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2013-935-Minutes for Meeting April 24,2013 Recorded 5/6/2013COUNTY OFFICIAL NANCYUBLANKENSHIP, COUNTY CLERKO$ Q 7013"935 COMMISSIONERS' JOURNAL 05/06/2013 10;23,47 AM 11111111111 2013-911)111111111111111111 Do not remove this page from original document. Deschutes County Clerk Certificate Page Deschutes County Board of Commissioners 1300 NW Wall St., Suite 200, Bend, OR 97701-1960 (541) 388-6570 - Fax (541) 385-3202 - www.deschutes,org MINUTES OF WORK SESSION DESCHUTES COUNTY BOARD OF COMMISSIONERS WEDNESDAY, APRIL 24, 2013 Present were Commissioners Alan Unger, Tammy Baney and Anthony Debone. Also present were Tom Anderson, County Administrator, Erik Kropp, Deputy County Administrator; and, for a portion of the meeting, Will Groves, Community Development; Roger Lee, EDC0, Attorney Steven Hultberg; Eric Porter, City of Sisters; Laurie Craghead, County Counsel; and media representatives Shelby King and Richard Coe of the Bulletin. Chair Unger opened the meeting at 1:35 p.m. 1. Proposed Expansion of Greater Redmond Enterprise Zone. Eric Porter, principal planner for the City of Sisters, and Roger Lee of EDCO, explained that they are taking the final steps to adopt a joint resolution between the cities of Sisters and Redmond, and the County regarding the enterprise zone. In 2012, the legislature approved expansion of enterprise zones from twelve to fifteen miles. Representatives of the City of Redmond agreed they would not use all of the enterprise zone allocated to them. They are considering five areas, four of which are commercial. Some would encompass artisan businesses that are involved in shipping products. The last is part of the airport property that contains Energyeering Company, and there is value in adding that property. It consists of two lots and 73 acres, and twelve acres fall under County jurisdiction. This takes a zone and master plan change for the City, and they hope to apply for an annexation next month. This goes before the Sisters City Council on April. 25 and Redmond's City Council on May 7. It would go to the County last. This was a goal for 2012-13 and they want it to move forward. The State is supportive, and Business Oregon provided the economic analysis. Minutes of Board of Commissioners' Work Session Wednesday, April 24, 2013 Page 1 of 6 Commissioner Baney noted that this good for economic development, and the City needs to have opportunities available. Commissioner DeBone said he attended a workshop on enterprise zones. This is part of a bigger picture, with incentives, but qualifying is hard. He would like to know more about where it works and where it doesn't. Chair Unger stated he is glad to hear this involves artisan businesses. If an area is open and accessible, they should go forward. Mr. Lee said they would have loved to have had this sooner. Redmond had to take some areas out to add Sisters in. All employment land in Sisters would now be in the enterprise zone. Redmond still has plenty of room if they wish to expand. The program was originally formed in 2009, but has improved drastically since then. Mr. Lee said that business-to-business companies are eligible, as well as traded sector (exporting outside the area). Some companies are not eligible. This does impact the tax base, so all affected entities have been notified. It is not the same as an urban renewal program, since the enterprise zone is short-term, lasting about three years. Mr. Porter added that most improvements would probably be at the airport. Even if this is put on the fast track, it will take some time. The Board indicated support and that this effort should proceed. There will be a Resolution presented to them at a future business meeting. 2. Discussion regarding Changing the Ratio of Overnight to Residential Units in Destination Resorts Outside the Bend Urban Area (Ordinance No. 2013- 008). Will Groves present a PowerPoint on this item. He explained that there are rules covering destination resorts both within and outside of urban growth boundaries. Deschutes County has kept the stricter ratio of 2.5:1. Affected areas are Pronghorn, Caldera Springs and Eagle Crest, as well as Thornburgh (in process, pending a Court of Appeals decision). There are about 19,000 acres eligible. This change would lower the mandatory number of overnight units required of the resort. Any changes would then require a conceptual master plan update process. Minutes of Board of Commissioners' Work Session Wednesday, April 24, 2013 Page 2 of 6 Title 19 involves the Bend urban area; Title 18 is County, which allows 1.5 units per acre maximum. It has been determined that if this were implemented, there would be no significant effect on transportation issues. However, it is hard to track people who