City Council Draft Agenda

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Meeting Date: 06/06/2023  
From: Tiffany Antol, Zoning Code Manager

Consideration and Possible Adoption of Resolution No. 2023-24: A resolution authorizing the execution of the Northern Arizona Healthcare (NAH) Health Village Development Agreement between NAH and the City of Flagstaff, related to the development of approximately 172.62 acres of real property generally located at 1120 W. Purple Sage Trail. 
1) Read Resolution No. 2023-24 by title only
2) City Clerk reads Resolution No. 2023-24 by title only (if approved above)
3) Adopt Resolution No.2023-24
Executive Summary:
State law allows the City to enter into development agreements by resolution.  The proposed agreement governs the terms and conditions for the development of the property including fire protection and required infrastructure improvements (water, sewer, drainage, transportation).  It also highlights community benefits such as a commitment to affordable housing, outdoor lighting, sustainability provisions, private shuttle service, visioning for the legacy campus, open space access, recreation amenities, and heritage preservation.
Financial Impact:
NAH is responsible for paying for the mitigation of all the project's infrastructure impacts, including transportation, water, sewer, and stormwater impacts.

A Community Risk Assessment and Standards of Cover Analysis for the proposed project recommends that a fully staffed ladder company be relocated to Fire Station #6 located on Lake Mary Road.  The existing fire station is unable to accommodate the required equipment and a new station is required.  The City of Flagstaff currently needs the fully staffed ladder company, independent of the proposed NAH project, and will incur the costs of personnel and equipment necessary to fulfill this need.  For efficiency purposes, the City desires to build a new fire station to jointly house existing Fire Station #6 and the new ladder company.  The City, therefore, will split the cost of a new fire station with NAH as their development requires the relocation of existing equipment within the city. The one time capital costs of relocating the fire station are estimated between $8 and $10 million in total.  The ongoing staffing costs are estimated at $1.4 million annually.  The City hopes to pursue a grant that could cover the staffing costs for the first three years of service.
Policy Impact:
There are no policy impacts identified as part of this request.
Connection to PBB Priorities/Objectives, Carbon Neutrality Plan & Regional Plan:
Priority Based Budget Key Community Priorities & Objectives
Foster a safe, secure, and healthy community.
Deliver outstanding services to residents through a healthy, well maintained infrastructure system.
Grow and strengthen a more robust, diverse, and resilient economy.

Carbon Neutrality Plan
Ensure all mitigation actions improve Flagstaff's ability to adapt to the future.
Encourage vibrancy, appropriate density, and attainability in existing neighborhoods so that more residents can live within walking distance to their daily needs.
Create inclusive networks for walking and biking that are continuous, attractive, safe, comprehensive, and convenient for people of all ages.
Encourage Flagstaff residents and visitors to walk, bike, roll and take the bus.
Invest in comprehensive and equitable transit.
Increase renewable energy installations and usage in new buildings.
Support solar installations on existing residential and commercial buildings.
Encourage new buildings to rely on the electric grid as their main energy source.

