Town Staff Victorious in Council Passage Of EEZ Pre-Grading Approval

Unanimous blading approval

The Oro Valley Town Council unanimously approved "pre-grading" land located in the town's Economic Expansion Zones ("EEZ"). The resolution, proposed and sponsored by town staff, gives staff sole responsibility for approving the blading of property in EEZ. Now property can be graded in the hope that someone will want to build on a "shovel ready" site in Innovation Park and other EEZ areas.  

According to town Economic Development Director, JJ Johnston, a "shovel ready" site is a pre-requisite before site selectors will even consider an Oro Valley site.  The primary landowner of Innovation Park, Venture West, did not appear to discuss this resolution at any of the three council meetings at which it was discussed.

Credit Council Member Jones-Ivey

LOVE has expensively written about the path of this resolution to approval. The resolution was discussed by council three times. The resolution, as initially proposed, was almost dead in (July 27) when the council voted on it.

However, Council Member Jones-Ivey, the swing vote, decided to abstain from voting.  She said at that time that she was confused. Her confusion resulted in a deadlocked council vote. This kept the measure alive for further consideration. 

It also put Jones-Ivey in a lead position as it delayed further discussion until late August.

During this month, town staff worked Mayor Winfield and Jones-Ivey to craft the final resolution. We detailed these changes earlier this month. At last week's meeting, council approved two additional conditions: First, the property must be revegetated in five years if it remains unused. Second, the developer must demonstrate to staff that the site is a viable "shovel ready" location.

Council involvement eliminated... Resident input reduced

Council will have no involvement in the blading decision. Residents will be involved if town staff deems it necessary. Essentially, then, the staff is in charge.  This, we suspect, makes Oro Valley look much like many other communities making Oro Valley neither unique nor special.

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Oro Valley Considers a "Ready-To-Build" Future For EEZ

"Ready-To-Build Oro Valley"
The Oro Valley Town Council continues to consider a "ready-to-build" ordinance for Oro Valley's economic expansion zones ("EEZ") properties. The zone by far is Innovation Park (see panel below), which is owned by Venture West.  At issue is whether to allow grading of an EEZ site before site use is known (pre-graded). Once graded, the site is designated a "ready-to-build" site.

Johnston argues: "Oro Valley not in the game"
Oro Valley Economic Development Director JJ Johnston is the advocate for  the creation of ready-to-build sites in Oro Valley's economic expansion zones. Speaking passionately at last week's council meeting, Director Johnston stated that pre-graded lots are a requisite before a company will even consider Oro Valley as a location. Site selectors won't consider a site that is not ready-to-build. Thus, according to Johnston, Oro Valley loses 2-5 leads each month due to lack of ready-to-build sites, particularly sites that are 5 acres or more.

Currently, sites can not be pre-graded. Johnston estimates that a construction project takes sixteen months to complete. The proposed process will cut six months off this time frame. The six month time reduction will save companies an estimated $50 million, according to Johnston.

Founding principles of public input at issue
"Ready-to-build" sites are common in other communities. However, Oro Valley was founded on the basis that it is not simply just another community. "Oro Valley did not like the code standards set forth by Tucson or Pima County," according to Oro Valley resident and former council member Mike Zinkin. "Oro Valley desired more restrictive codes and to allow for more Citizen input to the elected officials on proposed developments."

Johnston, not EEZ Landowners, push for the change

We find it curious that EEZ landowners, and Venture West in particular, are not advocating for this change. Indeed, none have directly participated in the public hearings. We would think that they would be extolling the importance of this measure if they felt it was important to them. Yet, the are silent. Rather, it is the town, and Johnston in particular, who are advocated for the change. Johnston did mention that Venture West might grade a 25 acre site.

Blading with a twist for Oro Valley
Council deadlocked 3-3 in July on this measure. Subsequently, Johnston met with Mayor Winfield and Council Member  Jones-Ivey to visit various sites impacted by the ordinance. As a result, Johnston added three features to the recommended ordinance:

• Pre-grading must be approved by the town's Planning Director on a case-by-case basis. That approval would require a review of view impacts and the ability for that site to be developed within five years;
• The graded lot will have a decomposed granite ("rock") cover "to enhance landscape and buffer yards around the site". We believe that the granite only covers the perimeter of the lot.
• The owner would be required to revegetate the land if it has not been used within 10 years.

