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HomeMy WebLinkAbout2010-0817 Regular Mtg PACKET CITY OF ASHLAND AGENDA FOR THE REGULAR MEETING ASHLAND CITY COUNCIL August 17, 2010 Council Chambers 1175 E. Main Street Note: Items on the Agenda not considered due to time constraints are automatically continued to the next regularly scheduled Council meeting [AMC 2.04,030,E,] 6:00 p.m. Executive Session for review of a confidential document pursuant to ORS 192.660(2)(f) 7:00 p,m. Regular Meeting I. CALL TO ORDER II. PLEDGE OF ALLEGIANCE III. ROLL CALL IV. MAYOR'S ANNOUNCEMENTS V. SHOULD THE COUNCIL APPROVE THE MINUTES OF THESE MEETINGS? [5 minutes] 1. 'Regular Meeting of August 3, 2010 VI. SPECIAL PRESENTATIONS & AWARDS None VII. CONSENT AGENDA [5 minutes} 1. Will Council approve the minutes of Boards, Commissions, and Committees? 2. Does Council wish to approve annual renewals on liquor licenses as requested by Oregon State Liquor Commission? 3. Will Council approve the donation of a surplus ambulance to the Warner Valley First Responders in Plush, Oregon? 4, Does Council wish to confirm the Mayor's appointment of Kerry Kencairn to the Historic Commission with a term ending April 30, 2013? 5. Does Council approve the recommendation of the Public Art Commission to implement another round of Reflections of Ashland: Utility Box Beautification Pro jeer? VIII. PUBLIC HEARINGS (Persons wishing to speak are to submit a "speaker request form" prior to the commencement of the public hearing. All hearings must conclude by 9:00 p.m., be continued to a subsequent meeting, or be extended to 9:30 p.m. by a two-thirds vote of council {AMC S2.04.050}} None. COUNCIL MEET1NGS ARE BROADCAST LIVE ON CHANNEL 9 VISiT 'ITIE CITY OF ASHLAND'S WEB SITE AT WWW.ASHLAND.OR.l!S IX. PUBLIC FORUM Business from the audience not included on the agenda. (Total time allowed for Public Forum is 15 minutes. The Mayor will set time limits to enable all people wishing to speak to complete their testimony.) [15 minutes maximum] X. UNFINISHED BUSINESS 1, Will Council accept one of the two proposals received for the beneficial use of the Imperatrice Ranch property and authorize staff to negotiate a contract with Standing Stone Brewing Co,? [15 Minutes] XI. NEW AND MISCELLANEOUS BUSINESS 1. Does Council wish to refund a portion of the Community Development and Engineering Services Fees associated with the Housing Authority of Jackson County affordable housing project on Clay Street? [20 Minutes] 2. Shall Council formally approve the Ashland Fiber Network Strategic Business Plan? [30 Minutes] 3. Does Council wish to provide a requested Letter of Commitment in support of a Community Challenge Planning Grant application being prepared by the Rogue Valley Council of Governments (RVCOG) entitled, "Institutionalizing Livability, Sustainability, and Affordability in Southern Oregon through Comprehensive Planning" in association with the Greater Bear Creek Valley Regional Problem Solving (RPS) Plan? [15 Minutes] XII. ORDINANCES. RESOLUTIONS AND CONTRACTS 1. Will Council approve Second Reading of an ordinance titled, "An Ordinance Creating Chapter 11.34 Relating to Storage of Personal and Recreational Vehicles and Amending AMC 11.24.020" and move the ordinance on to Second Reading? [5 Minutes] 2. Will Council approve First Reading of ordinance titled, "An Ordinance Relating to Adoption of the Oregon Fire Code and Amending AMC Chapter 15.28"? [10 Minutes] 3, Will the City Council approve the second reading of the ordinances adopting Chapter 18,53 Croman Mill and related ordinance, Ashland Comprehensive Plan, and Comprehensive Plan and Zoning map amendments, and the findings of fact to accompany the amendments? [30 Minutes] XIII. OTHER BUSINESS FROM COUNCIL MEMBERS/REPORTS FROM COUNCIL LIAISONS 1, Will Council consider placing on a future agenda a resolution supporting OPAC's recommendations on ocean-marine reserves? [5 Minutes] XIV. ADJOURNMENT In compliance with the Americans wilh Disabililies Act, if you need special assistance to participate in this meeting, please contact the City Administrator's office at (541) 488-6002 (TTY phone number 1-800-735-2900). Notification 72 hours prior to the meeting will enable the City to make reasonable arrangements to ensure accessibility to the meeting (28 CFR 35. 102-35.104 ADA Title I). COUNCIL J....1EETINGS ARE BROADCAST LIVE ON CHANNEL 9 VISIT THE CITY OF ASHLAND'S WEB SITE AT WWW,ASHLAND.OR.l!S ASHLAND CITY COUNCIL MEETING August 3.2010 Page lof8 MINUTES FOR THE REGULAR MEETING ASHLAND CITY COUNCIL August 3, 2010 Couucil Chambers 1175 E. Maiu Street CALL TO ORDER Mayor Stromberg called the meeting to order at 7:00 p.m. in the Civic Center Council Chambers, ROLL CALL Councilor Voisin, Navickas, Lemhouse, Jackson and Silbiger were present. Councilor Chapman was absent. MAYOR'S ANNOUNCEMENTS Mayor Stromberg announced vacancies on the Planning Commission, Public Arts Commission, Housing Commission and Tree Commission, SHOULD THE COUNCIL APPROVE THE MINUTES OF THESE MEETINGS? The minutes of the Study Session of July 19, 2010, Joint Meeting with Ashland Hospital Board of July 20, 20 I 0 and Regular Meeting of July 20, 20 I 0 were approved as presented, SPECIAL PRESENTATIONS & AWARDS Proclamations of August 6,2010 as Hiroshima Day and August 9, 2010 as Nagasaki Day were read aloud, CONSENT AGENDA 1. Will Couucil approve the minutes of Boards, Commissions, and Committees? 2. Does the Council wish to confirm the Mayor's appointment of Thomas Myers to the Tree Commission with a term to expire April 30, 20B? 3. Will Council accept the quarterly report at presented? Councilor JacksonfLemhouse mls to approve Consent Agenda items. Voice Vote: all A YES. Motion passed. PUBLIC HEARINGS 1. Will Council approve First Reading of an ordinance titled, "An Ordinance Establishing Fees and Charges for Municipal Conrt Administration" and move the ordinance on to Second Reading? Will Council approve a resolution titled, "A Resolution establishing fees for the administration of the Ashland Municipal Court" after the public hearing? City Attomey Richard Appicello presented the staff report that included a proposed ordinance and resolution, He clarified the proposed fee schedule, how it related to the State imposed surcharge and requested Council to consider the following staff recommendations: . Make fees consistent with the State surcharge currently in effect . Add a $100 Bench Probation Surcharge . Retain the $25 Probation Violation Charge . Do not include an additional $100 Diversion Petition surcharge to DUll and Marijuana diversion programs . Increase the expunction application filing fee to match the State surcharge of $250 Mr. Appicello went on to address the following concerns and suggestions made by the Municipal Court Judge: . The proposed $60 fee for Diversion or Deferred Sentence was cost recovery for City Attorney's office not necessarily the Court. ASHLAND CITY COUNCIL MEETING August 3,2010 Page 2 of8 During this process, the City Attomey acts as the supervisor similar to the Judge for Bench Probation cases, The $60 fee covers administrative costs to defer the case or keep it off the individual's record, . Cost recovery for City Attorney's office for Civil Compromise costs. The Prosecutor and Defense Attomey perform the majority of the work involved with Civil Compromise cases, State statute indicates upon the victim's satisfaction and payment of cost and expenses incurred the Judge can dismiss the charge, Cost and expenses can include Court appointed Attorney's fees and the cost of prosecution. The proposed fee set a dollar amount so there was a clear amount to be paid, . Establishing Bench and Jury Trial fees and giving the Jndge more authority to waive the fees. The City was proposing a $100 reimbursement fee when a defendant requests a Jury Trial and loses, A similar fee would apply to Bench Trials as well. The fine for a defendant who failed to appear would be $150 for a Jury Trial and $90 for a Bench Trial. . The Judge's request for more discretion to waive the $25 Installment Payment fee. Staff included an additional proposal in the ordinance for this request. . The Judge's snggestion for a $25 fee for second continuance requests. Staff could add this to the ordinance as a footnote, . City Administrator questioned retaining the $5 Court Appointed Counsel Application fee. This amount is bundled in Court-Appointed Attomey costs, Mr, Appicello explained the Municipal Court was not a "court of record" and proceedings were not recorded. The proposed ordinance would request the Municipal Court to keep written records of decisions made when fees were waived or determined. Municipal Court Judge Pam Burkholder Tumer clarified the information submitted by the Court Clerk in a 2008 email regarding current Court Fees should not be considered because it was inaccurate. Judge Turner read a written statement submitted to the record of her concerns the proposed ordinance and resolution would affect the Ashland Municipal Courts ability to retain flexibility and judicial discretion. There were 126 Municipal Courts in Oregon that did not require written findings to justifY decisions regarding local fees. The practical application of providing written findings would increase the duties of the Court, staff and operational costs, She noted the $45 and $35 surcharge fees incurred October I, 2009 to July 31,2010 generated $69,172 for the City treasury. That amount would increase with Bench Probation fees. The Court had not used any of this revenue, The City Council can redirect revenue from the Court to support other departments, If Council approved the ordinance, Judge Tumer requested all the references to "shall" and "shall not" be replaced with "may," She urged Council not make Ashland Municipal Court the only court in the State with mandated local fees and written findings each time it reduced or waived a fee, Judge Tumer clarified the only written record kept for violations was what the defendant plead guilty to, the sentence, fines, fees, payment plan if applicable and information that applied to the case, This documentation was not considered a finding. Mr. Appicello agreed and added findings were notes supported by the evidence heard and should include the law, pertinent relevant facts and the conclusion, Judge Tumer reiterated the burden producing written findings would put on the Court and did not think it was not necessary for Municipal Courts to document waived administrative fees. She confirmed a computer program contained fees but needed further information on the system and would provide that to Council later, She explained Judges under Oregon law could set and impose court fees. Council has the authority to set and direct fees under City Charter but it is outside of cornmon practice, Typically, the Judge would go to Council and request a resolution for fees as needed. She supported the City establishing similar fees when the State removed the surcharges, Public Hearing Open: 8:14 p.m. Public Hearing Closed: 8:14 p.m. ASHLAND CITY COUNCIL MEETING August 3,2010 Page 3 of8 Councilor NavickasNoisin mls to reject the proposed ordinance and resolution. DISCUSSION: Councilor Navickas was discouraged how the ordinance and resolution were initiated, It should come from the Judge with fees she was comfortable with that allowed her the maximum discretion, Councilor Voisin supported the motion based on the fact 126 Municipal Courts did not require written findings on waived fees, Passing the resolution would change the Court significantly, Councilor Silbiger explained the lack of clarity regarding having a fee schedule spoke to the need to have one. Even the Judge had requested an additional fee for second continuances, He commented on removing discretion and noted not having a fee schedule could work in a negative way and remove the balance of power. The ordinance and resolution needed work but there was no reason to reject a fee schedule. Councilor Jackson was not prepared to reject all the effort put into the proposed ordinance and resolution. There was a need for consistency, clarity and transparency in what people can expect when they receive a citation under the Municipal Code, Councilor Lemhouse did not think it was wise to reject it entirely or accept it fully. The Judge has authority to impose fines, but if it is not recorded, it lacks transparency, Councilor Navickas supported established fees but did not think it was the role of the City or Council to manage the Judge. He thought the Judge should come back to Council within six months with an altemative ordinance. Roll Call Vote: Councilor Voisin and Navickas, YES; Councilor Silbiger,Jackson and Lemhouse, NO. Motion failed 2-3. Mr. Appicello clarified absent State law all Court fees, Municipal Court practices and operations were subject to City ordinances. City Charter states Council has the authority to establish fees and charges as deemed appropriate and can regulate the Court, Establishing fees or charges require public comment and none of the fees and charges the Court currently used has had opportunity for public comment. One of the reasons for creating the ordinance and resolution was to receive public comment. There was also nothing stated in Oregon law that allowed a Judge to adopt a fee or charge for any purpose. However, there were specific statutes where the Judge could charge to recover costs. Staff expressed further concern the Municipal Court was currently charging fees not documented or adopted by resolution that lacked legal authority, Council discussed approving the ordinance with changes and addressing discretion at this meeting then have the Judge review the proposed fee schedules and make recommendations later, Staff cautioned Council on replacing "shall" and "shall not" with "may" because some fees should not allow discretion. Council stressed the importance of having something in writing regarding local fees. Opposing comments noted findings or written statements on decisions have to be legally defensible, require substantial paperwork and other Municipal Courts did not require written findings, Comments supporting written documentation noted the need for transparency over-rode the burden of paperwork, Staff chirified the language requesting written findings were taken from the State statute, Councilor V oisinlLemhouse mls to direct staff to identify areas giving the Jndge discretion and provide a description of criteria in order to waive fees. Roll Call Vote: Councilor Silbiger, Jackson and Lemhouse, YES; Councilor Voisin and Navickas, NO. Motion passed 3-2. PUBLIC FORUM Michael Dawkinsl646 E Main Street/Spoke regarding deer issues and noted in two years Ashland will vote on an Ashland Deer Management Plan and Commission. In the past, there were no problems because deer were considered food and could be shot if they were on private property, He felt deer had been sentimentalized by the community and there were two perspectives, one seeing deer as food and the other dealing with them as if they were not. UNFINISHED BUSINESS - None ASHLAND CITY COUNCIL MEETING August 3,2010 Page 4 of8 NEW AND MISCELLANEOUS BUSINESS - None ORDINANCES. RESOLUTIONS AND CONTRACTS 1. Will Council approve Second Reading of an ordinance amending Chapter 1.08 to add provisions concerning the classification of offenses? City Attomey Richard Appicello read the ordinance title aloud, Councilor VoisinlLemhouse mJs to approve Ordinance #3022. DISCUSSION: Councilor Navickas would not support the ordinance because it removed the Judge's discretion by not allowing her to raise a fine, only lower it. He described cases of ordinances routinely violated by individuals who were comfortable paying the penalty amount established and having authority to raise their fine would actually be a deterrent. The Judge should have discretion to raise fines. Roll Call Vote: Councilor Silbiger, Voisin, Lemhouse and Jackson, YES; Councilor Navickas, NO. Motion passed 4-1. 2. Will Council approve Second Reading of an Ordinance amending Chapter 4 to add provisions concerning the classification of offenses? City Attomey Richard Appicello read the ordinance title aloud, Conncilor Lemhonse/Jackson mJs to approve Ordinance #3023. Roll Call Vote: Conncilor Voisin, Lemhouse, Silbiger, Jackson and Navickas, YES. Motion passed. 3. Will Council approve Second Reading of an ordinance amending Chapter 6 to add provisions concerning the classification of offenses? City Attomey Richard Appicello read the ordinance title aloud, Councilor JacksonIVoisin mJs to approve Ordinance #3024. Roll Call Vote: Councilor Jackson, Lemhouse, Navickas, Voisin and Silbiger, YES. Motion passed. 4. Will Council approve Second Reading of an ordinance amending Chapter 9. to add provisions concerning the classification of offenses? City Attomey Richard Appicello read the ordinance title aloud and noted changes to Section 2, 9.08.020 Dangerous Animals last sentence was changed to read: "Dangerous animals is a Class I violation." In Section 6, 9.16.020 Vicious Dogs - Control Reqnired last sentence was changed to read: "Vicious Dogs- Control Required is a Class I violation." Councilor JacksonlLemhouse mJs to approve Ordinance #3025. Roll Call Vote: Councilor Voisin, Jackson, Silbiger, Navickas and Lemhouse, YES. Motion passed. 5. Will Council approve Second Reading of an ordinance amending Chapter 10 to add provisions concerning the classification of offenses? City Attomey Richard Appicello read the ordinance title aloud and noted changes to Section 16, 10.68.330 Camping Prohibited last sentence was changed to read: "Prohibited Camping is a Class IV violation." In Section 8, 10.46.020 Camping Prohibited last sentence was changed to read: "Camping prohibited is a Class IV violation." Councilor Lemhouse/Jackson mJs to approve Ordinance #3026. Roll Call Vote: Councilor Lemhouse, Silbiger, Jackson, Voisin and Navickas, YES. Motion passed. 6. Will Council approve Second Reading of an ordinance amending Chapter 11 to add provisions ASHLAND CITY COUNCIL MEETING August 3,2010 Page 50f8 concerning the classification of offenses? City Attomey Richard Appicello read the ordinance title aloud. Councilor JacksonlLemhouse m1s to approve Ordinauce #3027. Roll Call Vote: Councilor Navickas, Voisin, Lemhouse, Jackson and Silbiger, YES. Motion passed. 7. Will Couucil approve Second Reading of an ordinance amending Chapter 13 to add provisions coucerniug the classification of offenses? City Attomey Richard Appicello read the ordinance title aloud. Councilor SilbigerN oisiu m1s to approve Ordinance #3028. Roll Call Vote: Councilor Silbiger, Voisin, Jackson, Navickas and Lemhouse, YES. Motion passed. 8. Will Council approve Second Reading of an ordinance amending Chapter 14 to add provisions concerning the classification of offenses? City Attomey Richard Appicello read the ordinance title aloud. Councilor Navickas/Lemhouse m1s to approve Ordinance #3029. Roll Call Vote: Councilor Lemhouse, Silbiger, Voisin, Jackson and Navickas, YES. Motion passed. 9. Will Council approve First Reading of an ordinance titled, "An Ordinance Creating Chapter 11.34 Relating to Storage of Personal and Recreational Vehicles and Amending AMC 11.24.020" and move the ordinance on to Second Reading? City Attorney Richard Appicello reJld the ordinance title aloud and noted the following changes: "oversized vehicle" replaced "recreational vehicle," a cross reference was updated; Class B violation changed to Class II violation and language was added that addressed using personal vehicles for storage. Changing truck routes would involve a Public Hearing, Councilor Lemhouse/Jackson m1s to approve first reading of the ordinance and place on agenda for second reading for August 17, 2010. Roll Call Vote: Councilor Silbiger, Voisin, Navickas, Jackson and Lemhouse, YES. Motion passed. Staff clarified the truck route language struck from the ordinance was outdated and not enforceable because the law it referred to was repealed in 1980's. It was suggested the Transportation Commission review the truck route data and provide input. Councilor V oisinlLemhouse m1s to ask Transportation Commission to review truck route for the City. Voice Vote: all AYES. Motion passed. OTHER BUSINESS FROM COUNCIL MEMBERS/REPORTS FROM COUNCIL LIAISONS 1. Does Council wish staff to develop a formal legal opinion about whether the City Council can regulate the use of pesticides in parks? Councilor Voisin requested clarification regarding the relationship between the Parks Commission and Council. She wanted the City Attomey to provide written information whether Council had authority to ban pesticide that excluded individual citizens and if the Parks Commission would be responsible for upholding that decision, Councilor V oisinlNavickas m1s to instruct staff to write a brief statement about the authority between the Parks Commission and City Council regarding pesticides. DISCUSSION: Councilor Jackson explained during goal setting Council chose not to take on the pesticide issue, commented on the separation of ASHLAND CITY COUNCIL MEETING August 3,20[0 Page 60f8 respective elective bodies and was not in favor of the motion at this time, Councilor Navickas did not think a legal opinion was necessary Council clearly had authority over pesticides, Councilor Silbiger reiterated the City Charter stated that the Parks Commission had control and management over Parks, unless the Council decided to impose, there was no need for legal advice. Councilor Lemhouse noted Council had just spent two hours discussing separation of power between the Court and the City and to reverse that for the Parks Commission was inconsistent. The Parks Commission had the right to make the decision they made and it was not up to Council to approve or ratify unless there was a change to the code. Councilor Voisin responded that goals set by Council were based on urgency and the basic Council Value of citizens' well-being. The Environmental Protection Agency (EP A) recently published information on the serious health risks linked to pesticides and she wanted to know where the authority regarding use of pesticides was between the City and the Parks Commission. Councilor Navickas thought there were actions the City could take without overstepping the Parks Commission by addressing the Public Works Departments use of pesticide, Roll Call Vote: Councilor Silbiger, Jackson, Navickas aud Lemhouse, NO; Councilor Voisin, YES. Motion failed 4-1. ORDINANCES. RESOLUTIONS AND CONTRACTS-continued 10. Will Council approve the first reading of ordinances adopting Chapter 18.53 Croman Mill and related ordinance, Ashland Comprehensive Plan, and Comprehensive Plan and Zoning Map amendments? Abstentions. Conflicts. EXDarte Contact Councilor Silbiger declared a conflict of interest and requested Council to recuse him from the discussion, Councilor JacksonlLemhouse m1s to recuse Councilor Silbiger due to conflict of interest. Voice Vote: all A YES. Motion passed. . Councilor Silbiger left the meeting at 9:38 p.m. The remaining Council and Mayor had no other conflicts of interest or Exparte contacts to declare, Councilor Jackson explained staff's proposal to Chapter 18.53.040 Use Regulations (B) Special Permitted Uses that would allow 15% of the gross floor area ofthe building for collective special permitted uses such as ancillary purposes. Councilor JacksonlLemhouse m1s to direct staff to modify Chapter 18.53.040 Use Regulations (B) Special Permitted Uses with staff's suggestion of 15% for Special Permitted Uses. DISCUSSION: Councilor Navickas commented the Planning Commission went through significant deliberation regarding Special Permitted Uses and decided to limit them. He agreed with the Planning Commissions decision but would compromise and support the motion. Roll Call Vote: Councilor Voisin, Jackson, Lemhouse and Navickas, YES. Motion passed. Councilor Jackson noted the Dimensional Standards Table for Height in Chapter 18.53.050 Dimensional Regulations and wanted to remove the height bonus incentive. Using LEED Standards was a disincentive for an area targeted for high-density employment. Applicants having to demonstrate job density by making an additional investment of a more complex regulatory program would be a deterrent for builders. There were altemative ways of meeting energy and water efficiency not yet explored. Councilor Jackson/Lemhouse m1s to delete the Height Bonus Incentive from the Site Design Standards and Chapter 18.53.050 related to LEED. DISCUSSION: Councilor Navickas explained one of the . controversial issues regarding the Croman Mill project was the City not mandating enough green requirements. ASHLAND CITY COUNCIL MEETING August 3.2010 Page 70f8 The height limit was also controversial. He did not think it was a disincentive and would not support the motion, Councilor Jackson thought meeting LEED Standards would be easy but it would not achieve higher water and energy efficiency. Applying the incentive to a part of town the City wanted to see developed was a disincentive. Councilor Lemhouse commented being energy and water efficient was financially sound and most businesses would build that way without an incentive. He stressed the need to create an environment that provided employment and economic development and did not want to stunt that effort with green standards, Councilor Navickas responded removing the incentive for five-story building was a deal breaker. Mayor Stromberg was not enthusi~stic about LEED Standards but supported them as an incentive and added there had been erosion on requirements regarding the project from the start. Roll Call Vote: Councilor Voisin and Navickas, NO; Councilor Jackson and Lemhouse, YES. Mayor Stromberg broke the tie with a NO vote. Motion failed 2-3. City Attomey Richard Appicello read the ordinance title aloud, Staff clarified changes were reflected in the Council Communication and would be read at Second Reading, Councilor Jackson/Navickas m1s to approve First Reading of Chapter 18.53 as amended by Council discussion and move to Second Reading at the next meeting. DISCUSSION: Councilor Voisin would not support the motion because the City had the Downtown Plan and the Rail Road District Plan that were more important for building diversity in the economy, There had not been a formal commitment from Plexis Healthcare Systems who was the lead driver in the Croman Mill Site plan, The project competed with downtown, the Rail Road District and other centers and did not address housing, Councilor Navickas acknowledged the project was controversial and the effort put forward to balance the plan. He agreed with Councilor Voisin regarding the Rail Road District and the downtown area but the Croman Mill property was within city limits and currently had development pressures, The plan was a good decision and a step towards providing jobs that would affect the community for the better in the long term. Councilor Lemhouse noted the compromise that had gone into the project and although it was not perfect, thought not acting was irresponsible. It was the duty of Council to create an economic environment where community will flourish, Councilor Jackson commented the plan was not ideal and competed with the downtown area because the City was applying commercial design standards to a remote part oftown, However, doing nothing was not good decision-making, A huge amount of effort and input went into the plan's development, it was a start and housing would follow. Councilor Voisin responded she was being responsible in her vote by pointing out there were two other plans the City should be implementing. Instead, the City was moving forward on a project that will take 10-15 years to develop, This would not solve the problem the recession had. created and Council should exercise a different focus, Roll Call Vote: Councilor Voisin, NO; Councilor Jackson, Lemhouse and Navickas, YES. Motion passed 3-1. City Attorney Richard Appicello read the ordinance title aloud, Councilor Jackson/Lemhouse m1s to approve First Reading ofan Ordinance amending AMC 18.08.190, 18.08.341, 18.08.342, 18.08.343, 18.08,845, 18.12.020, 18.61.042, 18.68.020, 18.68.050, 18.72.030, 18.72.110; 18.72.120, 18.72.140, 18.72.180, 18.84.100, 18.88.070, 18.88.080, 18.92.020, 18.96.090, 18.104.020, 18.106.030, 18.108.017 of the Ashland Municipal Code and Land Use Ordinance for consistency with new Chapter 18.53 Croman Mill and move to Second Reading at the next meeting. DISCUSSION: Councilor Jackson clarified the ordinance brought consistency to the code to incorporate the plan. Roll Call Vote: Councilor Voisin, NO; Councilor Jackson, Lemhouse and Navickas, YES. Motion passed 3-1. r, ASHLAND CITY COUNCIL MEETING August 3,2010 Page 8 ai8 City Attorney Richard Appicello read the ordinance title aloud. Councilor Jackson/Lemhouse mls to approve First Reading of an Ordinance amending the City of Ashland Comprehensive Plan to change the land nse map designation of approximately 99 acres ofIand within the City of Ashland Urban Growth Boundary from Industrial, Employment, Single-Family Residential and Rural Residential (Jackson County) to the newly created Croman Mill Plan Designation; amending the City of Ashland Zoning and Land Use Control Maps to rezone approximately 78 acres ofland within the City Limits from M-l, E-l, and R-I-5 Districts to the newly created Croman Mill Zone; and imposing five Croman Mill Overlay Districts on the Croman mill zoned properties, including Compatible Industrial, CM-CI, Office Employment, CM-OE, Mixed Use, CM- MU, Open Space, CM-OS, Neighborhood Commercial Center, CM-NC as amended by Council and move to Second Reading at the next meeting. Roll Call Vote: Councilor Voisin, NO; Councilor Jackson, Lemhouse and Navickas, YES. Motion passed 3-1. Councilor Jackson/Lemhouse mls to continue to Second Reading of Ordinance #1 amending the City of Ashland Comprehensive Plan to add a new Croman Mill District designation to Chapter 2 Inter Definitions to add the Croman Mill Plan designation of the adopted land use map legend and adopt a Croman Mill Site redevelopment plan and economic opportunities analysis as support documents to the City of Ashland Comprehensive Plan to the next meeting. Voice Vote: all A YES. Motion passed. Councilor JacksonlNavickas mls to continue Ordinance #3 amending 18.72.080 (C) Site Design Standards to add a new site design and use standards for the Croman Mill District to the next meeting for Second Reading. Voice Vote: all AYES, Motion passed. Councilor NavickasILemhouse mls to continue Ordinance #6 amending AMC Chapter 15 to create LEED Certified Building Priority to the next meeting for Second Reading. Voice Vote: all A YES. Motion passed. ADJOURNMENT Meeting was adjoumed at 10:06 p.m. Barbara Christensen, City Recorder John Stromberg, Mayor CITY OF ASHLAND ASHLAND PLANNING COMMISSION REGULAR MEETING MINUTES July 13, 2010 CALL TO ORDER Chair Pam Marsh called the meeting to order at 7:00 p.m. in the Civic Center Council Chambers, 1175 East Main Street. Commissioners Present: Larry Blake Michael Dawkins Dave Dotterrer Pam Marsh Debbie Miller Melanie Mindlin Mike Morris John Rinaldi, Jr. Staff Present: Bill Molnar, Community Development Director Derek Severson, Associate Planner Richard Appicello, City Attorney April Lucas, Administrative Assistant Absent Members: None Council Liaison: Eric Navickas, absent ANNOUNCEMENTS Community Development Director Bill Molnar noted the City Council has passed first reading on three of the six Croman Mill ordinances and are scheduled to take up the remaining three on August 3,2010. Chair Pam Marsh announced the July Study Session has been cancelled. CONSENT AGENDA A, Approval of Minutes 1. June 8, 2010 Planning Commission Minutes 2. June 22, 2010 Special Meeting Minutes Commissioners Dollerrer/Morris mls to approve the Consent Agenda, Voice Vote: All AYES, Motion passed 8.0. PUBLIC FORUM Colin Swales/143 8th StlCommented on the preparation of Findings and cited a modified process ouWned by former Community Development Director John McLaughlin. Mr. Swales cited the minutes from the February 10, 2004 Planning Commission meeting where Mr. McLaughlin proposed a more standardized form for Findings that would reference the staff report, the applicant's findings, the minutes, and attached conditions; and they would be adopted at the same meeting the hearing is held. Mr. Swales stated Findings are very important documents and are precedent setting, and asked the Commission to consider streamlining the process as suggested by the former Director. Mr. Molnar stated he believes Mr. McLaughlin proposed this process because at the time they were dealing with a higher number of planning actions. He stated many of the applications at that time were fairly simple and did not have any opposition, and adopting the Findings by reference would have been sufficient. However the City has gone to a different format and appeals to the Council are now "on the record". As a result, Mr. Molnar stated it is necessary for the Findings to be more thorough and address any comments that came up during the hearing. City Attorney Richard Appicello concurred and added it is important for the City and the applicant to make sure the Findings are adequate, and stated he would not recommend rushing the adoption of Findings. Ashland Planning Commission July 13, 2010 Page 10'5 TYPE II PUBLIC HEARINGS A. PLANNING ACTION: #2010.00582 SUBJECT PROPERTY: 1405 Tolman Creek ~d APPLICANT: Malibar Group, LLC DESCRIPTION: A request for a Boundary Line Adjustment and a Variance to allow a lot wider than it is deep for the vacant property located at 1405 Tolman Creek Road, COMPREHENSIVE PLAN DESIGNATION: Single Family Residential; ZONING: R-1-7,5; ASSESSOR'S MAP #: 391E 23 BA; TAX LOT: 308 and SOt Commission Marsh read aloud the public hearing procedures for land use hearings. Declaration of Ex Parte Contact Commissioner Morris asked to be recused. He stated he has worked for the applicant in the past and has a potential conflict of interest. Commissioner Morris left the meeting at 7:13 p.m. Commissioners Rinaldi, Mindlin, Dawkins, Dotterrer, Miller and Marsh declared site visits. No ex parte contact was reported. Staff Report Associate Planner Derek Severson reviewed the location of the site and the existing conditions. He explained this application involves a lot line adjustment for two lots; the larger lot is currently 2.32 acres and the smaller lot is ,89 acres. The proposal is to reduce the size of the smaller lot to .33 acres and increase the size of the larger lot to 2.89 acres. Mr. Severson noted this type of action is typically approved administratively; however in this case the movement of lot lines will result in a flag lot that is wider than it is deep and therefore a variance is required. Mr. Severson explained that the applicant has demonstrated there is significant development potential for this area. He noted the applicant is offering an irrevocable consent to dedicate a future street which will service development on that properly in the future; and at that time, their lot will become compliant with the width versus depth standard. Mr. Severson stated staff is supportive of this application and are recommending approval with the conditions outlined in the staff report. Staff was asked to clarify the width of the street. Mr. Severson explained the width of the flag drive is currently 37 ft, and a minimum of 47 ft is needed for a new residential street. He explained the applicant has agreed to provide a half-street improvement, which will consist of two travel lanes, a parkrow and a sidewalk on the south side; and if and when the neighboring lot develops, that property owner would be asked to dedicate the remaining 10ft. Staff clarified the full street improvement of the flag drive would oniy be needed if the other properly decides to build out their lot. Commissioner Dawkins raised concern with dedicating a street when the applicant does not own the tax lots on the north and south sides. Mr. Severson noted they have done this with other developments in Ashland where you ask for the improvement to develop according to the zoning, and as properties develop the properly owners are asked to dedicate the necessary parts of the street. He added they are getting most of the street with this proposal and it is only the street trees and parkrow that will be needed in the future on the north side. Applicant's Presentation Roy Martin/Applicant and Mark Knox/Applicant's Representative addressed the Commission. Mr, Knox explained they have two existing lots and all they are really doing is shrinking one of them. He noted the existing development potential and stated where this gets complicated is when you consider how this area will eventually build out. Mr. Knox stated in the future, tax lots 400 and 500 are likely to be portioned off and developed, which will force a street to go in. He explained if you look at the City's Street Standards, it is clear that if these parcels are divided, they will be required to take access off this new lane. He stated as part of this application, his client is agreeing to a % street improvement; and if the owner of tax lot 400 decides to develop their lot, they will likely be asked to provide the last quarter which would consist of curbing, a planting strip and sidewalk. Mr. Knox noted his client's irrevocable consent to dedicate this strip right now, and stated they have identified reciprocal easements to allow the current properly owner to use this strip of land. Mr. Martin noted that typically this type of action only requires a staff approval and it would not have come before the Commission if not for the situation of the lot being wider than it is long. He stated all they are doing is taking one buildable site and making it smaller. Ashland Planning Commission July 13. 2010 Page 2 of 5 Mr. Knox commented that they are designing these envelopes with the assumption that there is going to be a street there one day. He also noted a neighborhood meeting was held and feels it went well. Mr. Severson clarified this property is served by city utilities. Mr. Molnar commented on the setback requirements and how future homes might be oriented. It was clarified there are design standards for single family home development that address eaves and porches, but there is no requirement that states the front door must be oriented towards to the street. Public Testimony Maria Paul/2375 Green MeadowsNoiced her concern with the impact this lot formation will have on the existing home values along Green Meadows Way. She stated all of the surrounding homes are modest, single story homes and is worried if they start building two-story homes it will have a negative impact on the value of her home. Ms. Paul asked if the variance is approved that it carry with it a mandatory restriction for only single story homes, She stated anything else would be incompatible with the surrounding homes and their views and privacy would be compromised.. Colin Swales/143 8th StlStated this should not have come before the Commission as a variance and believes it could have been handled administratively. Mr. Swales clarified what he would like to speak to is the interpretation made by the City's former Assistant Attorney on the Hillview application about what constitutes a front, back, and rear yard. Mr. Swales stated he believes some real errors were made in that interpretation and it impacts this application. He stated infill issues including existing neighborhoods, privacy, and overlooking need to be sorted out; and while he supports approval of this application, he would like the Commission to direct staff to address these infill issues. Mr. Swales asked that the record be left open so he can enter into the record arguments as to why he believes that interpretation is wrong. He added he does not want to hold up this application up, but feels these issues need to be addressed. Commissioner Marsh asked for clarification as to whether Mr. Swales is asking to leave the record open. Mr. Swales stated he does not want to delay this application, but feels this interpretation needs to be addressed and does not know what the correct course of action is. Mr. Swales stated if the Commission will take up these infill issues on their own, he will withdraw his request to leave the record open. Michael Fagundes/2323 Green Meadows/Stated he lives in this neighborhood and has heard a lot of verbiage tonight that makes him nervous. Mr. Fagundes noted that the applicant does not control this whole piece of land and they don't know what will happen on the other lot in the future. He commented on privacy issues and expressed concern with neighbors looking in on him, and added that a new subdivision will not fit in this area. Rebuttal by the Applicant Mark Knox/Stated they have attempted to address the neighbors concerns by providing excessive setbacks over what is required, and noted that these lots will also be bigger than the neighboring lots. Mr. Knox stated it is difficult to say what is compatible and what is not. He agreed that the Green Meadows development is predominately single story homes, but noted that there are two-story houses to the north that are mixed in. Mr, Knox agreed with Mr. Swales and stated he supports the Planning Commission taking another look at the interpretation made by the former Assistant City Attorney. Advice from Lellal Counsel & Staff Mr. Severson briefly reviewed the setback requirements and the additional buffer that is part of this application; he also clarified there is no provision that would allow staff to prohibit a two-story house. Staff was asked to comment on whether a future subdivision application would come before the Planning Commission. Mr. Severson clarified yes, this type of action would be a Type II hearing before the Commission and at that time staff would be looking at all the standards and issues raised earlier. Commissioner Marsh closed the public hearing and the record at 8:10 p.m. Deliberations & Decision Commissioners Dotterrer/Blake motion to approye Planning Action #2010-00582 with the conditions proposed by staff, DISCUSSION: Dawkins voiced his concern with the assumptions they are making about the future development of this Ashland Planning Commission July 13. 2010 Page 3 of 5 area and stated he will be voting no on this motion because he feels this is a roundabout way of approving a future subdivision. Mindlin stated she does not believe the applicant has met the criteria for unique or unusual circumstances that are not self imposed, and voiced concem with approving the applicant's concept for development without dealing with the issues. Blake stated he is not in disagreement with anything that has been said, but noted that a subdivision application would have to come back before them and the applicant is just acknowledging that there is future potential for this. He added he is a believer in master planning and is supportive of infill, and also agrees with management access and having fewer driveways on Tolman Creek Rd. Rinaldi commented that approving this application does not lock them into anything and stated they would be able to look at a development application in more detail when it comes before them. Roll Call Vote: Commissioners Dotterrer, Miller, Blake, Rinaldi and Marsh, YES, Commissioners Dawkins and Mindlin, NO. Motion passed 5.2, Commissioner Morris rejoined the hearing at 8:25 p.m, OTHER BUSINESS A, Discussion of changes to the Planning Commission Rules of Conduct Staff provided a brief review of the changes to the Planning Commission Rules and clarified these updates are necessary to provide consistency with the Uniform Policies and Operating Procedures Ordinance passed by the City Council in February, 2010. Because of the provision in the Rules that requires proposed changes to be announced 14 days prior to the decision, staff noted the Commission will not vote on these changes until their August 10, 2010 meeting. Commissioner Dotterrer noted change to the number of votes needed to make amendments to the City's Comprehensive Plan. Commissioner Marsh commented that the new Rules change the selection of the Chair and Vice Chair to their first meeting in January, and asked that they discuss at their next meeting how they would like to handle the current Chair's and Vice Chair's terms until they are selected again in January 2011. B, Planning Commission Liaison to the TSP Technical Advisory Committee Mr. Molnar asked for a volunteer to serve on the Technical Advisory Committee being formed for the City's Transportation System Plan update. Commissioner Dawkins noted his interest in serving on this group. General consensus was reached to select Michael Dawkins as the Planning Commission representative for the TSP T AC. C. Approval of Findings for PA.2009.01244, 1644 Ashland Street. Commissioners Dawkins and Mindlin left the hearing at 8:37 p.m. Declaration of Ex Parte Contact Commissioner Miller stated she spOke with a citizen but did not receive any new information. No ex parte contact was reported by any of the commissioners. City Attomey Richard Appicello clarified there is no opportunity for the public to rebut Commissioner Miller's disclosure since no new information was obtained, He added the record is now closed and there is no opportunity for the public to comment on the Findings, and it is too late to issue a challenge or give additional information to the Commission. Deliberations & Decision Mr. Appicello briefly reviewed the Findings with the Commission and noted the key issues came down to collocation and economic impacts. Commissioner Dotterrer asked if the following language contained in the first paragraph on page 14 is necessary: 'The City Council as the legislative body could have written the above referenced design standards to reflect a more rigorous collocation requirement such as the following: ..." Mr. Appicello stated he included this language because many of the opponents that were commenting were characterizing the collocation standard as a mandatory standard that has to be met. Ash/and Planning Commission July 13. 2010 Page 4 of 5 Commissioner Rinaldi noted the language on page 11 regarding landscape buffering and recommended the following change: "The design, c%r and material of the structure and the eotalJ!fshed laRdssilpiRg aloRil the W9fJerly liRe Ie the selith effectively mitigate any visual impacts of the proposal. " He clarified the adjacent property's landscaping was not a reason for their decision and asked that this be removed. General support was voiced for this amendment. Commissioners Rinaldi/Morris m/s to approve the Findings for Planning Action #2009.01244 with the revision to page 11 as discussed, Roll Call Vote: Commissioners Morris, Rinaldi, Miller, Blake, Marsh and Dotterrer, YES, Motion passed 6-0, ADJOURNMENT Meeting adjourned at 9:12 p.m. Respectfully submitted, April Lucas, Administrative Assistant Ashland Planning Commission July 13. 2010 Page 5 of 5 Council Communication CITY OF ASHLAND Meeting Date: Department: Secondary Dept.:. Approval: Annual Renewal of Liquor Licenses August 17,2010 Primary Staff Contact: City Recorder E-Mail: None Secondary Contact: Martha Benne Estimated Time: Barbara Christensen christeb(cV,ash land ,or, us None Consent Question: Does the Council wish to approve annual renewals on liquor licenses as requested by Oregon State Liquor Commission? Staff Recommendation: Endorse the renewal applications with the following recommendation: "The city has determined that the location of this business complies with the city's land use requirements and that the applicant has a business license and has registered as a restaurant, if applicable, The city council recommends that the OLCC now proceed in the matter. " Background: There are approximately 100 applications that will need to be renewed between September and October 2010, Each application will have been reviewed to prove that they meet the city ordinance requirements for business licenses, registered as a restaurant, and fi.Jed for city's food and beverage tax, if applicable, The following is a list of businesses that will be renewing their liquor licenses: 7-11 Store Agave Allyson's Alex's Plaza Rest. Apple Cellar Ashland Arco Ashland Grilla Bites Ashland Springs Hotel Ashland Texaco' Ashland Wine Cellar Beau Club Bi-Mart Boulevard Coffee Brother's Rest. Caldera Tap House Chat!laulin Chozu Bath and Tea Chun's Palace Cucina Biazzi Cascade Peak Spirits Double Deuce Dragonfly Golden Dynasty Greenleaf Rest. House of Thai Hana Sushi La Casa Del Pueblo Lela's Bakers Loft American Brasserie & Bar Market of Choice Martino's McCall House Miguel's Mexican Minute Market #5 Minute Market #6 Motif Munchies Page I of2 Albertson's Food Store Amuse Rest. Ashland Food Coop Ashland Hills Shell 8easy's on the Creek Bonsai Teriyaki Black Sheep Chevron Food Mart Creekside Pizza Deliver De Cuisine Elks Lodge Great American Pizza Kobe's Rest. Liquid Assets Wine Bar Louie's Bar & Grill Martolli's Pizza Mihama Teriyaki, Morning Glory NW Pizza ~~, Noble Coffee House O'Ryans Irish Pub Oak Tree NW Omar's OSF Paddy Brannan's Irish Pub Panda Garden Pangea Peerless Rest. Plaza Inn & Suites Rite Aid Safeway Sesame Asian Shop N Kart Standing Stone Stop N Shop Market Tabu Taj Indian Cuisine Three Rivers Cuisine Vic's Mongolian Wild Goose Cafe Wiley's World Pasta CITY OF ASHLAND Oak Knoll Golf Oregon Cabaret Palace Cafe Pasta Piatti Red Hibiscus Senor Sams SOU T's Thai Pepper Water Street Cafe Winchester Inn Related City Policies: In May 1999, the council decided it would make the above recommendations on all liquor license applications, Council Options: Approve or disapprove annual Liquor License renewal. Potential Motions: Approve or disapprove annual Liquor License renewal. Attachments: None f Page2of2 r.l' CITY OF ASHLAND Council Communication Ambulance Donation to Warner Valley First Responders, Plush, Oregon Meeting Date: August 17,2010 Primary Staff Contact: John Kams Department: Fire Department E-Mail: karnsj@ashland.or.us Secondary Dept.: Administration Secondary Contact: John Karns Approval: Martha Benne Estimated Time: Consent Question: Will the Council approve the donation of a surplus ambulance to the Warner Valley First Responders in Plush, Oregon? Staff Recommendation: Staff recommends donation of a surplus ambulance to the Wamer Valley First Responders, a subsidiary of Lakeview Disaster Unit, Plush, Oregon, Background: The town of Plush, Oregon, population 40, recently sent a request to area EMS providers seeking donations to assist in establishing an EMS service in their area, This effort began after a resident ofthe Plush area and mother of three died following a car accident. The area currently isn't served by an EMS provider. Residents ofthe Plush area have sought and received emergency medical training and acquired approval for their Wamer Valley First Responders, What they now need is the equipment necessary to provide pre-hospital medical care, Members of the Oregon State Ambulance Association (OSAA) have responded with donations of supplies and equipment to help the effort, Ashland Fire and Rescue will be purchasing an ambulance this fiscal year to replace a 1992 unit. This surplus vehicle would meet the needs of the residents of the Plush area and provide the means to transport emergency medical patients to the proper facility to receive care, Related City Policies: . Section 254,010 of the AMC Disposal of Surplus and Abandoned Property: The City of Ashland Finance Department may transfer, trade, auction or sell surplus or abandoned property to other city departments, political subdivisions, state agencies, or non- profit organizations, However, the disposal of surplus property having residual value of more than $10,000 shall be subject to authorization by the Local Contract Review Board, Fiscal Impact: There is no significant fiscal impact on the City, The estimated market value of the vehicle is under $3000, Council Options: Council can: . Approve the proposal . Rej ect the proposal Page I of2 ~.l' ., Potential Motions: . I move that the City Attachments: Exhibit A: Photo of the 1992 Ford E-350 Ambulance Page 20f2 CITY OF ASHLAND r.t. , EXHIBIT A 1992 FORD AMBULANCE CITY OF ASHLAND Council Communication Meeting Date: Department: Secondary Dept.: Approval: Appointment to Historic Commission August 17,2010 Primary Staff Contact: City Recorder E-Mail: Mayor's Office Secondary Contact: Martha Benn Estimated Time: Barbara Christensen christeb@ashland,or.us Mayor Stromberg Consent Question: Does the City Council wish to confirm the Mayor's appointment of Kerry Kencaim to the Historic Commission with a term to expire April 30, 2013? Staff Recommendation: None Background: This is confirmation by the City Council on the Mayor's appointment to the Tree Commission on application received, Related City Policies: Ashland Municipal Code (AMC) Chapter 2,17,020 Council Options: ^ Approve or disapprove Mayor appointment of Kerry Kencaim to the Historic Commission, Potential Motions: Motion to approve appointment of Kerry Kencaim to the Historic Commission with a term to expire April 30, 2013, Attachments: Application received Page I of] r.l1 [(5/1312010)::.B..arbara Christensen - historicmemo.doc Page 1 ( " May 13, 2010 Barbara Christiansen Ashland City Recorder Dear Ms Christiansen, I recently requested re-appointment to the City of Ashland Tree Commission, an appointment which I took originally because the historic commission seat I was interested in was not actually available. I see that the Historic Commission seat is now empty, and would like to re-apply for that seat and remove myself from the tree commission. Though I am a Landscape Architect, my work is much more focused on site planning and urban issues than it is. on trees. I think the historic commission would get much more benefit from my experience and expertise that the tree commission does. Kerry KenCairn KenCairn Landscape Architecture 06/07/2009 SUN 09:29 FAX IilJ 0011001 .' m ~~~~W~1ID 1m JUN - 8~009 lID CITY OF BY: _____On . ...-.... AS H LAN D APPLICATION FOR POINTMENT TO CITY COMMISSION/COMMITTEE Please type or print answers to the foUowing questions and submit to the City Recorder at. City Hall. 20 E Main Street, or email chrislCb@osh]and.or.us. If you have any questions, please feel free to contact the City Recorder at 488-5307. Attach additional sheelll if uecessary. Name~1.( V,:;;~(re.tJ Requestingtoserveon:~"" 'I'~ & {eeE (Commission/Committee) Address !:9-f~ Jb ~~\ 'Occupation .~ ~o/' (\ (t;: ^f?r-ttL~ 1. Educatiou 8ackl!l'Ouud What schools have you attended? What degrees do you hold? Phone: Home~~ w Lf 63' ~e"f\~~) Work -at."il.( ( ~ Email..ce.~ Qu-__ rn.: no. 6f'C, Fax ~5f. -1St Z . c.a"" -pI '-~15 ~ 1I'r-e-("lo.utR') ~(.)j(A.e ...... h What additional training or educlltion have you had that would apply to this position? U\T~ 01::- V"'UWJNI,..;l({ 1M P-6."'t~ I'TNO (U:AJavA-7/~~ ap. f<4.t+flly H/STOf2.(C- tfOME: liiKr~al2...$. 2. Related E:roerlence What prior work experience have you had that would help you lfyou were appointed to this position? :r ,.a:; \IF. lI3E'" ( f,J c" I Mil CJL...l / Pr'") 1 N '"'7J-{R' 1!:t811L.A-N 0 I"t./ifVI\Ir IV C, ~ CBii'SJ I, H/5l.F5 Ne!r ~ Cf)fJ1Jf!l::rGl:) m Jt({/ C-a1<fUCJIV I7Y Do you feel it would be advantageous for you to have further training in this field, such as attending conferences or seminars? Why? ~ Bej A-t-'J.e.& lA ~ ~ Nor N ---.. (3GO Lf1~Gt( M'( Q"fSlcse. 'A' 06/07/2009 SUN 09:30 FAX KERRY KENCAIRN EXDerience: 2007 - 2003-2007 1996-2003 1996-1997 Ken Cairn Landscape Architecture Tel: 541.488.3194 . 545 A Street . Fax: 541,552,9512 Ashland, OR 97520 Cell: 541.601.5559 kerry@kencalmlandscape,com landscape Architect kenCairn landscape Architecture - Principal landscape Architecture, Environmental and Site Development Planning KenCairn Sager Landscape Architects Inc. - Principal Landscape Architecture, Environmental and Site Development Planning KenCairn Environmental Design landscape Architecture, Site Design and Environmental Planning Oregon Water Trust Rogue Valley Project Manager-Conservation of Water Rights, alternative irrig~tion systems Education: MIA Landscape Architecture, 1995, University of Oregon BLA landscape Architecture, 1993, University of Oregon B,S, Geography, 1988, Southern Oregon University B,S. Fine Arts, 1988, Southern Oregon University Research: Alternative Stormwater Management ill Development Restoration and Reclamation of Wetlands and Streams Environmentally Responsible Design -lEED for Landscape Architects Professional Orl!llnlzations and Affiliations; American Society of Landscape Architects Ashland Rotary Medford Chamber of COmmerce Ashland Chamber of Commerce Board of Directors - Ashland Community Land Trust Board of Directors - Rogue Gallery and Community Center Past Member (7 years) Ashland Planning Commission Credentials. Certification: 1999 - Present Registered landscape Architect Oregon #439 2001 - Present Registered Landscape Architect California #4614 WBE and ESB Certified Green Roofs for Healthy Cities 1aJ001l00l CITY OF ASHLAND Council Communication Meeting Date: Department: Secondary Dept.: Approval: Recommendation from the Public Art Commission Reflections of Ashland: Utility Box Beautification Project August 17,2010 Primary Staff Contact: Ann Seltzer Administration E-Mail: seltzera(aJ.ashland.or.us Electric Secondary Contact: Scott Johnson Martha Bennett Estimated Time: Consent Question: Does the Council approve the recommendation of the Public Art Commission (PAC) to implement another round of Reflections of Ash/and: Utility Box Beautification Project? Staff Recommendation: Staff recommends Council approve the project. Background: A citizen selection panel selected designs for three utility boxes, One box is located on Calle Guanjuato, one on Helman sponsored by New Horizons Woodworks and the third box sponsored by DreamSacks is located at the comer of Helman and Hersey Streets In July of2009 seven utility boxes ~ere painted as part of the Utility Box Beautification Project initiated by the Public Art Commission and funded with a grant from the Jackson County Cultural Trust. Since that time, the PAC has received a number of inquiries from businesses and neighborhoods requesting nearby utility boxes be painted, The cost of each box is approximately $500, The suggestion to paint utility boxes was raised by citizens during the Public Art Master Plan public involvement period in early 2007 and the PAC spent several months identifying and researching other communities that had launched a similar project. Reflections of Ashland: Utility Box Beautification Project celebrates community pride and involves the painting of designated utility boxes, The PAC envisions this as an ongoing project happening to eventually include selected utility boxes throughout Ashland, This project meets the objectives in the'Public Art Master Plan by elevating citizen and visitor awareness of public art in Ashland and incorporating artistic elements into basic functional pieces throughout the city, In addition, the project meets the Selection Guidelines for Works of Public Art and Site Selection as detailed in AMC 2,17, Pending Council approval of the selected designs, the boxes will be painted in late August or early September. Related City Policies: AMC 2,17 Page I of2 ~~, CITY OF ASHLAND Council Options: Approve the recommendation ofthe Public Art Commission, Do not approve the recommendation and provide feedback to the Public Art Commission, Potential Motions: 1 move to approve the recommendation of the Public Art Commission to implement Reflections of Ashland: Utility Box Beautification Project? . I move to deny the recommendation of the Public Art Commission and Attachments: 1, Photos of utility boxes identified for the project and designs chosen by the selection panel. . Page 20f2 r~' CITY OF ASHLAND Comer of Helman and Herse)l Streets Utilit Box "1 have based my design on two murals I painted for the Ashland Community Hospital in 200 I which have since been painted over. Many people have mentioned to me that they are sad to see these gone, so perhaps the utility box is a good way to bring them back. One side would reflect the image of Mt. Ashland to the southwest and the other side would reflect Grizzly Peak to the northeast. Both images are in the springtime, a particularly beautiful time in Ashland, when the snow lingers on Mt. Ashland and the purple vetch is blooming on Grizzly," Sarah Cribb ~ !i! 9 ~ . '" ill ~ ..... ~ ~ " ~ ("\~ e !i! ~. ~ . :s ;;; ". \ _ 1 __ ~..-, "" . ~;.:-.'--.:'.,~ .....,. - . . ..fi 1 '~, ~I.r: "iA\, -- Page lof3 CITY OF ASHLAND ....,colors depict the half light of evening cool background colors set ofT vibrant foreground colors.., William Kreavy . -..:1 / ~ '\ / ... --<JI" . "- I ~ I ~ ~ -.J 1 / ... I Page 2 of3 CITY OF ASHLAND -Rock Dancers" ",. ~--------- ~~_. -- , '--, L- :::::>__ SIOf 1 fACING TOwAAOS STREFf SlOf2 sa ) FACING TOWAAD5 BUilDING .1Of . Page3of3 CITY OF ASHLAND Council Communication Acceptance of a Proposal for the Beneficial use of the Imperatrice Ranch Property Meeting Date: August 17, 2010 Primary Staff Contact: James Olson Department: Public Works E-Mail: olsoni{alashland.or.us Secondary Dept.: Administration Secondary Contact: Michael Faught Approval: Martha Benne Estimated Time: 15 minutes Question: Will Council authorize staff to negotiate a contract with Standing Stone Brewing Co. for beneficial use of the Imperatrice Ranch property? Staff Recommendation: Staffrecommends acceptance of the proposal submitted by Standing Stone Brewing Company and the negotiation of a lease for the use of the property, Background: , In response to a request for proposals (RFP) which was published on May 28, 20 I 0, two proposals for the use of the Imperatrice Ranch property were received on June 29, 2010. Standing Stone Brewing Company and Natural Light both submitted complete proposals which met the form and content requirements stated in the RFP, Ron Anderson, who currently leases the property did not submit a proposal, but expressed a desire to continue to use the property as he has since 1998, The two proposals were reviewed in accordance with the criteria outlined in the RFP document by a review team consisting of James Olson, Morgan Wayman (City staff members), and Greg Jones of Cascade Environmental Geographics, All three reviewers scored the Standing Stone proposal as the highest ranked proposal with a total score of 205 points, Natural Light received a score of 200 points, Related City Policies: Following the Council's approval, on March 2, 2010, an RFP for the beneficial use of the Imperatrice Ranch property was advertised locally in the Ashland Daily Tidings and the Medford Mail Tribune and statewide in the Daily Journal of Commerce, The advertisement and RFP were also posted on the City's website. A letter was sent to Ron Anderson, who is currently leasing the property on May 5, 2010, advising him of the Council's actions regarding the property and the need to compete through the RFP process for the continued use ofthe property, Mr. Anderson did not submit a proposal, but advised staff by phone that he would appreciate the opportunity to continue to use the property as he has for the past 12 years, As with all City proposals, the review was conducted by a review team acting independently to review and score the proposals, Each proposal was evaluated and scored on 6 criteria Including: . Sustainability . Public Benefit . Business Plan . Environmental Stewardship Maximum Score Maximum Score Maximum Score Maximum Score 20 Points 15 Points 10 Points 25 Points Page I of2 ~~, CITY OF ASHLAND . Wastewater Effluent Use Maximum Score . Adherence to Jackson County Land Use Development Ordinance Maximum Score 10 Points 10 Points Once the individual reviews were completed, the scores were totaled to determine the highest ranked proposal. The proposal submitted by Standing Stone received the highest score of 205 points with Natural Light receiving just 5 points less. Copies of the two proposals are attached. Business Plan The proposal contained a provision to submit a business plan outlining the financial details of the proposed development and each proposer submitted this plan. The financial plan, however, is a confidential document and not subject to public disclosure laws. The business plan will not be included with the electronic transmittal, but will be distributed to the Council under separate cover. These materials were submitted in confidence and will be discussed in an Executive Session prior to the regular meeting. Lease Terms The RFP stated that the selected proposer could expect to receive a lease agreement for a term of two years with a possible extension depending upon the City's needs. The time frame is dependent upon the outcome of the wastewater master plan and the potential need to use the property for part of the effluent temperature control solution. The lease agreement will be crafted by the City's legal staff to meet, as closely as possible, the requirements of the City and the needs of Standing Stone. Council Options: . Council may accept the proposal submitted by Standing Stone Brewing Co. and authorize staff to prepare a lease agreement . Council may reject all proposals received for cause Potential Motions: . Move to accept the proposal submitted by Standing Stone Brewing Co. and authorize staff to prepare a lease agreement . Move to accept the proposal submitted by Standing Stone Brewing Co. and incorporate specific terms and conditions into the lease agreement . Move to reject all proposals received Attachments: . RFP . Standing Stone Brewing Co. proposal (less business plan) . Natural Light proposal (less business plan) . Review team comments Pagezorz r.l' C .''I'V QF ASHLAND PUBLIC WQRKS.lENGINEeRINGPIVI$IQN: REQUeST FOR PROi=>>()SAlS Bel1efic_ial U$~ ,of the "Imperatrice R.l\ch" Property ,PROJECT NO: 2009-.1.2 tYPE OF PROPOSAL: PROPOSAI:.SFORtHEBENEFICIAL USE QFAPQRIIQN OF IHE;"IMPERATRICERANCH" PROPERTY DISTRIBUTION DATE: M.ay2ll. 201(l BID OPENIN'G.OATE:2:00 Pl\f;JUiie 2~,2010 CITY OF ASHLAND 20,E. MAIN STREET ASHLAND OR 91520 (541) 488"5347 l'.l1 , CITY()FA~HLAND' PUBLlCWORKS DlYISION IDJQlIJj]~'N'()R e~~PQSAL$ FOR THEBENEFICIALUSEOF THE APPROXIMATELY265 ACRE "IM;PJj)RATIUCE RAN. '.C.ii~'PROPERTYOW.'. !SED BY'TIIE CITY OF ASHLAND . . . . . . .. . .. . . The City of Ashlahd'icity) is:seekihgpropos,{ls fcifthe'pdvate'aridJOripublicuse of approx.imately 2(;?'~cres (lnhe I!I1pe~r~ibc~ ~l!nc,hprpperty I()c"!~cll]()rth .of Il]ters!at~5. C~rrently, ihis'City-9wned 'property is being leased for catlle grazing, The Cily desiresto delermine the !I1.o~~ ~ne.f!pjal use f()r iheportion ()fthisptoperty lying south ofthinalent Irrigatioil DistriCt Caniilaiid is invitirig. . interested parties 10 sulimH p~(JP9.s!ilS. :rhe!>!:sius~ ofthe.pr()perties ~olll<l bedefined,as the use.tllat, .moslclosely,{ddre'sses the followirigrequireriieiits: I. Thecol)tractwilllJeJor aperiodoftwo (2) years; Wit.hl\ P9ssible eXtehsiondepeildirig upon the City's need. ' , , 2. The use sh9uld be benefiCiiilto Cit~; 3. '1heuse shoul,! .pr9mot€:'sllstajl111bl~. use '9.r'res(Jllrce~; 4. Theliseshould,riot:!'ireclude the use ofCif)i's Wastewatereffiueilfdischarge from its wastewales trellt!l1e.,n,lf~~iJity 5. The useshould.take into considerationallenvironmental'aspeCts ofthe pro~rty including: soilconseniation measures,ripanah,afea pre'serviitioii"andproposed pe'destriiih trail . . ," ,- connections. 6. The Lise.mListbe compiitlblewiflUaeksori:Courity'iiirid useof<fiiifirice's. Proposals mlist:be'reccivcdby2:00 PM, Jimc29,2010,Cin theCity'ofAshlandEnginccring office iOClited al51 Winburn Way, Ashtand OR97$i()(MliillngaddfcSs: ,20 E.Mliiii Street AshllindOR.9'7520:Exprcss mailaddrcss: 51 Winburn' Way, AshlandOR97520. Formrth~r ihformatiotlcontac! MorganWaym~n,Pf()ject Manager at/54 I 5.52c2414.Proposal,docLimeri!s.are availableaUkabove address ~nd,onthe'CityofAshland ",e!>sit~'a! www.ashlimd.or.us. All proposers who intend to submitaproppsaluriderthis RFi>, m'il's! re~isteras Ii prospective:proposer; and will be required to complete and retuma "PROPOSAL REGISTRATION FORM"thaUncludes ~n cu~rentcontact infor";~tio~. The fo;'iri'sholiidbi;'co";plct~d andretur~~d to th~ City ~fAshland, E.f1gine~ringQmc~ (FAXiI!; 54I48l1.Q(6). ~~gistraJion wiUensurethat pO.lential Proposers'will'be included on the RFP holders list, and:wilHherefore receivcanyaddendums!halmight be:iss~lCd:.l:he [!roposal Registration Form'is on PageJofthe RFP doclimerit..Tlie City will npt be re~porisible for providing addendums to prospective'proposers that fililior~gi.s,t~t~~':.a,pr()~pe,c,ti:ve.pr()p()~er,:,AII proPOSl\lsmL!stbe ih the same format as pr"seritcd'iil this RFP:. proposalS: are limited 106 pages: Proposal selectionwili'be,miitle bylhe,Aihlarid City CouriciLandwillresult:inan agreement between City andthes,lIcc.~ssf\l1 pr()posers.th~twilIClearIydefiilethecunditiof1s urthe property usage. The'City of AshlaM reserVes the righlto teject any aild all proposals, to waiveJo'rrriaflties 61' to acceptany proposal which:appearsio'serve the b~st'interest',oUhe.C,iiyofAshland; ~~,o Q~l\"i'~ Michael R. Fa'!ght' l Public Works DirectOr' G;\pub~wrks\en~\69.,.-li linp,enitr"ice:Ptoperty\09"12 ImperalriccRanch Properry:RF'IJ 5 IO.Me. P~ge2 Of jiJ CITY OF ASHLAND PROPOSAL REGISTRATION FORM All consultants intending to submit proposals must immediately complete this fonn and fax it to . the City of Ashland, Public Works Engineering Ollice. Consultants failing to comply with this requirement will not receive addendums that might be issued, thereby resulting in a points deduction as stated in section 1.2 of the RFP. . FAX TO: (541) 488-6006 Proiect Number Tvne of Pronosal Firm Name Full MaHin!! Address Citv and State Phone Fax Email Contact Person Name and Title Date O:\pub.wrks\eng\09-12 {mperatricc Propcrty\09- [2 Impcralricc Ranch Propt:rty RFP 5 IO.doc Page 3 of 19 Pal!e Advertisement ProDosal Rel!istration Form 3 SECTION I-SOLICITATION INFORMATION & REQUIREMENTS 1.1 DEFINITIONS AND SUMMARY OVERVIEW 1.1.I Definitions 6 1.1.2 Summarv Overview 7 General Background Information 7 Property Acquisition 7 General Property Description 8 1.1.3 TAX LOTDESCRlPTIONS 8-9 1.1.4 LEGAL ENCUMBRANCES 9-11 1.2 QUESTIONS AND CLARIFICATIONS II 1.2.1 I Proposer Questions 11 1.3 PROTESTS II 1.3.] I A ward Protest Requirements 12 IJ.2 I Costs and Damages 12 1.4 "PASS/FAIL" PROPOSAL SUBMISSION REQUIREMENTS 12 1.4.1 I Proposal Submission Deadline (Pass / Fail)- 12 1.5 "REQUIRED" PROPOSAL SUBMISSION ITEMS & SCORING DEDUCTIONS It 1.5.1 Page Length Requirement (Required) 12 1.5.2 Quantity of Proposals (Required) ]2 1.5.3 Acknowledgement of Addendum (Required) 12 SECTION 2 - CONDITIONS OF DEVELOPMENT 13 2.1 PROPERTY BOUNDARY DETERMINATION 13 2.2 MEANDER ROAD 13 2.3 TID CANAL 13 2.4 RIPARIAN PROTECTION ZONES 13 2.5 RECREATION USES 14 2.6 SOIL HAZARD AREAS ]4 2.7 COMPLIANCE WITH JACKSON CO LAND DEVELOPMENT ORDINANCE 14 2.8 PERIOD OF USE 14 2.9 LIM]TS OF USE --:- 14 SECTION 3 - EV ALVA TION PROCESS ]5 3.1 EV ALUA TION PROCESS 15 3.1.1 Proposal Evaluation 15 3.1.2 Interviews / Follow-up Questions 15 3.1.3 References 15 3.1.4 Claritications 15 SECTION 4 - SCORING CRITERIA 16 4.1 SUST AtNABlLITY 16 4.2 PUBLIC BENEFIT 16 4.3 BUSINESS PLAN 16 4.4 ENVIRONMENTAL STEWARDSHIP 16 TABLE OF CONTENTS G:\pub-wrks\cng\09- 12 Jmperalrice Property\09-12 Imperalrice RElnch Property RFP 5 IO.doc Page 4 of 19 4.5 I W ASTEW A TER EFFLUENT USE 16 4.6. I ADHERENCE TO JACKSON CO LAND DEVELOPMENT ORDINANCE 16 SECTION 5 - LEASE AGREEMENT 17 5.1 LEASE TERMS 17 5.2 INDEMNIFICATION I7 5.3 INSURANCE 17 5.4 RENTAL FEE 17 5.5 TID ANNUAL CHARGE 17 5.6 ODF FIRE PROTECTION FEES 17 5.7 PROPERTY TAXES 18 APPENDIX 19 Base Map Zoning - Vegetation Overlay Map Geology Map Soils, Wetland and Springs Map Soils Map Site Photos \ G:\pub-wrks\eng\09MI2 Impemtrice rropcrly\09-12 Imperalricc Ranch Property RFP 5 IO.doc Page 5 of 19 CITY OF ASHLAND DEPARTMENT OF PUBLIC WORKS REQUEST FOR PROPOSAL SECTION 1 SOLICITATION INFORMATION AND REQUIREMENTS 1.1 DEFINITIONS AND SUMMARY OVERVIEW 1.1.1 DEFINITIONS For the purposes of this RFP: "Agency" or "City" means City of Ashland. "Business days" means calendar days, excluding Saturdays, Sundays and all City recognized holidays. "Calendar days" or "days" means any day appearing on the calendar. whether a weekday, weekend day, national holiday, State' holiday or other day. "Imperatrice Ranch" or "property" means 840 acres of land owned by City of Ashland and comprised of the following tax lots: 38 IE 27 TL 100; 38 IE 28 TL 500, 600 and 700; and 38 IE 32 TL 100 and 200 and 38 IE 33 TL 200. "Proposers" - All tinns submitting Proposals are referred to as Proposers in this document; after negotiations, an awarded Proposer will be designated as "Lessee." "PWD" means City of Ashland Public Works Department. "RFP" means Request for Proposal. "Scope of Work" means the general character and range of services and supplies needed, the work's purpose and objectives, and an overview of the performance outcomes expected by Agency. "Statement of Work" means the specitic provision in the final Contract which sets forth and defines in detail (within the identitied Scope of Work) the agreed-upon objectives, expectations, performance standards, services, deliverables, schedule for delivery and other obligations. "Qualification Based Selection" or "QBS" (for the purposes of this RFP) means evaluations and scoring of proposals based on qualifications, experience and project approach, without considering cost. G:\pub-wrks\ellg\09-12Imperatrice Properly\W-12Impcmtrice Ranch Properly RFP 5 IO.doc Page 6 of 19 "WWTP" means waste water treatment plant. 1.1.2 SUMMARY OVERVIEW The City of Ashland (City) is seeking proposals for the private and / or public use of approximately 265 acres of the Imperatrice Ranch property located north ofInterstate 5. Currently, this City-owned property is being leased for cattle grazing, but City desires to determine the most beneficial use for the portion of this property lying south of the Talent Irrigation Canal and is inviting interested parties to submit proposals for this use. The best use of the propelty could be defined as the use that most closely addresses the following requirements: I. The contract will be for a period of two (2) years, with a possible extension depending upon the City's need; ( 2. The use should be beneficial to City; 3. The use should promote sustainable use of resources; 4. The use should not preclude the use of City's wastewater effiuent discharge from its wastewater treatment facility; 5. The use shall take into consideration all environmental aspects of the property including: soil conservation measures, riparian area preservation, and proposed pedestrian trail connections; and 6. The use must be compatible with Jackson County land use ordinances. City will evaluate each proposal received in accordance with the procedures set fOlth in this document and shall identify the proposal that best meets City's goals and provides the most beneficial use for the property. There is no guarantee that City will select one of the proposals as submitted. City further reserves the right to negotiate with one or more of the proposers to alter, delete or add additional conditions or requirements to better meet City's needs. City reserves the right to reject any or all proposals, to waive formalities or to accept any proposal which appears to serve the .best interests of City. Proposers responding to this RFP do so solely at their expense. and City is not responsible for any proposer expenses associated with the RFP. General Background InfOlmation Property Acquisition On April 9, 1996, the City purchased 846 acres of land known as the "Imperatrice Ranch" property from Kimberly White, Karen White, and Marion Imperatrice for $950,287.98. The property was purchased using food and beverage tax proceeds with the intent to land apply the City's wastewater treatment plant effluent and biosolids. The effluent and biosolids land application plan was suspended aner surrounding neighbors and members of the community expressed concerns about effluent land application proposals. General Property Description The area subject to this proposal is roughly described as all that area of the Imperatrice Ranch property lying south and west of the Talent Irrigation District's east canal and includes all or portions of the following tax lots: . 38 IE 32 -100 (all) O:\pub-wrks\eng\09-12 [mper<llrtct= Property\09-12Impernlrice Ranch Property RFP 5 IO.doc Page 7 of 19 . 38 IE 32 - 200 (south and west ofTID canal) . 38 IE 33 - 200 (south ofTID canal) 1.1.3 TAX LOT DESCRIPTIONS The property is comprised ofthree separate tax lots which are described in fUlther detail and includes data from the Jackson County Assessors Office: Jackson County Map Reference: 38 IE 32 Tax Lot 200 38 IE 33 Tax Lot 200 Address Location: Approximately 2 miles North of Ashland. This parcel off our tax lots lays adjacent to the Northeast side of Interstate 5 and the associated "NOlthbound" 1-5 weigh station. This property extends uphill in a Northeasterly direction across the east canal of the 110. Owner of Record: Citv of Ashland Assessor's Account No: 38 IE 32 Tax Lot 200 1-012688-4 38 IE 33 Tax Lot 200 1-012367-6 Present Use: 224.4 acre irrigated pasture. 423.95 acre dry pasture Highest and Best Use: 1.95 acre home site 422 acre dry pasture 244.4 acres irrigation pasture Zone: EFU Size: 648.35 acres Property Description: An appraisal in 1999 states: the Jackson County Planning Department states that this group of parcels is described in Volume 356. Page 197, dated September 4,1951. No document could be found separating these tax lots prior to adoption of county-wide zoning on September I, 1973. As a result, this block of land is considered as one parcel for development purposes. This large parcel has an 80 to 90% chance or better for qualifying for a farm dwelling permit on this EFU zoned land. Access would be via an easement from or consolidation with 38 IE 33 TL 100. The soils on this parcel are virtually all Class 4 soils even though many ofthe acres are irrigated. The soils are primarily Carney clay soils with some Camey Cobbly clay soil areas. · Acreages shown are for the total tax lot. This RFP addresses only those portions lying south and west of the TID east canal. Jackson County Map Reference: 38 IE 32 Tax Lot 100 Address Location: Approximately 2 miles North of Ashland adjacent to both sides of Butler Creek Road. This property is approximately 200-300 feet North of Interstate 5. Owner of Record: Citv of Ashland . G:\pub-wrks\eng\09-12 lmperalrice Property\09~12Impcralrjcl: Ranch Property RFP 5 lV.doc Page 8 Qf 19 Assessor's Account No: 1-012687-6 Present Use: dry pasture Highest and Best Use: Consolidation with adjacent parcel(s) for access or pasture use. Zone: EFU Size: 3.17 acres Property Description: An appraisal in 1999 states that this is a 3.17 acre parcel of land which was set out in the 927 Survey Plat Book 2, Page 10, a survey of Ashland acres. This long nan'ow parcel was created tor access purposes and would not be a legally buildable lot. Soils on this property are virtually all Class 4 soil being primarily Carney and Coker clay soiL 1.1.4 LEGAL ENCUMBRANCES The property is subject to numerous legal encumbrances and title exceptions that must be considered prior to tuture development. The tollowing exceptions have been disclosed by the most recent title report. 1. The premises herein described have been zoned or qualified for "Farm Use" tax assessment. At such time as said land is disqualified for such "Fann Use," the property will be subject to additional taxes and interest and possible statutory penalty. 2. The effect of said property, or any part thereof, lying within the Talent Irrigation District, and subject to all water and irrigation rights, easements for ditches and canals, and all regulations of said District, incl uding all assessments, leans and charges assessed, and to be assessed. 3. Right of way to R.B. Hargadine, record notice of which appears in Deed recorded April 2,1880 in Volume 8 page 726 of the Deed Records of Jackson County, Oregon. 4. Right of way for canal and ditch, 50.0 feet wide, and rights in connection therewith, granted to the Talent Irrigation District, by instrument recorded March 15, 1923 in Volume 143 page 570 of the Deed Records ofJackson County. Oregon. 5. Right of way for the transmission and distribution of electricity, and for other purposes. granted to The Calitornia Oregon Power Company, a Calitornia corporation, by instrument recorded March 6, 1924 in Volume t 49 page 97 ofthe Deed Records of Jackson County, Oregon. 6. Rights of way for the transmission and distribution of electricity and for other purposes, granted to The Calitomia Oregon Power Company, a Calitornia corporation. by instruments recorded in Volume 168 page 153 and Volume 256 page 443 of the Deed Records ofJackson County, Oregon. 7. Rights of way for the transmission and distribution of electricity, also right to install guys and anchors and tor other purposes, granted to The California Oregon Power Company, a California corporation, by instruments recorded in Volume 184 page 122 and Volume 440 page 220 of the Deed Records of Jackson County, Oregon. 8. Ditch right of way, as set forth in deed recorded September 23,1923 in Volume 195 page 50 of the Deed Records of Jackson County, Oregon. G:\pub-wrks\eng\09.12 lmpcratrice Property\09-12Imperalricc Ranch Property RFP 5 IO.doc Page 9 of 19 9. Right of way for the purpose ofthe operation, maintenance, repair and reconstruction of canals, reserved by the Talent Irrigation District, in deed recorded December 30, 1936 in Volume 210 page 536 of the Deed Records of Jackson County, Oregon. 10. Perpetual easement for the construction, repair, maintenance and operation of a 50.0 foot canal, and rights in connection therewith, granted to the Talent Irrigation District, by instrument recorded in Volume 214 page 303 of the Deed Records of Jackson County, Oregon. II. Right of way for the Eagle Mill Ditch, record notice of which appears in Deed recorded June 12, 1943 in Volume 244 page 155 of the Deed Records ofJackson County, Oregon. 12. Perpetual easement and rights in connection therewith, for underground conduit, cable and other fixtures, granted to The Pacific Telephone and Telegraph Company a California corporation, by instrument recorded March 13, 1947 in Volume 280 page 49 of the Deed Records of Jackson County, Oregon. 13. Perpetual easement and rights in connection therewith, for underground conduit, cable and other fixtures; granted to The Pacific Telephone and Telegraph Company a California corporation, by instrument recorded March 13, 1947 in Volume 280 page 50 ofthe Deed Records of Jackson County, Oregon. 14. Right to the use of spring located on said premises, together with the right of way for pipe line from said spring, and rights in connection therewith, reserved in deed recorded November 8, 1948 in Volume 308 page 252 of the Deed Records of Jackson County, Oregon. 15. Right of way 100.0 feet wide for the transmission and distribution of electricity, and for other purposes, also right to install guys and anchors, granted to The California Oregon Power Company, a California corporation, by instrument recorded Aplil 24, 1957 in Volume 440 page 499 of the Deed Records of Jackson County, Oregon. 16. Perpetual right of way and easement to construct, reconstruct, operate and maintain a buried pipeline, for the purposes of conveying water and rights in connection therewith, granted to the United States of America, by instrument recorded September 22, 1959 in Volume 479 page 305 of the Deed Records ofJackson County, Oregon. 17. Access restrictions imposed by Final Judgment rendered September 7, 1966 in the State Circuit Court of Oregon, for Jackson County, under Case No. 65-342L and recorded in Volume 204 page 654, Circuit Court Journal. 18. "Grantors reserve for themselves, their executors and assigns, an undivided one-half interest in all gas, oil, and mineral rights which are now the property of grantors, and which may hereafter revert to grantors, it being the intention what the other undivided one-half interest in all such gas, oil, and mineral lights shall vest in grantees. there successors and assigns," as set out in deed from Ernest M. Pellkofer et ux, to J.D. Imperatrice et ux, recorded June 30, 1966 as No. 66-07545 of the Official Records of Jackson County, Oregon. 