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2014-511-Minutes for Meeting September 25,2014 Recorded 10/27/2014 DESCHUTES BLANKENSHIP, COUNTY CLERK �J X014.511 NANCY COMMISSIONERS' JOURNAL 10/27/2014 08:33;35 AM IIflJIIIIIUIIIHhIIIU II III 201 -811 •(‘‘) s c<)G Z 0/ Deschutes County Board of Commissioners 1300 NW Wall St., Bend, OR 97701-1960 (541) 388-6570 - Fax (541) 385-3202 - www.deschutes.org MINUTES JOINT MEETING/WORK SESSION BOARD OF COUNTY COMMISSIONERS AND DESCHUTES COUNTY PLANNING COMMISSION DESCHUTES SERVICES CENTER 1300 NW WALL STREET, BEND, OREGON, 97701 SEPTEMBER 25, 2014—5:30 P.M. I. CALL TO ORDER The Planning Commission Meeting was called to order at 5:30 p.m. by Chair Christen Brown. The Board of Commissioners' meeting was called to order at 5:30 by Chair Baney. Planning Commissioners present were Vice Chair Hugh Palcic, James Powell, Susan Tunno and Ed Criss. Absent: Steve Swisher, Todd Turner. Board of Commissioners present were Tammy Baney, Tony DeBone, and Alan Unger. Staff present were Tom Anderson, County Administrator; Nick Lelack, Planning Director; Peter Gutowsky, Principal Planner; and Matt Martin, Associate Planner. Planning Director Nick Lelack noted this meeting is a joint work session between the Planning Commission and Board of County Commissioners. He reviewed the agenda which includes updates on priority items in the Planning Division's 2014/2015 work plan. APPROVAL OF MINUTES Vice Chair Palcic supported by Commissioner Criss moved to approve the minutes of the August 28, 2014 Planning Commission meeting. Motion carried. Minutes of Joint Meeting — Board of Commissioners and Planning Commission Thursday, September 25, 2014 Page 1 of 6 II. STATEWIDE PLANNING GOAL 11 - Peter Gutowsky, Principal Planner Jon Jinings, Department of Land Conservation and Development (DLCD), and Eric Nigg of the Oregon Department of Environmental Quality (DEQ) provided an update on the Goal 11 Sewer Exception for Southern Deschutes County. The hope was to have a draft of the burden of proof and map available by the end of September, but they have missed that target. Once the draft is ready, the intent will be to have public informational meetings and then schedule a public hearing in the spring. A question was raised on placing the areas of concern on a map. The steering committee did create a proposal. The map will be a companion to the proposal and will be available in the near future. Commissioner DeBone asked for clarification on the Goal 11 exception to protect the groundwater- would it allow a sewer system in some areas, a cluster system in others, or a mix if required? Mr. Nigg noted the DEQ has not entertained different criteria for different parts of the area and would also assume that neighbors would find solutions. Some of the large lots may be treated differently than normal residential lots. The map will provide indicators of the lots included. The hope is to not allow it to be a vehicle to allow additional subdivisions in the area. Commissioner Baney inquired on the steps necessary for residents if their current septic systems fail and noted the importance of moving forward with this. She also wondered if there was anything to be brought to this legislative session. At this point, the attempt is to do what is within the existing rules so there is no necessary work needed through the legislation. Commissioner DeBone pointed out the need to ensure health and safety and the need to offer alternatives. DEQ notes that South Deschutes County is unique and would offer alternatives for wastewater disposal that haven't previously been available. Commissioner Baney reiterated the need to protect the residents and to ensure they have alternatives. Commissioner Criss stated that one of the recommendations of the steering committee was the option of using Advanced Treatment Technology Systems (ATTs) until the decisions were made, and he has received calls from residents regarding this. He asked where it stands today. They believe there is increasing groundwater contamination in the area, but they also believe that the increase is slow enough where they can get in front of it and give a short suspension of enforcing those rules that would not increase risk to public health. Commissioner Criss' concern is for residents being told they have to invest in an ATT system and then told later that they have to invest money in a sewer system. At this point an immediate risk to public health has not been demonstrated. With the area noted as exceptionally unique, why aren't there exceptional situations or help through the legislature? DEQ thinks a combination of rule making and the legislature may be the solution, but in their opinion the time to go with the legislature is too lengthy. Minutes of Joint Meeting — Board of Commissioners and Planning Commission Thursday, September 25, 2014 Page 2 of 6 Commissioner Unger commented on the timeline of this process. If