To be continued
The council voted to continue discussion of this until September 16 as Vice Mayor Barrett was not in attendance. 

Council Deadlocks on Pre Grading Lots Without Site Plan

Current process retained
At its July 15  meeting , the Oro Valley Town Council deadlocked on a measure that would have allowed staff to approve site grading in the town's Economic Expansion Zone (see panel) without a site plan and without council review.

Town staff wanted to replace the current process that requires site plans and plant removal plans to be submitted for grading to occur. Staff reviews this. If approved by staff, the council has 20-days to consider it if it wishes to do so. The time frame is about 4 months.

Make sites shovel-ready
The staff proposal would create "shovel ready sites." In addition, staff would conduct open houses when development is within 100 feet of a residential area. According to staff, the entire process would take about a month.

Opposing views
On one hand, there were developer friendly council members Solomon, Rodman and Pina arguing to allow pre-grading of land without council oversight in EEZ Zones, land that may lay unused for years, in the hope that someone someday will build something on it.

Oro Valley EEZ Sites

On the other hand, there were three council members, Mayor Winfield, Vice Mayor Barrett, and member Nicolson focused on what this would mean to the land to for residents of our community, residents who live here because the beauty of our community.

There are many examples of pre-graded land that lay fallow in Oro Valley
There is the Mercado del Rio project, which is on Lambert Lane, west of Oracle. There is Nakoma Sky which is behind Home Depot. There is most of the Oro Valley Marketplace.

As you drive around town, you can see pre-graded lots that have nothing built on them, like the one on the NW corner of La Canada and Naranja. These sites have sat vacant for years.

The argument for
Town Economic Development Director JJ Johnston argues that pre grading is necessary to attract business to build here. “Site selection firms want ‘shovel ready’ sites” According to Johnston, “It is a prerequisite before a site selector will even consider a site.” Allowing pre-grading merely makes us competitive with other communities. “We won’t even get to the table if we don’t check those boxes.” Pre grading is a box that must be checked.

Council Member Rodman agrees: “I share your concern but…” His thesis: We established a professional Economic Development Department (under the previous administration).This is what they say we need. this is what we should give them.”

Council Member Solomon agrees” “JJ is the expert. He is the one telling us what we need to do.” He argued (3:22:35) that Oro Valley has to do this, has to attract businesses, or the town will have to institute a property tax because it will not general enough sales revenue.”

The argument against 
Imagine, as Vice Mayor Barrett noted at the meeting, the bleak view of pre graded sites in Innovation Park when one looks at it from across Big Wash or as seen as one travels down Tangerine. These lots once had desert plants would now be large plots of dirt that could lay that way for years.

Mayor Winfield noted that “Oro Valley is not just another community. We attract business because of our quality of life.” He argued that the current process for grading approval takes four months, according to town staff. The proposed process would take about two months. He argued that the current process can be improved time wise. “We are not talking about doing away with grading. The current process is a safeguard…. Mr. Simon (owner of Innovation Park) can ask for pre grading right now. I don’t see the impediment” caused by the current process.

Because "No one cares what's built on a site once it is graded." 
Vice Mayor Barrett noted that developers have told her that "no one cares what's built on a site once it is graded." This troubling to her because it essentially means that the lot will go to the highest bidder, regardless of the use. And council will have no say in that. "Once we grant an entitlement to a landowner, we can't take it back."

Current procedure stands
Council deadlocked on a motion to approve changes but retain the current EEZ lot grading procedure. They also deadlocked on a motion for staff approved pre-grading.  The vote was close. Mayor Winfield, Vice Mayor Barrett and Council Member Nicolson voted in favor not allowing staff approved pre grading. Council Members Pena, Rodman, and Solomon voted against. Council Member Joyce-Ivey abstained, stating that she needed more information.

The result is that the current procedures stand.

Town will need to sell the virtues of Oro Valley 
“We will have to work a lot more creatively without having this tool in our toolkit,” Johnston noted during the meeting.

JJ Johnston will have take a different tac in selling the virtues of Oro Valley to site selectors, one that requires more thought and innovation than trying to conform to a “check the box” selection process.

