City Council · 2018-02-27

CITYOFOREM
CITYCOUNCILMEETING
56 North State Street Orem, Utah
February 27, 2018
3:00 P.M.WORK SESSION -PUBLIC SAFETY TRAINING ROOM
CONDUCTING Mayor Pro Tem Tom Macdonald
ELECTEDOFFICIALS Councilmembers Debby Lauret, Sam Lentz, Tom
Macdonald, Mark Seastrand, and Brent Sumner
APPOINTEDSTAFF Jamie Davidson, City Manager; Brenn Bybee, Assistant
City Manager; Steven Downs, Assistant City Manager;
Greg Stephens, City Attorney; Karl Hirst, Recreation
Department Director; Richard Manning, Administrative
Services Director; Bill Bell, Development Services
Director; Scott Gurney, Fire Department Director; Gary
Giles, Police Department Director; Charlene Crozier,
Library Department Director; Chris Tschirki, Public Works
Director; Steve Earl, Deputy City Attorney; Jason Bench,
Planning Division Manager; Brandon Nelson, Finance
Division Manager; Neal Winterton, Water Division
Manager; Reed Price, Maintenance Division Manager; and
Donna Weaver, City Recorder
EXCUSED Mayor Brunst, Mayor; David Spencer, Councilmember
BUDGET DISCUSSION- Revenues & Compensation
Mr. Manning stated that according to a Gallup poll conducted by the Governor's Office, Orem
was ranked number one for "Community Optimism," number two for “Business Careers" and
number three for “Best Places to Raise a Family." The poll also indicated that Orem was one of
the best cities in Utah for working parents. He presented a chart showing that in 2018, Orem's
population would cross the 100,000 threshold. Utah was the fastest growing state in the United
States, and Orem's fertility rate was second in the nation. He discussed how growth and aging
populations impacted the economy, and subsequently reviewed the following information:
State employment growth was presently 2.6 percent, with jobs primarily being in these
sectors:
o Construction
Hospitality
Financial
Health
Education
o
The State of Utah's economy was still healthy, but growth was slowing down.
Hiring in the City would become more difficult, particularly in the public safety
departments and seasonal employees.
City Council Minutes -February 27, 2018 (p.1)


0 In the future, it would be important to “sell" Orem to prospective employees as being
a great place to work and live.
Statewide income growth was 3.5 percent, whereas nationwide income growth was 2.9
percent.
When preparing the budget, staff reviewed current and delinquent taxes.
The current tax base did not grow significantly, despite an expanding base.
The budget was based on a certain amount of delinquency enhancing the City's
revenue.
 A chart was presented depicting tax rate comparisons between cities in Utah County.
 A chart was presented depicting a “what if’ scenario if Orem's sales tax rate was moved
back to what it was in 1980. The revenue difference was $2.7 million per year.
Sales tax accounted for forty percent of the General Fund, which was the largest revenue
component.
Sales tax rate was 6.85 percent, of which one percent belonged to municipalities.
os
"Fifty percent (half of a percent) stayed in Orem.
Fifty percent (the other half of a percent) went to pot where it was then distributed
based on population.
"All of the CARE tax stayed with Orem.
Amazon and other online shopping outlets were causing the retail market to evolve
significantly.
The December 2017 report showed the best sales tax revenues the City had ever
O
received.
A chart was presented depicting sales tax revenues over the last fifteen years. Mr.
O
Manning reviewed the trends as shown in the data.
Franchise tax rates were not performing as well as sales tax, and therefore were not
increasing.
0 The City was predicting to be down by $100,000.
Building fees were all one-time revenues.
 Inspections were treated as ongoing operational expenditures.
。
。 Any excess revenues generated in building fees were used for future capital
improvement projects.
The City's water rates were based on a tiered system, which Mr. Manning reviewed.
 The pricing structure was such that the system was entirely self-contained; all repairs
。
could be made using cash instead of bonding.
0 The water usage rate per thousand gallons was 185 to 218.
The City's storm water budget was $4.4 million for the year.
The City's solid waste budget was estimated at $4.1 million; however, the numbers had
not yet been finalized.
The City's projected new revenues were $95 million for a total budget of $114 million.
Mr. Manning presented a chart depicting the City's revenues over time. He explained that
the bulk of the City's growth had occurred outside of the General Fund; most growth
took place in the City's utilities.
A one percent market adjustment increase was applied to all benefitted employees'
compensation. Raises had not been given in several years and the one percent increase
accounted for inflation. Money would also be allocated for flex and seasonal employee
compensation as well, so that the City could remain competitive in a tighter labor market.
City Council Minutes - February 27, 2018 (p.2)


