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2006-387G-Minutes for Meeting December 20,2005 Recorded 4/7/2006. A Dec. 18, 2005 Deschutes County Community Development Dept. 117 NW Lafayette Bend, Oregon 97701 Devin Hearing Associate Planner 541-388-6555 File Number: CU-05-20 Applicant: Thornburgh Resort Company, LLC Subject: Application for a Conditional Use Permit for a Destination Resort Conceptual Master Plan approval (1,980 acres) in the Exclusive Farm Use (EFU-TRB) zone This letter offers both comments and recommendations relative to the "de novel" hearing scheduled December 20, 2005 plus a re-submission of the comments presented verbally and written at the August 17, 2005 hearing. COMMENTS REGARDING THE "DE NOVO" HEARING DECEMBER 20,2005: The following are points of great concern regarding the current state of the hearing process relative to the Thornburgh Resort Application for a Conditional Use Permit for a Destination Resort: 1. That these hearing are even taking place. • The fact that the Hearings Officer denied the application • The fact that the applicant did not meet all of the approval criteria, specifically: Thornburgh has only one-third of the water mitigation credits needed to develop the resort. Thornburgh failed to meet a county requirement that 50% of the total acreage of the development be dedicated as permanent open space. Exhibit- Q Page { of - Thornburgh did not meet the state rules that require a 2-to-1 ratio of residential homes to overnight units 2. The basis for this hearing is supposedly to avoid Thornburgh taking the County to court requiring a reconsideration of the decision on the application that the Hearings Officer has already rendered. The basis of this Thornburgh move is that the Hearings Officer failed to meet the 150 day response requirement. All who attended the hearing on Aug. 17, 2005 heard the dialog between Thornburgh and the Hearings Officer negotiating the extension. This negotiated agreement is referenced in the Hearing Officer's decision on page 5 REVIEW PERIOD. Why has this document not been presented? 3. To the point in #2 above, it is alleged that the County recording equipment failed and there is no public record of the negotiations between Thornburgh and the Hearings Officer relative to the time extension; additionally, much of the public testimony in opposition to the resort was lost. As a result of this strange event, several question arise: o Why does the County recording equipment failure, when the time line extension is in writing, justify this "de novo" hearing? A hearing that provides an opportunity for the County to over rule the denial of application for a Conditional Use Permit? o Is their any connection of the "dots" between this equipment failure and the fact that this is the same department that states in the "Deschutes County Planning Division Staff Report" section SUMMARY dated July 14, 2005 that the "Staff has not as is usually done, dissected the applicant burden of proof to glean the relevant and applicable criteria from the overall document. Instead, the staff has restated the applicant's burden of proof and only added clarification or confirmation where needed."? In other words the staff has not done their due diligence on this application. o Isn't it unfair and unrealistic to ask or think that the County Commissioners should or could make an informed decision on the application for Conditional Use permit that would be anything but in concurrence with the Hearings Office's decision of denial without complete due diligence by the County itself? Even after review and study of more than a 1000 pages of the Thornburgh application, without confirming due diligence by the county itself, there is no verifiable change of facts which can over turn the denial of application by the Hearings Officer. 4. The quality of the Thornburgh group as a working partner of the County is questionable. o Relative to past Destination Resort Developments the County has asked for a performance bond to assure that the development is completed. Given the fact that the County did not complete any due diligence on this Destination Resort application, the decision to partner in a $160 million dollar business project is a heavy -2- Exhibit E~ Page 2 of g burden for the Commissioners and the County tax payers to shoulder if the project fails. The down side consequences are onerous. 5. Conclusion and Recommendation: o The Thornburgh Resort is clearly opposed by the voting public and the application has been denied by the Hearing Office, yet it appears that there is a move to disregard these facts and find a way to allow this Resort development to proceed. We, the citizens, hope that in a time when government in general has a serious creditability gap between itself and those that it represents that this government (Deschutes County) will not cave in to the pressures of the applicant and will take the right and correct action by confirming the Hearing Officer's Conditional Use Permit denial. o All Destination Resorts are not inappropriate, but this one is. The applicant has not satisfactorily demonstrated nor has the County verified that the development can, among other issues, acquire the required mitigated water credits, meet the open space requirements, meet the state rules achieving the proper ratio of residential homes to over night units, or adequately resolve the traffic issues. For these reasons we request that you deny this application. ADDITIONALLY THE AUGUST 12, 2005 DATA IS RESUBMITTED. THIS INFORMATION WAS ORALLY PRESENTED AT THE AUGUST 17, 2005 HEARING, BUT LOST DUE TO COUNTY RECORDING EQUIPMENT MALFUNTION. AT THAT HEARING THE BELOW WRITTEN TESTIMONY WAS ALSO PRESENTED FOR THE RECORD. -3- Exhibit G Page 3 of August 12, 2005 Deschutes County Community Development Dept. 117 NW Lafayette Bend, Oregon 97701 Devin Hearing Associate Planner 541-388-6555 File Number: CU-05-20 Applicant: Thornburgh Resort Company, LLC Subject: Application for a Conditional Use Permit for a Destination Resort Conceptual Master Plan approval (1,980 acres) in the Exclusive Farm Use (EFU-TRB) zone This letter offers comments and recommendations