arise if an inadequate number of parking spaces are available per dwelling unit. Since Battery Electric Vehicles (BEVs) require a tether to charge, the long term expectation of street parking may not be sufficient. Future populations will likely prefer to charge vehicles at their dwelling. Concern #5 - Access to Emergency Services The population resulting from the South District Plan (and including adjacent plans) will be sizable -- likely far greater than the 10,000 - 20,000 mentioned above. We have noticed the South District Plan fails to mention, include, or address in writing, or on a map, the location(s) or expansion of any potential emergency services. We want to make sure these services are adequately accounted for in the South District Plan. How does the City plan to address these concerns? Furthermore, we believe a medical clinic! urgent care facility would be a good addition to this area, helping reduce the burden on our local Hospitals and Emergency Rooms. Does the city plan to incentivise the development of such a resource? Not having a plan to address these needs for a population of this size could have considerable effects on the health and safety of our neighborhoods. The South District Plan is an ambitious undertaking; the result of countless hours of work by city officials, staff and consultancies. We appreciate this effort and share many of the same goals as the City in maintaining Iowa City as the finest place to live in the State. ' See Electric Vehicles: Setting a Course for 2030 - Deloitte Insights -Accessed July 22, 2021 https:llwww2. deloitte. comlusten! nsights/focus/future-of-mobility/electric-vehicle-trends-2030. htm I Sincerely, The Sandhill Estates Homeowners Association Directors Alex Hachtman President Joleah Shaw Director Amanda Shoemaker Director Emily Berkhoudt Director Robert Domsic Director Signatures Al A� I `` ♦ �'�ili `fit • i V I .� rrzj.�rv� ._ ._ . , MAM Sfoo KccDWSirr 0-. m cGu i , ._� ■ l IN rs , VM 71 [Of *S;v / Y l it!lo' 'pITCv)y� IM IM&-m _. r 07-MmLS rgLL/a_ .L�. � lL M'd I �a •��_ �� _ •�r� 1 S► ..rrrr 1 _ i Pow zSV A r m sL D }� - a� ti1�rl 1 rms�ro r TC, a s r �` f ✓ �r 733-k— �l �3�3 �-I�coU;Srte� Cf. Signatures Name Address 883 N1 s r p� �n OVA �• it Rl�.,..• 7 1 �7 1� 1 Nv 4 A Gi MINUTES PLANNING AND ZONING COMMISSION JULY 15, 2021—7:OOPM ELECTRONIC FORMAL MEETING PRELIMINARY MEMBERS PRESENT: Susan Craig, Mike Hensch, Mark Nolte, Maria Padron, Mark Signs, Billie Townsend MEMBERS ABSENT: Phoebe Martin STAFF PRESENT: Sara Hektoen, Kirk Lehmann, Anne Russett OTHERS PRESENT: Electronic Meeting (Pursuant to Iowa Code section 21.8) An electronic meeting is being held because a meeting in person is impossible or impractical due to concerns for the health and safety of Commission members, staff and the public presented by COVID-19. CALL TO ORDER: Hensch called the meeting to order at 7:00 PM. PUBLIC DISCUSSION OF ANY ITEM NOT ON THE AGENDA: None. COMPREHENSIVE PLAN AND ZONING CODE AMENDMENT ITEMS: Presentation on the proposed South District Plan Amendment (CPA21-0001) to facilitate the adoption of form -based zones and standards (REZ21-0005) Lehmann stated this is a continuation from the presentation that he had started at the last meeting and tonight he will be going into detail on the Code. This Form -Based Code is available to view on the City's website and the Code itself is the first one in the appendix and includes changes to Title 14 and 15 and then proposed changes to the South District Plan. At the last meeting Lehmann started the general discussion about why how this process came to be what's been done so far and went over a brief summary of amendments and the examples of the types of neighborhood this Code will produce and then also the justifications for the proposed amendments both to the Zoning Code and Comprehensive Plan. He had also started talking about the intensive principles of the Code, some of the zone's use standards, site standards and civic spaces. Tonight, he will go through the remaining chapters, of which there are five, on building type standards, architectural element standards, frontage type standards, thoroughfare type standards and affordable housing incentives. Those are all part of Title 14-2H. Lehmann noted there's also other minor changes of Title 14 which he will briefly cover as well as some Planning and Zoning Commission July 15, 2021 Page 2 of 23 changes to the Subdivision Code, which is one of the ways that this Code will help be implemented, go over some of the draft changes to the Comprehensive Plan and then finally summarize the next steps that will happen through this process. Lehmann began by reiterating briefly the items that were discussed at the last meeting. The first section of the Code was the intent and principles which basically talks about how Form -Based Codes are different than current development standards and the process that is used to implement them through the regular development process and the minor changes that happened to make sure that these standards are met. He went over the Zones as well, there are five zones, and he went over the new standards which are the uses that are allowed in the different zones and the site standards which affects what development looks like in those zones, specifically regarding landscaping, parking, design, screening, etc. Finally, he went through civic space types, which are essentially types of public or private open space that might be provided in these areas. To briefly refresh the different zones are organized by transects so that's what the T stands for, with T3 referring to suburban zones and T4 referring to urban zones so T3 is a lower density and T4 is a higher density. Within those broader transects there are two T3 areas, T3 Neighborhood Edge Zone which is the lowest density, and T3 Neighborhood General is the next highest density. Then there are three T4 zones, Neighborhood Small, Neighborhood Medium and Main Street. He will review the Future Land Use Map when he goes through building types. Lehmann next discussed tonight's standards and noted at least three of the sections relate to different types and some broader design standards that are incorporated in those, so it will be a lot of lists and information. The first section is 14-21-1-6, Building Type Standards and within this section the first two subsections are the purpose and the general building type standards and then the rest are all of the different building types that would be allowed, and they do differ by zone. As he goes through his presentation, he did group them by familiar terms such as houses, duplexes, etc. In terms of the general standards Lehmann pointed out a couple that are important. First the scale of the building types are based on the intended character of the zone and that's how they determine what different building types are allowed in each zone and they will notice that throughout the Code it describes house scale versus block scale. House scale are smaller buildings, what one would expect to be the size of a house, block scales is when an individual building size covers most of the block. The purpose of the scale of the Zoning Code is to create pedestrian oriented buildings and also pedestrian oriented public realms like the streetscape. In terms of building types and as they relate to design sites, the size of the design site is regulated by the zone, so it's not included in this, but it is governed by the building type. Typically, within each design site there would be one building per design site, some certain buildings do allow multiple buildings such as an accessory type like a carriage house. Lehmann reminded the Commission that when they are talking about design sites, they are going to be concurrent with the parcels. For example, in a typical single-family development they could have a larger parcel that has multiple design sites. Lehmann also wanted to touch on frontages because each building type needs at least one frontage type, and that frontage would contain the primary entrance and has to be along a street or civic space. There are some exceptions such as a Cottage Court and he'll explain later why that's a unique design or building type. Finally, Lehmann discussed the diversity of building types. Within each block this Code requires that Planning and Zoning Commission July 15, 2021 Page 3 of 23 there are at least two different building types, there is an exemption for the T4 Main Street requirement because that is basically the commercial zone and doesn't require the diversity of housing types. But within the neighborhood -based zones, they do want to see a diversity of building types. Lehmann stated there are 10 choices of building types in the Code. The first one is the Carriage House and is a little unique as it is an accessory structure that can be added to other building types. A Carriage House does not count as its own building type, it is strictly accessory, so it is allowed in all zones. Only one dwelling unit would be allowed in a Carriage House and typically it would be on the rear of a design site, likely above the garage. Lehmann added it doesn't have to be residential, it could also be a commercial space say for a small business owner. Carriage Houses would only be two stories max and a width of 32'. Lehmann will give the size of each building so the Commission can get a feeling for the building bulk that is expected for each building type. The next set of building types are houses, there are two different ones, House Large and House Small, and is essentially what is currently classified as a single-family use or a single-family detached use. A House Large would be found in the T3 Neighborhood Edge zone and is the lowest density building type. It is a medium to large sized detached building and would only have one unit like a single-family detached unit. It would only be allowed to be up to two and a half stories tall and the maximum width would be 95' and that would include a 55' main body and there could be wings that could be allowed up to 20' on each side. The wings do have to be set back from that main body or extended out from the main body by an offset and part of the reason for the distinction between the main body and wings is to make sure that the building facade