0 The market was in reference to cities of similar size, geographical location and
function.
0 The City had a two-tiered retirement system that would continue to shift with the
market as well.
INTRODUCTION-Cemetery Master Plan
Chris Wiltsie, Public Works, introduced the proposed Cemetery Master Plan. He presented a
chart depicting birth rates by generation between the years 1928 and 2012. An aerial map of the
Orem cemetery was shown and Mr. Wiltsie noted that seven percent of burial rights remained.
The cemetery sections were divided into the following categories:
Whole lots currently available
·
· Half lots currently available
Sold (occupied)
·
Sold (unoccupied)
Orem City was going to eventually run out of land, and to address the matter the Cemetery
Master Plan proposed the following strategies:
1. Increase cemetery rates annually according to CPI
Create perpetual Care Fund
2.
3. Create new purchasing parameters
4. Cremation Garden
5. Maintain northern cemetery property for future use as both cremation garden and green
burials
Consensus of the Council was to stop allowing recreation at the lower cemetery property
beginning July 1, 2019.
Mrs. Lauret said she did not like the rock cremation garden and would prefer vault-like
structures.
UPDATE -StormWater Master Plan
Mr. Price reviewed the Storm Water Master Plan and explained that staff was not recommending
a rate change. Rather, there were three project areas for unanticipated projects due to the Western
Union Canal abandonment. He reviewed the background on this item:
·Storm Water Master Plan and rate study adopted in January 2016
 In early 2017, the West Union Canal Company planned to cease operation of the canal.
The impact fee process was affected
Staff made a decision to revise the Storm Water Master Plan
He presented an aerial map of the City and explained that the Western Union Canal began at
Provo Canyon and ran along the eastern, southern and western edges of Orem. The most
problematic area was from University Parkway to State Street. Staff worked with Bowen Collins
& Associates (BCA) in identifying projects to take storm water out of the Western Union Canal.
Through this process, they re-prioritized projects from the previous plans. Estimated project
costs included:
City Council Minutes - February 27, 2018 (p.3)


Collecting storm water in southeast Orem ($1,014,000)
State Street pipe ($1,646,000)
·
Improvements to detention basin ($1,764,000)
Mr. Davidson said the amendments to the Storm Water Master Plan were significant enough to
be brought before the Council for approval. He noted that this would be an action item on the
agenda for the next formally scheduled meeting. He said the amendments would translate into
the impact fees.
Mr. Lentz asked if the projects were designed for ten years of coverage, and he was informed of
the affirmative. The detention basin was built for twenty-five years of coverage.
DISCUSSION -- Water Conservation Plan
Mr. Tschirki explained that as per State Law, the City was required to update its Water
Conservation Plan every five years. In 2o0o, Former Governor Mike Leavitt implemented a
statewide mandate for municipalities to reduce water consumption by twenty-five percent by the
year 2025. Mr. Tschirki said the City was making significant progress towards this goal. He
turned the time over to Mr. Winterton to review the goals and updates of the Water Conservation
Plan:
 2012 Goal #1: Reduce the City's ten-year per capita water use rate by at least five percent
?
in five years and fifteen percent in ten years.
02017 Update: The City's 2016 rate was 254, right on the desired rate. Additionally,
the ten-year average slightly decreased from 268 to 261. The 2012 rate was 296
next five years.
 2012 Goal #2: Develop an effective conservation-oriented water pricing structure within
one year.
2017 Update: This goal was met with the 2016 Water Master Plan and Financial Plan.
The approved Financial Plan recommended increased pricing for seven years to reach
a replacement schedule appropriate for the utility size. This goal was to remain and be
modified to read: “Goal #2 Follow the 2016 Water Master Plan and Financial Plan
published rates."
0 2017 Update: This goal was to continue to be in place. This goal should be met in the
next five years. A plan was in place to fund and replace aging meters.
2012 Goal #4: Perform a professional water loss study within two years.
2017 Update: This goal, although not completed within two years, was met through
。2
collaborative efforts with A WWA, State of Utah, and other Water professionals. The
new goal read: "Goal #4 Perform a water loss study every other year."
 2012 Goal #5: Develop and implement an effective water reuse plan.
o2017 Update: The 2016 Water Master Plan evaluated the water reuse as a future
project. The initial phases were to be implemented in 2018 and funding was in place.
Lakeside Sports Park and the Links at Sleepy Ridge would be part of the first phase.
The goal was to execute the existing plan.
· 2012 Goal #6: Increase the education to the public regarding water conservation.
City Council Minutes - February 27, 2018 (p.4)