have individually owned properties that rent them out. Commissioner Baney heard it more as a positive. They had to have a hard target for accountability, but there is a lot more housing that is used for tourism. Ms. Craghead said that Sunriver has smaller houses that are more likely to be in the rental pool; Pronghorn has very expensive homes that may be just second homes and not rented out for lodging purposes. There is a request from the Sunriver Owners' Association to leave the written record open for at least thirty days after the Monday, April 29 hearing. The applicant has asked that the Ordinance be approved by emergency so they can continue on their plans in a timely fashion. Mr. Anderson stated that hypothetically, a destination resort not yet complete has to get an amendment to the CMP; he asked what about a resort that is essentially built out. In particular, is it possible for them to adjust their master plan after the fact and convert overnight units to non-overnight units. Mr. Groves responded that they could ask for the 2.5:1 ratio and change their rules. This may make it easier for someone to purchase property as an investment. Ms. Craghead added that it also lessens what they have to report to the County annually. Chair Unger said that the Board looks at economic viability as well as the land use portion. Resorts are important to the County and it does not look good when they fail. They need to be economically viable. Commissioner Baney added that they have already been exercising the agreements to take advantage of those variables. Chair Unger said that there is more to think about and a bigger picture. Commissioner Baney stated that there are people who hate resorts, but others who want to do all they can to promote them. If a new application comes in, that's different. These are existing resorts that just want change Minutes of Board of Commissioners' Work Session Wednesday, April 24, 2013 Page 3 of 6 Mr. Groves said that it is tricky to change the ratio, as there could be off-site impacts. There obviously is some economic benefit to the resorts to do this. There have been no clear statements made on how this would have significant off-site impacts. The occupancy portion is really not known. This probably will not have a huge impact on anything, but will help the resorts' economics in some fashion. Commissioner Baney said the Board will want to hear why they want the emergency clause. Mr. Groves stated that a: letter from applicant details this; he will send this information to the Board. Commissioner Baney asked if there was any analysis done on the notion that if there were more overnight units, there would be more tourism. This would be a compelling argument, but only if is factual. Mr. Groves stated it is the `build it and they will come' argument. He has seen no analysis regarding this saturation. Commissioner Baney noted that there is a business model that those in the industry would know. Chair Unger said he would like to see how it impacts the Redmond Airport. There needs to be critical mass here to support those kinds of services. He wondered if there is a way to know what percentage of travelers is attracted by the resorts. Chair Unger asked if the emergency clause can allow for thirty days, rather than adopting in the normal fashion and it taking ninety days. Ms. Craghead said they can do this, but need findings to support thirty days rather than ninety. This allows citizens, if they choose to do so, to petition to put this on a ballot to try to prevent it from becoming effective. Otherwise, they would have to petition to have it repealed, but it would be effective and lawful during that timeframe. This is seldom done. Chair Unger asked why the County requires ninety days when the cities only require thirty days. Ms. Craghead said these are old laws, and she would have to review them. Minutes of Board of Commissioners' Work Session Wednesday, April 24, 2013 Page 4 of 6 3. Other Items. CONVENED AS THE GOVERNING BODY OF THE EXTENSION AND 4-H COUNTY SERVICE DISTRICT Before the Board was Consideration of Signature of Resolution No. 2013- 026, Transferring Appropriations in the Extension and 4-H County Service District Fund. DEBONE: Move signature. UNGER: Second. VOTE: DEBONE: Yes. BANEY: Yes. UNGER: Chair votes yes. Chair Unger said he plans to attend a conference on the Rural Voices for Conservation in Washington DC the week of May 13. There are no regular Board meetings that week. Commissioner Baney said she attended an OTC meeting regarding the North 97 corridor. At some point, the County will need to engage on where the County stands. It involves COACT and the Bend MPO, ODOT and the OTC; they need to be in step on figuring this out. Chair Unger stated that the process includes the steering