19. Perpetual rights and non-exclusive easements to use the roads, as set out in deed from Marion D. Imperatrice to Richard G. Ireland et ux, recorded October 15, 1974 as no. 74- 13557 or the Otlicial Records of Jackson County, Oregon. 20. Perpetual rights and non-exclusive easements to use the roads, also the perpetual right of Richard G. Ireland and Gloria S. Ireland, and their successors in interest to use for all road purposes, and continuation of Smith et ux, recorded October 15, 1974 as No. 74- 13559 of the Official Records of Jackson County, Oregon. G:\pub-wrks\eng\09-12 [mpera[ri~ Propcrly\09-12 Imperatrice Ranch Propcny RFP 5 IO.doc Page]O of 19 21. Grant of Communications Systems Easement, subject to the terms and provisions thereof, granted to AT&T Communications of the Pacific Northwest, Inc., a Washington corporation, and recorded September 12, 1988 as No. 88-18995, of the Official Records of Jackson County, Oregon, as amended and corrected by instmments recorded January 10,1989 as No. 89-00598, recorded March 8,1989 as No. 89-04692, and recorded July 25,1990 as No. 90-18479, said OtEcial Records. 22. A mutual access and utility easement, as set forth in Agreement Creating Easement, subject to the terms and provisions thereof, recorded November 9, 1992 as No. 92-34316, of the Official Records of Jackson County, Oregon. 23. Right of Way Agreement, subject to the terms and provisions thereof, with Pacific Gas Transmission Company, a California corporation, recorded April 6, 1995 as No. 95- 09111, of the Oflicial Records of Jackson County, Oregon. 24. Right of Way Agreement, subject to the terms and provisions thereof, with Pacitic Gas Transmission Company, a California corporation, recorded April 6, 1995 as No. 95- 09113 of the Otlicial Records of Jackson County. 25. Existing Leases, ifany. 26. Slope easements granted to the Oregon Department of Transportation in connection with improvements made to the Port of Entry facility. NOTE: Not all encumbrances or exceptions will apply to the three lots under this proposal. 1.2 QUESTIONS AND CLARIFICATIONS 1.2.1. Proposer Ouestions All inquires, whether relating to the RFP process, administration, deadline or award, or to the aspects of the RFP scoring must be submitted in writing to Morgan Wayman, Project Manager, at 20 East Main Street, Ashland Oregon 97520. All questions must be received not later than ten (10) calendar days prior to the proposal submission deadline. Answers to questions received by City, which are deemed by City to be substantive, will be issued as ofticial addenda to this RFP to ensure that all proposers base their proposals on the same information. An otlicial addendum to this RFP may be issued to answer substantive questions received by City or to make revisions, substitutions, or classitications of the RFP or the attached terms and conditions. Proposer shall indicate receipt of all issued addenda by attaching a copy of the addendum to the proposal. THE ADDENDUM WILL NOT BE INCLUDED IN THE TOTAL MAXIMUM PAGE LIMIT. Failure to attach addendum(s) to the proposal will result in a three (3) point scoring deduction. 1.3 PROTESTS 1.3.1 Award Protest ReQuirements Every proposer who submits a proposal shall be notified of its selection status. Any proposer. who clai'?1s to have been adversely affected or aggrieved by the selection or any proposer who contends that the provisions of the RFP or any aspect of the process has promoted favoritism in G:\pub-wrks\eng\09-12 Imperatrice Property\09-12 Imperatrice Ranch Property RFP 5 IO.doc Page It of 19 the award oftbe lease or has substantially diminished competition, must file a written protest to the RFP witbin seven (7) calendar days after the date of the selection notice. 1.3.2 Costs and Damages All costs of a protest sball be tbe responsibility of the protestor and undertaken at the protestor's expense. City shall not be liable for the proposer's damages or costs for filing the protest or to any participant in the protest, on any basis. express or implied. 1.4 up ASS I FAIL" PROPOSAL SUBMISSION REQUIREMENTS Each proposal must comply with the following Pass I Fail criteria. Proposals riot meeting ALL Pass I Fail criteria shall be rejected. I .4. I Proposal Submission Deadline (Pass I Fail) Proposals must be received by the submission deadline as indicated in tbis RFP and at the address specified. City will not accept proposals submitted by facsimile or electronic mail, nor will it accept proposals submitted after the proposal submission deadline. City is not responsible for and will not accept late or mis-delivered proposals. 1.5 "REQUIRED" PROPOSAL SUBMISSION ITEMS AND SCORING DEDUCTIONS Any item~ in this Section 1.5 marked as REQUIRED that are incomplete or are not submitted with the proposal will receive a three (3) point scoring deduction for each item and must be submitted within two (2) business days of request by City. Failure to deliver properly completed "REQUIRED" items within two (2) business days of request by City shall result in proposal rejection. 1.5. I Page Length Limitation (Reauired) The proposal must not exceed six (6) pages, excluding cover sheet, any tabs or indexes and references, and any issued addendum. Failure to include addendum within the RFP shall result in a tlu'ee point scoring reduction. If a proposer submits a proposal exceeding this limit, City will consider tbe pages up to that allowable number and discard all subsequent pages. One page is defined as: one side of a single 8 11," x II" page. Any page over this size will be counted as two (2) pages. Any page or partial page with substantive text, tables, graphics, charts, etc. will be counted as one page. There is no scoring deduction for exceeding the proposal page limitation; however, extra pages will be discarded and will not be considered in the evaluation. 1.5.2 Ouantitv of Proposals (Reauired) Proposers must submit twelve (12) complete copies oftbe proposal. 1.5.3 Acknowledgement of Addendum Proposers must indicate receipt of any and all issued addendums by attacbing the addendum to tbe proposal (see section 1.2. I). Failure to do so will result in a3 point scoring deduction. G:\pub.wrks\cng\09-12Impcmtricc Pmrcrly\09-12Impcrlltril:c Ranch Property RFP 5 IO.doc Page t2 of 19 SECTION 2 CONDITIONS OF DEVELOPMENT 2.1 PROPERTY BOUNDARY DETERMINATION Much of the Imperatrice Ranch property was surveyed and platted as part of the Ashland Acres tracts which was created in 1923 by the Baulfour-Guthrie Trust Company. The survey was completed by F.H. Walker, however, few comer monuments were set as the setting of physical lot comer markers was not required until 1947. As development of the property has been minimal, there have been few retracement surveys since the original platting in 1923. County records indicate that only two surveys have been filed which would affect any of the seven tax lots within the property. The surveys are filed in the office of the Jackson County Surveyor as Survey No. 16230 and 18720. Survey No.1 8720 is a conection to the previously filed survey (16230) and both surveys were performed by L.J. Friar and Associates of Medford. It shall be the responsibility of the proposed to recover existing monumentation and to determine all boundaries. 2.2 MEANDER ROAD The Ashland Acres plat created a "Meander Road" (shown on filed Survey No. 18720) which follows along the course of a tiparian way along the southeast portion of the property. Meander Road, which has never been named nor opened, divides the City-owned property from the property to the east. Due to its proximity to the riparian way, the Meander Road would be difficult to open or to improve in any way; however, its presence as a 40 toot wide street right of way should be noted as to its possible impact to any development plan. 2.3 T ALENT IRRIGATION DISTRICT (TIo) CANAL The TID east lateral traverses three of the tax lots on the property. The lateral is an open and unlined canal with approximately 7.780 linear feet of frontage. There are two existing wooden bridges that cross the canal. The west canal siphon also crosses tax lot 38 1 E 32 TL 200 in a southwesterly direction. The canal, siphon and irrigation laterals are located on five recorded easements. The easements are listed by recording number as follows: I. 50 foot wide easement - Volume 143 page 570 (1923) 2. Ditch right of way ~ Volume 195 p 50 (1923) 3. Canal right of way ~ Volume 210 p 536 (1936) 4. 50 foot wide easement ~ Volume 214 p 303 (1940c) 5. EagleMillDitch~ VoJume 244 p 155(1943) The TID water right is for 475 acre-feet per i11'igation season. It shall be the responsibility oflhe proposer to locate all irrigation canals, ditches and siphons and their respective easements and to protect those faciliti~s. 2.4 RIPARIAN PROTECTION ZONES Two intermittent streams are located on the property as shown on the vegetation overlay map. The steams are unnamed and are not fish bearing, but both streams have well established riparian growth that must be preserved, protected and enhanced. The steam vicinity also has a wetlands element which must also be protected in accordance with Jackson County Land Development G:\pub.wrks\eng\09-12 Impemtrice Property\09-12 Imperatrice Ranch Property RFP 5 IO.doc Page 13of19 Ordinances. The vegetation overlay map indicates the approximate limits of the riparian and wetlands protection zones. 2.5 RECREATIONAL USES The property affords opportunities for development of public recreational uses including pedestrian trails, open space areas and passive park areas. The area base map shows a number of possible pedestrian trails that might ultimately become part of a proposed Grizzly Peak Trail System. Proposers must address and incorporate elements of public recreation into their proposed use. 2.6 SOIL HAZARD AREA A recent publication of the Oregon Department of Geology and Mineral Industries (IMS-9) has listed the surrounding area as being within Hazard Zone D, reflecting low amplification. no liquefaction and low landscape hazard. One area of the property, as shown on the Geology and Earthquake map, is listed as an earthquake hazard zone with higher landslide danger. Soil types and c1assitications are shown on maps included in the Appendix, however, each proposer must determine the extent of impact the soil might have upon the proposed development. 2.7 COMPLIANCE WITH JACKSON CO LAND DEVELOPMENT ORDINANCES Each proposer must adequately demonstrate that they have met all applicable land development standards and ordinances established by the Jackson County Planning and Development Department. 2.8 PERIOD OF USE This proposal is for a two (2) year use of the property and shall commence upon approval of a lease between the City of Ashland and the proposer. The lease may be extended based upon the City's desire and need. 2.9 LIMITS OF USE The land subject to this proposal shall be limited to only that portion of the property lying southerly and westerly of the Talent Irrigation East Canal. There will be no usage of the remainder of the property. If the accepted proposal is for stock grazing, it shall be the proposer's responsibility to construct and maintain adequate fencing along the south and west sides of the canal so that stock may not cross the canal. The fence shall in no way restrict the use of the access way along the canal. G:\pub-wrks\cng\09~12 Imperalrice Property\09-12 Imperalrice Ranch Property RFP 5 IO.doc Page 14 of 19 SECTION 3 EV ALVA TION PROCESS 3.1 EVALUATION PROCESS 3.1.1 Proposal Evaluation City will review proposals for conformance with the "Pass / Fail" and "REQUIRED" criteria identified in Sections 1.4 and 1.5. Proposals meeting all Pass / Fail criteria will be forwarded to an evaluation committee that will independently review, score and rank proposals according to the scoring criteria set forth in Section 4. The outcome of the evaluation process may, at the City's sole discretion result in: a. Notice to proposers of selection or rejection for lease negotiations: b. Further steps to gather additional information for evaluation (e.g. checking references, notice of placement on an interview list, requesting clarification); or c. Cancellation of the RFP and either reissuance of the RFP in the same or a revised form or no further action by the City with respect to the RFP. City may reject any or all proposals and may cancel this RFP at anytime if doing either would be in the public interest as determined by the City. City is not liable for any costs a proposer incurs while preparing or presenting the proposal or during further evaluation stages. All proposals will become part of the public record tile without obligation to the City of Ashland. 3.1.2. Interviews / Follow-up Ouestions Interviews / follow-up questions may be conducted and scored at the discretion of City. If interviews / follow-up questions are conducted the following will apply: . A minimum oftluee (3) evaluators shall score the interviews / follow-up questions; . The interviews / follow-up questions will have a maximum score of ten (10) points; . The number of Proposers selected for interviews / follow-up questions is at the sole discretion of the City; . Follow-up questions will typically be sent via email to proposer(s) as an alternative to face-to-face interviews. However, City may conduct face-to-face interviews if determined necessary after conducting written follow-up questions; . Interviews normally require physical attendance at City's offices; however, the City may elect to conduct interviews via teleconference or video conterence. Further details will be included with notification of time and date of interviews, if conducted. 3.1.3 References City does not intend to score reterences. but may contact references (by phone, email or fax) to verify information provided in proposals. 3.1.4 Claritications City may require any clarification it needs to understand the proposer's proposal. Any necessary clarifications or moditications which are in the best interest of City may be made before the proposer is awarded a contract and some or all of the clarifications or modifications may become part of the final contract. Claritications may not be used to rehabilitate a non-responsive proposal. U:\pllb-wrks\eng\09-12Imperolrice Property\09-12lmperatrice Rnnch Property RFP 5 IO,doc Page 15 of 19 SECTION 4 SCORING CRITERIA To be considered by the Ashland City Council, each proposal must also adequately address each of the following elements of development: 4.1 SUST AINABILlTY (20 Points) The proposal must demonstrate the sustainable use of energy and/or resources in the development and operation of the proposed project. Examples of sustainable projects might include the creation of energy by solar or wind generation. Other examples of acceptable sustainable projects would be agricultural tood production. 4.2 PUBLIC BENEFIT' (15 Points) All proposals must clearly demonstrate a public benetit to be derived from the project in the form of recreational opportunities, open space areas with public access, trail systems or other improvements. Specific examples of public benefit might include development of public park areas, creation of recreation pedestrian. bicycle or equestrian trails. Proposals might include the iirst phase of a regional Grizzly Peak trail or trails along the TlD canal. 4.3 BUSINESS PLAN (10 Points) Proposers must submit a financial and business plan that incorporates all phases of the planned development. The plan must clearly identify required development capital and anticipated profits and expenses for all phases of development and must indicate a financial bene tit to the City. 4.4 ENVIRONMENTAL STEWARDSHIP (25 Points) Proposers must clearly demonstrate that the proposed project I development encompass strong elements of environmental stewardship. The proposal must avoid uses that create air pollution from road dust or from any manufacturing process. Uses that generate noise pollution or other forms of pollution should be avoided. Soil erosion and storm runoff must be strictly controlled and down slope silt depositions must be acceptably contained on the site. Sensitive and wildlife preserve areas must be protected and preserved. 4.5 WASTEWATER EFFLUENT USE (10 Points) All proposals must address how and to what extent effluent discharge for the City's Wastewater Treatment Plant could eventually be utilized on the project. City's Wastewater Treatment Plant produces Class IV effluent (virtually drinking water quality) which is discharged into Bear Creek via Ashland Creek. The short term use of the property under this proposal will likely not allow development of the inlrastructure required to supply wastewater effluent to the site; however, points will be awarded for projects that might be available to receive effluent if it were available. 4.6 ADHERENCE TO JACKSON CO LAND DEVELOPMENT ORDINANCES (20 Points) Proposers must provide a detailed written plan demonstrating compliance with Jackson County Land Development ordinances. The plan must site specific applicable land development codes and G:\pub-wrks\eng\09"12 hnpcratricc Propcrly\09-12Imperatrice Ranch ProperLy RFP 5 to,doc Page 16 of 19 ordinances and must fully outline the application process and time lines for application approvals. Proposers must also outline any required applications and permits that must be acquired. SCORING SUMMARY Criteria Maximum Score 4.1 Sustainability 20 4.2 Public Benefit 15 4.3 Business Plan 10 4.4 Environmental Stewardship 25 4.5 Wastewater Effluent Use 10 4.6 Adherence to Jackson Co. Land Development Ordinance 10 TOTAL 100 Points SECTION 5.0 LEASE AGREEMENT 5.1 LEASE TERMS The successful proposer will be expected to enter into a written lease agreement that will.inClude: a definition of the property, the allowed uses, maintenance requirements, and other necessary terms; some of which are listed in 5.2 through 5.7 of this section. A sample lease agreement could riot be included with this RFP as lease terms will be tailored to the proposer's use of the property. 5.2 INDEMNIFICATION The document will further indemnity the City of Ashland from any and all actions ofthe proposer on lands owned by the City. 5.3 INSURANCE The lease will further require that the proposer provide general liability insurance coverage to the limits specitied in the lease agreement. The City of Ashland, its elected ofticials, officers and employees shall be listed as additional insured on the insurance policy. 5.4 RENTAL FEE Proposer shall pay a rental fee for use of the property. 5.5 TID ANNUAL CHARGE Proposed shall be responsible for payment of the Talent Irrigation District (TID) annual charge for in'igation on the property. The cun'ent TID fees are approximately $9,000 annually. 5.6 ODF FIRE PROTECTION FEES Proposer shall also pay the annual tee assessed by the Oregon Department of Forestry for fire protection service. The previous year's cost for these services was $1060.81. G:\pub-wrk.<;\cng\09.12Impcmlricc Propcr1y\09.121Il1pcrntric~ Ranch Property RF!> 5 IO.doc Page 170fl9 5.7 PROPERTY TAXES Proposer shall also be required to pay the annual property taxes as assessed by Jackson County. The previous years taxes, based upon an EFU (Exclusive F31m Use) zoning were $854.51. 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'" ",' ,l;I lJ i~ ,l'i ,>. e -~- ~ ~- ~ 0 m 0' .~: u '0 ~ E ] E :s -~ ~ X .:0' ~ '~ 0. 0 ~ ~ 0' jj ~ ~ ~ ~ 0 0.' e e ~ m- e ~ ~ ~ . 0 " ~ ~ ~ " e " 1:: ] " " " U 0. ~ s' :(: s; s s )/ 0. 0. -l,- i ,,> :!iJ I:J -\'; I ~;l I':'~ 0 I ~W r;~ +" ./'0 'c: I OJ- VI C 0_ U ProposaLto City of Ashl<lnd, Oregon,PuJ>lic Worl<s{Engineering.Oivision Beneficial Use of the Imperatrice Property Project 2009-12 "-relude This proposal is hereby submitted by the Standing Stone Brewing Company (SSBC) in . response to the City of Ashland RFP for the beneficial use of the Imperatrice Property, Project No. 2009-12 distributed on May 28, 2010. The applicant has examined the subject RFP and hereby acknowledges all details and provisions of the City's proposal process. "-roposed-Beneficial Use of.the ImperatIice Property SSBC currently owns and manages its own bevy of egg-laying hens and thereby putting its knowledge of sustainable farming into practice. SSBC proposes to operate a sustainable farm (closed loop farm system) upon the subject Imperatrice property to produce healthy, delicious food locally to support its restaurant and brewing operation here in Ashland, Oregon. More specifically. the farm operation would include raising chickens for meat and egg production with the use of mobile paddocks (chicken tractors). Additional livestock (beef, lamb and turkey) would eventually be added to the operation. <i,1 Sustainability SSBC's proposed farm use would create a local source for a portion of the food that is required to operate the restaurant and brewing company; the distance between the subject property and the Standing Stone is one (1) mile. A key benefit of this proposal is the reduction of vehicle miles, part of a national goal to reduce carbon emissions. Another component of the SSBC Farm is recycling. The pre-consumption food scraps and spent grains generated by the SSBC restaurant and brewing operation are currently transported to a variety of local farms. These materials would be used to support the livestock of the proposed farm use upon the Imperatrice property. This recycling SSBC Proposal for Beneficial Use of Imperatrice Property - Project 2009-12 Page 1 of6 component of the operation would continually make its sustainable loop in the system, all within a round-trip distance of two (2) miles between the Standing Stone and the farm. SSBC has factored two other benefits into the sustainability equation: Job creation and . education. The proposed farm operation would, on various levels, employ a range of skills sets. People would be put to work to manage the farm operation, consult on sustainable farm practices, work the land, transport (albeit a short distance), harvest food; manage property, apply for land use permits and coordinate with City agencies. The employment would sustain those individuals in the present and benefit the families of those individuals in future times. The consumption of these thriving workers would be economically linked to other parts of our local system and a part of our community's needs would be met now and in the future. Education is a key component of the SSBC Farm Operation as SSBC intends to provide a venue for Farm Education Programs. Education in itself is that essential human activity that enables society to meet its needs and express its greatest potential for meeting its needs in the future. We believe that education is an effective societal approach for achieving sustainability. ~.2 ~Yh!ic Benefit YJilllcle M~s: The essential purpose of the proposed SSBC farm use is to operate a sustainable system for producing local, healthy food. As has been affirmed in this proposal, a local food source helps in the reduction of vehicle miles. It's a national goal to reduce VMT and the benefits reduce greenhouse gas generated from cars and help to reduce our dependency upon oil; hence, the first public benefit of the proposed SSBC farm use is its design to reduce vehicle miles. E.wcation: The Standing Stone Brewing Company (SSBC) likes to share and tell its story. Sharing is how we educate and how we learn. Our proposed farm use would include public access to demonstrate how local food is produced sustainably for the restaurant. Sharing with the public how the farm system works is how sustainable practices become integrated . into our culture. We submit to the City that our willingness and our plan to schedule tours is a public benefit. No Extemal CQS.ts to--E'ubli~: The proposed SSBC farm use would be operated such that no spillover or external costs will be borne by the public. For example, the operation will be developed such that the natural appearance of the property is preserved. The generation of traffic will be minimal and limited to approximately 6 trips per day (total: 6 miles). Internal vehicle drives will be maintained during the summer months to abate dust. SSBC Proposal for Beneficial Use of Imperatnce Property - Project 2009-12 Page 2 of 6 4.3Jrusinestllan Attached to this proposal is the Qpera~[ls PlaD for the SSBC Closed Loop Farm System, dated May 20, 2010. The research, analysis and preparationofthe QperatlQ[ls t'lalJ was completed by Team Grass Fed (TGF), a group of graduate students at Presidio Graduate School in San Francisco, California (Ian Bevan, Tane' Minnick, Eric Strong and Stacey Waldspurger); The plan includes a detailed cost benefit analysis for the development of a local food production source for the Standing Stone Brewing Company (SSBC). The objectives of the closed loop farm system dovetail seamlessly into the SSBC sustainability formula because meat production is a major contributor to green house gases. The proposed local food source would further reduce SSBC's continually-decreasing carbon footprint. 4~4_Envi.r:JmmentaLSte"llardship a) The proposed land use includes primarily animal husbandry and does not generate any particulate matter into the air. As stated in a previous section, SSBC will practice dust control on internal driveways as is necessary. b) The proposed farm use does not include any industrial noise whatsoever and will not generate continual noise that would impact adjacent property owners. From time to time there will be minor construction of fences and coops that will be conducted pursuant to the noise regulations set forth in the Jackson County Code. c) The acreage under lease will be observed continually in order to determine ways to improve the health of the soil and to manage natural drainage patterns on the site. The proposed farm use itself will not generate any soil erosion. It is also noted that . the proposed farm use will shift about the site with the use of mobile paddocks and will only utilize a small portion (estimated to be 10 acres, 3.8% of the site) of the 265 acres at any given time. d) As noted above the farm operation will be conducted upon a small percentage of the subject acreage and will have no effect upon wildlife. Our objective will be to separate local varmints from the livestock to reduce inventory shrinkage. SSBC affirms its intention to improve this land and its soil from its current condition and to continually maintain its health for future generations. Also key in this proposal is the reduction of vehicle miles, part of our national goal to reduce carbon emissions. SSBC Proposal for Beneficial Use of Imperatrlce Property - Project 2009-12 Page 3 of 6 !h5.W.astewater Effh.!~D~ 55BC acknowledges the primary purpose for the City acquiring the subject property. The applicant's proposed farm.use within the 2-year time frame will only require a small portion of the 265 acres; therefore, it is expected that the proposed use will not preclude the discharge of treated effluent from the City's wastewater treatment facility should that occur within the timeframe ofthe short-term lease. !l.G Adherem:e.to JacksOlLCQunty land D.eveloplT!~nt Ordinan.ces In reviewing the current Jackson County Land Development Ordinance (LDO), the applic'ant concludes that 55B('s proposed farm use described above is a Type 1 use, permitted by right and only requiring non-discretionary staff review (pursuant to Section 4.2.2 and Table 4.2-1 for Exclusive Farm Use (EFU) zoned land, Jackson County LDO. Moreover, any permanent or temporary structures necessary to manage livestock are also permitted upon EFU-zoned property in accordance with uses listed as #2 and #4 on Table 4.2-1 of the current Jackson County LOa. Depending upon the design and particular use, temporary structures used in conjunction with farm use may require a Type 2 discretionary review and an opportunity for a public hearing. The applicant is prepared to engage in preliminary meetings with the County Planning Staff and submit the necessary permit applications to operate the proposed farm use. 5.1 Lease Terms The applicant understands that a lease agreement will be designed to match the specific proposal that is awarded the property lease. If awarded the lease, 55BC will be available to participate in that process with the City. s.z.lndemnificatiOJ! The lease agreement shall indemnify the City of Ashland from any and all actions of the leaseholder on the City-owned Imperatrice property. 5.3 Insuran_ce Through Travelers Insurance Company (Agent: United Risk Solutions), 55BC shall provide general liability insurance coverage to the agreed upon limits specified in the lease agreement for the subject property. The City.of Ashland, its elected officials, officers and employees shall be listed as additional insured on the policy. SSBC Proposal for Beneficial Use of Imperatrice Property - Project 2009-12 Page 4 of 6 5~4_,Bental fee SSBC proposes to pay an annual rental fee to the City of $1.00 (one dollar). 5.5 TID Annual Charge As required by the City of Ashland, SSBC shall pay the annual Talent Irrigation District (TID) , , charge of $9000 +- for irrigation on the subject property_ 5.6_QO..f Fire.fro~on Fees SSBC shall pay the annual Oregon Department of Forestry fee for fire protection services in the amount of $1061 +-. 5.] Pro(lerty Taxes Also under the terms of the lease agreement, SSBC shall pay the annual property taxes on the subject property an approximate amount of $855. 1.2,Add,endJ.!lD~ Addendums NO.1 and NO.2, issued on June 10, 2010 and June 16, 2010 respectively, are acknowledged and attached hereto_ Conclusion The statements in this proposal are correct and truthful representations. SSBC acknowledges all details and provisions of the City's proposal process (Project 2009-12) and, if selected, will negotiate the lease agreement in good faith with the City of Ashland. To summarize, the Standing Stone Brewing Company (SSBC) is proposing a 2-year lease with the City for the site known as the "Imperatrice Property", a 265-acre portion thereof. SSBC intends to develop and operate a sustainable farm operation (closed loop farm system) to help support its restaurant and brewery; specifically livestock, beginning with chickens. To lease the subject property, SSBC proposes to pay an annual rental fee of $1.00 and pay the annual fees listed in the RFP for Project 2009-12, a grand total of $10,917 +-. In addition, the Standing Stone Brewing Company proposes a beneficial use of the Imperatrice Property as follows: . Utilize sustainability practices to operate a farm for the local production of food for the Standing Stone Brewing Company. SSBC Proposal for Beneficial Use of Imperatrice Property - Project 2009-12 Page 5 of 6 . Create a, benefit to the public by'reducing vehicle miles traveled via local production of food_ · Create opportunities to educate the public about the sustainable farm practice. . Maintain the natlJral appearance of the subject property. . Support the City's discharge of treated effluent from the City's wastewater treatment facility as is necessary_ · Comply with the City's stangards for environmental stewardship relating, to air quality, noise pollution, drainage and wildlife preservation. . Comply with all applicable regulations of both Jackson County and State of Oregon and obtain all requisiteperriiits from agencies. . Indemnify the City within the lease agreement provisions and provide general liability insurance naming City of Ashland, its elected officials, officers and employees as additional insured on the policy. :"bmz~~ ALEX AMAROTICO, President, Standing Ston~ BrewingCompany Date: b, - -z.. , - I 0 Cell: 1.54,1.840.8494 Email: alex@standingstonebrewing.com Consultant: George Rubaloff, Email: g,rubaJoff@gmail.com Cell:54n890-3273 ATTACHMENTS' (not counted: in the 6'pagelimitfo; p;oposal): 1, Addendum NO.1 (Projectll<: 2009-12) issued on June 10, 2010 2. Addendum NO.2 (Project#'2009-12) issued on June 16, 2010 3. Copy of Proposal Registration Form received by City of Ashland on June 8, 2010 4- Business Plan entitled Qper<1tj.QnsPlanJOLlbe5sB_C,CIQSedJ..QQPEaiJTl_S}'Stem, dated May 20, 2010 SSBC Prciposal for Beneficial Use of Imperatrice P;operty - Project 2009-12 Page 6 of 6 Page 1 of I CITY OF ASHLAND ADDENDUM NO_ 1 TO THE REQUEST FOR PROPOSALS FOR BENEFICIAL USE OF THe "IMPERATRICE RANCH" PROPERTY \ This addendum issued on this 1 Oth day of June, 2010, provides clarification to the Business Plan requirement shown under Secllon4,3 - BUSINESS PLAN, located on Page 16 of 19 In the distributed RFP, A. CLARIFICATION a, The Business Plan required to be submitted with the Proposal is to be included as a separate attachment. b. The Business Plan submittal will not be assessed against the Page Length Limitation of 6 total pages as defined under Section 1,5,1, located on Page 12 of 19 in the RFP, Acknowledge receipt of this addendum by attaching a copy to the Proposal as outlined under Seclion 1.2. QUESTIONS AND CLARIFICATIONS: iocated on Page 11 of 19 in the RFP. END OF ADDENDUM NO.1 Engiu.fu,g 20 E... Main SI>>e. A&.Ilblld,O"'gotl97S:JD ww'(,',a'i~!ar.d.ol,ll& T..t~1':4BB-3J47 Fu; 541-,:4S8-6008 TTY: 800;735.2900 Q~'ptb.wrll5'''I1Q.og,'2 Impf'r.alrlefo ?tOp.rl}'~_RFP. ADDEtIDUI~ NO I 6.6-10 dO(. https:lldocs.google.com/viewer?attid=O.l&pid=gmail&thid= 12927b21 d66adcc2&url=http... 6121120 I 0 Page 1 of 1 CITY OF ASHLAND ADDENDUM NO.2 TO THE REQUEST FOR PROPOSALS FOR BENEFICIAL USE OF THE "IMPERATRICE RANCH" PROPERTY This addendum issued on Ihls 16th day of June, '2010, provides further information regarding Addendum No, 1 as Issued on June 10, 2010, A, REOUIREMENT OF BUSINESS PLAN - CONFIDENTIALITY a, Required Business Plans submitted with a proposal shall remain confidential and will not be made available to the general public, Acknowledge receipt of Ihis addendum by attaching a copy 10 the Proposal as oullined under Section 1.2 - QUESTIONS AND CLARIFICATIONS: located on Page 110119 in the RFP, END OF ADDENDUM NO.2 Enginltt'flng 20 E. Malo SlfQlll Ashbnd, O~gon 1i17520 vlWA',eshlDr,d,OI,U1> 191: 541,,4S8,5347 FaK; 541-,488-6006 TTY: 800:735.2930 G:"pt.D-wrks'.ng'Oa,12 Impe mloo. ?l'Opflrt'i'A. Admjrl~on5 ;;fi' COIIIIIJCt'AFP , AOD;~I DUM tlO Z 6-15,10 doe https:/ldocs.google.com/viewer?attid=O.I&pid=gmail&thid= 12941 e608697763f&url=https_.. 6/19/2010 --~ ... . ,;) ;l ~ -;) :;; :;; ~. ;) :;; ;) :;) -;) ;) :;,} ;) '~ ~ :;,} ~ :;; ::J :;; ::J ::J J ::J ::J :;; ;J J :;; ~ ;;l ~ 'J J J J :I 'J 'J :I :I :I ~ ~ ':I ~ ~ ~ ':I ~ 0, ') City of Ashland RFP, Use ofhnpetatrice Ranch Property, Project 2009-12 Natural Light Proposal ~ :J ;J ~ ;) ;) CITY OF ~ ASHLAND ~ :J ;I ADDENDUM NO.1 :;; TO THE :;; REQUEST FOR PROPOSALS :;; FOR ~ BENEFICIAL USE OF THE "IMPERATRICE RANCH" PROPERTY ~ d d ~ This addendum issued on this 10th day of June, 2010, provides clarification to the d Business Plan requirement shown under Section 4.3 - BUSINESS PLAN. located on ~ Page 16 of19 in the distributed RFP. :;l d A CLARIFICATION d a. The Business Plan required to be submitted with the Proposal is to be ::;l included as a separate attachment. d b_ The Business Plan submittal will not be assessed against the Page Length ~ Limitation of 6 total pages as defined under Section 1.5,1. located on d Page 12 of 19 in the RFP. :? ~ d Acknowledge receipt of this addendum by attaching a copy to the Proposal as outlined ~ under Section 1.2 - QUESTIONS AND CLARIFICATIONS: located on Page 11 of 19 in d the RFP. d :;:;t :& END OF ADDENDUM NO.1 :& :& :& :& :& :;) :;) :# :# :# 'J :J :J 'J ~ Engineering 20 E. Main Street Ashland, Oregon 97520 WNW,ashland,or.us Tel: 5411488-5347 Fax: 541-1488-6006 TTY: 8001735-2900 ':) ~ ',J, :J ') G:\pub-wrks\eng\09-12Imperatrice Property\RFP. ADDENDUM NO 1 6-8-10,doc .~ ";) .;J ~ ;> ;; ~ ;> .J ;J ~ ~ ,;} ~ ;J ;;l ~ ;:;j ;:;j :~ ,:;I ::) .? ',:) ,? ::) ''? .? ')I '~ ~ ~ ~ :;;I ~ ~ :;} :;} :} 4 4 4 4 4 ~ ~ ~ "2 ~ '~ ~ "" ~ -") :" CITY Of ASHLAND ADDENDUM NO.2 TO THE REQUEST FOR PROPOSALS FOR BENEFICIAL USE OF THE "IMPERATRICE RANCH" PROPERTY This addendum issued on this 16th day of June, 2010, provides further information regarding Addendum No, 1 as issued on June 10, 2010, A. REQUIREMENT OF BUSINESS PLAN - CONFIDENTIALITY a_ Required Business Plans submitted with a proposal shall remain confidential and will not be made available to the general public, Acknowledge receipt of this addendum by attaching a copy to the Proposal as outlined under Section 1,2 - QUESTIONS AND CLARIFICATIONS: located on Page 11 of 19 in the RFP, " END OF ADDENDUM NO.2 Engineering 20 E. Main Street Ashland, Oregon 97520 www.ashland.or.us Tel; 541/488-5347 Fax: 541"4B8-6006 TTY; 800/735-2900 G:\pub-wrks\eng\09-12Imperamce Property\A_Admin\Cons Pre Contract\RFP - ADDENDUM NO 2 6.15.10,doc '~ ... ;) ~ ;) ;) ;) ~ ;;J ~ ;;J ~ '.;l ~-:; ~;:l ~~ ;~ ;;l ~ ;? ,~ :} ::;l :? ;~ :? :? :} :) ~ '~ -.:.- ? '? '-' :) ? :) ? ::} :) "ll "OJ :} ;) ;) :;) :;) :;) :# :,) :,) :# ') ') ') ') ? ,') Natural Light 745 Creek Stone Way, Ashland, OR 97520; caia@opendoor.com; 5415521198 TO: City of Ashland 6/25/10 REGARDING: RFP Response - Proposal for use ofImperatrice Ranch property, This proposal is being submitted by a collective of professionals under the leadership of Caia Cupito of Natural Light. ,Natural Light has a long history of planning, designing and implementing successful Public Enviromnental Education Projects, The rest of the team consists of Kerry KenCairn and Bonnie Bayard of KenCairn Landscape Architecture, Carlos Delgado Architect and GeoffDawson as a solar energy consultant. As a whole, the team is made up of individuals dedicated to the core concepts of sustain ability, environmental resiliency, and community well being, The team has proven long term skills in project development, grant writing, enviromnental education, exhibit design, graphic design for outdoor panels, building design, site planning, landscape architecture and project management. This proposal differs from the City of Ashland RFP in three distinct areas: 1. Project lease versus greater site opportunities Our intention with this proposal is to unite our site wide goals for the Imperatrice Ranch property to the more practical lease proposals you are receiving for ranching andlor farming, We propose to bring our team experience and vision to the task of creating a large scale long term site approach to this property, We would hope to have the City of Ashland assign the lease to one of the more traditional proposers, while allowing us to join them and take on the more long tenn goals described in this proposaL 2, Time Line To make this proposal and project feasible, and to allow fW1ders to see it as viable for the use of their resources our team feels that the lease duration should be a minimum of ten years with an automatic renewal of a second ten years with review, 3, Geographic scope Our proposal responds to the entire Imperatrice Ranch property, rather than just the area below the Till canaL We want to look at the upper property for the development of key line ponds, recreation trails, and park and picnic areas, City of Ashland RFP, Use oflmperatrice Ranch Property, Project 2009-12, Natural Light Proposal , , .. ;) ;) ;) ;) ;; '~ ';l ~ '~ :.; ;J ;J ;J ':;) :;) ,:;) :;) :. ':l :. :. :l ,;J :J '~ :J :J :::l ? .-.. :J :;. :. :? ? -;:.,1 :';l ? :! :J ~ :;, :;, ~ J :; ~ J :') :') ") ? ") 'l Below is a list of concepts we intend to incorporate into the planning for tbis project Concepts 6, 7 and 8 are proposed with the expanded geographic scope in mind, Resumes and more in depth infonnation for all the team members are attached in the Business Proposal. Concepts: I, Continued reservation for effluent land application. 2, Agricultural- fann, orchard, carbon fanning, holistic management The fann and orchard would be located on the lower piece ofland close to the Eagle Mill entrance, The first activity would be to improve the clay soil. The fann could produce fruits and nuts, grains"beans, vegetables, chickens, eggs and possibly other meat. 3, Solar and wind energy generation for the fannhouse and education center, 4, An educational center with exhibits to teach people about horticulture, gardening and pennaculture principles, as well as the various methodologies for living a more sustainable lifestyle, Outdoor exhibits will be designed to interpret all sustainable practices occurring on the land, pennaculture guilds, ponds, and habitats, We will incorporate an outdoor classroom and on site teaching for the training of fanners and gardeners, We envision an outside amphitheater for nature programs, plays and musical perfonnances. 5. A restaurant, book store and gift shop inside the education center. 6, Pedestrian trails, open space areas and passive park areas, and outdoor educational interpretive exhibits, working with Ashland Trails Assn. Trails could be developed as shown on the city's proposed pedestrian trails connections map and ultimately become part of a proposed Grizzly Peak Trail System, Areas with picnic tables and benches would be developed while respecting and preserving native plants and important natural features, 7, Preservation of environmental and ecological resources and native restoration, Native plants on site would be preserved and native plants would be restored, We shall use soil conservation measures and preserve, protect and enhance the riparian areas, The wetlands element will also be protected in accordance with Jackson Co Land Development Ordinances, 8, Water storage - a system of ponds and swales to collect and distribute rainwater, ciiy of Ashland RFP, Use oflmperatrice Ranch Property, Project 2009-12, Natural Light Proposal 2 ~ ;) ~ ;; ;J' ~ ;; ~ ~ ;;J ;;J ;;J ~ ;;:;l ~ ;;:;l ;;:;l ;:. ;~ ';;;4 ~ ~ ~ :';) ~ :? ;:i ;:;jl -~ ;;l J J ;;;4 ":) '. g d ,g ;) J :;} :;} 4 :4 :4 ~ ~ ~ J ~ '4 '4 ''J '~ j~j III the ,first 2-3 year time peri ad We eauld eampletethe site,maste'r plan, do. exhibit design far the educatian center and. autdaor panels, and appiy for grants to. build the pam:ls"trails, trail signage, educatiancellter, autdaar panels, and farinhause. We preferta team up With the future lease halder ofthis property, We would,pursue grants to. fund aur ideas that are af a greaterscape and scale thanafthe lease'halders. ' These ideas wauld benefit Ashland by providing emplaymcnt in the farm, archard, and educatian center, Recreatiantrails and interpretive signage and exhibits within the educatian cehter wauld educate, mativateand inspire iaeals and vi sitarS to. live mare simply ahd sustainably, The pands for water storagewauld be attractivc and functional. 'Increasing lacal faad security is a major benefit. Ex.isting native plants on site would be preserved and native plants wauld be planted. Riparian areas would be protected and restared, This projectcould position Ashland as a sustllinability madeland educatian destinatian, Peaple cauld came from other lacatians to. learrtpermaculture and sustainability skills, This will increase theecahamic b,enefits to. the.Citybecause travelers will need places to. stay and places to. eat while taking warkshapsand classes at tbeEducatianCenter. It would providefTesh organic lacal foad to. Ashland's residents and make us more resilient. Team responsibilities far, this project are'as faHaws: Caia Cupita will serve as ProjectCoordinatar; Graphic,Designerfarailtdoa'r education panels and Educatian Centerindo.arexhibits~ KeI1y KenCairrt and Barmie Bayard will be responsible far develaping the averall site master plan. Master Planning includes: site circulatian, detennihing the best lacatian far lJuildings,amenities, inassingand other site infrastructure, Carlos Delgado is the project Architect, his focus will be an the designafthe educatianal center, the, farm dwelling, and ather site structures, ' GeoffDawsan with Alternative Energy Systems will serve as a salar energy cansultant. If the lease is granted to. a propaser that is nat fanning, we have several aptians far organic farmers to. jain aurteam, Same af the cancepts mentianed are presented in mare detail an the fallowing pages. Sincerely, c~ Caia Cupita ~/~ City of Ashland RFP, UseofImperatrice Ranch Property, Project 2009-12, Natural Light Proposal 3 '~ ... ;;l ;;l ';) ;;l ;;;l ;;;l ;;;l :;J ;;;l ;;J ;;;l ;;J ;) ~ ;J d ;) ~ ;,:) ~:) ,~ ~. :c? -.~ ~ ~? ;:) ::;\ ,-:) :4 ;) ;;l ;,. .? ~ :;? ~ :? ~ '.- Keyline Ponds: Keyline pondplannmg;is w'orking with the land and making the most of the water which falls on it After mapping the ridge contours, or.ke~lihes, where maximum rainfall gathers, a dam is built, with a. system of channels to spread the water around the property, Key line planning works from the natural shllpe of the .land and.'howthe water flows. The objectis ,to getthe surplus water that flows off the landredistributed into the land to bUild soil, to build organic matter, and build fertility as abiisiSfor sustainable farming, Excess a1:n1ospheric carbon dioxide levels and consequent weather instability are the primary threats to hutnanity's future, Newtopsoi! can be created sitnplyand quickly, Carbon, sequestration through the rapidformation of high organic l1lalt~r topsoil is,the,backbone of a strategy, to reduce atmospheric carbon dioxide levels to pre-industrial leVels within, a decade. If the American people were to restore the soil fertility of the Great Plains that we have destroyed in the last 150 years, atmospheric levels of carbon dioxide'would be reduced to near precindustrial, levels, !tis estimated that the prairies of North Atnerica once had about 15% carbon stored in the topsoil. That is' now down to about 3% thanks to destrt.lctive agriculture techniques, Keyline and other techniques applied on a mass scale in the prairies alone would significantly slow global wa"!ling.lfwe can get fannland around the world uplO 10% carbon storage we would feed countless ,more people while fighting global warming, Keyline ponds contribute to the big debates of our day of water in the landscape and carbon, and howwe deal with the carbon problem .;- with climate change. The Keyline system was andis still critically relevant to those issues, andis influencing work in North America and in many other cOuntries. Most of the key line ponds would be above the Talent irrigation canal, along with recreation trails and conservation and restoration plantiugs. Carbon Farming: co, co; _ Pl..cRt.prlllion ~~ ~ ~ ~ ~ :;} ~ ~ ,~ A :8 .~ ''21 ''.d l~ "4 ""- ""'~ Tla.ru:port ~Sllllfrif:rc r,;ippIng Keyline Ponds Concept , City of Ash]and RFP, Use of]mperatrice Ranch Property" Project 2009-]2, Natural Light Proposal 4 ~ ~ ~ ~ ~ .;l ;. ;;J ;:.;< ;;J ;;l ;:l ;:;. ,:;} ~~ \? ;J ? .? d .? :? ::;4 ~? ,? ,? :? :? ~? :? ';? :':;l' <....- 8 3 :2 3 3 2 d 'A ~-' :;) ~ :1 4 :I ~ ~' 'J 'J ~ ~ ~ "J ':j Our Ashland fann could be a member of Carbon Farmers of America (now ,called New Soil Security), This company trains, equips, scientifically monitors and provides ongoing support to meniber fanners across America, to rapidly create new, high organic-matter topsoil. Their company is structured in such a way that cvery member farmeds a research sCientist, contributing critical data and insight into the worlds largest controlled research project on topsoil formation. With'their member fanners, they carefhlly reCord the process of soil building on each funn, and scientifically monitor the carbon levels in their soils each year. The experts agree: only soils can ,sequester significant amounts of atmospheri.<; carbon in the next 30 years. Carbon Sequestrati.on in soil and. vegetation is a bridge to the future. It buys us time while altematives to fossil fuel ta:ke effect. The Marin Carbon Project is an eiall1ple ofa fann on the'west coast practicing, monitoring and researching carbon fanning, Further strategies for rapidly growing new topsoil includ\:: * Biological ~ubsoilil1g (using,root crops and deep'lap-rooted pllll1ts) '" Composting . '" Microbial inoculants and stimulants '" Pa~ture cropping/double cropping '" Charcoal soil amendments '" Paramagnetic rock dusts * Biodynamic preparations '" Soil mineral testing and balancing, rock dusts. and sea minerals ' .. Cover crops, green'manures,mulches * Seaweed products '" Recycled greell wa,stes '" BiosolidS, huinic substances, earthworm re"introduction Our concept for the fann and orchard includes: ,fruit and nut trees, vegetable crops, grain and bean crops, chickens and eggs. Rotational animal practices could be.inclJided. Scoring Criteria 4,1 Sustainability (20 Points) - The Farm aildEducation Center (an organicfann, orchard and education center) will use solar and/or wind tp power the energy needs, of the farmhouse and education center, AgriculturaHood production and increasing Ashland's food security are priority goals, The entire projeCt will model and teaeh locals and viSitors to live more simply and sustainably. We will be storing carbon in the soil and trees, thereby reducing carbon in the atmosphere. Thekeylinc system of ponds will conserve, store and redistribute rainwater and the city'.s wastewater treatment effluent. Sustainability education ,viII be a, big part of this project. 42, Public Benefit (J 5 Points) - Public park area with picnic tables and benches and pedestrian trails along the Till canal and above and below the TID canal. Pedestrian trails, open space areas and passive park areas, and outdoor educational and interpretive signage, hopefuljy working with Ashland Trails Assn. Trails could be developed as shown on the city's ' proposed pedestrian trails connections map and ultimately become part of a proposed Grizzly Peak Trail System. Bicycle and equestrian trail feasibility would be studied. City of Ashland RFP. Use of Imperatrice Ranch Property, Project'2009-12"Natural LightProposal 5 4.3. Business Plan (10 Points) see attachment. 4.4 Environmental Stewardship (25 Point) - Sensitive and wildlife preserve areas will be protected and preserved and more native plant restoration will occur. There will be no uses that create air pollution from road dust or from any manufacturing process, We will not generate noise pollution or other forms of pollution. Soil erosion and storm runoff will be strictly controlled and down slope silt depositions will be acceptably contained on the site. 4.5. Wastewater effluent Use (19 Points) - The City's wastewater treatment plant effluent would be welcomed on this site and would be very useful. 4.6' Adherence to Jackson County Land Development Ordinances (20 points)- Applicable Ordinance JACKSON COUNTY DEVELOPMENT ORDINANCE FOR EFU LANDS Fann Use ORS 215.203 OAR 660-033-0120 Allow Outright Buildings other than dwellings In conjunction with farm use ORS 215,283(1)(f) ORS 215.283(1)(u) Allow w/Review Facility for Processing Farm Use Allow Outright Farm Dwelling ORS 215,283(1)(f) Allow Outright OAR 660-033-0120, 0130(1), (30) & 0135 Accessory Farm Dwelling Allow w/Review ORS 215.277-278 and 215,283(1)(f) OAR 660-033-0120, 0130(4) & 0130(4)-(d) & (30) Public Parks and Playgrounds Allow w/Review ORS 195.120, 215,283(2)(d) OAR 660-033-0120 & 0130(5) & (31) & 660-034-0035 & 0040 ' Outdoor Gathering <3,000 persons Allow w/Review ORS 197.015(10(d) & 433,735 . OAR 660-033-0120 & 0130(34) BUlL DING PERMITS Dwelling Customarily Provided in Conjunction With Farm Use (Farm Income Standards) General Review Criteria New Dwellings Wildfire Safety Standards/Emergency Vehicle Access LDO Section 4,2.6(C)(3) LDO 4.2.3 LDO 4,2.6(A) LDO 8.7 & 9.5.4 City of Ashland RFP, Use oflmperatrice Ranch Property, Project 2009-12, Natural Light Proposal 6 Memo CITY OF ASHLAND Date: From: To: July 1, 2010 ~ James H, Olson , Imperatrice Ra~FhL FP Review Team REVIEW OF pRQlPOSALS RECEIVED FOR THE BENEFICIAL USE OF THE "IMPERATRICE RANCH" PROPERTY Re: On June 29,2010, formal proposals for the Beneficial Use of the Imoeratrice Ranch Prooertv were received from: . Standing Stone Brewing Co. . Natural Light Both proposals were submitted in accordance with the requirements set forth in the formal request for proposal (RFP) distributed on May 28, 2010. The proposals must now be scored and ranked according to the scoring criteria included in the RFP. To assist in the scoring process, the following items are provided: . Proposal and confidential business plan from Standing Stone Brewing Co, . Proposal and confidential business plan from Natural Light . Scoring sheets for each proposal . Request for proposal document Please review each of the proposals as to how well the proposal addresses the six scoring criteria listed on Page 16 of the RFP. A numerical value should be given for each of the scoring criteria with written comments to support the assigned score. The review process should be conducted individually and independent of other team members. The completed scoring sheets should then be signed, dated and returned to Jim Olson by July 22,2010. If you have questions, please feel free to contact me at 541 552-2412 or email at olsoni@ashland,or.us. ENGINEERING DIVISION 20 E, Man Sueet Ashland OR 97520 www.ashland.or.us Tel: 541/466-5347 Fax: 541/468~06 TTY: 600n35-2900 Jr~. ..." G:\pub-wrks\eng\09-12Imperatrice Property\A_Admin\Cons Pre Conlract\Proposal Review memo to Team 7110,doc CITY OF ASHLAND BENEFICIAL USE OF THE "IMPERATIVE RANCH" PROPERTY PROPOSAL SCORE SUMMARY Project No. 2009-12 Date: 8/9/10 - - Evaluation Team: James Olson Morgao Wayman Greg Jones PROPOSER TOTAL RANK SCORE Standing Stone Brewing Co. 205 1 Natural Light 200 2 G:\pub-wrks\eng\09-12Imperalrice Property\A_Admin\09-12 Proposal score summary Standing Slone 6 30 I{),doc Pagclof6 CITY OF ASHLAND TECHNICAL EVALUATION SHEET Project Number: 2009-12 Project Name: Beneficial Use of the "Inmerative Ranch" Property Proposer: .standing Stone Evaluator [print]: Date: 6/30/1 0 Criteria Pass or Fail , I The proposal or requested information was received by the required due I date and time. (June 29, 2010 2:00 p.m,) P Criteria The correct number of proposals is included (6) Retluired Ok Criteria Deduction Addendum acknowledged by attaching to proposal. 3-point deduction is not included. 0 G:\pub-wrks\eng\09-12 Impcratrice Property\A_Admin\09-12 Proposul score slImmary Standing Slone 6 30 IO,doc Page 2 of6 CITY OF ASHLAND EVALUATIQN/SELECTION SCORING SHEET ,KProposal Evaluation Project Nuhlber: 2009- 12 Interview Evaluation Project Name: Beneficial Use of the "Impci'ativc Ranch" ProperlY Propnser: StaildiilliStone Brewing Co, Evaluator [print]:, James'Olsbn Date: 7/1/10 CERTIFICATION: I do nothave any conflict orinterest with any proposerrcspondingto this RFP, A conflict of interest may inc,lude any family members presently associated with a proposer, or any fInancial relatiooships with a proposer (does not include past employment), I have read and rated the proposals independently, am! without interference or pressure from anyone, I have not had conversation or other contact with any of the proposers concerning this RFP since it was issued. Ihave, noted any potential conflicts or concems on this form. Evaluators Signature: Note To Evaluation Tea embers: The comment section below each scored criteria MUST be used tojustify your scores with reasous and examples/explanations regardleSs ofthe score assigned. Scoring and comments must only be based on the criteria stated in the solicitation and the responses submitted in response. Use commenrsection to justify Your score,s with reasons and specific examples as necessary. These are public record and will be, shared with consultants as reqnestedduring debriefings. - " . . ". ,.(. . " ~ " - ~.~€RiTERIA' ..' " . , ,.' : SCORE - . -, .. . '. - ", .. " , ,..ie,' .. ......,....,,,.. -, (Max, possible score 1201 points) 4.1 Sustainability Demonstrate the sustainabl~ use of energy or resources in the development and operation of the Ill__ proposed project -- Comments: . Reduction in vehicle miles (minor), " '.- . Recycling- rest. food waste used for animal tced,(good) . Employment (minor) ',' . Education (minor) , Several good Dossibilities,under this D1'oDosal " , . - - , - .. , . , , , . (]:\pub-wrks\el1g\09~12 11IlJlcrotrkc Propcrt}~A_Admin\(j9-12 P~)posal scqrc SUlIl!nary S~andillg Stone 6,-30 IO,doc Page 3 or 6 (Max, possible score 1151 points) 4.2 Public Benefit Demonstrate how a public benefit may be derived from the Project in the fom! of recreational opportunities, open space utilization, trail systems or other uses. Comments: Public benefit is rebalances - The main com ractices and sustainabili 7 (Max. possible score 1101 ooints) Does not include an 0 ortunit for trails, 0 en s ace etc. :., 4.3 Business Plan Business plan must clearly identity required development capital and anticipated profits and expenses for all phases of development, and must indicate a financial benefit to the city. Comments: Business Ian is ve clear and thoroll h JO -- Ci:\pub-wrks\eng\09-12 Imperatrice Property\A _ Admin\09-12 Proposal score summary Standing Slone 6 30 IO,doc Page 4 of6 (Max, Dossible score 1251 Doints) 22 -- 4.4 Environmental Stewardship Demonstrate that the project development encompass strong elements of environmental stewardship. Comments: Farm 0 e erosion (Max, Dossible score 1101 Doints) o erations will have some im 4.5 Wastewater Effluent Use Demonstrate how and to what extent the proposed project could utilize the effluent discharge from the city's wastewater treatment plant. Comments: Pro' ect does not 1'0 ose an use of effluent. 5 -- O:\pub-wrks\coj;\09-12 Imperntrice Property\^_^dmin\09-12 Proposal score summllry Stllnding Stone 6 30 lO,doc Page 501'6 5 -- (Max_ Dossible score 1101 Doints) 4.6 Adherence to Jackson Co. Land Development Ordinances Demonstrate com liance with cun-ent Jackson Count Land Develo ment Ordinances, Ma re uire a coun ublic heal-in for construction of buildin No roof or co ies of LOa rovidcd Max Possible 90 TOTAL SCORE 67 G:\pub-wrks\eng\09-12Impcratricc: Property\A_^dmin\09-12 Proposal score summary Standing Stone 6 30 IO,doc Pllge 60f6 CITY OF' ASHLAND EVALUATION/SELECTION SCORING SHEET. XProjX>sal Evaluation Interview Evaluation Project Number: 2009.12 Project Name: Beneficial Use of the "Imoeratrice Ranch" Provertv Proposer: STANDING STONE BREWING CO~ Evaluator: Morgan Wayman Date 7/19120.10 CERTIFICATION: I do not have any conflict of interest wi)h any proposer responding tc> this RFP, Aconflictof interest may include any family members presently assqciated wit,h a proposer, or, any financial relationships with a proposer (does,not include past employment).! have read and'rated the proposals independently, and without interference or pressure from anyone; I havc ,not had co sation ur other contact with any ohhe proposers concerning this RFP since it IVas issued, I have not ny potential conflicts or concerns on this form. Evalmttors Signllture: A Note To EVllluation Team ent section below each scorell criteria MUST be used to justify your scores with r s s'lInd examples/explanations regardless of the sc'ore:assigned. Scoring lInd comments mnst only be based on the criteria stat~din thc solieitationand the responses submitted in response. Use comment section to justify your scores with rellsonsandspeeific examples as necessary. These are public rec(lrd and will be;shared with consultants as requestedduring,dcbricfings, ; . SCORE CRITERIA . " , {Max. Dossible score [201 Doints} 4.1 Sustainability 12 Demonstrate the sustainable use of energy onesources in the development and operation of the proposed project. Comments: Standing Stone Brewing Coinpa'iy'(SSBC) presents a proposal that does demonstrate the sustainable'use of some resources relative to the final operation of the proposed project. Their plan to produce a closed-loop farming system for the production of meat for their restaurant located in Ashlalld will further reduce their currently low. carbon footprint. Another part of the plall involves the sustainability practice of recycling food scraps to feed the livestock at the farm, Their proposal would also produce some locllljobs as well as create the potential for educational opportunities to the community relative to Farm Education Programs. They do not clearly address any sustainable uses of energy during projeCt development. C:\DOCUME-l\waYIllilnm\LOCAl~C;;-I\Tcmp\..XPgrpwisc\Slanding Stone - Imperalri,e . Proposal Score ~ununary,doc 5 Pagc'2 of , (Max, possible score 1151 points) 4.2 Public Benefit 6 Demonstrate how a public benefit may be derived from the Project in the form of recreational opportunities. open space utilization, trail systems or other uses, Comments: SSBC identifies some public benefits that would result from the operation of a closed-loop farm system. These include reduced vehicle miles, education and an operation that is inteuded to be funded and maintained entirely with private dollars thereby avoiding costs to the public. Also, their plan will not adversely affect the natural appearance of the land as it currently exists. While these points are somewhat in alignment with the intended use of the land, it doesn't " . appear as though there will much direct benefit to the public such as in the form of . recreational open space. , I (Max. DOssible score 1101 points) 4.3 Business Plan 5 Business plan must clearly identify required development capital and anticipated profits and expenses for all phases of development, and must indicate a financial benefit to the City, Comments: SSBC provides a carefully developed and very detailed/comprehensive Business Plan with their proposal. An important outcome of the analysis provided seems to indicate that SSBC's costs will increase and their profit margin will decrease substantially as a result of implementing the project and the only benefit to them will be realized in their desire to reduce their carbon footprint and create a closed-loop farm system. There were 2 Scenarios presented and each seems to require the substantial raising of meal prices at the restaurant to fund the development of the project; This may well be possible, however it is difficult to see how this is a benefit to the consuming public. The financial benefit to the City would only come in the form of SSBC ahsorbing the current cost of maintaining the yearly TID charge of $9000, the yearly tax burden of $855 and the ODF Fire Protection Fee annually charged at $1061.00. They are olTering to pay the City a rental fee of $1.00 ner vear. " : C:\DOCUME-I\waymanm\LOCALS-I\Temp\XPgrpwise\Standi(lg Stone - Imperalrice. Proposal Score Summary,doc 5 Page 3 uf (Max. possible score 1251 points) 4.4 Environmental Stewardship 2S Demonstrate that the project development encompass strong elements of environmental stewardship, Comments: SSBC's plan to create a closed-loop farm system addresses the City's desire for Environmental Stewardship by preserving the current appearance of the land, not creating any noise or dust pollution, maintaining and improving soil conditions on a continuous basis and by not adversely affecting the natural wildlife currently existing on the land. .., . (Max. possible score 1101 points) 4.5 Wastewater Effluent Use Demonstrate how and to what extent the proposed project could utilize the effluent discharge 6 from the City's wastewater treatment plant. Comments: SSBC's proposal does not address how the project could utilize the City's potential distribution of wastewater effiuent. However, their project would not preclude the City form being able to so , -',', ',. ',.... , ,." , , , ' (Max, possible score 1101 points) 4.6 Adherence to Jackson Co. Land Development Ordinances Demonstrate compliance with cllrrent Jackson COllnty Land Development Ordinances, 9 Comments: SSBC's proposal adequately addresses and appears to adhere to the current Jackson County Land Development Ordinances. Further analysis may be necessary as the project develops and the potential construction of temporary structures may require submittals to C:\DOCUME-l \waymunm\LOCALS-I\Tcmp\XPgl'pwisc\Slanding Slone - Impcralricc - Proposal Scm~ Sunmlury,doc 5 Page 4 of the County's Planning Department. TOTAL SCORE 63 C:\DOCUME-l\waymanm\LOCALS-I\Tcmp\XPgrpwisc\Slanding Slone. Impcmlrice . Proposal Score Summary,doc 5 Page 5 of CITY OF ASHLAND EV ALUA TlON/SELECTlON SCORING SHEET X Proposal Evaluation Project Number: 2009-12 Interview Evaluation Project Name: Beneficial Use ofthe "Imperative Ranch" Propertv Proposer: Standing Stone Evaluator [print]: Gregory V_ Jones Da!e July 20, 201 0 CERTIFICATION: I do not have any conflict of interest with any proposer responding to this RFP. A conflict of interest may include any family members presently associated with a proposer, or any [mancial relationships with a proposer (does not include past employment)_ I have read and rated the proposals independently, and without interference or pressure from anyone. I have not had conversation or other contact with any of the proposers concerning this RFP since it was issued. I have noted any potential -;~~-=~ Evaluators Signature: ~ Note To Evaluatiou Team Members: Tbe comment, section below eacb scored criteria MUST be used to justify your scores with reasous aud examples/explauations regardless of the score assigned. Scoring and comments must only be based on the criteria stated in the solicitation and the , responses submitted in response. Use comment section to jnstify your scores with reasons and specific examples as necessary. These are public record and will be shared with consultants as requested during debriefings. ' , , CRITERIA SCORE (Max. possible score 1201 points) 4.1 Sustainability 16 Demonstrate the sustainable use of energy or resources in thedevelopment and operation of the proposed project Comments: SSBC's proposed farm use captures the goal of the buy local movement and is a strong aspect of the three goals of sustainability ... environmental, social, and economic. The portability of the operation, the reduction of vehicle miles, and waste recycling are each very important components of increasing their bnsiness sustainability at the same time doing something that is functionallv appropriate for the nronertv. C:\Temp\XPgrpwise\09.12 Proposal score summary Standing StQne.doc Page 3 of6 (Max. oossible score IISI Doints) 4.2 Public Benefit Demonstrate how a public benefit may be deriv,ed from the .l;'roject in the form of recreational 15, opportunities, open space utilization, trail systems or other uses. ' , Comments: SSBC's proposed fann use apparently will be leaving much of the property as open space for park and/or trail development However, no map was provided for the area that SSBC intends to use, therefore it is unclear over how much area and where their activities will be, SSBC's intention of providing some form of in-house and oli-siteeducational opportunities would nrovide some nublic benefit through more awareness of sustainable f",min" nractices. . , " .. . . (Max. oossible score n01 ooints) 4.3 Business Plan ' , " 8 Business plan must clearly identifY required development capital and anticipated profits '!Dd expenses for all phases of development, and must indicate a fmancial benefit to the city. Comments: I am not qualified to fully assess a business plan for this property and will only speak to my general feelings about it_ Overall I question the proposer' sability to have a short term lease such as this be an economically sustainable component of their business_ In general the propOser appears to have fleshed out their costs very well, covering both development and operational expenses_ However, beyond the savings of approximately $1 1000 in TID fees, ODF fees, and property taxes I see no additional fmancial benefit to the City_ My score on this criterion only comes from the well thought out assessment by SSBC on how the proposed use frts with their business, its costs and long-term Dotential economic benefit. C:\Temp\XPgJp\\ise\09-12 Proposal score summmy Standing Stone,doc Page 4 of6 (Max. possible score 1251 POints) 20 4.4 Environmental Stewardship , Demonstrate that the project development encompass strong elements of environmental stewardship. Comments: SSBC's proposed use has minimal environmental impact, with low airborne, noise, and wildlife impacts to the property and surrounding area. The small footprint that they claim to need (not shown on a map) along with the portability of the operation would also lower the potential impacts, Furthermore some activity on this land could have significant benefit to improving the soil~e~. vegetation through better management than is currently being done to the unused orooe . (Max_ oossible score nO! ooints) 4.5 Wastewater Effluent Use Demonstrate how and to what extent the proposed project could utilize the effluent discharge 7 from the city's wastewater treatment plant. Comments: SSBC's proposal does not specifY the use of the wastewater effluent in the direct operation of the facility. However, their small footprint leaves the majority of the property open for the aDolication of the effluent if so aODToved and developed. , C:\Temp\XPgrpwise\09-12 Proposal score summary Standing Stone,doc Page 5 of6 9 (Max_ oossible score 1101 points) 4.6 Adherence to Jackson Co. Land Development Ordinances Demonstrate comnliance with current Jackson Countv Land Develooment Ordinances. SSBC's proposal for fannuse mostly results in relatively simple non-discretionary staff review for the operation. However, they mention that some of the temporary structures might require Type 2 discretionary review and public comment. This could be an obstacle, but given the I nortabilitv and small foomrint of the orooosed operation they should be defensible bv SSBC. Max Possible 90 TOTAL SCORE 75 C:\Temp\XPgrpwise\09~ 12 Proposal score summaJy Standing Stone,doc Page6of6 , :\ '1\ ii '"";,,c,t f C.al;c.ade , <~f lfilJ~' f,nvironmenta\ /~~,r'-' 6teograpnic.l; :,11 ;: Gregory V. Jones, Ph.D. 641 Faith Avenue Ashland, OR 97520 Tel: 541-552-9192 EmaiI:ceg@ashlandhome.nel Jim Olson, PLS Engineering Services Manager City of Ashland 51 Winburn Way Ashland, OR 97520 Wednesday, July 21,2010 Dear Mr_ Olson, Included with this letter are two proposal score summaries for the RFPs received by the City for the "Beneficial use of the Imperatrice Ranch Property" as requested. In addition, below is a general evaluation of the RFP and the challenges to a potential successful lease operation between the City and any interested party. First, it is clear from the RFP that the lease duratio'n oftwo years is severely limiting to any leasee's ability to be financially successful. With over $11000 in annual basic costs to use the property along with any infrastructure development costs and operating expenses, I see this is as a non starter for many potentially good uses for the property_ This is further evidenced by the fact that only two proposals were received by the City for this RFP. Furthermore, only one of them is really a proposal to actually conduct a , venture on the property, while the other is an offer to work with whoever is awarded the lease_ Therefore my scoring on the two RFPs should not be viewed as equal, the Standing Stone proposal is clearly applicable and scored as such, while the Natural light proposal is conceptual and scored as such. If the City must award the lease based upon this RFP, then only the Standing Stone proposal is complete enough and fits the purpose of the beneficial use of the property. However, the dty should request from SSBC further evidence ofthe exact area of the property to be used, how water will be accessed, and how composting and other activities will affect the neighbors. Overall the review of these proposals leaves me questioning the worth of this RFP process and whether the City really wants to engage in a creative, community beneficial, and sustainable use for the property. Overall I recommend that the City rethink the lease duration and conduct an RFP that might attract numerous worthwhile proposals. Please feel free to contact me anytime if you have any additional questions. Sincerely, Gregory V. Jones, Ph,D. CITY OF ASHLAND BENEFICIAL USE OF THE "IMPERATIVE RANCH" PROPERTY PROPOSAL SCORE SUMMARY Project No. 2009-12 Date: _8/9/10_ Evaluation Team: James Olson (SSBC - 67) (NL - 65) Morgan Wayman (SSBC - 63) (NL - 62) Greg Jones (SSBC -75) (NL - 70) PROPOSER TOTAL RANK SCORE Standing Stone Brewing Co. 205 1 Natural Light 197 2, . ~ G:\pub-wrks\eng\09-12 Imperatrice Property\A_Admin\09-12 Proposal score summary Standing Stone 6 30 IO,doc Page I of6 CITY OF ASHLAND TECHNICAL EV ALVA nON SHEET Project Number: 2009-12 Project Name: Beneficial Use of the "Imperative Ranch" Property Proposer: .Natural Light Evaluator [print]: Date: 6/30/10 . Criteria Pass or Fail The proposal or requested infomlation was received by the required due date and time,-(June 29, 2010 2:00 p.m.)' P Criteria The correct number of proposals is included (6) Reouired Ok Criteria Ded Detion Addendum acknowledged by attaching to proposal. 3-point deduction is not included. 0 G:\pub-wrks\eng\09-J2Imperatrice Property\A_Admin\09-12 Proposal score summary NnttlTal Light 6 30 IO,doc Page 2 of6 CITY',OF ASHLAND ,EVALUA nON/SELECTION SCORING SHEET X Pro[JOsill Evaluation Project Number: 2009-12 Interview Evalllation Project Name: Beneficial Useoflhe "Imperative Ranch" PropertY Proposer: Natural Light. Evaluator [print]: ,,_J~m~,s,Qhm!- Date: 7/6/10 CERTIFICATION:] do not have any conflict of interest with any proposer resp()flding to this RFP, A conflict of interest may include any f3liiily members. presently associated witll a proposer, or any financial relationships with a proposer (does not include past employment). I have. read and rated the proposals independently, and without interference or pressure frool.anyone, I have noth,id conversation or oth,er contactWith any of the proposers conceniing this'RFP since it was issued,] have noted any potential conflicts orconcefns on this form, Evaluators Signature: Note To Evaluation Team, mbers: The commen!,section below each scored criteria MUST be used to justity your scores with reasons and examples/explanations regardless of the score assigned. Scoring and comments mu.t only be b.asedon the criteria stated in. the solicitation and the responses submitted in response. Use commen't section tojustity yonrscore. with reasons and specific examples as necessary. These arc public record and will be shared'with consultants as, req lIestedd uring debriefing.. .<''t- , . -- '1; , .......' ... IT",. CRITERIA " - . """';;'. SCORE' " "',,. t' ", " " . ~, . . '.. -- (Max. possible score 1201 Doints) 4.1 Sustainability Demonstrate the sustainable use of energy orlesourees in the development and,operation of the ]8_ proposed project. - Comments: Very good effort, Uses solar for wind nower - education is a big element. , " , .., Slight reduCtion' in scorin~ due to rebellious ttmdi"" . . " : . -... ,.. ,,' . ' " . " G:'pub~\\Tt{s\cng\()l}.121mperatrict: Prripcrty\A Admin\09-12 ProposalscQre sUlllmary Nntural Light 6 30 IQ,doc - Pllgc3of6' (Max, possible score 1151 points) 4.2 Public Benefit Demonstrate how a public benefit may be derived from the Project in the form of recreational opportunities, open space utilization, trail systems or other lIses, Comments: Public benefit is positive but again is dependent upon a master nlan and fundinv !mints, Goals is good but final outcome is may be different. ,','~ ", (Max, possible score 1101 DOints) 4.3 Business Plan Business plan must clearly identify required development capital and anticipated pro tits and expenses for all phases of development, and must indicate a financial benefit to the city. Comments: The business nlan reouires the full use of the 840 acres with a 101mI' lease term than was DOssible under this proposal. Again funding is not secure, G:\pub-wrks\eng\09-12 Imperatrice Propcrty\A _ Admin\09-12 Proposal score summary Natural I .ight 6 30 IO.doc Page 4 of6 13 Ii. " li:,'..i'.':: ." '::' .--""" '., ":'.'. ',:.i:..::......., .' ',.,;, "', ,,'.." '.. . " . o -- I,:;" ....,..,.,:" ":'<--..',:...,'. t':;i;: '.'.......:",.:......'<'..' , , ,.'" "'.' '>,. ........,;: '--" . Ii:.' :*:: · ~ ,..' '. . '--., (Max, oossible score 1251 ooints) 4.4 Environmental Stewardship Demonstrate that the project development encompass strong elements of environmental stewardship. Comments: Sensitive occurs to be reserved and rotected but ma assure use of fall 840 acres No manufacturin or ail' ollution road dust. Does not s ecif how road dust will be eliviated, Run off to be controlled, 23 -- (Max. oossible score 1101 ooints) 4.5 Wastewater Effluent Use Demonstrate how and to what extent the proposed project could utilize the emuent discharge from the city's wastewater treatment plant. Comments: No s cific Ian for use but does state that it would be welcome and ve useful. G:\pllb.wrli.s\eng\09~12Imperatrice Property\A_Admin\09-12 Proposal score summary Naluml Light 6 30 lO.doc Page 5 or6 6 -- 5 -- (Max, possible" score 1101 points) 4.6 Adherence to Jackson Co. Land Development Ordinances Demonstrate com liance with current Jackson Count Land Develo ment Ordinances, Does not indicate that an contact was made with Jackson Co, Max Possible 90 TOTAL SCORE 65 , G:\pub.wrks\eng\09-12 (mperalricc Property\A~Admin\09.12 Pmposal score summary Natuml Lighl 630 ] O.doc Page 6 of6 CITY OF ASHLAND EVALUATIONISELECTION SCORING SHEET :Ii Proposal EVa!uation Interview Evaluation Project Number: 2009-12 Project Name: Beneficial Use. of the "Tmoeratrice Ranch" Prooertv Proposer: NATURAL LIGHT Evaluator: Morgan Wayman Date 711912010. CERTIFICATION: I do not have any conflict of interest with any'proposer responding to this RFP, A conflict of interest may include any family members:presently.associated with a proposer, or any' financial relationships with a proposer (does.not include past employment), Ihave read and rai~d the, proposals independently, and without interference or pressure from anyone, T have not had conversation or other contact with any ofthcproposers concerning this RFP since it was i'sued, I have notc y potcntial conflicts or concerns on this form. Evaluators Signature: Note To Evaluation Team 1 m ers: The eo ntsection below each scored criteria MUST be used to justify your scores with reasons and examples/explanations regardless of the SCore assigned. Scoring and comments must only be based on the criteria stated in the solicitation and tbe responses submitted in response.. Use commentsectiontojustify your SCOl'eswith reasons and specilic examples as necessary. Thcse are public reCOrd and will be~hared with consululllts as requested during de briefings. '. , CRITERIA SCORE '. . " (Max, oossible score [201 DOints) 4.1 Sustainability 8 Demonstrate the sustainable use of energy or resources in tl)e development, and .operation of the proposed project. Co:mment.lf: Natnral Light proposes the use' of solar allll/(Jrwindpllwer to supply the energy needs of their proposed farmhouse. and education center. This addresses the slIStainable use of energy after development but not neceSsarily durin'g,development. .. . I I I I I I I , i C:\DOCU1\'1E:";I\Wllymanm\LOCAI...,)-1\Tcmp\XPgrpwl~e\NalUrnl Lighl - Impcratrke - Proposal Score Summllry.dcK: 5 Page 2 of . (Max, Dossible score nSl ooints) . 4.2 Public Benefit 13 Demonstrate how a public benefit may be derived from the Project in the form of recreational opportunities, open space utilization, trail systems or other uses. Comments: Natural Light is proposing as part of their land use development; public park w/picnic tables and beuches, pedestrian trails along the TlD canal, open space areas and passive park areas as well as outdoor educational and interpretive sign age. . ". '. (Max, Dossible score nOI ooints) 4,3 Business Plan 0 Business plan must clearly identify required development capital and anticipat<<d profits and expenses for all phases of development. and must indicate a financial benefit to the City, Comments: Natural Light does describe the items and preliminary budget amounts to develop their . proposed project with the vast majority of the funding to be contingent upon obtaining potential grant money. This would seem to indicate that the viability of the project is almost entirely depeudent npon the ability to acquire the grants; which is a significant "unknown" at this juncture. They do not clearly identiry in a comprehensive way any anticipated profits and expenses. This makes it dirticnlt to accurately assess the quality of their business plan. They also indicate the need ror a minimnm 10 year renewable lease which does not match the 2 year requirements or the RFP. Their proposal indicates a project that would necessarily need to encompass the entire lmperatrice property instead '.' of the 265 acre limitation called roc in the RFP. '.' C:\DOCUME-l\waymanm\WCALS-I\Ttmp\XPgrjlwise\Natural Light - Impernlrice - Proposal Score Summary.doc 5 Page 3 of (Max, possible score 1251 points) 4.4 Environmental Stewardship Demonstrate that the project development encompass strong elements of environmental stewardship, Comments: Natural Light's proposal indicates a clear and robust sensitivity to the desired Environmental Stewardship aspects of the development of this property. Wildlife preserve areas will be protected and preserved and native plant restoration will be addressed. Various forms of pollution such as; dust, manufacturing and noise, will not be generated. Storm run-off and soil erosion control will be managed as part of the development and use of the property. (Max, possible score 1101 points) 4.5 Wastewater Effluent Use Demonstrate how and to what extent the proposed project could utilize the effluent discharge from the City's wastewater treatment plant. Comments: While the proposal does indicate that the City's wastewater treatment plant effluent would be "welcomed" on the site, it does not indicate how or to what extent. (Max, possible score 1101 points) 4.6 Adherence to Jackson Co. Land Development Ordinances Demonstrate compliance with CUlTent Jackson County Land Development Ordinances, Comments: Natural Light's proposal clearly indicates that all perlinenl Jackson County Land Development Ordinances will be considered and adhered to C:\DOCUME-I\waymanm\LOCALS- I\Temp\XPgrpwisc\Narural Light. Im(lL'I'1ltricc . Proposal Score Summary.doc 5 25 . . 6 .. . 