[BoulderCouncilHotline] Proposed exemptions to OZ moratorium, BC zones

[Weaver, Sam]

Fellow Council Members and HOTLINE followers,

After further reflection, discussion with community members, and input from staff, I would like to put a few thoughts forward for tomorrow night's discussion of a time out on development in the Opportunity Zone, as well as for the BC-1 and BC-2 zone changes.

I had initially proposed that residential development not be included in the proposed OZ moratorium if all of the required affordable housing is proposed to be built on-site.  Because of the way that tax-credit financing works, that is not feasible unless separate market-rate and affordable structures are constructed.  According to local developers, this becomes feasible on sites above 4 acres.  While I would like staff to confirm this size threshold in the coming weeks, I will be proposing that all residential development be allowed in the opportunity zones when sites are under 4 acres, and that on sites over 4 acres, residential and mixed-use developments that include housing be exempted from the moratorium if they include all of their affordable housing on site.  I will further propose that there be no demolition permits issued for existing attached housing, such that all new residential development not displace current market-rate affordable housing that we have in this zone.

I will also propose that the moratorium prevent all development and re-development applications, with the exception of beneficial uses as designated by Council, including the residential development described above, and potentially the uses listed below.

Below is a list of potential uses that might be appropriate to exempt from the OZ moratorium either because they cannot participate in the tax credit benefits, or because they are desired community outcomes:

Governmental entities
Public institutions
Small retail
Educational institutions
Group homes
Transitional housing
Home occupations
Studio space
Breweries
Commercial kitchens
Food truck facilities
Museums
Restaurants
Theaters
Taverns
Day care centers
Day shelters
Emergency shelters
Religious assemblies
Indoor recreation facilities
Small clinics
Animal hospitals
Animal kennels
Small manufacturing
Recycling centers
Small wholesale businesses
Agricultural uses
Buildings owned by non-profits

Specifically, high-concentration office space, medical, financial and hotel/motel uses would be suspended during the moratorium period.  Mixed-use development proposals would be limited to housing, retail, and under 10% office uses.

In the BC-1 and BC-2 zones, I will be proposing that no more than 10% of the floor area to be developed be allowed to be small office space.  In these zones, I will propose that motel/motel redevelopment not be allowed at all.

For small BC-1 and BC-2 sites, I would proposed all first floor uses be retail.  For larger BC sites (e.g. large shopping centers with lots of unused surface parking, which will likely re-develop with internal streets, I would propose that 75% of first floor uses be retail.  I would further propose that this could be dropped to 65% if affordable housing is located on-site, and perhaps further if permanently affordable commercial space is provided in accordance with furture City guidelines.

Sam Weaver
Mayor Pro Tem
Boulder City Council
weavers at bouldercolorado.gov<mailto:weavers at bouldercolorado.gov>
Phone: 303-416-6130

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