COUNTY OF ALBEMARLE

EXECUTIVE SUMMARY

BACKGROUND: 

On June 13, 2007, the Board of Supervisors reviewed the HTC A-1 requests for rezoning and a special use permit, held a public hearing, and deferred action so that the project could be considered in conjunction with the review of HTC A-2.  They scheduled a worksession for August 8 to discuss phasing of HTC A-1 (all commercial) with HTC A-2 (mixed residential and commercial).  They discussed with the applicant bringing in a phasing plan for A-1 and A-2 together to ensure that residential units as well as commercial square footage is constructed in the overall Area A.

On July 24, 2007, the Planning Commission held a public hearing on the request for HTC A-2.  At that meeting, staff said the applicant had worked with staff more on some of the issues raised in the staff report.  Regarding VDOT’s comments on the need to widen Meeting Street, after looking more at the Places 29 recommendations, staff agrees and believes it should be widened to four lanes through a design that provides two lanes divided with a median and bike lanes.  The applicant agreed to make this change.  Staff told the commission that the applicant said he will commit to complete roads within a year of ZMA approval, rather than only bond their completion.  The applicant clarified that they intend to provide 20% affordable housing and do not want the option to “cash out” of this proffer.  They said that an agreement with ACSA will be in place before the BOS hearing.   The applicant said he would change the general plan of development to provide an area to accommodate the landscaping that will be required by the ARB. They also agreed to make other necessary changes to the Code of Development and proffers. 

The Commission discussed the proposal and several members were not comfortable voting on the proposal because of a lack of information available before the hearing.  However, on a vote of 4:3, the Commission recommended approval subject to the following:

1. Provide cash proffers in an acceptable form as outlined by staff.  The cost of the impact is expected to be $11,853,200;
2. Provide credits of $1,575,000, bringing the total cash proffer for impacts to $10, 278,200; 
3. Make all other proffer changes identified by staff as having been verbally agreed to by the applicant;
4. Provide phasing in the proffers, to be approved by staff;
5. Include all other proffers that exist in Exhibit F to the staff report; 
6. Provide an erosion and sediment control proffer similar to, but not less than the one approved for Area A-1 indicating the amount of area that can be disturbed at any given time;
7. Commit that all mixed use buildings will be LEED certified.  The Commission does not support the LEED certification as a credit.  
8. Make the following changes:

·         Take out the cash buyout in the affordable housing proffer;

·         Change the proffer for completing Meeting Street and Town Center so that they are not bonded for completion but will be completed within a year of approval of the rezoning;

·         Clarify the proffers regarding the community park;

·         Clarify the amount of land proffered for the recycling center;

·         Amend the Code to reflect changes identified by staff;

·         Change the application plan to show the required cross sections or design for Meeting Street south of Town Center Drive.

Thirteen waiver requests for HTC A-2 were also approved or recommended for approval with the conditions outlined in the staff report, by a vote of 4:3.

DISCUSSION:

Because of the short period of time between the Commission meeting and the Board worksession, the applicant has not had time to resolve the outstanding issues identified by the Planning Commission and staff for Area A-2.  The applicant has, however, agreed to make all of the changes requested by the Commission and staff, with the exception of providing phasing between Phase 1 and Phase 2.  There also remain questions on the proffer values which will impact the expected amount of cash proffers.  These two subjects are the focus of the Board of Supervisors’ worksession.

Phasing

The proffers for Area A-2 provide for phasing within A-2.  In the proffers, the applicant commits to apply for building permits for at least 100 dwellings prior to receiving a building permit for any commercial, office, or hotel area in the development.  He has also committed to construct at least 600 dwelling units before applying for a building permit for more than 200,000 square feet of commercial, office and hotel area. 

While the phasing within Area A-2 was acceptable to staff, the staff offered the following phasing concept to the applicant as a starting point for discussing phasing between A-1 and A-2.

*The 80,000 sq. ft. hotel is not included in the A-2 acreage

The applicant has explained to staff that areas A-1 and A-2 are such different types of projects that he is reluctant to tie them together.  The applicant has not, as of yet, made any offer to phase Area A-1 with Area A-2 and prefers to speak directly with the Board on this issue.