Guest View: Mike Zinkin ~ The Danger in the Community Economic Development Strategy (CEDS)

Oro Valley was incorporated in 1974 to allow more citizen input
In the 1970’s, a group of local citizens were worried that Pima County and Tucson would annex this area and they started an incorporation process. The result was the establishment of Oro Valley in 1974. The people that voted to incorporate did so because they did not want to be governed by the policies and mind set of Pima County or the City of Tucson.

One of the factors that made Oro Valley unique was the importance of community involvement and input on the Town’s development. Neighborhood meetings and citizen Boards and Commissions were established to provide a vehicle for citizen input to be given to the governing body – the Town Council.

Chiseling away at citizen input began about 8 years ago
About 8 years ago, the Town Council passed the Economic Expansion Zone ("EEZ"). Originally this allowed for fast-tracked development only in Innovation Park as long as there was no residence within 600 feet of the development. The development could be fast-tracked to the Council with only an Open House to introduce the development to the public. There was no requirement to go to the Planning and Zoning Commission. All the current building you now see in Innovation Park was a result of the EEZ code.

In 2018, the (Hiremath-led) Council amended the EEZ to eliminate the 600-foot residential buffer requirement and to allow for all Tech Park designations to be treated as an EEZ.

More citizen input limitations on the horizon
Now enter Town Manager, Mary Jacobs. A couple of months ago, Ms. Jacobs and her Economic Development Manager, J.J. Johnston sent a 14-page PDF to the Council explaining the new CEDS. The Council passed on the CEDS which mandated that staff come forward with changes to the Town’s zoning codes. Now these changes are coming before the Council for their approval.

Staff believes that these code changes are justified because this is how they do things in Tucson and Pima County. Remember, this is the reason we incorporated. We did not want to be like Tucson and Pima County. In the new CEDS, many of the now required neighborhood meetings are eliminated and many important decisions will be “administratively” approved by staff.

Town staff are not elected officials and not accountable to the citizens
It is not a good idea to allow the staff to make major decisions because the Town’s administration, including the Town Manager, is NOT accountable to the citizens. The Council is the elected body and the only part of the government that is accountable to you and me. The Council should remain the decision makers. There should be no allowance for administrative approvals. There should be no elimination of neighborhood meetings and other vehicles for citizen input.

The Council needs to tell Jacobs and Johnson that we are the decision makers and we wish to remain in that capacity. They need to vote NO on the CEDS code modifications.
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Mike Zinkin has a Bachelor’s degree in history and government from the University of Arizona and a Master’s degree in Social and Philosophical Foundations of Education from California State University, Northridge. He was a commissioned ensign in the United States Navy Reserve. He was an Air Traffic Controller for 30 years. He and his wife moved to Oro Valley in 1998. Mike served on the Oro Valley Development Review Board from 2005-2009 and the Board of Adjustment from 2011-2012. He served on the Town Council from 2012-2016 during which time he was named a Fellow for the National League of Cities University, he was a member of the National League of Cities Steering Committee for Community and Economic Development, and a member of the Arizona League of Cities Budget and Economic Development Committee.

Comprehensive Economic Development Strategy (CEDS). Oro Valley’s Trojan Horse. Part 1.

Say Hello to CEDS and Good-bye to Oro Valley’s Uniqueness
The Town of Oro Valley, under the leadership of its Town Manager, Mary Jacobs, and her Community and Economic Development Manager, J.J. Johnston, have published a 19-page document that proposes to eradicate all the uniqueness that is left in Oro Valley.

The cover of the document shows the sunset behind a saguaro and a view of the foothills. After reading the contents of this report, a more fitting cover would be a picture of bladed desert and smiles on the faces of all the builders and developers.

This document is divided into two different strategies. Half of the document develops a strategy for attracting business, attracting primary employers, a market strategy, and attracting talent. This is all commendable and worthwhile, but then comes…

The Trojan Horse
The document then goes into modifying codes and ways to improve planning efficiencies. This part of the CEDS confirms why the people elected a new mayor and council majority in 2018. It appears that Ms. Jacobs and Mr. Johnston have not altered their thinking as a result of the election. They utilize half of this document to combine economic development with land development! It makes one wonder if the ousted Hiremath regime is running a shadow government.