2017 Update: The efforts by City staff reaching out to residents increased
dramatically. With the education efforts at the elementary schools, mailers, and social
media, the City reached out and provided conservation reminders, videos, and printed
material with updates regarding utility rates, lawn watering, indoor water use,
environmental stewardship, conservation rebates, and general wise water use
techniques. With the water meter replacement plan and increasing water rates, the
City had more opportunities to educate residents. This goal was to remain in place.
Mr. Seastrand asked how the Water Conservation Plan could be used to educate the public on
water conservation landscaping options. Mr. Winterton explained that Orem was a member city
in the Central Utah Water Conservancy District (CUWCD) which offered several programs in
this area. He suggested the City consult those resources.
Mr. Lentz said the natural resources stewardship and beautification commissions, as well as a
group from BYU, were working on water conservation landscaping plans such as xeriscaping.
Mr. Tschirki said these ideas would be brought to the Council in two weeks for adoption.
REPORT - Utah Risk Management Mutual Association (URMMA) Update
Mr. Paul Johnson, CEO, provided an update on URMMA and explained that member cities had
control over what happened in a settlement. Unlike standard companies, URMMA was a pool of
member cities that provided self-insurance. URMMA paid the money upfront and the affected
city would pay over five years, up to twenty-five percent of the base premium. The program was
set up by local officials who understood city limitations. They established a good risk
management program to keep claims down. There were sixteen member cities, with four of them
large cities. URMMA also provided significant training resources for member cities.
DISCUSSION - City Council Citizen Survey Input
Mr. Davidson reported on that week's Public Works Advisory Commission (PWAC) meeting.
Mayor Pro Tem Macdonald said the Council had asked the PWAC to study specific issues, and
at some point they needed to hand things over to them to move forward. He asked the Council
whether they felt comfortable with that now or if they preferred to continue the discussion to a
time when Mayor Brunst and Mr. Spencer could be present.
Mr. Lentz said there was no upside in waiting.
Mr. Seastrand said he was comfortable moving forward with the discussion.
Mrs. Lauret said PWAC's questions were good and she was comfortable discussing the results as
well.
Mr. Davidson said they were hoping to engage Utah Valley University (UVU) students in the
survey. By waiting, they could miss that opportunity.
City Council Minutes -February 27, 2018 (p.5)


Mr. Sumner said he was comfortable with leaving the matter up to the paid professionals;
however, he would like to include Mayor Brunst and Mr. Spencer in this matter.
Mayor Pro Tem Macdonald suggested corresponding via email and remaining sensitive to UVU
schedules.
5:00 P.M. STUDY SESSION-PUBLIC SAFETY TRAINING ROOM
CONDUCTING Mayor Pro Tem Tom Macdonald
ELECTEDOFFICIALS Councilmembers Debby Lauret, Sam Lentz, Mark
Seastrand, and Brent Sumner
Jamie Davidson, City Manager; Brenn Bybee, Assistant
APPOINTEDSTAFF
City Manager; Steven Downs, Assistant City Manager;
Greg Stephens, City Attorney; Karl Hirst, Recreation
Department Director; Richard Manning, Administrative
Services Director; Bill Bell, Development Services
Director; Scott Gurney, Fire Department Director; Gary
Giles, Police Department Director; Charlene Crozier,
Library Department Director; Chris Tschirki, Public Works
Director; Steve Earl, Deputy City Attorney; Jason Bench,
Planning Division Manager; Brandon Nelson, Finance
Division Manager; Neal Winterton, Water Division
Manager; Reed Price, Maintenance Division Manager; and
Donna Weaver, City Recorder
EXCUSED Mayor Brunst, Mayor; David Spencer, Councilmember
Preview Upcoming Agenda Items
Staff presented a preview of upcoming agenda items.
AgendaReview
The City Council and staff reviewed the items on the agenda.
City Council New Business
There was no new City Council business.
Mayor Pro Tem Macdonald mentioned that a resident had approached the Council about building
a covered patio that slightly encroached into his setback. He asked staff to elaborate on the
situation, and Mr. Bench reviewed the setback requirements that applied to the zone in question.
There was subsequent discussion regarding the planning rationale behind setbacks.
Mr. Seastrand mentioned the possibility of meeting with businesses in the Center Street node.
Mr. Bench said staff was in the process of organizing a meeting.
City Council Minutes -February 27,2018 (p.6)


Mr. Sumner asked if there updates on a citizen request pertaining to solar panels. Mr. Bench said
the citizen who made the request was not in compliance for another issue. A permit would not be
issued until the compliance violation was resolved.
The Council adjourned at 5:55 p.m. to the City Council Chambers for the regular meeting.
6:00 P.M. REGULAR SESSION -COUNCIL CHAMBERS
CONDUCTING Mayor Pro Tem Tom Macdonald
ELECTEDOFFICIALS Councilmembers Debby Lauret, Sam Lentz, Mark
Seastrand, David Spencer*, and Brent Sumner
(*participated electronically)
Jamie Davidson, City Manager; Brenn Bybee, Assistant
APPOINTEDSTAFF
City Manager; Steven Downs, Assistant City Manager;
Greg Stephens, City Attorney; Karl Hirst, Recreation
Department Director; Richard Manning, Administrative
Services Director; Bill Bell, Development Services
Director; Scott Gurney, Fire Department Director; Gary
Giles, Police Department Director; Charlene Crozier,
Library Department Director; Chris Tschirki, Public
Works Director; Steve Earl, Deputy City Attorney;
Jason Bench, Planning Division Manager; Jon Ditto,
Attorney;   Peter   Wolfley,
Assistant City
Communications Specialist; and Donna Weaver, City
Recorder
EXCUSED Mayor Richard F. Brunst
***Mr. Spencer jointed the meeting electronically*** at 6:00 p.m.
INVOCATION/
INSPIRATIONALTHOUGHT Sharp Mathews
PLEDGEOFALLEGIANCE Boy Scout Troop 640 presented the Colors and led the
Pledge of Allegiance.
The members of Boy Scout Troop 640 were presented certificates for their participation in
presenting the Colors and leading thePledge of Allegiance.
APPROVALOFMINUTES
There were no minutes considered for approval.
MAYOR'SREPORT/ITEMSREFERREDBY COUNCIL
Upcoming Events
City Council Minutes - February 27, 2018 (p.7)


