AGENDA #2b

MEMORANDUM

TO: Mayor and Town Council

FROM: W. Calvin Horton, Town Manager

SUBJECT: Proposed Rezoning of University of North Carolina Central Campus to Office/Institutional-4: Zoning Atlas Amendment

DATE: June 18, 2001

Tonight the Town Council considers the proposed rezoning of the University of North Carolina central campus area to a new Office/Institutional-4 (OI-4) zoning district. Attached maps show the location and existing zoning of the proposed area and its surroundings (please see Attachments 1 and 2).

BACKGROUND

At a February 7 meeting of the Mayor’s Committee on University Relations with Chancellor Moeser and his staff, there was agreement that the University and the Town each put together a statement of requests and interests to give to the other. On March 7, the Mayor received a letter from Chancellor Moeser stating several specific requests related to the University development plans. On March 26, the Council reviewed a package of materials. On April 9, the Council authorized the transmittal of a Town statement to the Chancellor.

On April 23, the Council adopted a resolution endorsing a proposed schedule of action (please see Attachment 8). According to the proposed schedule of action, the Council would act on the proposed OI-4 zoning district and the proposed rezoning of the Central Campus to OI-4 on July 2. On or after July 3, the University would submit a Development Plan. In September, the Planning Board would review the Development Plan and the Council would hold a public hearing on the Development Plan. The Council could then act on the Development Plan on or about October 1, with final approval for the first building(s) issued by the Town Manager three weeks later.

For further discussion of background, please see the memorandum for an accompanying item on tonight’s agenda presenting the proposed OI-4 zoning district.

PROCESS

This is a Zoning Atlas Amendment proposed by the University of North Carolina. When a zoning atlas amendment is proposed, the Development Ordinance requires the Town Manager to conduct an evaluation of the proposal, to present a report to the Planning Board, and to present a report and recommendation to the Town Council. We have presented a report to the Planning Board and tonight we submit our report and preliminary recommendation to the Council.

The request from the University of North Carolina is that property shown on the attached maps be rezoned to the new OI-4 zoning district (please see Attachments 1 and 2). The University has submitted a formal application to consider the requested rezoning as one application (please see Attachment 11). We believe that this application may appropriately be considered as one rezoning proposal, and that when the Council takes action on the proposal that it may do so with one vote. We have noted in this memorandum that based on a combination of circumstances there are nine sections, or sub-areas, that comprise this overall contiguous proposal for OI-4 zoning.

Attachment 3 contains a detailed evaluation of the area proposed for rezoning, along with descriptions of sub-areas. Attachment 4 summarizes the Planning Board’s recommendation. Attachment 12 includes copies of correspondence received.

Two memoranda from the Town Attorney related to this rezoning process are included as Attachments 5 and 6. Attachment 5 relates to questions about how many areas should be considered for the rezoning application, and Attachment 6 responds to procedural questions raised at the June 11, 2001 Town Council meeting.

Public Notice

Notice of this public hearing was sent to owners of property within at least 1,000 feet of the properties proposed for rezoning (please see Attachment 9). Staff held a public information meeting on Tuesday, May 22, 2001. Notice was also published in the Chapel Hill Herald on Friday, June 8, 2001 and Sunday, June 17, 2001 (please see Attachment 10). Copies of the agenda materials on this proposal are available in the Clerk’s office and in the Public Library.

Format Tonight

The Council tonight will be holding a public hearing on the proposed rezoning. The purpose of the hearing is to receive public comment on the proposed rezoning. Typically the Council refers comments made at the hearing to the Manager and Attorney for a follow-up report. According to the adopted schedule for this proposal, we anticipate returning to the Council with this follow-up report for Council consideration on July 2, 2001.

Sub-Area Analysis

We have prepared detailed information on each of the nine sub-areas that comprise the area for rezoning (please see Attachment 3). For each sub-area shown on the Location Map in Attachment 2, we provide an individual summary describing the area, the land use designation, existing zoning, comprehensive plan analysis, and an analysis of zoning issues.

Protest Petitions

Article 20.3.9 outlines the procedure for property owners to file a protest petition. The notice mailed to property owners within 1,000 feet of the subject property included a statement that information on protest petitions was available from the Planning Department. If submitted and determined sufficient, a three-fourths vote by Council would be required to enact the new zoning. The deadline for filing protest petitions was 5 p.m. Wednesday, June 13, 2001. We will report at tonight’s Public Hearing regarding any valid protest petitions that have been submitted.

ZONING ATLAS AMENDMENTS

Zoning determines the type and intensity of uses and development that are allowed on a piece of land. A rezoning involves a change to the zoning of the land. In Chapel Hill, a rezoning may be requested in two ways: general use and conditional use rezoning requests. A general use rezoning request is to change the zoning to a different zoning district in which any of several kinds of developments and uses are permissible. A conditional use rezoning request is to allow development and uses only with approval of a Special Use Permit. This rezoning proposal is a general use rezoning.

