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Resolution No. 17-20 CITY OF TIGARD,OREGON TIGARD CITYCOUNCIL RESOLUTION NO. 17-a� A RESOLUTION AND FINAL ORDER APPROVING THE MEDICAL CENTER USE IN THE PROFESSIONAL COMMERCIAL (C-P) ZONE, ADOPTING SUPPLEMENTAL FINDINGS IN SUPPORT OF COUNCIL'S DETERMINATION, AND DENYING THE APPEAL OF THF, HEARINGS OFFICER'S FINAL ORDER NO.CUP2016-00004/VAR2016-00004. " avr-a\ WHEREAS, The Hearings Officer initially reviewed this case at a public hearing January 9, 2017 and kept the record open for additional testimony by the applicant and the City on the question of the "medical center" use classification;and WHEREAS, The Hearings Officer issued a Final Order No. CUP2016-00004/VAR2016-00004 approving the application with a condition requiring the applicant to obtain a Director's Interpretation approving the proposed use as permitted in the C-P zone;and WHEREAS, Staff mailed notice of Final Order CUP2016-00004/VAR2016-0004 to interested parties on February 13,2017. WHEREAS, the Appellant,Autonome ASR,LLC,by Jeffrey Bowersox,having standing to appeal, timely filed a Notice of Appeal on February 27,2017;and WHEREAS, City Council held a public hearing on the appeal on March 28, 2017, which was continued at the request of the Appellant to April 4,2017;and WHEREAS, City Council concluded at the April 4, 2017 hearing that the proposed "medical center" use is permitted in the C-P zone,addressed the substantive traffic issue on appeal,and denied the appeal. NOW,THEREFORE,BE IT RESOLVED by the Tigard City Council that: SECTION 1: The Tigard City Council denies the Autonome appeal of Madrona Recovery Center, CUP2016-00004/VAR2016-00004. SECTION 2: The City Council adopts the Hearings Officer's Final Order, except insofar as the Hearings Officer concluded the proposed facility was not a medical center. Council finds the proposed facility is most closely described in Code as a medical center and is a permitted use in the C-P zone. Council further adopts the supplemental findings attached hereto as Exhibit A and incorporated herein by this reference. SECTION 3: This resolution is effective immediately upon passage. n � PASSED: This '4 day of 2017. Mayor-City of Tigard ATTEST: Kelly Burgoyne,Deputy City Recorder RESOLUTION NO. 17-a Page 1 EXHIBIT A a J J W Z ` Zoee Lynn Powers a zpowers@radlerwhite.com Wf+ J, 971-634-0215 Q March 21, 2017 C Y Q Tigard City Council 13125 SW Hall Blvd. CL W Tigard, OR 97223 H RE: Madrona Recovery Center(CUP2016-00004&VAR2016-0004) UJ DC Mayor and Councilors: O Madrona Recovery("Madrona") seeks approval of a Conditional Use Permit changing the use of an existing commercial office complex to a medical center—specifically an adolescent mental health and substance use disorder treatment facility—at 6996-7000 SW Varns Street.The proposal is for an adaptive reuse and interior remodeling of properties that have been vacant for three years, under application numbers CUP2016-00004&VAR2016-0004.The facility is designed to provide high-quality, short-term,trauma-informed care to stabilize youth in crisis and work with the youth and their families to bridge care from an emergency,to inpatient care at the property,and finally to ongoing outpatient support.The Hearings Officer approved the Conditional Use Permit("CUP") application in a Final Order - dated February 13, 2017,subject to conditions. I. Madrona is a Medical Center Type Use The CUP process is designed to analyze the site suitability and impacts of the proposed use on the neighborhood and public facilities.TDC 18330.030.A. In this case,the Hearings Officer did that analysis,followed the CUP process, meticulously examined this proposed use and its minimal off-site impacts, and, after consideration of those factors,approved the CUP. The reason we are in front of City Council now is that the Hearings Officer had questions about classifying Madrona as a "Medical Center"use and, because of his uncertainty, he requested another review to make that classification decision. We ask that City Council agree with the planning staff's interpretation of the code that this is a "Medical Center"type use for the following reasons. Under the code, a "Medical Center" use has the"characteristics" of"providing inpatient, outpatient, and emergency and related ancillary services to the sick and infirm[.]"TDC 18.130.050.G.1. The listed "characteristics" of a use in the code, of course,cannot cover every possible use. Rather, "[u)ses are assigned to the category whose description most closely describes the nature of the primary use."TDC 18.130.015.A.1. The Hearings Officer felt uncomfortable being the final decision-maker that classified Madrona Recovery as a Medical Center use.The Hearings Officer conditioned the approved CUP on Madrona seeking a Director's Interpretation to place the proposed use in the"Medical Center" category.That {00650107;3} a Tigard City Council J March 21, 2017 W Page 2 G , Z ` Q X Director's Interpretation process, however, is for"omitted" uses that were "unanticipated" or � "unintentional[ly] omi[ted]." For example, if the code had been written before the internet, an internet Q ` caf6 use would have been unintentionally omitted because that category of uses simply had not existed before. N MIn this case,there is an existing use category with characteristics that"most closely describe[] Q the nature of the primary use": Medical Center. As noted, a "Medical Center" use has the CL "characteristics" of"providing inpatient, outpatient, and emergency and related ancillary services to the LU sick and infirm[.]" Madrona Recovery will do all