regarding the proposed application for a Conditional Use Permit for a Destination Resort Conceptual Master Plan approval (1,980 acres) in the Exclusive Farm Use (EFU-TRB) zone. It is requested that this letter be placed into the record regarding this Conditional Use Permit. BACKGROUND: Two public meetings and one public hearing have been conducted regarding the community impact and possible use of BLM land as it regards the subject proposed destination resort. The community has identified many serious issues of concern that will result should this Conditional Use Permit be approved. This letter addresses only three of those issues, but in no means is intended to lessen the concern or impact of the remaining issues not discussed. The issues for discussion: • Traffic congestion, safety and current infrastructure • Water usage • Developer Accountability Further as these three issues are discussed the readers are asked to evaluate the issues using the tests of reasonableness, fairness and consequence. These tests become highly important after reading in the "Deschutes County Planning Division Staff Report" section SUMMARY which was prepared for the July 14, 2005 hearing that the "Staff has not as -4- Exhibit <5 Page _ of _g is usually done, dissected the applicant burden of proof to glean the relevant and applicable criteria from the overall document. Instead, the staff has restated the applicant's burden of proof and only added clarification or confirmation where needed." Clearly the staff has relied (perhaps over relied) on the applicant's retained consulting staff, by admission they have not done their own due diligence and failed to view the application for the reasonable, fair and consequential effect this resort will have on the community and surrounding property owners. Why? Don't all of the citizens deserve better than a rubber stamp approval? The citizens clearly do not have the time or financial capacity to match the consulting information that the applicant has amassed. We have only the County to rely on for fair and equitable protection. TRAFFIC: Additional traffic flow created by the resort and the functionality of existing roadways and intersections (specifically Cline Falls Hwy & the intersection of Cline Falls Hwy/US20) are critical to both the resort and the community. The Staff Report acknowledges that if a destination resort significantly affects the transportation facility it will remedy this situation by either limiting the development, provide the facilities to support the development or altering the land use density. However, the current Staff Report is silent on what the applicant must do to mitigate the development's affects on the transportation facility and what specific date the resort is responsible for completing these improvements. The Staff Report merely relies on and recants the Group Mackenzie Traffic Impact Analysis, provides no specifics as what needs to be done to make Cline Falls Hwy safe and manageable and does acknowledge that US20/Cline Falls Hwy intersection "...currently operates over applicable capacity requirements and would continue to do so upon development of the resort." As regards US20/Cline Falls Hwy the Oregon Department of Transportation has requested that the County condition any approval that the applicant shall enter into with a requirement for an agreement to contribute $406,929.00 towards the construction of the Cline Falls Hwy/US 20 interchange. The question is how do these statements and conditions meet the test of reasonableness? Without specific dates of completion defined, over capacity facilities continue to be over used, they continue to be unsafe and thus leaves the consequence of dangerous excess traffic squarely with the surrounding property owners and other users of the facility. For the applicant to agree to place money into an ODOT intersection construction fund without specific time lines for use is a meaningless gesture. Therefore, the only reasonable and fair solution is for the citizens and the applicant to be clearly informed of the specific transportation facility improvements which must be made and these improvements must be completed prior to any on site development at the proposed resort. Minimally, Cline Falls Hwy should be reconstructed to include wider shoulders, bike lanes, a double yellow line and a posted speed limit. All proposed changes to the -5- Exhibit G Page of interchange at Cline Falls Hwy/Us 20 must be completed. Finally, in the event the conditional use permit is approved, the applicant should be required to furnish the County with a performance bond to guarantee the required Cline Falls Hwy road work and interchange improvements are completed and serviceable in accordance with proper standards and conditions as set forth by both the County and ODOT. Failure to complete all of the transportations facility improvements prior to beginning any on site work at the proposed resort will result in immediate cancellation of the conditional use permit. WATER USAGE: It is reported in the "Hydrology Report / Water Supply Development Feasibility / Proposed Thornburg Resort" - DCC18.113.050 that the proposed peak flow rate water needs for the resort will be 6.4 million gallons of water per day. It is further reported in The Bulletin July 13, 2005 that the resort's 6.4 million gallons per day water use is more than half of the average daily use by the residents of the City of Bend. By any reasonable standard the resort's water use is an exorbitant consumption of water by such few users. Based on this high water usage the local farming residents have concerns that the proposed resort's deep ground wells would reduce the flow of water to both the irrigation system and our domestic wells; resulting in the need for these domestic wells having to be pushed lower into the aquifer. Both Mr. Newton (the registered Engineer who prepared the water use study) and the developer Mr. DeLashmutt assured the audience that there will be no appreciable affect on any neighboring domestic wells and therefore no future expense will be placed upon the neighboring property owners to adjust their well depth. It was then ask of