The zoning designation of a property determines the range of land uses and development intensities permitted on the property. Article 20, Section 20.1 of the Development Ordinance establishes the intent of Zoning Atlas Amendments by stating:

“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:

a) to correct a manifest error in the chapter; or

b) because of changed or changing conditions in a particular area or in the jurisdiction generally; or

c) to achieve the purposes of the Comprehensive Plan.”

Section 20.1 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.”

DISCUSSION - ANALYSIS OF THE PROPOSAL

Proposed OI-4 Zoning District

A new zoning district, Office/Institutional-4 (OI-4) is being proposed concurrent with the proposed rezoning of the UNC central campus area. For details of the proposed OI-4 zoning district, please refer to that agenda item in tonight’s packet.

Proposed Rezoning of UNC Central Campus

This rezoning proposal would change the zoning for portions of the central campus area of the University of North Carolina from its current zoning designation of Office/Institutional-3 (OI-3) to a proposed new Office/Institutional-4 (OI-4) zoning district. The proposed rezoning also includes eight smaller areas that are currently zoned Office/Institutional-2 (OI-2), Office/Institutional-1 (OI-1), Town Center 1, or Residential 1. These are all contiguous to the large area currently zoned OI-3 or, in some cases, directly across the street.

The nine sub-areas are generally divided according to their current zoning and whether they are contiguous to another area of the same current zoning. In the southern portion of the proposed rezoning, for example, there are four sub-areas (sub-areas 6, 7, 8 and 9) that are all currently zoned Residential 1 but are separated because they are not contiguous to one another. A detailed description and analysis of each of the nine sub-areas is found in Attachment 3.

UNC Special Use Permits

There are three special use permits in effect for the main campus area. These special use permits are for Kenan Stadium, a Health Affairs Parking Deck, and the Smith Center. Throughout this process, issues have been raised related to the area between the Smith Center and the residential area on the north side of Mason Farm Road. On January 15, 1979, the Council rezoned the land in the general area of the Smith Center from R-20 to University A, but left a 200 foot strip of land between the new University A district and Mason Farm Road as R-20. In 1981, the R-20 zoning district was reconstituted as the modern-day R-1 zone. Subsequently, the Smith Center Special Use Permit was approved with conditions related to this R-1 area. We note that the proposed OI-4 district would not require a special use permit for places of assembly. These issues are discussed in more detail in Attachment 7.

Comprehensive Plan

Land Use Plan

The majority of the proposed rezoning area is designated University on the Town’s Land Use Plan, adopted in May, 2000. This area includes sub-areas 1, 2, 6 and 7. Sub-areas 8 and 9, in the southern portion of the proposed rezoning area, are designated Low Residential (1-4 units/acre), and sub-areas 3 and 5 are designated as High Residential (8-15 units/acre). Sub-area 4, located on the 100 block of East Franklin Street, is designated Town/Village Center.

Historic District

Portions of the northern and western edges of the area are in the Town’s historic districts. Sub-areas 2 and 3 and a portion of sub-area 1 are within the Cameron-McCauley Historic District, and sub-area 5 and a portion of sub-area 1 are within the Franklin-Rosemary Historic District. The Gimghoul Historic District is adjacent to the eastern side of the proposed rezoning area. We note that overlay districts, like Chapel Hill’s Historic District, do not apply to State-owned properties.

Residential Conservation Area

Portions of the northwest and southern edges of the area are within Residential Conservation Areas, as delineated on the Town’s Land Use Plan. Specifically, sub-areas 2, 3, 5, 8 and 9 are within Residential Conservation Areas.

Downtown Small Area Plan

Portions of the north edge of the area are within the Planning Area of the Downtown Small Area Plan. Specifically, sub-areas 4 and 5 and the northern portion of sub-area 1 are within the Planning Area of the Downtown Small Area Plan.

Zoning Justification

As noted in the “Zoning Atlas Amendments” section of this memorandum, there are three justifications for rezonings: a) to correct a manifest error in the chapter; b) because of changed or changing conditions in a particular area or in the jurisdiction generally; or c) to achieve the purposes of the Comprehensive Plan.

There have been no arguments posed to date that the existing zoning is a manifest error. In general, we believe that the primary justification for the Zoning Atlas Amendments as called for in the proposed rezoning would relate to the changing conditions of the University, and that the proposed rezoning could be justified under condition (b). The University is projected to experience significant growth in student, faculty, and staff populations in the coming years, requiring additional facilities and services. Accommodation of this projected growth is outlined in the University’s Master Plan. The existing zoning would not allow the University to add the needed facilities to support its growing population. Changing conditions are also indicated by the bond referendum passed by state voters last fall for facility construction and renovation on the UNC campus.