From Page 11 of the CEDS report:

“…the Town does not have a reputation of moving at the ‘speed of business.’”

The report uses the EEZ Town Code (Economic Expansion Zone) as an example of how all commercial and employment center development could be accelerated. The EEZ code was established to make development easier in Innovation Park by reducing the time required to establish a new business or expand an existing business. This streamlined review process allows the developer to bypass the public participation process (no Neighborhood Meetings for neighbors to voice their concerns) and no Planning and Zoning Commission review.

The code originally allowed for a developer to come in and explain their proposal during an Open House. The proposal would then fast-track from Open House to a Town Council vote. However, there were stipulations that included that the developer could not request a change to the existing zoning, AND there could be no houses within 600 feet of the proposal. It was under this code that Securaplane and Tucson Orthopedic were built. The Hiremath regime later amended the code to delete the 600 foot requirement.

The current EEZ Code is only pertinent in dedicated Tech Parks.

The CEDS report suggests that ALL commercial and employment development should follow the example of the EEZ.

“Resident input is important, but it should be noted that most communities apply the same administrative review process to commercially-zoned properties as the Town has introduced in the EEZ zone.”

Can you imagine the establishment of Oro Valley Marketplace without citizen input? Citizens did not want the storefronts facing Oracle and Tangerine. Vestar reversed the layout and placed the storefronts towards the interior. Citizens also fought and won their argument against illuminated signs facing Oracle and Tangerine in order to preserve the beauty of those scenic corridors.  Mr. Johnston and Ms. Jacobs, please take note: Oro Valley is not like most communities and we would like to remain that way.

(Note:  In another slap in the face to citizens, in March 2015, Hiremath, Hornat, Snider, and Waters broke that 9-year long agreement, allowing Vestar to add illuminated signs along Oracle and Tangerine).

The CEDS report praises Tucson’s fast-track building permits:

“The City of Tucson tapped into the Intergovernmental Agreement it had executed with Pima County to utilize the resources of the County’s building plan review team for the recently approved Amazon building. Pima County was able to complete its full review and position the City of Tucson to issue a building permit within one week. That’s the kind of speed of business major prospects expect in a highly competitive environment.”

Our Town officials need to read the General Plan. We are neither Tucson nor Pima County and we should not be lowering our standards to theirs. We do not want to follow their example. It was their poor examples that motivated us to incorporate in the first place.

The CEDS report criticizes Oro Valley’s landscaping requirements:

“Examples of other cost impacts to commercial developments include such things as excessive landscaping requirements, the amount of open space dedication required, architectural design requirements, some public infrastructure requirements, and the 1% public art requirement.”

Oro Valley’s landscape requirements, architectural standards, and open space requirements are what separate us from the “average” community. Public art is a mainstay in Oro Valley and has always been a ground rule for commercial development. Just because SAHBA (Southern Arizona Home Builders Association) and the Pima Metro Alliance would rather pocket the 1% is not a reason to eliminate it. Public art is another reason that Oro Valley is unique.

The CEDS report criticizes our sign codes:

“A number of interviewees also identified restrictions in the Town’s sign code as inhibiting awareness of drive-by traffic for successful retail enterprises, particularly along the 55 mph Oracle Road corridor.”

You can read the entire CEDS Report HERE

Part 2 will be published on Wednesday and includes the list of the 90 business and industry leaders and government officials who were interviewed for the CEDS report.

Guest View: Tim Bohen ~ You know it don’t come EEZ

On March 21, 2018, the Oro Valley Town Council approved a change in Section 24.9 of the Zoning Code to remove the 600-foot Exclusion Zone between the Rancho Vistoso Neighborhood-3 Economic Expansion Zone (EEZ) and residential properties within the Rancho Vistoso Pad. At the same time, three other Oro Valley parcels zoned as T-P (Technological Park) have now been granted EEZ status. So, why should you care about something as seemingly arcane as this? And what is an Economic Expansion Zone?

In an EEZ, Public Participation is Eliminated
New development within the current Rancho Vistoso and new EEZ’s is now at the sole discretion of the Planning Administrator and Town Council. In other words, there will be no Public Participation. But why?