Mayor Pro Tem Macdonald referred the Council to the upcoming events listed in the agenda
packet.
Appointments to Boards and Commissions
 n  s s   m s  n   z 
Wallace Harkness to the Summerfest Partnership Subcommittee. Mr. Seastrand seconded the
motion. Mayor Pro Tem Macdonald seconded the motion. Those voting aye: Debby Lauret, Sam
Lentz, Tom Macdonald, Mark Seastrand, David Spencer, Brent Sumner. The motion passed
unanimously.
REPORT -Beautification Advisory Commission
Aaron Orullian acknowledged his appreciation for Mr. Lentz's participation on the Commission.
He then turned the time over to Sean Orullian, who made a PowerPoint presentation in behalf of
the Beautification Advisory Commission. Mr. Orullian first reviewed the Commission's mission
statement. He then listed the members of the Commission. He noted that two members left the
Commission, so they were seeking new members. Mr. Orullian then reviewed the
accomplishments for 2017, which were as follows:
Adopt a Pot: These were large planters for businesses that did not have landscaping
space. The businesses purchased the pot at a discounted rate and then cared for the pot
during the growing season. As the year ended, the owners had the pots replanted at the
beginning of the next growing season.
Summerfest Parade: The Commission participated in this annual parade.
Arbor Day Celebration: Commission members participated in this event.
Blighted properties: The Commission's goal was to help individuals who were having
problems keeping up their property according to City Code by working with the
Neighborhood Preservation Officer to help these people improve the appearance of their
property.
Improvements to the Commission's Facebook page: When citizens received awards from
the Commission, the citizens’ pictures were put in the Facebook page, with their
permission.
Commission Video on YouTube: The Commission prepared a video about the
Commission's Adopt a Pot program and put it on the City's YouTube page.
·Awards:
o Holiday Decoration Awards: The Commission gave out five of these awards, which
were for residents and businesses.
Beautification Awards: These awards were presented to residents and businesses each
year. In 2017, the Commission gave out fifty of these awards to residents and three to
businesses. He showed some representative pictures of citizens’ yards and businesses
that had received Beautification Awards.
Goals for 2018:
 0 Centennial activities to beautify Orem: The Commission was excited to participate in
the efforts to celebrate the Centennial of Orem in 2019, by doing the following:
· Support and participate in the City's planning efforts to plant 100 trees for the
Centennial in 2019. The location of the trees was yet to be determined.
Be involved in project considerations, such as Center Street improvements
betweenI-15and800West.
City Council Minutes - February 27, 2018 (p.8)


· Be involved with any other Centennial activities or events that helped to beautify
the City.
OPromote worthwhile practices that enhance the beauty of Orem:
Encourage Orem residents and businesses to beautify their yards and properties
·
through recognition awards.
Recognize residents and businesses during the holiday season for their efforts in
decorating with lights and displays.
Work with City staff to consider updating xeriscaping policy.
■
Continue the Adopt a Pot Program.
Participate in the City's Arbor Day activities that help to sustains Orem's “Tree
City USA" designation.
oPromote the roles and activities of the Beautification Advisory Commission:
·Update and maintain the Commission's bulletin board at City Hall.
Continue to promote the Commission and beautification activities through its
Facebook page.
 Promote the Commission's goals and initiatives through additional online videos.
" Participate in the Summerfest Parade.
Aaron Orullian thanked the City Council for supporting the Beautification Commission's efforts
to make Orem a beautiful place. Mayor Pro Tem Macdonald expressed appreciation to the
Commission for what they did for Orem.
Mr. Seastrand noted that the newly-enacted tiered water rate encouraged water conservation.
      s  s   d   e 
Beautification Commission to consider how  the citizens could conserve water without
compromising the beauty of their yards. Sean Orullian said the City Code could be modified to
allow for more residential xeriscaping.
Melvin Rodriguez, of the Beautification Advisory Commission, stated that he had a degree in
landscape architecture. He explained that there were many things that could be done with yards
while still conserving water. The City needed to establish rules and expectations to implement
xeriscaping. He said he had designed some diagrams to illustrate how xeriscaping could be
implemented on residential properties.
Mayor Pro Tem Macdonald noted that Orem would turn 100 in 2019, so he anticipated additional
participation by the Beautification Advisory Commission.
Mr. Lentz said that he'd had the opportunity to work with the Commission for the past year. He
said that it was delightful to see the response of the citizens when they received awards for their
landscaping or holiday lighting. Aaron Orullian added that the Commission received great
support from the community.
PERSONALAPPEARANCES
Time was allotted for the public to express their ideas, concerns, and comments on items not
scheduled as public hearings on the agenda. Those wishing to speak should have signed in prior
to the meeting, and comments were limited to three minutes or less.
City Council Minutes - February 27, 2018 (p.9)