10 Page 4 of TOTAL SCORE 62 C\DOCUME-I\waymanm\LOCALS-I\Tcmp\XPgrpwisc\Natural Ughl - Impcratricc - Proposal Score Summmy.rJoc 's Pagt: 5 uf CITY OF ASHLAND EVALUATION/SELECTION SCORING SHEET X Proposal Evaluation Project Nwnber: 2009-12 Project Name: Beneficial Use of the "ImDerative Ranch" ProDertv Proposer: Natural Light Evaluator [print]: Gregory V. Jones Date July 20, 2010 CERTIFICATION: I do riot have any conflict of interest with any proposer responding to this RFP. A conflict of interest may include any family members presently associated with a proposer, or any financial relationships with a proposer (does not include past employment). I have read and rated the proposals independently, and without interference or pressure from anyone. I have not had conversation or other contact with any of the proposers concerning this RFP since it was issued. I have noted any potential conflicts or concerns on~his 0 Evaluator9 Signature: Note To Evaluation Team embers: The comment sectIon below each scored CrIterIa MUST be used to justil)' your scores with reasons and examples/explanations regardless of tbe score assigned. Scoring and comment. must only be based on the criteria stated in the solicitation and the responses submitted in response, Use comment section to justil)' your scores with reasons and specific examples a. necessary. These are publie record and will be shared with consultaots as requested during debriefings. Interview Evaluation CRITERIA SCORE (Max. possible score [201 points) 4.1 Sustainability 18 Demonstrate the sustainable use of energy or resources in the development and operation of the proposed project. Comments: Natural Light's proposal outlines 'potential' uses for the property and does not exhibit a . detailed plan of development that provides for the sustainable use of energy and/or resources for the property. However, in concept the proposers have given some ideas and examples of other community models on how the property could meet this goal. But given no specific plans it is difficult to further assess this criteria. Therefore, the score given for this criterion is only for its general conceptual framework, not its potential to be applied to this property. To properly assess this proposal there would need to be much more concrete proposed development and use aspects detailed. C:\Temp\XPgrpwise\09~12 Proposal score sumnuuy Natural Light.doc Page 3 of6 (Max, oossible score IISI ooints) 4,2 Public Beuefit 18 Demonstrate how a public benefit may be derived from the Project in the fonn of recreational opportunities, open space utilization, trail systems or other uses. Conunents: Natural Light's proposal outlines 'potential' uses for the property and does not exhibit a detailed plan that will result in sound public benefit. However, in concept the proposers have made a case for a facilityllocation that could feasibly be attractive to many in the conununity, Their plan outlines many recreational and educational opportunities for the property, which includes dcveloping a trail system and open spacc areas. Howevcr, an important aspect of the proposed activities is that it is not clear from their concepts how the plan will differ from that of North Mountain Park and might even compete with NMP in some ways. But given no specific plans it is difficult to further assess this criteria, Therefore, the score given for this criterion is only for its general conceptual framework, not its potential to be applied to this property. To properly assess this proposal there would need to be much more concrete proposed development and use aspects detailed. . (Max. vossible score 1101 voints) 4.3 Business Piau Business plan must clearly identify required development capital and anticipated profits. and 0 expenses for all phases of development, and must indicate a frnancial benefrt to the city. Comments: 1 am not qualified to fully assess a business plan for this property and will only speak to my general feelings about it. Overall the business plan in this proposal is not fully specified, only giving a 'Preliminary Budget' with estimated amounts for general capital and operating expenditures. Furthennore, the sources of the funds are mostly given as 'grant' and therefore not quantifiable at this time, Therefore, the score given for this criterion is only for its general conceptual framework, not its potential to be applied to this property. To properly assess this proposal there would need to be much more concrete proposed development and use aspects detailed. . . C:\Temp\XPgrpwise\09.12 Proposal score summary NatUral Light.doc Page 4 of6 '- (Max. possible score 1251 ooints) 23 4,4 Environmental Stewardship Demonstrate that the project development encompass strong elements of environmental stewardship, Comments: Natural Light's proposal outlines 'potential' uses for the property and does not exhibit a detailed for environmental stewardship. However, in concept the proposers have detailed a plan that would include many aspects of environmental stewardship for the property. But given no specific plans it is difficult to further assess this criteria. Therefore, the score given for this criterion is only for its general conceptual framework, not its potential to be applied to this property, To properly assess this proposal there would need to be much more concrete proposed develo';ment and use asnects detailed. (Max. possible score 1101 ooints) 4.5 Wastewater Effluent Use Demonstrate how and to what extent the proposed project could utilize the effluent discharge 7 from the city's wastewater treatment plant. Comments: Natural Light's proposal outlines 'potential' uses for the property and does not exhibit a detailed plan for the use of the wastewater effluent. However, in concept the proposers have mentioned how the wastewater effluent might be used given their overall plan vision. But given no specific plans it is difficult to further assess this criteria. Therefore, the score given for this criterion is only for its general conceptual framework, not its potential to be applied to this property. To properly assess this proposal there would need to be much more concrete proposed develonment and use asnects detailed. C:\Temp\XPgrpwise\09-12 Proposal score summary Natural Lightdoc Page 5 of6 7 (Max. possible score 1101 points) 4.6 Adherence to Jackson Co. Land Development Ordinances Demonstrate comnliance with current Jackson CounlY Land Development Ordinances. Natural Light's proposal outlines 'potential' uses for the property and does not exhibit a detailed plan of development. However, in concept the proposers have clear experience in developing sustainable operations and have thought about how they might be applied to this property. But given no specific plans it is difficult to further assess this criteria. Therefore, the score given for this criterion is only for its general conceptual framework, not its potential to be applied to this property. To properly assess this proposal there would need to be much more concrete nronosed develonment and use asnects detailed, Max Possible 90 TOTAL SCORE 73 C:\Temp\XPgrpwise\09-12 Proposal score swrunaryNatural Light.doc Page 6 of6 k II' ,d" ~ ,""~/ c.asc.a ~ '>'::: ';;( , , ~(," IIJ,_)'r- f.nvironm~nta\ . ->;: ---::~-- - /~'\1(" G.~o9raphic.s ,1, " y Gregory V. Jones, Ph.D, 641 Faith,Avenue Ashland, OR 97520 Tel: 541-552-9192 , Email.ceg@ashlandhome.net Wednesday, July 21, 2010 Jim Olson, PLS Engineering Services Manager City of A,shland 51 Winburn Way Ashland, OR 97520 Dear Mr. Olson, Included with this letter are two proposal score summaries for the RFPs received by the City for the "Beneficial use of the Imj:>eratrice Ranch Property" as requested. In addition, below is a general evaluation of the RFP and the challenge's to a potential successful lease operation between the City and any interested party; First, it is clear from the RFP that the lease duration of two years is sl!verely Iimitingto,any leasee's ability to be financially successful. With over $11000 in'annual basic costs to use the, property along with any infrastructure development costs and operating expenses, lsee this is as a non starter for many potentially good uses for the property, This is further evidenced by the fact that only two proposals were received by the City for this RFP. 'Furthermore, only one ofthem is really a proposal to actually conduct a' venture on the property~ while the other is an offer to work with whoever is awarded the lease. Therefore my scoring on the two RFPs should not be viewed as equal, the Standing Stone proposal is clearly applicable, and scored as such, while the Natural Light proposal is conceptual and scored as such. If the City must award the lease based upon this RFP, then only the Standing Stone proposal is compiete enough and fits the purpose of the beneficial use of the property. However, the City should requestfrom ' SSBC further evidence ofthe exact area of the property to be used, how water will be accessed, and how composting and other activities will affe,ct the neighbors. Overall the review of these p'roposals leaves me questioning the worth of this 'RFP process and whether the City really wants to engage in a creative, community beneficial, and sustainable use for the property. Overall I recommend that the City rethink the lease duration and conduct an RFP that might attract numerous worthwhile proposals. Please feel free to contact me anytime if you have any additional questions,. Sincerely, Gregory V. Jones, Ph,D, CITY OF ASHLAND Council Communication Housing Authority of Jackson County Refund Request for Fees Relating to the Snowberry Brook Affordable Housing Project on Clay Street Meeting Date: August 17,2010 Primary Staff Contact: Bill Molnar Department: Community Development E-Mail: molnaib@ashland.or.us Secondary Dept.: None. Secondary Contact: Brandon Goldman Approval: Martha Be e Estimated Time: 20 minutes Question: Does the Council wish to refund a portion of the Community Development and Engineering Services Fees associated with the Housing Authority of Jackson County affordable housing project on Clay Street? Recommendations: The Housing Commission heard the Housing Authority request at their"regular meeting on June 24, 20iO, and has forwarded a letter to the City Council in support ofa waiver of the full fee amount. Staff recommends the City Council deny the request for a refund of fees paid unless an interpretation is made that the fees should not have been required of the development. Background: The Housing Authority ofJackson County has requested a refund of$14, 748,29 of the $33,518,85 in Community Development and Engineering Services Fees that they have paid in conjunction with the development ofrequired affordable housing units developed within the 60 unit Snowberry Brook subdivision on Clay Street. All 60 units within the HAJC Snowberry Brook development qualify as low-income rental housing. The waiver of fees associated with affordable housing is guided by Resolution 2006-13 which stipulates that that all qualified affordable units are granted a deferral of System Development Charges (SDCs), however it further clarifies that only "voluntarily provided" affordable units are automatically eligible for Engineering Service, and Community Development waivers. ].2 All qualifying ownership or rental units required to be affordable through density bonuses. annexation, zone change. condominium conversion, or other land use approval under the ALUO shall be eligible to receive a deferral of the System Development Charges associated with the development of said affordable units, ],3 All qualifying ownership or rental units voluntarily provided as affordable to low income households, consistent with section ],] and ],2, above, shall be eligible for a System Development Charge, Engineering Service. and Community Development Fee deferral or waiver without obtaining approval from the Ashland City Council. Of the 60 units under development by the HAJC, all have had their System Development Charges deferred, and 43 of the units have also received a complete waiver of the Community Development Page 1 of4 r~' CITY OF ASHLAND and Engineering Services Fees as is provided for in Resolution 2006-13, Planning Staff made the determination that 17 of the 60 units were not "voluntarily provided" as the original annexation application required 17 units of affordable housing to be targeted to households earning 60% the Area Median Income or below. Accordingly, Community Development and Engineering Services Fees in the amount of $33,518.85 were assessed at the time of issuance of building permits for these "required" units, The Housing Authority paid the fees to expedite the project with the intention of subsequently requesting a determination on whether these fees were rightfully assessed. The attached letter from the Housing Authority outlines the request for the refund. Essentially it . asserts that Staff should not have considered all 17 units as required by the annexation' as being the responsibility of the Housing Authority. Rather based on a proportional allocation of density between the City and the HAJC in originally acquiring the property and identified in the Intergovernmental Agreement, the Housing Authority believes that they only be obligated to provide 10 of the 17 required units. Consequently, HAJC has requested a refund of the fees previously paid, associated with seven of the units, These remaining seven required units and the fees associated with those units would be the responsibility of the City. At this time the future development and use of the City's portion of the property has not been defined. The Parks Commission has voted to acquire 3,75 acres of the property for parks purposes, and there is approximately 1.25 acres that will retain development potential. There is currently no proposed development for the 1,25 acre portion although the Council has previously discussed that it provides an opportunity for mixed income housing which could include low-income housing. As this future phase of development has not been applied for, or received land use approval, the Community Development Department takes the position that the HAJC project has satisfied the condition to provide the 17 affordable housing units as required per the original annexation criteria. The anticipated acquisition of 3.75 acres of the parent property by the Parks Department would effectively reduce the total density of housing that could be developed on the property as a whole. In the original annexation the site had 107 unit potential. The Housing Authority retained 60 units of this density, leaving the City with a 47 unit allocation. In consideration of the dedication of3.75 acres to parks, and approximately one acre of wetlands, there are approximately 5.25 developable acres remaining (HAlC 4-acres, City 1.25-acre). The zone allows for a base density of 13.5 units per acre, for a total of67.5 units. The affordable requirement under the original annexation was for 15% of the base density. In consideration of this revised base density of70,9 units the site would only be required to provide 10 affordable units and pay the associated fees on those units. This is presented as an option (#3) the Council may wish to consider as an alternative to accepting the obligation to provide and pay the fees for seven low-income housing units, Intergovernmental Agreement At a public hearing held on November 4, 2008 the City Council reviewed and approved the proposal to acquire a 10 acre property on Clay Street in partnership with the Housing Authority of Jackson County (HAlC). The City and the Housing entered into an Intergovernmental agreement to govern the Clay Street property land division, and development rights and responsibilities. The IGA apportions the division of property to be if favor of the City with 60% of the land (6 acres) being conveyed to the City and 40% (4 acres) being conveyed to the Housing Authority. The IGA also apportions the development rights for the 107 units previously approved on the property to allow the Housing Authority to develop Page 2 of4 ~~, CITY OF ASHLAND a 60 to 67 unit development with the City retaining the development rights for the remaining 40 to 47 units allowable under the prior planning approval (PA 2007-00802), Within the IGA the City, or successor developer, has agreed to take responsibility for costs associated with the development of Phase II of the property, whether it is eventually developed as housing or Parks. Such improvements will include the remaining half-street improvements on the proposed interior streets (such as sidewalks and head in parking if needed), and an alley connection to McCall Street. The costs of intersection improvements at Ashland Street and Clay Street, and other off-site transportation improvements required as a condition of Planning Approval for the project will be equitably divided between the City and HAle. The City, or successor developer, would also be responsible for ensuring any future street and bike path connections are developed between Clay Street and Tolman Creek Road. The Engineering Department is presently reviewing options for such connections for incorporation into future Transportation System Plan amendments, The Housing Authority has cited Section 3(e) of the IGA as indicating that the City and Housing authority will divide conditions imposed by the annexation, and they take the position that the 17 affordable housing units are one such requirement to be proportionally allocated. 3 (e)Except where specified herein. the parties shall jointly pursue amendments to the existing development authorizations and shall divide conditions of approval between them. in accordance with the intensity of the proposed development on their respective parcels".. Section 4 of the IGA clarifies that the City will not be responsible for paying any portion of application or permit fees specifically associated with the Housing Authority site review and development and that the City will not be responsible for paying Housing Authority consultants and professionals. Council Options: I) Approve the Housing Authority refund request and proportionally allocate the originally required 17 low-income (60%AMI) affordable housing units between the Housing Authority and the City. HAlC pays the Community Development and Engineering fees on 10 of the 17, and the City or subsequent developer is obligated to provide a minimum of seven low income units on the remaining property and pay the comm.-dev and engineering fees on those units. 2) Deny the Housing Authority refund request and assess all Community Development and Engineering fees for the required 17 units in the amount of$33,518.85. 3) Accept a revised base density, and a reduction in the corresponding number ofrequired affordable housing units, in consideration of Parks acquisition of3.75 acres, and require fees be paid on all ten required units by HAle. 4) The City Council may waive all, or a portion, of the Community Development and Engineering fees. otherwise required of the development. A direct waiver of the fees would not obligate that affordable units built on the remainder of the property as presented in option #2. Page} of 4 r~' CITY OF ASHLAND Potential Motions: Move to approve, deny or modify the Housing Authority of Jackson County's request for a refund of Community Development and Engineering Services Fees. Attachments: HAJ C request letter Housing Commission Letter Housing Commission Minutes 6-24-10 Intergovernmental Agreement City contribution/fee table Resolution 2006-13 Page 4 of4 ~.l' A HOUSING AUTHORITY OF JACKSON COUNTY 2251 TABLE ROCK ROAD MEDFORD OR 97501 PHITDD (541) 779-5785 FAX (541) 857-1118/ FAX 7794656 June 9, 2010 Bill Molnar Community Development Director City of Ashland - 20 E. Main Street Ashland, OR 97520 Re: Snowberry Brook - CDC and Engineering Fees Dear Mr, Molnar On behalf of Snowberry Brook LLC, the Housing Authority of Jackson County is requesting the City of Ashland and Ashland City Council for a reduction in CDC and Engineering Fees assessed to the Snowberry Brook Affordable Housing Project located on Clay, Engle, and Villard Streets. The Housing Authority is not requesting a waiver in CDC or Engineering Fees for this project but rather a proportionate and equitable split of these fees among appropriate property owners of the entire parent ten acre parcel in which this project lies. . As you're aware Snowberry Brook is a four acre site that was subdivided from a ten acre parent site. This ten acre parcel was purchased with the Willowbrook Subdivision approval (Planning Action #2004- 00141 and #2007-00802) in place. Willowbrook was approved with 107 housing units, 17 of which were required to be affordable. Per the conditions of Snowberry's site plan approval Planning Action, HAJC's four acre site would contain sixty units of the approved Willowbrook density, and Ashland's site would retain 47 units of approved density. The conditions of site plan approval did not specify the split of the 17 required affordable housing units between HAJC and the City. HAJC entered into an Intergovernmental Agreement with Ashland that dictated the parameters of the joint land purchase, subdivision, site plan conditions and infrastructure improvements. It did not specifically address the 17 required affordable housing units, Section 3(e) of the IGA does however state "the parties shall jointly pursue amendments to the existing development authorizations and shall divide conditions of approval between them, In accordance with the Intensity of the proposed development on their respective parcels," It is the Housing Authority's position that this provision of the IGA dictates that each party would assume a prorated share of the 17 required affordable housing units based on the share of housing units retained under the Willow Brook approved density. Snowberry Brook assumed 56% of the approved density of Willowbrook subdivision and should therefore assume 56% of the required affordable housing. The City has imposed CDC and Engineering fees for all seventeen units of required affordable Housing Units totaling $33,518,85 to Snowberry Brook which have been paid by the Authority in order to expedite project development. . @ 1__'" .,nMy",n The Housing Authority is requesting a 44% refund of assessed fees totaling $14,748.29 from the City of Ashland. The Housing Authority cordially requests to be placed on the agenda of the next Ashland Housing Commission meeting scheduled for June 24, 2010 and the City Council Public Meeting scheduled for July 20, 2010 to address this request. Thank you for your consideration in this malter. I would welcome the opportunity to further discuss this with you in advance of the Housing Commission or City Council meeting. Sincerely ~Zy Program Manager (541) 779-5785 ext. 1035 Jasonailhaic,nel tal ~~ll~ CITY OF ASHLAND APPLICATION FOR QUALIFICATION FEE WAIVER REQUEST Develo ment and Engineering Services Fees . ame Of Organization: Housin Autho of Jackson Coun Name of Applicant for Snowbe Brook LLC at type of Organization? (CHDO, CDC. Inc, LLC, LLP, sole proprietor, etc.) Housin ho will sign the Regulatory Agreement? Scott Foster hat is their position within the organization? (Director, Board. owner, president, etc) ddress: 2251 Table Rock Road C. Medford Phone: 541-779-5785 Fax: ~LJ;..g.m;:~ ~S . Is there City of Ashland funding in the Project? How much? Project Address: 2233 Villard Street Assessors Map and tax lot #: 391 E11 C Permit # B0-2009-o0918 Brief Project Description: # of Units- New _60_ Rehab _ Total_60_ Mixed use?: No Note: a completed fee waiver request is required for each unit covered under a separate building permit, .BI!i>'~IlI.~~~aQt,g;lt{G.II.l!I,l!I~_~ Executive Director Zi 97501 541-857-1118 $510,367/ CDBG Affordable to Households @ 80% AMlor Below (see attached for incomes by family size) Sales Price of Affordable Unites) Number of Units by Bedroon Number: 1 bdr 2br 3br Household Income (if known): "'!Illll!!'!lll~': aalll:~!I'!i . NA Affordable to Households @ 60% AMI or Below 59 Rent (Tenant Paid) Number of Units by Bedroon Number: 1bdr 12 2br 38 $4391$5291$604 3br 10 Building Permit Submittal Date 7/1012009 Community Development Fee (per building permit calculation) Permit#: BD B0-2009-o0918 $ 9,315,70 $ 6,351,62 $ 15,667,32 Engineering Services Fee (per building permit calculation) TOTAL FEE WAIVER REQUESTED (Does not include SDCs) ~ , I..'.. . Applicant certifies the following: For rental Droiects. 1) unites) rents will be restricted to 0-60% Median Family Income Households for a period of not less than 30 years and 2) tenants meet Income guidelines, Units must be rented or leased at rent levels that do not exceed the maximum allowable rents for the targeted income during the required Tenn of Affordabllity. Please see attached for current rent schedules. Applicant will providethe City of A9hland a certification of rents and occupancy requirement within 60 days of inilial occupancy and at any change in tenants. For homeownershiD Drolects. 1) sales price of affordable units to be consistent with SDC Deferral Program requirements and 2) have household incomes not exceeding 80% of Median Family Income. The Applicant has the burden of proving to the City Housing Program Specialisfs satisfaction that rents and. housing prices in fact, qualify for this exemption. In the event a qualifying Low Income Housing development faUs to maintain qualifying rent or price levels. the amount the Owner must repay will be determined to be in accordance with the SDC Deferal Program resolution 2006-013. CITY OF ASHLAND APPLICATION FOR QUALIFICATION FEE WAIVER REQUEST Community Development and Engineering Services Fees Housin Executive Director Zi 97501 541-857-1118 BD-2009-00913 No Affordable to Households @ 80% AMlor Below (see attached for incomes by family size) Sales Price of Affordable Unit(s) Number of Units by Bedmon Number. 1 bdr 2br 3br Affordable to Households @ 60% AMI or Below 59 Rent (Tenant Paid) Number of Units by Bedmon Number. 1bdr 12 2br 38 $4391$5291$604 3br 10 Building Perm~ SubmittaJ Date 7/1012009 Perm~ #: BD Community Development Fee (per building permit calculation) $ Engineering Services Fee (per building perm~ calculation) $ TOTAl FEE WAIVER REQUESTED (Does not include SDCs) B0-2009-00913 1,298,72 885,49 ~ pplicant certifies the following: For rental oroiects. 1) un~(.) rents will be restricted to (l.6()% Median Family Income Households for a period of nolless than 30 years and 2) tenants meet Income guidelines. Units must be rented or leased at rent levels that do not exceed the maximum allowable ren19 for the targeted income during the required Term of Affordability. Please see attached for current rent schedule., Applicant will providethe City of Ashland a certification of rents and occupancy requirement within 60 days of initial occupancy and at any change in tenants, For homeownershio oroiecls. 1) sales price of affordable unils to be consistent with SDC Deferral Program requirements and 2) have household incomes not exceeding 80% of Median Family Income. The Applicant has the burden of proving to the City Housing Program Specialisfs satisfaction that rents and. housing prices in fact. qualify for this exemption, In the event a qualifying Low Income Housing <1evelopment fails to maintain qualifying rent or price levels, the amount the Owner must repay will be delermiiled to be in accordance with the SDC DefeIaI Program resolution 20Q6.013. CITY OF ASHLAND APPLICATION FOR QUALIFICATION FEE WAIVER REQUEST Development and Engineering Services Fees Name Of Organization: Housin Autho of Jackson Coun Name of Applicant for Snowbe Brook LLC hat type of Organization? (CHDO, CDC, Inc. LLC. LLP, sole proprietor, etc.) Housin ho will sign the Regulatory Agreement? Scott Foster hat is their position within the organization? (Director, Board, owner. president, etc) ddress: 2251 Table Rock Road C' Medford Phone: 541-779-5785 Fax: .:~J.e!!i!ll.llll~~~. Is there City of Ashland funding in the Project? How much? Project Address: 337 En Ie St essors Map and tax lot#: 391E11C Permn# BD-200~0917 Brief Project Description: # of Units- New _60_ Rehab _ Total_60_ Mixed use?: No Note: a completed fee waiver request is required for each unit covered under a separate building permit . ~gn .(;!ltg!~lr~gJ1l!.!'J~3'!.!!!.~ " ' ...ll!Jli'~Ii!Ji1J!mIN~!fl: Executive Director Zi 97501 541-857-1118 Affordable to Households @ 80% AMlor Below (see attached for incomes by family size) Sales Price of Affordable Unit(s) Number of Units by Bedroon Number. 1 bdr 2br 3br Household Income (if known): _50%AM1 'llll'1W\I1~;..'l!!" Q.u8EJilJ~~l:>IIJ;;I:!, .' Affordable to Households @ 60% AMI or Below 59 Rent (Tenant Paid) Number of Units by Bedroon Number: 1bdr 12 2br 38 $4391$5291$604 3br 10 Building Permn Submittal Date 7/1012009 Community Development Fee (per building permit calculation) Permit #: BD B0-2009-o0917 $ 9.315.70 $ 6.351,62 Engineering Services Fee (per building permn calculation) TOTAL FEE WAIVER REQUESTED (Does not include SDCs) ilfIII,"ll:ll~ffMI~ ~E~I;lI!:I;f.illl(i) Applicant certifies the following: For rental Droiecls, 1) unn(s) rents will be restricted to G-6O% Median Family Income Households for a period of not less than 30 years and 2) tenants meet income guidelines, Units must be rented 0' leased at rent levels that do not exceed the maximum allowable rents for the targeted income during the required Term of AffordabiUty. Please see eltacl1ed for current rent schedules. Applicant will providethe City of Ashland a certification of rents and occupancy requirement within 60 days of initial occupancy and at anY change in tenants. For homeownershiD Drolects, 1) sales price of affordable units to be consistent with SOC DefenaJ Program requirements and 2) have household incomes nol exceeding 80% of Median Family Income. The Applicant has the burden of proving to the City Housing Program SpeciaUsfs satisfaction that rents and. housing prices in fact, qualify for this exemption. In the event a qualifying Low Income Housing devalopment fails to maintain qualifying rent or price levels. the amount the Owner must repay will be determined to be in accordance with the SOC Oetera! Program resolution 2006-013, CITY OF ASHLAND Housing Commission 20 E, Main Street Ashland, OR 97520 June 24, 2010 Honorable Mayor and City Council Members City of Ashland 20 E. Main Street Ashland, OR 97520 Re: Fee Waiver for Snowberry Brook Dear Sirs/Madams, Should the Council consider a request to waive a portion of the Community Development and Engineering fees on the Housing Authority's Snowberry Brook Development, the Housing Commission would like to express their support for either a waiver of the requested amount of Community Development and Engineering fees or a division of the fees charged for the required affordable units in accordance with the proportion of development density of the land. The Housing Commission reviewed the Housing Authority's request at its regular meeting held on June 24th 2010, At that time a motion was passed to forward a recommendation, should the need arise, "to recommend that the Council waive the entire amount of the Community Development and Engineering fees for those required affordable units". Thank you for considering this recommendation, The members of the Housing Commission believe that communication between the Council and it's commissions is an integral part of ensuring that a coordination of efforts are used to address the significant challenge of providing affordable housing in our community. Sincerely, ,~j 9L-L Stephen Hauck, Chair, City of Ashland Housing CommisSion CITY OF ASHLAND ASHLAND HOUSING COMMISSION MINUTES June 24, 2010 CALL TO ORDER Chair Steve Hauck called the meeting to order at4:34 p,m, at the Community Development and Engineering Services Building, located at 51 Winburn Way, Ashland, OR 97520, Commissioners Present: Council Uaison Nikki Pons Eric Navickas, absent Nick Frost, arrived at 4:40 Regina A vars Staff Present: Steve Hauck Linda Reid. Housing Specialist Judy WatClS Carolyn Schwendener, Account Clerk Commi9Sioners Absent: Richard Bmin APPROVAL OF MINUTES AyarslPons mls to approve the minutes from the May 27. 2010 mccting, The minutes were approved as presented, PUBLIC FORUM No one was present to speak NEW MEMBER INTRODUCTION The Commissioners welcomed new member lody Waters. Ms. Waters is a professor at SOU. has been involved with homelessness for several years and also volunteers at Peace House. Waters explained that the teaching assignments at SOU have been recalibrated for the Fall creating a conflict for her with the Housing Conunission meetings. At this time Waters will continue her membership with the Commission and make a decision in the near future regarding whether she will be able to continue. REPORTS AND UPDATES Liaison Reports Council - No report Parks - No report Scbool Board - No report Planning - No report SOU - Ayars asked Waters if she would be able to help with the recruitment of a new SOU liaison. Waters fell confident she could find some volunteers in the Fall when the students return and would be happy to assist with that. StalT - Reid reminded the Commissioners that Project Homeless Connect is tomorrow, June 25th from 9:00 am to 4:00 p,m, at the Medford Armory, The City is sponsoring a Fair Housing Training for Home Owner Associations and Community Managers, It will take place at the City of Medford offices, HOUSING AUTHORITY OF JACKSON COUNTY CLAY STREET UPDATE Brandon Goldman, Senior Planner for the City of Ashland was invited to speak this evening in order to give sOme background on how this project came to be and how it came to have an affordable housing requirement. Goldman explained that part of the land use rules through an annexation is that projects are required to have affordable housing, Because it was mandated that affordable housing be provided and it is based on the density of the development purposed between fifteen and thirty-five percent of the units have to be affordable. The lower the income level that is targeted the fewer the units. Fifteen percent was required of this project when it originally was presented back in 2006. A private developer was going to be developing 117 units which dropped to 107, That original development was not constructed and HAlC stepped forward as a buyer and took over the original application amending it to modity the site review component of where the buildings would be along with other changes. The City of Ashland worked with the HAlC as a partner, The Planning Department in evaluating whether the conditions of the original annexation were met had to confirm that at least 17 of the units on the site were affordable. Currently all 60 units on the project are one hundred percent affordable and meet the criteria, comprehensive plan concept and zoning density for the affordable housing objective, . Goldman explained that the first phase was known but the second phase using the remainder of the land has not yet been designed. Jason Elzy. the HAlC developer for the Snowberry Brook project introduced himself. Mr, Elzy explained that originally in February 2009 they were given an estimate of $55.000 for all building pennit fees, Mr, Elzy acknowledged that this estimate was given before building permits were applied for making it difficult to arrive at an accurate number. Current System Development Charges and building permit fees that have been paid are $107,000 creating a $50,000 gap in their budget. Mr, Elzy stated that they feel it is an inequitable split because no where on the site plan approval did it state that the entire 17 units required to be affordable would be assets to the Snowberry Brook project. The HAlC would like to make an equitable split of the 17 units proposing a 9.52 split with the City, They are requesting a refund for the remaining $14,000 in fees, They are not asking for a wavier but asking the City Council to appeal this decision due to the conditions of the IGA and the financial hardship that this money is placing on the project. The HAlC is respectfully asking the Housing Commission members to support this request The Commissioners discussed Mr. Elzy's request. Pons/Ayars m/s to recommend the City Council to waive the entire amount of fees. Roll Call: Pons, Frost, Ayars. Waters voted yes, Hauck voted no. The motion passed. DISCUSSION: PROCESS FOR DEVELOPNG SUB-COMMITTEES The Commissioners discussed the process they would like to take in developing Ad Hoc and Special Committees, Frost made a motion that the Chair would appoint the members of the Ad Hoc Committees. Motion failed for lack of a second, Ayars/Pons m/s that the process for creating Ad Hoc Commillees is done by group consensus with volunteers. Voice Vote: All ayes, motion passed. Judith Benjamin, Aaron Benjamin's wife, contacted Reid to discuss setting up a memorial fund in Aaron's name. People can donate to the Affordable Housing Trust Fund in Aaron's name. That account has been set up through the finance department and it will be published in both the local newspaper as well as in New York where Aaron had lived before moving to the Rogue Valley, DISCUSSION: ANNUAL GOAL SETTING This retreat is to review the past year's goals and to look at whether they were accomplished or still of interest as well as to discuss new ones for the coming year. Reid will send out an email with dates and times and arrive at a date that works for everyone. FAIR HOUSING: DRAFT ORDINANCE UPDATE AND DISCUSSION Reid informed the Commissioners that there has been quite a bit of media coverage recently about Student Fair Housing, She said it would be really hard for the City to include students as a protective class without having some kind of student involvement in the process. Reid said that when she discusses Fair Housing Laws with landlords, property owners or property mangers she tells them that these laws do not state that they have to rent to a student, families etc. landlords generally have objective criteria for screening perspective renters, such as rental history, criminal background, and credit checks. Fair Housing laws don't change those criteria landlords just need to treat everyone in a clear and objective way. Hauck would like to see language that identifies students as a protected class included in the ordinances to review. Reid will move forward with the ordinance which still has to go through legal review but it will help clarifY things and bring our code a little more inline with Slate and Federal.' We can also mOVe forward with doing some research 'and getting some student input, outreach and education and finding out what the community needs and seeing if there is some interest with the Council. Reid reviewed the Fair Housing Ordinance going over the changes, Some of the additions are from State and Federal 2 regulations. Most stem from Fair Housing Council's recommendations offered in the analysis of impediments. JULY 22. 2010 MEETING AGENDA ITEMS H9meless Liaison Homeless Shelters [)jSCIJssion regarding future meeting times taking into consideration Ms, Water's scheduling need9 UPCOMING EVENTS AND MEETlNS Next Housing Commission Regular Meeting 4:30-6:30 PM Thursday June 24~, 2010 Community Development Building ADJOURNMENT - The meeting was adjourned at 6: 10 p.m. Respectfully submitred tfy Carolyn Schwendener 3 INTERGOVERNMENTAL AGREEMENT DEVELOPMENT OF 380 CLAY STREET, ASHLAND, OREGON This Agreement is entered into this L day of ,D~. 2008 by and between mE CITY OF ASHLAND, an Oregon municipal corporation ("City") and lHE HOUSING AUTIfORITY OF JACKSON COUNTY ("HAJC"), an Oregon public corporation. . REOT ALS A. ORS 190.010 permits units of local government to enter into intergovernmental agreements for' the performance of any or all functions and activities that a party to the agreement has authority to perform; and B. The City in partnership with the HAJC jointly desire to acquire all the Clay Street Property, (Property) from DRRAM Ashland Limited Partnership, (DRRAM), said Property being located at 380 Clay Street, Ashland, Oregon and more particularly described and shown in Exhibit A, attached hereto and made a part hereof by this reference; and C. The City and the HAJC have executed with DRRAM, a Purchase and Sale Agreement to jointly acquire from DRRAM at closing: fee simple title, as tenants in common with an undivided interest in the entirety, (City 60% and the HAJC 40%) to the Oay Street Property described in Exhibit A; and D. The City and the HAJC must enter into an intergovernmental agreement as a condition to closing on the Oay Street Property and the parties must agree to division of the Property after the sale is final to convey to the City 60% of the total property and the HAJC 40% of the total Property; and NOW, THEREFORE, in consideration for the mutual covenants contained herein the receipt and sufficiency of which are hereby acknowledged; the parties agree as follows: 1. RECITALS, The recitals set forth above are true and correct and are incorporated herein by this reference. 2. DURATION. tORS 190.020(1)(e)). The term of this Agreement shall commence after execution by both parties and shall expire on June 3D, 2010, unless administratively extended in writing as provided for herein. The Ashland City Administrator may extend this Agreement twice, by six (6) months each extension, by indicating in writing to that an extension of the Agreement is sought under the same terms and conditions of this Agreement. The extension will be effective upon receipt from HAJC of written confirmation that the extension under the same terms is acceptable. HAJC and City of Ashland: Oay Street Intergovernmental Agreement Page 1 of 9 3, FUNCTIONS OR ACTIVITIES, [ORS 190.020(1)]. (a) . The City and the HA]C shall file and pursue to approval, including any appeals, an application to partition the Property so that at least two legal parcels are created. The City parcel(s) shall constitute 60% of the land area of Property and the HAJC parcel shall constitute 40% of the land area of the Property. The parties may agree to create a discrete third parcel for the wetland area to facilitate continuing maintenance by the City; the wetland parcel may include land contributions from both HAJC and City from those specified above. This future land division will be in substantial conformity with the site layout plan, attached as Exhibit B, which gives the HA]C approximately four (4) acres of the Property and the City approximately six (6) acres of the Property. Within sixty days of recording of the plat creating the respective legal parcels, the parties shall complete the division of ownership interest by conveyance of deeds from one party to the other, relinquishing any interest in the respective parcel of the other. (b) The CITY and HAJC stipulate and agree that after closing and surveying, and concurrent with or prior to filing the partition plat of the Property, the parties shall jointly dedicate to the public, right-of-way sufficient to construct City standard street access between the parcels, including required connectivity to adjacent properties. Said dedications shall be as generally set forth on the site layout plan attached as Exhibit B. In addition, the City shall dedicate and HAJC shall not oppose or hinder dedication of an east-west right-of-way to accommodate vehicular,. pedestrian and bicycle traffic, to the extent of the property boundaries, to further future connectivity between Oay Street and Tolman Creek Road. This provision does not waive any Ashland Municipal Code provision, or waive or remove any condition of the respective development approvals that requires the City and HAJC to construct and complete infrastructure improvements to service the development. (c) The parties shall also divide the existing development approvals on the property [including but not limited to Final Plan PA #2007-00802 and Outline Plan PA #2004-00141] by making joint application(s) to revise the approved plans to divide the approval into a two phase development plan corresponding with the partition. The Parties shall pursue such applications to approval, including any appeal. Notwithstanding the division of the total land area in favor of the City (60%-40%), the division of the development approvals favors HAJC, by approximately 20 units based on density per acre. Phase I shall be the HAJC parcel and shall receive an HAJC and City of Ashland: Clay Street Intergovernmental Agreement Page 2of9 allocation of 60 units to 67 units of the 107 approved units in the project. The approval shall also reserve to the City parcel for future development in Phase II, the remaining units, (40- 47 units). . Any additional units which may be obtained by amendment to the outline plan, by density bonuses, transferable development rights or any other means, shall be reserved to the City. (d) HAJC shall be fully responsible for obtaining the required Demolition Relocation and Review Permit from the City of Ashland Building Division in accordance with AMC Chapter 15 for any building or structure located on Phase I or within or partially within a proposed road right-of-away prior to dedication of internal road right-of-way and construction of infrastructure for Phase I. (e) Except where specified herein, the parties shall jointly pursue amendments to the existing development authorizations and shall divide conditions of approval between them, in accordance with the intensity of the proposed development on their respective parcels. The parties acknowledge that the exact scope and wording of the existing conditions of approval are subject to alteration by the responsible approval authority in the. modification process. Neither party shall act in a manner which prejudices the rights of the other in the land use approval process. (1) HAJC has agreed to construct and fully fund the following improvements required as conditions of the development approvals on the property: i. the ten acre parent parcel's frontage improvement to Clay street shall be completed by HAJC (Clay improvements) . n. the street improvements, including pedestrian improvements, adjacent to the Cooper property to the north along Clay Street, shall be completed by HAJe. iii. the dedications and construction of half street improvements on the interior streets serving the project, shall be completed by HAJe. Said interior streets include a 52' wide right-of-way abutting the southern and eastern property lines of the HAJC proposed 4 acres as set forth by the Site Plan Layout attached as Exhibit B. iv. The utility extensions associated with development of the parcel, including but not limited to storm water, electric, water, and sewer, shall be completed by HAJe. HAJC and City of Ashland: Oay Street Intergovernmental Agreement Page 3 of 9 , "The parties acknowledge that the exact scope and wording of the existing conditions of approval, summarized and allocated above, are subject to alteration by the responsible approval authority in the modification process. (For example, the improvements adjacent to the Cooper property may be reduced in the approval process to pedestrian improvements only). Neither party shall act in a manner which prejudices the rights of the other in the land use approval process. (g) HAJC has also agreed to fund the wetland mitigation plan and its permitting and implementation, to a maximum cost of $80,000. Notwithstanding the above limitation, HAJC shall be solely responsible for mitigation plan permitting and implementation as regards any required Phase I mitigation. The City and/or successor developer or association of Phase II, will be responsible for wetland mitigation plan costs in excess of $80,000 and ongoing maintenance of the wetland area. (b) The City has agreed, subject to local budget law, [subject to non- appropriation] to fund the following: i. City shall be responsible for dedication and construction of the remaining half street improvements on interior streets serving the project. Such improvements shall be timed with the development of Phase II whether the development includes Parks development ?r Housing development, or a combination thereof. ii. The City shall be responsible to construct and fund the installation of an alley connection from the interior streets serving the project to the existing McCall Drive alley terminating along the south property line associated with Phase II of the project. iii. The City shall be responsible for ensuring the installation of any future street, bicycle or pedestrian connections through the parent parcel ultimately connecting Oay Street to Tolman Creek Road. iv. Subject to paragraph, (3)(i) below, the City and HAJC shall complete the street improvements at the intersection of Clay Street and Ashland Street, as modified by the Planning Approval. (I) As regards off-site improvements noted in this Agreement (e.g. f.(ii) and (h)(iv)1 the City and HAJC agree to negotiate in good faith before, during and after approval of revised development approvals, to equitably apportion the improvements between the parties based upon the impact of the respective developments.: HAJC and City of Ashland: Clay Street Intergovernmental Agreement Page 4 of 9 (j) The Parties agree to the following disclaimer: HAJC is not the City's agent and City is not the HAJe's agent for purposes of any contracts or commitments made by either party. HAJC is solely responsible for compliance with public contracting rules for its contracts and City is solely responsible for compliance with public contracting rules for its contracts. HAJC and City acknowledge and agree that future development approvals, including revised outline plan, final plan, final plat, final civil plan (construction plan approval) and construction permits and building permits are subject to compliance with all applicable approved plans, approval conditions and applicable land development regulations in effect at the time the approvals are sought. No rights to obtain revised development approvals, e.g. revised outline plan, final plan, plat, or building permits nor any other rights to develop the Oay Street Project have been granted or implied simply by the City's approval of this Agreement. The HAJC, or its successors and assigns, may not attempt to force, coerce or intimidate the City to approve the revised or amended planS, plats or other grant other development authorizations, including building permits, by asserting that the City has committed to such approvals for Clay Street Project based on the theory of vested rights or equitable estoppel or any other legal theory based on the City's approval of this Agreement, or other approval, or acceptance of donations or dedications identified herein. City approval of final development orders requires strict compliance with applicable approval conditions and the applicable criterion for approval. 4. PAYMENT. [ORS 190.020(l)(a)]. The City and the HAJC agree to each pay one half of the application fees for: (1) the application to partition the property and (2) the application fees to amend the existing development approvals P A #2007-00802 and P A #2004- 00141] to divide the authorized development between the parcels. [For example assuming a three lot partition, the following fees would be split 50/50: partition $1100; modification $2831]. City is not responsible for paying any portion of application or permit fees specifically associated with the HAJC site review and development. City is not responsible for paying HAJC consultants and professionals nor shall HAJC be responsible for City consultants and professionals. All surveying and engineering costs associated with the partition, final plan and outline plan modifications shall be borne by HAJe. The parties may nevertheless enter into written agreements to share the cost of consultants in making the applications and pursuing developing plans on the subject site. HAJC and City of Ashland: Clay Street Intergovernmental Agreement Page 5 of 9 5. REAL OR PERSONAL PROPERTY. [ORS 190.020(1)(d)). There shall be a transfer of title to real property at the conclusion of partitioning and after approval of necessary land use actions. At that time the City will obtain fee simple title to the 60% of the Property as partitioned under this Agreement, and the HAJC will obtain fee simple title to the remaining 40% of the Property. 6, TERMINATION. [190.020(1)(f)]. This Agreement may be terminated by mutual consent by both parties upon notice in writing and delivery by certified mail or personal service. Such termination shall be without prejudice to any obligations or liabilities of either party accrued prior to such termination. 7. HOLD HARMLESS. To the extent possible under the limits of the Oregon Tort Claims Act, City and the HAJC shall hold each other harmless, indemnify, and defend each other's officers, agents and employees from any and all liability, actions, claims, losses, damages, or other costs including attorney's fees and witness costs (at both trial and appeal level, whether or not a triaI or appeal ever takes place) that may be asserted by any person or entity arising from, during, or in connection with the partitioning of the Property, except for liability arising out of the sole negligence of the other party or its employees. U any aspect of this, indemnity shall be found to be illegal or invalid for any reason whatsoever, such illegality or invalidity shall not affect the validity of the remainder of this indemnification. 8. METHOD AND PLACE OF GIVING NOTICE. All notices, bills, and payments shall be made in writing and may be given by personal delivery or by mail. Notices, bills, and payments sent by mail should be addressed as follows: City of Ashland Attn: Martha Bennett, City Administrator 20 East Main Street Ashland, Oregon 97520 Phone: 541-488-2100 Fax: 541-552-2092 Housing Authority ofJackson County Attn: Scott Foster 2251 Table Rock Road Medford, OR 97501 Fax: 541-857-1118 and when so addressed, shall be deemed given upon deposit in the United States Mail, postage prepaid. In all other instances, notices, bills, and payments shall be deemed given at HAJe and City of Ashland: Oay Street Intergovernmental Agreement Page 6of9 the time of actual delivery. Changes may be made to the names and addresses of the person to whom notices, bills, and payments are to be given by providing notice pursuant to this paragraph. 9. MERGER. This writing is intended both as the final expression of the Agreement between the parties with respect to the included terms and as a complete and exclusive statement of the terms of the Agreement. No modification of this Agreement shall be effective unless and until it is made in writing and signed by both parties. IN WITNESS WHEREOF, the parties hereto have caused this instrument to be executed in two (2) duplicate originals, either as individuals, or by their officers, thereunto duly authorized. Dated this ~ day of j)L.~ .2008. City of Ashland, Oregon Housing Authority of Jackson County, Oregon ~ Jiq ~ By: Scott Foster Housing Authority of Jackson County Approved as to Form: Attorney for HAJC , HAJC and Gty of Ashland: Gay Street Intergovernmental Agreement Page 7of9 EXHIBIT A Description of Oay Street Property Beginning at a point on line between the Southeast Quarter of the Southwest Quarter, and the Southwest Quarter of the Southwest Quarter of Section 11, Township 39 South, Range 1 East of the W.M., Jackson County, Oregon, 9.95 chains North of the Southeast comer of the Southwest Quarter of the Southwest Quarter of said Section 11, thence North along said line, 9.95 chains, thence North 890 1035' West 10.05 chains; thence South 9.95 chains, thence South 8901035' East 10.05 chains to the point of beginning. (Map No. 391E11C, Tax Lot 2500. Account No. 1-011503-1, Code 5-(8) . HA}e and City of Ashland: Oay Street Intergovernmental Agreement Page 8of9 I I i I i el "'I , , I I I ~ !i I I , II I -~ II EXHIBIT B Proposed Site Layout for 380 Clay Street _1II~"" i i . ~ ,~~ ,....-;......,., ,--------------------------1 i i . . j ; ~! ! I I I' . 1 i ~I . ~i i . . i i . , I is . ,. . I"! ___~~__.!!!I!:'_~.!.'!'___J Is I' .~ i~ i ~ i .. i i i i , i . --_n_______________________________________-.i ",.,... ........ "I"E . 1 ~~ ~ ~ ~ l' .1 ! . i i I Jill' . .!!JIsl ~ ~ !lml'IUI - I ~~,Idl /!.:I I ! HAJe and CIty of Ashland: Clay Street Intergovernmental Agreement . -. Page 90f9 \ ! 1 , I . N l~~ !' ~f " !t I ~ I ~ !Jj ClEO ~~ ifl!Ilml t-J ~.m;Q ,"I U ~ 1"=2001 Snowberry Brook: City Contributions 1:lA!J.eIl!iinilr~i:qu;;.ilioll._J;l':l\r:t" .,".' ",i;!",'.,,~!"Jk:~l1!.\l.Il'B~ ., Actual Land cost Area Total Cost HAJe cost City Conbibution $360k per acre 4 acres $1.440.000 $1.280,000 I 5160,000 I . HAle has committed to contribute $80,000 toward weUancl restoration on City and HAle land. .. The CitY's aCQUisition of the aDDroximate remaining 6 aaas for 2.16M is not included in the above fiaure. !':_Qmll,-unitYlQjjy.eI9PI1l~mlBI9:ck\f3i'atltSk1iiWili:d8<l)bY:Wi!Cily ..nd'us8d"dr,~red(lnt8WiJrrOaailm~mentS!l>1~~ Orant year Award 2008 345.000 2009 165.357 10,367 i(o.tiilleJtYle.onQililitionslanillWii'ii.efSi"""'! "';,', Building Permit Fees $466.969 Land Cost $160.000 COSG funds $510.387 1~13 ~336V"Y' ,. RESOLUTION NO. 2006- \~ A RESOLUTION AMENDING AND RESOLUTION 2005-46 RECITALS: A. WHEREAS, in 1993, the City of Ashland passed Resolution no. 1993-39 which established affordable housing income levels and rental and purchased cost levels. B. WHEREAS, in 2005, the City of Ashland passed Resolution 2005-46 which required provisions for homeowner and maintenance fees to be included in the affordability calculations for its affordable housing program. C. WHEREAS, neither resolution contained provisions establishing rent levels or purchase price levels for households earning 60%, 80% 100% or 120% of the area median income (AMI). D. WHEREAS, neither resolution required Principal, Interest, Taxes and Insurance (PITI) to be included in the maximum housing costs of eligible households in the affordability calculations for the purchasing part of its affordable housing program. cE. WHEREAS both resolutions used "not-to-exceed purchase price" as a qualifying criterion for purchasing housing units, which criterion requires annual revision, and the current resolution seeks to replace the "not-to-exceed purchase price" with a "percent of household income" criterion which does not require annual revision. F. WHEREAS, the City considers that a range of qualifying incomes maximizes the potential for success of its affordable housing program. G. WHEREAS, the City desires that PITI be included in the affordability calculations for the various income levels of qualified households and that the "percent of household income" criterion be used in place of the "not-to-exceed purchase price" criterion. NOW THEREFORE, THE CITY OF ASHLAND RESOLVES AS FOLLOWS: Resolutions 1993-39 and 2005-46 are hereby amended in their entirety as follows: SECTION 1. GENERAL ELIGIBILITY - RENTAL AND PURCHASED HOUSING ~ 1.1 All qualifying ownership or rental units required to be affordable through density bonuses, annexation, zone change, condominium conversion, or other land use approval under the Ashland Land Use Ordinance (ALUO) shall not be eligible to receive ' a waiver of the Community Development and Engineering Services fees associated with the development of said affordable units unless a waiver is approved by the Ashland City Council. 1.2 All qualifying ownership or rental units required to be affordable through density bonuses, annexation, zone change, condominium conversion, or other land use approval under the ALUO shall be eligible to receive a deferral of the System . Development Charges associated with the development of said affordable units. 1.3 All qualifying ownership or rental units voluntarily provided as affordable to low income households, consistent with section 1.1 and 1.2, above, shall be eligible for a System Development Charge, Engineering Service, and Community Development Fee deferral or waiver without obtaining approval from the Ashland City Council. 1.4 Affordable Housing Units covered under this Resolution can only be sold or rented to occupant households from the same income category as the original purchasers or renters for a period of not less than 30 years, or as required through the condition of approval for a unit required to be affordable through a land use approval. I 1.5 System Development Charges, Engineering Services, and Community Development Fees may be deferred or waived when units are sold or rented to low- income persons. For purposes of this subsection, "low-income persons" means: a. With regard to rental housing, persons with an income at or below 60 percent of the area median income as determined by the Slate Housing Council based on information from the United States Department of Housing and Urban Development; and b. With regard to home ownership housing and lease to purchase home ownership housing, persons with an income at or below 80 percent of the area median income as detemiined by the State Housing Council based on information from the United States Department of Housing and Urban Development. 2. RENTAL HOUSING -. Units designated for affordable rental housing in developments which have qualified for density bonuses, annexation, zone change, condominium conversion, or other land use approval under the ALUO shall be rented to individuals or households-whose annual income is consistent with the target income identified in the planning approval. Incomes shall be qualified at the 60% or 80% median income levels for households in the Medford-Ashland Metropolitan Statistical Area (MSA). This figure shall be known as the "qualifying household income" and shall be determined by the City's Department of Community Development in May of each year from the annual family incomes published by the U.S. Department of Housing and Urban Development (HUD) for the Medford-Ashland Metropolitan Service Area (MSA). 2.1 Area Median Income - 80%. The rent charged for such affordable rental housing benefiting households eaming 80% Area Median Income or greater, incluqing any home-owners association or maintenance fees,'shall not exceed 23% of the qualifying monthly income (qualifying family income divided by twelve) as provided in the following formulas: Studio Apartment 23% of the average of 1 & 2 person qualifying monthly incomes 1 Bedroom 23% of the average of 2 & 3 person qualifying monthly incomes 2 Bedroom 23% of the average of 3, 4, & 5 person qualifying monthly incomes 3 Bedroom 23% of the average of4, 5, 6, & 7 person qualifying monthly incomes 4 Bedroom 23% of the average of 5, 6, 7, & 8 person qualifying monthly incomes The City's Department of Community Development shall maintain a table of maximum rent levels permitted under these formulas and shall annually update the table in May of each year. 2.2 Area Median Income - 60% or lower. The rent charged for such affordable rental housing benefiting households earning 60% Area Median Income or less, including any home-owners association or maintenance fees, shall comply with the maximum rents established by the State of Oregon HOME Program based on the target income qualification as adjusted annually by the Department of Housing and Urban Development for the Medford-Ashland Metropolitan Service Area. The HOME program indexed allowable rents are adjusted annually by the State of Oregon Housing and Community Services Department (OHCS). 2.3. Owner's Obligation. The owner of the affordable rental housing shall sign a 30-year agreement, or longer depending on the period of afford ability established through the ALUO, with the City of Ashland that guarantees these rent levels will not be exceeded and that the owner will rent only to households meeting the income limits. The agreement shall bind subsequent owners who purchase the rental housing during the established period of affordability. The agreement shall also require the owner to allow the unit to be rented to HUD Section 8 qualified applicants and agree to accept rent vouchers for all of the affordable units when applicable. The City shall file the agreement for recordation in the County Clerk deed records, Jackson County, Oregon. 2.3.1. Certification of qualifying occupants. The owner of record, or the designated agent of the record, owner, shall annually file with the City of Ashland a signed certificate stating the occupants of the record owner's rental housing units continue to be qualified households, or are a household that qualified at its initial occupancy, within the meaning of this Resolution, and any amendment made to it. The City of Ashland shall provide-the record owner or the record owner's agent with access to a form to complete and sign to comply with this provision. 3. PURCHASED HOUSES. QUALIFYING. Units designated for affordable housing available for purchase in developments which have qualified for density bonuses annexation, zone change, condominium conversion , or other land use approval under the ALUO must satisfy two criteria. 1. They shall only be sold to occupant households whose: a. Annual income is consistent with the target income identified in the planning approval for the development. Incomes shall be qualified at the applicable 60%,80%, 100% or 120% median income levels for households based on number of people per household as adjusted annually by the Department of Housing and Urban Development for the Medford-Ashland Metropolitan Service Area. L The maximum monthly payment for a covered unit shall be established to not exceed the affordability limits, established above, indicated in following table: Studio = 1 person household income for the designated income level 1 Bedroom = 2 person household income for the designated income level 2 Bedroom = 4 person household income for the designated income level 3 Bedroom = 6 person household income for the designated income level 4 Bedroom = 7 person household income for the designated income level Households with a greater or lesser number of occupants shall remain eligible for covered units but the sale price shall not be adjusted due to household size above the limits established above. b. Net assets, excluding pension plans and IRA's and excluding the down payment and closing costs, do not exceed $20,000 for a household or $130,000 if one household member is 65 years or older. c. Mortgage payment does not exceed more than 30% of the monthly income for the target income level indicated in 3.1 (a)(i) on total housing costs which includes PITI and any homeowners or regular maintenance fees. d. The maximum monthly payment for a covered unit shall be calculated by utilizing the interest rate for the Oregon Bond Loan RateAdvantage as updated by the State of Oregon Housing and Community Services Department. 2. They shall remain affordable as follows: a. The purchasers of the affordable housing units shall agree to the City of Ashland Affordable Housing Resale RestriCtion Agreement establishing a period of afforclability of not less than 30 years. In no event will a purchaser be required to sell the unit subject to the aforementioned Agreement for less than his or her original purchase price, plus any applicable closing costs and realtor fees. b. For housing financed by Farmer's Home Administration (FmHA), the affordability shall be assured by the FmHA's recapture provisions FmHA which require sellers to repay FmHA for all the subsidies accrued during the period the sellers resided in the housing unit. SECTION 2. EFFECTIVE DATE. This Resolution takes effect upon signing by the Mayor. This r olution was read by title only in accordance with AShlan~iPal Code ~2. .090 duly PASSED and ADOPTED this ~/ day of , , 2006. SIGNED and APPROVED this LL day of June, 2006. fJ~"~;"M' Review as to fonn: . CITY OF ASHLAND Council Communication Preparation for Approval of the AFN Strate~ic Business Plan Meeting Date: August 17,2010 Primary Staff Contact: Rob Lloyd Department: Information Technology E-Mail: 1I0vdr@ashland.or.us Secondary Dept.: Administration Secondary Contact: Michael Ainsworth Approval: Martha Benn Estimated Time: 30 Minutes Question: Shall City Council formally approve the Ashland Fiber Network Strategic Business Plan? Staff Recommendation: , Staff recommends City Council adopt the AFN Strategic Business Plan, verifying that it meets the strategic priorities and goals of Council. " Background: As part of the 2010-2011 City Council Goals, Council set the priority of defining "a long term strategy for the Ashland Fiber Network that improves its financial viability, provides high quality services to residents, and promotes healthy economic development." The Information Technology Department (IT) is responsible for the goal and began work in April 2010. IT staff visited with members of Council, the City Administrator, City department directors, all ISP partners, and interested community members to ensure the Strategic Business Plan is based on input from AFN's stakeholders. Strategic goals were derived from comments received from Councilmembers and the City Administrator, as AFN's executive board. Input from additional stakeholders helped shape the objectives and tactical approaches used to achieve the strategic goals. Research and analysis was conducted over the April-June period to assess the options that are detailed in the document. IT worked with internal and external reviewers in the first half of July, and presented the plan to Council in Study Session, on July 19,2010. After additional edits based on feedback received, the Strategic Business Plan is now ready for Council consideration. Staff will present the strategic goals, management direction, and planned work initiatives to Council. The plan is primarily strategic and policy-oriented. With plan approval, AFN staff will work with its vendor-partners to shape specific contracts and implementation of new services offerings. Council Options: Council can (I) adopt the plan as is; (2) adopt the plan with specified changes; or (3) direct staff to rework the plan with new guidance. Attachments: Proposed AFN Strategic Business Plan dated August 20 I 0 Mayor's Summary of Meeting with ISPs Page I of I r.l' Ashland Fiber Network Strategic Business Plan August 2010 City of Ashland Information Technology Department ~~, ..- --- --- 1lpage _ __ _ _ u __ _ U~ _ _ _ _~ _ _ Executive Summary As of August 2010, the City of Ashland's telecommunications utility provides consumers with two types of services: (1) Wired and wireless Internet access sold principally through partnerships with local business resellers and (2) cable television via a local company that holds a franchise and a contract with the City to operate on Ashland Fiber Network's (AFN) infrastructure. The utility serves approximately 4,200 Internet customers and about 1,800 cable television subscribers. This strategic business plan combines elements of business planning and long- range strategic planning used in government to define AFN's purpose and business. That approach helps balance the telecommunications utility's conflicting roles as public service and revenue-supported utility. However, while AFN's history and past finances are pertinent, it is more important that the City of Ashland has a plan for AFN's future that meets outcomes required by the City and its leaders. AFN's management assessed the telecommunications utility's business and financial stability as of mid-2010. AFN's business model was deemed viable for a maximum of three years based on the advent of emerging Internet- based entertainment technologies. Two primary options were. identified for AFN's future: (1) Selling the utility or (2) reorganizing around a business model centered on revenue from new services. Analysis showed the sale of AFN likely would net a small fraction of the amount needed to payoff the 2004 bond issued by the City to cover AFN- related costs. Sale price estimates were based on revenues, value of assets, and customer value approaches. AFN's customer count represents its highest valuation, but falls well short of bond obligations. Reorganizing AFN as both an Internet provider and channel partner for telecommunications services has the most long-term financial advantage to the City of Ashland. This option contributes the most to operating costs, debt, municipal services, and maintains economic development benefits. This strategic business plan re-centers Ashland Fiber Network as a telecommunications utility that (1) retains its high-speed Internet business; (2) grows revenues through adding products and services customers demand; (3) attracts customers through valuable online municipal services and a community-owned message; (4) works with local partners to develop new services offered; and (5) clarifies the relationships AFN has with its vendors by defining wholesale-retail and full partner contract options. 21Page Successfully implemented, the plan achieves the goals AFN carries into its 2011 fiscal year. Ashland's residents would have access to a basic level of low- cost service that channels customers towards additional services offered and Ashland-specific information. This customer acquisition strategy positions AFN to have stronger financials. It would also aid in attracting potential buyers in the future, retaining the option of selling AFN at a higher price at a more opportune time, if desired. Analysis of business and revenue models show AFN must move quickly to implement the 2010 objectives detailed in this plan. The aggressive schedule has associated risks, but is necessary to reposition AFN before its revenues deteriorate seriously. Key recommendations and work for the fiscal year includes the following: o Provide products and services customers demand within the AFN channel. Do not eliminate historical partner relationships with local businesses. Instead, replace ISP partner agreements with new contracts to vendors that provide Internet and other services to customers through AFN. Work with existing and new partners to identify, test, pilot, and roll out new services. o Offer a low-cost basic access level for all Ashland community members. leverage this service to attract customers to AFN and additional services. o Improve customer acquisition and retention through one-call signup, an updated website that channels product options, integration with utility connections, an emergency notification system, and superior customer service. o Control growth of critical costs by securing a more advantageous Internet bandwidth service contract. o Enhance revenues through a new cable television services contract that addresses high-definition channels, IP-based television options, and more robust service bundles. o Adjust staffing levels based on workloads and make better use of contract services for variable work needs. o Grow AFN's economic development role for the Ashland community by working with related City of Ashland efforts, the Ashland Chamber of Commerce, and the area's economic development organizations to playa role in attracting and retaining businesses to Ashland. o Address telecommunications needs identified in the City's economic development plan through AFN's capital system plan. o Communicate more effectively with City Council and the City Administrator. As the telecommunications utility's executive board, maintain regular communications on performance metric~ and 3lpage planning items. Improve public communications related to AFN's role in the community and progress on its financial goals. . Implement a new AFN rate structure that moves away from universal flat pricing and towards a structure sensitive to consumer and business needs. Matching products with customer type, coupled with incentives for sales partners, should increase AFN's revenues. The work plan above is anticipated to stabilize AFN's revenues from existing business lines at $1.9 million, reflecting the revenue trends observed in Fiscal Year 2010: Based on the success of new products, services, and contracts in the wireless, cable, and partner-based business lines, new revenues are projected in the $105,000 to $280,000 range. Resulting total revenues of $1.9 million to $2.1 million are against $2.0 million in projected expenditures, after cost savings that have been executed or are in process. These figures do not count the one-time payment from reserves towards bond debt and does not sacrifice important capital investments into the infrastructure. Heading. forward, the foundation set in Fiscal year 2011 sets AFN on a strong course for positive net revenues in the 2012 and 2013 fiscal years. Current projections indicate achieving positive Average Revenue per Customer of between $2 and $29 is a realistic over that period. . " 41Page Table of Contents Strategic Business Pia nning........................................................................................................................... 9 Business Defi n itio n .................................................................................................................................. ....10 Sho rt History............................................................................................................................ ................10 Busi ness Description .............................................................................................................................. .11 Mission Statement..................................................................................................................... ........ .11 Existi ng Prod ucts and Se rvices .......................................................................................................... ..11 Marketing....................................................................................................................... .....................13 Distributio n I nfrastructu re ................................................................................................................. .16 Management Direction.......................................................................................................................... .18 Strategic Goals............................................................................................................................ ........ .18 Core Va lues.................................................................................................................................... ..... .19 Prici ng a nd Prod uct Differentiation .................................................................................................... 20 AI ignment with City Cou nci I Va lues.................................................................................................... .20 Business Pia nning ................................................................................................................................. ....... 2 2 Sum mary Ana lysis ....................................................................................................................:............ .. 2 2 Historical Fina ncia I Performa nce......................................................................................................... 22 Stre ngths and Opportun ities.............................................................................................................. .25 Wea knesses and Th reats.................. ................................................................................................... .26 Options..................................................................................:............................................................ .27 Fo reca sts ............................................................................................................................................... ..29 Expenditures........................................................................................................................................29 Reven ues .......................................................... :.................................................................................. 2 9 Operati ng Pia n- Yea r 0 ne .................................................................................................................... .30 New I nte rnet Ba ndwidth Co ntract ...................................................................................................... 30 New Ca ble T elevisio n Contract........................................................................................................... .30 New Busi ness Services Pa rtne r Contracts.......................................................................................... .31 1m plement New Rates a nd Prod ucts.............................................................. ......................................31 Wholesa le/Pa rtne r Co ntract 0 ption ................................................................................................... 32 Esta blish AFN Boa rd ............................................................................................................................ 34 On-Netwo rk IP Television................................................................................................................... .35 Public Pe rce ption................................................................................................................................. 35 5lpage De bt payme nt Pia n .............................................................................................................................. 35 Reo rga nization of 0 perations ............................................................................................................ .36 Implementation of AFN Ca pita I Pia n ................................................................................................... 3 7 Control I i ng Costs............................................................................................................................ ..... 38 Co ntri bute to Econom ic Deve 10 pment................................................................................................ 39 Implement Wireless Service and Begin Connected Community.........................................................39 Ma rketi ng and Ma rket Sha re ............................................................................................................. .40 Se mi-An n ua I City Co unci I Update Re ports..........................................................................................42 o perati ng Pia n -Through Yea r Th ree .....................................................................................................42 Reevaluate Divesti ng AFN .................................................................................................................. .42 Continue Implementation of Capital System Plan ..............................................................................42 Reco nstitute Ca pita I Rese rves.............................................................................................................43 Co nti n ue Expa nsion of Va lue-Added Services.................................................................................... .43 , Skills Ga ps a nd Training...........................................................................................................,.......... .43 Annual Strategic and Business Planning Update.................................................................................43 T e n- Y ea r Horizon............................................................................................................................ .........43 Staff Successions............................................................................................................................. ....43 . Ca pita I System Tra nsition ................................................................................................................... .43 I ncrea se De bt Contributio n ................................................................................................................ .43 Appe nd ix A -Sta ke ho Ider I n put................................................................................................................ ..44 Appendix B-Detailed SWOT Analysis ........................................................................................................46 Strengths...... ......................................................................................................................................... ..46 Ca pa ble Business Pa rtners ................................................................................................................. .46 Bu i It-Out and Sta ble I ncum bent.............................. .............................................................................46 Customer Service............................................................................................................:....................4 7 local Econom ic I m pact........................................................................................................................4 7 low Custome r Churn......................................................................................................................... ..48 Community Support for local Services ..................:............................................................................48 Wea knesses ........................................................................................................................................... ..49 lim ited Customer Base........................................................................................................................49 I nd i rect Brand i ng/Bra nd Confusio n ....................................................................................................49 Mixed AFN-City IT Operations..................................................................................... ....................... .49 Va lue of ISPs ....................................................................................................................................... . SO Stale Product Mix and lack of Bundles ...............................................................................................51 Com bi ned Consumer -Busi ness Rates................................................................................................. .51 61Page Pu blic Perception................................................................................................................................. 51 Revenue Risk................................................................................................................................ ...... .52 M issi ng Cove rage Areas...................................................................................................................... 