Besides the arbitrary Technological Park zoning, what do all these parcels actually have in common? Each has well-established residential areas within 600 feet, unlike the successful Securaplane, Tucson Orthopedic, Ventana, Western National Parks and Icagen properties in the Rancho Vistoso EEZ.

Economic Development at Tangerine and La Canada
Creation of a new EEZ at Tangerine and La Canada may not have been possible prior to the code change. That new EEZ would have been within 600 feet of the proposed Miller Ranch Development. This same development is coming before the Planning Commission on May 1, 2018. Thus the code change is very timely if you happen to be a land speculator holding a parcel within a newly created EEZ. Prior to March 21, 2018, no EEZ would have been possible there.

I encourage all readers to read the Oro Valley Zoning Code Section 24.9 Economic Expansion Zones. It will not take you very long because there is very little there.

The hidden meaning of “Streamlined Review Process”
It may be tempting to think that the grandly dubbed Economic Expansion Zones are more than they actually are. The only significant difference between an EEZ and any other piece of Oro Valley property zoned for commercial is the "streamlined review process” for development within the EEZ. This includes the opportunity to bypass Public Participation and review by the Planning and Zoning Commission. Being in an EEZ does not convey any other unique benefits. Thus, while it may be easier to get commercial property built in an EEZ, this in no way impacts the probability of long-term success.

Successful new businesses cited in the Town’s argument for update to the EEZ code in the Rancho Vistoso EEZ are all located in the center of the existing Economic Expansion Zone, far from residential properties. Don’t believe me? Take a drive up East Innovation Park Drive yourself. You will pass Securaplane, Tucson Orthopedic, Ventana, Western National Parks and Icagen and you can see what a Technology Park environment actually is.

At the intersection of E. Innovation Park Drive and E. Rancho Vistoso Drive, you will see the Anthem property which now has the full advantage of all other EEZ parcels. If you don’t work in the Technology Park, you may not even know where it is! And that is a good thing. And if you can see it up close from over your backyard wall, it is almost definitely not a Technology Park. At best it is a transition property. Unfortunately, now in the case of Anthem’s property, the neighbors will have no formal way to participate in the process of what gets built there.

EEZ expansion means nothing more than removing Public Participation and Planning and Zoning Commission review from a select group of Oro Valley parcels.

What could go wrong? Exhibit A:
The El Conquistador Country Club acquisition is a great example of what we all know can go very wrong when a select few work behind closed doors. In this case, an EEZ-type process moved us forward rapidly to take advantage of a seemingly once in a lifetime opportunity. However, as readers of LOVE well know, the long term viability created by a sufficient supply of willing customers, namely paying Country Club Members, did not exist.

Businesses should be good neighbors and welcome Public input and P&Z Review
I have a hard time believing that the Public Participation and Planning Commission processes in and of themselves are going to ultimately stop a good tech business that truly believes they can be successful in Oro Valley over the long term. Public Participation and Planning and Zoning Commission review should be viewed as a learning experience, not a deal breaker. After all, it’s not a deal breaker for otherwise viable relocations.

The Power Grab
An open power grab is occurring within our Town right before your eyes. Public participation is being scapegoated as the cause for land speculators not maximizing their profits on their timelines. Public participation is also being cited as the sole reason why prospective employers are not locating in Oro Valley. Common sense tells us there must be a lot more to choosing Oro Valley over the long term than just this.

Your right as a resident to participate in the process of evaluating and helping to shape what is being built on undeveloped commercial land near you is now under serious threat. Don’t just watch it EEZ-ily disappear into direct administrative review. Please take the opportunity to speak up about this at Council Meetings and Planning and Zoning Meetings.

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Tim Bohen grew up in Southern California and moved to Oro Valley in 2015. He has a Bachelors degree in Physics from UCI and an MBA from Loyola Marymount. He is employed as a Systems Engineer. He graduated from the Community Academy in 2016 and the Citizens Academy in 2017. He was recently appointed to the Oro Valley Historic Preservation Commission and is a volunteer mediator with the Arizona Attorney General’s office. His interests include aviation and history, with his greatest interest currently being frontier life and how the West was settled.