Proffer Value

The applicant’s proffers (see Attachment C of the staff report dated July 24, 2007, revised July 31, 2007) indicate that he would like credit for open space and a greenway, a community park, a recycling center site, Rt. 29 improvements, a sanitary sewer line extension, expansion of Meeting Street, and expansion of Town Center Drive.  He said he would like credit for doing a Neighborhood Model, mixed-use development as well as credit for each residential unit that achieves Energy Star or LEED designation.  Staff’s analysis of the proffer values from the staff report has changed since having discussions with the applicant.  Current values are estimated as follows:

1. Open space and greenway – The open space and greenway are shown in the County’s Land Use Plan and the Assessor’s office has given the land a value of $125,000 per acre, even though it is in stream buffer and steep slopes.  The 7.6 acres at this value equals $950,000.
2. Linear park (called “community park” in the proffers) – The County’s Land Use Plan contains this element in the Hollymead Town Center section.  Although the applicant believes that the 1 acre park should be credited at $125,000, staff does not recommend that it be given credit because it helps to provide for amenity area in the development, which otherwise would have had to be provided.
3. Recycling center site – Although not clearly articulated in the proffers, the applicant plans to provide up to 3 acres for a recycling center which would sit on a 35,000 sq. ft. pad.  The applicant would like to be given credit of $125,000 per acre for a value of $375,000.
4. Rt. 29 infrastructure improvements – The applicant believes he should be given credit for his pro-rata share of the improvements which have already been constructed.  Staff believes that each rezoning stands on its own and that the proffers were already credited to HTC Area B in a previous rezoning. 
5. Sanitary Sewer line extension – The applicant believes he should be credited for his pro-rata share of an extension of a 10’ sewer line for Area A and the Airport which occurred in 1992. The ACSA indicates that this sewer project was funded, in large part, through an FAA grant.  The owner of the HTC land at that time was the contractor who installed the 10’ sewer line.  The ACSA says that it was very likely that the cost to extend the line was in excess of the FAA grant; however, ASCA does not have any records of the non-airport cost. 

The applicant has said that $2,000,000 was spent in this sewer extension project and that his pro-rata share of this expense should be credited as $650,000.  Because the extension was made 15 years ago and because staff has not seen any documentation indicating the full cost to extend the line, staff cannot support credit being given for this item.

6. Expansion of Meeting Street and Town Center Drive – Staff has re-reviewed these proffers and now believes they can be credited $250,000, especially with the offer to make Meeting Street 4-lanes.
7. Mixed use and Neighborhood Model development – Staff notes that the Board of Supervisors have said that these two things are expectations, so no additional credit would be given for meeting these criteria.
8. Green building credit – The applicant requested a reduction of 5% of the per unit value for each unit if he achieved LEED or Energy Star Designation.  There was no distinct proffer to achieve LEED or Energy Star on any or all buildings.  The applicant told the Commission that each mixed-use building would be LEED certified; however, the Commission did not believe credit should be given for LEED since it was a goal of the County’s.  Since the Commission meeting, the applicant has clarified that he plans to proffer that the shell of all mixed-use buildings will achieve LEED certification.

Using this information, the following credits would be given:

$950,000 for 7.6 acres of greenway dedication (at $125,000/acre)

$375,000 for 3 acres for a recycling center

$250,000 for oversizing a portion of Meeting St. and Town Center Dr.

$1,575,000 - total

The cash proffer expectation (revised from PC Meeting of 7/24/07)

Cash proffer expectation (revised to account for 20% affordability proffer clarification): $12,054,200

Value of proffers:                                                                                                          1,575,000

Remaining proffer expected:                                                                                     $10,479,200

Although the applicant has indicated that he will pay the per unit cash amount, which equates roughly to $10,715/unit, staff believes the Board of Supervisors should discuss the credits to see if it agrees with staff’s analysis.

RECOMMENDATIONS: 

Staff recommends that the Board of Supervisors discuss the credits provided by staff to arrive at a per-unit amount for the applicant to proffer.  Staff also recommends that the Board discuss with the applicant its expectations for phasing, in anticipation of the September 12, 2007 Board Hearing.

View PC actions letter HTC A-2

View Planning Staff Report A-2 (Revised July 31)

View PC actions letter for HTC A-1

View June 13 Exec Summary on HTC A1

View June 13 staff report on HTC A1

Planning Commission minutes of March 14, 2006, December 5, 2006, March 6, 2007, April 3, 2007, May 22, 2007,

July 24, 2007,

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