ORDINANCE No. SUBSTITUTE 176193 AS AMENDED

* Adopt and implement the West End Policy as an element within the Central City Plan and the Comprehensive Plan, adopt and implement revisions to the Zoning Code and to the zoning and Comprehensive Plan maps to implement the West End Policy and establish an effective date. (Ordinance)

The City of Portland ordains:

Section 1. The Council finds:

1.  In 1972, the City Council adopted the Downtown Plan covering a one square mile area bounded by the I-405 Freeway on the west and south, by the Willamette River on the east, and by Union Station and NW Hoyt Street on the north.

2.  The Downtown Plan called for several areas of the downtown to be zoned to emphasize housing production. These areas included the area presently zoned Central Residential (RX) within the West End study area.

3.  The City's Comprehensive Plan was adopted on October 16, 1980 by order of Ordinance No. 150580. The plan was acknowledged for compliance with Statewide Planning Goals on May 3, 1981. Since 1981, the Comprehensive Plan has been updated frequently. The Downtown Plan was incorporated by reference into the Comprehensive Plan at the time of the Comprehensive Plan’s adoption through Policy 2.10, Downtown Portland. Policy 2.10 called for the continued implementation of the Downtown Plan.

4.  In 1988, the City Council adopted the Central City Plan as an element of the Portland’s Comprehensive Plan by order of Ordinance No. 160606. The Central City Plan incorporated the Downtown Plan by reference through the inclusion of Policy 14: Downtown. This policy calls for the ongoing maintenance and implementation of the Downtown Plan.

5.  The Central City Plan has been updated from time to time as additional planning has been completed. The plan was updated with the adoption of a University District Policy and the River District Policy in 1995 through Ordinance No. 168702 and the incorporation of two new policies into the Central City Plan. In January 1996, the Central City Plan was updated again through the enactment of the Goose Hollow Station Area Plan through Ordinance No. 169699.

6.  In 1996, the Council adopted the Downtown Community Association Residential Plan by order of Ordinance No. 170347. Within the adopting Ordinance, the Council found that the Downtown Community Association Residential Plan was consistent with the Downtown Plan and Central City Plan. The West End is within the boundaries of the plan. The Downtown Community Association Residential Plan calls for enhancing the West End of Downtown as a residential and mixed-use community.

7.  The “West End” is a term that describes the western edge of Portland's Downtown. This area described as the West End extends from SW Ninth Avenue west to the I-405 Freeway, and from the northern edge of Portland State University’s campus at SW Market Street to West Burnside Street.

8.  The 1972 Downtown Plan proposed designating much of this area for residential development with an allowance for ground floor retail and mid-rise office development. The West End’s existing enclave of housing was to be reinforced and expanded to create walk-to-work opportunities. Office development was to be concentrated near the transit mall and, later, light rail alignment, as part of the City’s strategy to improve air quality. These strategies were also intended to preserve affordable housing and to help create a 24-hour downtown, populated by workers and visitors by day and residents by night.

9.  The Association for Portland Progress (APP) formed the West End Steering Committee (WESC) in 1997 with the mission of developing a revitalization plan for the western area of the Downtown. Some in the community believed that the district was not reaching its potential, especially in comparison the neighboring Pearl District to the north or the Downtown office core to the east. The WESC, composed of interested business and property owners and other members of the Downtown community, focused on the area bounded by SW Ninth Avenue, the Stadium Freeway (I-405), SW Market Street, and NW Couch Street.

10.  Over the next eighteen months, the WESC developed the West End Vision Plan (WEVP), which was published in July 1999. The WEVP identified the impending expiration of the South Park Blocks Urban Renewal Area and the recent public investment in library and museum renovations, plus the construction of the Portland Streetcar, among the reasons to reconsider the district’s regulatory structure. In response to these issues, the WEVP calls for promoting new development by changing zoning and development regulations and taking a number of other actions.

11.  In October 1999, the WESC submitted the West End Vision Plan to the Portland City Council and requested the Council’s consideration, adoption, and implementation of West End Vision Plan.

12.  The Portland City Council accepted the WEVP and directed the Bureau of Planning (BOP) to develop a response that was consistent with Portland’s Comprehensive Plan. The WEVP was accepted through the adoption of resolution No. 35833.