is broken up in a way that doesn't create just a large blank facade. The House Small is the less dense in the T3 Neighborhood General, it is a smaller unit that doesn't have quite as large of a lot size. Again, it can be two and a half stories tall but would have a maximum width of about 75' which would be 35' for the main body and then 20' for the wings. The next set of building types are duplexes, and there are two different types, Side -by -Side and Stacked. Side -by -Side are probably typically what folks are used to seeing and would be allowed in both T3 zones, Neighborhood Edge and Neighborhood General. Each duplex would have two units within the design site and would be a medium to small building, the idea is that it would be about the same size as a House Large or a single-family home generally. Side -by -Side would be allowed to be two and a half stories tall but would be narrower than a House Large at 48 feet on the main body. Lehmann explained that again that helps ensure that these are house scale buildings. As far as garages, they can have garages on the front, but they have to fit within these building standards, so in some cases it's going to be challenging with a Side -by -Side duplex, but it is possible. The Duplex Stacked looks even more like a house essentially where there are two units, one on top of the other. Again, it's a small to medium sized detached building and it would only be allowed in the T3 Neighborhood General, as it is a slightly denser form of duplex. Duplex Stacked would have the same height standard of two and a half stories, but it could be a little wider up to 66' which would include a 36' main body and two 15' wings. The next building type is a little more unique and not something that's currently allowed in the City Code. It's called a Cottage Court and is where there is a courtyard that would have buildings arranged around the outside of it and the courtyard would basically act as shared common space, rather than having private individual yards. Lehmann noted the City has had Planning and Zoning Commission July 15, 2021 Page 4 of 23 some interest in this development type and it's been difficult to try and accommodate it. Cottage Court would be allowed in the T3 zones, Neighborhood Edge, Neighborhood General and the T4 Neighborhood Small but the idea is that it would fit with existing single-family homes or duplexes. A Cottage Court could have three to nine units, with the rear cottage being 1-3 units. Depending on the number of units affects the size of the Court so more units means that the Court has to be larger to help disperse the concentration of units. As far as height goes it fits in with existing single-family buildings but has a smaller height where these buildings can only be one and a half stories tall. The rear cottage can be 40' but the rest of the cottages have to be less than that, so it creates low -scale buildings along the street facade. Lehmann noted this is one of those examples where the main entrances would actually be on the Court rather than on the street, because the Court is the central focus point of this building type. Next are multiplexes, both small and large variety. Lehmann stated this would be similar to what is currently in the Code as multifamily. The Multiplex Small would be allowed in the T3 Neighborhood General and T4 Neighborhood Small and allow up to three to six units. Those units could be stacked or could be side by side, but the idea is again it's approximately the size of a large house and is scaled to fit with low to moderate intensity neighborhoods. The building height would be two and a half stories and it could be up to 90' wide, which is about the same as a House Large with a 50' main body and two 20' foot wings. Multiplex Large are allowed in the T4 Neighborhood Medium and have 7 to 12 units. Again, they could be side -by -side or stacked with the shared entry. Multiplex Large is intended to fit with moderate intensity neighborhoods or maybe a small portion of lower intensity neighborhoods. The max height does get taller with this building type and can be up to three and a half stories, and the max width can be up to 100', so overall slightly larger than some of the house scale buildings. It would allow for a 60' main body and two 20' wings. Another unique building type is the Townhouse because its pretty versatile and how it is implemented within the Form -Based Zones. It is a small to large house that can be attached or may be detached, but it consists of one unit typically but can be three in certain zones. The Townhouse would be located in moderate to high intensity neighborhoods or near neighborhood main streets, basically more dense zones. It allows larger and more units per design site. In the T3 Neighborhood General it would allow Townhouses in a row of two to three units with one unit per site and a max height of two and a half stories with a row width up to 90'. Again, approximately the size of a House Large. In the T4 zones, Townhouses are allowed to have rows of four to eight units and the T4 Neighborhood Small and T4 Neighborhood Medium would still maintain one unit per site. In the T4 Neighborhood Small it could be up to two and a half stories and in T4 Neighborhood Medium it could be up to three and a half stories. Lehmann pointed out that row lengths increase in the denser zones of the Townhome are in the T4 Neighborhood Medium zone, and the T4 Main Street zone which could allow some commercial uses and then still have four to eight townhomes in a row and up to three stacked. Another variety of multifamily is the Courtyard Building. Lehmann explained this is a different building type than the multiplex and is similar to the Cottage Court except it is a multifamily home with a central court that replaces rear yard open space. The Courtyard Building Small would be allowed in T4 Neighborhood Small and T4 Neighborhood Medium zones and could have 10 to 16 units. As far as building height goes, T4 Neighborhood Small would only be two and a half stories and T4 Neighborhood Medium would allow up to three and a half stories. The max width in both zones is 100' and there are standards as to how large the courtyard needs to be that's located within the zone and also along the street facade the size of the building is broken up by Planning and Zoning Commission July 15, 2021 Page 5 of 23 the presence of that courtyard. The Courtyard Building Large is only allowed in the T4 Main Street zone and it allows 18 to 24 dwelling units, again they can be stacked or side -by -side but must have that common courtyard. The Courtyard Building Large can be up to three and a half stories, but the main body again remains 1 00'so a lot of that excess building bulk would be located on the rear of the site. Some of the buildings are allowed to have more than one building on a design site where instead of just a courtyard in the middle, they can have separate buildings with the courtyard between them and allow a slightly different configuration but again, the building bulk is broken up by that courtyard. The final building type is the Main Street Building and is the most general building and probably most appropriate for commercial uses. It is a small to large building and only allowed in the Main Street zone. The amount of dwelling units is unrestricted except by the Housing Code and the Building Code. Lehmann explained the Main Street Building type is similar to the Riverfront Crossing Zone where they have to meet the minimum standards for safety, but if they can fit them within the building envelope then they can work. The Main Street Building is intended to provide a variety mix of uses, typically with some ground floor commercial and residential above. The max height again is three and a half stories and the max width for the body is 200'. These can be block scale buildings. Lehmann noted some other building types, such as larger townhomes also get towards that block scale, but a lot of these buildings are designed to be house scale buildings and that's part of the point of providing missing middle housing types. Lehmann stated as far as where these different building types are allowed and as they relate to the zones he showed the Future Land Use Map that would be incorporated into the Comprehensive Plan. Neighborhood Edge is typically low -density development, two and a half stories with the House Large, the Side -by -Side Duplex and the Cottage Court. The Neighborhood General is located in the center of neighborhoods away from busier roads typically. They are still two and a half stories and allow the House Small, both varieties of duplexes (Stacked and Side -by -Side), they would allow Multiplex Small and Cottage Court, and also allow Townhomes in runs of two to three units. As they move into the T4 zones, those are denser zones and are along major intersections and arterial roads. Buildings are still two and a half stories in the T4 Neighborhood Small zone, and would allow the Multiplex Small, the Courtyard Building, small Townhomes in a run a four to eight and the Cottage Court. Then in the denser zones located along major corridors or major intersections is the T4 Neighborhood Medium. These buildings can get up to three and a half stories tall, but that's primarily in the southeast along the single loaded streets where there's open space on the other side. Finally, the T4 Main Street, which is that densest zoning category is located at the corner of McCollister and Sycamore and it would allow the Courtyard Building Large and Townhouses in a run of 4-8 and they can be stacked up to three. Lehmann noted the current Zoning Code does not consider building types, so this is a newish concept for the Zoning Code. Riverfront Crossings does have different building types, so this is more similar to what is south of downtown. The biggest difference is that it distinguishes the building from the use, so currently the City defines uses in the Zoning Code as single family or duplexes or multifamily. In this Form -Based Code everything is defined as building scale. In looking at scale rather than use is a way to deal with what buildings look like because mostly they're interested in the experience with the public realm and how does that interact with surrounding