Richard Knufford said he had lived in Orem for over three years. He explained that the Second
Amendment of the U.S. Constitution was needed at the time of its enactment. Noting that he was
a twenty-three-year Navy veteran, he nonetheless felt that a change was needed to this
Amendment because of the tragic shooting event that had taken place in Florida.
CONSENTITEMS
There were no Consent Items.
SCHEDULEDITEMS
RESOLUTION - Approving_submission of  an application  to  the   State of  Utah
designating CertainTeed Corporation (SimTek) - 1330 West 400 North and Mity Lite -
1301 West 400 North properties as a Utah Recycling Market Development Zone
Ryan Clark, Economic Development Division Manager reviewed a recommendation to approve
the submission of an application to the State of Utah designating CertainTeed Corporation
(SimTek)-—1330 West 400 North and Mity Lite--1301 West 400 North properties as a Utah
Recycling Market Development Zone. He noted that SimTek Fence manufactured plastic fence
panels and posts with state-of-the art rotational molding equipment. SimTek was recently
      d       
       s    
employees and sixty manufacturing facilities throughout the United States and Canada. A new
lease with renewal options was executed on the SimTek facility ensuring the manufacturing
facility remained at this location for the time being.
CertainTeed's landlord was currently constructing a 38,0o0 square foot building expansion.
Pending finalization of negotiations, this would bring the SimTek division operation footprint to
just over 100,000 square feet. CertainTeed planned to add a new manufacturing line valued at an
investment of $1 million. In the near future, it was anticipated that an additional manufacturing
line would be installed bringing the overall total to two new manufacturing lines with a proposed
investment of $2 million.
In addition to the preceding anticipated investments, CertainTeed had acquired a grinder to
process recyclable material for reintroduction to the current and proposed manufacturing lines.
The operation currently ran twenty-four/seven. The business license application indicated
seventy-five current employees. Some growth in employment was anticipated with the addition
of the anticipated manufacturing lines.
Finished product was shipped to retail establishments throughout the United States and greater
than fifty percent of the finished product left the State.
As a result of the anticipated expansion, CertainTeed would like to apply for Utah State tax
credits associated with the Utah Recycling Market Development Zone program. The program
offered a one-time five percent credit on the purchase of new manufacturing equipment used
directly in a process that utilizes recycled materials, and a one-time twenty percent Utah State
City Council Minutes - February 27, 2018 (p.10)


income tax credit (up to $2,000) on associated eligible operating expenses. An example of how
this might work would result in a possible tax credit of $52,000 on the installation of a $1 million
production line.
If a business wanted to participate in this program, the local government agency must establish a
Recycling Market Development Zone and offer a local contribution. A Recycling Market
Development Zone in no way affected existing land use zoning. The City anticipated the local
contribution to include an expedited review of site plans through the development review
permitting process. If the State did not accept this as a local contribution, a reduction in the site
plan fee may be considered.
Mity Lite was located adjacent to CertainTeed. Mity Lite also used recycled materials in the
manufacturing of furniture including tables and chairs. Staff approached Mity Lite about this
program and Mity Lite was excited to be included in the application. If Mity Lite implemented
new manufacturing equipment in their processes, the business would also be eligible for this
  g n prs a o   a s e e o s
2018 and remain in place for a period of five-years
In response to Mr. Seastrand's question regarding the annual reporting requirements, Mr. Clark
said that the zone would be in place for five years, after which time the City would have to re-
apply for it. Therefore, there would be five years of reporting. He added that there was reason to
believe that the State Legislature might sunset this type of credit.
There were no further comments from the City Council members.
Mr. Seastrand moved, by resolution, to approve the submission of an application to the State of
Utah designating CertainTeed Corporation (SimTek)—1330 West 400 North and Mity Lite—
1301 West 400 North properties as a Utah Recycling Market Development Zone. Mrs. Lauret
seconded the motion. Those voting aye: Debby Lauret, Sam Lentz, Tom Macdonald, Mark
Seastrand, David Spencer, Brent Sumner. The motion passed unanimously.
Subsequent to Council, applicant discussion, Mr. Seastrand moved to clarify the correct address
in the motion to add the additional building. Mrs. Lauret seconded the motion. Those voting aye:
Debby Lauret, Sam Lentz, Tom Macdonald, Mark Seastrand, David Spencer, Brent Sumner. The
motion passed unanimously.
6:00 P.M. PUBLIC HEARING - Peyton's Crossing - Millhaven Homes
ORDINANCE - Amending Section 22-5-3(A) and the zoning map of the Orem City
Code by changing the zone at approximately 782 West 2000 South from the OS5 zone to
theR8zone
Mr. Bench presented a request from Tyrell Gray of Millhaven Homes that the City amend
Section 22-5-3(A) and the zoning map of the City of Orem by changing the zone on 8.89 acres
located generally at 782West 2000Southfrom the OS5zone to theR8zone.
The Southwest Annexation area was originally added to the City on August 9, 2016. At the time
of annexation, most of the area was zoned Open Space (Os5) until the area was ready to be
City Council Minutes - February 27, 2018 (p.11)