team doing a recommendation. They are looking to the Bend MPO as this group. After that, it goes to the next steps, the City Council and the Board of Commissioners. He said the City does not want the expressway designation to continue. This is linked to the North 97 corridor, but would not change access. ODOT manages this anyway. He doesn't want the County to be in the crosshairs, and the City wants what is best for the City. There has been no decision on the expressway designation yet. Commissioner DeBone said the next MPO meeting is in May. He would like to meet with the City Council members individually to discuss this issue and other items, and will ask staff to schedule this. Minutes of Board of Commissioners' Work Session Wednesday, April 24, 2013 Page 5 of 6 Chair Unger stated he discussed the Bend North 97 Corridor at a forum with the Central Oregon Association of Realtors. They talked about transportation in general and it was very informative. Commissioner Baney said that during the MPO discussions, it was noted that the expressway designation could be linked in with Trip 97, corridor planning and congestion ratios. This should all be coordinated into one effort. Chair Unger added that the bigger conversation is preserving capacity in the system, and whether it makes a difference if it is a parkway or a freightway. Commissioner DeBone stated that it is valuable to be able to make a quick trip through town. It does matter to a lot of people. He still wonders what can be done to get traffic, especially trucks, east and west, since they don't want to be stuck in the middle of Bend trying to make it through. Commissioner Baney noted that shutting off access to businesses is a big issue. Chair Unger added that government should try to solve problems, but also needs to consider economic impacts. He wants businesses to be successful. Commissioner Baney said that she is still tracking the FEMA grant issue, which is looking more favorable at this point. Being no further items addressed, the work session ended at 2:45 p.m. DATED this 0--PL Day of 2013 for the Deschutes County Board of Commission s. ATTEST: Recording Secretary Alan Unger, Chair 1 Tammy Baney, Vice air Anthony DeBone, Commissioner Minutes of Board of Commissioners' Work Session Page 6 of 6 Wednesday, April 24, 2013 Deschutes County Board of Commissioners 1300 NW Wall St., Suite 200, Bend, OR 97701-1960 (541) 388-6570 - Fax (541) 385-3202 - www.deschutes.or WORK SESSION AGENDA DESCHUTES COUNTY BOARD OF COMMISSIONERS 1:30 P.M., WEDNESDAY, APRIL 24, 2013 1. Proposed Expansion of Greater Redmond Enterprise Zone - Erik Kropp 2. Discussion regarding Changing the Ratio of Overnight to Residential Units in Destination Resorts Outside the Bend Urban Area (Ordinance No. 2013-008) - William Groves 3. Other Items PLEASE NOTE: At any time during this meeting, an executive session could be called to address issues relating to ORS 192.660(2) (e), real property negotiations; ORS 192.660(2) (h), litigation; ORS 192.660(2)(d), labor negotiations; or ORS 192.660(2) (b), personnel issues. Meeting dates, times and discussion items are subject to change. All meetings are conducted in the Board of Commissioners' meeting rooms at 1300 NW Wall St.. Bend, unless otherwise indicated. lfyou have questions regarding a meeting, please call 388-6572. Deschutes County meeting locations are wheelchair accessible. Deschutes County provides reasonable accommodations for persons with disabilities. For deaf, hearing impaired or speech disabled, dial 7-1-1 to access the state transfer relay service for TTY. Please call (541) 388-6571 regarding alternative formats or for further information. CITY OF SISTERS Memorandum Date: April 17, 2013 To: Deschutes County Board of Commissioners; Erik Kropp, Roger Lee From: Eric Porter, Principal Planner, City of Sisters Re: Expanding the Greater Redmond Area Enterprise Zone The State of Oregon's 'Business Oregon' Department administers the Enterprise Zone program as a tool to attract new and expanded businesses in Oregon. The program offers tax incentives and other local benefits to qualified businesses. Deschutes County, Redmond and Sisters are co-sponsors of the 'Greater Redmond Area Enterprise Zone' (Zone), which was established in its present configuration in year 2009. In 2012 the Oregon Legislature increased the maximum allowable land area for each enterprise zone from 12 to 15 square miles. For reference, one square mile equals 640 acres. This expansion enabled Sisters, Redmond and Deschutes County to evaluate whether to add more land into the Zone, which currently consists of 11.47 square miles in area, of which 0.43 square miles (274 acres) is located in Sisters. The City of Sisters has an interest in adding five distinct areas totaling 101 acres (approximately 0.19 square miles) into the Zone. Of these five areas, only Area E is beyond the City limits, and consists of 12 acres of land under County jurisdiction. This land is part of the Sisters Eagle Air airport and contains the Energy- Neering company and buildings in use by the airport. The attached map shows the locations of Areas A through E, which are located in or adjacent to the Sisters city limits. One of the main benefits offered by the Enterprise Zone program is a property tax break to qualifying businesses for a limited duration. The amount of the tax incentive is determined by the increase in property value that results from capital improvements made by a qualifying business specifically for their business. There is no loss of tax revenue to the taxing districts from the base value of the affected properties. The affected taxing districts each have an opportunity to comment on the expansion of the Zone; their comments are forwarded to the State when the Zone expansion application is sent to the State for review. The City of Sisters sent notices to each of the 18 affected taxing districts informing them of the desire to expand the Zone boundary. The comments from the taxing districts are due on or before April 23, 2013. Of the districts who received this notice, staff received one inquiry from the Sisters-Camp Sherman Fire District's Chief, Roger Johnson, who had concern over potential lost revenue that might otherwise go to the Fire District. Staff has requested written comment that can be included in the application package that is sent to the State. 520 E. Cascade Avenue, PO Box 39, Sisters, OR 97759 Ph: 541-323-5200 Fax: 541-549-0561 www.ci.sisters.or.us The City of Sisters is an equal opportunity employer. The final step in the Zone expansion process is the adoption of the joint resolution by each sponsoring jurisdiction. The County Commissioners along with the Councils of Redmond and Sisters will soon be asked to adopt a resolution in support of allowing the boundary of the Greater Redmond Enterprise Zone to be expanded to accommodate the additional 101 acres of land being sought for inclusion by the City of Sisters. The Sisters City Council will consider this resolution on April 25; Redmond's City Council will be considering the resolution on May 7. The County Commissioners will also be asked to review and decide whether to adopt this resolution at an upcoming Commissioner Board meeting. City of Sisters Zone Desigraat om ~c µ 4u~yC 111111, LM Y: - ~r - Sisters Enterprise Zone 2013 Updated March 18, 2013 AR 17 1 N A GR . 5 MI A DOWNTOWN COMMERCIAL NORTH 19.4 UA DOWNTOWN COMMERCIAL SOUTH U,OA C HIGHWAY COMMERCIAL EAST 13,1 U.U1 D HIGHWAY COMMERCIAL T E AIRPORT 12. U.U2 Proposed Greater Redmond Enterprise Zone Expansion Areas TE DATE: April 4, 2012 Community Development Department Planning Division Building Safety Division Environmental Soft Division P.O. Box 6005 117 NW Lafayette Avenue Bend, Oregon 97708-6005 (541)388-6575 FAX (541)385-1764 http://www.co.deschutes.or.us/cdd/ MEMORANDUM TO: Deschutes County Board of Commissioners FROM: Peter Gutowsky, Principal Planner RE: Newberry Country: A Plan for Southern Deschutes County / Work Session The Deschutes County Board of Commissioners (BOCC) conducted its second hearing on March 12, 6:00 p.m. at the Sunriver Homeowners Aquatic and Recreation Center to take public testimony on Newberry Country_ A Plan for Southern Deschutes County.' At the conclusion of the meeting, the BOCC closed the record for oral testimony, but left the written record open until March 29 at 5:00 p.m. The BOCC is holding its second work session on the Newberry Plan on Monday, April 29 at 1:30 p.m. The purpose is to continue discussing suggested revisions raised during the BOCC's two public hearings to determine which sections of the Plan warrant revision. Attached is a matrix that was provided to the BOCC at their first work session on April 3. It includes a column to allow staff, in certain instances, to provide additional context on a particular issue. In most cases, the potential revisions speak for themselves. Options for making minor changes to the groundwater section of the plan (page 36) will be presented on April 29. After receiving the BOCC's direction on necessary revisions, staff will then schedule a regular meeting for the BOCC to deliberate and consider first reading of Ordinance No. 2013-007.2 i htt2://www.deschutes.org/southcountvolan 2 Ordinance 2013-007 officially adopts Newberry Country: A Plan for Southern Deschutes County into the Deschutes County Comprehensive Plan. Quality Services Performed with Pride f Asa-~ i It It d 8 r l 1 ¢ py e -d 4i ch .4 i C I OTC IL 1 V 4 V 7 a a d 1.9 CL 9 it 9 T U Yi qr id U ~a IRS Y ;g flit A Jig jig 0 Lo go All, 4 3 g L- L 1-