these things for its patients. = First, as with any medical center, most patients and their families will come to Madrona in an emergency situation stemming from a mental health or substance abuse emergency.See"Emergency" Webster's Third New International Dictionary, Unabridged, Web: 19 Mar 2017 ("an unforeseen W Gcombination of circumstances or the resulting state that calls for immediate action"). Madrona's written Q admission criteria clearly articulates the emergent nature of the conditions it treats. For example, a child p� would be a candidate for admission if they presented with suicidal ideation,self-endangering behavior, substance abuse, or an inability to maintain adequate nutrition or self-care. Madrona triages and addresses immediate safety needs of these patients, such as by medicating for detoxification, monitoring for signs of withdrawal, and providing emergency counseling services and constant monitoring. Second, Madrona will provide short-term inpatient treatment to stabilize patients.Therapists, counselors,a nursing team, and a psychiatrist will provide care 24 hours a day,seven days a week, generally for 14 to 21 days depending on the patient's needs. Patients undergo a psychiatric evaluation, a thorough history and physical,a nursing assessment and laboratory tests, a chemical dependency assessment, a nutritional assessment, and other evaluations.As problems are identified,their treatment needs are prioritized, and strategic interventions are implemented. Third, Madrona helps its patients to successfully transition from its structured inpatient program to outpatient supports and services in their home communities.This outpatient service provides the continuity of care that patients critically need to maintain the gains they have achieved during their inpatient stay. Utilizing advanced telemedicine technologies, patients and their families are provided ongoing therapy from their counselor at Madrona via secure video-conferencing,an approach which increases patient chances of continued treatment success and reduces traffic to and from the site. Finally, Madrona will provide "ancillary services," including administrative services, kitchen and dining services, housekeeping and maintenance, as well as fitness and activity programing. Madrona frequently describes their services as a "bridge"that allows patients and their families to move from crisis situations,through an intensive impatient program, into a supported outpatient treatment,and ultimately back to leading healthy full lives.Just as a patient with a broken leg may initially go to urgent care for emergency services and then have a period of inpatient treatment for surgery with outpatient follow up,these mental health and substance abuse disorder patients follow a similar path to recovery through Madrona. {00650107;3} CL Tigard City Council March 21, 2017 Ck W Page 3 C . Z XThe Tigard Planning Staff came to the same conclusion: "The City believes that the proposed � recovery center is characterized as Medical Center. . . ." Gary Pagenstecher,Associate Planner, City of Q Tigard Memorandum: Request from the Hearings Officer for a Use Category Interpretation for the Madrona Recovery Center Conditional Use(January 31, 2017). If City Council cannot conclude today that Ythis is a Medical Center within the meaning of the code, Madrona can obtain a Director's Interpretation pd formalizing the opinion of the Planning Staff. Q LU II. Autonome ASR, LLC's Appeal r` — = Autonome ASR, LLC("Autonome") is the property holding entity on the site next to the proposed use,and the only neighbor who has objected to Madrona's proposed medical center. ui The majority of Autonome's arguments—that the Hearings Officer needed to decide this was a p Medical Center use and that he could not defer the issue to a Director's Interpretation—are not correct because the City Council has the authority to make the use interpretation in this appeal.TDC 18.930.050. City Council will take testimony and evidence on the issue of the correct use, possibly including evidence not presented to the Hearings Officer, and will make a decision on the CUP application. In fact, rather than the code conferring on the Hearings Officer"exclusive jurisdiction"to decide on a conditional use, as Autonome asserts,the definition of"conditional use' provides for an "approval authority"to make the decision following a public hearing, and an "approval authority"can be "either the director,the initial hearing body,or the council, depending on the context. . . ."TDC 18.120.030.22. The context here is the appeal of a Type III procedure, and City Council is empowered to decide that this is a Medical Center use and finalize the approval of the CUP. Although irrelevant at the City Council level, it merits mentioning that Autonome seems to have missed important code sections when it states that a Director's Interpretation would mean "Autonome will have no local appeal rights."Chapter 18.340,titled "Director's Interpretations," provides that"[t]he applicant and any party who received such notice or who participated in the proceedings through the submission of written or verbal evidence of an interpretation may appeal the director's Interpretation to the city council within 14 days. . . ."TDC 18.340.020.The notice of appeal is pursuant to TDC 18.390.040.G.2, exactly the same as the procedure to appeal that Autonome used to file the present appeal to council. Finally, it is unclear why Autonome believes Madrona did not provide the required impact analysis for the CUP application.As part of the Type III procedure for initial CUP