properties. Planning and Zoning Commission July 15, 2021 Page 6 of 23 Lehmann stated using this building scale rather than use does create some new standards that staff hasn't historically reviewed. It includes some minimum and maximum bulk requirements, such as the scale of a block scale building. It regulates the number of units, whereas the current Zoning Code regulates by density of a lot sizes. In the Form -Based Code they are noting the number of units that can be within an existing building type and also creates a requirement for housing diversity on each block. Finally, these building type standards are incorporated into the revised processes that were discussed at the last meeting and would be included on the preliminary plan and they'll get finalized in the neighborhood plan and do either a building permit or site plan review, depending on the use and of number of units. That is the point where staff would check it against the neighborhood plan to make sure that it was in compliance with all of these standards. He noted there is a possibility of administrative change, but that would happen on the neighborhood plan as well and if a design site can accommodate a House Small but it's also large enough to accommodate a Stacked Duplex those could be switched out administratively as an update to the neighborhood plan. The next set of standards Lehmann reviewed was the Architectural Elements Standards and there are four different elements that are regulated by this Code. In general, it is similar to what some of the current site development standards are, for example, the multifamily site development standards or the four different sets of commercial site development standards, and the different sets of single families site development standards. However, the Architectural Elements Standards work with both the building type standards and the frontage type standards to try and provide visual interest and make sure that the interaction with the public realm provides walkable neighborhood friendly environments. The first Architectural Elements Standard is the Tripartite Facade Articulation and applies to buildings that are at least two stories and basically states there has to be a base, a middle and a top and an architectural element must be used to distinguish those three areas to create some horizontal visual interest. So, the ground floor has to be articulated by some sort of string courses, cornice expression or awnings or canopies. It could be different materials, but it doesn't require different materials, it could be colors it could be any number of ways as long as they are distinguishing the base from the other portions that standard can be met. The middle area only applies if it's three stories, but it would need to have some feature to create visual interest on the horizontal plane. The top should be delineated with some form of cornice expression, either trim material, brackets and panels, eave details or accentuated masonry. The next Architectural Elements Standard is Architectural Recessions which would apply to buildings have at least two stories and are over 50' long, so essentially a house scale building however this explicitly excludes houses and duplexes from having to comply with the Architectural Recession standards. The purpose really is to modulate the appearance of a building and recess a portion of the facade, whether that be an entry, whether that be balconies, but it has to be carried through the building and it has to be 12 to 20 feet and up to two locations with longer buildings requiring a wider recess. Lehmann explained again with a lot of these standards the goal is to provide visual interest which helps create walkable neighborhoods and Architectural Recessions are one of the ways that they currently do that within the Code. Next is the Corner Element and this is actually a voluntary architectural element that could be used on Main Street buildings and the idea is to provide emphasis to corner and it help shape the public realm. On those corners it could be a slight bump out or it could exceed that zone Planning and Zoning Commission July 15, 2021 Page 7 of 23 height that would typically be allowed by a little bit to create that visual interest on the corner and to help define the public realm. Lehmann noted again this would be a voluntary element and not a required element. Another voluntary element is the Rooftop Room which is an enclosed or unenclosed portion on the top of the roof, but it can't just be another blanket additional story. It would have to be somewhat setback; it has to have openings or windows and it has to be consistent with the primary building. It is another architectural element that provides visual interest, and it can provide a neat feature on buildings. Lehmann noted these architectural elements are relatively limited in this Form -Based Code compared to some other zone -specific site development standards in the multifamily zones or the Riverfront Crossings Zone. The requirements are similar but many of them are addressed through other ways within this Form -Based Code. For example, building and frontage types address a lot of the standards that would typically be included in the site design standards such as parking lot design, landscaping, building entries, exterior stairways, mechanical equipment, etc. In other cases, some of the standards don't really apply in this area because it is greenfield development where they're not working within an existing historical neighborhood, for example. In a lot of ways, it's similar in that it looks at building bulk and provides facade articulation that would create visual interest, it requires tripartite articulation within the building and that's something that they City also requires within the Riverfront Crossings District. It does require equal treatment of facades, which is something else required in Riverfront Crossings. Regarding differences, this Form -Based Code doesn't regulate building materials nor regulate windows. They didn't want to limit architectural creativity in new areas but there are still standards related to visual interest to hopefully address a lot of issues that may come with just a standard box building. Hensch asked if building materials are not regulated than how can they say the transact for Main Street would be similar to the downtown area. Lehmann replied the more proper comparison would be the Main Street area and a Neighborhood Commercial zone that we have rather than the downtown zones, as the City really only regulates building materials within certain areas like downtown. Lehmann moved on to the next section which is related to frontage types. In terms of general standards, it doesn't necessarily restrict frontage types as they don't correspond to the uses, one could have a porch on a commercial building and can have a porch on a residential building. They are really guided by the zone and the building type in that zone. Building types may have multiple frontages, depending on the frontage type and depending on where it's located on the block, but the frontage type does have to be located within the frontage zone, which is on the front of that building designed site. In addition, they must have frontage types that front thoroughfares or a civic space, such as a circumstance where a house is fronting on to a pedestrian passage rather than fronting on the street. Lehmann noted however they would still need equal architectural treatment on the street as well. The frontage is just where the primary individual entrance would be. Exterior stairs can be used as entry on ground level but for any units that are above ground, they have to be entered from an enclosed staircase. Similar to building types, they also require at least two different frontage types on each block to help provide visual interest and create a pedestrian friendly environment. Part of the reason they have the frontage standards is to really look at the interaction of the public realm and the private Planning and Zoning Commission July 15, 2021 Page 8 of 23 realm being the right-of-way, which is the streets, the parking, the green space and the sidewalk and then into the private yard and the frontage type is that interaction with those areas. Lehmann noted there are 10 choices or frontage types. The first is Porch Projecting, which is as it sounds to project the porch into the front yard or within the front set back, and it is basically a covered structure that can be elevated or it can be at grade. It could be one or two stories, but it has to be opened on three sides. This type of frontage is allowed in all zones except for the T4 Main Street. As far as the dimensions go, it does require a minimum of 6' to 8' so it is usable space and really creates a purpose like an outdoor room that can facilitate that interaction between the public and the private realms. They expect to see a lot of Porch Projecting in the T3 zones, especially because one of the features of the projecting porch is that with the parking set back in the T3 Neighborhood Edge zone they can move the garage closer to the front of the lot. The other type of porch is considered an Engaged Porch so that's where it's partially set back within the facade. With an Engaged Porch it could have two to three sides that are within that facade but obviously the front would have to be open and, potentially, one of the sides could also be open as well, but again, it is a covered structure that creates an outdoor room. It follows similar standards as the porch projecting on where it's allowed in all zones except for the Main Streets, and it has similar dimensional standards. The next set of frontages are the Dooryard and Stoop. Lehmann noted they're probably the most versatile ones in that they are allowed in all zones. With the Dooryard the main facade is set back and is defined by a wall ahead or some other sort of small screening that would create separation. Again, the purpose is to try and create some sort of outdoor room to facilitate that interaction between the public and private realms. For the Dooryard the dimensions would be a little wider so it would have to be 10' deep and 15' wide and then the wall would only be able to be up to 3' around that area as well. With the Stoop, the