developed. The Orem General Plan listed the entire annexation area as a mixture of Light
ProfessionalServices.
The 8.89 acres that was the subject of this application was designated as Low Density
Residential in the Orem General Plan. The subject property was currently agricultural with four
existing homes. Millhaven Homes had acquired the property and would like to develop it under
the R8 zone. Under Millhaven's plan, the four existing homes would remain and an additional
twenty single-family homes would be constructed.
Mr. Bench noted that 20o0 South was a Provo City street. When the property was annexed, there
was an agreement between the two cities that Provo would own the property but allow Orem
accessonthatstreet.
The Planning Commission previously recommended that the City Council, by ordinance, amend
Section 22-5-3(A) and the zoning map of Orem City by changing the zone on 8.89 acres located
generally at 782 West 2000 South from the OS5 zone to the R8 zone. Staff supported the
recommendation of thePlanning Commission.
NOTE: This project was also referred to a Haven Cove.
Mr. Lentz asked about approval from Provo City to allow access to 2000 South. Mr. Bench said
that the approval had come from Provo City's Engineering Department.
  ps t  n nne n sn s py  fn ps n s
been a few property owners who did because they wanted to keep the property as agriculture.
Mayor Pro Tem Macdonald opened the public hearing.
Richard Wilkerson said he ran Wilkerson Farm to the east of the subject property. He had
attended the Planning Commission meeting. He expressed concern that he had desired to
purchase a portion of the property but could not compete with the amount the developer was
willing to pay. He expressed his regret that the parcel being considered for rezone was prime
farmland. He urged the leaders of Orem to make efforts to preserve the farmland in the area.
Mayor Pro Tem Macdonald closed the public hearing.
Mr. Seastrand expressed his appreciation for Mr. Wilkerson's attendance and comments. Mr.
Seastrand said he concurred that it would be nice to preserve farmland. There were some owners
who had their properties designated as agricultural zones. The transition from farms had been
going on for a long time. He noted that Orem used to have many fruit orchards that were now
residential areas. Mr. Seastrand observed that since the subject property was within the City
boundaries, the property owner had the right to develop his property as he saw fit.
Mr. Sumner asked if the rezone would impact access to surrounding farmland, and Mr. Bench
said it would not. The only stipulation was that there would be a connection to the north for
future development. Mr. Bench confirmed that 2ooo South was currently the only access for
ingress and egress.
City Council Minutes - February 27, 2018 (p.12)


Mr. Lentz said the property had been annexed before he was on the City Council. He asked about
the General Plan designation that was applied at the time of the enactment of the annexation. Mr.
Bench said it was part of an impact fee area and had a limited number of units available at the
time.
Mrs. Lauret asked what kind of homes would be built on the subject property. Tyrel Gray, of
Millhaven Homes, said they would be semi-custom homes. They would start in the high
$300,000 range.
Mr. Lentz moved, by ordinance, to amend Section 22-5-3(A) and the zoning map of the Orem
City Code by changing the zone at approximately 782 West 2000 South from the OS5 zone to
the R8 zone. Mr. Seastrand seconded the motion. Those voting aye: Debby Lauret, Sam Lentz,
Tom Macdonald, Mark Seastrand, David Spencer, Brent Sumner. The motion passed
unanimously.
6:00 P.M. PUBLIC HEARING - PD-6 Chatwin Homes - Strawberry Fields
ORDINANCE - Amending the Orem General Plan Map by changing the land use
designation on 10.9 acres from Professional Services (PS) to Low Density Residential
(LDR) located generally at 800 East Timpanogos Parkway
Mayor Pro Tem Macdonald said he needed to recuse himself because he had a conflict of interest
with the agenda item. He then left the room.
Mr. Seastrand moved to appoint Mr. Lentz to be the temporary Mayor Pro Tem. Mrs. Lauret
seconded the motion. Those voting aye: Debby Lauret, Sam Lentz, Mark Seastrand, David
Spencer, Brent Sumner. The motion passed unanimously.
At the invitation of temporary Mayor Pro Tem Lentz, Paul Washburn introduced himself and
said that he was representing the applicants. Rick Chatwin introduced himself and said he was
one of the developers and owners.
Mr. Bench reviewed the to change the General Plan designation for the 10.9-acre property
located generally at 800 East Timpanogos Parkway from Professional Services to Low Density
Residential. Mr. Bench emphasized that the only issue under consideration in the application
timewas therezoning of theland.
The properties located at 676 East Timpanogos Parkway and 759 East Timpanogos Parkway had
a general plan designation of Professional Services (PS) and were currently zoned PD-6. The
applicant requested the Orem General Plan be changed from Professional Services (PS) to Low
Density Residential (LDR).
Currently all the Technology Park area was zoned PD-6. The Ivory Homes development, located
South of the proposed property, is zoned Planned Residential Development (PRD).
The property was currently vacant. If approved, the applicant would pursue a zone change to
PRD. The applicant would like to build single-family homes and twin homes on the two
City Council Minutes - February 27, 2018 (p.13)