13.  In Resolution No. 35834, adopted on the same date as the City Council’s acceptance of the West End Vision Plan, Mayor Vera Katz appointed the West End Advisory Committee (WEAC). The committee was composed of WESC participants, City agencies, development interests, and community organizations and was given the mission of aiding the Bureau of Planning (BOP) in developing its response to the WEVP. This resolution also directed the BOP to report its evaluation of the WEVP to the Portland Planning Commission.

14.  The WEAC met from Fall 1999 into Summer 2000. Steve Abel, who was President of the Planning Commission during the period when the WEAC was meeting, chaired the committee. The committee reviewed the WEVP in a series of public meetings. Workshops were conducted, and panels of experts were assembled to discuss WEVP issues with the WEAC. During this process, WEAC members suggested ideas for inclusion in the Bureau of Planning’s West End Proposal.

15.  The Bureau of Planning published a draft West End Existing Conditions Report in January 2000, along with appendices under separate cover. This report was assembled to provide the WEAC and the public the opportunity to assess the district with sufficient background knowledge to understand the implications of the Bureau’s ultimate recommendations. The existing condition’s report included inventory information including land use and historic resources.

16.  The Bureau of Planning published Three Alternatives for the West End in April 2000. Presentations were made to interested groups, and in May and June 2000, two public workshops were held to allow the public to advise staff and the WEAC about the proposal. The workshops are summarized in West End Workshop Proceedings, which were published and made available to interested parties.

17.  The Bureau of Planning published a tentative proposal in July 2000. During August and the first half of September of that year, the Tentative West End Proposal was reviewed by the public and interested parties. Presentations were made to interested groups regarding the Tentative West End Proposal to allow participants to advise staff about concerns they had with the proposal, and changes they would like to see made.

18.  In late September 2000, a revised West End Proposal was published as the Bureau of Planning’s recommendation to the Portland Planning Commission. The proposal revised earlier approaches to several issues raised during public’s review of the Tentative West End Proposal. The proposal incorporated elements of the West End Vision Plan that are compatible with the vision set out in previously adopted plans for the area.

19.  Notice of the scheduled Planning Commission public hearing was provided thirty days in advance of the scheduled hearing to all those who had participated in the process and all property owners. Notice was provided to the Oregon Department of Land Conservation and Development and Metro more than 45 days before the scheduled hearing.

20.  On September 21, 2000, prior to the Planning Commission’s hearing, the Portland Design Commission held a public meeting on the Bureau of Planning’s West End Proposal. Notice was provided and, although the meeting was not a hearing, public testimony was taken. In a written letter, the Design Commission raised a number of issues they suggested the Planning Commission examine, including their perception that a neighborhood park should be planned and developed in the West End.

21.  Prior to the Planning Commission’s hearing, the Portland Historic Landmarks Commission held a public meeting on the West End Proposal on October 9, 2000. Notice was provided and, although the meeting was not a hearing, public testimony was taken. In a written letter, the Historic Landmarks Commission raised a number of issues they suggested the Planning Commission examine.

22.  On October 10, 2000, Bureau of Planning West End project staff held an information meeting on the West End Proposal. The meeting purpose was to answer questions about the proposal in an effort to ensure that those participating in the Planning Commission’s upcoming hearing could use their, and the Planning Commission’s, time effectively.

23.  The Portland Planning Commission held a public hearing to consider oral and written testimony on the West End Proposal on October 24, 2000. The hearing’s record was kept open for additional written testimony through October 27, 2000. Planning Commission working sessions on the West End Proposal were held January 9, 2001, February 13, 2001, and March 27, 2001. Public notice was provided for each of these public meetings.

24.  During January and February 2001, the Planning Commission reviewed additional information developed at their request related to issues raised at their October 24, 2000 hearing, and in subsequent written testimony. Panels of experts advised the Commission on the market for new housing, preservation of affordable housing, urban renewal districts, and parking. At the close of the Planning Commission’s fact-finding process, a West End Steering Committee member were given time to offer their perspectives on these issues.