applications under TDC 18.330.020.A, Madrona submitted the required impact study "quantify[ing]the effect of the development on public facilities and services."TDC 18.390.050.B.2.e. If Madrona had not submitted this paperwork,the application would not have been accepted as complete.The Impact Study and Traffic Impact Statement are attached as Exhibit A for convenience. Autonome states that Madrona never analyzed "the additional traffic impact this facility will create"—when, in fact,the attached Traffic Impact Statement concluded that the current general office use would produce 120 trips per day and the new, proposed use would produce only 62 trips per day. The Staff Report, dated January 2, 2017, shows that "the City's Engineering review did not identify any outstanding public facility capacity issues {00650107;3} CL Tigard City Council March 21, 2017 W a Page 4 a Xz with the fully developed site [and that]there is adequate capacity in the public facilities that serve the site." Staff Report, p.5. a � III. Conclusion Madrona asks that City Council classify its proposed use as a Medical Center and finalize the approval of the Conditional Use Permit for 6996-7000 SW Varns Street. CLW H p� Sincerely, W �Zoee Powers {00650107;3} EXHIBIT A Impact Study and Traffic Impact Statement Traffic Impact Statement 6996 & 7000 Varns Street Tigard, Oregon 97223 The existing buildings total approximately 10,296 square feet of usable office space. One of the buildings has an unfinished basement that was used for storage. Based on ITE manuals, a general office produces 11 .7 daily trips per 1,000 gross square feet. In its existing use this would produce 120 trips per day. The proposed use will be a total of 23 beds of inpatient medical rehab. The ITE classifies this as a Nursing Home with a land use code of 620. The average daily trips is 2.7 trips per bed. This would put the average daily traffic at 62 trips per day. All use classifications are based on the ITE manual and are not meant to match the City of Tigard's land use classifications. The closest use was selected from the ITE list of uses. As you can see this is a reduction in traffic over the existing use of the buildings. {00650107;3} EXHIBIT A CONT. Madrona Recovery Center Impact Study 6996 & 7000 SW Vams Street Tigard, Oregon 97223 This document will address the impact that this project will have on the public and private infrastructure within the City of Tigard, Washington County and Clean Water Services. The project is a conversion of two existing office buildings. The North building is a two story building with a basement. The two above grade floors have a total of 6,899 square feet with the basement being 2,459 square feet. The Southern building is two stories with no basement. The total square footage of the South building is 3,397. The previous use of the building was office space and more specifically they were law offices for a single tenant. The new use will be an inpatient adolescent mental health and substance use disorder treatment center. The nature of the proposed use is much less taxing on public infrastructure in many ways and will be discussed in more detail in the following statement. Transportation System: As offices, the existing buildings could employ approximately 40 workers that mainly work 8 a.m. to 5 p.m. Monday to Friday. The treatment center will have 32-35 employees. There will be approximately 10 employees per shift and the center will be open 24 hours a day. The overload on the street system will be less than the previous use at peak hours. This use should have approximately 20-30 peak trips in the AM and PM hours. Dike-Rays: New bike racks will be installed on the property to meet the City requirements. The nearest bike lanes and bus lanes are located on SW 72^'Avenue, which is less than 0.5 miles from the site. No patients of the facility will have access to public transportation during their time at the center. {00650107;3} EXHIBIT A CONT. Drainage System: The site currently has a public storm sewer conveyance system on the north side of the private access easement that is against the Southern ramp to Highway 217. The site also has a storm water quality and detention area that was built when the second building was constructed about 8 years ago. There will be a small amount of impervious surface added to the site for a single basketball hoop. This small addition can have the storm water treated and managed by the existing facility. Parks: The closest park to the site is Potso Dog Park. It is about a 0.6 mile walk from the site. The nature of this business does not negatively affect the park system. The buildings are secured for safety and all outdoor activity are secured to the site for the patients. Water and Sewer System: The two buildings are currently served by the public water system. This use will, by nature, use more water. The following usage per day is based on the industry averages for the specific fixtures. The use may be more or less than approximated based on the building patient load and time of day. The North building will add three wash sinks, three toilets, one clothes washer and one shower. The South building will add one wash sink and one toilet. Based on industry averages these added fixtures could add between 300 - 400 gallons of water per day to the existing use of the site. {00650107;3} EXHIBIT A-2 City of Tigard Memorandum To: Joe Turner, City of Tigard Hearings Officer From: Gary Pagenstecher,Associate Planner Re: Request from the Hearings Officer for a Use Category Interpretation for the Madrona Recovery Center Conditional Use (CUP2016-00004/VAR2016-00004) Date: January 31,2017 Description of the proposed use, as described by the applicant: "The proposed Madrona Recovery Center will be a licensed adolescent mental health and substance use disorder treatment facility. This facility is designed to provide short term inpatient treatment that will prevent patients from entering higher levels of care. The program goal is to provide short-term, high-quality, trauma-informed care that will stabilize youth, educate their families, and assist them to bridge their care from an inpatient to an outpatient setting. Adolescents 13-17 years of age with mental health and substance use disorders will receive care for 14-21 days in a secure and stabilized environment. The facility will be staffed by therapists, milieu counselors (mental health techs), a nursing team and a psychiatrist who specializes in working with adolescents and their families. With an overall staff of 32-35 people providing 24/7 care, the average number of staff per shift is about 10." City's comment on whether the use category Medical Center or Transitional Housing is more consistent with the proposed use: The following is the process described in the code for determining which use category is assigned to a particular land use. 18.130.015.A Considerations 1. The "Characteristics" subsection of each use category describes the characteristics of each use category. Uses are assigned to the category whose description most closely describes the nature of the primary use. . . . 2. The following items are considered to determine what use category the use is in, . . . a. The description of the activity(ies) in relationship to the characteristics of each use category; Section 18.130.015.D discusses the use of examples and states that "the names of uses on the lists are generic. They are based on the common meaning of the terms and not on what a specific use may call itself." Thus, when seeking to determine the appropriate use category, the "Characteristics" section takes precedence and controls over the generic and non-binding "Examples" section. This method of interpretation is consistent with the City's practice. For this specific case, the following is a description of staff's evaluation of the proposed use compared with each use category identified in the Hearings Officer's Continuance Order: 18.130.050.G Medical Centers 1. Characteristics: Medical Centers are facilities providing inpatient, outpatient, and emergency and related ancillary services to the sick and infirm, and are usually developed in a campus setting or on multiple blocks. The City believes that the proposed recovery center is characterized as Medical Center because it provides inpatient and related ancillary services to the sick (mentally and/or substance abuse) and because the two-building facility provides a campus-like setting. The proposed activity, "to provide short term inpatient treatment that will prevent patients from entering higher levels of care" best matches the characteristics of the Medical Center Use Category, "facilities providing inpatient, outpatient, and emergency and related ancillary services to the sick and infirm." 18.130.040.0 Transitional Housing 1. Characteristics: Transitional housing is characterized as public or non-profit living facilities possessing the same characteristics as Household or Group Living, but with tenancy less than 45 days. The City believes that this category is not applicable because the proposed use is 1) for profit and 2) not as clear a fit with the characteristics description. Medical Centers specifically describes inpatient treatment,whereas Transitional Housing does not. 18.130.080.0 Detention Facilities 1. Characteristics: Detention facilities are uses devoted to the judicially required detention, incarceration, or supervision of people. The City believes that this category is not applicable because the proposed use is not judicially required and is therefore not consistent with the characteristics for Detention Facilities, and does not warrant any further reading of the category. EXHIBIT A-3 _ City of Tigard Memorandum To: Mayor Cook, and City Councilors From: Gary Pagenstecher,Associate Planner Re: Public Hearing for Appeal of Hearing's Officer Decision to Approve Madrona Recovery Center CUP2016-00004/VAR2016-00004 Date: March 21, 2017 The following is a revised finding to address the Appellant's third assignment of error: 3. The hearings officer erred in concluding that Madrona demonstrated compliance with TDC 18.330.030.A.3 given the lack of any traffic impact analysis. TDC 18.330.030.A.3 states: All required public facilities have adequate capacity to serve the proposal; Pursuant to 18.390.050.B.2.e, the applicant provided an Impact Statement summarizing that trip generation would be reduced under the proposed medical center use from the prior office use of the site. The applicant also provided a Traffic Impact Statement showing the ITE Manual trip generation for the proposed medical center use would be approximately half of what was permitted under the existing office use. Pursuant to 18.810.020.A, proposed development must address the applicable standards in 18.810 for potential impacts to Streets and Utilities. Since the site does not have frontage on a public street (Varns terminates into a private drive), public streets improvements are not applicable. The City's Engineering review did not identify any outstanding public facility capacity issues with the fully developed site. Therefore, there is adequate capacity in the existing public facilities that serve the site. This criterion is met.