A change in zoning to implement the University Master Plan could also relate to Strategy 4A-1 in the Comprehensive Plan to “coordinate with UNC and the UNC Health Care System in developing and implementing the Master Plan for the main campus” (Comprehensive Plan, p.27).

Arguments in Support

As noted previously, in general, we believe that the primary justification for the Zoning Atlas Amendments as called for in the proposed rezoning would relate to the changing conditions. The University is projected to experience significant growth in student, faculty, and staff populations in the coming years, requiring additional facilities and services. Accommodation of this projected growth is outlined in the University’s Master Plan. The existing OI-3 zoning would not allow the University to add the needed facilities to support its growing population. Changing conditions are also indicated by the bond referendum passed by state voters last fall for facility construction and renovation on the UNC campus.

Rezoning the main campus area to OI-4 could also be determined to be consistent with the University designation of the Town’s Land Use Plan. Section 8.2 of the Comprehensive Plan defines the University category as “lands owned by UNC, including the main campus, Horace Williams tract, and Mason Farm.” A change in zoning to implement the University Master Plan could also relate to Strategy 4A-1 in the Comprehensive Plan to “coordinate with UNC and the UNC Health Care System in developing and implementing the Master Plan for the main campus.”

Furthermore, the proposed OI-4 zoning district is designed to mitigate the potential impacts of the University’s growth through requiring a detailed development plan. The Town would have the opportunity to have significant input into future growth plans and how those plans would impact the Chapel Hill community and environment.

Arguments Against

In general, we believe that University growth will have impacts that will adversely affect the community unless there is mitigation. As noted in the “Statement of the Chapel Hill Town Council to UNC Chancellor James Moeser” (dated April 9, 2001), “community impacts can include effects on traffic congestion, transit service, stormwater management, water and air quality, water and sewer capacity, housing markets, school capacity, fire protection, visual character, neighborhood character, and recreation services.”

Five of the sub-areas (2, 3, 5, 8 and 9) are within a Residential Conservation Area, shown on the Town’s Land Use Plan, which calls for neighborhood protection and preservation when the Town considers rezoning proposals. The Comprehensive Plan states that “it is the stated policy of Chapel Hill that neighborhood protection issues in these areas are paramount. It means that, when policy choices that affect these areas are before the Town Council (road issues, rezoning proposals, public investment decisions), the balance should tilt in favor of protection and preservation” (Comprehensive Plan, p. 12).

Regarding sub-area 4, changing the zoning to the new Office Institutional-4 district would place a zoning designation that is tailored specifically to the University for properties in the Downtown commercial core. The conversion of commercial property to University use is discussed in the Downtown Small Area Plan. The Plan makes reference to the University-owned parcels in the 100 block, stating, “Those on the 100 block of East Franklin should be preserved and protected. Of continuing concern is the conversion of former commercial space to office uses for the University.” We also note the Town/Village Center land use designation for these parcels on the 2000 Land Use Plan map. The Comprehensive Plan states that the “emphasis in the 100 block of East Franklin Street will be on preserving the scale and character of the existing buildings and streetscape.”

Regarding sub-area 7, the area currently provides a separation and screening between University areas and nearby low-density residential areas.

Regarding sub-areas 8 and 9, the Land Use Plan of the Comprehensive Plan, adopted May 8, 2000, designates these sub-areas as Low Residential (1-4 units/acre). If these sub-areas are rezoned from Residential 1 to Office/Institutional-4, the new zoning would permit a higher density residential or non-residential use than is currently permitted. Higher density uses could be in conflict with the Low Residential land use designation, which allow one to four units on this parcel.

RECOMMENDATIONS

Planning Board Recommendation: On June 5, 2001, the Planning Board voted to recommend that the Council approve the rezoning application for sub-areas 1 (with the exception of the triangular parcel in the southwestern corner of the area, immediately south of the intersection of Old Pittsboro Road and South Columbia Street), 4, 5, 6 and 7 (please see Ordinance B and accompanying map). (Vote: 5-3). A Summary of Planning Board Action is attached (please see Attachment 4).

Manager’s Preliminary Recommendation: That the Council adopt Ordinance A, approving the proposed Zoning Atlas Amendment.

ATTACHMENTS

1. Map: UNC Requested OI-4 Zoning District (p. 13).

2. Map: Location of Sub-Areas (p. 14).

3. Description/Evaluation of 9 Sub-Areas (p. 15).

4. Planning Board Summary of Action (p. 43).

5. Memorandum from Town Attorney (5/30/01) (p. 44).

6. Memorandum from Town Attorney (6/18/01) (p. 46).

7. Memorandum related to UNC SUPs (p. 67).

8. April 23 Resolution: Schedule of Action (p. 77).

9. Notice to Property Owners (p. 79).

10. Legal Advertisement (p. 82).

11. UNC Rezoning Application (p. 83).

12. Correspondence Received (p. 85).