purpose is to create some separation between the public and the private realm so it's set up a little higher than other development standards and would be expected along busier streets where someone walking by could be looking right in a window. It would have an elevated entry and the stairs could either be parallel or in front depending on how it's designed. The Stoop has a shallower depth, it could be 3' by 5' and would need to be at least 12 inches above grade so it provides some of that separation. The next frontage type is Forecourt and is intended for use in denser zones. The Forecourt is specifically in the T4 Neighborhood Medium and T4 Main Street zones. The idea is that the building is set near the front of the design site, but there is essentially an extension of the public realm into the interior of the building site for an entry court or shared garden. The Forecourt has to be at least 15' wide and deep and it does have a height to width ratio so the walls don't tower over the court area, there needs to be light and air within the area. Craig asked if it's the public realm like a sidewalk anybody can go there, but obviously if there's going to be a restaurant or something there it's not going to be used for just anyone. Lehmann replied it would depend on the use, it is technically private space but should feel like it's part of the public realm and that's what he means when saying it's extending the public realm into the space. If it were commercial uses it could be something like outdoor seating, if it's residential uses it would probably be more of a private space, but it creates that visual extension of the public realm. Planning and Zoning Commission July 15, 2021 Page 9 of 23 The next set of frontages are the shop fronts, there's a Maker Shopfront and just a Shopfront. Lehmann explained these are typically intended for commercial buildings, although they're not restricted to commercial buildings, but the idea is that the facade is at the front of the design site in each of these cases and they're only allowed in the T4 Main Street zone. The difference is that the Maker Shopfront is somewhere where there's maybe industrial or seasonal businesses or other businesses that are oriented towards retail or consumers and may include decorative roll down doors depending on the use. For example, a restaurant that has rolled down doors that open up to the public could be there, but the goal is to have some interaction with the public and the private realm. At least 50% of the facade would have to be glazing or windows, The Maker Shopfront is for businesses that are less customer centric but still want interaction with the public realm. The Shopfront is for more customer centric businesses and include substantial glazing between the Shopfront base and the ground floor ceiling and may include an awning that overlaps the sidewalk. Craig asked if the glazing requirements are similar to the convenience stores that have been built lately and have a requirement for glazing but really it is just looking through this giant window and seeing a wall, there's nothing in there. Lehmann confirmed those are glazing requirements, but in this case the glazing is limited to the front edges so it's a little difference as it's going to be the front of the buildings and the intention is for it to open up into customer centric spaces, rather than a hallway as in the convenience stores Craig is talking about. Lehmann stated the next frontage type is the Terrace and this is again meant for higher intensity zones, the T4 Neighborhood Medium and Main Street zones. The idea is that the facade is near the front of the design site, but that there's some sort of elevated surface between the sidewalk and that space. Perhaps in commercial uses a Terrace could be a sidewalk cafe, but it can be used with residential uses as an outdoor seating area for residents. There are standards that it can only be up to 2' above grade and does require a certain depth affiliated with it and it provides some privacy similar to a Stoop. Finally, the last two are the Gallery and Arcade. Lehmann explained these are both covered spaces and the idea is that the main facade is set back somewhat from the public realm on the design site. They're only allowed in the T4 Main Street zone but there would be covered space that's not within the right-of-way. It could be one - two stories in the case of the Gallery, or up to three stories in the case of the Arcade. These are typically intended for commercial uses and do require that they be used in conjunction with other frontage types so, for example with commercial uses there'd be used in conjunction with the Shopfront Type and must run along the entire front of that facade. These frontage types are a newish concept, there are some similar requirements in Riverfront Crossings, but these are a little more specified and little more detailed. Overall Lehmann explained the purpose is to really work with those other standards to provide visual interest that interacts the public and private realms. Again, review of frontage types would be included on the neighborhood plan and would be reviewed during building permit or site plan review and could have administrative changes similar to building types with the goal to maintain that diversity of frontage types. The next set of standards is related to thoroughfares which are essentially public streets and in some cases alleys or passages. Lehmann explained there are several different thoroughfare Planning and Zoning Commission July 15, 2021 Page 10 of 23 types that are use and they're built around the intended physical character of the zone, but the goal is to provide multimodal ways of getting around the City. He noted at the last meeting they had talked about thoroughfare types to incorporate different modes of transportation, such as walking, biking, different vehicle types and transit. Lehmann noted it does require an interconnected network and the goal is to provide multiple routes through the area, which is generally required for more pedestrian friendly areas, because when there are extra long blocks, it makes it a lot more difficult to travel places. Regarding the individual standards most are in the public right-of-way and won't be privately owned so during the subdivision process there is an opportunity to tweak some of the criteria, but those would come before the Planning Commission. Another requirement in the Standards is that street trees are required and would have to be planted either prior to acceptance of public improvements or prior to the certificate of occupancy for the adjacent property. It will depend on if the property is going to be developed, if it's going to be developed, but isn't developed yet they don't want to put in the street trees and then need a bulldozer to get on site, so the street tress will be planted when the building is constructed. There are other opportunities to delay such as if the seasons don't cooperate, but there are also standards as to what that looks like to ensure that the street trees are planted at regular intervals throughout that area. Hensch noted it is the current practice where now if there's street trees required in the zoning it becomes the responsibility of the particular lot owner, as it becomes developed, but this would happen with the developer to have to plant those right up front. Lehmann explained a developer would pay an escrow for the trees that would cover the cost of installation, so if the developer doesn't follow through, then the City would have the funds to be able to play for the trees. Lehmann stated again there are 10 choices Throughfare Type Standards, and they correspond to major streets in the area and a lot of them are based on current engineering for those streets where engineering already exists. The first type is the Main Streets and there are two varieties, With Median or Without Median. They are intended for the Main Street zone, the Main Street with Median has a wider right-of-way at 1 00'with the idea being that there would be 50' of payment with 25' on each side of a 10' median. There would be two traffic lanes, two bike lanes and two parking lanes. As far as landscaping the expectation is that trees would be every 30' anc the sidewalk would extend over to the street, the sidewalks are 20' sidewalks with planters within the sidewalk. Lehmann said this would be essentially along the main street zone of McCollister. The Main Street Without Median would be along Sycamore Street where it's zoned T4 Main Street. It is a narrower right-of-way because it doesn't have the median so it has 80' right-of-way but would still have two traffic lanes and two parking lanes. It would have trees in planters with the 20' sidewalk. Craig asked if it is just 20' from the building to the street then. Lehmann noted it might even be wider than that in spots, similar to the downtown area where there are very wide sidewalks and also planters within that area. It is intended to mimic a typical historic main street where there are tree planters with the sidewalks so most of the area that's not intended for pedestrian travel use could allow for things like sidewalk cafes or other uses that can spill over into the right-of- way like business sidewalk sales and such. Craig commented that 20' didn't feel big enough and Lehmann said it's wider than a typical trail which is usually only 10', Padron asked specifically which sidewalk downtown is 20' to help her visualize what this would Planning and Zoning Commission July 15, 2021 Page 11 of 23 look like. Lehmann is not sure off hand but Washington Street especially wide sidewalks. Russett confirmed on Washington Street in front of the US Bank Building there's a 20' foot sidewalk but across the street in front of the Java House and Chop House that sidewalk is more like 35'. Lehmann noted as far as where bike lanes are shown on the Future Land Use Map they're generally shown corresponding to where the City's future bike lanes are planned for in the Bicycle Master Plan and that's how they determine which streets have bike lanes. Lehmann moved onto the next set of Throughfare Type Standards, which are also along McCollister but away from the main street areas. These are Avenue 2 Without Parking and