25.  On March 27, 2001, the Planning Commission voted 6 to 2 to recommend the West End Proposal to City Council with significant changes. These changes were aimed at addressing issues raised in the public testimony on the proposal. The Planning Commission’s amendments included creating enhanced opportunities for mixed use and commercial development in areas of the West End zoned Central Residential (RX); liberalized the Central City Transportation Management Plan to encourage infill development on existing surface parking lots; and increased allowed building density.

26.  On March 27, 2001, the Portland Planning Commission also recommended that the City Council adopt and implement the West End Policy as an element within the Central City Plan and Comprehensive Plan and that the City Council also implement the West End Policy through enactment of changes to the City’s Zoning Code and zoning map.

27.  In preparing and describing the West End Proposal, the Bureau of Planning created a number of supporting documents including inventory information needed to help participants understand the current situation in the West End and its history. These included the West End Workshop Proceedings, published in June 2000; a West End Proposal Working Session report, which was developed at the request of the Planning Commission and published in January 2001; and a West End Work Book, also developed at the request of the Planning Commission and published in February 2001. These documents accompany this Ordinance, are marked as Exhibit C, and are incorporated by reference into this Ordinance as findings supporting adoption of this ordinance.

28.  The Planning Commission’s West End Recommendation aggressively pursues the implementation of the West End Vision Plan, within the framework of the City’s Comprehensive Plan. The proposal incorporates WEVP elements that are compatible with the vision for the area set out in the Downtown Plan, Central City Plan, and the Downtown Community Association Residential Plan.

29.  On May 18, 2001, notice of the City Council’s scheduled hearing on the Planning Commission’s West End Recommendation was mailed to all those who had participated in the Planning Commission process, in person, in writing, or through a representative. Notice was also provided to all those who had requested such notice. Notice was also sent to all property owners whose development opportunities were proposed to be reduced by the Planning Commission’s recommendations.

30.  On June 21, 2001 the Portland City Council held a public hearing on the Planning Commission’s West End Recommendation. Testimony came from diverse interests and continued beyond the normal scheduled time for adjournment of the City Council. The hearing was continued.

31.  On July 18, 2001 the City Council reconvened to complete testimony on the Planning Commission’s recommendation. At the close of this hearing, the City Council noted that the bulk of the controversy was focused on the portion of the West End that lies north of SW Salmon Street and west of SW 11th Avenue. The Council directed the Planning Director to create a new proposal for the RX-zoned area north of Salmon Street that would address the conflicting issues raised in testimony. These issues included the area’s economic stagnation, the preservation of existing affordable housing, the protection of historic resources, and encouragement of new high quality development.

32.  Throughout August and into September 2001, the Planning Director met with development experts, representatives of the Planning Commission, area property owners, and others to formulate an approach that could find broader support.

33.  On September 26, 2001 the City Council met again to consider the results of the Planning Director’s work. An outline of a new approach to zoning in the area in question was presented and supported by a number of interests present. Although there was opposition to some aspects of the proposal, the proposal seemed much closer to finding broad support than the Planning Commission’s recommendation for the RX-zoned area north of Salmon Street.

34.  At the City Council’s September 26, 2001 hearing, representatives of the Association for Portland Progress (APP) and Portland’s Planning Director, Gil Kelley, jointly requested an additional six weeks to finalize outstanding details of the proposal. The City Council agreed, directing that a final proposal be brought for conceptual approval in three weeks.

35.  Also, at the City Council’s September 26, 2001 hearing, there was a discussion of the area of the West End that is south of SW Salmon Street. Several projects currently proceeding toward building permits were noted with the understanding that some, or all, of these project’s economic viability would be enhanced if the Planning Commission’s recommendation for the area south of Salmon Street were implemented at an early date. In response, the City Council directed that an Ordinance implementing some of the Planning Commission’s recommendations that were not linked to the controversy present in the north of Salmon area, be brought back in three weeks for their consideration and possible action.

36.  On October 18, 2001 the City Council held a public hearing on an Ordinance to implement recommendations of the Planning Commission for the part of the West End that is south of SW Salmon Street. These had been broadly supported in the City Council’s earlier hearings on the Planning Commission’s West End Recommendation and were supported by the existing policies of the Comprehensive Plan.