the hearings are in the spring and a decision goes out in the summer, then are solutions for specific areas available for proposal? If there is any kind of moratorium, there needs to be an expectation to move forward. The recommendation from the steering committee was for a moratorium lasting about five years. Mr. Jining's vision is for the completion of the application to be reviewed by the County, followed by informational meetings with the community and then Planning Commission review, with recommendation to the Board by early next summer. Commissioner Powell asked what the local government should do once the map is available. What advice can be given to residents in the interim? Mr. Nigg noted that was the purpose of the recommendation to provide suspension of enforcement of the rules requiring ATTs. Without a change in temporary rules, there are no other options other than ATTs, assuming they are needed. For the past three years, DEQ has been doing site-by-site assessments, and in most cases the risk suggests that ATTs are the systems to install. At this point, until there is a Goal 11 exception or the DEQ adopts a rule, the recommendation is ATTs. Commissioner DeBone asked to be excused at 6:04 p.m. for a short period of time. III. ENDANGERED SPECIES ACT Will Groves, Deschutes County Senior Planner, presented a PowerPoint update on the National Flood Insurance Program and Endangered Species Act. Under the Endangered Species Act, FEMA has an obligation to protect the following endangered species in Deschutes County: spring Chinook salmon, summer steelhead and bull trout. FEMA is working with National Marine Fisheries to address areas affected by the Special Flood Hazard Area. Oregon Spotted Frog Peter Gutowsky, Principal Planner, gave a PowerPoint presentation. This August, the U.S. Fish and Wildlife Service listed the Oregon spotted frog as a threatened species. He reviewed the numbers and acreages of federal and private tax lots affected by the proposed critical habitat. Regulations have been in place for years protecting wetlands and riparian habitat. One of the biggest threats to the Oregon spotted frog is actually the bullfrog. Discussion held on the possibility of adopting habitat maps into the comprehensive maps that could be available to the public to point out the critical habitat areas. Minutes of Joint Meeting — Board of Commissioners and Planning Commission Thursday, September 25, 2014 Page 3 of 6 Sage-Grouse Peter Gutowsky provided a summary on sage-grouse. In April 2010, the U.S. Fish and Wildlife Service determined the protection of the sage-grouse was warranted. The Community Development Department (CDD) continues working with the Bureau of Land Management and the Governor's Office to coordinate issues related to sage-grouse habitat conservation. A final environmental impact statement is scheduled to be released at the end of this month. Discussion held on the habitat area affected. One of the major threats to the sage-grouse is wildfire. Commissioner Powell voiced his concern that with all of the resources being put into habitat conservation, permits are still issued hunt sage-grouse. IV. AGRICULTURAL LANDS Matt Martin, Associate Planner, gave a PowerPoint presentation on the agricultural lands program. The BOCC had directed CDD to conduct a public outreach campaign to understand community, stakeholder, and landowner opinions about Deschutes County's agricultural lands program, including farm designation and land uses. Community conversations were held throughout the County. A report was given at BOCC and Planning Commission work sessions in June. The CDD staff were then directed to re-evaluate the prominent land use issues. During the public meetings, CDD was able to identify three prominent themes: retain, revise and redo. The result was the creation of two matrices: agricultural lands public outreach program/reference guide, and agricultural lands public outreach program/background. Discussions held on the definitions and purposes of medical hardship dwellings not allowed in conventional housing combining (CHC) Zone, policy acknowledgement of existing "non-resource" review process, farm/nonfarm use compatibility, short term vacation rentals, and the non-resource lands program. Questions from the Commissioners: • Chair Brown commented that a few items could be brought forward for discussion and noted the need to address discussions brought forward by ranchers. • Chair Baney agreed there were items that need to be adjusted. She also suggested the opportunity for discussion on medical hardship dwellings. • Commissioner Unger pointed out that Central Oregon issues are very different than those in the Willamette Valley. The issues should be reviewed and then framed for better discussion. He also commented that he has spoken with commissioners in other counties with issues regarding workforce housing and wonders how we can keep that in