52 o ppo rtu n ities ................................................................................................................... ....................... 53 Evo Iving High-Speed Ca ble Techno logies............................................................................................ 53 Wireless Services................................................................................................................................ . 54 Ca ble Se rvices R FP ............................................................................................................................... 54 I nternet Service Provision.................................................................................................................. .55 Com m unity I nternet Access................................................................................................................ 56 Additiona I Service Offeri ngs ................................................................................................................ 56 G ra nts ................................................................................................................................................. .58 Billing Services.............................................................................................................................. .......58 Sell or Fra nch ise AFN System .............................................................................................................. 58 Ba ndwidth Contract ........................................................................................ ~................................... 60 Threats.......................................................................................:.............................................................60 Bandwidth Consum ption..................................................................................................................... 61 Ove rhead Costs a nd Debt.................................................................................................................... 62 E me rgi ng Technologies...................................................................................................................... .64 Open Gove rnment a nd Com petition................................................................................................... 65 Append ix C -Cu rre nt AFN Rates Structu re ................................................................................................. 66 Append ix D- Draft AFN Rates 5tructu re..................................................................................................... 67 Appe nd ix E -AFN Max Wire less Cove rage.......................................;.......................................................... 69 Appendix F - Ash la nd Census Data ............................................................................................................. 70 7lPage CONTACTS Citv of Ashland. Administration DeDartment 20 East Main Street, Ashland, OR 97520 Martha Bennett, City Administrator 541-552-2103 be n nettm (alash la nd.o r. us City of Ashland. Information Technologv DeDartment 90 N Mountain Avenue, Ashland, OR 97520 Rob Lloyd, CIO/Director 541-552-2314 1I0vdr(alashland.or.us Michael Ainsworth, AFN Operations Manager 541-552-2316 ainswm(alashland.or.us Richard Holbo, Telecommunications Engineer 541-552-2308 holbor(alashland.or.us 81Page Strategic Business Planning Ashland Fiber Network (AFN) serves as both a business enterprise and a government entity. Organizations like these are managed under a blend of public expectations and non-tax revenue requirements that often conflict. As such, traditional business planning tools are not sufficient to organize AFN's direction. Elements of long-range government planning must also be applied in order for leaders to set a mission and goals that balance the roles of providing a public service and operating in a way that is fiscally sound. A clear vision will allow AFN to move along a path that is understood by its stakeholders, is beneficial to the community, and positions AFN to be a contributing asset for the City of Ashland. This plan references AFN's history and past performance, assesses current conditions and constraints, and incorporates stakeholder input. It also addresses community needs and economic development in defining the goals AFN must take on to remain a viable enterprise. This process defines AFN's business direction from 2010 until 2013, as well as laying a longer-term framework to react to the telecommunications landscape that continues to evolve. Toward achieving that outcome, the plan must describe elements of AFN's products and services, marketing approach, operations and organizational structure, and financial performance goals. For various reasons, Ashland Fiber Network has struggled to define a focus beyond operational effectiveness throughout its history. This plan aims to define a concerted vision for AFN. By organizing resources around a plan that meets those desires, the utility's business and staff can be evaluated for their performance on specific measures, course corrections will fit with the enterprise's long-term direction, and AFN can avoid further drastic changes in purpose, whether perceived or real. 91Page Business Definition Short History The City of Ashland's Electric Department originally presented its case to create Ashland Fiber Network (AFN) in the late-1990s. The proposal responded to the regulatory, market, and public environments of the period. It was a conspicuous time with high-technology industry taking hold, stock markets at historically high levels, capital markets flush with low-interest money, the Federal government prioritizing telecommunications services outside of major metropolitan areas through the Federal Telecommunications Act of 1996, and deregulation of energy markets setting an unknown future for public utilities providers. Ashland Electric Department presented the creation of AFN as an opportunity. The City could create a telecommunications utility to meet new demand for communications services in Ashland while diversifying and buttressing the City's electric business. Electric rates were also pledged in support of the effort. Ashland's City Council approved the Electric Department's plan to build a fiber optic communications ring in February 1997 and the City's AFN Implementation Team was formed. The AFN business plan was presented by the Electric Department to Ashland's City Council in late-1998 and was approved by Council. That plan intended for Ashland Fiber Network to be self-supporting through revenues, with initial construction debt repaid by operating revenues within a ten-year period. The AFN project experienced financial problems quickly after launch. Charter Communications purchased TCI and rebuilt their network in Ashland to create an equal alternative. Price competition ensued and AFN construction costs went significantly over budget. The telecommunications utility failed to generate positive net revenues from inception and a critical moment for Ashland Fiber Network came in 2004, when the City of Ashland determined that AFN would never be able to pay its business and intra-fund loans. $15.5 million in bonds were issued to consolidate AFN-related debt and to provide a modicum offinancial certainty. AFN continued to struggle to define its business and identity over the ensuing years. Various mangers all brought their own strategies, focuses, and organizational structures to attempt to make AFN viable. Restructurings included staff moves, separating AFN from Ashland's Electric Department, investing in new products to sell that did not materialize, contracting out operation of AFN's cable television business line in late-2006, refocusing on providing wholesale Internet service, and even crossing resources between AFN and the internal City technology division. That lack of long-term clarity has contributed to the mixed results and weak financial performance that exist today. . Ashland Fiber network has struggled during the period when its cost pressures were much lower and net revenues could have been much higher. Internet service provision continues to transform into a commodity, with characteristically low margins and limited growth potential. Indeed, Internet-based entertainment and communications services carry more value than the infrastructure those services operate on. Today, Ashland Fiber Network is a decade old and operates primarily as an Internet service wholesaler. Its revenues have not met operating and debt expenses, and capital reinvestments into the AFN infrastructure have been nominal at best. Though on a performance basis, AFN has shown strong record of meeting standard operating measures, it is not yet positioned to offer the new services customers demand in terms of planning, resources, contracts, and projects. 10 I P age Business Description Ashland Fiber Network provides advanced telecommunications services to the Ashland Community. Services currently include Internet access and cable television. Its customers are Ashland's businesses, . , residents, and visitors. AFN's customers are constrained geographically to the city, inhibiting long-term revenue growth based on customer volume. Opportunities do exist to support neighboring local governments. Mission Statement Provide Ashland with a public telecommunications utility that creates opportunities and enables our citizens, businesses, and municipal government to thrive as a connected community. Existing Products and Services Following are Ashland fiber Network's current products. AFN's products are commodity services in nature and almost identical to those of alternative providers. Though product features are essentially the same, AFN can differentiate itself on other factors, such as the having a citizen-owned service, providing superior customer service, and the positive local economic impacts of using locally-owned services and partners. Wholesale Internet Ashland Fiber Network's primary business line is wholesale Internet service provided in partnership with local businesses, called "ISP partners". This service provides the physical network connection between customers and the Internet at defined service speeds. AFN is responsible for the supporting infrastructure and contracting for the bandwidth to support aggregate usage. Current partners include Ashland Home Net, InfoStructure, Jeff Net, and Computer Country. In aggregate across all its ISP partners, AFN has approximately 4,200 customers, generating almost $1.54 million in Fiscal Year 2010 revenues. 3-Year Customer Count Trend 07/08 07/09 07/10 3-Yr Change Ashland Home Net 1301 1402 2159 858 Infostructure 1048 992 957 -91 Jeffnet 679 682 723 44 Computer Country 287 269 252 -35 Hunter/Core Digital 2 4 3 1 'Open Door 487 474 0 487 'Project A 185 158 0 -185 'Pure Geek 54 124 0 -54 *Rio 26 23 0 -26 Totals 4069 4128 4094 25 , . 11 I P age . Customer Count by ISP Parnter 4500 4000 -Ashland Home Net 3S00 -Infostructure 3000 -Jeffnet " ZSOO -Computer Country ." 1= - -Hunter/Core Digital ~ x ZOOO <[ - *Open Door 1S00 -*ProjectA 1000 -*PureGeck SOO -*Rio 0 -Totals 06/08 1Z/08 06/09 lZ/09 06/10 'Open Door and Project A merged with Ashland Home Net, 11/1/09. Pure Geek was acquired by Ashland Home Net, 12/11/09. Rio no longer offered AFN seNices as of 4/1/1 0 Wireless Internet AFN carries approximately 40 customers on the utility's AFN Anywhere, AFN Rural Wireless, and AFN Max services. AFN Anywhere is a WiFi service operating primarily in Ashland's downtown area. AFN Rural is also a WiFi service, but focused on customers in areas on the periphery of Ashland's boundaries. AFN Max is the telecommunications utility's high-speed WiMax service, which is currently being piloted with three customers. Total revenue from all wireless Internet services in Fiscal Year 2010 was approximately $6,000. This business line has the highest potential for growth. Retail Internet Approximately 60 customers connect directly through AFN and not through an ISP partner. AFN's direct retail customers mostly enrolled through an unadvertised on-network web page and pay a higher rate ($42) than the average of what ISP partners charge. This price is set to compete with ISP partners. Total revenue from this subdivision in Fiscal Year 2010 was about $27,000. High-Speed Data Ashland Fiber Network functions as a direct high-speed data retail provider to a small set of customers. Services include gigabit direct fiber-to-the-premise (FttP) services to almost 20 Ashland businesses that require high-end telecommunications services. These are higher-revenue accounts and represent approximately $200,000 in revenues for AFN annually. Cable Television AFN's cable television operations are contracted out to a local company through a head-end lease agreement. When the City elected to end its internal cable television operation, it conducted a formal Request for Proposals process to maintain Ashland's cable television alternatives. In this manner, Ashland preserved lower rates resulting from competition for residents and generated revenue on existing infrastructure. The company offers analog cable television service to about 1,800 customers. The contract accounts for approximately $110,000 in revenues for AFN annually. 12 I P age AFN's head-end lease agreement for cable television services expires in late 2010. As of July 2010, the utility has begun preparations for a new request for proposals (RFP) process to replace the contract. The RFP is planned for release in August and will address capacity to offer service "bundles" to match those offered by alternative providers, as well as cover more of AFN's infrastructure maintenance costs and costs of regulatory compliance. Marketing Ashland Fiber Network, in its role as a wholesaler, expends approximately $25,000 annually on advertising to promote the AFN brand. The challenge inherent in directly marketing the AFN brand is that it detracts from the ISP partner relationship and draws customers directly to AFN instead of to ISPs. Even when an AFN representative signs customers up with ISP partners over the phone, the AFN-ISP partner relationship confuses many consumers. Further, AFN's low customer acquisition rate reflects a minimal marketing approach on the part of ISP partners that will not capture more of the Ashland market over time. AFN's work with ISP partners on defining AFN as a co-brand can and must be improved to achieve market share goals. Models that use incentives for increasing revenues, acquisition of new customers, and customer satisfaction are an untapped tool for AFN and will play an essential future role. Customers Citizens of Ashland are generally well-educated, technologically sawy, and are apt to adopt new products and services quickly. These customers also show a tendency towards buying local and supporting their community. The City's demographics trend toward a mature community. The City's population is predominately over 18 years old (-80%), and has a relatively high population cohort over the age of 65 years old (-15%). The over-65 demographic tends to have a high level of disposable income and, so, is highly sought-after. The employed workforce largely is in the Healthcare, Retail/SerVice, Social Services, Manufacturing, Construction, and Federal/State/local Government sectors. The large proportion of Ashland businesses are small businesses employing nine people or fewer. The community's few, large employers include Southern Oregon University (-775 employees), the Oregon Shakespeare Festival (-500 employees), Ashland Community Hospital (-400 employees), Ashland Public Schools (-300 employees), and the City of Ashland municipal government (-250 employees). Currently there are approximately 4,200 active modems in the City of Ashland subscribing to AFN. Due to Ashland Fiber Network's relationship with its retail partners, AFN lacks most customer and service data. This makes it difficult forAFN's management to react to emerging demand on anything but a broad level. Current Demand Customer bandwidth consumption averages just over 350 Mbps as of the end of AFN's 2010 fiscal year. This was a one-year increase of about 100 Mbps, or 40%. Based on industry reports and surveys of communities with municipal telecommunications networks, this growth rate is roughly representative of the national trend. Usage is expected to rise at an even faster rate through the end of the 2010 calendar year. 131 Page While the bandwidth usage growth rate is consistent with the nation, in Ashland the average per- customer bandwidth usage is as much as three times higher than in other fiber network implementations. Without detailed market research, the operating assumption is that Ashland's high bandwidth usage rates reflect its larger proportion of telecommuting workers, small businesses, and consumers attempting to stay connected with distant friends, family and cultural events. Bandwidth Growth on AFN 600.00 500.00 400.00 300.00 200.00 100.00 '-- 0.00 ... ... ... oo oo oo '" '" '" 0 0 0 .... .... .... N N N m ~ 0 ~ ~ ~ 0 ~ ~ 0 ~ ~ .... ~ .... ~ .... .... .... .... - ~ - - - - - - - N <t> 0 N <t> N <t> 0 N <t> 0 N <t> 0 N <t> 0 N .... .... .... .... .... .... -mbitsf. , Market Share Ashland Fiber Network's Internet service market share is estimated at 41% of all households; business accounts are not distinguished due to lack of full customer data. There are approximately 1,300 homes for which AFN cannot provide wired services due to various construction, contract, and funding issues associated with the original AFN build project. This puts AFN's market share at just over 47% for homes it can reach. The telecommunications utility will use the broader market share rate as its performance metric due to efforts to broaden high-speed Internet services to reach all of Ashland. Ashland.lnternet Market Share 8000 . (us.tomers . Non-Customers 12000 10000 6000 4000 2000 o 2007 . 2008 2009 2010 2011 2012 2013 (Est) (Proj) (Proj) IProj) 14 I P age Customer Churn AFN ISP partners acquire new customers at an average monthly rate of less than 0.6%, quarter-to- quarter. This acquisition trend is somewhat positive and highly consistent over the time period. 15P partners have not invested heavily in continuous advertising AFN services to date, with the exception of Jeff Net, which contributes to a very slow growth rate. 5000 4500 4000 3500 3000 , 42 i , QtrJ!Qtr2Qtr3Qtr~Qtr~Qtr2Qtr3Qtr4IQtrl . Qt"IQt"f', Qtr2 Qtr2 '. .' FY07 FY07 FY07 FY07 FY08 FY08 FY08 FY08 FY09 FY09 FY09 FY09 FY.fO FY10 90 AFN's churn rate is steady at approximately 21% per year. The telecommunications industry typically has one of the highest churn rates of all major sectors based on low switching costs and similarity of products across alternative providers. Indeed, moving to a new cable or Internet provider, wireless carrier, or phone company is most often a quick and easy process, leading to an average telecommunications churn averages just above 30%, according to a 2009 international study from Sweden's lulea University of Technology. That study also showed churn rates to be consistent internationally. AFN's churn rate consequently places it at the low end relative to national companies. This is very desirable as it tends to require less marketing costs to reacquire customers with no increase in overall revenue. However, the churn rate is also difficult to put into perspective. AFN's churn rate may be low because of customer loyalty, attraction to a community-owned utility, a shortage of equivalent options, distaste for competitors in the marketplace, the churn rate in the southern- Oregon region may simply trend lower than average, or any combination thereof. In any case, AFN should work to maintain its low customer attrition. Customer Preference and Growth Trends A foremost trend in the current telecommunications industry landscape is consumer adoption of smartphones with wireless entertainment and connectivity options. The popularity of Blackberry devices in the business space and then mass adoption of Apple's iPhone on the consumer side have shaped this movement. The recent and massive release of Apple's iPad, fast growth of devices based on Google's Android operating system, new non-telephone functions, and expansion of Apple and Android applications stores all point towards an accelerating trend for the coming two years. The number of customers using the Internet by smartphones is impressive and is affecting the entire telecommunications industry. Although smartphones services are driven by the respective cellular carrier of the device used, small businesses such like those in Ashland require options to access that market. These are needs AFN and its business partners can help meet. 15 I P age Under the trend towards service bundling, companies typically offer some combination of television, telephone, and Internet services to customers with additional savings for each additional service brought to the company. For example, a customer with cable television may opt to add telephone service with a $5 discount, and then opt to add Internet service for an additional $5 discount. Bundles decrease the revenue margin on services, but attract and retain customers. Customer . churn rates decrease when a customer has increased difficulty moving multiple services to alternative providers. Only one AFN partners currently offers a service bundle option: Growing AFN to obtain a commanding market share will be difficult. Internet access is a commodity- type service offered within a highly competitive telecommunications industry. Price is the driving factor for many customers and AFN has no prospects for obtaining Internet bandwidth at rates lower than Qwest and Charter. The situation is the same for AFN's cable television vendor's ability to obtain better prices for programming. Coupled with a finite number of businesses and residents within Ashland's boundaries, expansion will reflect a mature arid slow-growth market model. Industry Trends Cellular service providers are currently advertizing "broadband" services to consumers and are positioned to shape a large portion of Internet usage due to the increasing prevalence of web- enabled mobile devices. Increased bandwidth demands connected ~o this trend have begun to hit cellular carriers. Capacity on some networks and for some popular services is at its limits. Other carriers have recently invested billions of dollars in augmenting their networks. Key factors with the growth of smartphone-based Internet usage are how it affects bandwidth usage trends and whether wireless services begin to replace wired access-e.g., telephone companies struggled against dwindling revenues as cellular companies have grown. Bandwidth utilization by customers is another broad industry issue. Telecommunications companies are working to find tools to tamp down certain types of consumer behaviors, such as Comcast's pursuit of controlling traffic to suspect file sharing sites. These efforts have implications to "net neutrality", or the belief that all traffic on the Internet should be treated equally. The Federal Communications Commission has already signaled its intent to regulate how Internet providers are allowed to manage traffic on their networks. This has the potential to shape some of AFN's network management options, such as utilization-based rate structures and download usage limits. Distribution Infrastructure The 2009 American Reinvestment and Recovery Act's (ARRA ) Broadband Stimulus program defines "broadband" as a terrestrial data delivery service capable of speeds of at least 768 Kbps downstream and 200 Kbps upstream. The four current technology standards capable of providing data at those service levels are Digital Subscriber lines (DSl), Hybrid Fiber-Coaxial (HFC), Passive Optical Networks (PON), and Worldwide Interoperability for Microwave Access (WiMax). Ashland Fiber Network's network architecture is a Hybrid Fiber-Coaxial design. This mode is the type of system almost all cable companies operate on. AFN is also designed to accommodate the future deployment of a PONS network, if needed. Passive Optical Networks use an un powered fiber-to-the- premise architecture. DSl services are provided by local incumbent local exchange carriers (llEC) like Qwest, and offered either directly to customers or through resale agreements with competitive local 16 I P age exchange providers (CLEC) who lease Qwest lines. Some AFN ISP partners offer DLS via leased Qwest services. WiMax wireless services operate either in private spectrum or in shared spectrum licensed by the FCC. Locally, ClearWire is providing this type of service north of Ashland. Ashland Fiber Network has a license for service in the 3.65 MHz spectrum and has had the deployment of Wi Max services to Ashland customers as a primary project for three years. The City's hybrid fiber-coaxial system consists of approximately 25 miles of fiber connecting neighborhoods, 118 miles of coaxial cable connecting home and business structures, three primary antennas supporting WiFi service in the downtown area, and one WiMax antenna piloting a new service. Organizationally, the City's Information Technology Department completed a skills inventory and reviewed workload requirements in May 2010. That assessment showed AFN to have the required skills to meet existing performance metrics and the expertise to manage AFN through designs planned through the end of 2013. However, as a small organization, there are skill areas related to physical fiber maintenance for which AFN needs more depth and must adjust. The workload related to Public Utilities Commission correction work is also expected to decline, which will shift staffing priorities in the future. Capital Infrastructure Planning In June 2010, AFN completed its tentative three-year system plan for the telecommunications utility, pending approval of AFN's business plan by the Mayor, City Council, and the City Administrator. The system plan sets future infrastructure performance metrics to ensure AFN's service quality, migration to an updated architecture and associated technologies, staff training requirements, and a schedule for AFN's capital investments. Of key importance in AFN's System Plan are the network's Iifecycle and eventual transition to all- fiber communications as triggered by increasing demand for high-bandwidth online services-e.g., consumer and business utilization of data-heavy spatial mapping, high-definition Internet movies, Internet-based television, and social networking applications. Per the system plan, AFN will need to begin investing more into full fiber-to-the-premise services over the coming four years to remain viable. Beginning early will spread the cost 'across years and allow the cost to be covered by annual revenues as much as practicable. Hybrid Advantages The City of Ashland is fortunate Ashland Fiber Network's design was architected as it was. Fiber optic technology was considered somewhat "future-proof' at the time of AFN's construction. Fiber carries full-spectrum capacity, against which nothing is faster. The hybrid design avoided the full cost of a much more expensive all-fiber system for which demand did not yet exist. Ashland took a progressive design step in implementing a fiber-based core for its system, thereby ensuring AFN could handle future bandwidth demands that were unknown at the time. Staff, consultants, and the AFN Technical Advisory Group comprised of local experts that assisted the City in setting AFN's technical design deserve credit for a solid foundation that has withstood the tests of ten years of operation. In matching telecommunications industry trends, AFN has also followed the forward end of the telecommunications industry. The costs for keeping the infrastructure current have been moderated by being in-step with industry demands. Some companies and local 171 Page governments have had much higher hardware and consulting costs because of bleeding-edge designs. Management Direction Defining Ashland Fiber Network's strategic and tactical direction directs the utility's human and financial resources towards defined outcomes. Strategic Goals Staff met with the Mayor, City Council Members, and the City Administrator to assess views on the direction Ashland Fiber Network should take. Common historical and forward-looking themes arose, centering on financial stability, paying AFN-related debt, connecting community members, and operating efficiently. With this input, the following general goals for AFN were defined: Financial Stability Operate Ashland Fiber Network as a government enterprise. Cover operating expenses and capital investments within the operating budget generated through revenues. Manage products and rates to be competitive with other alternatives in the community. Contribute to Debt Service Contribute to the Ashland Fiber Network debt service to minimize the burden on the City's General Fund and individual department funds to the maximum extent possible. At the same time, do not compromise effective operation and maintenance of AFN as a City asset. Aim to pay 33% and, if possible, 60% of the annual 2004 bond payment as the portion directly attributed to AFN's start-up costs. Community Access Provide a basic level of access open to all members of the Ashland community. AFN should not charge users for the service that connects the community in addition to taxes and fees already paid into the City. Community Internet access should include wireless access methods. Community Coverage Complete Ashland Fiber Network to cover 99% of the community's boundaries, minus locations wherein property owners elect not to have Ashland Fiber Network physically present. Contribute to City Operating Costs Pay City of Ashland internal services charges on par with peer departments. Share in these expenses to allow tax revenues to go towards primary municipal programs to the maximu'm extent possible. Derived Summary Strategic Goals Statement 1) Serve as a self-sustaining public utility _ a. Introduce new products and services to increase revenues to pay for AFN's operations, capital investments, and a set portion of related City debt service. b. Stabilize revenues for core business to exceed $1.9 million annually. c. Increase AFN-debt share to at least $460,000 of the City's $1.4 million annual payment. d. Reduce bandwidth costs by at least SO% from Fiscal Year 2010 rates. e. Reduce overall operating costs by at least 5%. 181Page 2) Serve as a community resource a. Build AFN into a central community resource for information. b. Provide community Emergency Notification System with at least 10,000 enrollees. c. Provide a basic level of Internet access to Ashland residents at low-cost. 3) Drive increase in market share a. Charge rates competitive with alternatives Internet service providers. b. Achieve and sustain an Ashland market share of at least 50% of homes. c. Improve infrastructure to enable Internet service at 98% of Ashland properties at speeds of 1 Mbps or more. d. Maintain a customer churn rate of 20% or less. e. Provide prices and services that meet or exceed the needs of Ashland citizens and businesses. 4) Provide customer service excellence a. Achieve customer service scores at or above 60% rating AFN-related as "Good" to "Excellent" based on surveys. b. Improve service sign-up and support processes with Business Service Partners to capture at least 40% of new service inquiries received by AFN. c. Ensure infrastructure meets 100% of defined performance and quality metrics. Core Values 1) AFN values its customers also as citizens, neighbors, and owners. We will treat them with kindness and respect. 2) We are stewards of public resources. This helps us focus on providing a superior service, working responsibly, and achieving reasonable costs. 3) As Ashland's telecommunications utility, the work we do, services we provide, products we sell, and investments we make should first and foremost enhance the local economy. Financial Sustainability-R ~ DE + C + D Beginning in Fiscal Year 2011, managers of Ashland Fiber Network will conduct their duties within the tenets of meeting financial goals and serving as stewards of AFN. AFN management views the telecommunications utility as a community resource belonging to the Ashland community. R - Revenues generated from all AFN operations must equal or exceed its costs. OE - Operating Expenses incurred from the operation of AFN, including staff salaries and benefits, bandwidth charges, allocated internal service charges, and other normal expenses for services and goods used. C - Capital investments made into the asset that increase and/or maintain its value. D - The portion of annual debt service payment assigned to AFN. Stewardship 1. Provide services that are competitive with alternatives available to the citizens and businesses of Ashland. If there is a prevailing service need in the community that other companies do not offer, strive to meet that need at an economical cost. 2. Maintain prices that are competitive with alternatives available in the region. 3. Provide superior customer service to differentiate AFN from alternative services. 4. Ensure AFN's infrastructure meets the high performance and quality metrics defined for it. 19 I P age Pricing and Product Differentiation 1) Ashland Fiber Network cannot compete with larger service providers on the basis of price. Economies of scale for regional and national telecommunications companies are significant. 2) AFN will succeed on the basis of the product it sells-superior customer service, reliability, local economic impact, and performance. Alignment with City Council Values Participatory Government Ashland Fiber Network will support open, accessible, honest, and democratic government through providing low-cost community Internet in City limits. In addition, the AFN website will serve as a channel to access the City of Ashland website, municipal services, and community resources. AFN will be efficient and effective with public funds by executing its work plans effectively and by serving as a good steward of financial resources. Low-cost Expression By providing low-cost Internet access and having citywide coverage, Ashland's citizens and visitors will have the ability to exchange diverse ideas without restrictions long social and economic lines. In that way, creative contributions of the arts, cultural activities, and community events will be supported. Diversity AFN will work to encourage an open environment among its business partners to include all businesses. Local business participation in AFN is also valuable due to its ability to keep dollars in the community. Economy The local telecommunications utility supports the Ashland economy by attracting and retaining businesses to the community that depend on advanced telecommunications services. With AFN's business partner model, the utility nurtures home-grown business and to connects consumers to local products, services, arts and culture, and educational institutions. In helping local businesses succeed in providing good wages and economic choices for individuals and families, AFN also supports high-quality public services resulting from tax revenues and the participation of more residents in their government. Distinctiveness Ashland Fiber Network is a rare and progressive community for taking the step to steer its own growth by creating a community-owned telecommunications utility. Regardless of any struggles, AFN continues to work through partnerships with local businesses to meet the . telecommunications needs of Ashland's citizens, businesses, and visitors; it represents an innovative approaches Ashland took'to chart its own course. Education AFN will continue to support education in the community for its social, economic, cultural, and civic contributions. 20 I P age Basic Needs The community telecommunications utility will support emergency notification messaging to Ashland's residents. Community Ashland Fiber Network strives to be a part of what makes the community a unique and special place, with resident that participate in their community and feel a sense of belonging. When AFN succeeds, residents can communicate better, look out for each other, and support those in need. 21 I P age Business Planning Summary Analysis Historical Financial Performance As of Fiscal Year 2010, approximately 84.6% of AFN's revenues derive from its wholesale Internet business line. High bandwidth costs are beginning to hurt the margin between Internet service revenues and associated costs of goods sold. The overall revenues from this business line have the potential to fall in the coming years based on introductions of high-speed wireless options from cellular carriers and marketing efforts by companies offering various high-speed alternatives. Because such a large proportion of the telecommunications utility's total revenues come from this business line, AFN is especially sensitive to major changes in the industry that affect Internet service prices and costs. Current AFN Revenues by Business Line $2,500,000.00 $2,000,000.00 $1,500,000.00 ~Total Revenue $1,000,000.00 __Internet Service $500,000.00 __High-Speed Data __Cable $0.00 &- ",(;3 ~'b ",(;3 r;:;(;;"> ~~ <o~ ,; ",q ~ (;;~ ~.,. (;;.... "'(;; ,; o~ o~ ~< ~< ~'" ~ "'(;; "'(;; 2007 2008 2009 2010 (Est) 2011 (Pro]) High-Speed Internet 9.3% 11.2% 10.6% 10.8% 9.5% Internet Service 64.5% 81.1% 82.3% 83.4% 82.5% Cable 25.5% 7.7% 7.0% 5.8% 7.9% 0.7% 0.0% 0.0% 0.0% 0.0% Total Revenue 100% 100% 100% 100% 100% Average Revenue per Customer Net Average Revenue per Customer (net revenue divided by total number of customers) is a common telecommunications industry metric for assessing business performance. Under this measure, Ashland Fiber Network has a weak performance history. Accounting for 2007 figures that are distorted by a partial year of offering cable services in-house, the City's telecommunications 22 I P age utility has a history of negative average revenue. This is true despite minimal capital investment in the past three years. From a net of $85.64 per customer in 2007 that resulted from outsourcing cable television operations, AFN generated a loss of -$47.38 per customer in 2008, a positive $12.29 per customer in 2009 (due to almost no infrastructure investment); and -$4.44 per customer in 2010. looking at revenues and expenses in detail, the 2010 figure reflects higher costs for Internet bandwidth, recovery of bad debt, and delays on infrastructure upgrades related to new services. Current AFN Average Revenue per Customer $150.00 I $100.00 $85,64 $0.00 _NetAvg Revenue per Customer _ Versus Market Average $50.00 -$47.38 _Versus Competitors -$50.00 -$100.00 -$54.72 -$74.81 -$106.31 _ Versus Market leader -$150.00 2007 2008 2009 2010 2011 2012 (Updtd) (Proj) (Proj) 2013 (proj) The -$54.72 per customer loss projected for Fiscal Year 2011 results from $233,500 in planned capital investments, some of which was carried from Fiscal Year 2010. This is a drastic shift from the minimal investments made between 2008 and 2010. Average Revenue per Customer would b~ $0 per customer without the larger required capital line. These figures exclude an additional $344,000 AFN is contributing to debt payments from reserves. The Average Revenue per Customer metric would show a -$134.72 per customer loss if payments from reserves were accounted for as an operating expense. Comparing AFN 's Net Average Revenue per Customer metric to industry standards underscores how AFN's performance has lagged. against industry benchmark leaders, averages, and companies that vie for the same customers as AFN (Charter and Qwest). More important however is the long- term trend: In its current form, AFN is a declining business. Cost pressures from personnel, bandwidth, overhead and debt, and the need for capital investments would otherwise make Ashland Fiber Network a non-viable business beyond the three year horizon as Average Revenue per Customer losses exceed -$100 per customer, beginning in 2014. 23 I P age Debt The City has a large debt outstanding that directly relates to constructing and operating Ashland Fiber Network. In 2004, all construction costs from two bank loans and operating losses funded through internal borrowings to that time were refinanced with a $15.5 million bond issue pledging the City's full faith and credit, which is its ability to pay with any legal revenue stream including property tax proceeds. The components of the financing were $9.3 million in construction and $6.2 million to cover losses and issuance costs. The interest rate was the best the City of Ashland could have achieved at that time, even with a municipal guarantee, due to the performance of the enterprise to date, instability of the industry, and complexity of the operations requiring the issue to be a taxable rather than tax- exempt financing. The annual debt service of $1.4 million is distributed to the City's General Fund and all utility activities with AFN paying $356,000 in the earlier years and $700,000 budgeted in FY 2011. The higher amount is from ending fund balance that was generated by the 2004 refinancing, but was maintained through AFN operations. The higher contribution cannot be relied upon in subsequent years without depriving AFN of funds needed for operations and capital costs, so other sources must be identified. Since AFN "grew" out of the Electric Department, this fund has always been considered "first in line" in guaranteeing AFN's debt, even after the 2004 refinancing. In 2008, the City decided to use a $636,000 refund on wholesale power purchases from Bonneville Power Authority to assist in paying the debt service in fiscal years 2009 and 2010. The Electric Fund currently contributes $252,300 toward the debt each year and has made operational transfers to support AFN on several occasions. If AFN went back to an annual $356,000 contribution towards its debt and the difference was absorbed by the Electric Fund the impact on rates would be in the 2.3% to 2.5% range. 2004 Bond for AFN-Related Costs $30,000.000 $25,000.000 $20,000.000 $15.000.000 $10,000,000 $5,000,000 iii Remaining P+I . P+I Paid by EOFY2011 $- ~ ~ ~ ~ ,'I, ,'l- ,~ ,'> ,"\ ,'b ~ cCl- :0> '!}'I,'~'I,'~'I,''P' <}'I"'t'.,,,# '!}<pi' ~<p:.~<pi' <}<pi' 'I,,~i' '!}~rf> ~~:.~~rf> In the event AFN were not able to continue as a viable business, revenues would cease to be generated to help cover payments, as well as the general and administrative costs allocated to City departments through a cost accounting model. The full impact of central services charges and AFN- 24 I P age related debt would consequently be placed completely onto the City's General Fund and all utility activities. The importance of Ashland Fiber Network's reorganization should be understood in that context. The critical fact is Ashland Fiber Network has a large debt load for a utility of its size. The City does not have an opportunity to refinance this debt at this time due to market constraints and an inability to improve interest rates'on the bond. Hence, AFN's financial history will continue to affect its decisions and direction. . . Strengths and Opportunities Ashland Fiber Network has strengths that make a business model focusing on revenues from new services possible. The Ashland area has partners who can work with AFN to offer services nearly all other small cities could not. A largely built-out and stable infrastructure, along with a high entry cost for any potential new providers, creates a defensible business position. AFN's reputation for superior customer service is a forte that it can capitalize on to differentiate its products and services beyond price competition. Similarly, AFN can differentiate itself as a community telecommunication utility if it can effectively communicate the'benefits of keeping dollars in the local economy, supporting local businesses, and sustaining municipals services. The community role of AFN is an asset that is special to Ashland-the success of food banks, food cooperatives, and community events indicate sophisticated consumers who make decisions based for reasons beyond simple price. Those types of consumers can understand and support AFN for broader economic reasons. This may be one reason why AFN has experienced low customer churn rates for years. With respect to opportunities, the telecommunications industry is in a period of especially rapid change. Innovation creates both new business prospects and unfamiliar risks that must be managed. One certainty is that AFN has the infrastructure to support the level of bandwidth demands expected in the coming years. Updating hardware to use the newest cable modem technology standards . (DOCSIS 3.0) create the capacity for services speeds of up to 50 Mbps are AFN's next progression in its system plan. High-speed WiMax services are an opportunity area with incredible potential for AFN and the Ashland community in terms of community coverage and new revenue. Ashland Fiber Network's cable television services contract and franchise are up for renewal in late 2010. The opening exists to modify service to be more competitive with alternative products available to Ashland's residents. For example, adding an option for high-definition channels makes AFN-based cable services at least competitive and will help mitigate the customer losses AFN's current vendor is experiencing. Related, the contract may also address options for adding an on-network IP-television solution to hold ground in the emerging and critical Internet-TV battle. An on-network solution would help control bandwidth costs by reducing the amount of television traffic that is point-to-point uni- cast, with a more efficient multi-cast model. One recurring debate affecting AFN's future is the decision to sell Internet services directly to customers, or through partners. On one side are increased revenue margins from eliminating the share paid to IPS partners. ISPs do not offer the same value as when customer depended on dial-up servers, an entry portal, and email accounts-e.g., America Online and CompuServe of old. On the other hand, some ISPs offer computer support in addition to Internet access. ISP partners are often more agile in bringing new services to market and acquiring new customers than a government agency. Whether to use partners to sell AFN services will likely remain an issue of contention, but 25 I P age AFN's most direct route to adding revenue through new services is through strong partnerships with local companies like its existing partners that can help meet the needs of Ashland consumers. Offering low-cost community Internet access is a novel direction that has been debated in Ashland Fiber Network's history. It seems a natural direction for a resource aimed at economic development, having a connected community, and encouraging public participation in government and public events. Low-cost service is representative of the natural conflict for an agency that must be both a public service and supported by its revenues. All this said, AFN has the chance to offer a very basic level of service low-cost of charge to residents and visitors and meet its connected community charter provided it can (1) achieve significant reductions in bandwidth costs and (2) employ low-cost access as a means of introducing users to additional services and products that generate revenue. Weaknesses and Threats A primary weakness for Ashland Fiber Network is its limited customer base. The fact that Ashland has less than 15,000 households eliminates most growth and volume strategies. It also limits economies of scale that regional and national providers can achieve. Another weakness is the indirect branding of AFN with ISP partners. The confusion some customers have regarding their relationship with AFN detracts from the product differentiation that will be pursued heading forward in that it detaches AFN's connected community and public resource goals from its products. That weakness must be corrected in the coming months. The core of a new revenue business strategy fitting a limited market is the introduction of additional and high-quality products. In this area, AFN has significant internal weaknesses. Budgeting and hiring processes are structured for transparent government and not speed, compensation practices are less incentive-based, personnel costs are much higher, and hiring/releasing staff to meet fluctuating consumer demands is not practical. This connects to the essential role of partners to create products and services to sell, and the strength AFN has in those types of vendors being at its disposal. As an example, AFN already has the partners to offer the bundling of cable television, Internet, and telephone services. The telecommunications utility's partners have simply not had adequate incentive to partner with each other to assemble those packages for sale. The result has been lost revenue and' customer attrition that can be prevented in the future. The merging of consumer and businesses products in AFN's rates and charges is another primary weakness. As usage patterns and service requirements differ between those customer segments, product offerings should be made to fit. This can help improve revenues by creating an easy path to additional services the customer may need to support their business operations that are beyond simple Internet access-e.g., IP telephony, website development, backup services, and online store hosting. A related weakness is the lack of coverage in areas, inhibiting potential revenues for the unsatisfactory reason of lack of access. Internal weaknesses center on the'mixed operations of Ashland Fiber Network and the City's internal IT service division, producing some confusion in resource allocation. The ability to create redundancy across operations is still possible, but must be accounted for appropriately for improved resource decisions from IT and AFN managers. The concentration of revenues in Internet service provision is another weakness that is addressed with the new services revenue strategy. As those revenues grow, AFN's sensitivity to Internet service rates also decreases. For example, a major drop in Internet service prices would cause severe revenue issues for the telecommunications utility. 26 I,P age AFN Revenues by Product Group (2010) . Hia:h-Speed Data _Internet Service . Cable _Other A last but nonetheless critical fault is public perception. An almost habitual reference to AFN as "debt- ridden" must change. A customer who believes AFN is a liability to the community will struggle to also believe it is a positive community resource, which negatively impacts AFN's product differentiation in marketing. Positive progress and economic impacts, along with a restructured presentation of AFN debt in the City's budget process may be the only means of addressing that perception. Central to AFN's weaknesses and threats analysis is its operating overhead and debt costs. As with any business, controlling these factors is an essential element to the success of the business. At the same time AFN takes on more of the annual payments on the 2004 bond issue than in previous years, it must be recognized that those liabilities are a systemic drag on AFN's bottom line. That is not to say AFN baring a significant share of those costs is not appropriate, nor at what level. Simply put, it is a real but necessary weakness. Critical bandwidth consumption and cost, threats from emerging technologies, risks associated with business planning in a public setting, and the potential negative impact of the broader economy are addressed in more detail in other parts of the AFN Strategic Business Plan and its appendices Options Option l-Sell AFN The option of selling Ashland Fiber Network has arisen at numerous points in the utility's history. Businesses and community members have contacted the City of Ashland about purchasing AFN as recently as early-20lO. However, the option is appealing only to the degree it allows the City to concentrate on traditional municipal services, reduces the City's long-term liabilities, and retains the positive economic effects of having strong competition for advanced telecommunication services. Valuing businesses for sale can be a very complex analysis. Standard valuation methods fall into three general categories: (1) value of the physical assets of the business, (2) value based on a multiple of the net revenues the business has achieved, and (3) value as determined by an industry- standard metric. It must be understood that value analysis is inexact. Ultimately, a business is worth whatever a buyer will actually pay for it based on their own assessment of the performance of the business and its fit with the buyer's other services and/or products. 27 I P age The following valuations assume that the City would receive full payment from a buyer upon conclusion of a sale, and that all proceeds from the sale of AFN would immediately be applied to paying down or paying off the City's 2004 bond issue. In the cases of franchising AFN and continuing its operations, figures are unadjusted for inflation due to the current exceptionally low rates, unknown volatility, and potential for deflation. Transaction Type Sale on Value of Assets Sale on Value of Income Multiple Sale on Value of Customers Franchise/Lease Operations Continue Operations Net Return -$9.3 million -$7.9 million -$9.0 million -$12.7 million -$6.8 million Notes Sale price minus debt P&I Sale price minus debt P&I Sale price minus debt P&I As depicted, the City of Ashland has no net-positive options. However, the value of a sale fluctuates with the market. The option exists for the City of Ashland to look at selling Ashland Fiber Network at a later date and for a higher price if AFN's reorganization is successful. Option 2-Restructure AFN for Revenues from New Products Continuing the operation of Ashland Fiber Network is the City of Ashland's optimum alternative based on analysis of sale, franchising, projected revenues, and risks. In many ways, the reality is the City cannot afford to sell AFN and must realize the best possible return by maintaining the business for the foreseeable future. However, because of industry trends, continuation must be accompanied by a business plan that finally achieves revenue growth, realizes significant reductions in the cost of operations, and preserves the value of AFN's infrastructure as the utility's means of offering the telecommunications services customers pay for. Planned AFN Average Customer Revenue $150.00 I $100.00 $85,64 $50.00 $0.00 .$14.97 .$50.00 .$47.38 '$100.00 2007 2008 2009 2010 2011 (Updtd) (Proj) 2012 (Proj) 2013 (Proj) . Net Avg Revenue per ,Customer . Versus Market Average . Versus local Competition . Versus Market leader The plan presented here has the potential to reverse a long trend of losses in Ashland Fiber Network's history. An important fact is that under the business model in place, AFN has lost money 28 I P age in eight of ten years of operation. Mitigating this' fact is that the positive year in 2007 resulted from an accounting change, while the positive year in 2009 resulted from cancelling investments into the network infrastructure. Forecasts The following business forecasts are for Option 2 as the City of Ashland best alternative for Ashland Fiber Network. Expenses are projected using most-likely scenarios and with changes to operations that are complete, in-progress, and planned. Conversely, estimates for revenues are given in ranges due to inherent uncertainty associated with customer adoption of new product offerings. Expenditures AFN Management anticipates decreased personnel and benefits costs in 2011 due to the reduction of one position, along with substantially higher capital costs associated with implementing new services and updating the systems supporting customer modems. In FY 2012, a planned staff reduction of an additional 1.0 FTE is represented in the Personnel line, partially offset by increased benefits costs and contract work to cover variable needs. Capital expenses remain at relatively stable levels in FY 2012 and FY 2013, leading up to projected increase in demand for speeds requiring fiber to the premise (FltP) services. Operating expenses in FY 2011 are presumed to stay stable with expected savings on bandwidth balancing the costs of AFN's low-cost service and increased overall usage. Total ba~dwidth costs are projected to jump in FY 2012 as a critical mass of customers transition to Internet-based television and movie options. That market is also expected to stabilize on a smaller number of alternatives, but with unknown options for on-network offerings. By FY 2013, projections for bandwidth utilization stabilize at a lower rate of growth. Expenses Personnel Operating (with 8andwidth) Debt Capital Cost of Service 2010 (Updtd) $552,685.00 $874,323.00 $356,000.00 $82,300.00 $1,865,308.00 i&iii'i~~~ II(SSS'1!,7.00!OO. .S5951000!OO_ c.i$ji:C iIilIS953!900!OO_ E9911!000!00_ . i!}SJ5Jj1oo0T001iIII(S356foOOWO_ .S356fOOO!OOIllll "I$~3J~50_QJQQIII.$.1.W500!OO_ _S{l.28~100!00_ $2;008}20s10oP\'!' ~~2TOO~~10Q.!llQil!! "$~ll!Z~~1Q.!!1ll.!!f} Revenues As proposed, AFN's revenues are projected in the table, below. Revenues from the high-speed data business line thatprimarily serves local business are expected to drop from preceding levels as other options catch up in speed and become reasonable alternatives. Small growth is viewed as likely long- term, with development activity in Ashland playing the major role in determining whether revenues will be closer to minimum or maximum projections. If AFN is.successful in its marketing approach and with its low-cost Community Connect service, low growth is expected for the Internet Service line that includes wholesale services. Though customer share is projected to increase, margins will decrease due to competition and declining prices. 29 I P age The Wireless services business line carries AFN's greatest immediate potential growth, which is expected to increase from about $6,000 today to between $25,000 and $40,000 a year in 2013. This growth could be higher, but is limited by antenna requirements consumers will encounter.. AFN's Consumer Services business line represents its share of sales of additional services provided by business partners that contract with the City. This part of AFN's business is the least predictable until AFN compl'!tes its contracts with partners and assembles its portfolio of new product offerings. Revenue High-Speed and 8usiness Internet Service Cable Wireless Consumer Services Other Total Revenue 2013 (ProjMin) $165,000 $1,800,000 $204,799 $30,000 $38,000 $1,000 $2.238.799 Operating Plan- Year One 2013 {proj Max} $190,000 $1,975,000 $250,000 $40,000 $50,000 $5,000 $2,510,000 New Internet Bandwidth Contract A new Internet bandwidth contract must be competitively bid out to procure bandwidth services in place of the City's current expiring contract. The new contract sought will be structured with a base number of years, with one-year extensions at the City's discretion. Renewals will be based on performance on defined metrics, reductions in bandwidth costs, vendor cost, solutions that generate savings, and meeting the general terms and conditions of the contract. The awarded vendor will also be responsible for providi!lg periodic reports and evaluations, allowing for opportunities to update services and expenses. 8andwidth represents a critical component of AFN's operating expenditures. Accelerated growth in the cost of bandwidth has the potential to outpace revenues and make AFN unable to meet its financial goals. It is imperative that expense reductions are renegotiated to reflect projected open market declining rates. Furthermore, the new contract will move away from prescriptive designs and evaluate on the basis of performance metrics and the technical migration plan submitted to move from existing services to new ones, as required by the bid. In so doing, AFN wishes to capitalize on the creativity of potential vendors to produce more cost-effective solutions. The goal of this RFP will be to reduce costs by at least 50% by the last year of the contract. New Cable Television Contract AFN must execute a contract that better captures the costs of maintaining the cable television infrastructure and staffing for installations. AFN management will look to increase the value of the contract along these lines. Together with Franchise Fees required from all of the City of Ashland's' cable operators, the Request for Proposals (RFP) planned for release in August 2010 will require cable television services be offered to Ashland residents with fees that cover costs. Goals for negotiations are as follows: 30lPage Cable Lease 2011 2012 2013 Staff $ 83,940.06 S 86,458.27 $ 89,052.01 1 FTE (Sal + Benefits) (Non-lead Rate) Space $ 18,200.00 $ 18,200.00 $ 18,200.00 $1,SOO/ mo Space Rental + $200 Access/Security $7, 120/mo Network Capital and Operating Infrastructure $ 85,440.00 S 85,440.00 S 85,440.00 Maintenance Share PUC/Regulatory $ 12,106.74 $ 12,106.74 $ 12,106.74 Tickets. Hours. Hourly Rate Total $ 199,686.80 $ 202,205.01 $ 204,798.75 An additional priority will be to ensure Ashland's residents have robust choices in cable television programming, such as digital channels, high-definition television, personal video recorders, and other services currently not offered by the City's vendor due to the analog signal restriction in the existing lease. New Business Services Partner Contracts Current ISP partners have been allowed to operate without a contract with the City of Ashland and AFN for more than two years. This must be rectified and also redefine AFN's vendor relationships. The ability of business partners to offer the value-added services AFN's strategic business plan requires is essential, as is AFN's access to some customer and usage data. Based on historical performance, AFN will need to incorporate terms and conditions to protect the City legally and financially. Terms will define requirements for on-time payments to AFN, sharing customer data, and relaying timely messages to customers for special events and maintenance work. Additional potential terms to negotiate include agreements for advertising support and contractual incentives for customer and revenue growth. Contingency The primary contingency direction is for AFN to pursue a single contractor to handle those services AFN cannot perform cost-effectively on its own. The amount of time to turn the telecommunications utility's operations around for the long-term is limited. In the event that (1) master contract negotiations reach an impasse with partners or (2) the multi-partner model fails to show significant revenue and market share improvements, the contingency would need to be activated. AFN would issue a request for proposals to acquire one partner to render all customer acquisition, marketing, and user support. This model would likely speed revenue and marketshare improvements. However, it deviates from the goal of AFN to broaden opportunities to 'additional businesses in the community. It also moves AFN into the position of offering services as a direct retailer. Implement New Rates and Products AFN offers a range of Internet product packages. Heading into the 2011 fiscal year, AFN will broaden its services catalog to offer more value-added options through its vendors. This is anticipated to grow revenues outside of AFN's commodity wholesale Internet service business line. This presents the best option for AFN to balance the cost pressures of bandwidth consumption, price pressures of alternative 31 I P age products, reduce revenue source risk, and meet goals set with the Mayor, City Council, and City Administrator. The following Products and Rate Structure will combine to permit AFN to provide a low-cost, very basic access level, full community coverage, and strong customer service while transitioning towards a use-based rate structure that is more sustainable. Products and Rates Past rate models use broad categories more suitable to an Internet environment that once had few high-bandwidth options for consumers. Today, Internet television, downloadable movies, and massive multi-player online games are ubiquitous and consume bandwidth at far greater levels. The new rates and charges model proposed links Internet usage with the costs of the service and that provides product options for defined types of consumers. This constitutes a major shift from the current approach in recognizing consumer needs differ from businesses needs through a cost difference. For example, business accounts tend to have more users and require faster response when support issues occur. Service packages allow customers to quickly identify and align with the services they require, along with options to customize the service if added value is perceived. The reintroduction of consumer versus business pricing will better match utilization with costs. Related, the recent introduction of rate structures with usage caps by AT&T, Comcast, Verizon, and others makes AFN's transition consistent with what customers are seeing elsewhere. The proposed rates structure is projected to save more than 80% of customers money. However, it has the important potential to increase revenues as some customers opt for advanced speeds and services to support their changing needs. AFN management expects resistance from some existing ISP partners in enacting this change. Ultimately, the change is consistent with the market and with competitors such as Comcast, AT&T, and Verizon. It also aids AFN in controlling excessive use by a small number of customers who can impact network performance experienced by many users. AFN and ISP partners will need to work together to introduce and support the new rate structure in a coordinated manner. The rates Ashland Fiber Network's Business Partners pay will change. AFN averages over 70 installations per month, for a total of approximately 840 new installs per year. AFN management will look to update rates to reflect actual costs when setting new rates. Similarly, AFN will appropriately charge when a Business Partner incorrectly refe'rs a customer support call to AFN staff as a network outage issue receiving priority response. Wholesale/Partner Contract Option Ashland Fiber Network has traditionally viewed vendors serving as ISPs as full partners. This has proven impractical at various times as some vendors offer competing services and have internal company rules that inhibit acting in mutual interest on critical decisions. For example, one current ISP partner has a policy that prohibits sharing customer data with AFN. Another ISP partner has a policy prohibiting co-branding in marketing efforts, thereby blocking any direct relationship between AFN and consumers of its services. 32 I P age To accommodate the long-term ISP partners while also providing a path towards revenue and market share growth, AFN management will implement a two-tract contract arrangement. Under the first tract, AFN will serve strictly as ~ wholesaler. Vendors under this "Retail Option" will have no requirement to include the AFN brand in their marketing and sales, nor be required to share any customer information to AFN other than modem and service package. AFN would not take any service calls from vendors' customers and would be charged for installations, disconnects, and customer account reactivations. The contract's second tract will be the "Partner Option". Under this, the vendor and AFN agree to work in full partnership-marketing efforts would include both the vendor's and AFN's branding; customer and data sharing will exist; an incentives structure will be implemented to help partners grow; and partners would have representation on AFN's Executive Advisory Board. Existing and potential customers will be directed to only Partner Option vendors, including customer contacts via the AFN website, when signing-up for utility services, and when AFN receives requests for service upgrades and bundles. AFN will work with the City of Ashland's Administrative Services Department to also offer the ability to integrate vendor service billing with the City's utilities billing processes as a means to reduce waste. New Services' New services are intended to meet the needs of Ashland's citizens and businesses. Executed well, this differentiates AFN's product from others by giving options that local customers demand and by meeting needs other providers do not. AFN must balance most new product offerings to justify investments made through a thorough return on investment analysis for each service. Other service additions simply keep AFN equal as an option to other providers in the eyes of customers. The following services are a mix of products and services that equalize AFN with other providers and others are focused on more as new revenue. generators. Implementing the new product catalog supports reversing the current trend of declining revenues by forming AFN into a value channel that generates additional business and through limited new customer acquisition and more services per customer. At the same time, compared to private- sector telecommunications companies, AFN's Average Revenue per Customer will likely remain below average due to the low-cost Community Connect service and other operating cost constraints. . Community Services-Available to Citizens at No Additional Cost AFN Communitv Connection . Slow speed . Very low-cost . Opening AFN Access webpage . Feeds into Community Portal Page . Customer data protected Ashland Emergencv Notification Svstem' . Register phone numbers, email addresses, and other contact information . Receive alerts/directions in the event of disaster/emergency/major hazards 33 I P age . low-cost to users . Telephone support for users wanting to register .; Online streaming of emergency radio signal . User data protected . May require additional funding . Value Services-Available to Customers at Additional Cost Consumer . IP-Based Home Telephony with QoS o Phones o lines o long Distance o Email-to-Voice o Voice-to-Text . PC Support . IP Television Appliance . QoS Add-On . Home Security System Business . Multi-line Telephony System with QoS o Phones o lines o long Distance o Email-to-Voice o Voice-to- Text . Website Development . Website Hosting . Online Store Development . Online Store Hosting . In-Store Wireless for Customers . Business Security System Partner Fees-Costs of Services Provided to ISPs/Business Services Partners and the City . Hourly charges for technical support when extra capacity exists . Fees for SCADA system telecommunications "QoS" = Quality of SelVice Establish AFN Board Create an Executive Advisory Board to provide City Council with guidance and direction pertaining to Ashland Fiber Network's strategic and tactical direction. This board should primarily represent the interests of Council and the City AFN, but include partner representation for practical input. Proposed roles of board include the following: . Approving business plan updates and modifications for presentation to City Council . Approving major projects and capital carryovers . Approving rate structure changes for presentation to City Council 34lpage . Recommending contract approvals for presentation to City Council . Approving business reports and updates for presentation to City Council Proposed composition of the board: 2-Mayor and/or City Council members for elected officials i-City Administrator or their designee for the municipal government i-Information Technology Director or their designee representing management of AFN 2-lndustry professionals from successful public telecommunications enterprises i-Current AFN partner to represent partners' interests in the telecommunications utility enterprise On-Network IP Television Ashland Fiber Network will explore options for an on-network Internet television product with its Business Partners. If feasible, this is a key option for using on-network multicasts to reduce costly bandwidth consumption for media over the Internet. Public Perception Moving public sentiment and media coverage as AFN's results improve will be critical to the utility's marketing approach. Restructuring the presentation of AFN-related debt to create a more complete picture is a requisite step in that effort. Specifically, IT will need to work to present more information, AFN's progress in owning an increased portion of debt, and related issues. For example, information on ho~ the City's 2004 bond is paid and overall progress made in repayment provide a more circumspe~t view to counter negative impressions. Changing public perception of AFN's history will aim at shifting focus on to products and services for sale. That focus will pair with business partner marketing efforts to support AFN's new revenue- centric strategy. Debt Payment Plan To manage operating expenses in balance with capital investment requirements, this strategic plan relies on holding AFN's share of debt service payments at the rates expressed in the table, below. To achieve the 45% of debt goal in 2014 and beyond, AFN must hit high revenue targets, reduce its cost of bandwidth, and invest in infrastructure at the prescribed. rate. It is exceedingly unlikely that AFN will exceed a 50% share in the foreseeable future. Year 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 Forward (Goal) AFN Share of Debt $0 $0 $0 $356,000 $356,000 $356,000 $700,000 $460,000 $460,000 $600,000 3S I P age Reorganization of Operations AFN management will better segregate AFN finances, functions, and operations from those of general City IT services. This permits accurate accounting of the investments resources applied to AFN apart from unrelated City resource investments. To accomplish this, the Information Technology Department will reorganize into the divisions displayed with the chart, below. An IT Manager will oversee City IT services while IT Director will manage Ashland Fiber Network through its work plan. The reorganization reduces staffing by 1.0 HE in Fiscal Year 2011, then by another 1.0 FTE in Fiscal Year 2012. This nets savings of approximately $60,000 in 2011 and $165,000 in the two successive fiscal years, after accounting for projected salary and benefit cost increases. City Council -, , .! L- IT Services Divsion (1.0 FTE) Business Systems Section (3.0 FTE) Customer Support Section (3.0 FTE) Network Management Section (3.0 FTE) Customer Service Section (3.0 FTE) !710.02.Business Systems !710.02.Customer Support I 1_._._._._._"_._ -., , , I , , '691.02.Services ~691.02.Direct Internet 1691.02.Wholesale Internet iS91.02.Television _._.-l AFN management will also work with the City of Ashland's Administrative Services Department to restructure the finances of the telecommunications utility. The effort refines management of resources between the City and AFN to prevent diminishing City services when AFN is faced with financial pressures, or the reverse. This has occurred in the past and while easier in day-to-day management, resources must be reimbursed across divisions to keep the finances of the operations whole. The restructuring will also permit the City's IT Department to track and report on the value of new services by product categories quarter-to-quarter. Based on trouble ticket loads and goals, there is the option of eliminating one AFN position. A services contract better fits some of AFN's variable work, for which services are better paid for on an as- needed basis. This will be possible once Public Utilities Commission corrections are complete and WiMax installations are finished-timing that yields personnel savings without impairing revenues from adding services. Additionally, if the introduction of new services justifies a new or temporary position with offsetting revenues, AFN must retain the option of acting on that need. 36 I P age Implementation of AFN Capital Plan Performance Metrics Standards for performance are partly driven by demand and partially by competition. To be competitive, AFN will need to provide similar speeds and price points as local competitors. Relative to product quality achieved through the municipal telecommunications system and its providers, AFN must also build to meet the expenses of maintaining its network to a level that supports projected usage. To date, AFN's oversell rate-the ratio of maximum capacity to maximum usage demand-has been maintained at a level many times lower than the typical commercial provider. 2011 -2013 Measure Download Speed Up To: Upload Speed Up To: Uptime to Meet or Exceed: Maximum Average Response Time: Maximum Bandwidth Cost: Up-To Speed Performance: Maximum Annual Customer Churn Rate: 35 M bps 10 M bps 99.9% 20 ms $204,000 No less than 75% 20% 2014-2016 Measure Download Speed Up To: Upload Speed Up To: Uptime to Meet or Exceed: Maximum Average Response Time: Maximum Bandwidth Cost: Up-To Speed Performance: Maximum Annual Customer Churn Rate: 50 Mbps 15 Mbps 99.9% 20ms $276,000 No less than 75% 20% 2017-2020 Measure Download Speed Up To: Upload Speed Up To: Uptime to Meet or Exceed: Maximum Average Response Time: Maximum Bandwidth Cost: Up-To Speed Performance: Maximum Annual Customer Churn Rate: 100 M bps 25 M bps 99.9% 20ms $408,000 No less than 75% 20% 100 Mbps is the Federal Broadband Initiative goal for all communities in the United State, to be met by 2020. Capita/Investments Ashland Fiber Network's capital investments have been nominal over the past three years. The City's Capital Improvement Plans show intent to refresh certain hardware, make continuous investments to broaden coverage, and add infrastructure to support new services. Those planned investments were not made for various reasons. 37 I P age Capital investments are now aligned with AFN's new System Plan without the need to stop and restructure AFN's portfolio of upgrade projects. It is important to note that the absence of investments has not permanently impaired the telecommunication utility's services against the performance metrics defined in the horizons of this plan. However, significant future investments loom. To support bandwidth demand expected by 2015, AFN will look to invest up to $1.8 million from revenues into its fiber'to-the-premise (FttP) services as customer orders and trends dictate. This strategy will be updated annually to course-correct as consumer and business bandwidth consumption take shape against new Internet-centric technologies. It will also be constrained by the ability of AFN to pay for the upgrades. Capital investment from AFN System Plan FY 2011 FY 2012 FY 2013 FY 2014 FY 2015-2020 $218,500.00 $147,500.00 $128,100.00 $210,000.00 $1,400,000.00 Strategic capital investments are critical to maintaining AFN's value into the future. A poor infrastructure provides slow and/or unreliable service and will fail to maintain customers. That, in turn, would erode revenues and create systemic weaknesses in AFN's infrastructure over time. Maintaining infrastructure therefore accomplishes two purposes. First, it maintains the value of the system. Second, it answers the concerns of business partners whether they are offering services through a strong and reliable channel. AFN's ISP partners have, in fact, expressed their desire for assurances that selling AFN services would be good for their customers over the long term; transitioning customers to new products because AFN does not keep pace equates to undesired higher customer attrition. A related ISP partner concern has been whether City priorities for funds on the municipal government side will take away from AFN's maintenance. The fear of lost customers because AFN fails to keep a healthy infrastructure is fair and should be prevented. Controlling Costs Controlling bandwidth.consumption is a key piece of controlling AFN's operating expenses. Monthly usage caps are an increasingly common practice with telecommunications companies for that reason. As of May 2010, AT&T, Comcast, and Verizon have all announced or implemented a usage cap structure for their products in the past year. Beginning in 3Q201O, AFN will look to institute a new product and rates structure with caps. Proposed caps will affect less than 1% of AFN's customers and are more generous than caps published by the other telecommunications companies. Customers will also be allowed to transition when they choose, unless they hit a general usage ceiling. In that event, customer service representatives would contact customers to help them choose the package that best fits their needs. On a practical level, a customer who hits a monthly usage cap will see their speed throttled down until the next measurement period, or until they paid an additional fee for overage use. Usage will be viewable via a meter on a customer web page linked to the AFN website. 381Page Maximum usage caps aid AFN in controlling the bandwidth consumption of a few customers who negatively impact the speed experienced by other customers on the same node of the network. AFN would be a first-follower in implementing this kind of change, behind the companies mentioned previously, and would use a "soft cap" that charges only a small overage with the goal of helping the customer perceive and regulate their own usage. AFN management will not pursue a SO mbps product to match the fastest option offered to Ashland residents in Fiscal Year 2011. This "Halo Model" marketing is used to generate media attention and consumer interest. Sales are normally limited by the vendor to a tiny percentage of customers. Consistent with AFN's no-gimmick approach, the product is unsupportable at reasonable rates and will not be matched. Contribute to Economic Development The Ashland Fiber Network has fostered a solid working relationship with the Ashland Chamber of , Commerce and business owners in the community. AFN management has represented the City on the Chamber's Economic Growth Tactical Team to quickly respond to inquiries from business owners interested in relocating to Ashland. AFN will maintain a similarly active role. This will focus efforts on working to successfully attract prospective business owners to relocate to Ashland, who AFN will support as future customers. AFN will also pursue partnerships with economic and business development organizations to help achieve the goal of maintaining prevailing wage and primary jobs in Ashland. A tactical response team consisting of the Ashland Chamber of Commerce, AFN, and the Southern Oregon Regional Economic Development, Inc. (SOREDI), private non-profit organization, can assemble to quickly react to any business owner considering relocating in or out of Ashland. This response team would provide / business assistance, expansion, and relocation services to Ashland. Grow AFN's economic development role for the Ashland community by working with local governments, the Ashland Chamber of Commerce, and economic development organizations to playa role in attracting and retaining businesses in Ashland. Maintain AFN's capital system plan to support the telecommunications needs as identified in the City's economic development plan. Implement Wireless Service and Begin Connected Community AFN's Wireless Services is its one business line that has strong growth potential in terms of net revenues. Customer requests indicate a rising demand for high-speed wireless services in business areas, where AFN's wired infrastructure cannot reach, and in areas where there is no coverage by alternative providers. Wireless services can come in two modes: WiFi and WiMax. WiFi has limited range and speeds, whereas the faster and fartherreaching WiMax standard requires special antenna devices to access communications spectrum. AFN implemented its pilot WiMax project in early-201O to gauge the service and serve as a proof of concept for subsequent infrastructure investments. Two customers are using the service as of May 2010, with feedback being positive. Ashland Fiber Network is on track to offer its AFN Max service in the fourth quarter of 2010. As stated previously, the return on investment period for AFN Max is under three years using conservative estimates. . 