properties. The applicant previously applied for a zone change from the PD-6 zone to the PRD
zone on the 676 East Timpanogos Parkway property, but the City Council denied the request on
June 14, 2016.
The applicant's conceptual PRD development contained a total of fifty residential lots, which
worked out to thirty-eight single-family homes and twelve twin homes. The units were single
story with a basement in both the twin home and stand-alone style. Exterior finish materials
would consist of stucco, brick, and fiberboard siding. The height of the proposed units was
twenty-five feet.
Originally, this land was planned to be part of the Timpanogos Research and Development Park.
The property was a business park that accounted for thousands of jobs and contributed
significant revenue and tax base benefits to the City through property taxes and job creation.
Although these two parcels had not been developed, Staff was concerned about any General Plan
change that did not address how the proposed change would affect the entire office park in the
future. The City offered to help facilitate a study of the campus to revisit the long-term
development plan of the office park. Staff felt that without a comprehensive study of the existing
business park and potential redevelopment plan, the general plan amendment and subsequent
rezone was premature.
Although the property had been vacant for many years and the owner would understandably like
to develop the property immediately, Staff believed it would be in the best long-term interest of
the City to maintain the property for future office development, unless it could be shown through
a revised master plan of the office park that residential development was the only viable option
for the property.
A neighborhood meeting for the proposed rezone was held on January 31, 2018, at 6:10 p.m.
One hundred twenty-six people signed in and the minutes reported that by the end of the meeting
all attendees were reported to be in favor. Mr. Chatwin presented the layout and architecture of
the proposed homes while Mr. Paul Washburn explained about the master plan and zone change.
The meeting lasted an hour and five minutes.
The Planning Commission considered the request and recommended that the City Council
approve it.
Mr. Sumner asked about a study. Mr. Bench said that if some of the properties were taken out of
the park it would compromise the zoning.
Mr. Washburn next reviewed a history of the business park. He said the park currently had utility
and was a great business incubator for smaller companies. However, the park had experienced a
severe vacancy problem in recent years. Mr. Washburn said presently there was a forty percent
vacancy in the park. Right now there were approximately 980,000 square feet of office space in
the park. That included 2o0,000 square feet of basement area that had not been occupied since
WordPerfect left the park. Mr. Washburn noted that there were currently 4,298 parking stalls in
the project. As a result, under the City's current parking standard, there was room to add another
200,000 to 250,000 square feet of space within the current campus, not including the two parcels
City Council Minutes - February 27, 2018 (p.14)


that were under consideration. He noted that there was plenty of space for the park to expand;
however, there was currently no demand for expansion.
Mr. Washburn explained that another concern was that substantial development was taking place
elsewhere in Utah County and Salt Lake County which was impacting the Orem park. He then
then discussed some other options such as remodeling for smaller users such as dentists, doctors,
attorneys, title companies, etc. Those uses would require an increase in retail and restaurants that
supported businesses. However, the neighborhood had been opposed to those ideas. Mr.
Washburn said that over the last twenty years, the owners of the property had explored many
ways to market and use the property. He said taking the eleven acres out of the property made
sense because they were reasonably close to the existing residential area, and the proposed
development would be low-impact, especially in terms of traffic.
Mr. Spencer asked if ownership had changed hands recently. Mr. Washburn said the current
owners of the past several years were still in control of the property. When Mr. Davidson noted
there were some foreclosure proceedings taking place, Mr. Washburn agreed, adding that the
Mrs. Lauret observed that the request from last year was for a smaller parcel. Mr. Washburn said
that it was for a three-acre piece only.
Mr. Sumner asked if a traffic study had been conducted for the subject property and proposed
use. Mr. Washburn replied in the negative, noting that a traffic study would typically take place
 o  p sm dd   pn  snd ns e m o 
roads and that the traffic would be far less than what was anticipated for the original use of the
land.
Mayor Pro Tem Lentz asked about a neighborhood plan that had been adopted and how it might
align with this project. Mr. Bench said that low-density residential should fit within the overall
plan for this area.
Mr. Chatwin was invited to comment on the proposal under consideration. He explained that a
year ago, the property owners of the Canyon Park were opposed to the proposed development.
However, since then it had been decided that the best thing would be to add 7.9 acres to the
3.2 acres, and develop those parcels as one piece.
In response to Mrs. Lauret's question about the cost of the new homes, Mr. Chatwin said they
would be in the upper $400,000 to low $500,000 range.
Mr. Seastrand said he was very interested in hearing from the neighbors and surrounding
property owners. The proposal would create a peninsula or island of the remaining lower two
business buildings in the park, and he asked if that would create a problem in the PRD zone. Mr.
Bench said anything done on the site could be impacted if it was surrounded by residential
property. Mr. Seastrand said blending housing and commercial seemed to be a compatible mix of
land uses. He then asked if the area under consideration might become that type of land use.
Mr. Washburn said the politics of such a mix might be difficult for the subject property. He said
that for such an option to be viable, the residential area would have to be higher density and
City Council Minutes - February 27, 2018 (p.15)