supply. Minutes of Joint Meeting — Board of Commissioners and Planning Commission Thursday, September 25, 2014 Page 4 of 6 Note: Commissioner DeBone was back in attendance at 7:00 p.m. • Discussion was also held on the possibility to create a new zone, during community discussions of resource land and non-resource lands. • Particular issues that can be taken on are medical housing and workforce housing. There is a need for reclassification of non-resource land. The other item is keeping in mind that agricultural land does not produce an income- generated stream for the majority. • Commissioner Powell sees five issues. The first one is the question of whether we are clear on our intention of what we want to do as a policy to replace the labeling of a property. The second is non-compatible uses within the farming community. The third is some sort of ancillary dwelling which would be helpful - is this something we can do to solve some of the issues to parcel out non resource areas on a farm? If so, should that dwelling revert if it doesn't fulfill the criteria? The fourth issue is water— if we change the zoning of an EFU parcel what should happen to the water? The fifth is tax deferral — people want to change their land but don't want to pay taxes on it. • Discussion was held on workforce housing and what is allowable. The State Code includes income guidelines, but one item to consider is the provision for relative farm help dwelling. • Nick Lelack commented on the policy objective and the need to correct mapping errors. • Commissioner Tunno asked for clarification on our intention, as our whole system started from the Valley perspective. We want the zoning codes to be in sync with the reality of what we have here. Could an overlay zone be made, such as EFU-NR overlay? Matt suggested it be a new zoning term. Commissioner Tunno commented on the medical hardship dwellings - we have a large number who have signed up in the military, and we know they will be coming back with medical hardships. We also have children who are medically handicapped and a long line of people who need housing. Our demographic says we need to allow housing structures to meet these human needs. She commented on the many new kinds of construction for mobile homes and the need to open our language to the architectural reality. Discussion was held on the problem with mobile homes creating "eyesores." • Vice Chair Palcic expressed concern about the allocation of staff time and resources and wondered if it is best to dedicate those to a higher need. He noted there are opportunities to enhance and create a better quality of life. He expressed his thanks to CDD for all of their hard work. Minutes of Joint Meeting — Board of Commissioners and Planning Commission Thursday, September 25, 2014 Page 5 of 6 • Commissioner Criss commented on workforce dwellings on farms or ranches. He feels there is opportunity to stress these concerns in Salem, since our conditions do not pertain to those in the Willamette Valley. • Commissioner DeBone sees opportunities for discussions on ancillary housing, mapping and any zoning issues. • Nick Lelack recapped that CDD will continue to review mapping areas and evaluate/review housing opportunities. We could make text amendments to the zoning to allow for medical hardships. We could also review the pilot projects and non-resource lands programs. Chair Brown asked for the staff requirements on all of these projects. Nick stated approximately 1.25 FTE for 12 — 24 months. V. BOARD/PLANNING COMMISSION/STAFF COMMENTS None. VI. ADJOURN There being no further discussion, Chair Baney adjourned the meeting at 8:00 p.m. Respectfully submitted, Sharon Ross Administrative Assistant DATED this Day of O 2014 for the Deschutes County Board of Commissioners. Tammy Baney, Chair CA�G�I Anthony De one, Vice Chair ATTEST SIGNATURES: (M- ' /7:00 Alan Unger, Commissioner Recording Secretary The video record of this meeting can be located at: htto://deschutes.granicus.comNiewPublisher.php?view id=5 Minutes of Joint Meeting — Board of Commissioners and Planning Commission Thursday, September 25, 2014 Page 6 of 6 ,TES . Community Development Department QPlanning Division Building Safety Division Environmental Health Division .,`;:. ... ;. ,#H l,'e ,M; 419.,IOC"%FIB a 117 NW Lafayette Avenue Bend Oregon 97701-1925 (541)388-6575 FAX (541)385-1764 http://www.co.deschutes.or.us/cdd/ AGENDA—JOINT MEETING/WORK SESSION BOARD OF COUNTY COMMISSIONERS AND DESCHUTES COUNTY PLANNING COMMISSION DESCHUTES SERVICES CENTER 1300 NW WALL STREET, BEND, OREGON, 97701 SEPTEMBER 25,2014—5:30 P.M. I. CALL TO ORDER Planning Commission/Staff: Approval of August 28, 2014 minutes Christen Brown•At Large(Chair) Hugh Palcic•At Large(Vice Chair) II. STATEWIDE PLANNING GOAL 11 (15 minutes) Ed Criss•South County Susan Tunno•Redmond ▪ DEQ Presentation James Powell Bend • Question and Answers with Staff Todd Turner Bend Steve Swisher♦Sisters