39 I P age Propagation models indicate AFN's WiMax project will increase coverage to reach up to 98% of the area in Ashland's boundaries. Marketing and Market Share New Marketing Strategy As part of a new marketing approach, Ashland Fiber Network will need to set a Marketing Strategy connected to its partner contracts. The approach must address the problems of AFN-partner branding, emphasizing AFN's local service-local impact-local quality product differentiation, and develop a means for AFN to serve as a co-brand that depicts community connectedness. Operationally, improvements identified that will facilitate customer acquisition, customer retention/low customer churn, and market share include the following. Planned Ashland Internet Market Share 12000 8000 D Customers . Non-Customers 10'000 6000 4000 2000 o 2007 2008 2009 2010 (Est) 2011 (ProD 2012 (Proj) 2013 (Proj) Low Barriers for Customers The customer acquisition and support coordination between AFN and its ISP partners has not made customer signup as easy as possible in the telecommunications utility's first decade of operations. Customers have had negative reactions to the confusing and inconvenient requirement that they call1SP partners to sign on with "AFN" -only after which the customer could call AFN to schedule their service installation. Presumably, just as many called other providers in the area and were lost as customers. 40lPage AFN management and staff are working on process improvements. Customers who call AFN are now supplied with a listing of ISP partners and their brief tag lines. They can make their selection at the time of first call and also schedule their installation appointment. Additional improvements should include enhancements to the AFN website with a focus on the utility's new marketing strategy and easy sign-up for AFN services. Similarly, AFN staff will work with the City's Customer Service Division to offer Internet service with utilities connection. Accounts Receivable Policy Ashland Fiber Network's accounts receivable policy will continue to recognize revenues on an accrual basis. In support of this policy and beginning in July 2010, AFN will require payment from customers and ISP partners for services within 30 days of due, or service will be terminated. This will prevent high bad-debt costs in the future. AFN will also assess the financial viability of all partners before having them as customer options beginning with the 2011 fiscal year, including a potential deposit and credit-line requirements. Bundled Services Menu Bundled services are a marketing and retention tool and do not directly enhance revenues. Rather, service bundles reduce customer churn and tend to reduce customer acquisition costs due to an average loss rate. The following services would be offered through Business Services Partners either individually, or working together to assemble competitive packages. Savings are expected to be approximately $5 for each service in addition to the first. The advantage to service bundles is that they should require minimill to no infrastructure investments to offer. Consumer . IP-Based Home Telephony without Quality of Service (QoS) . Cable Television . IP Television Appliance . Internet Access . Online Storage and Backup . Smartphone Support . PC Support . Home Energy Management . Home Security System . QoS Add-On, $10/ month Business . Multi-Line Telephony System with Quality of Service (QoS) . Office PC Support . Smartphone Support . Server Hosting . Website Hosting . Online Store Hosting . In-Store Wireless for Customers . Online Storage and Backup 41 I P age . Office Energy Management . Business Security System ~ Semi-Annual City Council Update Reports Produce and present a semi-annual report for the City Council and City Administrator with the following information: . Customer Churn Rate and Performance to Goals . Estimated Market Share, Access, and Performance to Goals . Revenue Trend and Performance to Goal . Operations Cost Trend and Performance to Goal o Speed o Reliability/Availability o Capacity . Status of Capital Plan and Project Performance . Debt Payment Performance to Goal . Summary of New Products and Performance o Emergency Notification System Utilization . Summary of Marketing Activity o Low-cost Service Utilization Summary o Account Upgrades Summary o Customer Service Ratings Performance to Goal . Summary of Economic Development Activity . Provide customer service excellence Operating Plan-Through Year Three Reevaluate Divesting AFN It will continue to be important to reevaluate the City of Ashland's options for divesting Ashland Fiber Network periodically. Options include selling the infrastructure, contracting out operations of the system for a set amount of revenue to the City, and segregating AFN off as a City-owned but wholly separate and independent enterprise. Where the telecommunications utility's performance improves, the value of the enterprise to external parties increases and the point may come where the City can payoff enough AFN-related debt to make a deal worthwhile. Deciding whether to keep AFN as a municipal government operation or divest it in some form has other consequences. Any deal would need to maintain the municipal government business network, on which the City's communications and data depend. Other factors to consider related to City Council's ability to steer AFN's strategic priorities to influence economic development in the community, availability of advanced telecommunications services for citizens, and support for other educational and governmental programs that are priorities to the City's leadership at any given time. At minimum, the successful reorganization of AFN's operations to produce positive net revenues after debt payments provides the City with more and better options in the future. It is a primary aim of this plan to provide those options to the Mayor, City Council, and City Administration. Continue Implementation of Capital System Plan Phase in first components of fiber-to-the-home (FttH) to be ready to offer the service in the future. 42 I P age Reconstitute Capital Reserves As revenues permit, build reserves to pay for larger capital investments in fiber-to-the-home (FttH) build out in 2014 and 2015. Contin~e Expansion of Value-Added Services Improve business analytics capabilities to continue to pursue services citizens, businesses, and visitors demand. Skills Gaps and Training Investments into training are becoming critical after three years of nominal to no investments in staff skills. AFN's training program will address skill gaps in the telecommunications utility's operations while not significantly increasing expenses. The investments will also serve staff retention and motivation purposes, including preparing technical employees to have needed skills well in advance of AFN's next technology migration. Annual Strategic and Business Planning Update Generate updates to this AFN Strategic Business Plan as major internal, local, regional, and national trends emerge. Ten-Year Horizon Staff Successions Though AFN is no longer single threaded regarding specific staffing skills and/or duties, a formalized staff succession plan is being implemented so that duties can be transitioned in the event of staff absence or turnover. AFN will use a skills matrix approach that identifies AFN services and the discreet skills required to maintain those services. The process will then have employees formally document their duties, skills and skill levels, followed by reviews with supervisors to ensure skill levels are rated correctly and consistently. Managers will then identify depth requirements based on service needs and service criticality, identify holes, and work with staff to create development goals to fill in those gaps. Capital System Transition The AFN System Plan identifies the need to execute projects to migrate AFN to a Passive Optical Network design in 2014. This migration will keep AFN level with alternate service providers in meeting anticipated customer demand for online products and services. However, AFN's network design staff also believes the national telecommunications industry, which is highly reliant on hybrid fiber-coaxial (HFC) networks, will produce or motivate alterative HFC plant upgrade solutions before AFN must make its most significant migration investments. The industry has billions invested in HFC designs and will not easily abandon them. Increase Debt Contribution A primary focus of AFN management will be on increasing revenues. The most conservative figures are used in long-range planning for heightened accuracy. However, if AFN meets the most optimistic figures for cost savings and revenue increases, the telecommunications enterprise may be able to contribute to debt service at a rate approaching 50% of annual payments. AFN will work to be able to pay for one half of the annual payment amount on its bond beginning in Fiscal Year 2014. 43 I P age Appendix A-Stakeholder Input Stakeholders are parties and individuals who have a major interest in, or may be substantially impacted by, Ashland Fiber Network's operations. For the .purposes of this strategic planning process, six stakeholder groups were identified. . Mayor and City Council-Serving as AFN's de facto executive board of directors, this group sets the telecommunications utility's strategic priorities for the future. The Mayor and City Council must also ensure that AFN's performance serves the best interests of the City of Ashland organization, as they 'determine it. . City Administration-The City Administrator must balance all of the City's operating needs with the policy direction of the Mayor and City Council. The City Administrator has legal responsibility for setting the City's budget, capital improvements program, and ensuring compliance with all applicable statutes and regulations. . Citizens of Ashland-Ashland's citizens are the owners of Ashland Fiber Network, as the municipal telecommunications utility. The citizens of Ashland also pay into the municipal government's tax base and have a consequent interest in bonded debt being paid. . Business Partners/ISPs- There are currently four Internet Service Provider partners working with AFN, down from a high of eight. These private businesses sell AFN services directly to consumers and businesses for a markup on wholesale rates. They have a direct financial impact from whatever direction AFN takes, but no absolute or dedicated stake in AFN's viability as they may also resell similar services from other vendors. . Information Technology Department/AFN Staff-City staff in the Telecommunications Division/AFN maintain the AFN infrastructure, work with ISP partners to coordinate and troubleshoot, and are direc~ly impacted by any reorganization of AFN. The Information Technology Department met with all identified stakeholders between March and June of 2010. Summary input received by stakeholder category was as follows: . Mayor and City Council-The Mayor and City Council members had varying degrees of focus on Ashland Fiber Network. Overarching goals received centered on the following feedback: (1) The need to make AFN financially viable long term; (2) AFN should continue to provide quality service; (3) AFN must cover 100% of the community in some way; (4) AFN should endeavor to find a way to pay for a third to a half of the 2004 bond debt; and (5) AFN should playa role in economic development. . City Administration-Given AFN's history and the City's financial status, one priority is the City Administrator's need for AFN to pay as much of the annual debt payment on the 2004 AFN bond, as well as a share of the City's administrative costs commensurate with AFN's utilization of those services. Additional priorities noted included the need for a clear strategic direction and for AFN to cover its own capital and operating costs into the future. , . Local Businesses-AFN has and can continue to playa role in the City's economic . development. Surveys in 2008 indicate AFN has had a role in attracting businesses to locate in Ashland and discussions with the Chamber of Commerce reinforced the role AFN can play in bringing employers to the community, responding to the needs of businesses to keep them in the community, and helping businesses compete better on a national to global scale with easy-access telecommunications services. The Chamber is also supportive of the concept of low-cost community access to the Internet as a value point for companies and residents looking to move to Ashland. 44lpage . Citizens of Ashland-AFN could be a good resource for the community, but it has a poor reputation in the minds of many given the project problems and debt issues reinforced in local media. Taxpayers and ratepayers are contributing to the debt. A low-cost basic level of access is something some community members would like the City's telecommunications utility to pursue. . Business Partners/ISPs-Strongly-express the thought that the AFN should not take on the role of a direct ISP, in competition with their businesses. Most are willing to pursue revenue and growth opportunities with AFN, though some are undecided. The ISPs asked about making an offer to purchase AFN if the City carries the entire debt. The majority do not want the City and AFN to provide low-cost community network access as it would harm parts of their businesses. However, some understand how the City could use such a service to develop a value channel that attracts new customers who are more loyal. . Information Technology Department/AFN Staff-Observations are that the original AFN project's financials needed better planning and that many opportunities have been missed in the past 10 years wherein AFN could have performed better financially. Staff is proud of the work they have done and the service levels they achieve. Most want to see AFN (1) become financially viable; (2) no longer serve as a debt-ridden failure in the eyes of media and City leadership no matter how well AFN may perform; and (3) continuation of the strong team that currently exists. , 4S I P age Appendix B-DetaiIed SWOT Analysis Strengths Capable Business Partners The Ashland community is fortunate to have a mix of small businesses in the local area that are formidable providers of software development, telecommunications, technical support, and other technology-related services. Project A's work with communities on government websites and online transactional services have helped produce numerous Digital Cities of America and Best of the Web award recipients. Ashland Home Net has a compelling history as the community's Ashland-only cable television and Internet service provider. Computer Country has loyal computer support customers and has partnered with Data Center West to offer an area collocation facility and managed IT services. Hunter Communications has built an impressive network infrastructure and is a leading provider of high-speed data, telephony, and cabling services in the region. InfoStructure offers an array of service options, including telephone and Internet services, web hosting and email, and a quickly growing portfolio of business customers for which they provide full telecommunications services. Jeff Net operates a regional radio station system that spans a large portion of Oregon and northern California and is a leading voice in many of their covered communities. The potential role facilitating telecommunications and technology services through local companies then centers on two core strengths-(l) the real ability of AFN's partners to quickly offer new, competitive, and quality technology services to meet the emerging demands of Ashland and (2) AFN's capacity to connect citizens, businesses, and visitors with the maximum local benefit. Area businesses grow and add living wage jobs when AFN fulfills this role. An important secondary effect comes with AFN's partners financially supporting municipal services through shared revenue agreements. Ashland Fiber Network, as it was originally conceived, had the intent of creating these public/private partnerships so as to provide services to the Ashland community. However, other than its wholesaler relationship with its ISP partners, AFN has not successfully developed new services under those partnerships. Much of this may be attributed to initial project issues, consequent financial struggles over the ensuing years, and resistance from businesses that were uncertain of AFN's direction. The situation remains that AFN can and is ready to make strides in this area to support itself financially. Built-Out and Stable Incumbent A primary advantage in AFN's favor is its existing infrastructure. The build-out is expansive and carries the capacity for the telecommunications utility to provide new services. This advantage puts AFN on nearly equal footing with alternative options on a functional level. Internet-based services must run on a physical infrastructure, giving three options: AFN, Charter, and Qwest. AFN's network design was created and implemented with a focus on both performance and longevity. It is situated to allow upgrades as technologies change in the future with incremental expense instead of requiring major periodic rebuild. AFN's design remains flexible enough to accommodate the progression through its System Plan while remaining compatible with the emerging fiber optic technologies. More novel designs at the time would have proven much more expensive to operate. 46 I P age Customer Service The customer service ratings of local telecommunications companies are low on Overall Satisfaction measures from J.D. Power and Associates. Ashland Fiber Network has a compelling advantage on this factor with service representatives who know the local area's neighborhoods and who have performed at a level that has earned the City many positive calls and compliments. Unlike regional and national companies, AFN offers its customers local service representatives who are well-qualified technically and are invested in customer care. This is a core competency that helps drive AFN's value in the eyes of potential customers, who also are AFN's owners. 2009 Internet Service Provider Residential Customer Satisfaction Study West _.ORead.hep,e..Relea... I Earth Link 00000 "l - ]~~.]~l _.....,!Z!l1).. Sort: ... OVerall Performance Cost of Satisfaction and Reliability Service Ic"::_":'-~" Customer Service Ratlflgs Factor.. Offerings and Promotions Charter II ',:~ II.' )'11';,. II ;M 00000 00000 00000 00000 00000 00000 ---_._--~~~ 00000 00000 00000 00000 00000 00000 00000 00000 00000 00000 00000 00000 00000 00000 00000 00000 00000 00000 00000 00000 00000 00000 00000 00000 00000 00000 00000 00000 00000 00000 AT&T Yahoo! 00000 Cable One 00000 ----- 00000 00000 00000 00000 Comcast Co. EarthLink A'Nard Recipient Billing II -\'if/~Yk\:'<,' 00000 00000 00000 00000 00000 00000 '~";II:::':;~f"~';Y.lt<.;,: :1,-:.1 00000 00000 00000 00000 00000 00000 Em"", 00000 Frontier 00000 Medilllcom 00000 -- Qwesl 00000 Time Warner 00000 Cable (RRI Verizon 00000 00000 00000 00000 00000 00000 00000 00000 00000 00000 ------- 00000 00000 00000 ScorIng Legend 00000 Among the best OQOOO Better than most. 00000 About average please note that J.D. Po,..,er Consumer Center Ratings may not include all information use"d let determine J.D. PQ'.'Ver and Associates awards. 00000 The rest Local Economic Impact One advantage identified at the onset of founding a municipal fiber optic network was the benefit the service would have to the Ashland economy. The original vision pointed at adding job opportunities for residents through telecommuting, as well by making it possible for Ashland businesses to grow by effectively reaching national and even global markets. Determining value on this impact is difficult, but access to affordable and advanced telecommunications services presumably makes a community more attractive to companies than cities that lack those options. 47 I P age In addition, the economic impact AFN has had on the Ashland community has likely been significant. Through its own services and by accelerating telecommunications infrastructure investments by other companies, Ashland has benefited from related construction income at the same time it gains access to advanced services atypical of cities outside major metropolitan areas. Indeed, the President's National 8roadband Plan and Omnibus Broadband Initiative identify the poor extension of advanced telecommunications as a continuing problem and national priority. As the National 8roadband Plan states it, "broadband in America is not all it needs to be. Approximately 100 million Americans do not have broadband at home. Broadband-enabled health information technology (IT) can improve care and lower costs by hundreds of billions of dollars in the coming decades, yet the United States is behind many advanced countries in the adoption of such technology". On this level, Ashland is a community that has positioned itself well by having Ashland fiber Network. Over the past ten years, revenues generated from AFN cable television and Internet services have remained in the local area, supporting its jobs and government services. As described in the earlier section covering AFN's products and services, price competition for cable television also saved Ashland residents more than $5 million through lower cable television rates than in neighboring communities. The ISP partners have financially benefited, as well. To date, AFN Retailers have generated at least $10 million dollars reselling AFN services to community residents. Much of those funds remained in the community and supported area jobs. The financial pressures AFN has faced since its early days may have detracted focus from AFN's real and potential economic benefit. And yet, the economic activity generated has been significant by any measure. AFN can and must play an even stronger role in economic development by working more closely with partners to provide incentivized telecommunications packages for businesses moving to the Ashland area, or looking to locate out of it for reasons AFN can help mitigate. Low Customer Churn Churn is a fundamental measurement of any subscription service and is a key metric in the telecommunications industry for ascertaining the performance quality of a company's cable television, Internet,.telephone, or wireless services. Generally stated, acquisition and reacquisition of customers is expensive. Superior products and high customer satisfaction improve customer retention and indirectly redu~e costs. As detailed in the Customer Trends section, Ashland Fiber Network's churn is very low compared to companies offering similar services nationally. Surprisingly, Southern Oregon University's (SOU) academic calendar also has no correlated impact on AFN's. churn rate, which may contribute to the low churn number. Of the approximate 5400 full-time students, approximately one-third live on campus, one-third commute from neighboring cities, and one-third reside in off-campus housing. Students living on campus have service provided through the University and non-residents are not potential customers. Of SOU student's, AFN's university customers are only those who live off- campus. Many of those customers live with other students in shared rental housing, with a high likelihood at least one resident will remain during the summer. Community Support for Local Services As important as any other strength is the value Ashland's citizens place on supporting local business. With its high education and close community traditions, AFN can forge relationships with customers in 48lpage a way most private companies cannot. Ashland also has sophisticated consumers who do not purchase goods and services solely on the basis of lowest price, which is the marketing emphasis must telecommunications companies have. As evidenced by how the community has made endeavors like Ashland Food Coop and open markets viable over the long term, Ashland's citizens will look at the overall value and impacts of their purchases. AFN has the potential to serve as a unique hub for a truly connected community, provided it obtains. the support of community leaders, continues its tradition of customer service excellence, does well communicating the local benefits of AFN services, and turns around its reputation in the eyes of local media. Weaknesses Limited Customer Base The City of Ashland is a geographically bound area with a finite, almost static population. Coupled with the historical desire not to expand services to neighboring cities for financial and political realities, these factors restricts Ashland Fiber Network from pursuing most growth strategies focusing on sales volume and market growth. That fact is critical in that those growth strategies are typical of businesses with large debt burdens. In many ways, AFN is a business that invested heavily to expand its operations rapidly and at higher cost, without realizing the end point would not financially support the cost of operations and the debt incurred to complete that expansion. Only dated demographic information is available for Ashland until 2010 Census figures are released. Data available show the city has an estimated population of about 22,000 citizens in roughly 10,000 households. In a non-monopoly market with providers offering commodity services, market share typically cannot exceed 65% . Indirect Branding/Brand Confusion Customer confusion exists for AFN and its ISP partners regarding who to contact for technical support and how the two are connected. Customers regularly call AFN directly when having problems connecting to the Internet, and not knowing their ISP. Customers are comfortable calling AFN, identifying it as a trusted City service. This type of confusion shifts significant support costs from ISP partners to AFN as staff still work to assist the customer. It also emphasizes the need to AFN and its ISP partners to develop a marketing strategy that clarifies the partner relationship, support resources, and benefits of choosing a local company for Internet service. The unclear roles of AFN and its ISP partners also detract from the value of AFN's advertising. Money spent has been successful at portraying the local value theme, but has not tied consistently to added business. Only some ISPs represent their partnership with AFN in their independent advertising, allowing no indication to customers how their service connects them to both. Mixed AFN-City IT Operations Ashland Fiber Network is organizationally under the City's Information Technology Department. The operations of the internal Computer Services Division and AFN have been blended since 2008 to generate redundancy and flexibility across division lines. However, an accounting structure was not implemented with the merging. The result is an inability to manage resources in a way that accurately captures investments in central IT services versus AFN operations. Untracked resource shifts amount to subsidies to across division and, while they may balance in aggregate, must be known and managed. 49 I P age Value of ISPs When Internet service first became available, Internet service providers (ISP) were companies that provided customers with an Internet portal page, web browser, and email account to facilitate utilization-e.g., America Online and CompuServe. Over time, consumers and services evolved, access to web-based email accounts became low-cost, and reliance on ISPs waned with the ability to connect directly to the Internet through telecommunications companies. AFN's ISP partners also provide technical support to their customers, such as setup assistance, virus scanning, and computer repair. Some ISP partners contracted those customer support services from companies based outside of southern Oregon. As such, those ISP partners primarily only hold an interest in marketing, customer billing, and a small profit residual. Serving as an Internet wholesaler has worked adequately for the City of Ashland whije contributing to the financial success of its ISP partners. However, long term trends indicate AFN's cost pressures will render the current wholesaler model unsustainable beyond 2013 and is a weakness in AFN's business. The decline may also occur more rapidly, depending on the introduction and the viability of new .substitutes such as 4G wireless. Volume Incentives and Advertising AFN's model for relying on external businesses to sell its services currently provides little incentive to promote AFN above other services. Revenue margins for AFN products are essentially standard across products. This fails to shape sales towards more profitable services while also leaving little incentive for ISP partners to advertise more profitable products. Revenue margins for some substitute products are higher than AFN's, such as DSL and dial-up services. Margin differences are another reason why price increases are not practical-when AFN increases wholesale rates, long-term revenue potential for selling the product falls if competition does not allow for price increases. Historical examples of this effectively discouraged sales growth when AFN would have benefitted from capturing more of Ashland's market. Customers seeking the AFN brand by name will only get the telecommunications utility part of the way to its financial goals. Lack of an incentives structure for AFN sales is a weakness that must be addressed to drive revenue growth and increased advertising by ISP partners. This assumes AFN retains its wholesale business model. Partner-Competitor Challenges AFN will not have the ability to tighten margins on ISP partners without leading them to sell alternatives. ISP partners will naturally look for higher profit the majority of the time. At that point, an AFN ISP .partner assumes a role that is both partner and competitor. ISP partners have had success in ensuring AFN does not compete by selling Internet services directly to residents. They were also not required to contribute financially to the construction of AFN in return for the partnership benefits they received. This relationship puts Ashland Fiber Network in the spot of relying on vendors who do not have an investment stake in the success or failure of the telecommunications utility. The unnatural monopoly, in which the City of Ashland and Ashland Fiber Network grant exclusive rights to sell AFN services to a consortium of partners, breaks down when those partners can then elect not to sell that service to the economic detriment of the resource. This artificial barrier to entry is a weakness that can quickly turn critical. However, its SOIPage removal does not necessarily mean AFN should become an Internet service retailer-the simple fact that AFN could compete but elects not to gives AFN and its ISP partners more equal ground. It is true that only one ISP partner looks to sell AFN as its sole option. The others offer competing products and two ISP partners have indicated AFN is not their primary option as they make better margins selling other services. ISP partners decide and set their own retail prices, but still must be competitive with other providers. So, their emphasis on margin is a natural one. AFN has the ability to enter the retail market quickly. It currently provides approximately 100 customers that requested AFN services directly. Customer Data and Ownership Retail Partners do not share customer data with Ashland Fiber Network, including any information other than the modem identifier to allow onto the network at what speed. This prevents AFN from performing business analysis to better project usage by service type, demand for additional services, and geographic trends such as customer loss in an area where there is heavy advertising AFN and its ISP partners can counter. Stale Product Mix and Lack of Bundles The current AFN product mix offered to the community consists of an analog cable television product and Internet services via cable modem. Two of AFN's four ISP partners offer a VOIP Internet telephone product and limited service bundles to customers. These bundled services fall short of what national and regional telecommunications companies offer on the basis of services, content, channels, VOIP telephone quality, and price discounts. Competitors offering bundled services such as packaged TV/Internet/Phone services experience a lower churn rate. Local resident are marketed to heavily by both satellite and cable television providers. Offers often include deeply discounted introductory and loss-leader rates to get customers to switch. AFN and its ISP partners have elected to refrain from similar marketing ploys or gimmicks to acquire new customers. AFN also does not employ oversell practices common in the telecommunications industry, wherein capacity is oversold and customers lose faith in the service's ability to perform as advertised. The lack of bundled services has not noticeably affected AFN's market share to date, but is expected to be a factor if not corrected. Combined Consumer-Business Rates AFN's current rate structure does not distinguish between business and residential customers. This is an uncommon attribute that reduces revenues unnecessarily. Usage patterns for consumers and businesses differ. Business activity tends to occur during the business day and customers require more responsive customer support due to the impacts network problems have on their business operations and customers. Residential usage peaks in the late evenings and customers have more basic setup and configuration issues. This weakness in the rate structure should be addressed by the time Ashland City Council approves ordinances setting AFN's rates. Public Perception Ashland Fiber Network has been a long-time target for local media and some critics. This is not without cause. Shortcomings in the initial project plans produced cost overruns that appropriately 51 I P age raised the concerns of residents. The need to work with local media to answer their questions and keep AFN operations transparent to the community is a crucial component to turning the reputation of the utility around. AFN can possibly achieve this. Revenue Risk The practice of diversifying revenue sources is a means of controlling risk. Broadening operating segments and revenue sources is especially important in a telecommunications industry that is changing rapidly. New media alternatives and substitute products can otherwise have devastating impacts on the revenues and costs of a business. National telecommunications companies usually maintain business lines that include television/video, Internet, telephone services, online advertising, and television advertising for these reasons. Ashland Fiber Network carries a minimally diverse set of operating segments. 87% of revenues come from the Internet Service business line. Importantly, AFN's High-Speed and Cable revenues are declining. This creates extreme sensitivity to fluctuations in Internet Service rates and could result in major financial issues if prices fall. AFN Revenues by Product Group (2010) . High-Speed Data . Internet Service . Cable _Other Missing Coverage Areas AFN is functionally built out. However approximately 1300 addresses scattered throughout Ashland are not connected to Ashland Fiber Network. Construction costs at the time were projected to be $1.29 million to reach the final addresses, with a projected return on investment period of over 40 plus years. Following is a map of the areas where AFN is missing coverage. The map reflects how AFN is sometimes available to only some properties in the same neighborhood due to contractual or cost reasons. 52 I P age II d \ ~ IL., J 't"J . It should be noted that approximately two hundred of the addresses missing AFN coverage are to locations where owners declined connections. Many have exclusive discounted bulk agreements with Charter Communications that also generate revenue for the property holders. These contracts essentially lock AFN out of accessing those properties. Complicating the matter, AFN receives installation requests from renters that it must refuse. Based on AFN's finances and the unfeasible return on investment period to reach the approximately 1,100 addresses remaining, AFN will continue to be unable to provide those potential customers with wired services. Opportunities Evolving High-Speed Cable Technologies Quality fast Internet service generates almost all of the revenues that support AFN's operations. The telecommunications utility must invest to maintain this .resource, or else deteriorate into an unmarketable service. There is no immediate limit to the bandwidth available via hybrid fiber-coaxial (HFC) technology approaching. Being technically aligned with the major multiple system operators-e.g., Comcast, Time Warner, and Charter Communications-means HFC networks will continue as an option with substantial research and development invested into upgrade options. DOCSIS 3.0 is the next high-speed cable technology milestone for Ashland Fiber Network. Rolling out DOCSIS 3.0 will create the capacity for AFN to meet consumer orders for services with high speeds of up to.50 Mbps. The telecommunication utility's System Plan incorporates this transition with completion in 2012, detailing one-time capital investments and ongoing maintenance expenses. 53 I P age It is unlikely that HFC networks will exceed speeds of 300 MB/sec, due to the tremendous amount of frequency required to make this available. This means that to provide services that can obtain 100 MB/sec to AFN customers, staff will need to transition it into a passive optical network (PON). A PON design will allow AFN to provide 1 GB/sec to the connected premises. AFN was originally designed with enough fiber to provide this type of service, though it will require a significant rebuild of the outside plant in Ashland neighborhoods. Wireless Services The Ashland Fiber Network offers three wireless products: . AFN Anywhere-A limited-range 802.11B WiFi service retailed directly by AFN to consumers with daily ($3.95), weekly ($12.95), and monthly ($30.00) rate options. This service was created to meet the connectivity. needs of travelers visiting Ashland, but has important faults that have limited growth. . AFN Rural Wireless-A limited-range 802.11B product that provides services to approximately 45 customers in targeted areas around Ashland, most of whom have no access to other services. The access point/antenna is exclusively powered with solar panels and wind generators. . AFN Max-The latest WiMax wireless service offered by AFN. WiMax is a superior, robust wireless service offering increased upload and download speeds, as well as greater geographical reach. Because the spectrum is licensed and the City has a registered frequency, customers will require a special antenna to connect to AFN Max until computer manufacturers provide better options. AFN's extension of WiMax services is the most economical means of delivering AFN Internet services to new potential customers. The service is AFN's best strategy to service the roughly 1,300 unserviceable addresses described in the Weaknesses section. In addition, to supporting high speed ~ccess by visitors in the future, some residents simply prefer wireless options for their mobile lifestyles. Revenue Analysis Capital Construction Costs: N$92,000 Annual Maintenance: N$1,400 Projected Annual Revenue: N$30,000 (Year 1), N$30,000 (Year 2), N$30,000 (Year 3) Unadjusted Return Period: -3.0 Years Cable Services RFP The City's cable television head-end lease contract is held by Ashland Home Net and expires in September 2010. The original terms include a $1,500 monthly base fee with an additional 7% payment of monthly gross revenues. When AFN ended its direct cable television service and turned over the head-end to Ashland Home net, AFN had a customer base of approximately 3,200 subscribers. As of May 2010, that figure has dwindled to just over 1,800. The RFP for cable television will need to address capacity beyond analog services. One likely explanation for Ashland home Net's declining customer base is the lack of digital, high-definition, 541Page digital video recording, and perhaps IP-based television services to remain competitive with regional and national providers. Revenue Analysis Capital Construction Costs: None expected at the following revenues. Annual Maintenance: -$200,000 Projected Annual Revenue: -$200,000 (Year 1), N$202,000 (Year 2), -$205,000 (Year 3) Unadjusted Return Period: N/A Intenlet Service Provision Retail ISP Model AFN's strategy to serve as a wholesaler instead of retailer has been reviewed many times since its 2000 inception. One segment of stakeholders point to the revenues AFN has missed by allowing ISP partners to collect a margin from the retail rate customers pay, despite the declining value of an email account. Other stakeholder point to the fact AFN would require additional staffing to perform technical support that the ISP partners are to provide. ISP partners can also size their staff more quickly and at lower cost than the municipal government. The real value of AFN having business partners in the future rests in their ability to innovate new services. AFN can help provide to citizens access to those services for a share of sales. This agility and the ability to afford the marketing of new services is an advantage AFN could benefit from. AFN can reassess this position at a later time if needed. To help answer the question whether AFN should switch to a retail Internet provider model; the following analysis assesses potential gains, likely cannibalization from the transition from wholesaler, and the gains that could realistically be expected. This analysis assumes AFN will have a lower market share due to increased and direct competition. It also projects a customer loss rate of 15% against an average revenue gain of $6 per customer per month. AFN management believes the 35.1% market share retention is possible to achieve, although it is hard to predict how ISP partners . will decide whether to abandon the market or compete, as well as how much to invest in competing for low-margin business. On balance, shifting to a retail model would indeed yield higher revenues for AFN. However, it is not substantial enough to offset AFN's projected growth in costs and locks out potential partnerships for new service that may generate much stronger revenue. Instead, AFN can execute new partner contracts that maintain wholesale-retail relationships but add a full partner relationship option aimed at generating additional revenues. This direction provides AFN with the best path for growth without competing with long-time ISP partners. If successful, wholesale-retail vendors may also convert to full partners in the future. . __J. _~_._u_____ 55 I P age AFN Without ISPs Market Ownership 2010 (Est) 2011 (proj) 2012 (proj) 2013 (proj) Customers 4260 4600 5250 5700 Loss Rate 15% 15% 15% 15% Net Customers 3621 3910 4463 4845 Share of Occupied Households 35.1% 36.8% 41.6% 44.8%. Avg Gross Revenue per Customer, Internet Wholesale $ 403.81 $ 375.00 $ 323.81 $ 280.70 Retail (+$6 per month) $ 475.81 $ 447.00 $ 395.81 $ 352.70 Gross Revenue Wholesale $ 1,720,228 $ 1,725,000 $ 1,700,000 $ 1,600,000 Retail $ 1,722,906 $ 1,747,770 $ 1,766,300 $ 1,708,840 Difference $ 2,678 $ 22,770 $ 66,300 $ 108,840 Community Internet Access Direct Government-Citizen Communication This business plan proposes AFN create a low-cost-of-charge slow-speed service open to all. AFN Community Connection users would begin at a start page called AFN Community Connection. The page would list the low-cost-access option, have content of interest to the community, and options for higher-speed Internet access options available through AFN and its partners. Once a connection option is chosen, a portal page would present with various community resources and contacts, such as common citizen questions, resources for new residents, public safety updates, news from schools, a community activities calendar, and communications from the City's elected and appointed leaders. The potential for AFN Community Connect is large. At minimum, it would provide a low-cost service that connects residents to the Internet and each other on the basis of common community information. This would occur as a direct service in return for the property taxes that go partially towards AFN-related debt. AFN Community Connect adds value to AFN's customer channel at the same time. Potential customers will have many opportunities to see and choose to connect at higher speeds. Unfortunately, a slow-speed service only good for email and limited browsing is all AFN could afford due to bandwidth costs. Additional Service Offerings Offering new services is a key strategy in AFN's emerging as a financially sound telecommunications utility for the long-term. Offering new services through AFN Community Connect creates a value channel that attracts customers and ultimately associates the products and services they buy from that point with the community and/or local economy. ISP partner services, an Ashland Emergency Notification System, and community content all serve to pull potential customers to an online location where they look to as a place to meet their telecommunications needs. 56 I P age Some ISP partners have inquired about contracting access on the AFN's WiMax/WiFi wireless system. AFN may be able to negotiate a contract providing access and resale capability in return for capital investment in the construction of the system or other cost offsets that invest the partners in t~e success of those services. New services also widen AFN's operating segments to help reduce the risks associated with dependence on one business line. In the case of Ashland Fiber Network today, changes in costs and prices for Internet service could cause major financial problems. From 87% of its revenues, the Internet service line would lower to 83% in 2013 instead of increasing. AFN Revenues by Product Group by 2013 0% . High-Speed and Business . Internet Service . Cable . Wireless New services would be developed under a multi-award contract through the City of Ashland and its Ashland Fiber Network division. The intent is for this contracting vehicle to cover services offered from "ISP partners" as well, transitioning them to Business Partners. Categories of new services to explore with Business Partners include: I. Internet Services II. Software Services III. Business Services a. Network b. Telephone c.. IT Security d. Computer Support IV. Consumer Services a. Network b. Telephone c. Security Software d. Computer Support Advertising 57 I P age Ashland's status as a small community, but with desirable demographics and a large tourist economy make actual advertising revenues hard to predict, but work exploring. The AFN channel of AFN Community Connection, Ashland Emergency Notification System, low-cost slow-speed Internet services, and a wealth of vendor services has the potential to generate enough traffic for revenues to be significant, if successful. Grants AFN is positioned to qualify for some grants from Federal initiatives. It will pursue grants only as they advance the priorities and direction covered in this strategic business plan. . Billing Services The City of Ashland can assess servicing the accounts receivables of its business partners. This provides a number of advantages, including more timely receipt of payment and interest income; faster detection on non-paying customers and termination of service; central management of non- paying customers who attempt to hop services to avoid payment; revenues for the City of Ashland's Utility Billing Customer Service Division; coupling with utility bills; and some economies of scale for AFN's business partners. This option must be studied more to ensure capacity exists to handle the customer service load in the Utility Billing Customer Service Division and.in Ashland Fiber Network. It could then be addressed as term and condition in negotiations with vendors signing on to serve as AFN business partners. Sell or Franchise AFN System Selling AFN may be accomplished if an outside provider such is seeking entry into Ashland, and/or if one of the present competitors are interested in obtaining 100% market share. The industry standard acquisition financial model is a multiple of annual cash flow, and/or a market rate price per subscriber. The challenge and feasibility of selling or spinning off AFN can be attributed to its unique public/private partnerships where AFN does NOT actually own the retail customer base, as the customers have no relationship with AFN in the role of wholesaler of services. \ Businesses and community members have periodically contacted the City of Ashland about purchasing Ashland Fiber Network. Such an option would allow the City to concentrate on traditional municipal services, but only if the financial impact was positive. City leaders would also need to consider the economic effects of potentially having less competition. All inquiries to date have involved the City retaining all of the debt, in return for annual payments and possibly a share of revenues. No formal offers have been received as of May 2010. Sale on Value of Assets Sale Price Total Annual Contribution to City Operating Costs Total Annual Contribution to City Debt Remaining Principal on Debt' Remaining Principal and Interest on Debt' Net $ 4,300,000.00 $ $ $ (13,620,000.00) $ $ (9,320,000.00) $1.3 million infrastructure value + $3 million goodwill for existing business Assume City pays off debt 58 I P age Sale on Market Valuation of Customers Sale Price Total Annual Contribution to City Operating Costs Total Annual Contribution to City Debt Remaining Principal on Debt' Remaining Principal and Interest on Debt' Net At $1,100 per customer with -4,200 customers $ 4,620,000.00 $ $ $ (13,620,000.00) $ $ (9,000,000.00) Assume City pays off debt Sale on Value on Income Multiple Sale Price Total Annual Contribution to City Operating Costs Total Annual Contribution to City Debt Remaining Principal on Debt' Remaining Principal and Interest on Oebt* Net $ 5,757,879.00 $ $ $ (13,620,000.00) $ $ (7,862,121.00) Post three-year overage annual revenue of $1.92 million x 3 Years Assume City pays off debt Franchise or Contract Operations Sale Price Total Annual Contribution to City Operating Costs Total Annual Contribution to City Debt Remaining Principal on Debt* Remaining Principal and Interest on Debt' Net $ Annual revenue of $2.1 million x 3 Years Est. $350,000 per year and $150,000 portion of safes with 1% grawth x 14 Years $ 7,313,895.85 $ $ $ (20,000,293.35) $ (12,686,397.50) Sale Price Continued Operation $ Total Annual Contribution to City Operating Costs Total Annual Contribution to City Debt Remaining Principal on Debt* Remaining Principal and Interest on Debt* Net $ $ $ $ (20,000,293.35) $ (6,804,670.22) $450,000 x 14 Years with average .5% increase $460,000 x 14 Years 6,755,623.13 6,440,000.00 'Debt figures are for FY2012 through FY2025 Figures are not adjusted for inflation due to predicted volatility in interest rates expected Improved performance may allow the City to sell for a net positive in the future Alternatively, the option exists for the City of Ashland to look at selling Ashland fiber Network at a later date. If AFN's reorganization is successful, there may be an optimal point at which contributions to debt 59 I P age and central services combine with a high enough sale price to make a sale the City's best option. The City might also negotiate retaining some ownership of AFN to ensure it continues to serve its role in connecting the community. Bandwidth Contract Capturing Decreasing Prices The opportunity for capturing decreasing bandwidth prices over the next several years 'may exist if local vendors are willing to agree in the City's Internet bandwidth RFP. As bandwidth continues to become a commodity, capturing falling prices instead of signing a long-term contract at a higher price wiU serve as a priority goal in AFN management's negotiations. Alternative Designs A component the coming RFP for Bandwidth includes a section for the proposer to be creative and suggest ways to conserve bandwidth. If Ashland Fiber Network can identify a solution and sound migration plan for decreasing bandwidth costs that may otherwise outstrip revenues because of volume usage, the telecommunications utility will move in that direction. As an incentive, AFN would also be willing to look at allowing its vendor(s) to retain a percentage the savings for innovations during the life of the contract to offset what would be revenues lost by helping AFN move to a more efficient option. Alternative designs may' use local and regional partners, network traffic solutions or other means. Because bandwidth prices are forecasted to fall in industry trending, another negotiation priority in AFN's negotiations will be a contract that incentivizes performance metrics and decreasing prices to automatically extend the life of the contract beyond an initial two years. Threats Substitute Products Cellular Internet Satellite Internet \I\IIreless Networks / Bamalnlna Power of SUDollel"!l Bandwidth Charges Franchise Fees from City FCC Regulations on Frequencies FCC Regulations on Channels Rlvalrv AmonD Comoetltors AFN has edge in customer service ISPs are easily interchangeable Contention for advertising dollars Potential price wars Bankruptcy courts clear debt of competitors Marketing gimmicks Bundled service offerings Baroalnlna Power of Buvs", ISP Alternatives Available Other Forms of Entertainment such as PCs, Movies, Exercise cJJl Potential New Entrants Online media providers ([p. TV/Movies) Merged TV.Cable Companies (NBC-Comcast) Telecommunications via POINElr lines Satellite Broadband Services New DSL Variant Options 60lPage Bandwidth Consumption Customers connecting to the Internet though AFN and its ISP partners consume ten times more bandwidth than comparable municipalities, according to July 2009 figures from RVA, a market research firm. Plausible explanations include the higher technical sophistication of users in Ashland, fewer alternative pastimes present in a small communities, a much larger population with degrees and advanced degrees than average, and the absence of desired programming options from local cable providers. Consumers are clearly adopting new entertainment products and services. Most of those options consume bandwidth at a rate many times traditional options. As a lead example, the introduction of high-definition video is coinciding with the emergence of Internet-based television and video-on- demand movies as mainstream alternatives. Netflix, Blockbuster, and Google, have all announced initiatives to grow and capture new markets. Developers of new products are typically unconcerned with bandwidth consumption as they are not directly attributable to the costs of bandwidth-it is a matter between the consumer and their Internet provider. Significant for AFN, Ashland's citizens have shown themselves to be early and prolific adopters of those new media options. Under its existing contract, Ashland Fiber network has bandwidth redundant capacity of up to 350 Mbps. The cost of this bandwidth is high at $75 per Mbps per month, though AFN's costs are on the lower end of small and rural companies that provide Internet access services. For example, in 2009 responses to the Communications Commission's Notice of Proposed Rule Making, some similarly-sized companies indicated their costs were as high as $500 per Mbps per month. In contrast, a comparable cost rate for national/regional companies and those that are near a major metropolitan is will likely range between $3 and $18. Bandwidth costs tend to move in relationship with contract size and proximity to major infrastructure. On this point, bandwidth cost serves as an indicator of the systemic disadvantage AFN has as a small player in a national to global market. Without the scale to provide cheaper bandwidth contracts, AFN must bring bandwidth costs as low as possible through effective contracting. Rapid Increase Telecommunications providers are working to redefine Internet service in the minds of their customers due to rapidly escalating bandwidth consumption in the United States and other parts of the world. Recent Internet product advances now include tens of millions of movie titles available from Movielink, Netflix, iTunes, Cinema Now, Amazon Unbox, and other providers of on-demand video services. These companies supply high-bandwidth entertainment to AFN and Charter customers. This adds to AFN's and Charter's costs. Consumers may also have high-definition video to their game console; PC's pulling computer and software updates while watching YouTube videos; and other on-network consumer devices connected at the same time. An average length high definition movie consumes 4-5 gigabytes of bandwidth per download, multiplied by thousands of potential customers using the service. Google TV announced in May 2010 that it will introduce an Internet- based television system by the fall of this year that will give viewers access to "millions" of videos and shows. 61 I P age These examples illustrate why projected growth in bandwidth consumption is Ashland Fiber Network's greatest threat on the expense side of its business. Currently, AFN pays $75 per MB/sec for redundant Internet bandwidth. As a critical point, obtaining redundant bandwidth at reasonable cost over next three years will still results in a projected cost of $408,000 by 2015, compared to -$185,000 this year. Exponential growth in bandwidth consumption is the greatest threat for small and regional Internet providers like AFN. Some are experiencing congested networks and negative customer feedback. Indeed, much like highways, the popularity of new sites and services affect traffic volume with some infrastructures unable to support those trends. The May 2010 announcement of plans by Google, Intel, and Sony for a major Fall 2010 release of GoogleTV is seen by some industry analysts as a defining moment in the struggle between content versus bandwidth. Bandwidth Growth on AFN 600.00 500.00 . 400.00 200.00 300.00 100.00 0.00 . b b b ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ------------------------- N ~ ~ = N ~ ~ = N ~ ~ = N ~ ~ = N ~ ~ = N ~ W = N -mbits/S(!C Based on consumption data, AFN's two key customer cohorts are (1) Non-traditional television yiewers who are using Internet-based media to access entertainment content traditionally watched on cable television and (2) users who connect to file sharing site and peer-to-peer networks to download entire libraries of movies, often illegally. These groups are driving the AFN's utilization increase, the growth in its operating costs, and occasionally even negatively impacting network performance. Long-term, Ashland Fiber Network and other providers will need to solve the growth in bandwidth consumption to survive financially. The telecommunications and Internet industries are dynamic. Major innovations, consumer products, and services launch frequently. The relatively recent of emergence of Internet-based media as a primary option for entertainment is a critical development and AFN must adjust to customer demands quickly. Overhead Costs and Debt AFN's expenses show peculiar ratios compared to similar businesses. Selling, General, and Administrative (SG&A) expenses, the income statement item that depicts overhead costs not directly tied to the production of goods or services, averaged approximately 22% of total revenues for telecommunications industry companies in 2009. Salaries, benefit and pension costs, marketing costs, insurance, rent and utilities, fleet administrative charges, and maintenance are all categorized under 621 p age SG&A. AFN's equivalent rate in the Fiscal Year 2011 budget, not including debt, is projected to be more than 50.9%. The City has not increased the internal service charges for four years. An essential consideration in managing operating costs is the impact AFN's debt costs can have on City of Ashland municipal services. What AFN is not able to pay is passed on as a liability to City Departments dollar for dollar, including the Information Technology Department, which is funded through central services charges. For this reason, the telecommunications utility is required to continue to pay operating costs that are exceptionally high by all external standards. 2011 Expenses, Adjusted for One-Time Debt Payment Personnel and Benefits $ 674,548 31.8% Operating-- Bandwidth $ 185,000 8.7% Operating-- Central Services $ 405,685 19.1% Operating-- Debt $ 356,000 16.8% Operating-- All Other $ 267,472 12.6% Capital $ 233,500 11.0% Total $ 2,122,205 100.0% A cost factor all employers must manage is employee salaries and benefits. Costs for the City of Ashland are high, with a benefits load averaging above 50% of salary. This effectively prevents AFN from ramping up new services internally as the return on investments is hampered by the incremental costs. For AFN, the cost of labor is an artifact of what it takes to be a competitive emplC!yer in the Oregon union and government environment. As such, it is considered non- mitigable and AFN will need to use contract services and its partnerships with businesses to improve its service offerings. With rare exception, the City cannot afford to develop new products internally. I The City of Ashland must pay $1.43 million annually for debt financed through a full faith and credit bond in 2004. Debt and the interest rate on that debt are serious weaknesses in Ashland Fiber Network's business. In 2011, debt alone will constitute almost 28.4% ($700,000) of AFN's total expenditures. It is projected to constitute between 17% and 21% of all expenditures in the following two years. This seriously compromises AFN's ability to balance its bottom line and inhibits investments into the infrastructure to support coming demand. Debt is a weakness that will continue to negatively impact AFN's business in a substantial way, but must be carried. Gauging AFN against telecommunications companies reveals a large portion of the companies that built out or serviced networks in that period AFN began business are defunct and/or were reorganized under bankruptcy protection to handle heavy debt loads. Global Crossing, Covad Communications, Wordcomm (hastened by fraud), McLeod USA, Mpower, 360networks, Metromedia, XO Communications, and Williams Communications Group all eliminated or greatly reduced their debt in bankruptcy. Still, only a few survived their bankruptcy reorganizations. Though the City of Ashland and AFN have struggled to set the telecommunications utility on strong financial ground, it has not shirked its responsibilities and is paying off its debts. 63 1 P age Emerging Technologies High-Speed Wireless Threats looming over the near horizon include the potential market entry of regional wireless telecom providers such as Clear and Verizon. Larger competitors have the advantage of sizeable marketing budgets and the ability to absorb short-term losses to attract customers. The deployment of WiMax in Ashland, or AFN Max, will address some competitive concerns. The intent is to achieve 99% coverage of the Ashland community with some type of AFN service has the secondary benefits of slowing customer loss if demand for high-speed wireless services grows rapidly. The positioning may also discourage other companies from building wireless infrastructures that have a much longer return-on-investment period, as well. Specialized Networks The communications industry may be on the precipice of a transformation. This evolution is characterized by three drivers: First, deregulation launched a new class of carriers that are spending billions to build out their networks and develop innovative new services. Second, the decline in the cost of fiber optic cabling and Ethernet equipment is beginning to make them a feasible option for limited-access networks. Third, the Internet has spawned genuine demand for broadband services, leading to unprecedented growth in Internet protocol liP) data traffic and putting pressure on carriers to upgrade their networks. The convergence of these factors is leading to a fundamental paradigm shift in the communications industry, a shift that will ultimately lead to widespread adoption of a new opticallP Ethernet architecture that combines the best attributes of fiber optics and Ethernet technologies. This architecture has the prospect of becoming the new dominant means of delivering bundled data, video, and voice services. By default, these resources will not be mainstream, but have the potential to alter consumer usage patterns. IP-Based Television and Movies As noted previously in this document, entertainment video and audio downloads are cutting into AFNs margins considerably, as external organizations and customer use bandwidth to receive and redistribute content. Technically the cost for bandwidth is not between the customer and AFN, but between AFN and the greater Internet. Thus, if traffic could be retained within the AFN network and traffic to the Internet reduced, AFN could greatly reduce its bandwidth expenses. Options for bringing video and movie content into the AFN network may be the only viable means for controlling spiraling bandwidth costs. One method is to provide an on-network source for video services that provided to customers via IP multicast on the local network. This would entail obtaining programming either in IP already, or transcoding it to IP, and providing it to customers via a subscription service, much like with traditional cable television. Although content providers have not worked with Internet providers in the past, new options may open as access to content begins to perform poorly for a critical mass of consumers-e.g., AT&T customer iPhone activity I many parts of the nation. 641Page A critical threat coming in the fall of 2010 is Google TV, which is slated and publicized to have a massive launch. Google TV intends to create an interactive platform that collapses the past division between the television and Internet browsing. The hardware and service are being developed in partnership with Sony, Logitech, and Intel, indicating enough resources will back Google TV's introduction to help it be a quick success. Google owns YouTube, which is simultaneously working on a viewer for Google TV called "Lean Back" to bring web video and interactive playlists to the televisions. Google TV will unquestionably increase bandwidth traffic for Ashland Fiber Network. Initial media hype and curious users are expected to generate enormous bandwidth activity on the Internet, giving a first indication of how consumers will fare in aggregate. A strong product coupled with minimal reported Internet performance problems could incite incredibly high demand and cause national Internet providers to scramble to handle their customers' activity. Google may change the way cohsumers view TV and this will have significant impacts on AFN's financial performance. Google TV represents an AFN Internet service revenue opportunity that is out of proportion to the threat of extremely higher bandwidth costs. Google Tv will also be a threat to income from leasing out AFN's cable television head-end, as it will be a direct competitor for viewers. Open Government and Competition The City of Ashland works to conduct its business in a transparent manner for open public involvement and insight. This approach has the potential to inhibit the successful management of Ashland Fiber Network at times, by openly revealing and communicating AFN's business plans, products, a.nd direction. Nonetheless, AFN will operate with the ambition of being a strong community resource and will always conduct itself as an open part of government that welcomes public input. 6SlPage Appendix C-Current AFN Rates Structure The following chart is AFN's current flat wholesale rate structure, implemented in January 2009. Ashland Fiber Network Products Effective January 1, 2009 AFN BRONZE - The f-mailer's Internet Diol Up Alternative Up to 256 Kbps Download I 256 Kbps Upload $15.74 fmonth AFN SILVER - The Moderate User's Internet DSL Alternative Up to 1.5 Mbps Download I 256 Kbps Upload $25.19 fmonth (Non Certified VOIP 005 available-) AFN GOLD - The Heavy User's Internet Chorter Alternative Up to 5 Mbps Download I 256 Kbps Upload $27.77 fmonth (Non Certified VOIP 005 available-) $25/month additional fee for l't Static IP Address SID.SO/month additional fee for each additional to 6 total $S.iS/month additional fee per address for Dynamic IP AFN GOLD PLUS PROMOTION - The Hame Business Internet Up to 7 Mbps Download 11 Mbps Upload $47.77 fmonth (Non Certified VOIP 005 available-) $26.25/month additional fee for 1" Static IP Address SID.SO/month additional fee for each additional to 6 total $5.25/month additional fee per address for Dynamic IP AFN PLATINUM - Small Business & Seriaus Gamers' Internet 5ynchronousfBurstable up to 10 Mbps $69.77 fmonth (Non Certified VOIP 005 available-) $26.25/month additional fee for l't Static IP Address SID.SO/month additional fee for each additional to 6 total SS.25/month additional fee per address for Dynamic IP -QoS SUPPORT @ 53. SO/month per modem QoS ensures that Internet-based digital phone service has priority on the AFN network, increasing call quality. 661Page Appendix D-Draft AFN Rates Structure The following chart is AFN's proposed rate structure, to be updated with partner input and implemented in January 2010. AFN Rates Structure (Proposed) Community Access-Low-cost service provided to Ashland (does not include hardware) Down 0.256 Mbps Up 0.256 Mbps Wholesale Cost $ 9.00 /Month Retail $ 9.00 /Month ~ Q~ ~ Basic-General Internet usage with minimal online media usage Down Up Wholesale Cost Est Retail Cost Cap WiMax-High-speed wireless access in covered areas Down . 1.500 0.256 25.00 30.00 30.000 $ $ 3.000 0.256 Up Wholesale Cost $ Est Retail Cost $ Cap Start $ 48.00 100.000 200.00 Mbps Mbps /Month /Month GB Mbps Mbps /Month /Month GB Or $8/mo rent Choice-General Internet usage with some usage of online media Down 5.000 Up 1.000 Wholesale Cost $ 28.00 Est Retail Cost $ 35.00 ., Cap 100.000 Preferred-General Internet usage with more usage of online media Down 10.000 Mbps Up 2.000 Mbps Wholesale Cost $ 38.00 /Month Est Retail Cost $ 45.00 /Month Cap 100.000 GB Family Entertainment-Regular usage of web-based television and movies Down 15.000 Mbps Up 2.000 Mbps Wholesale Cost $ 45.00 /Month . Est Retail Cost $ 55.00 /Month Cap 300.000 GB Mbps Mbps /Month /Month GB 67 1 p age Up Wholesale Cost Est Retail Cost Cap Includes Qual.ity of Service and 15tatic IP Address SOHO- Small Office/Home Office usage with higher two-way traffic Down 15.000 Up 4.000 Wholesale Cost $ 53.00 Est Retail Cost $ 65.00 Cap 300.000 Includes Quality of Service and 4 Static IP Address Small Business-Capacity to support Internet usage, IP-based phones, and websites Down 25.000 Mbps Up 10.000 Mbps Wholesale Cost $ 73.00 /Month Est Retail Cost $ 85.00 /Month Cap 500.000 GB Includes Quality of Service and up to 4 Static IP Address Fiber-Fastest speed for all intensive uses Down 100.000 Up 100.000 Wholesale Cost $ 300.00 Est Retail Cost $ 400.00 Cap Unlimited Includes Quality of Service and up to 6 Static IP Address Wireless-Supplemental service for customers wanting access to AFNAnywhere or AFNMax Add-On Mobile $ 5.00 /Month Rentals $ 25.00 /Week Garners-For advanced gamer, MMORG, and media Internet usage Down 20.000 3.000 55.00 65.00 200.000 Up Wholesale Cost Est Retail Cost Cap Ultimate Home- Premium home package Down $ $ 25.000 5.000 65.00 75.00 300.000 $ $ Mbps Mbps /Month /Month GB Mbps Mbps /Month /Month GB Mbps Mbps /Month /Month GB /Month 681Page Appendix E-AFN Max Wireless Coverage Squirrel Ranch W1reles5 Coverage service Center Wireless Coverage Beacon Hili Wireless Coverage 69 1 p age Appendix F-Ashland Census Data 2000 Census Information Total Population 2007 Estimate* Area (Square miles) Government Gender Male Population Married (Older than 15 years) Female Population Married (Older than 15 years) Age Median Age <5 Years Old >18 Years Old ?:65 Years Old Race/Ethnicity White Black American Indian/Alaska Native Asian Native Hawaiian/Pacific Islander "Some other race" i "Two or more races" White/Hispanic Cohort Household Descriptors Population in Households Population in Group Quarters Average Household Size Average Family Size Housing Total Housing Units Number of Occupied Housing Units Occupied by Owner Occupied by Renter Vacant Ashland, OR US Averages 19522 21630 6.5 Strong Mayor 9003 3547 46.12% 39.40% 49.10% 56.70% 10519 3644 53.88% 39.60% 50.90% 52.10% 37.9 802 15846 2896 35.3 81.17% 14.83% 74.30% 12.40% 17873 91.55% 118 0.60% 199 1.02% 365 1.87% 26 0.13% 333 1.71% ,608 3.11% 695 3.56% 75.10% 12.30% 12.50% 18308 1214 2.14 2.72 2.59% 3.14% 9050 8537 94.33% 4456 52.20% 4081 47.80% 33.80% 513 5.67% 70 1 P age Education High School Graduate or Higher Bachelor's Degree or Higher Labor Percentage In labor Force Mean Travel Time to Work (minutes) Median Household Income Median Family Income Per Capita Income Families Below Poverty level Individuals Below Poverty level 11660 6240 94.60% 50.60% 80.40% 24.40% 64.20% 63.90% 16.7 25.5 $ 32,670.00 S 41,994.00 S 49,647.00 S 50,046.00 S 21,292.00 S 21,587.00 570 12.50% 9.20% 3598 19.60% 12.40% . -- Portland State University, Center for Population Research and Census r " 71lpage (The following document is an interpretation of the raw meeting notes, that tries to express more of the flow and direction of the discussion. It's based on the notes themselves and my, possibly inaccurate, memory of the meeting - Js. Aug. II, 2010.) City of Ashland Meetin!! with ISPs August 5, 2010: I :00 PM to 3:00 PM, Siskiyou Room - David Hand (Computer Country), Jim Teece (Ashland HomeNetIProject A), Jeff Rhoden (Infostructure), Ron Kramer (Jeffuet) plus Lloyd, Silbiger, Stromberg. The focus of this meeting was to enable the ISPs to communicate directly with the Council by including this report in the Council packet for August 17th. (Because it wasn't possible to schedule a meeting with the full Council in time, this meeting and the notes it generates are being used instead.) Meeting Notes Interpretation Jim-[Makes 3 points...] The ISPs aren't speaking collectively in all regards. A lot of the concerns are with process. AFN staff answered many questions at a meeting they held with ISPs on August 3rd. Ron-The ISPs have been involved with the Council in various degrees but this is the first time they've 'met' (i.e. communicated) with the Council directly. Some ISPs believe they have not had the ability to discuss AFN with the decision-makers themselves. Even if much has been answered, it's still important for the ISPs and the Council to talk together. There is a long history of a broken process. Maybe a bi-annual meeting (semi-annual?), study paper, or other meeting can help fill that need. It's not always good to have City staff as a funnel because indirect communication is not always 100% accurate'. Mayor-Isn't there a balance between contractual relationship on the one hand and partnership and community roles on the other? Ron and J eff- The (ISP) Partners and AFN each want the other to be successful. Past AFN management imposed its needs on the ISPs instead of developing ideas to grow together. That would have constituted an actuall full relationship. Having an Executive Advisory Board is a . sufficient solution in the eyes of some but it is still surprising to some ISPs that the Council doesn't want to be as involved. Mayor-What concerns would the ISPs like the Council to be aware of? I) Ron-It's hard for the ISPs to determine analytically whether the proposed AFN strategy is genuinely beneficial for them and that they therefore want to participate. The strategy is not sufficiently specific (numerically) so that the ISPs can calculate what their costs and revenues would be. What's more, there are no projections of the expected market Page I of5 response to the various services proposed in the strategy - which makes it hard for the ISPs to evaluate how optimistic/realistic the strategy's assumptions are. 2) Jeff-Within a year to a year and a half we should be able to tell if the proposed strategy is working. What if it isn't - what happens then? Does the City outsource it or lease it out? If this is the downside risk then it would be better to make that decision now, so far as the ISPs are concerned, because they would be hung out to dry, i.e. left with no partner after commiting themselves to various subcontracts and investments in product development and marketing that they couldn't recoup. Certainly AFN should refrain from signing long term contracts now [meaning the bandwidth contract - there's a concern that the proposed AFN strategy could position the contract awardee to take over AFN if the strategy fails]. Also - separate subject - charging $8 for wh~t was the free, 256K 'always on' service in an earlier version of the strategy, creates the same problems for the ISPs as the free service did. 3) David-[restating a similar concern to Ron's...] A strategy should include a pro forma [profit and loss] projection. This would allow the ISPs to evaluate the strategy's chances of succeeding. In particular ISPs need AFN to give them enough information/assumptions that they can calculate their likely costs if they sign up with AFN. Moreover, some parts of the strategy would compete with existing products of the ISPs. How is AFN going to address those impacts? It doesn't appear to be planning to compensate the ISPs for impacts of these kinds. 