Avenue 2 with Future Parking. These pass through a couple different zones and are in the T3 Neighborhood General and T4 Neighborhood Small and T4 Neighborhood Medium. In both the right-of-way is consistently 100'. In areas Without Parking, the pavement with is 17' 6" on each side, so 35' total which includes traffic lanes, bike lanes, and median/turn pockets. In areas of Future Parking there is 50' pavement with 25' on each side, and would include traffic lanes, bike lanes, parking lanes, and the median/turn pocket. In these areas there will still be trees spaced every 30' but are continuous planters rather than individual planters as in the Main Street Zone. Lehmann explained it is similar to what is along almost any other right-of-way in Iowa City, the continuous landscaping. For sidewalks, they will be 6' on one side and 10' on the other so that 10' sidewalk acts as a trail for pedestrians Avenues 2 and 4 correspond to the other major streets in the area. Avenue 3 corresponds with Sycamore Street and Lehman Street will be developed to an Avenue 4. Avenue 3 and Avenue 4 can be used in all zones except for the Main Street zone. For Avenue 3 there is a right-of-way of 100' but the pavement width is reduced to 34' without any kind of median and is just two traffic lanes and two bike lanes. There are trees in planters, but these planters are a little wider than the McCollister oriented ones. There is still have a trail size sidewalk on one side and a standard size sidewalk, on the other side. Avenue 4 has a narrower right-of-way of 87' with two traffic lanes and a median/turn pocket. Trees would be planted in a continuous planter with wide continuous planters and the sidewalk would be trail on one side and 5' on the other side. Lehmann next discussed Neighborhood Streets noting generally throughout most of the neighborhood it will be Neighborhood Streets, and there are two options. Neighborhood Street 1 is with parking on both sides and Neighborhood Street 2 is parking on just one side. They are both allowed in all zones except for the T4 Main Street Zone. Neighborhood Street 1 is with parking on both sides has a 70' right-of-way with which is slightly larger than the current Code standard right-of-way width of 60', but the idea is for it to be a little wider to accommodate street trees in addition to other utilities and things that go in the right-of-way. The pavement width is 28' and this is a yield type parking arrangement so where there aren't cars on the streets, one could expect there could be up to two cars on each side, but if there are cars coming at each other and it's fully parked, then they will need some maneuvering between those two cars to negotiate. Lehmann explained the reason that it's designed this way is to slow the traffic on those local streets and to create safe environments for children and pedestrians. For Neighborhood Street 2 where parking on just on one side the right-of-way is narrower at 70', the pavement width is 26' with 18' for traffic and 18' parking lane. The traffic lane again is a yield type lane, however, with cars moving slow they can actually pass each other but its still expected that one would yield to help reduce those traffic speeds within local streets. Trees Planning and Zoning Commission July 15, 2021 Page 12 of 23 would still be every 30' and 14' planters to accommodate those trees and utilities. In the Neighborhood Street 2 with parking on just one side the sidewalks are 5' on each side. Hensch asked if the 60' right-of-way is what is currently in residential areas. Lehmann confirmed it is and also in these areas the pavement doesn't change, the difference is that continuous planter is wider. He thinks typically developers choose to do parking on both sides to provide additional parking for residents, but it's not always the case. Craig asked about the term continuous planter, that is in the ground and not like a raised three- foot planter. Lehmann confirmed when he says planters, just imagine the typical planting strip area between the street and the sidewalk. Lehmann moved onto the next type of Thoroughfare Type which is the Alley and is allowed in all zones. It has a right-of-way of 20', which would be expected behind the buildings, rather than in front of them, so it's not a frontage type. The Alley would be fully paved with a 20' traffic lane so it does allow some room for passing of cars, but typically this would be expected to be a yield type traveling as well. Within the Alley there is a requirement for street trees and individual planters in the area between driveways, however no sidewalks have to be provided, as it's expected that traffic's minimal enough where they don't have to worry about traffic as it's really only to access those individual sites. Lehmann explained the way that the Alley is a special type is that it does allow some modified lot dimensions, where they can reduce the size of the design site in exchange for an Alley with the idea being that they want to encourage alleys behind buildings to pull some of those garages off of the street frontages and create a more pedestrian friendly environment. He pointed out again it's not required to have the garages behind the houses, but this allows an option. Along the primary streets within the area, South Gilbert Street and McCollister they will need to provide access to the design sites from the side roads, rather than those primary roads, but those would typically be expected, because they don't expect that the design sites will have access to the side streets. Hensch asked if these Alleys would be public routes or private roads. Lehmann stated it is not specified, they could be public or private, but staff anticipates that they would be private. Lehmann stated the other special type is a Passage and is also allowed in all zones. It's also a 20' right-of-way but it would not have any traffic lanes and would be a 10' pedestrian path with 5' of plantings on the side of the host and required street trees about every 50' within that continuous planter. It doesn't have sidewalks because the general purpose of a Passage as a sidewalk is to allow pedestrian connections in exchange for larger plots or wider block links and to be able to create a pedestrian friendly environment, they want multiple routes that pedestrians can take to reach their destinations. Those same kinds of accommodations are not needed for vehicles as they can travel at faster speeds versus a pedestrian. Lehmann noted this is one way to allow an extension of a block by providing that pedestrian connection through the block length. Lehmann also noted there may be certain circumstances where there is a pedestrian Passage with buildings running along it and Alleys behind, so the cars are provided vehicular access and the pedestrian Passage would provide that pedestrian access. Craig noted however the pedestrian street is the responsibility of either an association or the property owners, unlike a regular street. Lehmann noted that alleys in the current Code are not Planning and Zoning Commission July 15, 2021 Page 13 of 23 specified to be public or private and this would be the same. However, in many cases the pedestrian Passage that are required are noted as public land. Craig asked if the City would maintain those Passages, and Lehmann replied if it's public the City would maintain it, however if adjacent to property, the owner would maintain it similar to any street where the owner may have to mow the grass between the sidewalk and the street. Russett anticipates if Passages get built that they would be privately maintained, but there would probably be some type of public access easement over them that would be memorialized through the subdivision process that would allow anyone to use the Passage. Lehmann stated as far as visualizing where these thoroughfare types are imagined, the primary streets are the Avenues, otherwise most of the areas within the developments would be local streets and those neighborhood streets, which again are similar to the current standards in the Code and pedestrian Passages would be added in if developers wanted to try and have longer blocks and provide less vehicular streets, they could replace them with pedestrian streets. Alleys are currently shown primarily along those major streets where they would be required, unless they can provide access from the side lots. Alleys may also be present in a couple other places and usually are tied to fronting pedestrian passageways or civic spaces and provides vehicular access to where they're currently isn't vehicular access. Craig asked if a gas station or convenience store type of thing wants to be built on and the corner of McCollister and Sycamore, would that be allowed. Lehmann would have to look at the standards and can report back at the next meeting, but if it were allowed it would have to follow all of the standards and the design standards as well. Lehmann stated these thoroughfare types are a completely new concept because a lot of it is going to be actually publicly owned land but it builds on Code requirements from the streets that are currently there and provides some additional standards with the goal to ensure that multimodal access is possible within the neighborhood. Like other types that are in this Code, there is a possibility of administrative changes, one can add or take away passageways that meet certain standards or swap out neighborhood streets. Lehmann stated the last chapter of 14-2H is Affordable Housing Incentives and is something that has been added on since the initial public review draft and it really mirrors some of the standards used in Riverfront Crossings, but in this case it's a voluntary set of standards. To explain, within the City there are some mandatory affordable housing policies, like the annexation policy of which a lot of this area is going to be subject to. However, if annexed, these standards would not be able to use those required affordable housing units, they would not be able to take advantage of this, but if additional voluntary units were provided, they would be able to take advantage of some of these incentives. To receive these incentives, it also has to be in a Form -Based Zone, it doesn't apply to other zones within the area. It has