Approved Minutes - 2011-08-22City of Lake Oswego Planning Commission
Minutes of August 22, 2011 Page 1 of 7
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CITY OF LAKE OSWEGO
Planning Commission Minutes
August 22, 2011
1. CALL TO ORDER
Chair Jon Gustafson called the Planning Commission meeting of August 22, 2011, to
order at 6:30 p.m. in the Council Chambers of City Hall at 380 “A” Avenue, Lake
Oswego, Oregon.
2. ROLL CALL
Members present were Chair Jon Gustafson, Vice Chair Puja Bhutani and
Commissioners Bill Gaar, Julia Glisson, Jim Johnson and Todd Prager. Commissioner
Russell Jones was excused.
Staff present were Dennis Egner, Assistant Planning Director; David Powell, City
Attorney and Iris McCaleb, Administrative Support.
3. COUNCIL UPDATE
Staff reported that the Council was in recess during the month of August.
4. CITIZEN COMMENT
None.
5. MINUTES
5.1 April 25, 2011
Vice Chair Bhutani moved to approve the Minutes of April 25, 2011. Commissioner
Glisson seconded the motion and it passed 4:0:2. Commissioner Gaar abstained and
Commissioner Johnson recused.
5.2 May 9, 2011
Commissioner Johnson moved to approve the Minutes of May 9, 2011. Commissioner
Prager seconded the motion and it passed 5:0:1. Commissioner Gaar abstained.
5.3 May 23, 2011
Commissioner Johnson moved to approve the Minutes of May 23, 2011. Vice Chair
Bhutani seconded the motion and it passed 5:0:1. Commissioner Gaar abstained.
City of Lake Oswego Planning Commission
Minutes of August 22, 2011 Page 2 of 7
6. WORK SESSIONS
6.1 Lake Grove Village Center (LGVC) Financing Strategy (PP 09-0019) and Upcoming
LGVC Amendments.
Assistant Planning Director Denny Egner reviewed the report. He explained that the
financing study would determine the cost and assess the sustainability of each project
and identify feasible financing strategies. He indicated that two consulting firms had
responded to the Request for Proposal (RFP) and emphasized the importance of timing.
He said the City would need to have an urban renewal district in place by September
2012 to benefit from the increased value of the shopping center and Starbucks
developments. During the discussion the Commissioners wanted to know if the
consultants felt the time frame was workable and why there had only been two
responses to the RFP. Mr. Egner noted the responding firms proposed to finish the
project in December or January. He clarified that the City had advertised in the Daily
Journal of Commerce and sent the RFP to five other firms that did this type of work.
Both of the responding firms had experience working with the City. The Commissioners
discussed the scope of work. They questioned how necessary it was to have the
consultant prioritize projects and were concerned that some high-rated sustainability
projects might not be good catalyst projects. Staff anticipated the professionals would
know from their experience which types of projects served as catalysts for private
development. Commissioner Prager suggested offering incentives for developing sites
like the pearls in the String of Pearls. Mr. Egner recalled that street and parking
improvements had served as incentives for private redevelopment Downtown. He was
expecting that to happen in Lake Grove too. Commissioner Glisson advised the Plan did
call for using incentives and that the RFP called for the consultant to meet with
developers and redevelopment experts to gauge their opinions on which of the projects
would have the most impact on private investment. The Commissioners suggested also
talking to stakeholders, including the local business association and neighborhood
associations. They indicated that existing property owners could give the consultant a
sense of what they might do, given the opportunity.
Public Comment
Jack Lundeen, 4040 Douglas Way, President of the Lake Grove Business Association,
thanked the City for taking Lake Grove development seriously and moving the process
forward. Mr. Lundeen reported the executive group wanted the City to “keep it simple”
and that they expected redevelopment to happen incrementally – lot by lot- as
opportunities arose for the owners. They believed that if the financing study spent a lot
of time trying to prioritize projects into a grand plan it would never get done. They used
Boones Ferry Road improvements as an example, that it was such a “big ticket” item
that if it was to be the catalyst for redevelopment it would take much too long. Mr.
Lundeen observed that in the “real world” one could not prioritize what was going to
happen in what order and when. He said the Association was asking for better cost
estimates and a pallet of financing tools, they understood that different tools would work
for different kinds of projects and they wanted to know which would work when
opportunities similar to the shopping center redevelopment or conversion of Kentucky
Fried Chicken to Starbucks came up. They also wanted to know which types of
financing might provide funding now versus down the road. During the questioning
period, Mr. Lundeen was asked how the City would know which project to work on if
there was no prioritization. He responded that when an owner decided to renovate a
property that would inform what projects were to be done. He did not believe every
owner could be convinced right now to agree to a parking lot, a pearl or a sidewalk in a
particular spot. He said opportunity should be allowed to flower.