4) Jim-We're getting caught up in operational details when we should be asking, "Is the strategy correct and will it work for us, the ISPs?". The main issues from the City's point of view are to provide AFN to everyone in Ashland and to acquire new customers [i.e. a significant net increase over the current level, taking into account the 'churn']. As things look now the new products may have too many negative effects on the ISPs. Also the Council is basing its decision too much on operational issues and not paying enough attention to the strategy itself. For himself and his business the overriding concern is that AFN hasbeen and is currently losing money, i.e. net revenue is negative when you include AFN's required contribution to debt service on its bond. AFN is Ashland HomeNet's only partner and all its business depends on AFN. He's invested a lot on the assumption that AFN was a going concern and would continue indefinitely. For these reasons the risks for Ashland HomeNet are greater than for the other ISPs. Mayor-Acknowledges AFN will have to deal with changing external conditions (market and technological) in the next 18 months to 3 years in order to remain viable/relevant. The proposed strategy is an attempt to stabilize AFN and implement a business model that will allow it to continue operating beyond that time frame. Page 2 of5 Jeff, David, and Ron-[not persuaded, and reiterating previous arguments] We don't think the plan has gone into enough practical detail for the partners [ISPs] and we don't want AFN making long-term commitments. It closes AFN's options later - you won't be able to get out of this long contract for Internet bandwidth. Jim and Ron-The strategy contains operational decisions that are problematic for the ISPs and the ISPs want to work together with AFN to resolve them, not be presented with a fait accomplit that they have to accept or reject without being able to change it. Mayor and Jim-Acknowledge/agree that the question of AFN debt is a challenge with respect to AFN financial success. It's the City's debt regardless of what happens with AFN but the City is requiring a portion of the debt payment to be covered by AFN's operations. Ron and David-We want the strategy's implications to be expressed numerically before we, as partners, will be willing to commit. [Again] What happens if the strategy fails in the short term? There are significant risks for the ISPs if this happens. The precedent of AFN's deploying wireless without discussing it at all with the ISPs instead of collaborating with them on the design of the project is troubling. The ISPs, as businesses, are better suited than the City to assessing the economic viability of a decision and can better tell if it will be sustainable in the long run. Jim-However, AFN is proposing to draw upon the strengths of all the ISPs to benefit all of them and AFN as well. This is a good change [because it recognizes that AFN and the ISPs are interdependent and attempts to make a business strength out of that relationship]. Mayor-Does the strategy have anything in it that's a deal-breaker in the sense that it's good for AFN but hurts the ISPs? . Jeff-Don't offer the low-cost service. It hurts the ISPs and loses money for AFN. Too many of the ISPs' existing customers will move to the new service, away from more profitable services, and the ISPs will lose money. Plus it's not an effective promo because few customers that initially choose it will upgrade to other, higher return services. Could the new ISP contracts contain protections for the ISPs in case this occurs? Also Infostructure will only sell products with its own brand on them [though it will 'white label' its products for another entity to market as its own brand]. However, historically Infostructure has refrained from using its products to compete against AFN-based services in Ashland. This has been by choice [supporting your business partner?] and not the terms of Infostructure's contract with the City. . Ron-Can we limit the $9 service exclusively to new customers [so it doesn't cannabilize our other customers]? Is the purpose of this low-cost serice to make AFN available to everyone in the community [a social strategy] or is its purpose to grow AFN [by getting them on a path to periodicly up-grading their service - a business Page 3 of5 strategy]? The AFN strategy calls for increasing market penetration but if you achieve this by offering a no-profit or low-profit product then you're not really accomplishing your goal. On the other hand [and unlke Infostructure for example] Jeffnet is not concerned about losing dial-up customers to the AFN $9 service. [A discussion ensued about how the ISPs could have regular access to the Council as we go forward and it was pointed out that the Council doesn't have the necessary expertise (technical, marketing, financial,etc.) for this idea to work, even though the Council is the decision-making body. Rob pointed out that the proposed Executive Advisory Board would be the natural entity with whom the ISPs could communicate and also collaborate...] . David-An Executive Advisory Board just recreates the problem [assuming its members are no better qualified than the Council]. The Board would need both the right composition of its membership and also clear goals for how it is to function with respect to AFN operations and also collaboration with the ISPs and other business partners. . Jim-Does not want to see AFN shut down because this would critically hurt his business. However the partners [ISPs] do need AFN's debt contribution and other internal costs to be locked in as part of the partner contracts and not subject to being increased at the City's whim ifit needs more money for the general budget. [The Mayor asked that if such protections were included would it then be fair to also include restrictions on the ISPs' ability to compete against AFN with their other products. ] Russ-[redirecting the conversation...] We're spending most of our time on the least profitable and smallest portion of customers. Instead we should be discussing: (I) ISP communications with City; (2) the significant fact that relationships with AFN's managers are better now than they've been in the past;(3) we need to move forward and can't stay mired in the past; (4) the Executive Advisory Committee is a potentially good tool for improving communications between ISPs and the Council and, in general, ISP communications should be with the Department and not with the Council. We don't do this with other contractors and it could get us in trouble. [Somewhere towards the end of the meeting Jim spoke about the positive potential of the ISPs working together, combinging their strengths to be able to offer each others' services and create new ones - bundling of phone, internet and cable tv, for example - that would benefit both the ISPs and AFN. He proposed that all the partners, including AFN, should move quickly in this direction because delaying just loses money and opportunity for everyone. Page 4 of5 [At this point the Mayor summarized various points from the preceding discussion, including a comment that had been made that AFN's signing of a long term bandwidth contract demonstrated the City's intention to keep AFN viable, and also the issue of to whom the customers 'belong'. He ended by asking if, in order to get bundled services to sell outside the City, would the ISPs help AFN sell bundled services within the City. Jeff answered: Maybe - we could talk.] Page 5 0[5 CITY OF ASHLAND Council Communication Letter of Commitment in Support of Community Challenge Grant Application Associated with the Regional Problem Solving (RPS) Plan Meeting Date: August 17,2010 Primary Staff Contact: Bill Molnar Department: Community Development E-Mail: bill\alashland.or.us Secondary Dept.: Nt A Secondary Contact: Derek Severson Approval: Martha Be Estimated Time: 15 minutes Question: Does the City Council wish to provide a requested Letter of Commitment in support of a Community Challenge Planning Grant application being prepared by the Rogue Valley Council of Governments (RVCOG) entitled "Institutionalizing Livability, Sustainability, and Affordability in Southern Oregon through Comprehensive Planning" in association with the Greater Bear Creek Valley Regional Problem Solving (RPS) Plan? Staff Recommendation: Staff recommends that Council provide the requested Letter of Commitment in support ofRVCOG's "Institutionalizing Livability, Sustainability, and Affordability in Southern Oregon through Comprehensive Planning" Community Challenge Planning Grant application. Background: At its June 29, 2010 meeting, the City Council approved Resolution #2010-21 which provided comment to Jackson County on its adoption of the Greater Bear Creek Valley Regional Problem Solving (RPS) Plan. This resolution provided Ashland's recommendations with regard to the issues of coordinated regional population allocations; efficient land use and transportation planning and implementation efforts; restrictions on development within Ashland's urban fringe; jurisdictional transfer of county roads; high value farm land; and regional housing strategies. The U.S. Department of Housing and Urban Development (HUD) recently announced a $40 million "Community Challenge" Planning Grant Program to foster reform and reduce barriers to achieving affordable, economically vital, and sustainable communities. HUD's funding is designed to target housing, economic development, and land use planning strategies that will increase the efficiency and effectiveness ofrelated transportation planning. The Rogue Valley Council of Governments (RVCOG) is seeking grant funding for a project entitled "Institutionalizing Livability, Sustainability. and Affordability in Southern Oregon through Comprehensive Planning" in the amount of $ 1.8 to $2 million for additional planning efforts to complement the work already in progress with the RPS Plan. If approved, the grant would fund the identification of nodal development focus areas within existing cities and proposed urban reserves and develop strategies, standards and plans for the development of these areas (which could also serve as models for nodal development elsewhere in the region). The grant would also develop major transportation, infrastructure corridor, transit, and bicycle and pedestrian plans to serve the nodal development sites throughout the urban reserves and cities, as well as creating model codes and design standards to implement these plans. Finally, the grant would support a comprehensive survey of open space, park and natural corridor opportunities in the urban reserves. While the full urban reserve areas Page 10f2 ~.l' CITY OF ASHLAND are not to be conceptually planned with a full range of land uses at this time, the grant proposal will recognize the importance of identifying the open space, park and natural corridors well in advance of development to assure their preservation while allowing for linkages with existing open space and natural corridors and providing for buffers to agricultural areas impacted by urbanization. A requirement of the "Community Challenge" Planning Grant is that the applicants provide letters of commitment from partner organizations. As a demonstration of support for the proposed project, the organizational partners providing these letters include a description of how they are going to provide support in the form of matching funds or leveraged money to the grant project or for projects which complement the grant project. In staffs view, a successful grant application would move the RPS process further in the direction urged by Council in Resolution #2010-21, and Ashland could provide support for the application through complementary efforts tied to our on-going work on the RPS Plan and our Transportation System Plan update which is already in progress and which seeks to do many of the same things for Ashland that the "Community Challenge" Planning Grant would do for the region. Related City Policies: Ashland Comprehensive Plan policies related to the recognition of the need for regional collaboration with respect to land use planning issues. Council Options: I. Approve and sign the attached draft Letter of Commitment in support of the "Community Challenge" grant application; 2. Choose not to provide a Letter of Commitment in support of the grant application; Potential Motions: 1. Move to approve and sign the Letter of Commitment in support of the Rogue Valley Council of Governments' Community Challenge Grant application. Attachments: Exhibit A - Draft Letter of Support Note: More information on the HUD Community Challenge Grant and other Sustainable Community Initiatives is available on-line at: htto://www.hud.gov/sustainabilitv . The current Draft Regional Plan for the Greater Bear Creek Valley and supporting appendices can be viewed at the website of the Rogue Valley Council of Governments at: http://rvcog.org/mn.asp?pg=RPS Plan 2010 , A calendar of public meetings to discuss the plan at the Jackson County Planning Commission and in each of the participating cities is available on-line at: http://rvcog.org/mn.asp?pg=RPS Public Meetings 2010 Page 2 of2 r~' CITY OF ASHLAND August 17,2010 Michael Cavallaro, Executive Director Rogue Valley Council of Governments P.O. Box 3275 . Central Point, OR 97502 Dear Mr. Cavallaro, The City of Ashland wishes to express its support of, and commits to participate in, the proposed Community Challenge Grant entitled "Institutionalizing Livability, Sustainability. and Affordability in Southern Oregon through Comprehensive Planning." We believe this project will provide a critical next step to the groundbreaking ten-year Regional Problem Solving plan process by providing the region with critical tools to improve our future ability to maintain functional urban centers amidst working agricultural and forest land. As participants in the proposed project, we will provide the following as match over the three-year implementation period (November 2010 to November 2013): CCPG ACTIVITY FUNDING VALUE SOURCE Finalization of Regional Problem Solving Plan City 178 hours x $50 = process (the final stage of RPS Plan approval, $8,900 incorporating County adopted Plan into City the ComDrehensive Plan & Ordinances, etc.) Transportation System Plan Update- City $241,740 Staffing, Direct Expenses, Consultant Services Transportation System Plan Update- State (ODOT $175,000 Consultant Services Grant) Total City, State $425,640 While the values above represent an estimate of monetary value and, in some cases, timelines and schedules, they are our best estimate based on historic patterns and state- and federally-mandated planning requirements. Respectfully, John Stromberg, Mayor City of Ashland Administration 20 E. Main Street Ashland, Oregon 97520 www.ashland.or.us T .1: 541488-6002 Fax: 541488.5311 TTY: 800.735.2900 r.l' CITY OF ASHLAND Council Communication Meeting Date: Department: Secondary Dept.: Approval: Ordinance Relating to Storage of Vehicles August 17,2010 Primary Staff Contact: Richard Appicello City Attorney's Office E-Mail: appicelr@ashland.or.us Police Department Secondary Contact: Terry Holderness Martha Benn Estimated Time: 5 minutes Question: Will the Council approve Second Reading of an ordinance titled, "An Ordinance Creating Chapter 11.34 Relating to Storage of Personal and Recreational Vehicles and Amending AMC 11.24.020 and AMC 11.60.01O.? Staff Recommendation: Staffrecommends Council approve the Second Reading and approve adoption of the Ordinance. Background: First Reading of the ordinance occurred on August 3, 2010. The Council did not make any changes to the text ofthe Ordinance. ' On June 29, 2010, the City Council discussed the proposed ordinance and provided some direction to staff. See 6-29-10 Council minutes attached as Exhibit A. Several changes were made to the Ordinance: 1. The term "recreational vehicle" was replaced with "oversized vehicle" in the definitions section and throughout the ordinance. Now a recreational vehicle is just a type of oversized vehicle: Sec. 17-163. Oversized vehicle defined. An oversized vehicle is any vehicle, whether motorized or non-motorized, that exceeds 22feet in length, or 94 inches in width or 92 inches in height. Any extension caused by any accessory, with the exception of side view mirrors, trailer hitches or roof racks, attached to such vehicle shall be considered part of the measured distance. Oversized vehicles shall also include all buses, tractors, semi-trailers, motor coaches, trailers, campers, camper-trailers, house-cars, trailer coaches, motor homes, and other equipment or machinery, regardless of width, length or height. Automobiles, pickup trucks, sport utility vehicles and passenger vans that are over 92 inches in height will not be considered oversized vehicles when they exceed the height limit solely due to the modification of the suspension system or the addition of oversized tires. 2. Provisions were added to address the prohibited use of a personal vehicle as primarily a container for storage of personal items. 3. A definition was added to clarify the term "in front of or contiguous to" and allows for vehicles to be parked in nearby parking bays. 4. Corrected cross reference in 040 to reflect 050. 5. Class B changed to Class II. Page I of3 ~~, CITY OF ASHLAND 6. Added new Section 3 to strike first clause of AMC 11.60.010, "Based on ORS 483.542." This is a reference to a statute repealed in 1983 that used to apply to truck routes. No substantive change was made to AMC 11.60.010, as it is consistent with the 72 hour provision of 11.34. The current law on Truck Routes is set forth in ORS 810.040 and ORS 227.400. If the Council wishes to change truck routes, the Public Works Department must consult with the County and State concerning any proposals. A public hearing would be required. Related City Policies: Ashland City Charter Article X, Ordinance Adoption Procedures Council Options: 1) Move to approve Second Reading and adopt the ordinance. 2) Postpone consideration of the proposed ordinance. Potential Motions: Staff: Conduct Second Reading of the ordinance by title only. Council: Motion to approve Second Reading and adopt the ordinance. Attachments: Proposed ordinance. Page2of3 ~.1I r..'1 CITY OF ASHLAND EXHIBIT A Minutes from June 29, 2010: . Does Council have any direction for staff regarding the draft ordinance titled, "An Ordinance Creating Chapter 11.43 Relating to Storage of Personal and Recreational Vehicles and Amending AMC 11.24.020"? Police Chief Terry Holderness presented the staff report, explained how parking and storing vehicles on the roadway generates controversy, and was a values decision for the City. Most cities in Oregon and the western states require vehicles to be moved every 24-72 hours with additional restrictions on recreational vehicles (RVs). The City encourages people to park their vehicles and walk or ride bikes but there is very little on street parking for residents and some homes do not have off street parking. The proposed ordinance was more permissive and considered vehicles parked for more than 72 hours with debris underneath as stored. It gave citizen's the right to park their vehicles on the street for an unlimited time as long as the area beneath was clear of debris. Recreational vehicles could sit for 72 hours on the street as long as they were parked within the resident's property line, did not block traffic or restrict vision. Currently enforcement was complaint driven. Colin Swales/143 8" Street/Supported the proposed ordinance and recalled a parking issue regarding a tractor-trailer that blocked a neighbor's second story view. Many things could be done to calm traffic in neighborhoods and deter large trucks using bump outs, traffic circles and bicycle boulevards. He asked for clarification on a State ordinance regarding trucks leaving the truck route. Council discussed extending parking limitations for RVs and adding language prohibiting using a vehicle on the street for storage. Staff will look at contiguous parking, change the Class B Violation, address using personal vehicles forstorage and add language for oversized vehicles. Councilor Lemhouse/Jackson m/s to direct staff to bring back the ordinance for first reading on July 20, 2010 with suggestions included. Roll Call Vote: Councilor Silbiger, Navickas, Lemhouse, Jackson, Chapman and Voisin, YES. Motion passed. Page3 of3 r~' ORDINANCE NO. AN ORDINANCE CREATING CHAPTER 11.34 RELATING TO PROHIBITED STORAGE OF PERSONAL VEHICLES AND OVERSIZED VEHICLES, INCLUDING RECREATIONAL VEHICLES AND AMENDING AMC 11.24.020 AND AMC 11.60.010. Annotated to show aeletisns and additions to the code sections being modified. Deletions are bold lined through and additions are bold underlined. WHEREAS, Article 2. Section 1 of the Ashland City Charter provides: Powers of the Citv The City shall have all powers which the constitutions, statutes, and common law of the United States and of this State expressly or impliedly grant or allow municipalities, as fully as though this Charter specifically enumerated each of those powers, as well as all powers not inconsistent with the foregoing; and, in addition thereto, shall possess all powers hereinafter specifically granted. All the authority thereof shall have perpetual succession; WHEREAS, the above referenced grant of power has been interpreted as affording all legislative powers home rule constitutional provisions reserved to Oregon Cities. Citvof Beaverton v. International Ass'n of Firefighters. Local 1660. Beaverton Shop. 20 Or. App. 293, 531 P 2d 730,734 (1975); WHEREAS, the code provisions regulating the storage of personal vehicles was revised in 2009 to be compliant with the City's use of the Law Enforcement Data System (LEDS); and WHEREAS, the city would like to establish a procedure for abating the nuisance of stored personal vehicles and oversized vehicles in the public rights of way that is consistent with the City's LEDS contract; and WHEREAS, the city would like to clarify its prohibitions against storing personal and oversized vehicles, including recreational vehicles, on the City's right of way. THE PEOPLE OF THE CITY OF ASHLAND DO ORDAIN AS FOLLOWS: SECTION 1. Sections 11.34.010 [Definitions] through 11.34.040 [Exception for Recreational Vehicles] are hereby added to read as follows: 11.34 Stored VehicIes 11.34.010 Purpose The city has iurisdiction and exercises rel!:ulatory control over each public ril!:ht-of- way whether the City has a fee. easement. or other lel!:al interest in the ril!:ht-of-wav. The use of the City's ril!:ht of way is l!:enerally prohibited pursuant to AMC Page 1 of5 13.02.040. which states that "no person or entity may occupy or encroach on a public ril!ht-of-way without the permission of the city." The purpose of this chapter is to rel!ulate parkinl! on the City's ril!ht of way to prevent the ril!ht of way from beinl! used to store personal vehicles and oversized vehicles. includinl! recreational vehicles. Oyersized yehicles should be stored at outdoor and indoor storal!e facilities properly zoned and permitted for such storal!e use. and not in pnblic ril!ht ofwav. 11.34.020 Definitions "In front of or contil!uous to the yehicle owner's dwellinl!:" - For purposes of this ordinance "in front of' means the ril!:ht of way directly in front of and on the same side of the street as the owner's dwellinl!: and between the lot lines of the property on which the dwellinl! is located. For purposes of this ordinance "contil!:uous to" means touchinl!: either one of the owner's lot lines on the same side of the street at the point where the lot line intersects the ril!ht of way and extendinl!: away from the lot line in . either direction in the ril!ht of way not more than 22 feet. For purposes of this ordinance "contil!:uous to" also means in the nearest parkinl!: bay in the ril!ht-of-wav in either direction and on either side of the street from the yehicle owner's residence. "Oversized yehicle": an oversized vehicle is any yehicle. whether motorized or non- motorized, that exceeds 22 feet in lenl!th. or 94 inches in width or 92 inches in heil!ht. Any extension caused bv any accessory, with the exception of side view mirrors. trailer hitches or roof racks. attached to such yehicle shall be considered part of the measured distance. Oversized yehicles shall also include all buses. tractors, semi-trailers. motor coaches, trailers. campers, camper-trailers. house- cars. trailer coaches, trailer houses. motor homes, boats horse trailers. mobile homes. utility trailers, and other equipment or machinery, or other recreational vehicles rel!:ardless ofwidth.lenl!:th or heil!:ht. Automobiles, pickup trucks, sport utility vehicles and passenl!:er vans that are over 92 inches in heil!ht will not be considered oversized yehicles when they exceed the heil!ht limit solely due to the modification of the suspension svstem or the addition of oversized tires. "Personal Vehicle"; motorized vehicles that are owned and used by households for personal transportation, such yehicles include automobiles, station wal!:ons, passenl!:er Yans. carl!:O vans. pickup trucks. ieeps, motorcvcles, and similar vehicles. 11.34.030 Stored Personal Vehicles Prohibited It is unlawful for any person to park or store any personal vehicle on any public ril!ht-of-way: A. For more than seventy-two (72) hours. and B. In a manner that resnlts in the accumulation of debris around or under the vehicle or in a condition that prevents it from beinl! driven. includinl! flattires; [or 1 c. For more than seventy two hours, and Page 2 of5 D. The personal vehicle is beinl! used primarily as a container for the storal!e of personal items in or on the vehicle. E. It shall constitute prima facie evidence of storal!e of a vehicle if the vehicle meets the criteria in paral!raphs A & B or C & D above. Any vehicle parked on the ril!ht-of-way within the City in violation of this section may be treated as an abandoned vehicle pursuant to AMC 11.32 or abated pursuant to AMC 2.31. Violation of AMC 11.34.030 [Stored Personal Vehicles Prohibited! is a Class II violation. 11.34.040 Stored Oversized Vehicles Prohibited It is unlawful for any person to park or store any Oversized Vehicle on any public ril!ht-of-way except as provided in this chapter. It shall constitute prima facie evidence of storal!e of a Oversized Vehicle if the Oversized Vehicle is not within the exception in AMC 11.34.050. Any Oversized Vehicle parked on the ril!ht-of-way within the City in violation of this section mav be treated as an abandoned vehicle pursuant to AMC 11.32 or abated pursuant to AMC 2.31. Violation of AMC 11.34.040 rStored Oversized Vehicles Prohibited! is a Class II violation. 11.34.050 Exceptions for Oversized Vehicles An Oversized vehicle mav be lel!ally parked on the public ril!ht-of-way in front of or contil!uous to the vehicle owner's dwellinl!, provided it meets all of the followinl! criteria: A. Is not parked for more than seventy-two (72) hours; B. Does not constitute a hazard to traffic on the public streets; C. Does not restrict vision of motorists on the public street; D. Does not obstruct view from any other property; E. Has a currently valid license or rel!istration; F. Is operable, includinl! adequate tires; and G. Is attached to a vehicle if required for movement of the Oversized vehicle. To complv with the seventy-two (72) hour time restriction. an Oversized vehicle must be moved more than one hundred (100) feet from the parked location in which the seventy-two (72) hour time period has expired. SECTION 2. Section 11.24.020 [Prohibited parking] is hereby amended to read as follows: 11.24.020 Prohibited parking In addition to the provisions of the motor vehicle laws of Oregon prohibiting parking, no person shall park: A. A vehicle upon a bridge, viaduct, or other elevated structure used as a street or within a street tunnel in this City, unless marked or indicated otherwise; B. A vehicle in an alley except to load and unload persons or materials not to exceed twenty (20) consecutive minutes in any two (2) hour period; Page 3 of5 C. A vehicle upon a street for the principal purpose of: 1. Displaying the vehicle for sale; 2. Washing, greasing, or repairing the vehicle except repairs necessitated by an emergency; or 3. Selling merchandise from the vehicle except in an established marked place or when so authorized or licensed under the ordinance of this City; 1. Storage, or as juol.age or dead storage fer mere thao seYeo~' two (72) heUF5. D. A vehicle upon any parkway except where specifically authorized; E. A vehicle upon private property without the consent ofthe owner or person in charge of the private property; F. A vehicle within any area marked off by yellow paint upon the street or upon the curb, except where specifically authorized bya traffic sign, (Ord. 1557 S13, 1968) G. A vehicle or any part thereof upon a sidewalk or bicycle path. (Ord. 1971 S 1, 1978) H. Or stand or stop a truck or bus on a public street or in a public parking area with its engine running, if such engine emits exhaust fumes into the air. Vehicle engines shall be turned off when loading and unloading passengers or merchandise. This subsection H shall not apply to: I. An engine running for less than five minutes. 2. A vehicle in the moving traffic lane waiting to move with the normal flow of traffic. 3. An engine needed to operate equipment used to load or unload merchandise, 4. Trucks under 12,000 GVW and buses with a carrying capacity of fifteen passengers or less, or 5. Emergency vehicles, utility company, construction and maintenance vehicles, the engines of which must run to perform needed work. SECTION 3. Section 11.60.0 I 0 [Regulations] is hereby amended to read as follows: 11.60.010. Regulations Based oDORS 183.312, U. S. Highway 99 and Oregon State Highway 66 are hereby designated as truck routes within the City of Ashland and motor vehicles having a licensed gross vehicle weight of over 19,999 pounds, shall not use, travel, or be parked upon any other streets in the City of Ashland except where such motor vehicles are using said streets for the purpose of making a delivery or picking up a load, or traveling to and from a fueling facility in the City of Ashland, by the most direct route possible. Nothing contained herein shall prevent an owner or operator from taking a motor vehicle to the residence of such owner or operator so long as the motor vehicle is not left there for a period longer than is reasonably necessary for normal maintenance and overnight and weekend rest periods for the owner or operator. SECTION 4. Severability. The sections, subsections, paragraphs and clauses of this ordinance are severable. The invalidity of one section, subsection, paragraph, or clause shall not affect the validity of the remaining sections, subsections, paragraphs and clauses. Page 4 of 5 SECTION 5. Savinl!s. Notwithstanding this amendment/repeal, the City ordinances in existence at the time any criminal or civil enforcement actions were commenced, shall remain valid and in full force and effect for purposes of all cases filed or commenced during the times said ordinance(s) or portions thereof were operative. This section simply clarifies the existing situation that nothing in this Ordinance affects the validity of prosecutions commenced and continued under the laws in effect at the time the matters were originally filed. SECTION 6. Codification. Provisions of this Ordinance shall be incorporated in the City Code and the word "ordinance" may be changed to "code", "article", "section", "chapter" or another word, and the sections of this Ordinance may be renumbered, or re-lettered, provided however that any Whereas clauses and boilerplate provisions (i.e. Sections 4-6) need not be codified and the City Recorder is authorized to correct any cross-references and any typographical errors. The foregoing ordinance was first read by title only in accordance with Article X, Section 2(C) of the City Charter on the _ day of ,2010 and duly PASSED and ADOPTED this _ day of ,2010. Barbara M. Christensen, City Recorder SIGNED and APPROVED this _ day of ,2010. John Stromberg, Mayor Reviewed as to form: Richard Appicello, City Attorney Page 5 of5 CITY OF ASHLAND Council Communication Meeting Date: Department: Secondary Dept.: Approval: Adoption of the Oregon Fire Code August 17,2010 Primary Staff Contact: Fire E-Mail: None Secondary Contact: Martha Benn Estimated Time: Margueritte Hickman hi ckmanm \alashland.or. us John Kams 10 minutes Question: Will Council approve First Reading of an ordinance titled, "An Ordinance Relating to Adoption of the Oregon Fire Code and Amending AMC Chapter 15.28"? Staff Recommendation: Staff recommends the adoption of the Oregon Fire Code with Ashland Amendments as presented. Background: The Oregon Legislature adopts the Oregon Fire Code every three years through the guidance of the Oregon State Fire Marshal's Office. Local jurisdictions have the option of adopting and amending the code in manners which best meet the needs of the local jurisdiction. In this adoption, there are two significant changes recommended. The first is an organizational change which more accurately combines the amendments to the existing text of the Oregon Fire Code into AMC 15.28.070 titled Amendments to the Oregon Fire Code. The changes which removed 15.28.040,050, and 060 also added them to the list of amendments in 15.28.070. In substance, there are no changes to this section. The amendments to the Oregon Fire Code which are listed here were also adopted during the 2007 adoption. The second change in AMC 15.28.060 is substantial in text; but creates a clearer method for the fire department to reguhite activities and operations within the city limits during fire season which have the potential to start fires. The department has been operating in this manner for many years and has been issuing notices with these kinds ofregulations. The Oregon Fire Code allows the fire code official to establish requirements that are essential for public safety in OFC 102.9. Activities that would be regulated by this section of the code include chainsaw use, mowing of dry grass, sparking emitting processes and other actions that have a greater fire potential during the summer season. Historically, the city has followed the Oregon Department of Forestry (ODF) regulations throughout the city in a modified way. ODF regulations will still apply in the Wildfire Hazard Zone, where lands are dually protected with ODF and within one-eighth of a mile of ODF protected lands. A policy will be created which allows the application of AMC 15.28.060. The application of this section will require a policy modification as the seasonal conditions change each summer. It will follow the ODF restrictions which are based on weather and fuel moisture. Related City Policies: Ashland City Charter Article X, Ordinance Adoption Procedures Page I of2 r~' CITY OF ASHLAND Council Options: (I) Move to approve First Reading of the ordinance and set second reading for September 7, 2010. (2) Postpone First Reading to a certain date. Potential Motions: Staff: Conduct First Reading: Council: Move to approve First Reading of the ordinance and set second reading for September 7,2010. Attachments: Draft Ordinance. Page 2 of2 ~.t. 1 ORDINANCE NO. AN ORDINANCE RELATING TO ADOPTION OF THE OREGON FIRE CODE AND AMENDING AMC CHAPTER 15.28 Annotated to show deletions arid additions to the code sections being modified. Deletions are bold" .. and additions are bold underlined. WHEREAS, Article 2. Section I of the Ashland City Charter provides: Powers of the City The City shall have all powers which the constitutions, statutes, and common law of the United States and of this State expressly or impliedly grant or allow municipalities, as fully as though this Charter specifically enumerated each of those powers, as well as all powers not inconsistent with the foregoing; and, in addition thereto, shall possess all powers hereinafter specifically granted. All the authority thereof shall have perpetual succession; WHEREAS, the above referenced grant of power has been interpreted as affording all legislative powers home rule constitutional provisions reserved to Oregon Cities. City of Beaverton v. International Ass'n of Firefighters, Local 1660. Beaverton Shop. 20 Or. App. 293,531 P 2d 730, 734 (1975); WHEREAS, the State of Oregon has adopted the 2009 edition ofthe International Fire Code, as amended by the Office of State Fire Marshal, as the Oregon Fire Code; WHEREAS, the City wishes to adopt the new code and make additional amendments to its Fire Code. THE PEOPLE OF THE CITY OF ASHLAND DO ORDAIN AS FOLLOWS: SECTION 1. Section 15.28.010 [Adoption of Oregon Fire Code] is hereby amended to read as follows: 15.28.010 Adoption of Oregon Fire Code The WG1 2010 Oregon Fire Code and appendices A through L & SR are hereby adopted, except where specifically excluded or modified by this section. The 2007 Oregon Fire Code and all adopted appendices, as excluded or modified by this section, will be referred to in the Ashland Municipal Code as the Oregon Fire Code. One copy of the Oregon Fire Code and appendices shall be filed in the office of the City Recorder. . Ordinance No. Page I of5 SECTION 2. Sections 15.28.040 [Above ground Storage of Flammable or Combustible Liquids] through 15.28.070 [Amendments to the Oregon Fire Code] are hereby amended to read as follows: 15.28.040 This section intentionally left blank. ,'.bove ground Storage of Flammable or Combustible Liquids The limits referred to in Section 3101.2.9.5.1 3101.2.9.6.1 of the Oregon Fire Code in which the storage of flammable or cembustible Class 1 and II liquids in above ground tanlw outside of buildings is restrieted are established as follows: All City of l"shland residential and historical district areas as defined in the Comprchcnsive Plan. 15.28.050 This section intentionally left blank. Storage of Liquefied Petrolcum Cases Restricted. The limits referred to in Section 3801.2 of the Oregen Fire Code, in whieh storage of liquefied pctroleum gas is rcstricted, are establishcd as follows: ,'.11 City of J"shland residential and historical district areas as dcfined in the Comprehensb'e Plan are limited to the aggrcgate capacity of anyone installation shall net exceed a water capacity of 500 gallons. Exception: In partieular installations, this eapacity limit shall be dcterminedby the Fire Code Official, after consideration of spccial features such as topographieal conditions, nature of oecupancy, and proximity to buildings, capaeity of proposed eontainers, degree of fire protection to be provided and capabilities of tile local fire department City .of .A"sllland Fire & Life Safcty Division. 15.28.060 Restricted uses durinl! fire season. A. When the Fire Code Official determines that an increased fire risk exists in the City of Ashland. the Fire Code Official. may enact a policy to restrict activities that increase the potential for the il!nition of fires that create a hazard to life. property or resources. B. The policv must indicate what activities are restricted. and the time period for which the restriction will be in effect. C. For the purposes of consistencv and coordination between all cooperatinl! al!encies with adiacent boundaries. a plan shall be developed bv the Fire Code Official in cooperation with the Orel!on Department of Forestry and other federal. state and locall!overnmental al!encies affected by the restrictions. The primary obiective of the plan is to achieve uniformity of fire restrictions rel!ardless of land ownership: however. exact uniformity is not required. The plan shall recol!nize variations in fire danl!er. and it shall specify levels of restrictions by unique but easily recol!nizable l!eol!raphic boundaries. D. Permits may be issued by the Fire Code Official or desil!nees. which allow a person to conduct a restricted activity as lonl! as specified fire prevention measures are taken to reduce the potential for fire il!nition. Ordinance No. Page 2 of5 Storage ef Explosives Prohibited. The seepe referred to in Chapter 3301.1 of the Oregan Fire Code whieh references the Orcgen Re',ised Statutes and Oregan :\dministrath'e Rules related to explosi-les is amended as fallows. The sale, manufaeture, possession, transfer and storage of explosives as defined by ORS 480.200 (3) are prehibited in all arcas within the Cit)' of ?shland. limits. 15.28.070 Amendments to the Oregon Fire Code The Oregon Fire Code is amended in the following respects: Oreeon Fire Code section 105.6.30 Open Bumine. Delete and replace with the following: See Ashland Municipal Code 10.30. A. Section 506.1 Replace the second sentence as fallows: The licy box shall be of an approYed type, Add the followine sentence: The key box shall be installed and maintained in accordance with the manufacturer's instructions, and shall contain keys to gain necessary access as required by the fire code official. B. Section S08.S.1 & Exceptions: Delete and replace with the fallowing: The approved fire apparatus operating area must be loeated within 300 fcet from a hydrant, as measured Ily an appro'/ed route, along an approved driving surfaee. "'ith the installation of an approYed automatie fire sprinlder system, hydrant di~tanee may be inereascd to liOO feet. B. Section 507.5.1 Delete and replace with the followine: Where required. Where a portion of the facility or buildine hereafter constructed or moved into or within the iurisdiction is more than 300 feet from a hydrant on a fire apparatus access road, as measured bv an approved route around the exterior of the facility or buildine, on-site fire hydrants and mains shall be provided where required bv the fire code official. Exceptions: 1. For Group R-3 and Group U occupancies, the distance requirement shall be 300 feet. 2. For buildines equipped throuehout with an approved automatic sprinkler svstem installed in accordance with Section 903.3.1.1 or 903.3.1.2, the distance requirement shall be 600 feet (183 m). C. Section 3301: Notwithstanding ORS 480.110 through ORS 480.165 and OAR 837-012-0600 through OAR 837-012-0675, the sale of retail fireworks as defined in OAR 837-012-0610 is prohibited within the City of Ashland. The use of retail fireworks within the City is prohibited. D. Section 3301 Storaee of Explosives - Prohibited. The scope referred to in Chapter 3301.1 of the Oreeon Fire Code which references the Oreeon Revised Statutes and Oreeon Administrative Rules related to explosives is amended as follows. The sale, manufacture, possession, transfer and storaee of explosives as Ordinance No. Page 3 of5 defined bv ORS 480.200 (3) are prohibited in all areas within the City of Ashland. E. Above-l!round Storal!e of Flammable or Combustible Liquids The limits referred to in Section 3101.2.9.5.1 3404.2.9.6.1 of the Orel!on Fire Code in which the storal!e of flammable or combustible Class I and II liquids in above-l!round tanks outside of buildinl!s is restricted are established as follows: All City of Ashland residential and historical district areas as defined in the Comprehensive Plan. F. Storal!e of Liquefied Petroleum Gases - Restricted. The limits referred to in Section 3804.2 of the Orel!on Fire Code, in which storal!e of liquefied petroleum l!as is restricted, are established as follows: All City of Ashland residential and historical district areas as defined in the Comprehensive Plan are limited to the al!l!rel!ate capacity of anvone installation shall not exceed a water capacity of 500 l!allons. h Exception: In particular installations, this capacity limit shall be determined bv the Fire Code Official, after consideration of special features such as tOPol!raphical conditions. nature of occupancv. and proximity to buildinl!s. capacity of proposed containers. del!ree of fire protection to be provided and capabilities of the local fire department City of Ashland Fire & Life Safety Division. D. f.ppcndilt: DI05.1 Change first sentence as fallows: Buildings or portions of buildings er faeilities exceeding 21 feet in height abo'/e the lowest le'/el of fire departmcnt '/ehicles access shall be provided with appro'/ed fire apparatus access roads eapable of aeeommodating fire department aerial apparatus. Appendix DI05.2 & 105.3 Change 30 feet to 21 fect. G. Appendix DI0S - Aerial Fire Apparatus Access Roads Remove and replace DI0S.l with the followinl!: Where required. Buildinl!s or portions of buildinl!s or facilities exceedinl! 24 feet in heil!ht above the lowest level of fire department vehicle access shall be provided with approved fire apparatus access roads capable of accommodatinl! fire department aerial apparatus. Overhead utility and power lines shall not be located within the aerial fire apparatus access roadwav. Remove and replace DI0S.2 with the followinl!: Width. Fire apparatus access roads shall have a minimum unobstructed width of 26 feet in the immediate vicinity of anv buildinl! or portion of buildinl! more than 24 feet in heil!ht. SECTION 3. Severability. The sections, subsections, paragraphs and clauses of this ordinance are severable. The invalidity of one section, subsection, paragraph, or clause shall not affect the validity of the remaining sections, subsections, paragraphs and clauses. Ordinance No. Page 4 of5 SECTION 4. Savinl!:s. Notwithstanding this amendment/repeal, the City ordinances in existence at the time any criminal or civil enforcement actions were commenced, shall remain valid and in full force and effect for purposes of all cases filed or commenced during the times said ordinance(s) or portions thereof were operative. This section simply clarifies the existing situation that nothing in this Ordinance affects the validity of prosecutions commenced and continued under the laws in effect at the time the matters were originally filed. SECTION 5. Codification. Provisions of this Ordinance shall be incorporated in the City Code and the word "ordinance" may be changed to "code", "article", "section", "chapter" or another word, and the sections of this Ordinance may be renumbered, or re-lettered, provided however that any Whereas clauses and boilerplate provisions (i.e. Sections 3-5) need not be codified and the City Recorder is authorized to correct any cross-references and any typographical errors. The foregoing ordinance was first read by title only in accordance with Article X, Section 2(C) ofthe City Charter on the _ day of ,2010 and duly PASSED and ADOPTED this _ day of ,2010. Barbara M. Christensen, City Recorder SIGNED and APPROVED this _ day of ,2010. John Stromberg, Mayor Reviewed as to form: Richard Appicello, City Attorney Ordinance No. Page 5 of5 CITY OF ASHLAND Council Communication Second Reading of Ordinances Adopting Chapter 18,53 Croman Mill and Related Ordinance, Ashland Comprehensive Plan, and Comprehensive Plan and Zoning Map Amendments Meeting Date: August 17,2010 Primary Staff Contact: Bill Molnar Department: Community Develo ment E-Mail: rnolnarb\alashland.or.us Secondary Dept.: None Secondary Contact: Maria Harris Approval: Martha Benne Estimated Time: 30 minutes Question: Will the City Council approve the second reading of the ordinances adopting Chapter 18.53 Croman Mill and related ordinance, Ashland Comprehensive Plan, and Comprehensive Plan and Zoning map amendments, and the findings of fact to accompany the amendments? Staff Recommendation: Staff recommends approval of second reading of the ordinances adopting Chapter 18.53 Croman Mill and related ordinance, Ashland Comprehensive Plan, and Comprehensive Plan and Zoning map amendments, and approval ofthe findings of fact to accompany the amendments. Background: At the August 3, 2010 meeting, the Council completed first reading of ordinances implementing the Croman Mill Site Redevelopment Plan (2008), and scheduled second reading for August 17. The revisions the Council made over the course of the deliberations at the May 26, June I, June 29 and August 3 meetings are detailed below. The Council's revisions as well as minor editing corrections have been incorporated to the attached ordinances for second reading. The final item attached to the Council Communication is the findings document which accompanies the packet of amendments sent to the Oregon Department of Land Conservation and Development, and addresses the applicable Statewide Planning Goals as well as related Oregon Administrative Rule requirements. The Croman Mill Site Redevelopment Plan and the Economic Opportunity Analysis (EOA) are available on-line at www.ashland.or.us/croman or in the City Administration office. Since the Council previously received the redevelopment plan and the EOA and the documents have not been changed, they were not photocopied for this packet. The record for the planning action is located on the project web site www.ashland.or.us/crornan at http://ashland.or.us/files/2010-05- 04 CromanMill P ARecord web.odf. Revisions c 1. Change in Land Use Overlay (18.53.020.8.1.a.1) At the June I meeting, the Council directed staff to revise Chapter 18.53 to limit changes in land use overlays to Compatible Industrial (CI) or Office Employment (OE). The following revision was made to the attached ordinance to address this item. Page 1 of8 ~~, CITY OF ASHLAND 1. Major and Minor Amendments. a. Major amendments are those which result in any of the following: (I) A change in the land use overlay to CI Compatible Industrial or OE Office Employment. (2) A modification to the street layout plan that necessitates a street or other transportation facility to be eliminated. . (3) A change not specifically listed under the major and minor amendment definitions. 2. Limited Stores, Restaurants and Sbops; Child or Day Care Facilities; and Ancillary Employee Services (18.53.040.8.3) At the August 3 meeting, the Council directed staff to revise the size allowed for several of the special permitted uses. The following revision was made to the attached ordinance to address this item. , 3. Limited Stores. Restaurants and Shops; Child or Day Care Facilities; and Ancillarv Employee Services. a. In the CI Compatible Industrial. MU Mixed Use and OE Office Employment overlavs. a maximum of 15 percent of the l!ross floor area in a buildinl! may be used for any or a combination of the followinl! special permitted uses when the standards in this section are met: limited stores. restaurants and shops; child or day care facilities; and ancillarv emplovee services. b. Limited Stores. Restaurants and Shops: In the MU Mixed Use overlay. the floor area shall be limited to retail uses in coniunction with a permitted use. c. Child or Day Care Facilities: Primarv prOl!ram activities are intel!rated into the interior of the buildinl!. d. Ancillarv Employee Services: Developments may include ancillary employee services such as cafeterias. fitness areas. or other supportive services l!enerally intended to support the needs of emplovees when the followinl! standards are met. i. The use is intel!rated into the interior of the buildinl!. ii. Tbe ancillary employee services shall be in coniunction witb a permitted or special permitted use on the property. 3. Change to Area Allocation for Special Permitted Use (18.53.020.8.1.b) and Minor Amendment Type I Procedure (18.53.020.8.3) At the August 3 meeting, the Council directed staff to add changes to area allocations for special permitted uses to the list of Minor Amendments in 18.53.020.B.l.b. In addition, staff recommends providing more specificity to the language regarding approval of a minor amendment. The following revisions were made to the attached ordinance to address these items. 18.53.020.B.l b. Minor amendments are those which result in any of the following: (I) A change in the Plan layout that requires a street, access way, multi-use path or other transportation facility to be shifted more than 25 feet in any direction, as long as the change maintains the connectivity established by the Croman Mill District Plan. (2) Changes related to street trees, street furniture, fencing or signage. Page2of8 er~' CITY OF ASHLAND (3) A change in the design of a street in a manner inconsistent with the Croman Mill District Standards. (4) A modification of a driveway access location in a manner inconsistent with the Croman Mill District Standards. (5) A site layout, landscaping or building design which is inconsistent with the Croman Mill District Standards. (6) A chanl!e ta an area allacatian far special permitted uses in sectian ]8.53.040.B. ~ QLA change in a dimensional standard requirement in section l8.53.oe~0, but not including height and residential density. 18.53.020.B 3. Minar Amendment Type I Pracedure A minor amendment to the Croman Mill District Plan is subject to an administrative decision under the Type I Procedure. Minor amendments shall not be subject to the Administrative Variance from Site Design and Use Standards of Chapter 18.72. A minor amendment may be approved upon finding that granting the approval will result in a development design that equally or better achieves the stated purpose af this chapter. aHd objectives of specific Craman Mill District Standards, and l!uidinl! principles af the district Craman Mill Site Redevelapment !}Plan. 4. Limited Outdaar Starage (]8.53.040.B.9) At the June 29 meeting, the Council directed staff to increase the area that can be used for Limited Outdoor Storage to be a maximum of"2,500 sq. ft. in the CI overlay, or 50 percent of the ground floor area of the building housing the associated permitted or special permitted use, whichever is less l!reater." The following revision was made to the attached ordinance to address these items. 9. Limited Outdaar Starage. Limited outdoor storage associated with a permitted or special permitted use when the following standards are met. a. The maximum area dedicated to outdoor storage shall be 1,000 sq. ft. in the OE and MU overlay; and 2,500 sq. ft. in the CI overlay, or 50 percent of the ground floor area of the building housing the associated permitted or special permitted use, whichever is less-l!reater. b. The outdoor storage shall be located behind or on the side of buildings, and shall be located so the outdoor storage is the least visible from the street that is reasonable given the layout ofthe site. c. The outdoor storage shall be screened from view by placement of a solid wood or metal fence, or a masonry wall from five to eight feet in height. fdl otltaoor storage materials sllall 813 cOfltaifled witllifl tile refuse area. d. The associated permitted use shall obtain a minimum of 50% of the employment density targets for the Croman Mill District. Page} of 8 r~' CITY OF ASHLAND 5. Type I Planning Approvals (18.108.040) At the June 1 meeting, the Council directed staff to modify the Type I Planning Approval procedure to allow Type I approval of Site Review for buildings up to 15,000 square feet in size in the Croman Mill District. The following revision was made to the attached ordinance to address these items. 18.108.040. Type I Procedure. A. Actions Included. The following planning actions shall be subject to the Type I Procedure: I. Site Design Review. The following developments that are subject to the Site Design Review Standards outlined in 18.72 shall follow the Type I permit procedures. a. Downtown Design Standards Zone. Any development which is less than 2,500 square feet or ten percent of the building's square footage, whichever is less. b. Detail Site Review. Any development in the Detail Site Review Zone, as defined in the Site Review Standards adopted pursuant Chapter 18.72, which is less than 10,000 square feet in gross floor area. c. Commercial, Industrial and Non-residential Uses i. All new structures, additions or expansions in C-I, E-I, HC and M zones, not within the Downtown Design Standards zone, that do not require new building area in excess of 20% of an existing building' s square footage or 10,000 square feet of gross floor area, whichever is less. ii. All new structures or additions less than 15,000 SQuare feet of !!ross floor area in the CM zonin!! district. HI. Expansion of impervious surface area in excess of 10% of the area of the site or 1,000 square feet, whichever is less IV. Expansion of parking lots, relocation of parking spaces on a site, or other changes which alters circulation affecting adjacent property or public right-of-way. v. Any change of occupancy from a less intensive to a more intensive occupancy, as defined in the City building code, or any change in use which requires a greater number of parking spaces. VI. Any change in use of a lot from one general use category to another general use category, e.g., from residential to commercial, as defined by the zoning regulations of this Code. vii. Any exterior change to a structure which requires a building permit and is listed on the National Register of Historic Places or to a contributing property within a Historic District on the National Register of Historic Places. d. Residential i. Two or more residential units on a single lot. ii. All new structures or additions less than 10,000 square feet of gross floor area, other than single-family homes or accessory uses on individual lots iii. Construction of attached single-family housing (e.g. town homes, condominiums, row houses, etc.) in all zoning districts. iv. Off-street parking or landscaping, in conjunction with an approved Performance Standards Subdivision required by ordinance and not located within the boundaries of the individual unit parcel (e.g. shared parking). v. Any exterior change to a structure which requires a building permit and is listed on the National Register of Historic Places. Page 4 of8 ~~, CITY OF ASHLAND 6. Changes to Maps At the May 26 meeting, the Council directed staff to make a series of changes to the maps. Those changes have been made as described below. The maps are included in the Croman Mill District Standards attached to Ordinance #3, and the Comprehensive Plan Map, Zoning Map and Zoning Overlay Map are also attached to Ordinance #5. o Zoning and Land Use Overlays maps: M-I Industrial zoning retained for properties at 695 and 697 Mistletoe (Kruise/Hamilin) o Zoning and Land Use Overlays maps: M-I Industrial zoning retained and Detail Site Review Zone not applied to the properties at 650, 700 and 750 Mistletoe Road (DiRienzo/Knox) o Phase II of Central Boulevard map: Mistletoe Road location shown as main access with original concept shown as secondary option with notation that "alternative Central Blvd. location contingent upon property owners consent" o Street Framework, and Pedestrian and Bicycle Framework maps: Potential Rail Crossing was added 6. Central Boulevard Street Standard Staff previously recommended removing the on-street parking lanes on the Central Boulevard. While on-street parking is often necessary in retail and service-oriented areas, plentiful and easily accessible short-term parking at the front of the building is generally not as critical in light industrial and office areas. Additionally, this suggestion was also an effort to address concerns raised throughout the process regarding the cost of building the public infrastructure, and the overall plan being cost prohibitive to economic development. By removing the on-street parking lanes on each side of the street, the overall width of the street improvement would be reduced which in turn reduces the construction cost. At the May 26 Council meeting, the Council directed staff to remove the on-street parking lanes and reduce the Central Boulevard cross section to three lanes (i.e. two travel lanes and a median/center turn lane). The Council also directed staff to retain the right-of-way width requirement for a five-lane street (i.e. two travel lanes, a median/center turn lane, and two on-street parking lanes). If the parking lanes are removed and not built but the wider 90-foot right-of-way is retained, the result will be an additional eight-foot setback of buildings on each side of street. The graphic on the next page depicts the outcome ofretaining the unused right-of-way. Page 5 of8 ~~, CITY OF ASHLAND MedianfT urn Lane - Travot lena .... Pow ITT ! Staff recommends reducing the required right-of-way width to match the width of the three-lane street when it is built. Staff believes there are two reasons for not retaining the wider 90-foot right-of-way. First, the property owner would be required to dedicate the additional eight feet on each side of the street as public right-of-way, and therefore donate land that could be used for buildings or associated site development by the adjacent lot to use for job creation purposes. Second, a setback of buildings from the Central Boulevard is contrary to the "active edge" street envisioned in the original redevelopment plan in which "buildings built flush with the sidewalk, with doors and windows facing the street, provide for pedestrian-level features of interest, improve safety..." The active edge is included in the Croman Mill District Standards, and is integrated through the design standards regarding building orientation. The street cross section without the on-street parking lanes and with the narrower right-of-way width is included in the attached ordinance for second reading. Additionally, the on-street parking standard has been modified to provide flexibility for evaluation of on-street parking at final design of the street. VIII-A-4 Required On-Street Parkin!! On-street parallel parking SHall be previaea mav be required along the Central Boulevard and local streets as indicated on the Reqliirea On-Street Parking map. If on-street parkin!! is required on streets identified on the On-Street Parkin!! map, A!ngled parking and loading zones are prohibited on these streets. Options addressin!! the street confi!!uration will be evaluated with the final desi!!n of the streets identified on the On-Street Parkin!! map. Related City Policies: Ashland Comprehensive Plan - Chapter II: Introductions and Definitions, Chapter III: Citizen Participation, Chapter IV: Environmental Resources, Chapter VII: The Economy, Chapter VIII: Parks, Page6of8 ~~, CITY OF ASHLAND Open Spaces and Aesthetics, Chapter X: Transportation, Chapter XI: Energy, Air and Water Conservation, Chapter XI!: Urbanization Chapter 18.108 Procedures Council Options: The Council may approve, approve with modifications, or deny the second reading of ordinances adopting Chapter 18.53 Croman Mill and related ordinance, Ashland Comprehensive Plan, and Comprehensive Plan and Zoning Map Amendments. Potential Motions: 1. Move to approve second reading of the following ordinances, and to approve the findings of fact to accompany the ordinances. . Ordinance #1: An Ordinance amending the City of Ashland Comprehensive Plan to add a new Croman Mill District designation to Chapter I! [Introduction and Definitions] to add the. Croman Mill Plan Designation on the adopted Land Use Map Legend and adopt the Croman Mill Site Redevelopment Plan and Economic Opportunities Analysis as support documents to the City of Ashland Comprehensive Plan Exhibit A: Croman Mill Site Redevelopment Plan (December 2008) Exhibit B: City of Ashland: Economic Opportunity Analysis Exhibit C: Comprehensive Plan Map Legend Exhibit D: Comprehensive Plan Appendix A: Technical Reports & Supporting Documents . Ordinance #2: An Ordinance amending the Ashland Land Use Ordinance creating a new Chapter 18.53 Croman Mill Exhibit A: Chapter I8.53 Croman Mill . Ordinance #3: An ordinance amending AMC 18. n.080.C Site Design Review Standards to add new Site Design and Use Standards for the Croman Mill District Exhibit A: Section VIII Croman Mill District Standards . Ordinance #4: An ordinance amending AMC 18.08.190, 18.08.341, 18.08.342, 18.08.343, 18.08.845,18.12.020,18.61.042,18.68.020, 18.68.050, 18.72.030, 18.72.110, 18.72.120, 18.72.140,18.72.180,18.84.100,18.88.070, 18.88.080, 18.92.020, 18.96.090, 18.104.020, 18.106.030,18.108.0174 of the Ashland Municipal Code and Land Use Ordinance for consistency with new Chapter 18.53 Croman Mill . Ordinance #5: An Ordinance amending the City of Ashland Comprehensive Plan to change the land use map designation of approximately 99 acres of land within the City of Ashland Urban Growth Boundary from Industrial, Employment, Single-Family Residential and Rural Residential (Jackson County) to the newly created Croman Mill Plan Designation; amending the City of Ashland Zoning and Land Use Control Maps to rezone approximately 78 acres of land within the City Limits from M-I, E-I, and R-I-5 Districts to the newly created Croman Mill Zone; and imposing five Croman Mill Overlay Districts on the Croman mill zoned properties, including Compatible Industrial, CM-CI, Office Employment, CM-OE, Mixed Use, CM-MU, Open Space, CM-OS, Neighborhood Center, CM-NC Exhibit A: Proposed Comprehensive Plan Designation Exhibit B: Proposed Croman Mill District Zone (CM) Exhibit C: Proposed Zoning Map Changes . Ordinance #6: An Ordinance amending AMC Chapter 15 to create LEED Certified Building Priority Page 7 of8 ~~, CITY OF ASHLAND 2. Move to approve second reading with proposed amendments as noted after each ordinance, and to approve the findings of fact to accompany the ordinances. (see list of ordinances above) Attachments: 1. Ordinance #1: An Ordinance amending the City of Ashland Comprehensive Plan to add a new Croman Mill District designation to Chapter II [Introduction and Definitions] to add the Croman Mill Plan Designation on the adopted Land Use Map Legend and adopt the Croman Mill Site Redevelopment Plan and Economic Opportunities Analysis as support documents to the City of Ashland Comprehensive Plan Exhibit A: Croman Mill Site Redevelopment Plan (December 2008) Exhibit B: City of Ashland: Economic Opportunity Analysis Exhibit C: Comprehensive Plan Map Legend Exhibit D: Comprehensive Plan Appendix A: Technical Reports and Supporting Documents 2. Ordinance #2: An Ordinance amending the Ashland Land Use Ordinance creating a new Chapter 18.53 Croman Mill Exhibit A: Chapter 18.53 Croman Mill 3. Ordinance #3: An ordinance amending AMC l8.72.080.C Site Design Review Standards to add new Site Design and Use Standards for the Croman Mill District Exhibit A: Section VIII Croman Mill District Standards 4. Ordinance #4: An ordinance amending AMC 18.08.190, 18.08.341, 18.08.342, 18.08.343, 18.08.845,18.12.020,18.61.042,18.68.020, 18.68.050, 18.72.030, 18.72.110, 18.72.120, 18.72.140,18.72.180,18.84.100,18.88.070, 18.88.080, 18.92.020, 18.96.090, 18.104.020, 18.106.030, 18.108.0174 of the Ashland Municipal Code and Land Use Ordinance for consistency with new Chapter 18.53 Croman Mill 5. Ordinance #5: An Ordinance amending the City of Ashland Comprehensive Plan to change the land use map designation of approximately 99 acres of land within the City of Ashland Urban Growth Boundary from Industrial, Employment, Single-Family Residential and Rural Residential (Jackson County) to the newly created Croman Mill Plan Designation; amending the City of Ashland Zoning and Land Use Control Maps to rezone approximately 78 acres of land within the City Limits from M-l, E-l, and R-I-5 Districts to the newly created Croman Mill Zone; and imposing five Croman Mill Overlay Districts on the Croman mill zoned properties, including Compatible Industrial, CM-CI, Office Employment, CM-OE, Mixed Use, CM-MU, Open Space, CM-OS, Neighborhood Center, CM-NC Exhibit A: Proposed Comprehensive Plan Designation Exhibit B: Proposed Croman Mill District Zone (CM) Exhibit C: Proposed Zoning Map Changes 6. Ordinance #6: An Ordinance amending AMC Chapter 15 to create LEED Certified Building Priority 7. Findings of Fact and Conclusions of Law for Amendments to the City of Ashland Comprehensive Plan, Zoning Map and Land Use Regulations Concerning the Addition of Chapter 18.53 Croman Mill. PageSofS ~.. ._11 ORDINANCE NO. AN ORDINANCE AMENDING THE CITY OF ASHLAND COMPREHENSIVE PLAN TO ADD A NEW CROMAN MILL DISTRICT DESIGNATION TO CHAPTER II [INTRODUCTION AND DEFINITIONS), TO ADD THE CROMAN MILL PLAN DESIGNATION ON THE ADOPTED LAND USE MAP LEGEND AND ADOPT THE CROMAN MILL SITE REDEVELOPMENT PLAN AND ECONOMIC OPPORTUNITIES ANALYSIS AS SUPPORT DOCUMENTS TO THE CITY OF ASHLAND COMPREHENSIVE PLAN Annotated to show deletions and additions to the code sections being modified. Deletions are bold lined through and additions are in bold underline. WHEREAS, Article 2. Section I of the Ashland City Charter provides: Powers of the Citv The City shall have all powers which the constitutions, statutes, and common law of the United States and of this State expressly or impliedly grant or allow municipalities, as fully as though this Charter specifically enumerated each of those powers, as well as all powers not inconsistent with the foregoing; and, in addition thereto, shall possess all powers hereinafter specifically granted. All the authority thereof shall have perpetual succession. WHEREAS, the. above referenced grant of power has been interpreted as affording all legislative powers home rule constitutional provisions reserved to Oregon Cities. City of Beaverton Y. International Ass'n of Firefighters. Local 1660, Beaverton Shop 20 Or. App. 293; 531 P 2d 730,734 (1975); and WHEREAS, the. City of Ashland Planning Commission considered the above-referenced recommended amendments to the Ashland Comprehensive Plan at a duly advertised public hearing on January 12,2010 and subsequent public hearing continuance dates, and on February 23,2010, following deliberations, recommended approval of the amendments by a vote of6-2; and WHEREAS, the City Council of the City of Ashland conducted a duly advertised public hearing on the above-referenced amendments on April 6, 20 I 0 and on subsequent public hearing continuance dates; and WHEREAS, the City Council of the City of Ashland, following the close of the public hearing and record, deliberated and conducted first and second readings approving adoption of the Ordinance in accordance with Article 10 of the Ashland City Charter; and Page 10f3 WHEREAS, the City Council of the City of Ashland has determined that in order to protect and benefit the health, safety and welfare of existing and future residents of the City, it is necessary to amend the Ashland Comprehensive Plan in manner proposed, that an adequate factual base exists for the amendments, the amendments are consistent with the comprehensive plan and that such amendments are fully supported by the record of this proceeding. THE PEOPLE OF THE CITY OF ASHLAND DO ORDAIN AS FOLLOWS: SECTION 1. The above recitations are true and correct and are incorporated herein by this reference. SECTION 2. The City of Ashland Comprehensive Plan, Chapter II, [INTRODUCTION AND DEFINITIONS] is hereby amended to add the following new Section [CROMAN MILL 2.04.16] and to adopt the Croman Mill Site Redevelopment Plan, as amended, as a supporting document to the City's Comprehensive Plan; former Section 2.04.16 is renumbered [PLAN . REVIEW 2.04.17], to read as follows: , PLAN REVIEW (2.IH.16) CROMAN MILL PLAN (2.04.16) The desi!!nation is for an employment area that promotes familv wal!e-iobs and includes industrial and office uses that are compatible and complimentary. The area also includes neil!hborhood-oriented businesses, mixed-uses, a variety of transportation options and open spaces to encoural!e services and leisure activities within walkin!! distance of the employment center, as well as to encoura!!e multi- modal trips within and to and from the area. While the area is primarily dedicated to iob creation and economic development purposes, areas on the perimeter of the plan area allow residential units in mixed-use buildinl!s at densities ran!!inl! from IS to 60 dwellinl! units per acre. This area implements the Cmman Mill Site Redevelopment Plan (2008), as amended. The zonin!! desi!!nation that was in place prior to the adoption of the Croman Mill Plan is retained on seyerallots in the plan area, and the expectation is that any future rezoninl! of these properties will be limited to the Croman Mill desi!!nation. PLAN REVIEW (2.04.17) SECTION 3. The City of Ashland Comprehensive Plan is hereby amended to add an Appendix entitled "Technical Reports and Supporting Documents". Previously added support documents are acknowledged on this Appendix. The Appendix is attached hereto and made a part hereof as Exhibit D. SECTION 4. The document entitled "The City of Ashland Croman Mill Site Redevelopment Plan, (2008), as amended," attached hereto as Exhibit A, and made a part hereof by this reference is hereby added to the above-referenced Appendix to support Chapter II, [INTRODUCTION AND DEFINITIONS] the Comprehensive Plan. Page 2 of3 SECTION S. The document entitled "The Cij:y of Ashland ,Economic Opportunities Analysis (April 2007)", attached hereto as Exhibit B, and made a part hereof by this reference is hereby added to the above-referenced Appendix to support Chapter VII [ECONOMY] the Comprehensive Plan. SECTION 6. The officially adopted City of Ashland Comprehensive Plan Map, referenced in Ashland Comprehensive Plan Chapter II [PLAN MAP 2.03.04] is hereby amended to add a new Plan Designation [Croman Mill Plan] to the Comprehensive Plan Map Legend, attached hereto as Exhibit C, and made a part hereof by this reference. SECTION 7~ Severability. The sections, subsections, paragraphs and clauses of this ordinance are severable. The invalidity of one section, subsection, paragraph, or clause shall not affect the validity of the remaining sections, subsections, paragraphs and clauses. SECTION 8. Codification. Provisions of this Ordinance shall be incorporated in the City Comprehensive Plan and the word "ordinance" may be changed to "code", "article", "section", or another word, and the sections of this Ordinance may be renumbered, or re-lettered, provided however that any Whereas clauses and boilerplate provisions (i.e. Sections I, 3-6 need not be codified and the City Recorder is authorized to correct any cross-references and any typographical errors. The foregoing ordinance was first read by title only in accordance with Article X, Section 2(C) of the City Charter on the _ day of ,2010, and duly PASSED and ADOPTED this _ day of ,2010. Barbara M. Christensen, City Recorder SIGNED and APPROVED this _ day of ,2010. John Stromberg, Mayor Reviewed as to form: Richard Appicello, City Attorney Page 3 of3 i=' 1: 'w ., ..... E Q) .~., '0 UlOj > C"<<J1j::: ~ C C ~ .,-~ (/) rn~C co => co 3:-2 ~ C O:'::c: 0 ~ a... c Q) e:u., J2 ..... Ul ~ a. ' C 0 <( C6 ur Q) 5 a.. Ol G.l eLl -g '= '(6 Q) C ..c ~'a:; G - ..... 0 "gu.c..Q C .- 0 r.J 2 -c r... ~ :J :2 "C (/) +::; ~1ri"5Q Z 0 c c ~ CO c: ~ 0 "C C ..... ~ o (/).J: c: ~ 2 ..... CO u~(f)m CO Q) CO Q) .,:;'(/)4,) ... E .c "C a.. rn-C:u .c (/) Erooe: - 0 Q)., IV t:: 0 :J >- C G.l=:r.11i) 0 <r: ~ 0 ..... 0 0 :!: 0 -5 < g 'x S (f) .- G.l Z () (f) () () .~ ~~o ~ cd~3- ~ . --- i<.Yi 01 C::I"C"C 'a ~ ~~ ~il g. ('3 r... 'I: ~L,~~ ::_r...G) ..J 00> >- ~ Q) l- I ~ ~ Q) (/) - ~ Q) cr: U rJ) CO CO CO C CO +::; CO +::; +::; +::; c. +::; c c c Q) c Q) CO Q) ~ Q) "C' Q) +::; "C "C (/) "C "C C .(/) (/) Q) (/) (/) Q) Q) Q) cr: Q) Q) ~ cr: 8 cr: cr: cr: (/) >- >- >- Q) >- E >- :!: cr: E .'t: . (/) (/) CO E c c CO c LL, CO Q) CO LL Q) u LL 0 ..c 0 Q) ..... Q) I :J ~ Ol +::; :c ..c Ol .c :J Ol :J C .-1 (f) 2 I (f) (f) .C ,..... O~IO~ co :;.~;{'::.f --0 ,... .... ';.:'~~.~} - - 0 '''.''', a:l - Q) ..c: CO c ~ c Q) ..... '0 CO '" 3' E - 0 ..... CO () ..... :-. Q) .... (j 0 >- .;:: .... E - 0 - .c t:: .::l C (/) ~ 0 ...:l ,... 0.. .... E 3 .:J CO 0.. C co 0 0 E "C Q) ..... .!::J C ..... :-. () 0 W I <( U ~ 11[1101 DO ..'~~. ..' Appendix A: Technical Reports and Supporting Documents City of Ashland, Oregon Comprehensive Plan Periodically, the City may choose to conduct studies and prepare technical reports to adopt by reference within the Comprehensive Plan to make available for review by the general public. These studies and reports shall not serve the purpose of creating new city policy, but rather the information, data and findings contained within the documents may constitute part of the basis on which new policies may be formulated or existing policy amended. In addition, adopted studies and reports provide a source of information that may be used to assist the community in the evaluation of local land use decisions. . Chapter II, Introduction and Definitions The following reports are adopted by reference as a supporting document to the Ashland Comprehensive Plan, Chapter II, Introduction and Definitions. 1. Croman Mill Site Redevelopment Plan (2008) by Ordinance _ on Chapter IV, Environmental Resources The following reports are adopted by reference as a support document to the Ashland Comprehensive Plan, Chapter IV, Environmental Resources. 1. City of Ashland Local Weiland Inventory and Assessment and Riparian Corridor Inventory (200512007) by Ordinance 2999 on December 15, 2009. Chapter VII, Economy The following reports are adopted by reference as a support document to the Ashland Comprehensive Plan, Chapter VII, The Economy. 1. City of Ashland: Economic Opportunities Analysis (April 2007) by Ordinance _ on ORDINANCE NO. AN ORDINANCE AMENDING THE ASHLAND LAND USE ORDINANCE CREATING A NEW CHAPTER 18.53 CROMAN MILL WHEREAS, Article 2. Sectian I afthe Ashland City Charter pravides: Pawers af the City The City shall have all pawers which the canstitutians; statutes, and camman law af the United States and af this State expressly or impliedly grant ar allaw municipalities, as fully as thaugh this Charter specifically enumerated each af thase pawers, as well as all pawers nat incansistent with the faregaing; and, in additian thereto., shall passess all pawers hereinafter specifically granted. All the autharity thereaf shall have perpetual succ<;ssian. WHEREAS, the abave referenced grant afpawer has been interpreted as affarding all legislative pawers hame rule canstitutianal provisians reserved to. Oregan Cities. City af Beavertan v. Internatianal Ass'n afFirefighters. Laca11660. Beavertan Shap 20 Or. App. 293; 531 P 2d 730, 734 (1975); and . WHEREAS, the City af Ashland Planning Cammissian cansidered the abave-referenced recammended amendments to. the Ashland Municipal Cade and Land Use Ordinances at a duly advertised public hearing an January 12, 2010 and subsequent public hearing cantinuance dates, and an February 23,2010, fallawing deliberatians, recammended approval afthe amendments by a vate af 6-2; and WHEREAS, the City Cauncil afthe City af Ashland canducted a duly advertised public hearing an the abave-referenced amendments an April 6, 2010 and an subsequent public hearing cantinuance dates; and . WHEREAS, the City Cauncil afthe City af Ashland, fallawing the clase afthe public hearing and recard, deliberated and canducted first and secand readings approving adaptian afthe Ordinance in accardance with Article 10 afthe Ashland City Charter; and WHEREAS, the City Cauncil afthe City af Ashland has determined that in arder to. pratect and benefit the health, safety and welfare af existing and future residents afthe City, it is necessary to. amend the Ashland Municipal Cade and Land Use Ordinance in manner proposed, that an adequate factual base exists far the amendments, the amendments are cansistent with the camprehensive plan and that such amendments are fully supparted by the recard af this proceeding. THE PEOPLE OF THE CITY OF ASHLAND DO ORDAIN AS FOLLOWS: SECTION 1. The abave recitatians are true and carrect and are incarparated herein by this reference. Page 1 of2 SECTION 2. A new Chapter 18.53 afthe Ashland Municipal Cade creating a new zaning district [CROMAN MILL] set farth in full cadified farm an the attached Exhibit A and made a part hereafby this reference, is hereby added to. the Ashland Municipal Cade. SECTION 3. Severability. The sectians, subsectians, paragraphs and clauses afthis ardinance are severable. The invalidity af ane sectian, subsectian, paragraph, ar clause shall nat affect the validity af the remaining sectians, subsectians, paragraphs and clauses. SECTION 4. Codification. Provisians afthis Ordinance shall be incarparated in the City Cade and the ward "ardinance" may be changed to. "cade", "article", "sectian", ar anather ward, and the sectians af this Ordinance may be renumbered, ar re-lettered, pravided hawever that any Whereas clauses and bailerplate provisians, and text descriptians af amendments (i.e. Sectians 1- 4) need nat be cadified and the City Recarder is autharized to. carrect any crass-references and any typagraphical errars. The faregaing ardinance was first read by title anly in accardance with Article X, Sectian 2(C) afthe City Charter an the _ day af ,2010, and duly PASSED and ADOPTED this _ day af ,2010. Barbara M. Christensen, City Recarder SIGNED and APPROVED this _ day af ,2010. Jahn Stramberg, Mayar Reviewed as to. form: Richard Appicella, City Attarney Page 2 of2 CHAPTER 18.53 CM CROMAN MILL SECTIONS: 18.53.010 18.53.020 18.53.030 18.53.040 18.53.050 18.53.060 18.53.070 Purpase General Requirements Craman Mill District Plan Develapment Standards Use Regulatians Dimensianal Regulatians Craman Mill District Open Space Overlay Applicability af Other Sectians af the land Use Ordinance SECTION 18.53.010 Purpase The purpose af this sectian is to implement the Croman Mill Site Redevelapment Plan. The district is designed to. pravide an enviranment suitable far emplayment, recreatian and living. The CM zaning district is a blueprint far promating family-wage jabs, professianal office and manufacturing commerce, neighborhood-oriented businesses, mixed-use projects and community services in a manner that enhances praperty values by providing transportatian aptians and preserving significant apen spaces while minimizing the impact an natural resaurces through site and building design. SECTION 18.53.020 General Requirements A. Canfarmance with the Craman Mill District Plan Land uses and development, including buildings, parking areas, streets, bicycle and pedestrian access ways, multi-use paths and apen spaces shall be lacated in accordance with thase shawn an the Croman Mill District Plan maps adapted by ardinance number (Manth Year). B. Majar and minar amendments to. the Craman Mill District Plan shall camply with the fallawing procedures: 1. Majar and Minar Amendments. a. Majar amendments are those which result in any af the fallowing: (1) A change in the land use averlay to. CI Campatible Industrial ar OE Office Emplayment. (2) A madificatian to. the street layaut plan that necessitates a street ar ather transpartatian facility to. be eliminated. (3) A change nat specifically listed under the majar and minar amendment definitians. b. Minar amendments are thase which result in any af the following: (1) A change in the Plan layaut that requires a street, access way, multi-use path ar ather transpartatian facility to. be shifted mare than 25 feet in any directian, as lang as the change maintains the connectivity established by the Croman Mill District Plan. (2) Changes related to. street trees, street furniture, fencing ar signage. Ch.1B.53 2'" Reading 8.1710 Pagel (3) A change in the design af a street in a manner inconsistent vvith the Craman Mill District Standards. (4) A modificatian af a driveway access lacatian in a manner inconsistent with the Croman Mill District Standards. (5) A site layaut, landscaping ar building design which is inconsistent with the Croman Mill District Standards. (6) A change to. an area allocatian far special permitted uses in sectian 18.53.040.B. (7) A change in a dimensianal standard requirement in sectian 18.53.050, but nat including height and residential density. 2. Majar Amendment Type II - Appraval Pracedure A majar amendment to. the Craman Mill District Plan is subject to a public hearing and decisian under a Type II Procedure. A majar amendment may be appraved upan the hearing autharity finding that: a. The proposed modificatian maintains the connectivity established by the district plan, ar the proposed modificatian is necessary to. adjust to. physical canstraints evident an the property, ar to. pratect significant natural features such as trees, rock autcrappings, wetlands, ar similar natural features, or to adjust to. existing praperty lines between praject baundaries; b. The proposed madificatian furthers the design, circulatian and access concepts advocated by the district plan; and c. The prapased modification vvill nat adversely affect the purpose and abjectives af the district plan. 3. Minar Amendment Type I Pracedure A minar amendment to. the Croman Mill District Plan is subject to. an administrative decisian under the Type I Procedure. Minar amendments shall nat be subject to. the Administrative Variance from Site Design and Use Standards af Chapter 18.72. A minar amendment may be appraved upon finding that granting the approval will result in a development design that equally ar better achieves the stated purpose af this chapter, abjectives af specific Craman Mill District Standards,. and guiding principles af the Croman Mill Site Redevelapment Plan. SECTION 18.53.030 Craman Mill District Plan Develapment Standards A. Ashland Local Street Standards The design and constructian af streets and public impravements shall be in accordance with Ashland's Lacal Street Standards, except as atherwise permitted far the follawing facilities within the Craman Mill District: a. Central Baulevard b. Talman Creek Raad Realignment c. Lacal Streets d. Protected Bikeway and Pedestrian Path e. Central Bike Path f. Multi-use Path g. Accessways Ch. 18.53 2-'Reading8.1710 Page 2 B. Site Design and Use Standards - Craman Mill District New develapment shall be designed and constructed consistent with Chapter 18.72 Site Design Review, and Sectian VIII - Craman Mill District Standards af the Site Design and Use Standards. SECTION 18.53.040 Use Regulatians A. Generally Uses and their accessory uses are permitted, special permitted ar conditional uses in the Croman Mill District as listed in the Land Use Table. - residential uses [] [] temporary employee housing I COl1lmercial , stores, restaurants, and shops less than 3,000 sq.ft., excluding fuel sales, automobile sales and repair limited stores, restaurants and shops, excluding fuel sales, autamobile sales and re~air professional, financial, business and medical offices administrative or research and development establishments child ar day care centers fitness, recreational sports, gym or athletic club ancillary employee services (e.g. cafeteria, fitness area) kennels (indoor) and veterinary clinics matian picture, televisian or radio. broadcasting studios temporary uses IlnilUstrial< " manufacturing, assembly, fabrication or packaging including manufacturing of food I'roducts limited manufacturing affiliated with a retail use rail freight loading dock facilities rail or rapid transit passenger facilities warehause and similar starage facilities limited outdoor storage wireless communication facilities attached to an existing structure pursuant to. 18.72.180 freestanding wireless communication support structures pursuant to 18.72.180 . [] . . . [] . [] . 0 0 " . [] . o o [] [] [] [] . [] . . [] [] [] [] [] [] . . o 0 0 "'.C!T';';~~1.':I>'1 [] . . . . . [] [] [] [] [] [] 0 . . 0 0 0 Ch. 18.53 2-'Reading8.1710 Page 3 - ~. A . . Public & Institutional '. . . .. .... ---.' .. public service or community buildings with office ar space used directly by public . o o o . public service or community buildings without office or space used directly by public o o o o o public and quasi-public utility facilities enclosed in a building Oregon Department of Transportation (ODOT) maintenance . facility and yard private schoal, college, trade school, technical school ar similar school electrical substations [I [I o o o o o o [I [I [I [I . Permitted Use . NC = Neighborhood Center MU = Mixed Use OE = Office/Employment [I Special Permitted Use o Canditianal Use CI = Compatible Industrial OS = Open space B. Special Permitted Uses The following uses and their accessary uses are special permitted uses as listed in the Land Use Table and are subject to the requirements af this sectian and the requirements af Chapter 18.72, Site Design and Use Standards. 1. Residential Uses. a. The ground f1aar area shall be designated far permitted ar special permitted uses, excluding residential. b. Residential densities shall nat exceed the densities in sectian 18.53.050. Far the purpases af density calculatians, units af less than 500 square feet af gross habitable f1aar area shall eount as 0.75 af a unit. c. Residential uses shall execute a hald harmless covenant and agreement stating they shall nat pratest impacts tram commercial and industrial uses within the district. 2. Temparary Emplayee Hausing. Residential units for use by persans emplayed within the facility and their families when the fallowing standards are met. a. Emplayee Hausing densities shall nat exceed two units per acre. Far the purpases af density calculatians, units af less than 500 square feet af grass habitable flaar area shall caunt as 0.75 af a unit. b. The emplayee hausing shall be in conjunctian with a permitted ar special permitted use an the property. c. Units shall be restricted by covenant to. be accupied by persans emplayed by a business aperating on the praperty. Ch. 18.53 2" Reading 8.17-10 Page 4 3. Limited Stares, Restaurants and Shaps; Child ar Day Care Facilities; and Ancillary Emplayee Services. a. In the CI Campatible Industrial, MU Mixed Use and OE Office Emplayment averlays, a maximum of 15 percent af the gross flaar area in a building may be used far any ar a combinatian af the follawing special permitted uses when the standards in this sectian are met: limited stares, restaurants and shaps; child ar day care facilities; and ancillary emplayee services. b. Limited Stares, Restaurants and Shaps: In the MU Mixed Use averlay, the flaar area shall be limited to. retail uses in conjunctian with a permitted use. c. Child or Day Care Facilities: Primary program activities are integrated into. the interiar af the building. d. Ancillary Emplayee Services: Develapments may include ancillary emplayee services such as cafeterias, fitness areas, ar ather suppartive services generally intended to. suppart the needs af emplayees when the fallowing standards are met. i. The use is integrated into. the interiar af the building. ii. The ancillary emplayee services shall be in conjunctian with a permitted ar special permitted use on the property. 4. Prafessianal, Financial, Business and Medical Offices in CI Overlay. Develapments in the CI Campatible Industrial averlay may include ancillary affice uses to. suppart the aperatians af a permitted use an-site pravided the maximum flaor area dedicated far aflice uses shall nat exceed 50 percent of the ground flaor area. 5. Kennels. a. Kennels shall be located at least 200 feet from the nearest residential dwelling. b All animals shall be boarded within a building at all times. c. No. naise ar adar shall emanate outside the walls af the building used as a kennel. d. A disposal management plan shall be provided demanstrating all animal waste will be disposed af in a sanitary manner. 6. Manufacture, Assembly, Fabricatian and Packaging in OE Overlay. Develapments in the OE Office Emplayment averlay may include ancillary manufacturing, assembly, fabricatian and packaging uses to. suppart the aperatians af a permitted or special permitted use an-site when the fallawing standards are met. a. The maximum floor area dedicated to. manufacturing, assembly, fabricatian and packaging shall be 50 percent af the graund flaar area. b. No. autside space shall be used far the manufacturing, assembly, fabricatian and packaging pracesses. 