to be for onsite affordable housing, they can't just pay a fee -in -lieu and use these standards. Lehmann reviewed the standards, first is a 25% density bonus where any additional unit has to be affordable. So, looking at building types that have three or more units, if they had four units and wanted to provide five units within that building type, would have to be an affordable unit. Next is a parking reduction, where the affordable units would not be required to have parking but again that's for the minimal parking standard purposes, it does not mean that there won't be Planning and Zoning Commission July 15, 2021 Page 14 of 23 parking, it means that it would be up to the developer to include extra parking. There is flexibility from some other certain standards in hoping that it will encourage mixed income developments and diverse housing opportunities for different folks within the community. Lehmann noted they also hope that will increase the number of units produced and hopefully incentivize some who might not otherwise consider affordable housing within this area. Townsend asked if there is going to be a time limit on that affordable housing. Lehmann will go over the actual standards and how it is enforced in a bit but first wanted to talk about the incentives. Lehmann noted as far as the adjustments go, they'd be allowed one adjustment to the zone standards and one adjustment to building type standards that are specified in the Code. Staff would have to make a finding that it fits into the site, fits into the neighborhood characteristics and is consistent with the intent of that standard being modified. He added it does provide some protection if there's a scrupulous developer who's trying to manipulate the system to create something that just frankly doesn't fit the neighborhood, staff would be able to stop that. The zone standards that can be adjusted are design site depth which can be adjusted by 15' in terms of depth and 15% for width. The minimum area within the facade zone can be reduced by 20% as well. The building type standards that could be modified are the building main body and wing standards could be adjusted by 15% and building height could be increased by a half a story. Lehmann added there would be an opportunity to provide additional minor adjustments if those affordable housing units are further restricted in terms of who they'd be provided for. Generally, the affordable housing units will be available for owners at 80% Area Median Income (AMI) 60% AMI for renters but if those were reduced to 50% AMI then they would be allowed to have another building type adjustment, subject to those same eligibility standards. In terms of the general requirements, Lehmann stated they can be met by providing either onsite owner -occupied affordable units or rental units. The units would be subject to sales price limits, 80% AMI (which for a family of four that's income just shy of $80,000 and for an individual person it would be just shy of $56,000). Hensch asked if the current AMI in the City is $100,000. Lehmann doesn't know what 100% AMI is but noted these numbers do get updated annually and are based around a family of four and based on the family income in Iowa City. Lehmann stated for rental units, they need to be at 60% AMI and subject to HUD fair market rents and LIHTC (Low -Income Housing Tax Credit) income limits. The term of affordability would be 20 years and that would be secured with an agreement and the deed restriction on the property. So even if the owner was to sell it, they would still have to abide by the standards, and it would be administered through some administrative rules that are adopted by the City. Lehmann showed slides with the income and sales limits based on household size and then the rent limits based on size of units. He noted for owner occupied properties there's also the HUD purchase limits, which are pretty high purchase limits in Iowa City because it's based on sales prices within the City. He stated there is a difference between existing and new homes as to what those purchase price limits are and right now most of the sales are new homes and the Planning and Zoning Commission July 15, 2021 Page 15 of 23 standard single family home purchase price is limit a of $240,700. Regarding rent limits the fair market rents are also pretty high, for a one bedroom it's around $800 and for a three bedroom it is up to $1,483. That would be the cap and again those are adjusted annually, based on the rents and 40% of the area median rent. Lehmann explained it's partially based on market prices but it's below market prices, which is why it's considered the fair market rent. If a property is awarded a LIHTC by the Iowa Finance Authority (an affordable housing subsidy program that can be specifically applied in certain areas), those rent limits are based on the income of the person in the unit so there could be differing rents for different units, depending on their distribution and can be pretty complicated. Padron had a few questions regarding the income limits that Lehmann showed on the slides. Is it correct that at 60% AMI a family of four would have an income limit of $60,000 so what level of rent is affordable. Lehmann stated it varies over time but generally a household making $60,000 is expected to spend 30% of their income on housing, so if they're spending less than 30% it's considered affordable. Spending up to $1500 on rent (so one-, two- and three -bedroom units would be affordable) is acceptable to a household at 60% AMI. Padron is confused when they say income limits less than 80% of the AMI, can they change that number to something lower or is that something that cannot be modified, because 80% seems high to her. Lehmann stated that would be a family making $80,000 to be at 80% AMI. Craig noted then if a family of four made less, say $60,000, they still meet that standard because it less than 80%. Lehmann confirmed the definition of low and moderate income is 80% and that is the upper limit for a homeowner limit. For rental households on the HOME program, they use 60% which was what was used for Riverfront Crossings. Lehmann stated he can try and prepare something for the next meeting to show how they came up with these limits and what they mean in more concrete terms rather than these abstract numbers. Padron appreciates that because saying that the rent limit for one bedroom is $1400 that is really high, her mortgage is half of that, and she lives in a house. Lehmann acknowledged it is considered affordable, based on the income of someone making 80% AMI because it would be 30% of their income. Padron asked if the developer could put that price on a one -bedroom apartment and then get all the benefits of having affordable housing. Lehmann said they would only be able to do that if they're awarded low-income housing tax credits which requires a mix of different market rate and affordable units. Padron reiterated they will get a tax credit and her point $1496 rent doesn't seem affordable. Russett stated the City has more flexibility on changing the AMI standards than they do these rent limits. For the low-income housing tax credit limits, these are the limits that would only be applied to projects that receive tax credits from the State, and if they receive tax credits from the State, the City cannot ask the developer to lower the rents, these are the rents that they would be required to charge through that program. Lehmann stated the fair market rents are the standard rent that would be provided with bonus units unless they happen to get LIHTC, which is not common, there is maybe one LIHTC project every other year or so. Most of these units would be expected to be under fair market rent. Planning and Zoning Commission July 15, 2021 Page 16 of 23 Hektoen noted the distinction is the LIHTC standards are set by State regulations, where the discretion comes in, as to whether Planning and Zoning and the City Council wants to provide additional incentives for LIHTC projects is since they can't really change the structure of the LIHTC program what is being proposed here is to allow these additional incentives for LIHTC projects. Townsend acknowledged the problem is they are calling this affordable housing and it really is not affordable to those people that are low income, it's a lie. Signs stated he has been around the affordable housing issue for some time now and he doesn't know if they've increased those limits recently but does agree with everyone else that it doesn't seem affordable. He understands they can't do anything about it, other than go to the State House but in this environment, that's probably not going to change. Hektoen explained there's two programs that they're talking about here, and where the Council and P&Z do have more discretion is in the fair market rent and the structure that's being created by this Code change. The LITHC structure is a separate animal. But there are two programs and in this Code they are offering incentives for both of those programs. Hensch stated he is interested in increasing the very few LIHTC projects that get built because if they can do something to encourage more LIHTC projects they will increase the pool of affordable housing. It may not be as affordable as people want, but it helps increase the overall pool. Right now, not much is being built at all, so if they can create some incentives, it is a good thing. The reason developers are spending their money is because they're going to get their tax credits through the Iowa Finance Authority, qualifying for their programs, and so the City needs to help encourage them to do that or they won't get built at all. Signs noted looking at those limits quite frankly, they're not terribly far off of market rate so who's benefiting from that is the developer. He's been around these projects and he knows there is a group in town who has done LIHTC projects and are not going to be very happy with this conversation or with him, but these rents are not affordable at all. Craig noted looking at the percentages, at 80% means they're making $80,000, and a two - bedroom is $1800 and at 40% where that family is making $40,000 and they need a two - bedroom apartment the rent is $900, which is a big difference from $1800 dollars. Hensch agreed and noted they do have to look at the definition of affordable, if someone is spending 30% or less of their income on the rent by definition it is affordable, even though the numbers seem high. He did agree there's always sticker shock about these bigger numbers, but Iowa City is just an expensive place to live. Perhaps Lehmann can provide some examples to help illustrate this in a future presentation. Signs agreed that due to the fair market rate limits those numbers seem reasonable to him but he would say no incentives for LITHC projects. Townsend asked if there are there other programs for affordable housing. Lehmann will try to create a summary of the programmatic requirements. He did note he doesn't think there would Planning and Zoning Commission July 15, 2021 Page 17 of 23 ever be a single LITHC project that would only have 80%, most LITHC's have a mix of 60%, 40% and 30% AMI. There may be a couple 80% but there's some level of averaging at what different income levels are so there is a mix of income ranges to create cash flow within the property. Townsend stated they might also be confused that these percentages are, is it how much of their salary they're spending for rent. Lehmann replied no, the percentages are based on income. 