III. ENDANGERED SPECIES ACT (30 minutes) Nick Lelack•Planning Director Federal Emergency Management Agency •• Oregon Spotted Frog • Sage Grouse • Question and Answers with Staff IV. AGRICULTURAL LANDS (1 hour, 15 minutes) • Staff Presentation • Question and Answers with Staff • Discussion and Next Steps Next Meeting: V. BOARD/PLANNING COMMISSION/STAFF COMMENTS October 9,2014,5:30 p.m. Deschutes Services Center 1300 NW Wall Street Bend,OR 97701 VI. ADJOURN NOTE: Items included in the packet for Planning Commission meetings can be located on the CDD website: www.co.deschutes.or.us/cdd. Click on the calendar for the date of the meeting in which you are interested. The meeting location is wheelchair accessible. Anyone who requires an auxiliary aid or service for effective communication, or a modification of policies or procedures to participate in a County program, service, or activity should contact the ADA Coordinator at 330-4640, as soon as possible but no later than 48 hours before the scheduled event. Quality Services Performed with Pride E S CO (Th Community Development Department Planning Division Building Safety Division Environmental Soils Division tom ., 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/cddi MEMORANDUM DATE: September 16, 2014 TO: Board of County Commissioners Deschutes County Planning Commissioners FROM: Nick Lelack, Director Peter Gutowsky, Principal Planner RE: September 25 Work Session This memorandum prepares the Board of County Commissioners (BOCC) and Deschutes County Planning Commission (PC) for its joint work session on September 25. As summarized below, the Community Development Department (CDD) will provide three updates on priority action items identified in the Planning Division's FY 2014/15 work plan. 1. Statewide Planning Goal 11 CDD and the Oregon Department of Environmental Quality (DEQ) will provide an update on the Goal 11 (Sewer) Exception for southern Deschutes County. Staff anticipates a draft burden of proof and map of the affected area to justify a Goal 11 exception will be available from Department of Land Conservation and Development (DLCD) and DEQ by the end of September. DEQ and DLCD are interested in then initiating a series of informal public meetings through February prior to commencing a formal Goal 11 exception application and public hearing process in Spring 2015. 2. Endangered Species Act Update National Flood Insurance Program and Endangered Species Act As a result of a 2010 settlement approved in federal court, the Federal Emergency Management Agency (FEMA) is consulting with National Marine Fisheries Service (NMFS) and drafting new rules for Oregon communities that participate in the National Flood Insurance Program (NFIP) and have waterways bearing salmon or steelhead.1 Background Jurisdictions and property owners across the state rely on NFIP, administered by FEMA. The NFIP sets building standards to minimize loss of life and property damage from floods. It also provides flood insurance not available through the private market. FEMA has been sued in several states, including Oregon, for failing to consult with NMFS or the U. S. Fish and Wildlife 1 http://www.oregon.gov/LCD/docs/Salmon%20Recovery%20through%20Floodplain%20Management.pdf Quality Services Performed with Pride Service (USFWS) when species listed as threatened or endangered under the federal Endangered Species Act (ESA) are affected by development in the Special Flood Hazard Area (SFHA), or "100-year floodplain." FEMA administers the NFIP in the SFHA and has an obligation under Section 7 of the ESA to implement its program so that listed species are not put at higher risk of extinction. Through the consultation process NMFS and FEMA must identify measures to ensure that implementation of the NFIP will not result in further loss of salmon and steelhead habitat. FEMA is presently working with NMFS on a biological opinion that would ensure that homes and other developments in these floodplain areas do not harm salmon and steelhead populations. This biological opinion would also give guidance to communities and potentially require them to adopt ordinances to address the ESA. Deschutes County is home to three populations of salmon and steelhead listed as threatened under ESA by NMFS and USFWS: spring chinook salmon, summer steelhead trout, and bull trout. Since 2007, Portland General Electric, Confederated Tribes of Warm Springs and Oregon Department of Fish and Wildlife have led the effort to reintroduce salmon and steelhead fry and smolts in Whychus Creek. According to the Assessor's Office, there are 167 lots in the rural county within 170 feet of Whychus Creek, Deschutes River or the Crooked River. Of these, 78 are developed with a residence. Bull Trout occupy the Deschutes River downstream from Big Falls and the Crooked River near the Rex Barber Bridge. Both areas contain incised canyons with development occurring beyond the rim. Big Falls