memorandum

to:

Roger L. Stancil, Town Manager

from:

J.B. Culpepper, Planning Director
Gene Poveromo, Development Manager
Kendal Brown, Senior Planner

subject:

Public Hearing:  Land Use Management Ordinance Text Amendment – Adjustment to the Special Use Permit Threshold for Downtown Development in the Town Center Zoning Districts

date:

 May 11, 2009

INTRODUCTION

Tonight’s public hearing has been called to consider a proposed Land Use Management Ordinance text amendment regarding an exemption for particular kinds of redevelopment of buildings in the Town Center zoning districts relative to the floor area threshold for Special Use Permit review.  We recommend that the Council open the public hearing and receive comment regarding the proposed Land Use Management Ordinance text amendment.

BACKGROUND

On January 6, 2009, the Planning Board petitioned the Council to modify the Land Use Management Ordinance (LUMO) regulations to lower the threshold for Special Use Permit review.  Several citizens expressed support for the petition overall.  Others expressed concerns about the effect on downtown revitalization efforts.  The item was referred to the Planning Board for study and recommendation.  The Planning Board has formed a committee and has begun this work.

On March 23, 2009, the Planning Board petitioned the Council to enact an exemption from the Special Use Permit threshold for renovation of an existing downtown building which does not involve increasing the building footprint or significantly altering the building exterior.  The exemption was recommended regardless of the pending outcome of the Special Use Permit threshold study.  The Council referred the matter to staff for analysis and recommendation.

CURRENT LAND USE MANAGEMENT ORDINANCE

In Article 3 of the Land Use Management Ordinance, Table 3.7.1, the “Use Matrix”, establishes regulations governing the use of land and structures within the various zoning districts and classifications of planned developments.  Entries within the matrix indicate whether a particular use is permitted as a principal use, accessory use, special use, or is not permitted. Following the matrix are three footnotes, the first of which states that those uses otherwise permitted as a principal use are only allowed as a special use if the scale of the development is over 20,000 square feet of floor area and/or 40,000 square feet of land disturbance.

Schools, the University main campus, and Materials Handling zoning district are currently exempted from this threshold provision.

DISCUSSION

Under the current provisions, expansion projects in the Town Center zoning districts that result in a cumulative floor area exceeding 20,000 square feet would trigger Special Use Permit review by the Council.  This issue recently arose when a building owner proposed converting a mezzanine to an entire upper floor.  The proposal did not involve any building exterior or footprint changes.  We believe that for small scale expansions not affecting the building footprint or exterior, this level of review is overly burdensome.

The proposed text amendment would expand the first footnote under the Use Matrix to provide an exemption for redevelopment of an existing downtown building which does not involve expanding the building footprint or significant changes to the building exterior.  Thus, if a redevelopment project involves a building with close to 20,000 square feet of floor area, and proposes to add floor area beyond the 20,000 square foot floor area threshold (such as expanding an existing partial second or third floor, interior changes only), the exemption would allow the additional floor area without Special Use Permit review.

With enactment of such an exemption, the review processes that would apply would be Administrative (staff) review, if the floor area expansion is less than 15%; or Site Plan Review by the Planning Board.

PROPOSED TEXT AMENDMENT

Below is the proposed text amendment, identified by text underlining:

 In Article 3, the first footnote under Table 3.7.1, the “Use Matrix” of the Land Use Management Ordinance:

In all zones except OI-3, OI-4 and MH: For all use except existing public elementary and secondary schools. Permitted as a PRINCIPAL USE if floor area of proposed development is less than 20,000 square feet, and area of disturbed land is less than 40,000 square feet; otherwise permitted as a special use.  The floor area threshold of 20,000 square feet for Special Use does not apply to increasing the floor area in existing buildings in the Town Center-1 , -2 , and -3 zoning districts, so long as the redevelopment does not increase the building footprint and does not significantly alter the building’s exterior.  For existing PUBLIC elementary and secondary schools, “P” indicates permitted as a principal use.

ZONING AMENDMENT

Article 4.4 of the Land Use Management Ordinance establishes the intent of Zoning  Amendments (including both atlas and text amendments to the Ordinance) by stating that, “In order to establish and maintain sound, stable, and desirable development within the planning jurisdiction of the Town it is intended that this chapter shall not be amended except:

  1. to correct a manifest error in the chapter; or
  2. because of changed or changing conditions in a particular area or in the jurisdiction generally; or
  3. to achieve the purposes of the Comprehensive Plan.

Article 4.4 further indicates:

It is further intended that, if amended, this chapter be amended only as reasonably necessary to the promotion of the public health, safety, or general welfare, and in conformance with the Comprehensive Plan.

A) An amendment to the Land Use Management Ordinance (text amendment) is necessary to correct a manifest error in the chapter.

Staff Comment: We believe the information in the record to date can be summarized as follows:

B) An amendment to the Land Use Management Ordinance (text amendment) is necessary because of changed or changing conditions in a particular area or in the jurisdiction generally.

Staff Comment: We believe the information in the record thus far can be summarized as follows:

C) An amendment to the Land Use Management Ordinance (text amendment) is justified to achieve the purposes of the Comprehensive Plan.

 Staff Comment: We believe the information in the record thus far can be summarized as follows:

Each theme, and its corresponding strategies and actions, are briefly discussed below.

Implementing the Downtown Small Area Plan

The Downtown Small Area Plan includes the following objectives and strategies:

  1. Develop an expedited regulatory review process for downtown development projects; and
  2. Pursue opportunities for redevelopment and preservation.

Staff Comment:  The proposed amendment would help align the Ordinance with the stated goals for simplifying the review process for minor downtown redevelopment projects in existing buildings.

Economy and Employment

The Downtown Small Area Plan includes the following objectives and strategies:

  1. Facilitate development on designated opportunity sites;
  2. Maintain a policy/regulatory climate that is supportive of small businesses and of considering provisions to facilitate small business development; and
  3. Acknowledge that accommodation of business expansion needs is constrained by the amount of suitable land available and stay apprised of the needs of local businesses and assist in meeting those needs where possible.

Staff Comment:  The proposed amendment would help support minor expansion of businesses in the existing downtown buildings.

Improving the Development Review Process

The Downtown Small Area Plan includes the following objectives and strategies:

  1. “In the downtown area…requirements should be customized to encourage the development and redevelopment of property consistent with the Downtown Small Area Plan;” and
  2. Expedite “the processing of projects of limited scope and impact … as a tool to support small businesses.”

Staff Comment:  The proposed amendment would help expedite the minor expansion of businesses in the existing downtown buildings.

RECOMMENDATION

Planning Board Recommendation:  (will be inserted here after the 4/22/09 PB meeting)

Staff Preliminary Recommendation:  We recommend that the Council enact the attached Ordinance to amend the footnote following Table 3.7-1, the Use Matrix in the Land Use Management Ordinance, to provide an exception for certain kinds of redevelopment in the Town Center zoning districts.

ATTACHMENTS

  1. Summary of Planning Board Action (p. 6).
    http://townhall.townofchapelhill.org/agendas/2009/05/11/1/1-1-pb_action_summary.htm
  2. Ordinance Amending the Chapel Hill Land Use Management Ordinance Regarding the Special Use Permit Threshold (p. 7).
    http://townhall.townofchapelhill.org/agendas/2009/05/11/1/1-2-draft_ord_sup_thresh.htm
  3. March 23,2009 Planning Board petition (p. 8).
    http://townhall.townofchapelhill.org/agendas/2009/05/11/1/1-3-pb_petition_to_tc_20090317.pdf