80% is considered low income and rents limits are based on 30% of what someone who makes 80% AMI. Hensch asked if the Del Rey project was LITHC funded and Lehmann believes so. Hensch noted that is a good example of one that's got a mix of 30/40/60 and maybe a couple at 80. Lehmann also added they can't charge more than what the market would bear so even if the rent limits are high if no one's going to be able to live there, then they can't charge that rent limit. Padron stated in the Housing Commission they were having a conversation over the last few months before she left that the problem in Iowa City is not the lack of affordable housing, because there is a lot of affordable housing right but units that are being built are not being occupied because the City needs more vouchers. If the City could create its own voucher program, then they could help people get into those units. Lehmann suggested they table the affordable housing discussion and move on with the Code and they can discuss affordable housing in more depth next time and then he can prepare answers for Commissioner's questions. Lehmann stated as far as requirements go then the market rate in the affordable units have to be the same floor area, number of bedrooms, and similar quality or at least a similar proportion inequity in units or any barrier that might be there. The affordable units must be developed concurrently with all other units through these voluntary incentives. For owner occupied units, their income would be qualified prior to sale and it would have to be their primary residence. They can't rent it, except for a bedroom, and if they sell it within that 20-year span, they would have to sell it to an income eligible household at either the HUD sales limit with some deductions for real estate commissions, closing costs, or permanent capital improvements that would increase the value. As far as renter units, the owner would be responsible to income certify each tenant annually, prior to lease and then annually thereafter, and if there is a tenant who is doing well during the affordable unit period and get more money and become over income they continue to be qualified until they vacate the unit and at which point, it would be occupied by another income qualified units. Again, the rental rates for a rental unit or the HUD fair market rent is the basic one but if they do get LITHC than they would have those LITHC grants and then the owner is responsible for clients and they would have to verify annually with the City, including their documentation for income certifications. Lehmann next wanted to discuss three other general sections that are no longer part of title 14- Chapter 2-H. Some are other changes to Title 14 and some are changes to Title 15, which is the Subdivision Code and Title 14 is the zoning code and then also the Comprehensive Plan would need to be amended as part of this. The other changes are mostly administrative sorts of changes. The first Lehmann discussed is that in sign regulations and there is a new subsection in the appendix on other changes to Title Planning and Zoning Commission July 15, 2021 Page 18 of 23 14. The biggest change is applying the sign standards to these zones and what they look like. Generally, the only signs that are allowed are temporary signs and portable signs, but as they get into open subzones that allow a greater variety of commercial uses they're also allowed to do Porch signs and Post signs and in the more intense zones like the T4 Main Street zone pretty much all sign types are available. Lehmann explained it really depends on the intensity of the zone, the size of the buildings, and the uses that are allowed as to which signs are allowed. The Code also creates new sign types, which are the Porch sign and the Post sign, which are pretty self-explanatory by their names. The other larger changes are in the definitions, there are new concepts that they have been discussing throughout this presentation, things like missing middle housing, civic space, etc., definitions that the City doesn't currently have and it also clarifies other concepts as they applied to Form -Based Codes. There are Form -Based Zones, which zones those correspond to, there are some changes to how to define building heights, frontages, or parking setbacks, and then one more notable is there isn't currently a half story in the Zoning Code. The other minor changes Lehmann wanted to mention are in the introductory section and would provide some clarificatory language, in the off-street parking standards they talked about special vehicle parking in T3 zones, they also make sure that they apply lighting standards in zones, they apply woodland retention requirements in the zones, and those are basically similar to their corresponding zones as residential single-family zones. Finally then there are the sign definitions, which he just mentioned. The other piece is something where the Planning and Zoning Commission doesn't recommend changes, Title 15, which is the Subdivision Code, but because it incorporates the way that these things work, Lehmann wanted to make sure that they were aware of them and how the Subdivision Code fits in with the zoning code changes. The first is the plats and platting procedures, a lot of the changes are housekeeping items, such as adding a step for submittal and review and departmental titles and positions as those are all out of date. The other two items that are larger changes are what's reflected in the preliminary plat and as Lehmann stated earlier the way a lot of these standards will be implemented is in the preliminary plat so that's where they'll have to show design sites, thoroughfare types, civic space, building types and they'll also have to include notation about connections to adjacent properties and notations about which things can be substituted for other types, specifically civic space and building types. Lehmann reiterated the neighborhood plan is a new document that would be submitted with the final plat and that's where the rest of this will be implemented. He explained it is very similar to what's in a preliminary plat, it would have all those items, but it would also include frontage types as well. That is the document where they could look in the future and say what was expected to be there. The neighborhood plan will be checked upon a building permit or site plan and that's how they'll make sure that the standards are being met. Craig asked if that will only apply to plots for this particular area of the City or was it now for everything. Lehmann confirmed it'll be only for this area of the City, subject to the form -based standards. Planning and Zoning Commission July 15, 2021 Page 19 of 23 Lehmann next discussed some of the design standards which is a different chapter of the Subdivision Code. Some are related to streets and some are related to blocks but generally it adds some language about promoting connectivity throughout the City and promoting multimodal transportation. Lehmann noted there has to be appropriate transitions between thoroughfare types, but it also requires that the right-of-way, or the streets have to abide by the thoroughfare type standards and those thoroughfare type standards have to rely on the Future Land Use Map that would be in the Comprehensive Plan. He also stated where there are variations, they have to meet specific criteria, similar to what is required in rezoning where they have specific criteria that are required. For example, if there are sensitive areas, they can shift things and substitute thoroughfare types, except for those major streets of South Gilbert, Lehman, Sycamore and McCollister. They can change the alignment in the block orientation, and this is a question that someone had on how staff will ensure that something similar is created and it's the standards in the Subdivision Code. So, alignment can change, but the connections to existing streets have to stay and they have to continue to abide by the block standards, and single -loaded streets will need to continue to abut civic or open space. Lehmann explained the reason that they have these standards here is because that was what was used to design this Code and the point of these standards is that if there are changes to it, it would create a similar outcome to what is currently there or what they would propose to show in the Future Land Use Map. The other changes are tied to Passages which can replace a thoroughfare type as long as the design site has some sort of vehicular access, whether that be an alleyway or street. Alleys can be added if a developer would like to take advantage of some of those other benefits of alleys or they can be removed as long as those sites have access to adjacent streets, other than McCollister or South Gilbert. For the blocks and block lengths, the Form -Based Code zones have a different set of block standards that they currently have. So currently they require them to be between 300' and 600', there's an opportunity