naturally blocks bull trout from moving upstream into the Upper Deschutes River. The falls are approximately 1.5 miles downstream from Lower Bridge Road. Oregon Spotted Frog On August 28, the USFWS listed the Oregon Spotted Frog as a threatened species under the federal ESA. The final rule designating critical habitat is expected this fall. In Deschutes County, their proposed habitat extends along the Upper Deschutes and Little Deschutes rivers, terminating in Bend at the Old Mill. Table 1 identifies the number and acreage of tax lots affected by proposed critical habitat in rural Deschutes County and the Urban Growth Boundaries of Bend and La Pine. Table 1 -Proposed Critical Habitat for Oregon Spotted Frog/Affected Deschutes County Tax Lots Federal Properties Private Properties Total Acres of Jurisdiction Tax Lots Acres Tax Lots Acres Critical Habitat Bend UGB 0 0 49 23.75 23.75 La Pine UGB 0 0 91 135.05 135.05 Rural Deschutes County 35 1,222.32 1,563 4,509.16 5,731.48 Total 35 1222.32 1,703 4,667.96 5,890.28 At the present time, CDD does not anticipate that the federal listing will change the way Deschutes County regulates development in wetland or riparian areas. Regulations have been in place for over twenty-five years protecting wetlands and riparian habitat in the upper Deschutes River basin. A majority of the proposed critical habitat along the Upper Deschutes and Little Deschutes rivers is identified as wetlands on the County's Local and National Wetland Inventories. Along both rivers, a riparian setback of 100 feet is required, measured from ordinary high water. Excavation, grading, and fill and removal within the bed and banks of a stream or in a wetland require a conditional use permit in every County zone. -2- Sage-Grouse In April 2010, the USFWS determined that protection of the greater sage-grouse under the federal ESA was warranted. However, listing the greater sage-grouse was precluded at that time by the need to address other listings facing greater risk of extinction. The sage-grouse is now a candidate species for listing. As a cooperating agency, CDD continues to participate with the Bureau of Land Management (BLM), which last November released a draft programmatic Environmental Impact Statement (EIS)for federal land use and resource management plan (RMP) amendments to incorporate sage-grouse conservation measures in Central and Eastern Oregon. CDD is also participating with the Governor's Office, Sage- Grouse Conservation Partnership. This involves interagency and inter-stakeholder coordination on issues related to sagebrush and sage-grouse habitat conservation on non- federal lands. The State's goal is to demonstrate that listing the sage-grouse as a threatened or endangered species under the federal ESA is unnecessary. The Final EIS and Record of Decision (ROD) are scheduled for September 30, 2014. Sage-grouse habitat in Deschutes County is located in the southeast, near Millican, Brothers, and Hampton. Approximately 437,987 acres, 112,559 of which are on non-federal land, are designated as habitat by the Oregon Department of Fish and Wildlife. Ninety-eight percent (98%) is located in Exclusive Farm Use, Forest Use and Open Space and Conservation zoning. Ninety-six percent (96%) of sage-grouse habitat located on non- federal lands are within Deschutes County's Sensitive Bird and Mammal Habitat and Wildlife Area Combining Zones (sage-grouse, antelope, and deer winter ranges). 3. Agricultural Lands Program Attached with this memorandum are two matrices. Both summarize the prominent land use issues captured from CDD's agricultural lands public outreach program and organize them into two categories: • Comprehensive Plan and Zoning Text Amendments, or • State Legislation Required The first matrix is a reference guide with a complexity rating of each land use issue and an approximate timeline for completion (Attachment 1). The second matrix provides additional information on each land use issue (Attachment 2). Background The BOCC directed CDD to conduct a public outreach campaign to understand community, stakeholder, and landowner opinions about Deschutes County's agricultural lands program, including farm designations and land uses. Last May, the Planning Division conducted six community conversations throughout the county. A final report summarizing the results was released in preparation of a joint BOCC and PC work session on June 26, 2014.2 At the work session, the BOCC and PC directed staff to reevaluate the prominent land use issues to understand how they might be implemented. Attachments: Matrix(1): Agricultural Lands Public Outreach Program / Reference Guide Matrix(2): Agricultural Lands Public Outreach Program /Background 2 www.deschutes.org/CDDPIanProcess -3- m • 2 c O C ro 0 v c w in o n >. a C 3 '' i ea •a ro i s = O 0 L p c C N 'C. N C m 'O •3 -` u _� +n to C O u C dj a- m O) a v u . 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