Mr. DeLashmutt that if their water supply studies were accurate as representative, then clearly the resort would have no problem guaranteeing to pay for any and all well reconstruction required as a result of the resorts water usage of 6.4 million gallons per day. Mr. DeLashmutt, on behalf of the resort, refused to consider this or any type of guarantee or protection for the water usage of the neighboring residents. Now, clearly what the above information demonstrates is that the water study is one dimensional; evaluating academic assumptions and drawing conclusions with far reaching effects based on these assumptions rather than known water usage facts (as there are none on a project usage of this size). Using the tests of reasonableness, fairness and consequential damage, this usage of water is exorbitant. It is neither reasonable nor fair to the surrounding property owners and water users to allow the resort these usage rates. The consequence of miscalculation of water use will unfairly fall on the local residents while the resort makes untold profits. As mentioned, the water study is one dimensional. It accounts for no outside political or social/economic impact on water. There is no allowance for the possibility of water, which today is viewed as a boundless resource, being influenced by governmental selling or trading of water between municipalities as happens between Phoenix, AZ and Los Angles, CA. The water that is sold between these municipalities is the Colorado River -6- Exhibit G Page ( of ___,g_ water. A water system flowing through the continental US and ending in the Sea of Cortez, Mexico that was once thought to be boundless now dries up in the desert never reaching its original destination. There is no consideration that abundant boundless water can follow the course of other boundless resources such as crude oil. Thirty years ago oil analysis, who were also Certified Engineering Geologist, spoke in one dimensional terms of boundless crude oil reserves at prices of $3.00 per barrel. Then, as in today's water study, the crude oil statements were one dimensional and not allowing for outside influences of governmental, social economic and others. They were wrong and now crude oil is over $65.00 per barrel (Sept. 2005 futures market). It is just possible that this water study likewise is wrong and that the water is not boundless. Again, we the citizens must rely on the county to look deeper into the water study, evaluate future needs for all of the community, have the courage to look into the future effects of water politics and do what is fair and reasonable on behalf of the citizens. Therefore, you must drastically reduce the amount of water that is allowed this proposed resort. DEVELOPER ACCOUNTABILITY: With regard to the application, as discussed in the Staff Report, one of the major concerns is the apparent lack of specificity in performance of the applicant. There appears to be no definite dates when items must be completed or any defined plan as to how items are going to be accomplished. The vagueness of the application combined with the lack of due diligence by the County leaves more questions unanswered than answered. This raises the question as to how this application could possibly be approved until issues, answers, definite time lines for completion with the penalty of rejection of application approval if items are not completed as required. The County must hold the developers accountable and responsible with penalty for their requirement to mitigate the negative effects of this project on the community and fulfill their promises and commitments. Based on the several meetings conducted by the Bureau Of Land Management, Thornburg Resort Company, LLC and Deschutes County Community Development Department the following are some but not all of the items of concern that have no developer accountability or commitment for correct action: • Deschutes County Road Department lists six (6) serious traffic issues which are unresolved (CU-05-20/page 4). Cline Falls Hwy will serve as the primary access point for Phase A, B, and C of the proposed resort (CU-05-20/page 36). This is an arterial roadway with limited shoulders, no bike lanes, no posted speed limit and minimal double yellow lines. This clearly suggests that this road, in its current state, can not handle the traffic build up from the resort and maintain the safe needs of the local residents. Improvements for Cline Falls Hwy to meet the minimum standards discussed above should be a requirement of application approval and these improvements must be completed before any construction can begin at the proposed resort. • Oregon Department of Transportation has requested that the application be conditioned on the applicant entering into an agreement with ODOT to make a -7- Exhibit G Page rj of proportionate share contribution of $406,929 towards construction of the Cline Falls Hwy/US 20 interchange prior to the approval of the first subdivision. This is a good start by ODOT, but does not go far enough. It is a known fact that today Cline Falls Hwy/US 20 is utilized beyond its capacity (CU-05-20/page46); therefore approval of this application should be conditioned on the completion of the Cline Falls Hwy/US 20 intgrchang4e before the first subdivision is allowed to begin construction. (CU-05-20/page 6) Bureau Of Land Management issues must be resolved before the application can be considered for approval. Map A-4 (2/4/05) shows three road entries on to Barr Road across BLM property. (CU-05-20/page 6). At this time the BLM has not approved all proposed access routes to include the north route connecting with Hwy 126 and should be a condition of approval before the first subdivision is allowed to begin construction (CU-05-20/page47). Water usage should be completely reviewed again and consideration given to the amount of water usage per resort residence and brought into a similar ratio of water usage for the per residence usage in the City of Bend. Thank you for your consideration in dealing with these concerns. Sincerely, David G. Jewett 66290 Cline Falls Hwy Bend, OR 97701 (541) 617-9835 -8- Exhibit G Page $r of _