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City Council Special Meeting - Includes Action Taken
Meeting Date: 08/16/2017  
Recommended by: Paul Tice Prepared by: Jim Gagliardi, Planner
Finance Director Review:    Celina Morris  
City Attorney Review:    Brett Wallace  
Approved by:    Larry Rains Date Submitted:    07/03/2017
Type of Action Requested:    Ordinance, Formal Action/Motion, Public Hearing

Request by Gilmore Planning on behalf of Casa Grande Mountain Ranch Limited Partnership and others to amend the Regional Gateway Commerce Center PAD (Exhibit A), between  Interstate 8 and Jimmie Kerr Blvd, west of Interstate 10 to create the Dreamport Village North PAD. The proposed amendment would replace the previously-approved office campus land use to allow a resort commercial land use, specifically for a recreational extreme sports-outdoor amusement theme park, a resort hotel, indoor waterpark, gated RV park, restaurants, and a retail/marketplace.  The amendment proposes to revise the master circulation plan of the previously-approved PAD and incorporate new areas that previously were outside of the PAD zone currently zoned I-1 and UR.  
At its March 2, 2017 public hearing, the Planning and Zoning Commission voted unanimously to forward to City Council a recommendation to approve DSA-17-00002, Dreamport Villages Casa Grande North, subject to staff's technical modifications and conditions (Exhibit B - PZ Staff report, Exhibit C - PZ minutes, and Exhibit D - technical modifications and conditions).     Since that time the technical modifications have been addressed; therefore the recommendation is to approve DSA-17-00002 with the following conditions:
  1. A Master Water Report that details the water demands, sources and facilities needed to serve the PAD shall be submitted and approved by Arizona Water Company and the City prior to approval of any Major Site Plan within the Dreamport North or South PAD.
  2. A Master Wastewater Report that details the wastewater demands and treatment facility shall be submitted and approved prior to approval of any Major Site Plan within the Dreamport North or South PAD
  3. A Master Drainage Report shall be submitted and approved prior to approval of any Major Site Plans within the PAD. Said report to provide details regarding:
  • The source and amount of off-site flows that are impacting the site and how said flows will be transmitted through the site.
  • How development will occur within the Special Flood Hazard Area A in compliance with the City’s special flood hazard area regulations.
  • The amount of additional stormwater that will be created with the development of the site and how said stormwater will be managed and retained.
The proposed Dreamport Villages Casa Grande North Planned Area Development (PAD) is 618-acres in size. It is an amendment of the 525-acre Regional Gateway Commerce Center PAD currently approved for office, business park, and light industrial and hotel uses with allowed heights up to 100 ft.  An additional 93 acres currently zoned UR (Urban Ranch) and I-1 (Garden and Light Industrial) are being included and rezoned with the new PAD to accommodate Dreamport Villages Casa Grande North PAD.  This PAD proposes a resort commercial land use which would include hotels, an indoor water park, an extreme sports park featuring motor, water, and skill based sports such as wakeboarding, and Go Kart tracks. Other aspects of the request include outdoor live entertainment, a marketplace, movie studio, RV park;, warehousing, restaurants, a future train station, and utility facilities such as wastewater and well sites.  The resort hotel is proposed to have a maximum height of 260 ft., with outdoor recreation/amusement park structures proposed to have a maximum height of 400 ft.  

With this change in land use, a master circulation plan and study have been developed to address the estimated traffic generated into and out of this area (Exhibits E-1 and  E-2).  As each portion of the park develops, a specific Traffic Impact Analysis would be required to examine what portion of the Traffic Circulation Study needs to be implemented at the Major Site Plan review stage which gets submitted for approval by the Planning & Zoning Commission.    
There would be an intersection with a parkway planned to serve the PAD and I-8 at the Henness Rd. alignment where a new interchange would be constructed with Interstate 8.  This parkway would meander to the east slightly and be developed as an overpass over the UPPR (Union Pacific Railroad) and Jimmie Kerr Blvd to Selma Highway. Ultimately, it would proceed north to Florence Blvd following a proposed alighment that lies east of Mitchell Rd.  Transportation details are still being studied as to how best carry traffic traveling to the site from the north.  Ultimately, there will be an interchange at Selma Highway and Interstate 10. In the interim, there is  analysis occurring regarding how to mitigate roadways further north to handle impact of the added traffic, mainly on  Florence Blvd between its I-10 interchange and the intersection with the new parkway.   The first phase of the development, a hotel with an indoor water park would require only a relatively minor portion of traffic improvements versus what will be constructed when the entire project is completed. The major improvement associated with the first phase is the construction of an interchange at I-8 and the Henness Rd. alignment, and an overpass over UPPR and Jimmie Kerr Blvd leading to Selma Highway (Exhibit E-1).   