Regional Plan
A complete analysis of the Regional Plan goals and policies can be found in the attached Planning & Zoning Commission report.
Has There Been Previous Council Decision on This:
There have been no previous Council decisions on this Development Agreement.
Options and Alternatives:
  1. The City Council may approve the Development Agreement as presented.
  2. The City Council may approve the Development Agreement with additional, modified, or deleted terms.
  3. The City Council may remand the Development Agreement back to staff for additional negotiations with the applicant.
  4. The City Council may deny the Development Agreement.
A detailed background of this project was included with the Specific Plan and Concept Zoning Map Amendment reports.
Key Considerations:
Open Space
  • Land Use Areas 1a and 1b will be open to the general public subject to an access easement attached as Exhibit "B".
  • Land Use Area 1b (Wellness Retreat) will include an outdoor fitness loop with equipment and/or small active fitness court or outdoor gym.
  • NAH is responsible for maintaining Land Use Areas 1a and 1b except for the existing FUTS.
Residential Density
  • The Health Village will include no less than 315 dwelling units if approved by the City.
  • At least 10% (32) of those dwelling units will qualify as Category 1 - Permanent Affordability as defined in the Zoning Code.
  • No residential unit will be leased for less than 30 days, except for up to 35 units which may be used for traveling or other medical employees.
  • The building will be designed to perform in the top 25th percentile (Energy 75 or higher) and will be required to demonstrate first year performance within the top 25th percentile based on an initial annual energy performance report.
  • All buildings shall use best practices in high performance design including a vacuum waste system, electric baseline heating, and mechanical equipment efficiencies that comply with ASHRAE 189.1.
  • Site planning and/or architectural planning shall require accommodation for portions of the Project and its buildings to receive future solar panel arrays. NAH will install solar panels over no less than 40% of the parking garage rooftop within 18 months of certificate of occupancy.
  • NAH will join the APS Green Connect Partner program.
  • NAH will install 24 EV charging stations (including 4 level 3, fast-charging stations).  NAH will evaluate usage of the EV charging stations every 6 months and upon 80% usuage, NAH will install an additional 20 EV charging stations.
  • To the extent feasible, NAH will incorporate BlockLite blocks produced using carbon capture technologies.
Outdoor Lighting
  • Glass on the western side of patient towers shall have maximum visible light transmittance of 30% and maximum exterior visible light reflectance of 7%.
  • Patient rooms on the western face of patient towers shall include exterior, building-mounted shading devices designed to limit light spill at night.
  • All west facing glazing (non-patient rooms) shall include black-out shades connected to an automated mechanism that will close the shades in the evening.
  • The west patient tower stairwell shall include occupancy sensors that will enable the lighting level to be reduced by up to 50% when no occupants are present in the stairwell.  
  • The emergency room entry area (porte cochere) shall be shielded or enclosed on its western edge to reduce light spillage toward the west.
  • The exterior emergency room entry area (porte cochere) shall include motion activated sensors that will enable the lighting level to be reduced when not in use. 
  • NAH will provide the Naval Observatory with scientific research to define the information for appropriate CRI indexes in healthcare environments.
  • NAH will provide the Naval Observatory with the light spectrum breakdown of the visible light transmittance characteristics of the glazing used by NAH in the Project.
  • NAH will incorporate educational material in patient rooms and along the spaces and staircases on the west end of the tower.

Private Shuttle Service
  • NAH will continue their current program of providing point-to-point shuttle service for low-income persons and/or persons with mobility needs from the regional hospital to Flagstaff Shelter Services facilities and other locations at no cost to riders.
  • NAH will continue their current program of coordinating shuttle service for low-income persons and/or persons with mobility needs through private providers at no cost to riders.
  • NAH will provide new 30-minute peak hour shuttle service during operation hours when the ACC opens.  Upon the opening of the Hospital, they will provide 20-minute peak hour shuttle service.  Shuttle service will be provided during Mountain Line's hours of operation, between the hospital and one or more connections to Mountain Line, open to everyone free of charge.
Fire Protection Capital Requirements
  • NAH will be responsible for 50% of the capital costs (including land acquisition) associated with constructing a new fire station.
Legacy Campus
  • NAH will coordinate a public participation and planning process in conjunction with the community to develop a Vision Plan for the legacy campus. 
  • NAH retains the right to develop the existing campus under current zoning entitlements (High Density Residential) without additional public participation.
Water & Sewer Improvements
  • Extension of a 16 inch water line from Fort Tuthill to University Heights.
  • Provision of additional water storage.
  • Sewer reimbursement to Coconino County.
Transportation Improvements
  • On site improvements (portion of Woody Mountain Road, Beulah Boulevard, and Purple Sage Trail) include curb, gutter, sidewalks, pedestrian ways, multi-modal paths, FUTS trails, bicycle ways, medians, and turn lanes. 
  • Off site improvements that include the widening of Beulah Boulevard from University Heights Drive N/Lake Mary Road to JW Powell Boulevard to a 4-lane cross-section with 10-foot FUTS and 5-foot parkway on the west side, buffered bicycle lanes, a median, drainage improvements, and curb and gutter on the east side.
  • Intersection improvements to Beulah and McConnell Drive, Beulah and University Heights Drive N/Lake Mary Road, Beulah Boulevard and University Heights Drive S, Beulah Boulevard and Mountain Dell Road, Beulah Boulevard and Fairgrounds Road, and Beulah Boulevard and JW Powell Boulevard.
Community Involvement:
Inform.  This Development Agreement was noticed to the public as is required in the Zoning Code.  
Res. 2023-24
Development Agreement (Clean)
Development Agreement (Redline of Changes since 5-16-23)
Exhibit A
Exhibit B


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