to lengthen them but again the block network has to comply with the Comprehensive Plan and the block length of perimeters have to comply with the block size standards table, but those with Passages. Lehmann stated with these standards the blocks are shorter than they would currently allow typically in most T3 zones. The maximum block length would be 500' and then in more intense T4 zones the length would be 360'. Again, those could be extended with a pedestrian Passage in the middle of the block to provide that pedestrian connectivity and that would increase them to 800' and 600', respectively, except in the Main Street zone which would retain a 500' maximum block length. Lehmann reiterated there are perimeter standards, so there are no super blocks where there are really large areas of no street connectivity and that further reinforces these block size standards. Finally, Lehmann discussed the Comprehensive Plan draft and changes to that. This is specifically located in the South District Plan and the reason that they have to amend the Comprehensive Plan is because they're relying on the Future Land Use Map, which is more detailed and it's not currently in the South District Plan. This plan was initially adopted in 2015 which is what kicked off this journey down the Form -Based Code path as one of the objectives was to adopt a Form -Based Code for the South district. Lehmann said there are some additional updates other than just the Future Land Use Map and they also wanted to reflect some current priorities of City Council. The changes are specifically to update some background and context and to generalize more specific language, based on the new Future Land Use Map. To modify some goals and objectives, to discuss Form -Based Codes and generally how they fit in, and then the updated Future Land Use Map, which is the important piece as far as the rest of this Code applies. Planning and Zoning Commission July 15, 2021 Page 20 of 23 The updates and context are included to really reflect those Council objectives and to make sure that the Code is up to date. They include input for the Form -Based Code process, provide some additional context that wasn't included in the original such as regarding the history of native persons, the implications of past planning practices as it relates specifically to equity and sustainability, and then recent equity and sustainability initiatives. They also generalize some language in the plan, in the housing transportation commercial areas section, that has happened since the Code was adopted. Lehmann noted that doesn't always align with the Future Land Use Map that's being proposed, so they generalize that, but it still does generally comply without those changes, they just wanted to make it more explicit to facilitate that adoption. Lehmann stated there's a new chapter on Form -Based Code which discusses what they are and how they're implemented in the South District and how they are carried out through the zoning and subdivision code. They also added in some new goals and objectives that more explicitly link the goals of the Form -Based Code with the goals of the Plan. Lehmann noted these may or may not need to be added, but they wanted to explicitly address some of these ideas. One of them is in housing, there's a new goal and objective to provide a diversity of housing in the South District, creating a range of housing types, densities and price points to improve equity and sustainability and the objective is to adopt a Form -Based Code. They also added in a goal for streets, trails and sidewalks connectivity and that is to adopt a Form -Based Code that promotes walkable neighborhoods, encourages the use of alternative modes of transportation and reduces car dependence. In the Commercial areas they added a goal regarding development and redevelopment of commercial areas and adopting a Form -Based Code provides for compatible mix of nonresidential uses, including commercial nodes that serve the needs of the neighborhood. Lehmann noted that looking at a lot of the Form -Based Codes, a lot of these goals are implicit within the Code, but they're not explicitly linked to Form -Based standards and so that's really what these objectives do. Finally, Lehmann showed again the Future Land Use Map that is currently within the Plan and acknowledged there's a lot of discussion in the Plan about missing middle housing types there's a whole page on it essentially, and what new neighborhoods should look like and this was the Future Land Use Map that was used. Regarding the missing middle housing types, that has some pretty specific uses, and it follows a more conventional use standard rather than focusing on the form of missing middle housing types, and so the change was made to the existing Future Land Use Map for greenfield areas to be where that would be applied. Any new development has to reflect the Future Land Use Map with more explicit regulations of what that looks like and much more detailed greenfield sites. That was the overview of the Code, Lehmann stated as far as next steps, the next meeting is August 5 where the Commission will be discussing any questions or clarifications they'd like, and staff will try to give some more information on affordable housing. Staff will discuss the public comments received thus far, and then the Commission would set a public hearing for the Comprehensive Plan Amendment. The Commission will then be considering a recommendation on the Form -Based Code and the Comprehensive Plan Amendment at the August 19 meeting. Into September and October is when Council would be setting their public hearing in considering the Code and the Plan. Lehmann reminded everyone they can find information on the website Planning and Zoning Commission July 15, 2021 Page 21 of 23 about how to contact staff or email members of staff with comments or questions. Hensch thanked Lehmann and staff for the very impressive work. Townsend asked if these new Codes would eventually replace all of the Codes in the City if they do work on the south side. Russett replied they are just looking at these 900 acres in the South District, but eventually they would like to apply this Code to other greenfield areas that are at the fringe of the community, some of those areas are still in unincorporated Johnson County but are likely to be annexed at some point, so the idea is that it would eventually apply to other greenfield sites as well. Townsend said then they will actually be working with two sets of Codes now, one for the old stuff and this area. Signs stated for next time if staff could present something that f helps him understand Form - Based uses. If he wanted to build a single-family two-story home that fits in one of these blocks, so he could open whatever business he wanted to in that house how would he achieve that in this new Code. Hensch noted if Commissioners have any questions they'd like staff be prepared for to discuss on the next meeting on August 5 please forward those to staff so they can have an opportunity to prepare. COMMISSION INPUT ON THE USE OF AMERICAN RESCUE PLAN ACT (ARPA) FUNDS: Russett noted there was a letter from Rachel Kilburn, the Assistant City Manager, in the agenda packet about these funds and the City is currently in the process of taking comments on how the funds should be used. The City is looking at Boards and Commissions to see if they have any ideas but there is also an online survey each member can take individually or send an email to the email address that was in the letter as well. Hensch stated he would really like to see the City aim this towards affordable housing and affordable, quality childcare, particularly in the qualified census tracks, because that's presumed an eligible expenditure and is something they could start working on right away. He is also very interested in housing rehabilitation, particularly looking at asthma mitigation in children and lead pipe elimination for water distribution and then mold abatement in the homes and also taking care of the leaking problems that are allowing the mold to form in the first place. Padron would like to see the Council or staff look into using this money or part of the money to create a local voucher program for affordable housing. Signs noted there's a lot of opportunity there and there's a greater need and he is anxious to hear what other people are saying. Craig stated she filled out the survey online and agrees with Hensch that childcare is an issue that needs to be address. Hensch stated it is probably the biggest obstacle for working class and poor folks and it is not only affordable childcare, but affordable, quality childcare that is needed. Padron also agrees with the childcare issue and would like to see some money going to that. Planning and Zoning Commission July 15, 2021 Page 22 of 23 DISCUSSION OF RETURNING TO IN -PERSON MEETINGS: Russett announced the meeting on August 5 would be in person and wanted to know if the Commission is comfortable going back to Emma Harvat Hall. The Commission discussed and said that was fine however asked staff to maybe look for a bigger space where folks could spread out more if they felt an agenda would attract a larger crowd. CONSIDERATION OF MEETING MINUTES: JULY 1, 2021: Townsend moved to approve the meeting minutes of July 1, 2021. Signs seconded the motion. A vote was taken and the motion passed 6-0. PLANNING AND ZONING INFORMATION: Russett did not have any updates other than to continue to encourage the Commission to review the Form -Based Code and let staff know if there's specific sections of the Code that they want more clarity on. Hensch acknowledged how far staff has gotten on this project because he remembers meeting with Opticos at what seems like 10 years ago at this point, and is very impressed with the folks for getting this work done. Hensch noted he would not be present for the August 5 meeting. Craig asked about the land that has been cleared on the south side of Highway 6 and Keokuk and wondered what was going in there. Signs shared that a Kwik Star convenience store was going in there. ADJOURNMENT: Signs moved to adjourn. Townsend seconded. A vote was taken and the motion passed 6-0 z O 20 OU C1 LU N W Z O N Z Z O Q N N 0 N 06 z OW Z ~ H Z Q Z Q J a