City of Homer

Planning & Zoning Telephone (907) 235-3106

491 East Pioneer Avenue Fax (907) 235-3118

Homer, Alaska 99603-7645 E-mail Planning@ci.homer.ak.us

Web Site www.ci.homer.ak.us

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MEMORANDUM 03-107

To: City Council, Mayor

From: Homer Advisory Planning Commission

Through: Julie Engebretsen, Acting City Planner

Dates: June 23, 2003

Subject: Ordinance 03-25 (S)(A)

The Commission discussed the Council’s recent amendment to this ordinance at length during the 6/18/03 work session and regular meeting. Six members of the public spoke. The Commission recommended a size cap with a sunset clause to take effect after the standards are in place, and an independent economic impact analysis of large store retail activity.

Findings:

Sunset Clause and Standards

The Commission discussed at length the reasons for supporting a 20,000 square foot size cap, and the possible negative impact of a 40,000 square foot store. A particular area of concern was the carrying capacity of the Homer economy, its infrastructure, and its environment. The Commission recommends promoting and developing small business, and encouraging development to be in keeping with the natural environment.

The Council directed the Commission to work on the size cap separately from the standards. At this point, the Commission would like to work on those standards so that future development in the CBD occurs in a manner that adds to the attractiveness and economic stability of the community. The Commission recommends that the Council adopt the substitute ordinance with the size caps, and to do so with a sunset clause of six months or until such time the Commission has a chance to work on the design and impact statement and standards, at which time the cap would be revisited or re-evaluated. The Commission feels this is reasonable as it is not likely that a new construction project would be starting this late in the building season.

The Commission also expressed concern over the planning tools currently available. While there is a requirement for new construction over 8,000 square feet in the CBD to acquire a conditional use permit, there are currently few standards for the granting or denial of such a permit. Tools such as site plan review, better subdivision regulation, lighting, landscaping and architectural review are available on a very minimal level to the Planning Department and the Commission. The only solid regulations in the City code are for parking and signage. If the large store size cap remains at 40,000 square feet and a retailer applies for a Conditional Use permit, the City does not have any guidelines at its disposal to work with the developer to create an attractive facility. Therefore, it is important to get some well thought out standards in place, and to consider the tools available to the Commission to help guide development in Homer.

Economic Impacts of Large Store Development

The Commission would like to thank Councilman Ladd for the time and effort spent on his economic impact analysis of box store retail activity. The Commission feels this issue is important enough to warrant an independent economic study to determine what kind of revenue the city could expect from box retail activity. Economic analysis is a difficult task, and since the decisions of the Council will have such weight in the community, it makes sense to base any decision from an economic argument on the work of an independent party.