In addition to vehicular circulaton, this amendment proposes to also reflect regional trails that are identified in the City's Regional Park and Trail plan to extend through the north PAD, primarily following the canal system, leading from the community trail at Casa Grande Mountain northward through the development toward the primary parts of the City. Implemnation of these trails would occur at the time of platting and Major Site Plan approval. 
A water and waste water impact reports were submitted with the PAD. A privately-constructed and operated waste water facility is proposed for this project; as well as a water campus to serve both the north and south Dreamport developments.  Public Works requires that a more detailed Master Water and Sewer Report be provided for review.  This will contain specific information on the water and wastewater infrastructure that needs to be constructed to serve the proposed development be submitted and approved prior to approval of any Major Site Plan within the PAD.  
There is an existing Analysis of Assured Water Supply issued by ADWR for the existing PAD that extends through July of 2018. Based on the current Analysis of Assured Water Supply, the Project has available water rights that are more than adequate for the full build-out of this project. The Project will be implementing additional water analyses as well as updating and extending the Analysis of Assured Water Supply for the later phases of the Project. The Project is located with the Pinal Active Management Area and all requirements for establishing assured water rights apply as conditions for approving Final Plats. 
There is an existing 12” water line within the Project that extends along the Cox Road alignment and continues under I-8 to the south. Although there are other potential connections for water service north of Jimmie Kerr Boulevard, the required volume for the Project dictates a larger more comprehensive solution involving storage tanks and pump stations to satisfy demand for domestic and fire services. Details of the final layout and associated improvements will be dictated by the Arizona Water Company who will establish locations for water infrastructure facilities, which may occur on-site and off-site based on the area requirements surrounding the PAD. If there is a decision to place a ‘water campus’ on-site, the preferred location will be along the north boundary where the waste water treatment plant and electrical substation are also being planned. The location, service access and buffering will be included with first application for Major Site Plan Approval.  These facilities will be installed by the Project and be dedicated to and maintained by the Arizona Water Company.
Integral to the Project will be water based amenities.  Plans call for a water taxi system that can transport guests from parking areas to the Resort, to the Extreme Sports Complex, to the Adventure Zone, and to the future Amtrak Station. Waters sports will include 2 wake board cable systems on an approximate 7.5 acre lake treated for full body contact, and a separate 12-15 acre lake used primarily as a visual amenity for the resorts and water taxis.
The source of water for these amenities relies on the surface waters available from the San Carlos Irrigation and Drainage District (SCIDD). The Project will develop a network of water features with canals and adjacent walkways which will be integral to the pedestrian experience. SCIDD has qualified that as long as these water features are designed as a storage reservoir(s) used as a means to balance irrigation demands throughout the downstream network, then the State’s restrictions limiting surface area will not apply. SCIDD has been planning for this type of reservoir which the Project has been able to capitalize for the benefit of the both the Project and SCIDD. Because these storage reservoirs are situated outside SCIDD’s service boundary, the Project cannot draw water for use, but the reservoir can serve as a visual amenity and be used for recreational activities. With SCIDD’s approval, the Project may elect to acquire additional water from other sources and “wheel” that volume through SCIDD’s upstream canal into the storage lakes and water features, which can be used by the Project. SCIDD will require service access along both sides of the canal with one side sized for maintenance equipment during their one month dry-down season. Subject to SCIDD’s approval criteria, the storage reservoir waters may be comingled with the Project’s Class ‘A’ effluent water and returned to the canal system for use by the farmers downstream. Ownership of the lakes, canals, and related water features may be transferred to SCIDD or to the City of Casa Grande, subject to the terms of a Development Agreement.  Long term maintenance of these facilities will remain with Dreamport Villages Casa Grande.

In evaluating this site for the use and impact generated by the use, there are good buffers in place due to its location between two interstates, Jimmie Kerr Blvd, UPPR and the San Carlos Irrigation canal. 

Noise and visual impact require addressing.  The development agreement proposes a particular noise threshold as measured from neighboring properties. At the time of Major Site Plan approval, further analysis will be required to ensure that noise does not adversely impact adjacent sites.  To help address some of the visual impact, there is a stipulation that Planning Commission has the ability to approve up the specified height, which means that there will be more guidance with regard to placement of  particularly tall structures during the Major Site Plan consideration process.  Secondly, the PAD also proposes that structures or buildings will have to be setback from the perimeter of the PAD boundary a distance equal or greater to its height.  There are also step-backs proposed for structures 150 feet in height or greater.  The step-back would require that in addition to meeting the minimum setbacks, the structure has to be setback one additional foot for every foot in height over 150 feet in height.

Exhibit F is a letter of correspondence received from the attorney of the owner of the purple warehouse building (Picacho Trading Post) at the southeast corner of Jimmie Kerr and Cox Rd. received after Planning Commission.  The letter expresses general concern over access and the impact of abutting development.  Other comments received during the notification for Planning Commission are included as exhibits within the Planning Commission staff report (Exhibit B). Details such as access and abutting uses will be finalized during platting and Major Site Plan review.   

For more information and backgournd, please refer to the exhibits. 
Approval of this PAD could result in new development that would generate significant additional sales tax revenue.
1.  Table the request
2.  Approve the request with the technical modifications and conditions as recommended by Planning Commission
3.  Approve the request, modifying the condtions
4. Deny the request.
Ordinance - Rezoning for Dreamport Villages Casa Grande North
Exhibit A - PAD Guide for DSA-17-00002
Exhibit B - PZ Staff Report
Exhibit C - PZ minutes
Exhibit D - Technical Corrections and Conditions updated
Exhibit E-1 - Master Circulation Plan
Exhibit E-2 - Master Circulation Study
Exhibit F - Letter of Concern Picacho Trading Post
Exhibit G - Legal Description
Exhibit "1" PowerPoint Presention for N and S PADs
Exhibit "2" Dreamport Villages CG Presentation


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