7. Limited Manufacturing Affiliated with a Retail Use. Manufacturing, assembly, fabricatian ar packaging contiguaus to. and assaciated with a retail space, pravided the maximum flaar area dedicated to. manufacturing occupies 1,000 sq.ft., ar ten percent (10%) af graund floor area, whichever is less. Ch. 18.53 ~ Reading 8.17.10 Page S 8. Warehause and Similar Starage Facilities. a. The maximum f1aar area dedicated far use as warehause ar similar starage uses in the OE and MU averlays shall be 50 percent af the graund f1aar area. b. Warehause and starage facilities shall be pravided anly in conjunctian with, and for the exclusive use by, a pennitted ar special pennitted use an the praperty. c. Self-service mini-warehauses are prohibited. d. No autside space shall be used for starage, unless appraved as a limited autdaar starage area. 9. Limited Outdoar Starage. Limited autdaar storage associated with a pennitted ar special permitted use when the fallawing standards are met. a. The maximum area dedicated to. autdaar starage shall be 1,000 sq. ft. in the OE and MU averlay; and 2,500 sq. ft. in the CI averlay, ar 50 percent af the graund floor area af the building hausing the assaciated pennitted ar special pennitted use, whichever is greater. . b. The autdaar storage shall be lacated behind ar an the side af buildings, and shall be lacated sa the autdoor starage is the least visible tram the street that is reasanable given the layaut af the site. c. The autdaar starage shall be screened from view by placement 'af a salid woad ar metal fence, or a masanry wall tram five to. eight feet in height. d. The assaciated pennitted use shall abtain a minimum af 50% af the emplayment density targets far the Craman Mill District. 10. Public and Quasi-Public Utility Service Buildings. a. Facilities and structures that are accessary to. a public pink in the OS averlay, including but nat limited to. maintenance equipment starage, enclased picnic facilities, and restrooms. b. Public and Quasi-Public utility service building relating to receiving and transmitting antennas and communicatian towers are subject to. the applicable pravisians af 18.72.180. c. Public and Quasi-Public utility service building shall demanstrate: i. The need for the facility, present ar future; and haw the facility fits into. the utility's Master Plan. ii. The facility utilizes the minimum area required for the present and anticipated expansian. iii. Campatibility af the facility with existing surraunding uses and uses allawed by the plan designatian. 11. Oregan Department af Transpartatian Maintenance Facility and Starage Yard Far the Oregan Department af Transpartatian Ashland maintenance facility and starage yard lacated an praperty within the NC averlay the fallawing shall apply. a. Buildings may be enlarged ar replaced subject to. Basic Site Review Standards. b. Are exempt tram the Dimensianal Regulatians per 18.53.050 with the exceptian af minimum side and rear yard setbacks abutting a residential district and maximum height. c. Are exempt tram the requirements af Sectian VIII Croman Mill District Ch. 18.53 2" Reading 8.17.10 Page 6 Standards af the Ashland Site Design and Use Standards. SECTION 18.53.050 Dimensianal Regulatians The lat and building design requirements are established in each zaning district regulatian in the Dimensianal Standards Table. Croman Mill District Dimensional Standards NC MU OE CI OS Lot Size minimum, s uare feet Franta e minimum feet Lot Width minimum, feet Yard Abuttin a Street minimum ard, feet maximum yard abutting a street, fee Side Yard Abuttin a Residential District minimum, feet Read Yard Abuttin a Residential District minimum er sto ,feet Landsca in Covern e minimum ercenta e covera e Hei ht minimum number af stories maximum hei ht without bonus, stories/feet maximum hei ht WITh bonus, stories/feet Solar Access 10 10 10 10 15 15 15 10 2 2.5/35 4/50 2 3/40 4/50 2 3/40 5f75 2 3/40 5f75 1/20 The solar access setback in Chapter 18.70 Solar Access does not a I in the Craman Mill District. Fronta e Build Out on Active Ed e Street minimum, ercent 65 65 65 65 Floor Area Ratio FAR minimum 0.60 0.60 0.60 0.50 Residential Dens' maximum units er acre without bonus 30 15 maximum units er acre with bonus 60 30 1 Minimum yard in CI Overlay abutting an Active Edge Street is two feet, minimum yard in CI OVerlay not abutting an Active Edge Street is ten feet 2 Maximum yard requirements shall not apply to entry features such as alcoves, and to hardscape areas for ~edestrian activities such as plazas or outside eating areas. Second story shall be a minimum of 20% of the gross floor area. 4 Solar energy systems and parapets may be erected up to five feet above the calculated building height, and no greater than five feet above the height limited specified by the district. 5 In the Residential Buffer Zone, the maximum height with a bonus is 40 feet. · Plazas and pedestrian areas shall count as floor area for the purposes of meeting the minimum Floor Area Ration (FAR). 7 Density of the development shall not exceed the density established by this standard. Density shall be computed by dividing the total number of dwelling units by the acreage of the project, including land dedicated to the public. Fractional portions shall not apply toward the total density. CIi. 1853 2'" Reading 8.17.10 Pa;e 7 SECTION 18.53.060 Craman Mill District Open Space Overlay All prajects containing land identified an the Craman Mill District Land Use Overlays Map as apen space shall dedicate thase areas as commanly-owned ar public apen space. It is recognized that the master planning af the properties as part af the Craman Mill Site Redevelapment Plan imparted significant value to. the land, 'and the required dedication af thase lands within the Craman Mill district far apen space and conservatian purpases is prapartianal to. the value bestawed upan the praperty through the change in zaning designatian. SECTION 18.53.070 Applicability af Other Sectians af the land Use Ordinance Develapment lacated within the Craman Mill (CM) zaning district shall be required to. meet all ather applicable sectians af the Land Use Ordinance, except as atherwise provided in this Chapter. r ell 18.53 2"' Reading 8.17.10 Pogo 8 ORDINANCE NO. AN ORDINANCE AMENDING AMC 18.72.080.C SITE DESIGN REVIEW STANDARDS TO ADD NEW SITE DESIGN AND USE STANDARDS FOR THE CROMAN MILL DISTRICT WHEREAS, Article 2. Sectian 1 afthe Ashland City Charter provides: Pawers af the City The City shall have all pawers which the canstitutians, statutes, and camman law af the United States and af this State expressly or impliedly grant ar allow municipalities, as fully as though this Charter specifically enumerated each af thase pawers, as well as all pawers nat incansistent with the faregaing; and, in additian thereto., shall passess all pawers hereinafter specifically granted. All the autharity thereaf shall have perpetual successian. WHEREAS, the abave referenced grant afpawer has been interpreted as affording all legislative pawers hame rule constitutianal provisions reserved to Oregan Cities. City af Beavertan v. Internatianal Ass'n afFirefighters. Laca11660. Beavertan Shap 20 Or. App. 293; 531 P 2d 730, 734 (1975); and WHEREAS, the City af Ashland Planning Cammissian cansidered the abave-referenced recammended amendments to. the Ashland Municipal Cade and Land Use Ordinances at a duly advertised public hearing an January 12,2010 and subsequent public hearing cantinuance dates, and on February 23,2010, fallawing deliberatians, recammended appraval afthe amendments by a vate af 6-2; and WHEREAS, the City Cauncil afthe City af Ashland canducted a duly advertised public hearing an the abave-referenced amendments an April 6, 2010 and an subsequent public hearing cantinuance dates; and WHEREAS, the City Council afthe City af Ashland, fallawing the close of the public hearing and recard, deliberated and canducted first and secand readings appraving adaptian af the Ordinance in accardance with Article lOaf the Ashland City Charter; and WHEREAS, the City Cauncil afthe City af Ashland has determined that in arder to. pratect and benefit the health, safety and welfare af existing and future residents of the City, it is necessary to. amend the Ashland Municipal Cade and Land Use Ordinance in manner propased, that an adequate factual base exists far the amendments, the amendments are cansistent with the camprehensive plan and that such amendments are fully supparted by the recard afthis proceeding. THE PEOPLE OF THE CITY OF ASHLAND DO ORDAIN AS FOLLOWS: SECTION 1. The abave recitatians are true and carrect and are incarparated herein by this reference. Page 1 of2 SECTION 2. The Ashland Site Design and Use Standards autharized in Sectian l8.72.080.C, are hereby amended to. add a new Subsectian VIII [CROMAN MILL DISTRICT STANDARDS] and is set farth in full cadified farm an the attached Exhibit A and made a part hereafby this reference, and said sectian is hereby added to. the Ashland Municipal Cade. SECTION 3. Severability. The sectians, subsectians, paragraphs and clauses afthis ardinance are severable. The invalidity af ane sectian, subsectian, paragraph, ar clause shall nat affect the validity afthe remaining sectians, subsections, paragraphs and clauses. SECTION 4. Codification. Pravisions of this Ordinance shall be incarparated in the City Cade and the ward "ardinance" may be changed to. "cade", "article", "sectian", ar anather word, and the sectians af this Ordinance may be renumbered, ar re-Iettered, pravided hawever that any Whereas clauses and bailerplate pravisions, and text descriptians af amendments (i.e. Sectians 1- 4) need nat be cadified and the City Recarder is autharized to correct any crass-references and any typagraphical errors. The faregaing ardinance was first read by title anly in accardance with Article X, Sectian 2(C) afthe City Charter an the _ day af ,2010, and duly PASSED and ADOPTED this _ day af ,2010. Barbara M. Christensen, City Recarder SIGNED and APPROVED this _ day of ,2010. Jahn Stromberg, Mayar Reviewed as to farm: Richard Appicella, City Attarney Page 2 of2 SECTION VIII Croman Mill District Standards Adopted by the Ashland City Councilllate Ordinance /!!!!!, A. Street Standards VIII-A-1 Street Desian The design and construction af streets and public improvements shall be in accordance with the Ashland Street Standards, except as otherwise required far the follawing facilities within the Croman Mill District. A change in the design af a street in a manner inconsistent with the Croman Mill District Street Design Standards requires a minor amendment in accordance with Sectian 18.53.020.8. 1. Central Baulevard The tree-lined boulevards along Siskiyau Boulevard and Ashland Street are an easily identifiable feature of Ashland's boulevard netwark. Applicatian af this 'street design to. the Central Baulevard will create a seamless boulevard laap, linking the Croman Mill district with dawntown Ashland. The Central Baulevard also. serves as the front daar to. the Craman Mill district, creating a positive first impressian when entering the district. Optians addressing the street configuratian and intersectian geametry will be evaluated with the final design of the Central Bouleyard. '~ MldianlTum lane -- ! Ttovcllano T=T . . I 2. Phased Street Plan Build-out af the Central Baulevard can be accammadated through a phased develapment plan. r.l' Ashland Site Design and Use Standards 2'" Reading 8.17.10 1 a. Phase I implementatian will require: i. Maintain the existing Mistletoe Road alignment tram Talman Creek Raad to the narthwest comer af the Craman Mill site. ii. Include develaper-constructed minar improvements to. the existing partian af Mistletae Raad such as a minimum six-foat wide sidewalk an the narth side af the street, two 11-faat travel lanes and the additian af a left-turn packet at the intersectian with Talman Creek Road. iii. A develaper-constructed three-lane Central Baulevard tram the narthwest comer af the district to Siskiyau Baulevard. b. Phase II implementatian will require: i. Optians addressing the street configuratian and intersectian geametry will be evaluated with the final design af the Central Baulevard. Final street configuratian may invalve a madificatian in the Central Baulevard cross section (e.g. delete an-street parking lanes) to. address limitatians to right-<>f-way width (e.g. existing buildings). ii. The altem'!ltive Central Baulevard locatian and realignment af Talman Creek Raad is contingent upan property awners consent, and future sale and relacatian af the existing ODOT maintenance yard.","" r-....-.---', ria' Ashland Site Design and Use Standards 2nd Reading 8.17.10 2 3. Talman Creek Raad Realignment Additianal traffic will be generated by the redevelapment af the Craman Mill district. The alternative Central Baulevard locatian includes theJealignment af Tolman Creek Raad with the Central Baulevard to. discourage nan-Iacal thraugh traffic in the Talman Creek neighborhood and in the Bellview Schaal area. The madifications to the street netwark will preserve neighbarhaod character and address impacts to. the neighbarhaod by directing traffic away tram the neighborhood and Bellview Schaal, and toward the Craman Mill district while maintaining access to Talman Creek Raad far neighbarhaod- generated trips. Key elements af the realigned Talman Creek Raad include: a. Two. through traffic lanes and a narthbound turn lane. b. New traffic signal. c. Bike lanes. d. Sidewalks separated tram auto traffic by landscaping and canapy trees. e. Landscaped neighbarhaad gateway. f. Evaluatian af the intersectian alignment af lacal streets with Talman Creek Raad including Takelma Way, Grizzly Drive and Nava Drive. ~A' Ashland Site Design and Use Standards 2nd Reading 8.17.10 -'. [. -<;:, i -. . " "-'~ ' /" , j... -4-_ if" : II . .~ . i ,~- u - . -I "'"..... ~", , .~ .~ " , ~~~" - .~\. '<,)"" " ,'-..,..// ......:. """,,"-,,:, It .,'.... ",-_1. 3 4. Local Cammercial Streets Local Cammercial Streets provide district circulatian to and firorn emplayment uses, the Central Park and the neighbarhaad center. Sidewalk Travel lone j I r"'."t ,: tc".",+ ,..".-t ,: t".."r -+--- 38' max. curb-to-curb --t local Commercial Street 5. Pratected Bike lane The pratected bike lane runs parallel to. the Central Baulevard and connects with the City's existing Central Bike Path in two. lacatians - adjacent to the Central Park and at the neighborhood center. The design af the protected bike lane shauld include the follawing elements: a. A grade-separated two-way colared bicycle lane buffered from an-street parking by landscaping. b. A sidewalk separated tram the bicycle lane by striping, bollard, grade separatian ar ather treatments. c. Tabled intersectians. d. Eliminatian af auto. right turns an red at intersectians. e. Incorparate rumble strips alang the bike lane at the appraaches to. all intersectians. f. Sign age, lighting ar ather treatments to. alert drivers, pedestrians and riders appraaching intersectians. g. Cansideratian af a bikes-only signal phase at signalized intersectians. ~&, Ashland Site Design and Use Standards 2nd Reading 8.17.10 " 0.--- --_... .KD___ · J ! '. .1 , ,. I .~ ~ '~, \:;" N '-.... , " ~" . '..,:- ' "n// " 4 Parlcrow 8' Parkrow Required When Loading Zone is Not Provided Sidewalk . t OpHonol Parallel Parldng Travel Lane I Optional Parallel Porldng Protected Sidewalk Bike Lane . t' + 7' t 7' + 10' + 10' -+- 7' 13' -+- 34' max. curb-to-curb 7' -t-1O'-+6't 23'----+ local Commercial Slnlet with Protected Bike lane 6. Multi-use Paths The multi-use paths pravide pedestrian and bicycle connectians between the district and adjacent neighborhaod, emplayment and cammercial areas. The plan includes the extensian af the Central Bike Path and the establishment af the Hamiltan Creek Greenway trail. The Central Bike Path extends the existing multi-use path alang the sauthem edge af the CORP rail line within a 20-faat. wide dedicated easement, and . serves as a viable commuter route and link to. the downtown. The Hamiltan Creek Greenway trail provides access to the neighbarhaod center and an eastlwest connectian across the creek. "'-/ \ . :-':'J llA(\~' :.r C II V">;t^i", J. \K~~~~~~) "I ~'; . <0~CJ L.f 1" \\ '~ 'r ~ ~~ . "<<~ /I ) f-11\. I~/ l J,. '~J?y.\.: r~"'-I --- , -- ~ \\\\ ' <\\ ,\\ \' '" ,d "\ \;, +4- 10'----# +--14'--+ Multi-Use Path tF.l , Ashland Site Design and Use Standards 2"" Reading 8.17.10 5 ~ C.........MII01slold 11"'_I~poDo 1-- \' ~ \\ )' . \\ -~ -~-i /(~ .~... \\\ , y" "'. " \I '-, - ^~;(vf"'~', ' ~ L/~^V\. CXO~(~/;\ ,>, ~,,/~-~ I \' "'" . 0 ' : "\\ '" I-~ - '. , ,--"" - .,--]'--i "'c II ,1,_. .. ~'~;;T- '-<.. /}. ~ ',- 1/','>)'; ,~///_,,. R.O.W. Multj..Use Une Sidewalk Poth - 7 ; -. .j Ii J- 6' +- 10' ----,fz} 20'-4 Central Bike Path 8'Parkrow Required When Loading Zone is Not Provided Sidewalk Multi-Use Path p~ Sidewalk ~ ~ 6' + 7' t 7' + 10' + 10' + 7' t 7' i+6'+1O' 13' --+- 34' max. curb-Ia-curb --+ 7' -t--- 20' 62'-72' R.O.W. Central Bike Path at Accessway ~A' Ashland Site Design and Use Standards 2nd Reading 8.17.10 6 7. Accessways The accessways are intended to. balance circulatian needs af pedestrians, bicycles and vehicular access, and to. preserve the grid that encourages develapment af a tonn that is af human scale and prapartian. The accessways wauld connect the Central Baulevard to. the Central Bike Path and allaw tor shared bicycle, travel lanes, aptianal an-street parking, and temparary loading zanes as necessary to. serve develapment sites. ~.;J-~..._ Sidewalk Optional Shared Bicycle Parking or and Auto Loading Service lane ,~ j loval ShouldOf ai-O..octionol Multi.Uw Path t Conctole Of compooblo MOC8 [nol cnphallJ .j..5'I08'-.k~- 16' -kj.-StoB'.l-- I II II I .{- 3Q'lo35'tTlQlt. -{. Accessway: Multi-Use Path Option Optionol Parking or Loading Zone Tree Weill Planting Strip with 6' sidewal~ + 13' t 7' +-10' + 10'-+ 7: t 13' t f-- 34' max. curb-to-curb ------t Accessway: Full Street Option ~A' Ashland Site Design and Use Standards 2nd Reading 8.17.10 7 VIII-A-3 Access 1. Street and driveway access paints in the Craman overlay zanes shall be limited to. the follawing. a. Distance Between Driveways. On Callectar Streets - 75 feet On Local Streets and A~sways - 50 feet b. Distance tram Intersectians On Callectar Streets - 50 feet On Lacal Streets and Accessways - 35 feet 2. Shared Access. All lots shall pravide a shared driveway aisle to. abutting parking areas that is at least 20 feet in width. The applicant shall grant a com man access easement across the lat. If the site is served by a shared access ar alley, access for matar vehicles must be tram the shared access ar alley and nat tram the street trantage. VIII-A-2 Limited Auto. Access Streets Develapments abutting the Central Baulevard and the Central Park shall not have curb cuts thraugh the sidewalk and the pratected bike lane an the Limited Auto. Access Streets as indicated an the Limited Access Streets map. A modificatian af a driveway access lacatian in a manner inconsistent with the Croman Mill District Standards requires a minar amendment in accordance with Sectian 18.53.020.8. VIII-A-4 On-Street Parkina On-street parallel parking may be required alang the Central Baulevard and lacal streets as indicated an the On-Street Parking map. If an-street parking is required an streets identified an the On-Street Parking map, angled parking and loading zanes are prohibited on these streets. Optians addressing the street configuratian will be evaluated with the final design af the streets identified an the On:Street Parking map. ~~, Ashland Site Design and Use Standards 2nd Reading 8.17.10 , ''''i_~_,i.: c<_MIIDl...lc1 . /_ + _ _LnilM....o ,,-- , Ace"........ . 'I ~l ==e--':;j ,I ~~.' .', \' .; , ~.-t.;.~-) ~-. . ,........,......., / '"i' ,":' -;; ( " I {_,~ . I t-h-' 1 .~. ' . J.-:!-" l ~~ri ~\' ,'.... ;~)<,,: , ,~,"" ':' '- ,<>._-'~. ,\', - ~ ~',," , ...... _ "~l.i',,,, _. , ',~. ,~ ,"",-. , ,,~ /5; . V/'d ~[ ~...DI5trid , , . . 8 B. Design Standards The Croman Mill District Design Standards provide specific requirements for the physical arientatian, uses and arrangement af buildings; the management af parking; and access to. development parcels. Develapment lacated in the Croman Mill District shall be designed and constructed cansistent with the follawing Design Standards. Additianal design standards apply and are specified far develapments located adjacent to. an Active Edge Street, ar that are lacated within the NC, MU and OE averlay zanes. A site layaut, landscaping ar building design in a manner inconsistent with the Craman Mill District Design Standards requires a minar amendment in accordance with Sectian 18.53.020.B. VIII-B-1 Orientatian and Scale 1. Buildings shall have their primary arientatian toward the street rather than the parking area. Building entrances shall be ariented toward the street and shall be accessed from a public sidewalk. All front doors must face streets and walkways. Where buildings are lacated an a corner lat, the entrance shall be ariented taward the higher arder street ar to. the lat corner at the intersectian af the streets. Buildings shall be lacated as clase to. the intersectian carner as practicable. Public sidewalks shall be pravided adjacent to. a public street along the street frantage. 2. Building entrances shall be lacated within ten feet af the public right af way to. which they are required to be ariented. Exceptions may be granted far tapagraphic constraints, lat configuratian, designs where a greater setback results in an impraved access ar far sites with multiple buildings where this standard is met by ather buildings. The entrance shall be designed to. be clearly visible, functianal and shall be apen to. the public during all business haurs. 3. Autamobile circulatian ar parking shall not be allawed between the building and the right- af-way. 4. These requirements may be waived if the building is nat alang an Active Edge Street and is nat accessed by pedestrians, such as warehauses and industrial buildings withaut attached affices. 5. Buildings shall incarparate lighting and changes in mass, surface ar. finish giving emphasis to. entrances. Additianal Orientatian and Scale Standards far Develapments Adjacent to. Active Edge Streets, ar Within NC, MU and OE Overlays: 6. Building frantages greater than 100 feet in length shall have affsets, jogs ar have ather distinctive changes in the building fa~de. 7. Buildings shall incorparate arcades, roafs, alcoves, particoes and awnings that protect pedestrians fram the rain and sun. 8. Buildings shall incorparate display areas, windaws and daarways as follaws. Windaws must allaw view into. warking areas ar labbies, pedestrian entrances ar displays areas. Blank walls within 30 feet af the street are prohibited. a. Far Buildings Within the NC, MU and OE Overlays and Nat Adjacent to. an Active Edge Street. Any wall which is within 30 feet af the street, plaza ar ather public apen space shall contain at least 20% af the wall area facing the street in display areas, windaws, ar doorways. Up to. 40% af the length af the building perimeter can be exempted far this standard if ariented taward laading ar service areas. . ~A' Ashland Site Design and Use Standards 2nd Reading 8.17.10 9 b. Far Buildings Adjacent to. Active Edge Streets. At least 50% af the first-floor falfllde is comprised af transparent apenings (clear glass) between three and eight feet abave grade. VIII-B-2 Parkina Areas and On-site Circulatian 1. Primary parking areas shall be lacated behind buildings with limited parking an ane side af the building. 2. Parking areas shall be shaded by deciduaus trees, buffered from adjacent nan-residential uses and screened fram nan-residential uses. 3. Parking areas shall meet the Parking Lat Landscaping and Screening Standards af Sectian II-D af the Site Design and Use Standards. Additianal Parking Area and On-site Circulatian Standards far Develapments Adjacent to. Active Edge Streets, ar Within NC, MU and OE Overlays: 4. Parking areas shall be located behind buildings. 5. Protected raised walkways shall be installed thraugh parking areas af 50 ar mare spaces ar mare than 100 feet in average width ar depth. 6. Parking lats with 50 spaces ar mare shall be divided into separate areas and divided by landscaped areas ar walkways at least ten feet in width, ar by a building ar group af buildings. 7. Develapments af ane acre ar mare must pravide a pedestrian and bicycle circulatian plan for the site. On-site pedestrian walkways must be lighted to. a level where the system can be used at night by emplayees, residents and custamers. Pedestrian walkways shall be direclly linked to. entrances and to. the internal circulatian af the building. VIII-B-3 Autamabile Parkina With the exceptian of the standards described below, autamabile parking shall be pravided in accordance with the Oft-Street Parking chapter 18.92, Sectian VIII-C Croman Mill District Green Develapment Standards, and Sectian II-D Parking Lat Landscaping and Screening Standards af the Site Design and Use Standards. 1. Credit far Autamobile Parking. The amaunt af required aft-street parking shall be reduced by nat mare than 50%, thraugh applicatian af the fallawing credits. a. On-Street Credit: One aft-street parking space credit for every an-street space. b. TDM Plan Credit: Thraugh implementatian af an individual Transpartatian Demand Management (TDM) plan that demanstrates a reductian af I<,mg term parking demand by a percentage equal to. the credit requested. c. 'Mixed Use Credit: Through a mixed-use parking arrangement that demanstrates the peak parking demands are affset. The credit shall reduce the aft-street parking requirement by a percentage equal to the affset in parking demand. d. Shared Parking Credit: One aft-street parking space credit for every space constructed in designated aft-site shared parking areas, ar through payment af in- rA' Ashland Site Design and Use Standards 2nd Reading 8.17.10 10 lieu-of-parking fees for a comman parking structure(s) upan establishment af a parking management strategy far the Craman Mill District. 2. Maximum On-Site Surface Parking. After a parking management strategy far the Craman Mill District is in place, a maximum af 50% af the required aff-street parking can be constructed as surface parking an any develapment site. The remaining parking requirement can be met through ane ar a cambinatian af the credits far autamabile parking in VIII-B-3(1). VIII-B-4 StreetscaDe 1. One street tree chosen tram the street tree list shall be placed far each 30 feet af frontage far that partian af the develapment tranting the street. Street trees shall meet the Street Tree Standards in Sectian II-E af the Site Design and Use Standards. Additianal Streetscape Standards for Developments Adjacent to. Active Edge Streets, ar Within NC, MU and OE Overlays: 2. Hardscape (paving material) shall be utilized to. designate "peaple" areas. Sample materials could be unit masanry, scored and colared concrete, pavers ar combinatians afthe abave. 3. A building shall be setback nat mare than ten feet tram a public sidewalk unless the area is used for pedestrian entries such as alcoves, ar for pedestrian activities such as plazas ar outside eating areas. This standard shall apply to both street frantages an comer lats. If mare than ane structure is praposed far a site, at least 65% af the aggregate building frontage shall be within ten feet af the sidewalk. VIII-B-5 Buildina Materials Bright or nean paint colars used extensively to attract attentian to. the building ar use are prohibited. Buildings may nat incorparate glass as a majarity af the building skin. VIII-B-6 Buildina Heiaht Reauirements All buildings shall have a minimum height as indicated in the Building Height Requirements Map and Dimensianal Standards Table, and shall nat exceed the maximum height except as provided far a perfarmance standard bonus. 1. Street Wall Height: Maximum street wall fa't3de height for the Croman Mill district for all structures lacated autside the Residential Buffer Zane is 50 feet. 2. Upper-f1aar Setback: Buildings taller than 50 feet must step back upper staries, beginning with the faurth stary, by at least six feet measured from the fa't3de af the street wall facing the street, alleyway, public park ar apen space. 3. Residential Buffer Zane: All buildings in the Craman Mill District within the Residential Buffer Zane shall meet the fallawing height standards: a. Maximum Height: The maximum height allawance withaut a perfarmance standards bonus far all structures within the Residential Buffer Zane is 35 ~A' Ashland Site Design and Use Standards 2nd Reading 8.17.10 11 feet in the NC averlay and 40 feet in the MU, and the maximum height with a ban us is 40 feet in accordance with VIII-C-13 Performance Standard Banus. b. Upper Flaar Setback Requirements: Buildings taller than two. staries must step back the third stary by at least six feet measured tram the fayade facing the street, alleyway, public park or apen space. 4. Architectural Standards far Large Scale Buildings Lacated Adjacent to. Active Edge Streets, ar Within NC, MU and OE Overlays: The follawing architectural standards will apply to. all buildings with a gross floor area greater than 10,000 square feet, a fayade length if') excess af 100 feet ar a height taller than 45 feet. a. On upper f1aars use windaws andlar architectural features that pravide interest an all faur sides af the building. . b. Use recesses and projectians to. visually divide building surfaces into. smaller scale elements. c. Use colar ar materials to. visually reduce the size, bulk and scale af the building. d. Divide large building masses into. heights and sizes that relate to. human scale by incorparating changes in building masses ar directian, sheltering roafs, a distinct pattern af divisians an surfaces, windaws, trees and small scale lighting. e. On-site circulatian systems shall incorparate a streetscape which includes curbs, sidewalks, pedestrian scale light standards and street trees. VIII-B-7 Landscapina 1. Effarts shall be made to. save as many existing healthy trees and shrubs an the site as passible. 2. Landscaping design shall utilize a variety af law water use deciduaus and evergreen trees and shrubs and f1awering plant species as described in the mandatory palicies in Sectian III - Water Canserving Landscaping Guidelines and Palicies. 3. Far develapments in the CI Overlay and nat adjacent to. an Active Edge Street, buildings adjacent to. streets shall be buffered by landscaped areas at least ten feet in width, unless the area is used for entry features such as alcoves ar as hardscape areas far pedestrian activities such as plazas ar autside eating areas. 4. Laading facilities shall be screened and buffered when adjacent to. residentially zaned land. 5. Landscaping shall be designed sa that 50% coverage occurs after ane year and 90% coverage accurs after fIVe years. 6. Irrigatian systems shall be installed to. assure landscaping success. VIII-B-8 Liahtina Lighting shall include adequate lights that are scaled for pedestrians by including light standards ar placements af no. greater than 14 feet in height alang pedestrian pathways. VIII-B-9 Screenina Mechanical Eauipment 1. Screen raaftap mechanical equipment from publiC rights-of-way ar adjacent residentially zaned property through extended parapets ar ather roof forms that are integrated into. the averall compasitian af the building. Screen ground f1aar mechanical equipment from public rights-af-way ar adjacent residentially zaned praperty. 2. Parapets may be erected up to. five feet abave the calculated building height, and shall be no. greater than five feet above the height limit specified in the district in accardance with the Dimensianal Standards Table in Sectian 18.53.050. rA' Ashland Site Design and Use Standards 2nd Reading 8.17.10 12 3. Salar energy systems. are exempt fram this standard. Additianally, rooftap salar energy systems may be erected up to. five feet abave the calculated building height, and shall be no greater than five feet abave the height limit specified in the district in accordance with the Dimensianal Standards Table in Section 18.53.050. 4. Installatian of mechanical equipment requires Site Review appraval unless atherwise exempted per Sectian 18.72.030.B.3. VIII-B-10 Transit Facilities Standards The locatian af planned transit rautes within the Croman Mill District shall be defined according to. the Craman Mill District Transit Framewark map in collabaratian with the local transit autharity. Transit service facilities such as planned bus rapid transit facilities, shelters and pullauts shall be integrated into. the develapment application consistent with the fallowing standards. 1. All Large Scale development lacated an an existing ar planned transit route shall accommodate a transit stap and ather assaciated transit facilities unless the Directar af Cammunity Develapment determines that adequate transit facilities already exist to. serve the needs af the develapment; ar 2. Provide the City with a band ar ather suitable collateral ensuring satisfactary completian af the transit facilities at the time transit service is provided to. the develapment. Suitable collateral may be in the form af security interest, letters af credit, certificates af deposit, cash bands, bands or ather suitable collateral as determined by the City Administratar. 1 ~ "~:~4 ~ VIII-B-11 Freight Rail Spur Easement-Campatible Industrial (CI\ 1. A Rail Spur easement a minimum af 500 feet in length by 25 feet in width shall be set aside at the approximate lacatian presented an the Croman Mill District Transit Framewark Map. 2. No. buildings ar permanent structures can be established within the spur easement sa nat to. preclude installatian af a rail spur for freight laading and unlaading. 3. Buildings adjacent to. the reserve strip shall be designed and configured to. permit laading and unlaading. ~A' Ashland Site Design and Use Standards 2nd Reading 8.17.10 13 VIII-B-12 Cammuter Rail Platform Easement - Neiahbarhaad Cammercial fNCI 1. A Commuter Rail Platform easement ar designated rail road right-of-way a minimum af 400 feet in length and 25 feet in width shall be set aside at the approximate locatian presented an the Craman Mill District Transit Plan Map. 2. No. buildings ar permanent structures can be established within the platform easement sa as nat to. preclude installatian af a commuter rail platform ar planned bus rapid transit facility for laading and unlaading. 3. Buildings adjacent to. the reserve strip shall be designed and configured to. permit laading and unlaading. , i'.. VIII-B-13 Open Spaces 1. Central Park. The purpase af the Central Park is to. serve as a public amenity and accommadate the daily needs af emplayees (e.g. breaks, lunch time) as well as far special events that will attract residents citywide. The Central Park design shall provide a minimum af the fallowing elements. a. Circulatian thraugh and around the park. b. A centrally lacated hardscape area to. accommadate large gatherings, and af no mare than 50% af the tatal park area. c. Street furniture, including lighting, benches, low walls and trash receptacles alang walkways and the park perimeter. d. Simple and durable materials. e. Trees and landscaping that pravide visual interest with a diversity af plant materials. f. Irregular placement af large~napy trees within passive areas adjacent to. the Central Boulevard. g. Eight-foot minimum sidewalk width and seven-foot minimum parkrow width. h. landscaped swales to. capture and treat runaff. i. Parous salid surfacing for at least 50% of the hardscape area, and paving materials that reduce heat absorptian (Salar Reflective Index (SRI) af at least 29). Hl_ Central Park ~A' Ashland Site Design and Use Standards 2nd Reading 8.17.10 14 2. Transit Plaza. A lacatian for the transit plaza shall be reserved between the commuter rail platfarm and commercial uses alang the Central Baulevard. The design af the plaza shall include the fallawing elements. a. A passenger waiting, laading and unlaading area. b. Outdoor gathering space adjacent to commercial uses. c. Accommodate the central bike path. d. Canveniently lacated and secure bike parking. Corrmerclal Us,:", " Transit Plaza VIII-B-14 CamDact DevelaDment The site layout is compact, and enables future intensificatian af develapment and changes to. land use aver time. The following measures shall be used to. demanstrate campliance with this standard. 1. The develapment achieves the required minimum floor area ratio (FAR) and minimum number af staries, ar shall pravide a shadaw plan that demanstrates haw develapment may be intensified aver time far mare efficient use af land and to. meet the required (FAR) and minimum number af staries; and 2. Oppartunities far shared parking are utilized. ~A' Ashland Site Design and Use Standards 2nd Reading 8.17.10 15 C. Green Development Standards The Croman Mill District Green Develapment Standards provide specific requirements far the management af starmwater run-off, use and collectian af recycled materials, salar arientation and building shading, and conserving natural areas. Develapment located in the Craman Mill District shall be designed and constructed consistent with the fallawing Green Develapment Standards. A site layaut, landscaping ar building design in a manner inconsistent with the Croman Mill District Green Develapment Standards requires a minar amendment in accordance with Sectian 18.53.020.6. VIII-C-1 Canserve Natural Areas Preserve water quality, natural hydralogy and habitat, and preserve biadiversity through protectian af streams and wetlands. In additian to. the requirements af Chapter 18.63 Water Resaurces, conserving natural water systems shall be considered in the site design thraugh applicatian af the fallowing standards. 1. Designated stream and wetland pratectian areas shall be cansidered pasitive design elements and incarparated in the overall design af a given project. 2. Native riparian plant materials shall be planted in and adjacent to. the creek to. enhance habitat. 3. Create a lang-term management plan for an-site wetlands, streams, associated habitats and their buffers. VIII-C-2 Create Diverse Neiahbarhaads Use the fallawing measures to. encourage diversity in the district by praviding a balanced range af hausing types that compliment a variety af land uses and emplayment appartunities. 1. Differentiate units by size and number af bedrooms. 2. Far develapments including mare than faur dwelling units, at least 25% of the tatal units shall be designated as rental units. 3. Affordable purchase hausing pravided in accordance with the standards established by Resolutian 2006-13 for households eaming at ar belaw 80% af the area median income shall apply toward the required percentage af rental hausing per VIII-C-2(2). 4. Units designated as market rate ar affardable rental units shall be retained as ane condaminium tract under ane awnership. VIII-C-3 Desian Green Streets Green Streets are public streets that have been built ar retrofitted to. include landscape areas that increase starmwater infiltratian, reduce and slaw the rate af runaff, and use bio- -filtratian to. remave pallutants. 1. New streets shall be develaped to. capture and treat starmwater in a manner consistent with the Craman Mill District Starmwater Management Plan Map, the City af Ashland Starmwater Master Plan and Ashland Green Streets Standards. 2. All develapment served by planned Green Streets as designated an the Craman Mill District Green Street Map shall accommadate said facilities by including the same in the develapment plan; andlar r.l' Ashland Site Design and Use Standards 2nd Reading 8.17.10 16 3. Provide the City with a bond ar ather suitable collateral ensuring satisfactary completian af the Green Street(s) at the time full street netwark impravements are pravided to. serve the develapment. Suitable collateral may be in the form af security interest, letters af credit, certificates af depasit, cash bands, bands ar ather suitable collateral as determined by the City Administratar. ~< CronunuaDlatrlct SIof__,~tPiin -c.ntral$1f_8ioswale -Str"IBloswiI~ . RetItnIIonPond. Copene.pace,~ion_ T T=-- - IlIztt-oriotsl Prol8Cted sroe- ~T I - - , I '~1++:~+t::q Green Streets , - .~ VIII-C-4 Desian Green Surface Parkina Parking areas shall be designed to. minimize the adverse enviranmental and microclimatic impacts af surface parking thraugh design and material selectian. All parking areas shall meet the fallowing standards, and shall comply with the with the Off-Street Parking chapter 18.92, with Sectian VIII-B Croman Mill Design Standards, and Sectian 11-0 Parking Lot Landscaping and Screening Standards af the Site Design and Use Standards. 1. Use a maximum af 25% af the praject area far surface parking. 2. Use at least ane af the following strategies for the surface parking' area, or put 50% of parking undergraund. a. Use light colared paving materials with a high solar reflectance (Solar Reflective Index (SRI) af at least 29) to. reduce heat absarptian for a minimum af 50% af the parking area surface. b. Pravide paraus salid surfacing ar an apen grid pavement system that is at least 50% perviaus for a minimum af 50% af the parking area surface. c. Provide at least 50% shade tram tree canapy aver the surface lat within five years af praject occupancy. VIII-C-5 Manaae and Reuse af Starmwater Run.{)ff Reduce the public infrastructure costs and adverse environmental effects af starmwater run- off by managing run-off tram building raafs, driveways, parking areas, sidewalks and other hard surfaces thraugh implementatian af the fallawing standards. ~.l' Ashland Site Design and Use Standards 2nd Reading 8.17.10 17 , 1. Design grading and site plans to capture and slow runoff. 2. Design parking lots and other hard surface areas in a way that captures and treats runoff with landscaped medians and swales. 3. Use pervious or semi-pervious surfaces that allow water to infiltrate the soil. 4. Direct discharge storm water runoff into a designated green street and neighborhood storm water treatment facilities. 5. Retain rainfall on-site through infiltration, evapotranspiration or through capture and reuse techniques. VIII-C-6 Recyclina Areas All developments in the Croman Mill District shall provide an opportunity-to-recycle site for use of the project occupants. 1. Commercial. Commercial developments having a solid waste receptacle shall provide a site of equal or greater size adjacent to or with access comparable to the solid waste receptacle to accommodate materials collected by the local solid waste franchisee under its on-route collection program for purposes of recycling. Both the opportunity-ta-recycle site and the common solid waste receptacle shall be screened by fencing or landscaping such as to limit the view from adjacent properties or public rights-of-way. 2. Residential. All newly constructed residential units, either as part of an existing development or as a new development, shall provide an opportunity-ta-recycle site in accord with the following standards. a. Residential developments not sharing a common solid waste receptacle shall provide an individual curbside recycling container for each dwelling unit in the development. b. Residential developments sharing a common solid waste receptacle shall provide a site of equal or greater size adjacent to or with access comparable to the common solid waste receptacle to accommodate materials collected by the local solid waste franchisee under its residential on-route collection program for purposes of recycling. Both the opportunity-ta-recycle site and the common solid waste receptacle shall be screened by fencing or landscaping such as to limit the view from adjacent properties or public rights~f-way. 3. Screening refuse and recycle areas. Refuse and recycle areas shall be screened from view by placement of a solid wood, metal, or masonry wall from five to eight feet in height. All refuse and recycle materials shall be contained within the refuse area. VIII-C-7 Minimize Construction Impacts Minimize pOllution and waste generation resulting from construction activity through the following measures. 1. Construction Activity Pollution Prevention. Develop and implement an erosion and sediment control plan to reduce pollution from construction activities by controlling soil erosion, waterway sedimentation and airborne dust generation in accordance with Ashland Public Works Standards. The erosion and sediment control plan shall be submitted with the final engineering for public improvements and building permits. 2. Construction Waste Management. Recycle and/or salvage non-hazardous construction and demolition debris in accordance with the Building Demolition Debris Diversion requirements in 15.04.216.C. ~A' Ashland Site Design and Use Standards 2nd Reading 8.17.10 18 VIII-C-8 Potable Water Reduction for Irriaation Provide water efficient landscape irrigation design that reduces by 50% the use of potable water after the initial period for plant installation and establishment. Calculations for the reduction shall be based on the water budget, and the water budget shall be developed for landscape irrigation that conforms to the mandatory policies in Section III - Water Conserving Landscaping Guidelines and Policies. Methods used to accomplish the requirements of this section may include, but are not limited to, the following. 1. Plant species. 2. Irrigation efficiency. 3. Use of captured rainwater. 4. Use of recycled water. 5. Use of graywater. 6. Use of water treated for irrigation purposed and conveyed by a water district or public entity. VIII-C-9 Solar Orientation Incorporate passive and active solar strategies in the design and orientation of buildings and public spaces. When site and location permit, orient the building with the long sides facing north and south. VIII-C-10 Buildina Shadina Shade ,the building through the following measures. 1. Provide horizontal exterior shading devices for south-facing windows to control solar gain during the peak cooling season. 2. Provide vertical exterior shading devices for east- and west-facing windows to control solar gain and glare due to low sun angles during the peak cooling season. 3. A combination of horizontal and vertical exterior shading devices may be necessary to control solar gain on southwest- and southeast-facing windows. VIII-C-11 Recvcled Content in Infrastructure For new streets, driveways, parking lots, sidewalks and curbs, the aggregate materials shall be at least 50% by volume recycled aggregate materials such as crushed Portland cement concrete and asphalt concrete. Above-ground structured parking and underground parking are exempt from this requirement. VIII-C-12 Outdoor Liahtina . Minimize light pollution from the project to improve nighttime visibility, increase night sky access and to reduce development impact on noctumal environments by using down- shielded light fixtures that do not allow light to emit above the 90 degree plane of the fixture. Lighting fixtures provided to implement Federal Aviation Administration mitigation measures to enhance safe air navigation are exempt from this standard. ~A' Ashland Site Design and Use Standards 2nd Reading 8.17.10 19 VIII-C-13 Performance Standard Bonuses The permitted building height or base residential density, whichever is applicable, shall be increased by the number of stories or percentage residential density as outlined below. In no case shall the building height or residential density exceed the height and density bonus maximums in the Dimensional Standards Table in Section 18.53.050. 1. Green Building Bonus Projects that achieve a high performance green building standard and significantly improve energy performance beyond the current minimum Oregon requirements are eligible for a building height bonus as follows. a. In the event that a building or structure is determined to be meet the standard for LEEOO Certified building, the building height may exceed the maximum height specified for the CM overlay districts within the Dimensional Standards Table in Section 18.53.060, through application of a height bonus as follows. i. A building obtaining LEEOO Certification as meeting the LEEOO Silver Standard may be increased in height by up to one story. ii. A building obtaining LEED@ Certification as meeting the LEEOO Gold Standard may be increased in height by up to two stories. iii. A building in the Residential Buffer overlay obtaining LEEOO Certification as meeting the LEEOO Silver or Gold Standard may be increased in height by Y, --" story up to a maximum height of 40 feet. iv. Applications to increase the building height in excess of the maximum permitted height through the application of a height bonus shall address any conditional determination by the Federal Aviation Administration regarding mitigation measures requested to enhance safe air navigation. b. Demonstration of Achieving LEEOO Certification. Projects awarded a height bonus pursuant to this section, shall provide the City with satisfactory evidence of having completed the following steps in the process toward demonstrating achievement of LEEOO certification. i. Hiring and retaining a LEEOO Accredited Professional as part of the project team throughout design and construction of the project. ii. Developments seeking a height bonus shall provide documentation with the planning application, and prior to issuance of a building permit, that the proposed development as designed and constructed will meet or exceed the equivalent LEEOO standard relating to the height bonus awarded. iii. A final report shall be prepared by the LEEOO Accredited Professional and presented to the City upon completion of the project verifying that the project has . met, or exceeded, the LEEOO standard relating to the height bonus awarded. iv. The report shall produce a LEEOO compliant energy model following the methodology outlined in the LEED@ rating system. The energy analysis done for the building performance rating method shall include all energy costs associated with the building project. 2. Structured Parking Bonus. A building may 'be increased by up to one story in height when the corresponding required parking is accommodated underground or within a private structured parking facility, subject to building height limitations for the zoning district. 3. Affordable Housing Bonus. a. For every percent of units that are affordable, an equivalent percentage of density bonus shall be allowed up to a maximum bonus of 100%. b. Affordable housing bonus shall be for residential units that are affordable for moderate income persons in accordance with the standards established by ~A' Ashland Site Design and Use Standards 2nd Reading 8.17.10 20 ~A' resolution of the City Council and guaranteed affordable through procedures contained in said resolution. VIII-C-14 Emplovment Density To promote transit supportive development, efficient use of employment zoned lands and local economic vitality, it is recommended that developments within the Croman Mill District are planned to accommodate employment densities as follows. a. 60 employees per acre in the Office Employment (OE) Overlay. b. 25 employees per acre in the Compatible Industrial (CI) Overlay. c. 25 employees per acre in the Mixed Use (MU) Overlay. d. 20 employees per acre in the Neighborhood Center (NC) Overlay. Ashland Site Design and Use Standards 2nd Reading 8.17.10 21 Additional Plan Maps ~I.,I .,-"""J,,"..I. ~~~"~~ 1../.'....:.. "11 ~,.~~~~ V., _.!C "> I 1'1., ,\:- ; . ~( /1 I I- .*.;=::: I t-::c Croman Mill District Comprehensive Plan Designation : ~ Croman_District ~ '. l" '.. I, ~ ... ,,~ ~ 1. J1:llr ~~~ ~ ffifEB~J ~~ ~ ~ ". f'i.-1i~~. ~~\.. . ;'~-'I" t/ .' ~~ ~ 'l// ~ ,:'. 1'-1~ E.~III: r... ,/.' ~'\... " ~?~j=. ' \'\'< ~. ili' tJ.:; ~~ ~ ~~~:".'" ~ ~ .. ~.!,..", ~ :Cl- ~"" ~ . ~ 'h l,~ ~. >:~ ''1i ~ 'r ~\d~~' ~ . ~~ ~I~ ~ft ~ ~ I ." _ "+d"v~~~ ~ ~~ ~.".'.::' ,~ S/~~ ~ ~\'" .,::\ / """''''' '""\. :'.. ~ . ~'F '~l~ ~:_,r." . /~~ .." ~ ~~ fYJ.. o[.~, .:L ~~ -g', " / \ Ur.A../ , If '. ~vlJ:: \\ ~::::,~ ^ )-~'-X'''' . . "-, ~'v'" -'. ~~i-',.~ ' 1:-,', , . j( \\~ X': \ ~\~. ~\~\"". r:t;= ~ ~'V)D ~ \ ~~V \,\rg]\; \\\\y~ -- , \?"" L., - ~ \-- " - \ \\\' '.~ ,,';\ \\ '\ < ,'~, 0 " ~'-,\'\ \\ . ' '>-~)'\-:' .' ~ 1-':- - 'I. -, :') / / ), v4 ..~~ . V ) N I} I"~ lrr ~~, C"~"~';~d'~ ~ ~ -~- \\~'~ci~ I "w.~' :;~, - / ~\ !::'!{Y, ~ ~ :-..' ~'\ ~ .~ _ ~.1>0" Y '\ \\ ....5 {.)i, 1_ II I- _.. ~ ~IS~~~ I - I :::J~ 'I/y P+" :j H 1- " ~ """','("Y \\ " ::J.. '" -:):,,~ '- ",\- ~ "~ r-] ~ ) f- H I ~A' Ashland Site Design and Use Standards 2nd Reading 8.17.10 , 23 ~, /., I ',(Ul," 1m 1\ "\' \\\\Y","-" I~Y/f'~ ~ ~I. ~ "'F ~ Croman Mill District : _ compatible ind~slriaJ (CM-CI) \ 1/ D mixed use (~M-MU) ~ , ,\ , D neighborhood center (CM-NC) , , r _ office employment (CM-OE) _ C D openspacelconservalion (CM,OS) , "~n"~'" y~ .. · \i~~ \~~ ~ .1'1 " / ~ " ~'. '="tud. . / ~ ~ ~C '_ ~.."lIr ~ . ~:o~ r . ~,,',. :rJ,'1~ ,~~!.---". .:L 'T~rm 0'" ' .,' . >~'. ,";', ~r "::.::r "'- J,"f" ,\ ~~ ~-.. ~ .', ; . --'.-. "T"~ , VO~ '-", " .. I..b , ;'1; '?7,~ ~ I;::j!.~ , , :1., , , '" " " " , -:>'~ 'L ,,,.. '/.' , ,~ ' ~, "v// JR\ ,) N ~/ . ,~ .. , ' L- ., " 7 ~A' Ashland Site Design and Use Standards 2nd Reading 8.17.10 24 ~'ri'~ __~ \ I.~~ 1 ~ ",,", '0" 'c',', ~ ~~~~~"r"i 0~ Iffflj'.{'D c' ""(>~ rr ~.r, :.!....L.L--> --.-, "; : \, "" ,,~ I, ! 1 Y' j -. .11i....-, , II ~ll"h.!".!J'::=~ ~ /, ~ c'~ _-I .~IITrn!F~ ; '" 0 ~~ \ \ :'~ [rD" L-iC r.:;"", y' ':'~"" "~;,' """ ... "', :' ''1;~'':;'- '~:_J 1L t.' ....~ _. l.. r\ I" ,::h[..J.h'."::J,'1 ~" I' S' ',".>,' m1JJ~~t~~ ' ;!;'" '~r-~.,~, .... ,,'~.' ~~. .__,_',' ,,', . f' ", ',-" - -- ,_ nJ ,'.. ' . :' "-" (,;"'.;' . J",_ ~ < ::! \.- -, '1~21 ~~'ift1jIlI\,R D 'JC C-~~'.2,., " ~-:::::::.5 EL'" - . C' ~ If:.. ~~ -: ..;:..p~ ~~' '" k!~ ~f=I :"J . . ( L It-"'~ r'~) . r---' ~ (j 'i f '\ 18(~~' . '-,~.J 'ItL!O:~ ~ ~, I~~~ ':!r~, ~g '< i '. *F'" C:J r;t:c:,~ C, C _() I r, ' , , :! ]'-, . l'lU " :J=:,:Ll":1 '<> 'L:: I '\7 0 F' )', ~,O!J ~ (' ;-:.~~ tz. hJ;~mll~u,o 1'/" [J:GJII~. =fA~ :~ 'n D DO' I1Ll '" {\ ~A' Ashland Site Design and Use Standards 2nd Reading 8.17.10 Croman Mill District Street Framework '-'--~ _ central boulevard _ local commercial street _ accessway t; 0 potential rail crossing ~ t-;;:,,""':> M-. J'>, ( __ tl~I.,Y:) \"t.) . ,- <'. '- ~ 'p',~-[~ ~-," 1 ',~ '.)(': \\ , ,c '(" , \ ' ~.' ,. 1.i _l ::\ I ~ I .' ., c ~~ , ~ ~ \. ~ u, < ~ ~ .. - ., l- i;- n 1'-- LC 1 \~'\\ -:> -,"<, ,', ',> '.::.:': :'<~~\, ) \\\ ,\ \\.\ ~ · -:"\\r / ~~ ~ 1',( r ''"_ :1 , ~~~ ~(l 1". '~ 25 ,.tllJ1 I \ ~ u" y v.....""-. . / ~-- Croman Mill District Pedestrian & Bicycle Framework " - bike/pedestrian accessway 1111111 central bike path ....... multiuse path ") _ protected pedestrian/bike way f1 o potential rail cr;SSing /' I ~l :t :..; , :l "" " ;--;:, " ~'I"',", . - - "~J'-,: "_ ..~. ! -: i' ':;_> ~A' Ashland Site Design and Use Standards 2nd Reading 8.17.10 26 , ; k,"", .~" . .1""[-' , , Ride .. -' .) ~ !'i:"-:'~) ~ I. .:...~ :: :::.~. n ,--, '- o ~J _:,_J C -' l ~_~ " i"? C' CJ 'C,5) J '1 ":J l~ CJ G ~. " '1 ""' , \j ~ n {] . 11"Tl1 lJ' ~A' ~hland Site Design and Use Standard 2 Reading 8.17.10 s 27 ORDINANCE NO. AN ORDINANCE AMENDING AMC 18.08.190,18.08.341,18.08.342, 18.08.343,18.08.845,18.12.020,18.61.042, 18.68.020, 18.68.050, 18.72.030, 18.72.110,18.72.120,18.72.140,18.72.180, 18.84.100, 18.88.070, 18.88.080, 18.92.020,18.96.090,18.104.020,18.106.030, 18.108.0174 OF THE ASHLAND MUNICIPAL CODE AND LAND USE ORDINANCE FOR CONSISTENCY WITH NEW CHAPTER 18.53 CROMAN MILL WHEREAS, Article 2. Section 1 of the Ashland City Charter provides: Powers of the Citv The City shall have all powers which the constitutions, statutes, and common law of the United States and of this State expressly or impliedly grant or allow municipalities, as fully as though this Charter specifically enumerated each of those powers, as well as all powers not inconsistent with the foregoing; and, in addition thereto, shall possess all powers hereinafter specifically granted. All the authority thereof shall h~ve perpetual succession. WHEREAS, the above referenced grant of power has been interpreted as affording all legislative powers home rule constitutional provisions reserved to Oregon Cities. Citv of Beaverton v. International Ass'n of Firefighters, Local 1660. Beaverton Shop 20 Or. App. 293; 531 P 2d 730, 734 (I 975); and WHEREAS, the City of Ashland Planning Commission considered the above-referenced recommended amendments to the Ashland Municipal Code and Land Use Ordinances at a duly advertised public hearing on January 12,2010 and subsequent public hearing continuance dates, and on February 23,2010, following deliberations, recommended approval of the amendments by a vote of 6-2; and WHEREAS, the City Council ofthe City of Ashland conducted a duly advertised public hearing on the above-referenced amendments on April 6, 2010 and on subsequent public hearing continuance dates; and WHEREAS, the City Council of the City of Ashland, following the close of the public hearing and record, deliberated and conducted first and second readings approving adoption of the Ordinance in accordance with Article 10 of the Ashland City Charter; and WHEREAS, the City Council of the City of Ashland has determined that in order to protect and benefit the health, safety and welfare of existing and future residents ofthe City, it is necessary to amend the Ashland Municipal Code and Land Use Ordinance in manner proposed, that an adequate factual base exists for the amendments, the amendments are consistent with the comprehensive plan and that such amendments are fully supported by the record of this proceeding. Page 1 of 17 THE PEOPLE OF THE CITY OF ASHLAND DO ORDAIN AS FOLLOWS: SECTION 1. The above recitations are true and correct and lire incorporated herein by this reference. SECTION 2. AMC Chapter 18.08.190 [Definitions - District] is hereby amended to add the a new subsection to read as follows: 18.08.190 District. A zoning district. A. "R" district indicates any residential zoning district. B. "C" district indicates any commercial zoning district. C. "M" district indicates any industrial zoning district. D. "A" district indicates any airport overlay district. E. "CM" District indicates any Croman Mill Plan zonin!! district SECTION 3. AMC Chapter 18.08 [Definitions] is hereby amended to add the following new definitions in alphabetical order, with subsequent sections renumbered and re-Iettered to read as follows: .~ 18.08.341 LEED@ Accredited Professional. A person who has earned a credential as a Leadership in Ener!!v and Environmental Desi!!n (LEED@) Accredited Professional from the U.S. Green Buildin!! Council, or Green Buildin!! Certification Institute, in accordance with their standards and requirements. ( 18.08.342 LEED@ certification. A buildin!! re!!istered with the U.S. Green Buildin!! Council which has satisfied all prerequisites and has earned a minimum number of points outlined in the Leadership in Enerl!V and Environmental Desi!!n (LEED@) Ratin!! System under which it is re!!istered. Levels of certification include Certified, Silver. Gold and Platinum. 18.08.343 LEED@ Green Buildin!! Ratin!! Svstem" or "LEED@ Ratin!! System. The most recentlv published version of the Leadership in Enerl!V and Environmental Desi!!n (LEED@) Green Buildin!! Ratin!! Systems bv the U.S. Green Buildin!! Council, or the version to be superseded for one year after the publication of a new applicable LEED@ Ratin!! System version. 18.08.845 Water Bud!!et The amount of water a landscape needs takin!! into account the inputs and outputs of water to and from the root zone. Inputs, such as precipitation, are subtracted from outputs. such as evapotranspiration. to calculate the water needs of the landscape. SECTION 4. AMC Chapter 18.12.020 [Classification of Districts] is hereby amended to read as follows: Page 2 of 17 18.12.020 Classification of Districts. For the purpose ofthis Title, the City is divided into zoning districts designated as follows: I> · ~'.'. . . . '. MapSymboFarld , '-,".' ..,"........... ,,'ce, ,'.. . . , I: Zoning Districts and Overlays Abbreviated Desilmation . . Airoort Overlay A Residential - Rural RR Residential - Single Family R-I Residential- Low Density Multiple Family R-2 Residential - High Density Multiple Family R-3 Commercial C-I Commercial - Downtown C-I-D Employment E-I Industrial M-I Woodland Residential WR SOU - Southern Oregon University SOU Performance Standards (P} - Overlay P Detail Site Review Zone DSR Health Care Services Zone HC North Mountain Neighborhood NM Croman Mill District Zone CM Residential Overlav R Freeway Sign Overlay , F , SECTION 5. AMC Section 18.61.042. D. [Tree Preservation and Protection - Approval and Permit Required - Tree Removal Permit] is hereby amended to read as follows: 18.61 Tree Preservation and Protection 18.61.042 Approval and Permit Required D. Tree Removal Permit: I. Tree Removal- Permits are required for the following activities: a. Removal of trees greater than 6" DBH on any private lands zoned C-l, E-l, M-I, eM.or He. b. Removal of trees greater than 6" DBH on multi-family residentially zoned lots . (R-2, R-3, and R-I-3.5) not occupied solely by a single family detached dwelling. c. Removal of significant trees on vacant property zoned for residential purposes including but not limited to R-I, RR, WR, and NM zones, d. Removal of significant trees on lands zoned SOU, on lands under the control of the Ashland School District, or on lands under the control of the City of Ashland. 2. Applications for Tree Removal - Permits shall be reviewed and approved by the Staff Advisor pursuant to AMC 18.61.080 (Approval Criteria) and 18.108.040 (Type Procedure). If the tree removal is part of another planning action involving development activities, the Page 3 of 17 tree removal application, if timely filed, shall be processed concurrently with the other planning action. SECTION 6. AMC Section 18.68.020 [General Regulations - Vision Clearance Areas] is hereby amended to read as follows: 18.68 General Regulations 18.68.020 Vision Clearance Area. Vision clearance areas shall be provided with the following distances establishing the size of the vision clearance area: A. In any R district, the minimum distance shall be twenty-five (25) feet or, at intersections including an alley, ten (10) feet. B. In all other districts except the C-lltIHI-E-l, and CM, the minimum distance shall be fifteen (15) feet or, at intersections, including an alley, ten (10) feet. When the angle of intersection between streets, other than an alley, is less than thirty (30) degrees, the distance shall be twenty-five (25) feet. C. The vision clearance area shall contain no plantings, fences, walls, structures, or temporary or permanent obstructions exceeding two and one-half (2 v,) feet in height, measured from the top of the curb, except that street trees exceeding this height may be located in this area, provided all branches and foliage are removed to a height of eight (8) feet above the grade. D. The vision clearance standards established by this section are not subject to the Variance section ofthis title. (Ord. 2605, S I, 1990) SECTION 7. AMC Section 18.68.050 [General Regulations - Arterial Street Setback Requirements] is hereby amended to read as follows: 18.68 General Regulations 18.68.050 Arterial Street Setback Requirements. To permit or afford better light, air and vision on more heavily traveled streets and on streets of substandard width, to protect arterial streets, and to permit the eventual widening of hereinafter named streets, every yard abutting a street, or portion thereof, shall be measured from the special base line setbacks listed below instead ofthe lot line separating the lot from the street. Street Setback East ~ain St!.<:eh.!>etween City limits and Lithia Way 35 feet ----~- Ashland Street (Highway 66) between 65 feet J::.i!y limits and Siskiyou Boulevard Also, front yards for properties abutting all arterial streets shall be no less than twenty (20) feet, with the exception ,of the CM and C-I-D district~ and properties abutting Lithia Way in the C-l district. Page 4 of 17 SECTION 8. AMC Section 18.72.030 [Site Design and Use Standards - Applicability] is hereby amended to read as follows: 18.72 Site Design and Use Standards 18.72.030 Applicability. Site design standards shall apply to all zones of the city as outlined below. A. Applicability. The following development is subject to Site Design Review: I. Commercial, Industrial, Non-Residential and Mixed uses: a. All new structures, additions or expansions in C-I, E-I, HC, CM, and M-l zones. b. All new non-residential structures or additions (e.g. public buildings, schools, churches, etc.). c. Expansion of impervious surface area in excess of 10% of the area of the site or 1,000 square feet, whichever is less. d, Expansion of parking lots, relocation of parking spaces on a site, or other changes which affect circulation. e. Any change of occupancy from a less intensive to a more intensive occupancy, as defined in the City building code, or any change in use which requires a greater number of parking spaces. f. Any change in use of a lot from one general use category to another general use category, e.g., from residential to commercial, as defined b the zoning regulations of this Code. g. Any exterior change to a structure which is listed on the National Register of Historic Places or to a contributing property within an Historic District on the National Register of Historic Places that requires a building permit, or includes the installation of Public Art. h. Mechanical equipment not otherwise exempt from site design review per Section 18.72.030(B). 2. Residential uses: a. Two or more residential units on a single lot. b. Construction of attached single-family housing (e.g. town homes, condominiums, row houses, etc.) in all zoning districts. c. Residential development when off-street parking or landscaping, in conjunction with an approved Performance Standards Subdivision required by ordinance and not located within the boundaries of the individual unit parcel (e.g. shared parking). d. Any exterior change to a structure individually listed on the National Register of Historic Places that requires a building permit, or includes the installation of Public Art. e. Mechanical equipment not otherwise exempt from site design review per Section 18.72.030(B). SECTION 9. AMC Section 18.72.110 [Site Design and Use Standards - Landscaping Standards] is hereby amended to read as follows: , 18.72 Site Design and Use Standards Page 5 of 17 18.72.110 Landscaping Standards. A. Area Required. The following areas shall be required to be landscaped in the following zones: -.------..-'-..-T'. .._.......___.____.__......._._..u_._.__.__.__.__._._..._..u_."........."._,,_________.___""._""._.,_ ------._-._--- ._.__.______.,,_.__.__...__...__.m___......._.____n_._._._.... _._._._.___....__..u_._._ I R-I - 45% of total developed lot area R-2 - 35% of total developed lot area R-3 ---- )5% ofto~L~ey'el~E~~Jot area _._.. ...:.:- -------- I C-I - 15% of total developed lot area iC-I-D - None, except parking areas and service stations shall meet the landscaping and screening standards in Section II.D. of the Site Design and Use Standards. E-I - ""I?~~rt~t~1.4t:yt:l()Et:410t~r.t:,a, .'_'''n__'''n_......................._.m................._.__._._....__..............._._ ......................-...."..... M-I - 10% of total developed lot area t CM-NC - 15% of total developed lot area - CM-OE - 15% oftotal developed lot area ,- --..-- , -------~-------_.. _._-- i CM-CI - 10% of total developed lot area r -- CM-MU - 15% of total developed lot area , -- , SECTION 10. AMC Section 18.72.120 [Site Design and Use Standards - Controlled Access] is hereby amended to read as follows: 18.72.120 Controlled access. A. Any partitioning or subdivision of property located in an R-2, R-3, C-I, E-I CM, or M-I zone shall meet the controlled access standards set forth in seetioB (B) below. If applicable, cross access easements shall be required so that access to all properties created by the land division can be made from one or more points. B. Street and driveway access points in an R-2, R-3, C-I, E-I, or M-I zone shall be limited to the following: ' 1. Distance between driveways. On arterial streets - 100 feet; on collector streets - 75 feet; on residential streets - 50 feet. 2. Distance from intersections. On arterial streets - 100 feet; on collector streets - 50 feet; on residential streets - 35 feet. Co Street and drivewav access points in the CM zone are subiect to the requirements of the of Croman Mill District Standards. Page 6 of 17 G]!. Access Requirements for Multi-family Developments. I. All multi-family developments which will have automobile trip generation in excess of 250 vehicle trips per day shall provide at least two driveway access points to the development. Trip generation shall be determined by the methods established by the Institute of Transportation Engineers. 2. Creating an obstructed street, as defined in 18,88.020.G, is prohibited. SECTION 11. AMC Section 18.72.140 [Site Design and Use Standards - Light and Glare Performance Standards] is hereby amended to read as follows: 18.72.140 Light and Glare Performance Standards. There shall be no direct illumination of any residential zone from a lighting standard in any other residential lot, C-1, E-1 or M-1, SO, CM or HC lot. SECTION 12. AMC Section 18.72.180 D.[Site Design and Use Standards - Development Standards for Wireless Communication Facilities] is hereby amended to read as follows: 18.72.180 Development Standards for Wireless Communication Facilities D, All installation of wireless communication systems shall be subject to the requirements of this section in addition to all applicable Site Design and Use Standards and are subject to the following approval process: Zoning Designations Attached to Alternative Freestanding Existing Structures . Support Structures Structures Residential Zones\'J CUP Prohibited Prohibited C-1 CUP CUP Prohibited C-1-D (Downtown)(l) CUP Prohibited Prohibited C-1 - Freeway overlay Site Review Site Review CUP E-1 Site Review Site Review CUP M-1 Site Review Site Review CUP SOU Site Review CUP CUP NM (North Mountain) Prohibited Prohibited Prohibited Historic Distrid"} CUP Prohibited Prohibited A-I (Airport Overlay) CUP CUP CUP HC (Health Care) CUP Prohibited Prohibited CM-NC CUP CUP CUP CM-OE Site Review Site Review CUP CM-CI Site Review Site Review CUP CM-MU CUP CUP CUP CM-OS Prohibited Prohibited Prohibited Page 7 of 17 SECTION 13. AMC Section 18,84.100 [Manufactured Housing Developments - Special Conditions] is hereby amended to read as follows: 18.84 Manufactured Housing Developments 18.84.100 Special Conditions. A. For the mitigation of adverse impacts, the City may impose conditions. Restrictions may include, but are not limited to, the following: 1. Require view-obscuring shrubbery, walls or fences. 2. Require retention of specified trees, rocks, water ponds or courses, or other natural features. B. No manufactured housing developments may be located within the Ashland Historic District. C. No manufactured housing developments may be located, relocated, or increased in size or number of units. within any zones designated for commercial use -- C-l, C-l-D, E-l, CM or M-l. SECTION 14. AMC Section 18.88.070 [Performance Standards Options - Setbacks] is hereby amended to read as follows: 18.88 Performance Standards Options 18.88.070 Setbacks. A. Front yard setbacks shall follow the requirements of the underlying district. B. Setbacks along the perimeter of the development shall have the same setbacks as required in the parent zone. C. Maximum heights shall be the same as required in the parent zone. D. One-half of the building height at the wall closest to the adjacent building shall be required as , the minimum width between buildings, except within non-residential zonin!! districts includin!! C-l, C-I-D. E-I. CM. and M-l. E. Solar Access Setback. Solar access shall be provided as required in Section 18.68 18.70 except within the C-I-D and CM zonin!! districts. F. Any single-family structure not shown on the plan must meet the setback requirements established in the building envelope on the outline plan. SECTION 15. AMC Section 18.88.080 [Performance Standards Options - P-Overlay Zone] is hereby amended to read as follows: 18.88 Performance Standards Options 18.88.080 P-Overlay Zone. A. The purpose of the P-overlay zone is to distinguish between those areas which have been largely developed under the subdivision code, and those areas which, due to the undeveloped Page 8 of17 nature of the property, topography, vegetation, or natural hazards, are more suitable for development under Performance Standards. B. All developments, other than partitionings, which involve the division of land, or development of individual living units, in the P-overlay areas, shall be processed under this Chapter of the Land Use Ordinance. The minimum number of dwelling units' for a Performance Standards Subdivision within residential zoninl! districts shall be three. C. In a P-overlay area, the granting of the application shall be considered an outright permitted use, subject to review by the Commission for compliance with the standards set forth in this Ordinance and the guidelines adopted by the Council. D. If a parcel is not in a P-overlay area, then development under this Chapter may only be approved if one or more of the following conditions exist: I. The parcel is larger than two acres and is greater than 200 feet in average width; or 2. That development under this Chapter is necessary to protect the environment and the neighborhood from degradation which would occur from development to the maximum density allowed under subdivision standards, or would be equal in its aesthetic and environmental impact; or 3. The property is zoned R-2. ef R-3, or CM. SECTION 16. AMC Section 18.92.020.B. [Off-Street Parking - Automobile Parking Spaces Required- Commercial Uses] is hereby amended to read as follows: 18.92 Off-Street Parking . 18.92,020 Automobile Parking Spaces Requirefi B. Commercial Uses. For commercial uses the following automobile parking spaces are required. I. Auto, boat or trailer sales, retail nurseries and other open-space uses. One space per 1,000 square feet of the first 10,000 square feet of gross land area; plus one space per 5,000 square feet for the excess over 10,000 square feet of gross land area; and one per two employees. 2. Bowling Alleys. Three spaces per alley, plus additional spaces for auxiliary activities set forth in this section. ' 3. Business. general retail, person services. General - one space for 350 square feet of gross floor area. Furniture and appliances - one space per 750 square feet of gross floor area. 4. Chapels and mortuaries, One space per four fixed seats in the main chapel. 5. Offices. Medical and dental - one space per 350 square feet of gross floor area. General - one space per~ 500 square feet of gross floor area. 6. Restaurants, bars, ice cream parlors and similar uses. One space per four seats or one space per 100 sq. ft. of gross leasable floor area, whichever is less. 7, Skating rinks. Page 9 of 17 One space per 350 sq. ft. of gross building area. 8. Theaters, auditoriums, stadiums, gymnasiums and similar uses. One space per four seats. SECTION 17. AMC Section 18.92.020.C. [Off-Street Parking - Automobile Parking Spaces Required- Industrial Uses] is hereby amended to read as follows: 18.92 Off-Street Parking 18.92.020 Automobile Parking Spaces Required C. Industrial Uses. For industrial uses the following automobile parking spaces are required, 1. Industrial uses, exeept warehousin~. One space per two employees on the largest shift or for each 700 slluare feet of gross Door area, whichcyer is less, plus one space per company yehiele. ;l.-Industrial and Warehousing uses. One space per 1,000 square feet of gross floor area or for each two employees, whichever is greater less, plus one space per company vehicle. 3.2. Public utilities (gas, water, telephone, etc.), not including business offices. One space pei two employees on the largest shift, plus one space per company vehicle; a minimum oftwo spaces is required. SECTION 18. AMC Section 18.96.090. [Sign Regulations - Commercial, Industrial and Employment Districts] is hereby amended to read as follows: 18.96 Sign Regulations 18.96.090 Commercial, Industrial and Employment Districts. Signs in commercial, industrial>.. -llIKI-employment, and Croman Mill districts, excepting the Downtown-Commercial Overlay District and the Freeway Overlay District, shall conform to the following regulations: A. Special Provisions. 1. Frontage. The number and use of signs allowed by virtue of a given business frontage shall be placed only upon such business frontage. 2. Aggregate number of signs. The aggregate number of signs for each business shall be two signs for each business frontage. 3. Aggregate area of signs. The aggregate area of all signs established by and located on a given street frontage, shall not exceed an area equal to one square foot of sign area for each lineal foot of street frontage. Aggregate area shall not include nameplates, and temporary real estate and construction signs. Page 10 of 17 B. Types of Signs Permitted. 1. Wall Signs. a. Number. Two signs per building frontage shall be permitted for each business, or one sign per frontage for a group of businesses occupying a single common space or suite, b. Area. Buildings with two or fewer business frontages shall be permitted one square foot of sign area for each lineal foot of business frontage. For the third and subsequent business frontages on a single building, the business shall be permitted one square foot of sign area for every two lineal feet of business frontage. The maximum sign area on any single business frontage shall not exceed sixty (60) square feet. Business frontages of three or more, on a single building, shall comply with the following criteria established within the City's Site Design and Use Standards: i, A pedestrian entrance designed to be attractive and functional, and open to the public during all business hours ii. The pedestrian entrance shall be accessed from a walkway connected to a public sidewalk. c. Proiection. Except for marquee or awning signs, a projecting sign may project a maximum of two feet from the face of the building to which they are attached, provided the lowest portion of the sign is at least eight feet above grade. Any portion lower than eight feet can only project four inches. d. Extension above roof line. Signs may not project above the roof or eave line of the building. 2. Ground Signs. a. Number. One sign shall be permitted for each lot with a street frontage in excess of fifty lineal feet. Comer lots can count both street frontages in determining the lineal feet of the street frontage but only one ground sign is permitted on comer lots. Two or more parcels of less than fifty feet may be combined for purposes of meeting the foregoing standard. b. Area. Signs shall not exceed an area of one square foot for each two lineal feet of street frontage, with a maximum area of sixty square feet per Sign. Page 11 of 17 c. Placement. Signs shall be placed so that no sign or portion thereof shall extend beyond any property line of the premises on which such sign is located. Signs on comer properties shall also comply with the vision clearance provisions of Section 18.96.060(F). d, Height. No ground sign shall be in excess of five feet above grade. 3. Awning or Marquee Signs. a. Number. Two signs shall be permitted for each business frontage in lieu of wall signs. b. Area. Signs shall not exceed the permitted aggregate sign area not taken up by a wall sign. c. Projection. Signs may not project beyond the face ofthe marquee if suspended, or above or below the face of the marquee if attached to and parallel to the face of the marquee. , d. Height. Signs shall have a maximum face height of nine inches if attached to the marquee. e. Clearance above grade. The lowest portion of a sign attached to a marquee shall not be less than seven feet, six inches above grade. f. Signs painted on a marquee. Signs can be painted on the marquee in lieu of wall sign provided the signs do not exceed the permitted aggregate sign area not taken up by wall signs. 4. Portable Business Signs a. Number. One portable business sign, limited to sandwich boards, pedestal signs, ' A' frame signs, flags, and wind signs, shall be allowed on each lot excepting that buildings, businesses, shopping centers, and business complexes with permanent ground signs shall not be permitted to have portable signs. b. Area. Sign area shall be deducted from the aggregate sign allowed for exempt incidental signs established in 18.96.030(H). Signs shall not exceed an area offour (4) square feet per face including any border or trim, and there shall be no more than two (2) faces. c. Height. Sandwich board signs and' A' frame signs shall not extend more than three (3) feet above the ground on which it is placed. Pedestal signs shall not extend more than four (4) feet above the ground on which it Page 12 of17 is placed. A freestanding wind sign shall not extend more than five (5) feet above the ground on which it is placed. d. Placement. Signs shall be placed so that no sign or portion thereof shall extend beyond any property line of the premises on which such sign is located., Portable signs shall be located within ten feet of the business entrance and shall not be placed on public right-of-way. No portable business sign shall be constructed and placed so as to interfere with pedestrian ingress and egress as regulated within the Ashland Municipal Code. e. General Limitations. Signs shall be anchored, supported, or designed as to prevent tipping over, which reasonably prevents the possibility of signs becoming hazards to public health and safety. Signs shall not be constructed of plastic, illuminated or contain any electrical component. No objects shall be attached to a portable sign such as but not limited to balloons, banners, merchandise, and electrical devices. Portable business signs shall be removed at the daily close of business. These signs are prohibited while the business is closed. 5. Three-Dimensional Signs. a. Number. One three-dimensional sign shall be permitted for each lot in lieu of one three square foot incidental sign otherwise allowed per 18.96.030H. b. Surface Area. Flat surfaces in excess of two square feet shall count toward the total aggregate sign area per l8.96.090(A) 4. c. Placement. The three-dimensional sign shall be located so that no sign or portion thereof is within a public pedestrian easement or extends beyond any property line of the premises on which such sign is located into the public right-of-way unless the sign is attached to the face of the building and located eight feet above grade, or the sign is attached to a marquee with the lowest portion of the sign not less than seven feet, six inches above grade not projecting beyond, or above, the face of the marquee, d. Dimensions. No three-dimensional sign shall have a height, width, or depth in excess of three feet. e, Volume. The volume of the three-dimensional sign shall be calculated as the entire volume within a rectangular cube enclosing the extreme limits of all parts of the sign and shall not exceed three (3) cubic feet. For the purposes of calculating volume the minimum dimension for height, width, or depth shall be considered one foot. Page 13 of 17 f. Materials. The three-dimensional signs shall be constructed of metal, wood, bronze, concrete, stone, glass, clay, fiberglass, or other durable material, all of which are treated to prevent corrosion or reflective glare. Three dimensional signs shall not be constructed of plastic, Three dimensional signs shall not be internally illuminated or contain any electrical component. SECTION 19. AMC Section 18.104.020. [Conditional Use Permits - Definitions] is hereby amended to read as follows: 18.104 Conditional Use Permits 18.104.20 Definitions. The following are definitions for use in this chapter. A. ,"Impact Area" - That area which is immediately surrounding a use, and which may be impacted by it. All land which is within the applicable notice area for a use is included in the impact area, In addition, any lot beyond the notice area, if the hearing authority finds that it may be materially affected by the proposed use, is also included in the impact area, B, "Target Use" - The basic permitted use in the zone, as defined below. 