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Chuck O’Leary, Palisades Terrace. Drive, President and Interim Chief Executive Officer
of the Lake Oswego Chamber of Commerce, and owner of 16325 Boones Ferry Road
(Lake Grove Building) said the Chamber placed high priority on moving the process
forward and giving Lake Grove the same level of attention Downtown had received. He
asked the City to adhere to Mr. Egner’s recommended timetable so there would be no
delay.
Caroline Krebs, questioned spending the time and money to have the consultant gauge
developer opinions, identify catalyst projects and prioritize projects. She recalled that
the Lake Grove Village Center implementation group had already assigned low, medium
and high priority to each Plan project and she noted that substantial redevelopment had
already occurred at the site of the Lake Grove Market without any catalyst projects
listed. She observed that it was moving forward despite the fact the nearby intersection
had not been significantly improved. She held the factors that influenced a property
owner to go forward were too complex for the rudimentary determinations to be done in
the study. Ms. Krebs also questioned whether the proposed public process was
sufficient and whether it met the stated policies in the Plan. She indicated that the
policies called for an extensive, neutral and thorough public review and they called for
giving funding priority to public improvements that would serve existing businesses and
leverage private investment. She held a review by the Planning Commission was not
enough opportunity for public input and she pointed out that the Plan specifically called
for soliciting ideas from stakeholders, including residents, businesses and property
owners. She asked when their opinions would be gauged and noted that the RFP did
not talk about that. Ms. Krebs noted that abutting residents would be impacted by Lake
Grove Village Center development. She explained that “creating leverage” was creating
ways to work collaboratively as opportunities arose for owners wishing to redevelop.
She said for example during the Oakridge Senior Housing project approval process a
site between that project and the post office had been identified as a good location for
public parking. She observed that those kinds of opportunities would come up and that
City Hall should be constantly proactively looking for them.
During the questioning period, Mr. Egner clarified that there were to be at least two more
points in the process when the consultants would discuss the project with the
Commission and public comment would be solicited. Ms. Krebs held the consultant
should go to the stakeholders because it was their Plan, they were the residents,
businesses and property owners (who may become developers). Commissioner
Johnson questioned spending money to talk with developers to find out how to set
priorities when the planning process had already settled on priorities. Ms. Krebs
advocated using the consultants to identify which funding mechanisms could be used in
concert with the priority projects that had already been identified by stakeholders. Vice
Chair Bhutani and Commissioner Glisson suggested it would be useful to talk to
developers too to identify what kinds of catalyst projects were marketable and could get
financing, that the reality was those projects would rise in priority no matter what the
neighborhood wanted to see happen first. Ms. Krebs advised the sustainability filter had
to be better vetted in the community. She questioned how it could be used to decide
whether it made more sense to install a sidewalk on Douglas Way or on Firwood Road.
She wanted to see bricks and mortar soon.
Ken Sandblast, 4 Falstaff St., who had chaired the Lake Grove Village Center Plan
Implementation Advisory Committee, observed that there was already redevelopment
activity happening in the district and the City should do everything possible to capture its
value. He discounted the result of spending public money to talk to developers or
neighborhoods and prioritize projects because it would be a “snapshot” that would not
really matter. He indicated that what would matter was that the City had created the
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right environment; had more accurate cost figures; understood applicable funding
mechanisms; and was ready to collaborate when a business or property owner decided
to do something. He pointed out the Plan listed funding mechanisms to be explored. He
clarified that the financing study would equate the adopted Plan and its project list with
funding mechanisms and provide updated cost figures. He noted Plan Action Measures
prioritized addressing the parking supply and that once a business or property owner
wanted to do something the City should be ready to collaborate with them regarding
parking. He talked about applying the sustainability filter and recalled it had been a
challenge to apply it to roadway questions related to sidewalk width or the median, he
noted that the corridor committee had gravitated away from that. He cautioned against
letting the process get bogged down trying to apply the filter to the specifics of the
roadway. Mr. Sandblast related that the Lake Grove Business Association was in the
process of surveying membership and would provide very specific answers about their
priorities. He discussed the issue of adequate public input and advised against pushing
for a tax increment financing district without a substantial amount of citizen involvement.
He observed that the shopping center property owners chose to remodel the center
despite the current economic climate. He reported the business association wanted the
process to stay focused and not “wander around.” He stressed the importance to the
Council and to Metro of finding out what the district would cost.
Mike Buck, Gubanks, 16008 Boones Ferry Road, concurred with the previous comments
about the process. He said the priorities were already known and recalled the City
Manager and the heads of the Engineering and Planning Divisions had walked a mile of
Boones Ferry Road with representatives of the neighborhoods and the business
association. He said he concurred with the priorities set out in Exhibit B, including
parking, access management, the need for intersections and the need for pedestrian
accessibility. Mr. Buck said the next steps were to involve the public in order to dissipate
fears and then find the means to construct the district. He indicated that Lake Grove
wanted to see its tax money returned as investment in Lake Grove.