37.  On October 18, 2001, the City Council considered and adopted Resolution No. 36037. That resolution directed Bureau of Planning staff to craft an alternative regulatory proposal for the portion of the West End north of SW Salmon Street and west of SW 11^th Avenue. This Ordinance accomplishes that task, and also replaces the Ordinance filed in June and the substitute Ordinance filed November 13, 2001 to accept the Planning Commission’s West End Recommendation.

38.  On October 18, 2001, Council also adopted Resolution 36036 which directs the Bureau of Planning, Office of Management and Finance, and the Portland Development Commission to undertake an analysis of tax increment and other financing tools, including the creation of a new urban renewal district, to implement the West End action agenda.

39.  On October 24, 2001 the City Council adopted Ordinance No. 176024. That Ordinance implemented broadly supported provisions of the Planning Commission’s West End recommendations for the area south of Salmon Street that are well supported by the existing policies of the Comprehensive Plan. The Ordinance was acted on prior to the bulk of the actions recommended by the Planning Commission to assure developers of housing, and mixed-use projects that include housing in the project, of the City Council’s intentions regarding the area of the West End that is south of SW Salmon Street. These projects are desirable because they will further Downtown Plan and Central City Plan objectives of fostering the growth of housing in this area. The feasibility of these projects was enhanced, as well as the feasibility of future housing projects, through the early implementation of the Planning Commission’s recommendations for amendments to the RX zone. A delayed effective date of January 1, 2002 was established for Ordinance No. 176024. This delay was intended to allow all provisions of the Council’s action affecting the City’s Zoning Code to take effect simultaneously.

40.  A findings report was developed supporting the Planning Commission’s entire West End Recommendation. The report covers the consistency of the West End Recommendation with the applicable Statewide Goals for Land Use Planning, Metro’s 2040 Functional Plans, and Portland’s Comprehensive Plan including the Downtown Plan, Central City Plan, Downtown Community Association Residential Plan, the Central City Transportation Management Plan. This findings report was adopted in support of Ordinance No. 176024 on October 24, 2001.

41.  A second City Council Findings Report has been developed to reflect the City Council’s enhancements of the Planning Commission’s recommendations. The City Council Findings Report also covers the consistency of the City Council’s West End decisions with the applicable Statewide Goals for Land Use Planning, Metro’s 2040 Functional Plans, and Portland’s Comprehensive Plan including the Downtown Plan, Central City Plan, Downtown Community Association Residential Plan, the Central City Transportation Management Plan. The City Council Findings Report accompanies this Ordinance as Exhibit B, and is incorporated by reference into this Ordinance as additional findings.

42.  During the City Council’s hearing process, several requests for amendments were made, through public testimony, that if approved might limit some aspects of the affected property owners’ development rights. On October 31, 2001, a notice was sent to all potentially affected property owners of a City Council hearing scheduled to consider these amendments. The notice invited those interested to testify to the Council, in person or in writing. The hearing was scheduled for November 21, 2001. The notice included information on how and where to obtain all of the specific proposals being considered by the City Council.

43.  On November 7, 2001, a notice was sent to those who had participated in the City Council hearings process to notify them of the proposed changes requested by City Council to the Planning Commission's recommendations for the area north of SW Salmon Street and west of SW 11th Avenue.

44.  On November 21, 2001, the City Council held a public hearing to hear additional testimony on the amendments requested to the Planning Commission’s recommendations on the new West End Action Chart and additions to other Central City Plan action charts. The consideration of the proposed Zoning Code changes requested by City Council was delayed until January 10, 2002 due to the complexity of drafting the new proposed changes.

45.  To facilitate the City Council’s deliberations, the Bureau of Planning prepared an amendments report providing the Bureau’s recommendation on each of the requested amendments. Hard copies were also available, for those desiring them, at the Bureau of Planning’s offices in Downtown Portland. The amendments report accompanies this Ordinance as Exhibit D, and is incorporated by reference into this Ordinance.