consist of lower cost housing. Reason being, the proposed housing would work for people in
mid-level and senior-level management and not people who were just entering the workforce.
Mr. Seastrand asked what the City could do to revitalize the park. Mr. Bench said it would be a
matter of hiring an independent consultant to see how the property could be developed moving
forward. The park had been in place since the mid-1980s. There was the potential for it to be a
job creating location, but once that was changed, it could not be brought back.
Mr. Davidson noted that the area was part of an old redevelopment area. There would be money
available within the RDA to hire a consultant. He added that if this property were to continue to
blossom as a redevelopment area, the taxing entities would need to be approached again and re-
engaged to create a community development area (CDA) under current State law. The RDA was
created in 1990, so there were different laws that governed those types of projects then. Mr.
Davidson added that, from staff's perspective, the Canyon Park Technology Campus had been a
vital part of Orem and had generated many businesses that were now flourishing in Utah Valley.
Mr. Washburn said the proposal was for a small portion of the parcel that was currently vacant.
He noted that there would still be a million square feet of office space that would not be going
away. He added that one of the reasons this property was chosen was the fact that it was the only
100 acres in Orem available where people could not see Geneva Steel. He noted that Geneva
Steel had been a major factor in trying to attract businesses into the City. Mr. Washburn agreed
that the community needed to build jobs, but he thought it would make more sense to focus on
the I-15 corridor where businesses seemed to want to be rather than an area that was a mile off of
I-15 and required navigational skills to find.
Mayor Pro Tem Lentz asked if the vacancy rate had increased, and Mr. Bench replied that it had.
Mayor Pro Tem Lentz opened the public hearing.
Mike Jasper said he had been an Orem resident for fifty-six years and noted that he lived near the
property. He had lived in Chatwin Homes on several occasions and loved them. He said the
Chatwin-built subdivisions were beautiful and well maintained. As a neighbor, he would prefer
those nice homes to commercial development.
John Baer said he would be happy to buy a Chatwin home. They were beautiful and of high
quality. He stated that the three-acre parcel was an eyesore because of the weeds and trash that
abounded on the property. He supported the rezone proposal.
Dave Noble said the three-acre parcel was currently a weed patch. He noted that the parcel had
been for sale for many years with no interest in buying it, except for a charter school that had
been denied. Mr. Noble explained that he had invited his neighbors to his home to meet with Mr.
Chatwin. All twenty-seven neighbors had voted in favor of the project. Mr. Noble said he had a
strong business background and believed that businesses would not lease the property that used
to belong to WordPerfect. He said the best hope was to have some very small businesses there.
Tom Dokudorph said he was in favor of the property being used for residential. He added that
the traffic going in and out of the park had gotten much lighter, so the occupancy rate of the park
had gone down. He reiterated the quality of Chatwin homes. He concurred with Mr. Noble's
assessment of the type of businesses that would locate in the business park.
City Council Minutes - February 27,2018 (p.16)


Guy Grenny said the subject property was not well cared for, and he would like to have nice,
low-density homes there.
Diane Frazer said she had often thought the area would be a good place for some nice houses
because the property had sat empty for many years.
Joshua Boat said he used to work in the business park, so he was aware of the fact that it was
losing its tenants and not doing very well. He said the price point of the proposed homes would
be a nice draw for the business area.
Joseph Walker said he had one neighbor who worked in the park and was able to walk there. He
said there would be a swell of opposition if the City wanted to develop commercial, such as
restaurants, in the area. If the park was willing to give up that parcel for residential use, it would
be the best use for that piece of ground. Mr. Walker said he was not aware of anybody in the
subdivision where he lived that would be opposed to the residential use of the subject property.
Mayor Pro Tem Lentz closed the public hearing.
Mr. Seastrand asked if the surrounding businesses were against the proposal. Mr. Bench said that
one of them had come to the Planning Commission meeting in opposition because he didn't want
to be surrounded by residential property.
Mr. Seastrand expressed his appreciation for the historical perspective that Mr. Washburn had
provided. Mr. Seastrand then noted that the current trend was development around the freeway.
He said there would still be enough room to develop businesses in the park. He also said he
would still like to see a development plan for the area to see what factors were driving the
business environment.
Mr. Seastrand then moved, by ordinance, to amend the Orem General Plan Map by changing the
land use designation on 10.9 acres from Professional Services (PS) to Low Density Residential
(LDR) located generally at 800 East Timpanogos Parkway. Mrs. Lauret seconded the motion.
Those voting aye: Debby Lauret, Mark Seastrand, David Spencer, Brent Sumner. Those voting
nay: Mr. Lentz. The motion passed 5-1.
***Mayor Pro Tem Macdonald returned to the meeting at 7:34 p.m. ***
COMMUNICATIONITEMS
The Monthly Financial Summary for January 2018 was included in the packets distributed to the
Council.
CITY MANAGERINFORMATIONITEMS
These items were moved to the premeeting discussion.
City Council Minutes - February 27, 2018 (p.17)


ADJOURNMENT
Mr. Sumner moved to adjourn the meeting. Mr. Lentz seconded the motion.Those voting aye:
Debby Lauret,Sam Lentz,Tom Macdonald, Mark Seastrand, David Spencer,Brent Sumner.The
motionpassed unanimously.
Themeeting adjourned at 7:36p.m.
OREM
CORPORATE
SEAL
DonnaR.Weaver,CityRecorder
Approved: March 27,2018
CityCouncilMinutes-February27,2018（p.18)