1. 'VR (WoodlRnd Residential) Rnd RR (Rural Residential) zones: I. WR (Woodland Residential) and RR (Rural Residential) zones: Residential use complying with all ordinance requirements, developed at the density permitted by Section 18.88.040. 2. R-I (Single Family Residential) zones: Residential use complying with all ordinance requirements, developed at the density permitted by Section 18.88.040. 3. R-2 and R-3 Zones: Residential use complying with all ordinance requirements, developed at the density permitted by the zone. 4. C-1. The general retail commercial uses listed in 18.32.020 B., developed at an intensity of .35 gross floor to area ratio, complying with all ordinance requirements. 5. C-ID. The general retail commercial uses listed in 18.32.020 B., developed at an intensity of 1.00 gross floor to area ratio, complying with all ordinance requirements. 6. E-1. The general office uses listed in 18.40.020 A., developed at an intensity of .35 gross floor to area ratio, complying with all ordinance requirements. 7. M-1. The general light industrial uses listed in 18.40.020 E" complying with all ordinance requirements. 8. SO. Educational uses at the college level, complying with all ordinance requirements, 9. CM-CI. The l!eneral Iil!ht industrial uses listed in 18.53.050 A.. developed at an intensity of .50 l!ross floor to area ratio, complvinl! with all ordinance requirements. 10. CM-OK The l!eneral office uses listed in 18.53.050 A., developed at an intensity of .60 l!ross floor to area, complvinl! with all ordinance requirements. 11. CM-MU. The l!eneral office uses listed in 18.53.050 A.. developed at an intensity of .60 l!ross floor to area, complvinl! with all ordinance requirements. Page 14 of 17 12. CM-NC. The retail commercial uses listed in 18.53.050 A., developed at an intensitv of .60 eross floor to area ratio, complvine with all ordinance requirements. SECTION 20. AMC Section 18.106.030.H. [Annexations - Approval Standards] is hereby amended to read as follows: 18.106 Annexations 18.106.030 Approval Standards H. One or more of the following standards are met: I. The proposed area for annexation is to be residentially zoned, and there is less than a five-year supply of vacant and redevelopable land in the proposed land use classification within the current city limits. "Redevelopable land" means land zoned for residential use on which development has already occurred but on which, due to present or expected market forces, there exists the likelihood that existing development will be converted to more intensive residential uses during the planning period. The five-year supply shall be determined from vacant and redevelopable land inventories and by the methodology for land need projections from the Housing Element of the Comprehensive Plan; or 2. The proposed lot or lots will be zoned CM, E-I or C-I under the Comprehensive Plan, and that the applicant will obtain Site Review approval for an outright permitied use, or special permitted use concurrent with the annexation request; or 3. A current or probable public health hazard exists due to lack of full City sanitary sewer or water services; or 4. Existing development in the proposed annexation has inadequate water or sanitary sewer service; or the service will become inadequate within one year; or 5. The area proposed for annexation has existing City of Ashland water or sanitary , sewer service extended, connected, and in use, and a signed "consent to annexation" agreement has been filed and accepted by the City of Ashland; or 6. The lot or lots proposed for annexation are an "island" completely surrounded by lands within the city limits. SECTION 21. AMC Section 18.108.017.C. [Procedures - Applications] is hereby added to read as follows: 18.108 Procedures 18.108.017 Applications C. Prioritv plannine action processine for LEED@ certified buildiiIes. 1. New buildines and existine buildines whose repair, alteration or rehabilitation costs exceed fiftv percent of their replacement costs, that will be pursuine certification under the Leadership in Enerev and Environmental Desien Green Page15of17 Buildin!!: Ratin!!: System (LEED@) of the United States Green Buildin!!: Council shall received top priority in the process in!!: of plannin!!: actions. 2. Applicants wish in!!: to receive priority plannin!!: action processin!!: shall provide the followin!!: documentation with the application demonstratin!!: the completion of the followin!!: steps in the workin!!: towards LEED@ certification. a. Hirin!!: and retainin!!: a LEED@ Accredited Professional as part of the proiect team throu!!:hout desi!!:n and construction of the proiect. b. The LEED@ checklist indicatin!!: the credits that will be pursued. SECTION 22. AMC Section 18.108.040.A. [Procedures - Type I Procedure] is hereby added to read as follows: 18.108.040 Type I Procedure. A. Actions Included, The following planning actions shall be subject to the Type I Procedure: 1. Site Design Review. The following developments that are subject to the Site Design Review Standards outlined in 18.72 shall follow the Type I permit procedures. a. Downtown Design Standards Zone. Any development which is less than 2,500 square feet or ten percent of the building's square footage, whichever is less. b. Detail Site Review. Any development in the Detail Site Review Zone, as defined in the Site Review Standards adopted pursuant Chapter 18.72, which is less than 10,000 square feet in gross floor area. c. Commercial, Industrial and Non-residential Uses i. All new structures, additions or expansions in C-I, E-I, HC and M zones, not within the Downtown Design Standards zone, that do not require new building area in excess of 20% of an existing building' s square footage or 10,000 square feet of gross floor area, whichever is less. ii. All new structures or additions less than 15,000 square feet of !!:ross floor area in the CM zonin!!: district. ii!- Expansion of impervious surface area in excess of 10% of the area of the site or 1,000 square feet, whichever is less Hiiv.Expansion of parking lots, relocation of parking spaces on a site, or other changes which alters circulation affecting adjacent property or public right-of-way. wr. Any change of occupancy from a less intensive to a more intensive occupancy, as defined in the City building code, or any change in use which requires a greater number of parking spaces. v!- Any change in use of a lot from one general use category to another general use category, e.g., from residential to commercial, as defined by the zoning regulations of this Code, vi!. Any exterior change to a structure which requires a building permit and is listed on the National Register of Historic Places or to a contributing property within a 'Historic District on the National Register of Historic Places. d. Residential i. Two or more residential units on a single lot. 11. All new structures or additions less than 10,000 square feet of gross floor area, other than single-family homes or accessory uses on individual lots Page 160f17 iii. Construction of attached single-family housing (e.g. town homes, condominiums, ... row houses, etc) in all zoning districts. iv. Off-street parking or landscaping, in conjunction with an approved Performance Standards Subdivision required by ordinance and not located within the boundaries of the individual unit parcel (e.g. shared parking). v. Any exterior change to a structure which requires a building permit and is listed on the National Register of Historic Places. SECTION 23. Severability. The sections, subsections, paragraphs and clauses ofthis ordinance are severable, The invalidity of one section, subsection, paragraph, or clause shall not affect the validity of the remaining sections, subsections, paragraphs and clauses. SECTION 24. Codification. Provisions of this Ordinance shall be incorporated in the City Code and the word "ordinance" may be changed to "code", "article", "section", or another word, and the sections of this Ordinance may be renumbered, or re-lettered, provided however that any Whereas clauses and boilerplate provisions, and text descriptions of amendments (i.e. Sections I, 22-23) need not be codified and the City Recorder is authorized to correct any cross-references and any typographical errors. The foregoing ordinance was first read by title only in accordance with Article X, Section 2(C) of the City Charter on the _ day of ,2010, and duly PASSED and ADOPTED this _ day of ,2010. Barbara M. Christensen, City Recorder SIGNED and APPROVED this _ day of ,2010. John Stromberg, Mayor Reviewed as to form: Richard Appicello, City Attorney Page 17 of 17 ORDINANCE NO. AN ORDINANCE AMENDING THE CITY OF ASHLAND COMPREHENSIVE PLAN TO CHANGE THE LAND USE MAP DESIGNATION OF APPROXIMATELY 99 ACRES OF LAND WITHIN THE CITY OF ASHLAND URBAN GROWTH BOUNDARY FROM INDUSTRIAL, EMPLOYMENT, SINGLE-FAMILY RESIDENTIAL AND RURAL RESIDENTIAL (JACKSON COUNTY) TO THE NEWLY CREATED CROMAN MILL PLAN DESIGNATION; AMENDING THE CITY OF ASHLAND ZONING AND LAND USE CONTROL MAPS, TO REZONE APPROXIMATELY 78 ACRES OF LAND WITHIN THE CITY LIMITS FROM M-I, E- I, AND R-I-S DISTRICTS TO THE NEWLY CREATED CROMAN MILL ZONE; AND IMPOSING FIVE CROMAN MILL OVERLAY DISTRICTS ON THE CROMAN MILL ZONED PROPERTIES, INCLUDING COMPATABLE INDUSTRIAL, CM-CI, OFFICE EMPLOYMENT, CM-OE, MIXED USE, CM-MU, OPEN SPACE, CM-OS, AND NEIGHBORHOOD CENTER, CM-NC. Annotated to show deletions and additions to the code sections being modified. Deletions are bold liRed through and additions are in bold underline. WHEREAS, Article 2. Section I of the Ashland City Charter provides: Powers of the Citv The City shall have all powers which the constitutions, statutes, and common law of the United States and of this State expressly or impliedly grant or allow municipalities, as fully as though this Charter specifically enumerated each of those powers, as well as all powers not inconsistent with the foregoing; and, in addition thereto, shall possess all powers hereinafter specifically granted. All the authority thereof shall have perpetual succession. WHEREAS, the above referenced grant of power has been interpreted as affording all legislative powers home rule constitutional provisions reserved to Oregon Cities. City of Beaverton v. International Ass'n of Firefighters, Local 1660, Beaverton Shop 20 Or. App. 293; 531 P 2d 730, 734 (1975); and WHEREAS, the City of Ashland Planning Commission considered the above-referenced recommended amendments to the Ashland Comprehensive Plan Map and Ashland Zoning Map at a duly advertised public hearing on January 12, 2010 and subsequent public hearing continuance dates, and on February 23,2010, following deliberations, recommended approval of the amendments by a vote of6-2; and WHEREAS, the City Council of the City of Ashland conducted a duly advertised public hearing on the above-referenced amendments on April 6, 2010 and on subsequent public hearing continuance dates; and WHEREAS, the City Council of the City of Ashland, following the close of the public hearing and record, deliberated and conducted first and second readings approving adoption of the Ordinance in accordance with Article 10 of the Ashland City Charter; and Page I of3 WHEREAS, the City Council of the City of Ashland has determined that in order to protect and benefit the health, safety and welfare of existing and future residents of the City, it is necessary to amend the Ashland Comprehensive Plan and Zoning Map in manner proposed, that an adequate factual base exists for the amendments, the amendments are consistent with the comprehensive plan and that such amendments are fully supported by the record of this proceeding. THE PEOPLE OF THE CITY OF ASHLAND DO ORDAIN AS FOLLOWS: SECTION 1. The above recitations are true and correct and are incorporated herein by this reference. SECTION 2. The officially adopted City of Ashland Comprehensive Plan Map, adopted and referenced in Ashland Comprehensive Plan Chapter II [PLAN MAP 2.03.04] is hereby amended to change the Comprehensive Plan map designation of approximately 99.6 acres of land inside the urban growth boundary from Industrial, Employment, Single Family Residential, and Rural Residential (Jackson County), to the Croman Mill Plan designation, said amendment is reflected on the revised adopted Comprehensive Plan Map, attached hereto as Exhibit A, and made a part hereof by this reference. / SECTION 3. The officially adopted City of Ashland Zoning and Land Use Control Maps, adopted and incorporated by Ashland Municipal Code Section 18.12.030, are hereby amended to change the zoning designation of approximately 68.66 acres of land within the City limits of the City of Ashland, from M-l, E-l and R-I-5, to the Croman Mill Zone designation, said amendment is reflected on the revised Zoning and Land Use Control Maps, attached hereto as Exhibit B, and made a part hereof by this reference. SECTION 4. The officially adopted City of Ashland Zoning and Land Use Control Maps, adopted and incorporated by Ashland Municipal Code Section 18.12,030, are hereby amended to impose the Croman Mill Compatible Industrial [CM-CI] overlay zoning designation on approximately 22.97 acres ofland in the Croman Mill Zone within the City limits of the City of Ashland, said overlay amendment is reflected on the revised Zoning and Land Use Control Maps, attached hereto as Exhibit C, and made a part hereofby this reference. SECTION 5. The officially adopted City of Ashland Zoning and Land Use Control Maps, adopted and incorporated by Ashland Municipal Code Section 18.12.030, are hereby amended to impose the Croman Mill Office Employment [CM-OE] overlay zoning designation on approximately 29.44 acres ofland in the Croman Mill Zone within the City limits of the City of Ashland, said overlay amendment is reflected on the revised Zoning and Land Use Control Maps, attached hereto as Exhibit C, and made a part hereof by this reference. SECTION 6. The officially adopted City of Ashland Zoning and Land Use Control Maps, adopted and incorporated by Ashland Municipal Code Section 18.12.030, are hereby amended to impose the Croman Mill Mixed Use [CM-MU] overlay zoning designation on approximately 4.39 acres ofland in the Croman Mill Zone within the City limits of the City of Ashland, said Page 2 of3 " overlay amendment is reflected on the revised Zoning and Land Use Control Maps, attached hereto as Exhibit C, and made a part hereof by this reference. SECTION 7. The officially adopted City of Ashland Zoning and Land Use Control Maps, adopted and incorporated by Ashland Municipal Code Section 18.12.030, are hereby amended to impose the Croman Mill Neighborhood Center [CM-NC] overlay zoning designation on approximately 5.82 acres ofland in the Croman Mill Zone within the City limits of the City of Ashland, said overlay amendment is reflected on the revised Zoning and Land Use Control Maps, attached hereto as Exhibit C, and made a part hereof by this reference. SECTION 8. The officially adopted City of Ashland Zoning and Land Use Control Maps, adopted and incorporated by Ashland Municipal Code Section 18.12.030, are hereby amended to impose the Croman Mill Open Space [CM-OS] overlay zoning designation on approximately 6.04 acres of land in the Croman Mill Zone within the City limits of the City of Ashland, said overlay amendment is reflected on the revised Zoning and Land Use Control Maps, attached hereto as Exhibit C, and made a part hereof by this reference. SECTION 9. Severability. The sections, subsections, paragraphs and clauses of this ordinance are severable. The invalidity of one section, subsection, paragraph, or clause shall not affect the validity ofthe remaining sections, subsections, paragraphs and clauses. SECTION 10. Codification. Provisions of this Ordinance shall be incorporated in the City Comprehensive Plan and the word "ordinance" may be changed to "code", "article", "section", or another word, and the sections of this Ordinance' may be renumbered, or re-lettered, and amendments - including map amendments, combined, provided however that any Whereas clauses and boilerplate provisions and text descriptions of the map amendments (i.e. Sections I, 2-8, 9-10) need not be codified and the City Recorder is authorized to correct any cross- references and any typographical errors. The foregoing ordinance was first read by title only in accordance with Article X, Section 2(C) of the City Charter on the _ day of ,2010, and duly PASSED and ADOPTED this _ day of ,2010. Barbara M. Christensen, City Recorder SIGNED and APPROVED this _ day of ,2010. John Stromberg, Mayor Reviewed as to form: Richard Appicello, City Attorney Page 3 of3 Comprensive Plan Designations _ Commercial _ High Density Residential o Downtown _ Suburban Residential o Employment ~ Single Famiily Residential Rese"", \ _ Industrial ~ North Mountain Aan o Health Care _ Airport D Low Density Residential D Sotuhem Oregon University o Single Family Residential [7-~ Woodland D Multi-Family Residential ~ Croman Mill Plan l----_~ ~ ~ o 200 400 800 1,200 1,600 Feet 2,000 8-17-10 - -- , T -, -\,'- ~\~I,\-I 1- I' _I '-r-~ I 1 I 1 H JT ,- 1- I " r=1g-~~ I Il IIV ~ I m~hfa ~~ ""h I -\- /~ ~ -Q:[l~' IL ::.crn 1--'.-". I I i- t>: 1-'-1 L-1-J '-.., ~ I ~I- U~; b E ~I In ~l ILL ~ =:= r= !~~ ~'- ~1~ -.. ~ 11.: j - ~"- , 1-- I- II / II I ~ "" ~ ~~~I ~ I ~ ~~K I ,- I- o ?AS 5.10 I -:l1 I I ~.. 1!6 z a.~ 0' '~.~A / " ~ Croman Mill District ~ r- _ C ~ ~\ mcroman Mill Zone - 1 " _ ~) v , ~ !/ . ,b', .. ,J &.\ \ D K5 '\\\\\ ~ 'l~ ~' .-/)/) - j(~~'~ 1---1 "L Y ~~y- ~r /~~ \\\'\ ~~~l \~~ " 6/\ j\ ~ ~' \\1= , II ... .. :~Ifi -' 1;0 U 1- v//~ .ll;;~ \ ~ ,/./ ~ N I ~ -). ~~ ~ ~/)O ~I/ '~ ~ ~~ ~. if ~~ /.~ :lj '/~ '" (/~ ,~ ~ I ., ~~ ~;<'S~ d ~~~ "=: :\ \ - 6(-., ' -.-!it, ~ (,6>~ .' --J - I 10110 Feet ? 1?0 Draft 4-6-2010 1 SllO ~''"'' I I' I ~~~ ~\\\\ y~" ::-....!, ",,'= ~ ~ . . ~ Croman Mill District ~~ ';. u ~~~" " ',' ., / ~ Land Use Overlays ~1t1l~ ':";,,',, ~'~~ " ;' 1 ,-:- _ compatible industrial (CM-CI) , ,'" /.J ,-', r---l ' 'IT" '. ":,.-, /. L-J mixed use (CM-MU) ~ ::: . ;1", ,':, o'.\. D neighborhood center (CM-NC) > ~ l' I'~;\\~: \ I '\ ., ~ ~ :::s::::::~~:~~~~-OS) ~ , 7,:~.~ I?~"v .... <, ~ ~...~ I I'll' I"" ~ ',' ..,.... ~ ~~~ ~Yl~ ~. U'~~~ ' II. _, '.~' ( ~ ,\ '\ ' , ,'. ,L,' xj L \. ~ ._-....Q)~~~:-, \~ I-- . ' I ~~..j~-'_i:\ Ii ~ ,- ~ I ~~lJ~ ~ .' ---~' " T,ii 'fG ~~,~ t~, j :;-~~, , \' )".I'~~;~ ~~i'-; ~~;c~:r ."~\v\:.'\ I I. " .' \/' -. . ,- ,. . . :'." ,C;. "~, ~ ::.~ ' dr,,,*!it,,,~ .~ \F I-- ,,',) <T~ c) " fJ r-. ,21 ~'f' ~,' """''' A ,0 (] ,-, ~I ~ .rYE J ~,~ .::m. ':\lj~ C 11 -'--", ~ :-J l; ~ , n' ~ ; S-J ':''J---Jj~ ,~ J~:-J f' 1"; / (;, l..:..- ;-1h 1/1 I 1'vZ.;./'f1 ~ ~ ~ ~ ~ / " """~ hO "~ W " l::I / v~ ,. + - -- Feet - \..... Croman LandUse 6-17-10 -bg o 200 400 800 1,200 1,600 2,000 ORDINANCE NO. AN ORDINANCE AMENDING AMC CHAPTER 15 TO CREATE LEED. CERTIFIED BUILDING PRIORITY Annotated to show aeletioRs and additions to the code sections being modified, Deletions are bold" ~ and additions are bold underlined, WHEREAS, Article 2, Section I of the Ashland City Charter provides: Powers of the Citv The City shall have all powers which the constitutions, statutes, and common law of the United States and of this State expressly or impliedly grant or allow municipalities, as fully as though this Charter specifically enumerated each of those powers, as well as all powers not inconsistent with the foregoing; and, in addition thereto, shall possess all powers hereinafter specifically granted, All the authority thereof shall have perpetual succession; WHEREAS, the above referenced grant of power has been interpreted as affording all legislative powers home rule constitutional provisions reserved to Oregon Cities, Citv of Beaverton v,lntemational Ass'n of Firefighters. Local 1660. Beaverton Shop. 20 Or. App, 293, 531 P 2d 730, 734 (1975); WHEREAS, as part of the discussion of the Croman Mill Site Redevelopment Plan, incentives to "green building;" were proposed for Council consideration; and WHEREAS, the City would like to prioritize LEED certified building permit applications as an incentive to "green building;" and THE PEOPLE OF THE CITY OF ASHLAND DO ORDAIN AS FOLLOWS; SECTION 1. A new AMC Section 15,04,092 is hereby added to read as follows: 15.04.092 Buildinl! Permits - LEED Certified Priority Plan Check 1.New buildinl!s and existinl! buildinl!s whose repair. alteration or rehabilitation costs exceed fifty percent of their replacement costs. that will be pursuinl! certification under the Leadership in Enerl!V and Environmental Desil!n Green Buildin!! Ratin!! System (LEED) of the United States Green Buildinl! Council shall received top priority in the plan check processinl!. 2. Applicants wishinl! to receive priority plan check processinl! shall provide the followinl! documentation with the bnildinl! permit submittals demonstratinl! the completion of the followinl! steps in the workinl! towards LEED certification. a. Hirinl! and retaininl! a LEED Accredited Professional as part of the proiect team throul!hout desil!n and construction of the proiect. Page 1 of2 b. The LEED checklist indicatinl! the credits that will be pursued. Buildinl! permit submittals must c1earlv specify the materials, systems and stratel!ies they will use to achieve the credits in the plans submitted to the City of plan check approval. 3. A final report shall be prepared bv the LEED Accredited Professional and presented to the City upon completion of the proiect verifvinl! that the proiect has met, or exceeded, the LEED standard. SECTION 2. Severability, The sections, subsections, paragraphs and clauses of this ordinance are severable, The invalidity of one section, subsection, paragraph, or clause shall not affect the validity of the remaining sections, subsections, paragraphs and clauses, SECTION 3. Savinl!s, Notwithstanding this amendment/repeal, the City ordinances in existence at the time any criminal or civil enforcement actions were commenced, shall remain valid and in full force and effect for purposes of all cases filed or commenced during the times said ordinance(s) or portions thereof were operative. This section simply clarifies the existing situation that nothing in this Ordinance affects the validity of prosecutions commenced and continued under the laws in effect at the time the matters were originally filed, SECTION 4. Codification, Provisions of this Ordinance shall be incorporated in the City Code and the word "ordinance" may be changed to "code" ,,"article", "section", "chapter" or another word, and the sections of this Ordinance may be renumbered, or re-lettered, provided however that any Whereas clauses and boilerplate provisions (i,e, Sections 2-4) need not be codified and the City Recorder is authorized to correct any cross-references and any typographical errors, The foregoing ordinance was first read by title only in accordance with Article X, Section 2(C) of the City Charter on the _ day of ,2010 and duly PASSED and ADOPTED this _ day of ,2010, Barbara M, Christensen, City Recorder SIGNED and APPROVED this _ day of ,2010, John Stromberg, Mayor Reviewed as to form: Richard Appicello, City Attorney Page 2 of2 BEFORE THE CITY COUNCIL , CITY OF ASHLAND, JACKSON COUNTY, OREGON August 17, 2010 In the Matter of Amendments to the City of Ashland Comprehensive Plan, Zoning Map and Land Use Regulations Concerning the Addition of Chapter 18.53 Croman Mill and associated amendments, including six Ordinances implementing the Plan I ) , ) FINDINGS OF FACT AND ) CONCLUSIONS OF LAW ) ) PURPOSE: Implement the Croman Mill Site Redevelopment Plan, December 2008, Implementation is achieved by six distinct ordinances: The first Ordinance amends tlie Comprehensive Plan to add Croman Mill land use text in Chapter 2 and on the Map Legend, but not to any particular property, This ordinance also adopts the supporting documents (i,e, Croman Study with staff modifications), as a support document to the Comprehensive Plan as well as adopts the Economic Opportunities analysis as support documents to the Comprehensive Plan, The second ordinance amends the Zoning Code to add Croman Mill District 18.53 and Zoning overlays as implementing regulations for the land use designation. Ordinances 3 and 4 amend the Site Design and Use Standards and other Development Code Sections to create specific standards for Croman Mill and for amendments for internal consistency, respectively, After establishing this framework the new comprehensive plan and zoning and overlays are applied to specific properties in Ordinance 5, Ordinance 6 creates priority for LEED buildings, PUBLIC HEARINGS: On December 21,2009, a notice of the Planning Commission and City Council Public Hearings was sent by first class mail to approximately 255 owners of properties located in and within 200 feet of the proposed Croman Mill District boundary. Additionally, on December 21 and 23, 2009, 40 notices were sent to owners of properties that may have the use ofthe property impacted by the proposed rules in accordance with ORS 227.186, In addition to the required notice information in Ashland Land Use Ordinance (ALUO) 18,108,080 and ORS 227,186, the notices included the project web page address, The project web page includes the proposed Comprehensive Plan, map and ordinance amendments as well as information on the redevelopment planning and public process which resulted in the Croman Mill Site Redevelopment Plan (December 2008), The web page has been updated throughout the public workshop and hearing process with meeting materials as well as the record, Notice was published in The Ashland Daily Tidings on December 31, 2009 prior to the Planning Commission public hearing and on March 24, 2010 prior to the City Council public hearing, Notice was also sent to the Department of <> Land Conservation and Development on October 6, 2009, Findings ofFac! and Conclusions of Law Page 1 A Public Hearing was held at the Planning Commission on January 12, 2010 and continued to February 9 and February 23, A Public Hearing was held at the City Council on April 6, 2010 and continued to May 4, May 26, June I, June 15, June 29 and August 3, REVIEW CRITERIA The decision of the City Council together with the recommendation by the Planning Commission was based on consideration and findings of consistency with the following factors, A. Consistency with City of Ashland Approval Criteria for Zone Changes, Zoning Map Amendments and Comprehensive Plan Map Changes, ALVO 18,108,060,B B. Consistency with City of Ashland Comprehensive Plan C. Consistency with Oregon land use laws and regulations including specifically Oregon Statewide Planning Goal 9 as implemented by OAR Chapter 660, Division 9 D, Consistency with Oregon land use laws and regulations including specifically Oregon Statewide Planning Goal 12 as implemented by OAR Chapter 660, Division 12 EVALUATION AND COUNCIL FINDINGS: A. Consistency with City of Ashland Approval Criteria for Zone Changes, Zoning Map Amendments and Comprehensive Plan Map Changes, ALVO 108. 108. 060.B ALVO I8.I08.060.B 1. Zone changes, zoning map amendments and comprehensive plan map changes subject to the Type III procedure as described in subsection A of this section may be approved if in compliance with the comprehensive plan and the application demonstrates that one or more of the following: a. The change implements a public need, other than the provision of affordable housing, supported by the Comprehensive Plan; or b. A substantial change in circumstances has occurred since the existing zoning or Plan designation was proposed, necessitating the need to adjust to the changed circumstances; or c. Circumstances relating to the general public welfare exist that require such an action; or d. Proposed increases in residential zoning density resulting from a change from one zoning district to another zoning district, will provide 25% of the proposed base density as affordable housing consistent with the approval stqndards set forth in I8.I06.030(G);or e. Increases in residential zoning density of four units or greater on commercial, employment or industrial zoned lands (i.e. Residential Overlay), will not negatively impact the City of Ashland's commercial and industrial land supply as required in Findings of Fac! and Conclusions of Law Page 2 the Comprehensive Plan, and will provide 25% of the proposed base density as affordable housing consistent with the approval.standards setforlh in 18,] 06.030(G) The total number of affordable units described in sections D or E shall be determined by rounding down fractional answers to the nearest whole unit. A deed restriction, or similar legal instrument, shall be used to guarantee compliance with affordable criteria for a period of not less than 60 years. Sections D and E do not apply to council initiated actions. The area within the boundary of the proposed Croman Mill District including the former 64-acre Croman Mill site is primarily zoned M-Ilndustrial, with some additional areas ofE-1 Employment adjacent to the southern portion of Mistletoe Road and R-l Single Family on the approximately six-acre ODOT maintenance yard located on Tolman Creek Road. Additionally, the area adjacent to Siskiyou Boulevard and Crowson Road is within the Croman Mill District boundary and in the Ashland urban growth boundary (UGB), but is outside the city limits - this area is designated Employment in the Ashland Comprehensive Plan and is currently zoned Jackson County RR-5 Rural ResidentiaL The Croman Mill District Comprehensive Plan designation map includes approximately 100 acres, The proposed Croman Mill District includes five zoning overlays, The bulk of the district is the 64-acre Croman Mill site which would be divided between CI Compatible Industrial an OE Office Employment Office uses area focused in the northern half of the district and manufacturing uses are concentrated in the southern half of the district in an effort to create distinct identities for each area and to maintain freight rail access to the industrial area, Croman Mill District Gross Acreages in UGB Current Proposed Zoning Overlays 70 30 23.5 29 o 16 o 6 o 10 6.5 0 Total 100 91' 'Approximately 9 acres in the plan area will remain in the M-1 Industrial designation. Existing Comprehensive Plan Industrial Employment Mixed Use Neighborhood Center Open Space Residential (R-1-5) The Croman Mill District Zoning Land Use Overlays map includes less acreage because five tax lots in the city limits totaling approximately 9 acres that are included in the Croman Mill District Comprehensive Plan designation are not assigned a Croman Mill District zoning overlay, As a result, the existing M-Ilndustrial zoning will remain in place for the five tax lots (39IEI4AC, tax lots 1000, 1100, 1200 and Findings of Fact and Conclusions of Law Page 3 1900, 391EI4BD tax lot 402), A CM rezone will not be necessary for the M-I retained properties to develop, however a rezone will be necessary to utilize any of the CM overlays, The ODOT maintenance yard at the northwest corner of the plan area would be NC Neighborhood Commercial, a mixed-use area including small scale neighborhood commercial uses and residential units, There are two MU Mixed Use areas with one located between Hamilton Creek and Mistletoe Road and the other surrounding the south entrance on Siskiyou Boulevard. These areas are intended as transitions from the existing residential areas to the west and south, and would allow a mix of uses including office, light manufacturing and residential uses, The residential uses in the NC Neighborhood Commercial and MU Mixed Use overlays are limited to upper floors of the buildings, Finally, there is an OS Open Space/Conservation Overlay which includes the areas along Hamilton Creek, the Central Park, and the pond and creek in the southeast portion of the district It is important to note that with the exception of the ODOT maintenance yard property on Tolman Creek Road, the proposed Comprehensive Plan and Zoning map changes are not a wholesale change of the plan and zone designations (e.g. a change from an industrial to a residential designation), Instead, the proposed map amendments are a redistribution of the uses allowed under the current M-I Industrial zoning, The title of the M-I Industrial zoning is somewhat misleading because the zoning district allows a wide range of commercial and employment uses including offices, retail, personal services, restaurants, nightclubs and bars, theaters, and hotels and motels in addition to those uses typically associated with industrial areas such as manufacturing, processing, assembling, mini-warehouses, outside storage of merchandise and raw materials, junkyard and auto wrecking yards, and concrete or asphalt batch or mixing plants, In short, the M -I Industrial zoning district includes the uses that are allowed in the C-I Commercial and E-I Employment zoning districts, In the proposed Croman Mill District, professional offices are targeted for the OE Office Employment zone, and manufacturing and assembly is the focus of the CI Compatible Industrial zone, with provisions to allow for some cross-over manufacturing and offices associated with the primary use of the zone, Stores, restaurants and shops of a neighborhood scale are located in the NC Neighborhood, and allowed throughout the OE Office Employment and CI Compatible Industrial zones at a more limited scale, The MU Mixed Use areas allow both the office and manufacturing and assembly uses, With the exception ofthe residential uses allowed in the MU Mixed Use zoning overlay, the uses included in the Croman Mill District are allowed under the current M -I Industrial and E-I Employment zoning. In keeping with the Croman Mill Site Redevelopment Plan (2008) project objectives and recommendations, land-intensive uses with low employment densities such as mini-warehouses, junkyard and auto wrecking yards, outdoor storage areas of unrestricted size, hotels and motels, building material sales yards and equipment Findings of Fact and Conclusions of Law Page 4 storage yards are not permitted in the Compatible Industrial (CI) and Office Employment (OE) overlay zones, Additionally, retail and restaurant uses are limited to relatively small square footages under the proposed zoning, rather than being unrestricted in size or scope as is allowed under the current M -1 Industrial and E- I Employment zoning, Accordingly, the Croman Mill Project involves comprehensive plan map changes, zoning map changes and changes to the text of the comprehensive plan and zoning code implicating. ALVO 18,1 08.060.B as noted above, The changes are a refinement ofthe existing land use and zoning and not wholesale changes, At least one of the criterion is demonstrated by the planning action, Specifically, the Council finds the Comprehensive Plan and Zoning map amendments are necessary to respond to a substantial change in circumstances that have occurred since the existing plan and zoning designations were established, A number of factors contributed to the change in circumstances, and the subsequent master planning of the Croman Mill site including the evaluation of the current plan and zone designations, discussed below, The changes are also supported by public need and general welfare considerations as outlined in the Code, The Croman Mill Site was established as a lumber and planning mill in 1934, and this use or a similar sawmill use continued on the site until 1996. The "Industrial" designation on City maps has been in place at least since 1966, As late as 1980, the mill was still in full operation with 200 employees working two shifts a day, and it was the largest private employer in Ashland (Kramer, Historic Overview Study, 'Croman Mill Study Area', January 10,2008), As the timber industry declined in the 1980's and 1990's, lumber mills throughout Oregon closed as did the Croman Corporation operation on the Ashland site in 1996, Since the closure of the mill, the property has remained largely unused except for a temporary asphalt batch plant in 2001, and storage of used concrete and decommissioned equipment The 2007 Economic Opportunity Analysis (EOA) raised a concern regarding the broad range of activities permitted in the M-l, and the compatibility with the site and surrounding uses, As a result, the EOA recommended preparing a master plan for the site to evaluate appropriate uses and to incorporate sustainable development concepts, Clearly, the end of the mill operations after six decades of use and the property being largely unused and vacant since that time have contributed to the efforts to re-examine the plan area, In 2001 there was an application to rezone the property for residential purposes, which the City ultimately denied, Subsequent to the City's decision, the 2007 Economic Opportunity Analysis (EOA) identified a need to retain existing employment lands, including the Croman Mill site, within the city limits and VGB to accommodate the forecasted employment through 2027, In terms of the trends in industrial uses, Ashland has attracted and is expected to continue to attract firms in the specialty manufacturing category which tend have a dedication to environmental issues, sustainable production and concern for the Findings ofFac! and Conclusions of Law Page 5 community such as Dagoba Organic Chocolates, Dream Saks and Plexis Healthcare Systems (Section V: Land Demand and Site Needs in Ashland, EOA, 2007), At the same time, more traditional heavy industrial uses are not occurring in Ashland, and the community established Comprehensive Plan policies which discourage industrial uses that use large amounts of water and/or emit pollutants, The master planning process was in response to a series of changing circumstances over a decade, and an effort to find opportunities to create a high quality employment center, to address development interests and to incorporate the community's values and goals, The plan area is retained for employment and economic purposes with 59 acres focused on manufacturing and office uses, 16 acres for mixed use with 100 percent manufacturing and office uses required on the ground floor, IO acres of open space and 6 acres of neighborhood center with a mix of commercial and residential uses, The master plan allows more specificity than a standard zoning district for the plan area, and addresses long-term comti-Junity goals such as creating family wage jobs, having a well-connected and multi-modal (i,e, pedestrian, bicycles, auto/truck, freight and transit) transportation system, preserving natural features, creating a built environment that respects Ashland's character, making desirable public spaces and incorporating green development standards, There were a number of issues raised regarding the Comprehensive Plan and Zoning Map changes and the need for the changes during the public hearings, The City Council finds and determines that all substantive issues were adequately addressed by City staff in the numerous staffreports and staff responses, and other materials in the record, whether such responses were made orally at the hearings or provided in written form as set forth in the record, All staff reports, staff materials, and other staff responses are hereby accepted by the City Council and are incorporated herein by this reference, The Council finds and determines that the proposed comprehensive plan amendments, map amendments, zoning amendments and zoning map amendments comply with the criteria of ALUO 108,108,060,8. B. Consistency with the Ashland Comprehensive Plan The Economic Opportunity Analysis (EOA) and Croman Mill Site Redevelopment Plan (December 2008) are being adopted as a supporting documents to the Ashland Comprehensive Plan concurrent with and as part of this action on Croman MilL 2, The proposed implementation program is consistent with and adequate to carry out goals and policies in the Ashland Comprehensive Plan, The Economic Element of the Ashland Comprehensive Plan was updated in 1991, and includes several goals and policies that establish the latitude to revise and update employment lands designations, as well as Findings of Fae! and Conclusions of Law Page 6 which support the goals and objectives established in the Croman Mill Site Redevelopment Plan, Chapter VII The Economy Goal: To ensure that the local economy increases in its health, and diversifies in the number, type and size of businesses consistent with the local social needs, public service capabilities, and the retention of a high quality environment, Policy 1: The City shall zone and designate within the Plan Map sufficient quantity of lands for commercial and industrial uses to provide for the employment needs of its residents and a portion of rural residents consistent with the population for the urban area, Policy 2: The City shall design the Land Use Ordinance to provide for: e) Commercial or employment zones where business and residential uses are mixed. This is especially appropriate as buffers between residential and employment or commercial areas, and in the Downtown, Policy: The City shall develop and implement an economic development program which will attempt to increase the number, variety and size of retain, service, and light industrial activity employers in the urban area, with particular emphasis on employers who pay wages at or above the median County wage and employ from 5 to 100 people, or who are locally owned. The City shall work with regional economic development agencies or coordination regional economic development activities, Policy 4: In accordance with the policies VII-2 and VII-2 above, the City shall take such actions as are necessary to ensure that economic development can occur in at timely and efficient manner. Such actions may include the following: b) Utilization of available grants and loans to finance the extension of public facilities to lands zoned or plannedfor commercial or industria/use, c) Inclusion within the Capital Improvement programs facilities improvement which will help achieve long-range development goals and polices. Policy 7: The City is clearly unsuitable for the following types of businesses: a) Businesses which use large amounts of water, especially when Ashland's water needs peak. b) Businesses that emit significant amounts of air pollution, c) Businesses that create toxic wastes that require specialized disposal techniques not available locally, d) The City shall include in the Land Use Ordinance specific list of businesses that are prohibited form operations in the City Limits, or specific performance standards that would define uses that are unacceptable because they meet one or more of the above . criteria, Findings ofFac! and Conclusions of Law Page 7 The Council finds and determines that the proposed comprehensive plan amendment is internally consistent with the Comprehensive Plan; the CM zoning district, (Chapter 18.53 Croman Mill), and associated district standards and other ordinances changes are consistent with and implement applicable Ashland Comprehensive Plan Goals and Policies, C. Consistency with Oregon land use laws and regulations including specifically Oregon Statewide Planning Goal 9 as implemented by OAR Chapter 660, Division 9 The City conducted an Economic Opportunity Analysis (EOA) in accordance with OAR 660-009-0015, The EOA was completed in April 2007, and is being adopted as a supporting document to the Ashland Comprehensive Plan as part of this action, OAR 660-009-0010(4) requires that post-acknowledgement plan amendments which change land areas over two acres from "an industrial use designation to a non-industrial use designation, or an other employment use designation to any other use designation" are consistent with the most recent economic opportunities analysis and acknowledged comprehensive plans, Industrial use is defined in OAR 660-009-0005(3) as "means employment activities generating income from the production, handling or distribution of goods, Industria) uses include, but are not limited to: manufacturing; assembly; fabrication; processing; storage; logistics; warehousing; importation; distribution and transshipment; and research and development Industrial uses may have unique land, infrastructure, energy, and transportation requirements, Industrial uses may have external impacts on surrounding uses and may cluster in traditional or new industrial areas where they are segregated from other non-industrial activities," Other employment use is defined in OAR 660-009-0005(6) as "means all non-industrial employment activities including the widest range of retail, wholesale, service, non-profit, business headquarters, administrative and governmental employment activities that are accommodated in retail, office and flexible building types, Other employment uses also include employment activities of an entity or organization that serves the medical, educational, social service, recreation and security needs of the community typically in large buildings or multi-building campuses." The Croman Mill District includes five zoning overlays - Compatible Industrial (CI), Office Employment (OE), Mixed Use (MU), Neighborhood Center (NC) and Open Space (OS), OAR 660-009-0010(4) does not apply to the six acres in the NC overlay because the current plan designation is Single-Family Residential, and the zoning of this portion of the plan area is R-I Residential. OAR 660-009-0010(4) potentially applies to the 85 acres which is currently included in the Industrial plan designation/M-I Industrial zoning district and the Employment plan designation/E-I Employment zoning district Approximately 59 acres is proposed to be divided between the CI and OE zoning overlays, while 16 acres would be in the MU overlay and 10 acres would be in OS (see table on page 3), OAR 660-009-001 0(4) does not clearly apply to the amendments to the City of Ashland Comprehensive Plan, Zoning Map and Land Use Regulations concerning the addition of Chapter 18.53 Croman Mill because the existing M-I Industrial and E-I Employment designations do not satisfY the definition for "industrial uses" or "other employment uses" Findings ofFac! and Conclusions of Law Page 8 in OAR 660-009-0005, Chapter 18.52 M-I Industrial District and Chapter 18.40 E-I Employment Districts permit both "industrial uses" and "other employment uses" as defined in OAR 660-009-005, Accordingly, the proposed Chapter 18.53 Croman Mill district also includes "industrial uses" and "other employment uses." Thus, the change in designations is from a hybrid industrial/employment designation (i,e, M-I and E-I) to a hybrid industrial/employment designation (i.e, CI, OE and MU). A more detailed explanation of the change in designations by acreage follows, Approximately 70 acres ofM-1 Industrial zoned land is in the Croman Mill Plan designation, and 61 of those acres are proposed to be changed to Compatible Industrial (CI), Office Employment (OE) and Mixed Use (MU), In accordance with ALUO Chapter 18,52 M-I Industrial.District, permitted uses include "industrial uses" such as manufacturing, processing, assembling, research, wholesale or storage uses, as well as ' "other employment uses" including offices, retail, restaurants, theaters, hotels and motels, nightclubs and bars, Approximately 23,5 acres ofE-1 Industrial zoned land is in the Croman Mill Plan area, and is proposed to be changed to CI, OE and MU, In accordance with ALUO Chapter 18.40 E- I Employment District, permitted uses include "industrial uses" such as light manufacturing, manufacture of electric, electronic or optical instruments and devices, research establishments and manufacture of pharmaceutical and similar items, as well as "other employment uses" including offices, retail and restaurants, The permitted uses in the CI overlay are focused on "industrial uses," The CI overlay in the Croman Mill District permits outright manufacturing, assembly, fabrication and packaging, and administrative or research and development establishments, As a result, the land uses in the CI overlay are focused more in the industrial use classification compared to the permitted uses in the M-I Industrial zoning, Additionally, retail and restaurants are special permitted uses in the CI overlay, are limited to a maximum of 15% of the gross floor area, In contrast, retail and restaurants without any size limitations are permitted uses under the current M-I Industrial zoning. Similarly, offices are limited to 50 percent of the ground floor area in the CI overlay, whereas offices of any size are permitted uses in the M-I Industrial zoning district The permitted uses in the OE overlay are focused on professional offices, and administrative or research and development establishments, As in the CI overlay, retail and restaurants are special permitted uses limited to a maximum of 15% of the gross floor area, Additionally, manufacturing, assembly, fabrication or packaging is a special permitted use that is limited in size to 50 percent of the ground floor area. The MU overlay allows manufacturing, professional offices and research and development establishments as permitted uses, Residential uses are special permitte~ uses, and are limited to the upper floors of buildings, The MU overlay is located on the western and southern periphery of the plan area, and is intended to provide a transition from the adjacent residential neighborhoods to the more intense industrial and employment uses in the interior of the site, Findings of Fac! and Conclusions of Law Page 9 Despite that OAR 660-009-0010(4) is not clearly applicable to the amendments to the City of Ashland Comprehensive Plan, Zoning Map and Land Use Regulations concerning the addition of Chapter 18.53 Croman Mill, the Council finds that the proposed amendments are consistent with the most recent EOA. Similarly, the March 31, 2010 letter from John Renz, Department of Land Conservation and Development states that "the department does not see any conflict between the proposed Economic Opportunities Analysis (EOA) and the proposed Croman Mill Site Plan," The need to develop a master plan for the Croman Mill site is identified in the EOA, The EOA recommends that the city "plan for industrial uses that are compatible with the City's economic development objectives," Additionally, the following excerpts concerning the Croman Mill site are from the EOA. "The Croman site is presently zoned M-I: the M-I zone permits a broad range of industrial activities - some of which, in our opinion, are not compatible with the site and surrounding uses, The City should considerer preparing a master plan for the site that evaluates appropriate uses and incorporates sustainable development concepts, One option is to develop an 'eco-industrial park'" (p II) "The City should designate at least one site from a master planned industrial park, The Croman Mill Site is the largest industrial site in Ashland, The site is largely vacant and is getting pressure for housing and associated retail uses, The employment forecast, however, is for 600 to 700 industrial jobs, Most of these will be in specialty manufacturing and other light industries, Ashland will have difficulty accommodating this employment if it does not have an industrial land base, The Croman site is approximately 70 acres; it is unlikely that any individual user would require more than five acres. Many will need less than one acre," (p 5- 12) The EOA identifies potential growth industries and the characteristics of Ashland that will affect the types of businesses most likely to locate in the city, The EOA identifies industry clusters that will likely grow in Ashland including: Accommodations and Food Services; Retail; Health and Social Assistance; Arts, Entertainment and Recreation; Infonnation; Professional, Scientific and Technical Services; and Specialty Manufacturing (P5-2), The high quality of life, and proximity to Interstate 5 and to other cities in Jackson County are identified as characteristics that will be important in attracting industries (p3-2), The EOA goes on to identify types of businesses most likely to locate in Ashland based on the characteristics of the community, and several of these growth industries are addressed by the Croman Mill plan including: I) professional services that need access to educated workers (e,g, software, design, engineering, research); 2) small food processing finns, especially finns specializing in organic or natural foods; and 3) small scale manufacturing finns with 50 or less employees (e.g, high-tech electronics, recreational equipment, furniture manufacturing, specialty apparel and other specialty finns) (p 3-2), The Croman Mill Plan includes an Office Employment (OE) zoning overlay to address professional Findings of Fac! and Conclusions of Law Page 10 service uses and a Compatible Industrial (CI) zoning overlay to address small food processing and small scale manufacturing firms. Additionally, the Croman Mill plan is designed to provide a high-quality setting by including a walkable employment center with. opportunities for small-scale restaurants and services serving the work force integrated into the plan area, as well as a central park and trails, and pedestrian, bike and transit facilities and connections to and through the development The EOA includes a list of site needs for firms in the potential growth industries (pp 5-9 - 5-11), Many of the site attributes are standard for employment development including flat sites, access to roads, and access to fiber optics and telephone, However, several site attributes are connected to the high quality of life characteristic including pedestrian and bicycle facilities and land use buffers. Specifically, the report says "The ability for workers to access amenities and support services such as retail, banking and recreation areas by foot or bike is increasingly important to employers, particularly those with high-wage professional jobs, The need for safe and efficient bicycle ad pedestrian networks will prove their importance overtime as support services and neighborhoods are developed' adjacent to employment centers." The Croman Mill plan includes a street network and street design standards which include sidewalks with landscape buffers, and bike lanes on the primary street to address pedestrian and bike travel throughout the development Additionally, the Croman Mill plan includes the extension of the Central Ashland Bike Path adjacent to the railroad right-of-way from Tolman Creek Road to Crowson Road, The Central Ashland Bike Path is an off-road multi-use path providing pedestrian and bicycle access in a northwest to southeast direction through Ashland following the railroad right- of-way, Currently the path is in place from Sixth Street to Tolman Creek Road, and it provides a quick and safe way to travel, through the city, Finally, a multi-use path is included in the plan along Hamilton Creek which would provide a north-south connection from the plan area to Siskiyou Boulevard, as well as a east-west connection to the adjacent Tolman Creek Road neighborhood, In regards to land use buffers, the EOA says: ",many Industrial areas have operational characteristics that do not blend as well with residential land uses as they do with Office and Commercial areas. Generally, as the function of industrial use intensifies (e.g heavy manufacturing) so to does the importance of buffering to mitigate impacts of noise, odors, traffic and 24-hour 7-day week operations, Adequate buffers may consist of vegetation, landscaped swales, roadways, and public use parks/recreation areas.' Depending upon the industrial use and site topography, site buffers range from approximately 50 to 100 feet, Selected commercial office, retail, lodging and mixed-use (e,g, apartments or office over retail) activities are becoming acceptable adjacent uses to light industrial areas. The Croman Plan includes two areas designated in the Mixed Use (MU) zoning overlay- an approximately 4.5 acre area between Mistletoe Road and Hamilton Creek, and the southern part of the Croman Mill plan area at approximately 11.5 acres situated between Findings of Fac! and Conclusions of Law Page 11 the city limits, Siskiyou Boulevard and Crowson Road. The MU zoning overlay allows office and compatible industrial uses on the ground floor. The upper floors of the buildings can be used for the office and industrial uses, as well as residential uses, The two MU areas are intended as transitions from the existing residential areas to the west and south to the more intense interior of the Croman Mill plan area, The two MU areas are more physically constrained than the remainder of the plan area because of the presence of creeks (i.e, Hamilton and Golf Course creeks), wetlands and steeper slopes, This combination the smaller size parcels and having physical constrained parcels makes the areas to be more likely to developed with buildings of a smaller footprint and size, The Council finds the small parcel sizes and physical constrains of the land combined with the proximity to adjacent residential neighborhoods makes the two MU areas good candidates for land use buffers as described in the EOA. The EOA provides a comparison ofland supply and need for Ashland (p 6-1), The City has 155.1 net acres in the Ashland DGB, and the report identifies a need for 161 net acres for the twenty year planning period of2006-2027, The Council finds the Croman Mill plan is consistent with the EOA by retaining non-residentially designated lands in the plan area in office and light industrial zoning overlay designations for job creation purposes, Additionally, approximately six acres of residential designated land currently used for the Oregon Department of Transportation (ODOT) maintenance yard is rezoned in a Neighborhood Commercial (NC) zoning overlay which provides opportunities for small- scale commercial uses that could contribute to job creation. The were issues raised regarding the consistency of the Croman Mill Plan with the EOA during the public hearings, The City Council finds and determines that all substantive issues were adequately addressed by City staff in the numerous staff reports and staff responses, and other materials in the record, whether such responses were made orally at the hearings or provided in written form as set forth in the record, All staff reports, staff materials, and other staff responses are hereby accepted by the City Council and are incorporated herein by this reference, The Council finds and determines that the proposed amendments are consistent with the most recent EOA, D. Consistency with Oregon land use laws and regulations including specifically Oregon . Statewide Planning GoalI2 as implemented by OAR Chapter 660, Division 12 The Croman Mill plan proposes a redistribution of the permitted industrial (M-I) and employment (E-I) uses on 85 of the 100 acres in the plan area, Two distinct zones are' established, one for compatible industrial (CI) uses and another for office (OE) uses, whereas light industrial and offices are permitted throughout the M-I and E-l zoning districts currently, The title of the M-I Industrial zoning is somewhat misleading because the zoning district allows a wide range of commercial and employment uses including offices, retail, personal services, restaurants, nightclubs and bars, theaters, and hotels and motels in addition to those uses typically associated with industrial areas such as Findings of Fact and Conclusions of Law Page 12 manufacturing, processing, assembling, mini-warehouses, outside storage of merchandise and raw materials, junkyard and auto wrecking yards, and concrete or asphalt batch or mixing plants, The E-I Employment zoning district is also a hybrid industrial/other employment designation in that it allows many of the same uses as the M-l Industrial district including offices, retail, nightclubs and bars, theaters, and hotels and motels in addition to light manufacturing uses, In keeping with the Croman Mill Site Redevelopment Plan (2008) project objectives and recommendations, land-intensive uses with low employment densities such as mini- warehouses, junkyard and auto wrecking yards, outdoor storage areas of unrestricted size, hotels and motels, building material sales yards and equipment storage yards are not permitted in the proposed Compatible Industrial (CI) and Office Employment(OE) overlay zones, Additionally, retail and restaurant uses are limited to relatively small square footages under the proposed zoning, rather than being unrestricted in size or scope as is allowed under the current M- I Industrial and E-I Employment zoning. In total, less than 25 percent of the plan area (i,e, 22 of 100 acres) is truly undergoing a change in the Comprehensive Plan and zoning district designations by increasing or adding residentially density, The land uses that are different from the Ashland Comprehensive Plan are the change from a single-family residential designation to the Croman MiIl- Neighborhood Commercial (NC) designation for the Oregon Department of Transportation (ODOT) maintenance yard property located at 706 Tolman Creek Road (6 acres), and the change from employment and industrial designations for the two Mixed Use (MU) areas on the western and southern perimeters of the plan area (16 acres), The Neighborhood Commercial (NC) zoning overlay permits neighborhood scale commercial uses and base densities of30 units per acre, whereas the single-family residential designation is limited to residential uses at base densities of 4,5 units per acre with schools, parks, home occupations, churches, hospitals recreational uses and group homes as other allowed uses, The Mixed Use (MU) zoning overlay allows office and compatible industrial uses, with a provision for residential units at a base density of IS units per acre on the upper stories of buildings, The allowance for residential units is MU zoning overlay is the primary change from the current industrial and employment designations. Goal 12 is implemented through the Transportation Planning Rule (TPR), as defined in Oregon Administrative Rule OAR 660-012-0000, et seq, The TPR (OAR 660-012-0060) states that when land use changes, including amendments to acknowledged comprehensive plans, significantly affect an existing or planned transportation facility the local government shall put in place measures to assure that the allowed land uses are consistent with the identified function, capacity and performance standards (level of service, volume to capacity ratio, etc,) of the facility, Accordingly, OAR 660-012-0060 requires local jurisdictions to make an assessment of transportation impacts when plan and land use regulation amendments are proposed, While the Croman Mill Plan is far from a wholesale change of the existing Ashland Comprehensive Plan designations and zoning districts, an assessment of significant affect Findings ofFac! and Conclusions of Law Page 13 is included to address the requirements of OAR 660-012-0060, It is important to note that regardless of whether a master plan is adopted for the Croman Mill site, the build out of the Croman Mill site under the current zoning requires a significant investment in public infrastructure to construct the facilities necessary to accommodate future employment in the area, Transportation impacts of the redevelopment of the Croman Mill site have been evaluated and considered since the planning process began in 2008, A transportation analysis report was completed in January 2,2009 in conjunction with the Croman Mill Site Redevelopment Plan, and both documents are included in the record, Additionally, key personnel from local and state transportation agencies such as Oregon Department of Transportation (ODOT), Rogue Valley Transportation District (RVTD) and Ashland Public Works Department were involved in key participant meetings for the redevelopment plan process in January and March 2008, A transportation analysis report was updated in May 2010 to supplement the original transportation analysis, and is included in the record, The updated report includes an analysis and traffic projections for Alternative F to reflect the hybrid industrial and office employment land use pattern that was included in the final draft of the redevelopment plan, Additionally, the report examines the use of Mistletoe Road as a permanent main access to the redeveloped site, as well as the impact on future traffic movement if a street crossing is provided form the plan area to Washington Avenue to the north, Based on the potential trip generation of the proposed land uses compared to the approved land uses, there may be the potential for a significant affect on the surrounding transportation network. Table I summarizes the potential trip generation for the proposed redevelopment in comparison to the adopted (No-build) land uses, Table 1: Trip Generation Comparison of No-build (adopted) and Build (proposed) Land Uses AM Peak Hour In 735 1,651 Trips Out 165 285 Total 900 1,936 PM Peak Hour In 180 422 Trips Out 775 1,460 Total 950 1,881 No-Build/Adopted Build/Proposed Daily Trips 10,135 12,776 The OAR is directed at maintaining a balance between land uses allowed (or adopted) in a comprehensive plan and zoning, and the transportation system that supports those land uses, Where' a proposed change from the adopted comprehensive plan, typically called a land use amendment, would "significantly affect" an existing or planned transportation facility, a local government must put in place measures to assure that the land uses being proposed are consistent with the identified function, capacity and performance standards of the surrounding transportation network. The planning rule identifies that a "significant Findings ofFac! and Conclusions of Law Page 14 affect" would be determined by meeting one of the following three key elements, The following outlines these key elements and indicates whether the proposed project would have a significant affect or not 1. Change the functional classification of an existing or planned transportation facility (exclusive of correction of map errors in an adopted plan). It is not the intent of the Croman Mill District plan to request the change of any of the functional classifications on the surrounding roadway network as adopted in the current Ashland Comprehensive Plan Transportation Element (1996) and Ashland Transportation System Plan (1998), 2, Change standards implementing a functional classification system, It is not the intent of the Croman Mill District plan to implement any improvements within the transportation infrastructure that would be beyond the design standards for the adopted functional classification of roadways in the adopted City of Ashland Transportation System Plan (TSP), There are improvements identified at spot locations (intersections), but those types of improvements are within the functional classification of roadways, 3, As measured by the end of the planning period identified in the adopted transportation system plan: a, Allow land uses or levels of development that would result in types of levels of travel or access that are inconsistent with the functional classification of an existing or planned transportation facility. The land uses included in the Croman Mill District will result in the types of travel and operation of streets within the roadway system consistent with the functional classifications included in the current Ashland Comprehensive Plan Transportation Element (1996), Ashland Transportation System Plan (1998) and Ashland Street Standards Handbook (1999), The Ashland TSP (p 5-7),states: Volumes indicated are not intended to be absolute maximums or minimums. The function of the street with the roadway system, and the types and intensities of land use along their routes are other important factors contributing toward their appropriate designation, The Ashland Street Standards Handbook (p 19) provides further clarification: When determining how to classify a new street for the purpose of design, careful attention should be given to considering the street as a whole in the context of the neighborhood, of the underlying zoning and land uses, and the future amount of traffic rather than strict adherence to using projected average daily traffic (ADT) Findings of Fact and Conclusions of Law Page 15 figures alone. Care must be taken not to focus on efficiency and worst case scenarios. The end goal should be to balance creating a notable, livable, functional street for the neighborhood, and provide a variety of transportation optionsfor residents, Ashland Street and Siskiyou Boulevard are classified as Boulevards, and Tolman Creek Road and Mistletoe Road are classified as Avenues, It is the intent of the Croman Mill District plan for the boulevards and avenues which the previous analysis shows will be impacted by the redevelopment of the plan area to continue to operate with the definitions of the functional classifications included in the Ashland Comprehensive Plan Transportation Element and Ashland Street Standards Handbook, The Ashland Comprehensive Plan, Ashland TSP and Ashland Street Standards Handbook include an average daily traffic for Boulevards of 8,000 to 30,000 trips per day, and for A venues 3,000 to 10,000 trips per day. The following definitions of a Boulevard and Avenue are included in the Ashland Street Standards Handbook. "Boulevards are major thoroughfares filled with both human and vehicular activity. Design should provide an environment where walking, bicycling, using transit and driving are equally convenient and shouldfacilitate the boulevard's uses as a public space, Design should start with the assumption that the busy nature of a boulevard is a positive factor and incorporate it to enhance the streetscape and setting A 2-lane, 3-lane or 5-lane configuration can be used depending on the number of trips generated by surround existing and figure land uses. " "Avenues provide concentrated pedestrian, bicycle, transit and motor vehicle access from neighborhoods to neighborhood activity centers and boulevards, Avenues are similar to boulevards, but are design on a smaller scale. Design should provide an environment where walking, bicycling, using transit and driving are equally convenient and should facilitate the avenue's use as a public space. A 2-lane or 3-lane configuration can .be used depending on the number of trips generated by surrounding existing and future land uses," Previous analysis for the 20 year planning horizon has indicated that at approximately 50% of the proposed development, Tolman Creek Road north of Mistletoe Road and Mistletoe Road itself (also referred to as the Central Boulevard in the plan) should be upgraded/improved to contain a center turn lane, so the overall cross section of the roadway(s) would be a three lane facility, Based on the design standards found in the Ashland Street Standards Handbook, this type of cross section could be classified as an Avenue functional classification, The Ashland TSP does indicate capacity improvements for Tolman Creek Road in this location, and an improvement of . upgrading Mistletoe Road to an urban street standard (Chapter 9: Needed Transportation Improvements, Ashland TSP, 1998), Ashland Street and Siskiyou Boulevard are anticipated to remain in the current configurations, Findings of Fac! and Conclusions of Law Page 16 There are several additional factors worth noting. The transportation analysis and transportation analysis update completed for the redevelopment plan use standard assumptions and methodologies to generate future land use scenarios and associated trip generation and distribution, Specifically, the transportation analysis uses a worst- case approach in that it assumes all but two percent of trips will be made my motor vehicles, In contrast, Ashland has long-standing Comprehensive Plan and TSP goals and policies emphasizing non-automotive means oftravel, and therefore concentrated on developing the city in a pedestrian.oriented compact urban form as well as building a multi-modal transportation system including sidewalks, bicycle and transit facilities, In keeping with the City's goals and policies, the Croman Mill District plan includes links to existing pedestrian, bicycle and transit facilities (e,g, Central Ashland Bike Path extension), as well as incorporating both on-street and off-street pedestrian and bike facilities, as w~ll as provisions for bus tops and commuter rail within the plan area, While current methodologies to estimate trip generation do not incorporate non- automotive trips, it is the intent of the Croman Mill District to create a land use pattern and complimentary transportation system that will replace vehicle trips with pedestrian, bicycle and transit trips, As a result, the ultimate impact on the vehicular facilities including streets and intersections should be less than presented in the transportation analysis and transportation analysis update, Also worth noting is the City is beginning the process of updating the Ashland TSP, Necessary system improvements will be carried over into the updated TSP, as well as measures for off-setting vehicular trips with pedestrian, bicycle and transit traveL The update of the Ashland TSP is targeted for completion in January of2012, b, Reduce the performance of an existing or planned transportation facility below the minimum acceptable performance standard identified in the TSP or comprehensive plan; or c, Worsen the performance of an existing or planned transportation facility that is otherwise projected to perform below the minimum acceptable performance standard identified in the TSP or Comprehensive Plan. Previous analysis has evaluated the potential traffic operations at study area intersections comparing both the No-build and Build land uses, Table 2 summarizes the unmitigated (existing geometry) operations at these intersections, Table 2: Unmitigated 2030 Study Area PM Peak Hour Operations Mobility No-Build Standard Dela LOS VIC 0.85 > 80,0 F VIC 0.85 72. 7 F VIC 0.90 > 80,0 F VIC 0.90 47.6 D LOS D 23.7 C Intersection Hwy 66 (Ashland St)/I-5 Northbound Ramps Hwy 66 (Ashland St)/I-5 Southbound Ramps Hwy 66 (Ashland St)/Washington St Hwy 66 (Ashland St)/Tolman Creek Rd Tolman Creek Rd/Mistletoe Road Findings of Fac! and Conclusions of Law Page 17 Hwy 99 (Siskiyou Blvd)/Tolman Creek Rd Hwy 99 (Siskiyou Blvd)/Mistletoe Mill Rd Hwy 99 (Siskiyou Blvd)/Crowson Rd V/C 0.90 V/C 0.90 V/C 0.80 > 80.0 14.5 11.1 F B B 0.96 0.23 0.10 > 80.0 51.8 11.4 F IDl9lII F 0.50 B 0.11 Based on the unmitigated traffic operational results, it would indicate that the proposed land use has potential impacts beyond those experienced under the No-build condition at three intersections: Ashland Street/Tolman Creek Road, Tolman Creek RoadlMistletoe Road, and Siskiyou Boulevard/Tolman Creek Road, All ofthese potential impacts occur on Tolman Creek Road, Mitigation alternatives were developed for all intersections where impacts were greater than expected under the No-build condition, as well as what improvements would be necessary to reach jurisdictional standard (either V IC ratio for ODOT facilities, or level-of-service for City facilities). These mitigation alternatives added turn pockets or signals to existing intersections and were able to meet the jurisdictional standard, These types of improvements have been identified in the Ashland TSP through calling out adding travel lanes to meet projected long term vehicle demand (along Tolman Creek Road from the Siskiyou Boulevard to E. Main Street), and upgrade to Boulevard standard and capacity improvements on Ashland Street (from UPRR west to Interstate 5). In addition, Mistletoe Road has been identified in the TSP as an improvement to upgrade to an urban street standard, Finally, a traffic signal at Siskiyou Boulveard/Tolman Creek Road has been identified as an improvement in the TSP, Using these parameters, the development would not have a significant effect because improvements have been identified in the TSP that allow for adequate intersection operations to meet jurisdictional standard through turn lanes and signalization, There were transportation issues raised during the public hearings, The City Council finds and determines that all substantive issues were adequately addressed by City staff in the numerous staff reports and staff responses, and other materials in the record, whether such responses were made orally at the hearings or provided in written form as set forth in the record, All staff reports, staff materials, and other staff responses are hereby accepted by the City Council and are incorporated herein by this reference, The Council finds and determines that the proposed amendments are consistent with the TPR OVERALL COUNCIL CONCLUSIONS The City Council finds and determines the approval criteria for this decision have been fully met, based on the detailed findings set forth herein, the detailed findings and analysis of the Planning Commission, the detailed findings and analysis set forth in the Croman Mill supporting documents, the Economic Opportunities Analysis supporting documents together with all staffreports, addenda and supporting materials in the whole record, Specifically the Council finds that the proposed amendments are consistent with City of Ashland Approval Criteria for Zone Changes, Zoning Map Amendments and Findings of Fae! and Conclusions of Law Page 18 '/ Comprehensive Plan Map Changes set forth in ALUO l8.108,060,B. The Council finds that the proposed amendments are consistent with the City of Ashland Comprehensive Plan. The Council finds and determines that the proposed amendments are consistent Oregon land use laws and regulations including specifically Oregon Statewide Planning Goal 9 as implemented by OAR Chapter 660, Division 9, Finally the Council finds and determines that the proposed amendments are consistent with Oregon land use laws and regulations including specifically Oregon Statewide Planning Goal 12 as implemented by OAR Chapter 660, Division 12, Accordingly, based on the above Findings of Fact and Conclusions of Law, and based upon the evidence in the whole record, the City Council hereby APPROVES the ADOPTION of the following amendments to the Ashland Land Use Ordinance and Ashland Comprehensive Plan as reflected in six distinct ordinances: . The Ashland Comprehensive Plan is amended to add the Croman Mill Plan designation to Chapter II Introduction and Definitions, and to adopt The City of Ashland: Economic Opportunity Analysis and Croman Mill Site Redevelopment Plan as supporting documents, . The Ashland Comprehensive Plan map is amended to include the Croman Mill District designation, and the Ashland Zoning map is amended to include the Croman Mill District comprised of five zoning overlays, . Chapter 18,53 Croman Mill is added to the Ashland Land Use Ordinance, . Section VIII Croman Mill District Standards is added to the Site Design and Use Standards in ALUO Chapter 18,72 Site Design Review. . ALUO Chapter 18 is amended to provide consistency with the new Chapter 18.53 Croman Mill. . Ashland Municipal Code (AMC) Chapter 15 is amended to provide priority plan check for LEED certified buildings. Ashland City Council Approval John Stromberg, Mayor Date Signature authorized and approved by the full Council this 17th day of August, 2010 Attest: Barbara Christensen, City Recorder Date Approved as to form: Ashland City Attorney Date Findings ofFac! and Conclusions of Law Page 19 "IIIl RESOLUTION NO. 2010 - A RESOLUTION ENDORSING OCEAN-MARINE RESERVES Recitals: A The City of Ashland recognizes that a system of marine protected areas, including marine reserves, are management tools that ensure the health and sustainability of Oregon's ocean for current and future generations; and B. The Governor's Executive Order 08-07 directed the Ocean Policy Advisory Council (OP AC) to recommend sites for consideration as marine reserves that, individually or collectively, are large enough to allow scientific evaluation of ecological benefits, but small enough to avoid significant economic or social impacts; and C. OPAC has recommended that six areas move forward for further consideration for development as marine reserves; and D, On July 1, 2009, House Bill 3013 became effective. The Bill directed that the Oregon Department ofFish and Wildlife (ODFW) implement OPAC's recommendations on marine reserves and develop a marine reserves work plan; and E. ODFW has developed a marine reserves work plan in consultation with scientists, relevant state agencies, ocean users, coastal communities, and the general public; and F, Oregon's marine waters are a vital and treasured resource, and the City of Ashland should endorse the establishment of a marine reserve system, THE CITY OF ASHLAND RESOLVES AS FOLLOWS: SECTION 1, The City Council of the City of Ashland recognizes the importance of maintaining a healthy ocean environment and, therefore, endorses OP AC's recommendations of marine reserves and ODFW's implementation of OP AC's recommendations and development of a marine reserves work plan, SECTION 3, This Resolution was duly PASSED and ADOPTED this ,2010, and after signing by the Mayor takes effect on day of 2010, Barbara Christensen, City Recorder SIGNED and APPROVED this _ day of ,20l0, Reviewed as to form: John Stromberg, Mayor Richard Appicello, City Attorney Page 1 of! 'llIll OREGON t/~ Oregon Marine Reserves Work Plan Cover Page Oregon Department of Fish and Wildlife, November 2009 For more information: http://www.oregonmarinereserves.net Fish & Wildlife Oregon House Bill 3013 (2009) directs relevant state agencies to implement the state's Ocean Policy Advisory Council (OP AC) recommendations on marine reserves, As part of implementation, the legislation directs the Oregon Department ofFish and Wildlife (ODFW) to develop a marine reserves work plan, In order to provide context for the work plan, this cover page provides a brief overview of the OP AC recommendations referred to in the legislation and work plan, the work plan's layout and elements, and where to find more information on Oregon's marine reserves process, :OPAC Recommendati~l1s \~_^_.^._.___..~______..___..__________,______._m._.__^"____M.'.._.,.....,______., + After an extensive public process, OP AC recommended that six areas move forward for further consideration or development OP AC recommended two of the areas, Otter Rock and Redfish Rocks, for designation as pilot marine reserves, The areas were recommended to move ahead as pilot reserves because the proposals were the most developed in terms of community collaboration and baseline information, The four other areas require additional time for ecological and socioeconomic information to be gathered, as well as for further collaboration among ocean users, coastal communities, and other interested parties, Three ofthese areas, Cape Falcon, Cascade Head, and Cape Perpetua, have proposals associated with them that will serve as starting points for further evaluation and collaboration, The final area, in the Cape Arago region, will not use an existing proposal as a starting point but will instead start fresh with the International Port of Coos Bay supporting and leading a collaborative process to consider and develop a new marine reserve proposal for the area. Workrla-"~llm.II1aI"Y ODFW developed the marine reserves work plan in consultation with scientists, relevant state agencies, ocean users, coastal communities, and the general public. The plan consists of two major sections; the first section outlines work to be conducted for the two pilot sites (Otter Rock and Redfish Rocks), and the second section outlines work for the four areas for further evaluation (Cape Falcon, Cascade Head, Cape Perpetua) and proposal (Cape Arago region), The plan covers biological, habitat, social and economic, and community outreach work that will occur during 2009-20 II, EIII".II1I1I"!lilIformation For more information on Oregon's marine reserves process please visit the state's marine reserves website at http://www.oregonmarinereserves.net