Chair Gustafson asked how the Commissioners felt about the proposed time frame and
the proposed public process. He asked how to “keep it simple.” Mr. Egner observed
this was not a brand new planning effort, that many aspects were already in place,
including the set of projects. He indicated that the City needed to find out what tools
were available to finance the projects and cautioned that the process should not get
distracted looking at new projects. He said if the Council decided to move forward with
an urban renewal plan it might consider using incentives to leverage certain projects. He
wanted to ensure adequate public involvement and was open to adding more
opportunities for that, but for the most part the people who would be interested and want
to participate were already involved. Mr. Egner explained that the City could conduct
outreach to the shopping center owners, existing businesses, and the developers who
had redeveloped Downtown. He observed it was not too late to ask the two consulting
firms that had responded to the RFP if they could do that for the same amount. He
indicated that both firms were very familiar with Lake Oswego and that was a big
advantage. Commissioner Gaar agreed the consultants should start with what the City
knew now and talk with the stakeholders in the area, but he noted that professionals
would also reach out to their contacts across the country.
Commissioner Prager agreed it would be important to take advantage of opportunities as
they came up, that it was also important to talk to developers to get ideas regarding what
strategies stimulated development. He indicated that stimulating private development
was the right approach and public/private partnerships would be important. He
assumed that the results of past surveys and the Plan’s priorities were the results of past
public outreach and that information should be reviewed as well. He advised the right
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approach would also apply the sustainability filter, that it could be tailored for the project
so it would work.
Staff explained that the RFP Task 1 called for the consultants to prioritize plan projects.
Commissioner Glisson asked that they take the priority list generated by the
implementation committee very seriously. She suggested adding more stakeholder
involvement activity that could include talking to the implementation committee and local
businesses who wanted to be involved and had ideas about what they would do in the
future. She agreed with the comments about creating the right environment for
redevelopment. She advised the City to be prepared to adapt to a changing
environment and not to simply complete the study, put a funding mechanism in place
and leave it at that. She indicated the City needed to keep watching for opportunities as
they arose. Commissioner Johnson observed the Plan had been in place for three
years. He saw a need to keep the pressure on so it would actually happen. He said
sustainability could be used as a filter, but it would be one of many types of filters and
not the deciding filter. He indicated that Plan priorities should be considered the focus
and the highest filter and that sustainability could be used to make a decision when
alternatives “a” and “b” were equal. Vice Chair Bhutani observed the cost study would
estimate the tangible aspect of the project and that the trick was to make that work with
the intangible aspect of opportunities and what was happening on the ground. She
indicated that stakeholder input was needed to bring them together. Chair Gustafson
observed the comments indicated the Commissioners were all generally going in the
same direction and that should help the staff. He said it was disappointing to hear that
the stakeholders who had come to comment did not think the proposed funding study
would be a catalyst that would spur redevelopment that would not happen otherwise. He
favored the concept of the City collaborating with developers as a project came forward.
He commented that if development was going to happen on its own the City would be
there to cooperate and encourage it and that was that kind of environment that would
help spur redevelopment.
Code Amendments
Mr. Egner explained that the staff report offered two sets of potential code amendments,
the first was the set of implementation amendments recommended by the Boones Ferry
Road Corridor Project Advisory Committee (PAC) to implement the district and the
second set was a list of items current planners recommended be addressed because
they created problems during development review. Mr. Egner added an item to the
development review list to allow staff brokering of shared access/connectivity. Chair
Gustafson observed a consensus to move the roadway-related amendments forward
and address the other set in a separate process. Mr. Egner noted possible exceptions
to the timing decision might be a couple of current planning amendments that might be
more urgent: an amendment to clarify that specialty food stores (such as coffee shops)
could not be drive-through and an amendment to clarify open space standards. During
the discussion the Commissioners questioned staff’s suggestions to combine the three
Village Transition Areas (VTAs) and to amend the architectural styles section. Staff
indicated they had found that VTAs were hard to explain to developers and property
owners. They explained that putting the most clear and objective architectural standards
in the code and illustrating discretionary ones in the handbook would help applicants and
the Development Review Commission (DRC) understand what was required and what
was discretionary. Commissioner Glisson recalled the VTAs had been arrived at after
the advisory committee had looked at specific sites and negotiated with property owners.