46.  A new report that contains the Zoning Code enhancements requested by City Council and amendments to the Central City Plan that were received after filing Exhibit D. These are included in Exhibit E: Planning Commission's Recommendation with Enhancements Requested by the Portland City Council, which accompanies this ordinance. Two Zoning Code amendment requests are included in this document. The first is an amendment request by Commissioner Hales to provide bonus parking spaces for placing parking underground. Also included is a request to extend active use provisions (developed as part of the Northwest Transition Area project) within 200 feet of the Portland Streetcar alignment in the West End. These provisions are designed to promote a lively pedestrian oriented environment along the streetcar route.

47.  On November 21, 2001 City Council approved the addition of the new West End Action Chart to the Central City Plan and several actions to the to the Economic Development, Housing, and Transportation Action Charts of that plan as amended by the Bureau of Planning recommendations on the amendment requests. Council made one amendment of their own to the recommended West End Action chart.

48.  The West End Policy provides a vision, programs and regulations to guide the revitalization of the 60-block area known as the West End. The Policy has been developed in close cooperation with the West End Steering Committee, the Downtown Community Association and others interested in the area. The Portland Office of Transportation and the Portland Development Commission have been active partners in the process of creating the West End Policy. An action agenda, already adopted by Council on November 21, 2001, accompanies the West End Policy and provides mechanisms for managing the area's growth, fostering new investment, coordinating the delivery of services and enhancing the area’s livability and image.

49.  It is in the public interest for the West End Policy to be adopted as a part of the Central City Plan and by reference as part of Portland’s Comprehensive Plan, and be implemented through the enactment of the Zoning Code and map amendments that accompany the Planning Commission’s West End Recommendation, as enhanced by the Portland City Council that appear in the supplement to the recommendation.

NOW, THEREFORE, the Council Directs:

1. a.  Ordinance No. 160606 is amended to add a new Policy 22: West End, to the Central City Plan as shown in Exhibit A. In some cases, Exhibit A amendments are superseded by Council decisions about Exhibits D and E. Comprehensive Plan Policy 2.26 incorporates the new West End Policy into Portland's Comprehensive Plan as a part of the Central City Plan. A related amendment is made to the Central City Plan’s Downtown District Policy, as described in Exhibit A on page 51. This amendment reflects the creation of the new Policy 22: West End, and ensures that the status of the Downtown Plan is clear.

b.  Title 33, Planning and Zoning, a part of the Municipal Code of the City of Portland, is hereby amended to reflect the changes listed in Exhibit A with the amendments approved by the City Council from Exhibits D and E (both Exhibits A, D and E are attached to this Ordinance). These changes include amendments to the following:

▪  Chapter 33.120, Multi Dwelling Zones;

▪  Chapter 33.510, the Central City plan district; and

▪  Chapter 33.815, Conditional Uses.

c.  The Official Zoning Maps of the City of Portland are hereby amended to reflect the zoning and Comprehensive Plan map designations shown in Exhibit A with the amendments approved by the City Council from Exhibit D and E (both Exhibits A, D and E are attached to this Ordinance). The zoning section and quarter-section maps included in Exhibit A and the amendments to the zoning changes adopted by the City Council from Exhibits D and E are incorporated into this Ordinance by this reference.

d.  The City Council Findings Report, attached as Exhibit B, is hereby adopted as findings supporting adoption of this Ordinance and incorporated by reference. This incorporation includes those items listed in the Appendix of the West End Recommendation (Exhibit A) that provide the factual basis, analysis and conclusions supporting the findings included in the Findings Report.

e.  The background reports included in Exhibit C, are hereby adopted and incorporated by reference as findings supporting adoption of this Ordinance.

Section 2. The Council declares that an emergency exists because a delay in the effective date of the Zoning Code amendments could adversely affect those planning residential and mixed-use projects that will be made feasible by the increase in development potential allowed by these amendments. Therefore, this ordinance shall be in full force and effect on February 1, 2002.

Passed by the Council, JAN 10 2002

Mayor Vera Katz          Gary Blackmer

Graham Clark            Auditor of the City of Portland

December 27, 2001              

By /S/ Susan Parsons

                      Deputy

BACKING SHEET INFORMATION

AGENDA NO. S-53-2002

ORDINANCE/RESOLUTION/COUNCIL DOCUMENT NO. SUBSTITUTE 176193 AS AMENDED