She recalled the purpose of the design handbook was to illustrate what the code
expected. She advised staff to be proactive and talk to the stakeholders before they
fashioned the related amendments. Commissioner Johnson was concerned that so
many amendments would change the Plan itself. Mr. Egner recalled the infill code had
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Minutes of August 22, 2011 Page 6 of 7
been adjusted after a few years of use. Commissioner Gaar asked staff to invite the
Natural Resources Advisory Board to comment on potential open space and tree
protection changes before they proposed related amendments. Commissioner Prager
cautioned staff against completely eliminating architectural styles, that there could be
both requirements for design elements and requirements related to architectural styles.
He recalled other green street projects that did not transition well to adjacent land. He
said the City should be obligated to do more than complete its project and walk away,
leaving nonconforming adjacent sites. Mr. Egner indicated that the Boones Ferry Road
PAC had also been concerned about that and the City would negotiate with adjacent
land owners so the land would not be left nonconforming.
Chair Gustafson invited another round of citizen comments. Ms. Krebs thanked
Commissioner Glisson for raising the VTA issue. She advised a VTA change would be
very controversial. She agreed the two different sets of amendments should be dealt
with separately and she stressed that staff should consult stakeholders and that
development review related amendments should be vetted in a public process. She was
concerned that the staff suggestion regarding architectural design standards could
muddy and complicate the standards. Mr. Sandblast pointed out that the letter from the
Lake Grove Business Association urged the City to go forward by focusing on financing
and necessary plan amendments this fall and letting a consensus regarding needed
development code amendments develop separately until Commission hearings next
spring. Until then he encouraged all stakeholders to come up with their “top ten”
amendments lists. Mr. Buck did not support modifying VTAs. He agreed the Boones
Ferry Road PAC amendments should go forward right away, but not the development
review list. Commissioner Glisson stressed the process needed to include the
stakeholders. Chair Gustafson observed a consensus to address each list separately.
He appreciated that staff had flagged the development review issues in a public setting
to alert everyone.
7. OTHER BUSINESS – PLANNING COMMISSION
7.1 Review of the City Council decision regarding the zoning overlay for the Industrial Park
(IP) District (LU 10-0042)
Chair Gustafson had asked staff to update the Commissioners on the changes the
Council had made to the version of the ordinance the Commission had recommended.
Mr. Egner distributed copies of the latest draft of Ordinance 2561 (revised 06/24/11),
which reflected the changes. He reported that the Council was scheduled to vote on it in
September, that they had expanded the list of uses and that new uses would be allowed
in new buildings as well as existing buildings. He explained that the Council decided to
allow Commercial self-storage facilities and that since they were already subject to a
maximum FAR of 1 there could not be a minimum FAR of 1.5. He said the Council
wanted any commercial self-storage use in the district to be an intense use so a small
facility did not waste its site and the facilities would not be subject to a maximum Floor
Area Ratio, but their size would be affected by height, lot coverage and the size of the
parcel. He clarified that basically they would have to be three-story buildings.
Commissioner Glisson was concerned the end result of the commercial self-storage
changes would be a “massive box.”
8. OTHER BUSINESS – COMMISSION FOR CITIZEN INVOLVEMENT
Commissioner Johnson offered to step down as the Commission representative on the
Comprehensive Plan Update Citizens Advisory Committee (CAC). He indicated that
because his work involved travel, he was unable to attend all meetings. The
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Commissioners asked him to stay and agreed that if he missed a CAC meeting
Commissioner Gaar could report to the Commission since he also served on the CAC as
the representative to the Natural Resources Advisory Board.
9. SCHEDULE REVIEW
Commissioner Johnson reported that he had been asked to attend the joint
Sustainability Advisory Board/Natural Resources Advisory Board meeting regarding
Luscher Farm planning as a Department of Agriculture land use expert – not as a
Planning Commissioner and when asked he had expressed his personal opinion that the
Farm was so large it should be treated as a district and not an individual park plan. He
reported that both boards believed the plan should be reviewed by the Commission
because there were policy-related questions to be considered, such as how what
happened to the Farm influenced what happened in the Stafford basin. Chair Gustafson
noted that Commissioner Jones’ opinions had been published in the newspaper. He
said it was important for the Commissioners to find out what their role in the process was
in the event the Farm plan came to the Commission for review. He asked staff to find
out. Mr. Egner explained that almost all of the Farm was outside City limits and all of it,
but the playing fields, were outside the Urban Growth Boundary and that the Community
Development Code did not apply there and no conditional use review was required. He
indicated that Parks & Recreation Advisory Board would recommend a master plan to be
adopted by the City Council. Commissioner Johnson observed the Farm was very large
and impacted multiple properties with multiple land uses at its edges. He held it was
irresponsible not to deal with that impact. Commissioner Gaar observed the process
was “upside-down” and not a good decision making process even if a formal process
was not required.
10. ADJOURNMENT
There being no further business Chair Gustafson adjourned the meeting at 9:00 p.m.
Respectfully submitted,
Iris McCaleb /s/
Iris McCaleb
Administrative Support