HomeMy WebLinkAboutAgenda - 06-05-2018 7-b - Millhouse Road Park Affordable Housing Options Feasibility Update
ORANGE COUNTY
BOARD OF COMMISSIONERS
ACTION AGENDA ITEM ABSTRACT
Meeting Date: June 5, 2018
Action Agenda
Item No. 7-b
SUBJECT: Millhouse Road Park Affordable Housing Options Feasibility Update
DEPARTMENT: County Manager’s Office; Asset
Management Services (“AMS”);
Department of Environment,
Agriculture, Parks & Recreation
(“DEAPR”); Environmental
Health; Housing and
Community Development;
Planning & Inspections
ATTACHMENT(S):
1 – Aerial Site Illustration & Fact Sheet
2 – Civil Consultants Feasibility Summary
3 – Conceptual Land Plans
4 – Infrastructure Limiting Factor
Comparison
INFORMATION CONTACT:
Michael Fiocco, Civil Consultants, 919-
490-1645
Craig Benedict, 919-245-2592
Sherrill Hampton, 919-245-2490
Travis Myren, 919-245-2308
David Stancil, 919-245-2522
Jeff Thompson, 919-245-2658
Phil Vilaro, 919-245-2362
PURPOSE: To:
1) Receive a progress report on the 78 acre Millhouse Road Park site feasibility analysis for
a potential affordable housing development; and
2) Provide feedback to the Manager and staff on the analysis and potential next steps.
BACKGROUND: At its January 23, 2018 meeting, the Board of Orange County Commissioners
requested information regarding the feasibility for the development of affordable housing options
on two County owned parcels totaling approximately 78 acres known as the Millhouse Road
Park site (note Attachment 1-“Aerial Site Illustration & Fact Sheet”). A staff collaboration has
been working on this analysis over the last several weeks, studying the parcels as a potential
site for up to a 34 unit manufactured home park, given the growing community challenge with
the availability of safe, affordable housing units due to mobile home park redevelopment. For
the purpose of this analysis, either permanent or temporary housing units may be considered.
The same site feasibility parameters would apply to either temporary or permanent housing
units.
The potential use of this site for housing would be in addition to the site’s potential use as a
soccer park in partnership with the Town of Chapel Hill according to the 2014 Orange County
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Parks and Recreation Master Plan. The property was acquired in 2004 and 2007 with 2001
Orange County Parks and Open Space bond funds.
Staff and Civil Consultants, the Site-Civil Engineering Firm engaged to assist in the feasibility
analysis, has examined the physical, land record, land-use, operational, and financial
characteristics that would support the dual use. Representatives from Civil Consultants will
present summary findings (note Attachment 2 – “Civil Consultants Feasibility Summary”) of the
feasibility study to the Board. All primary feasibility reports and analysis can be found at:
http://www.orangecountync.gov/Millhouse%20Road%20Park%20Housing%20Options%20Feasi
bility%20Information.pdf
Transportation Infrastructure, Circulation, and Land Records Assessment. Adequate on-
site traffic circulation and off-site transportation infrastructure considerations appear feasible and
reasonable for a potential housing development. Land records assessments yielded no findings
that would inhibit the proposed development.
Environmental Considerations. An extensive set of environmental criteria have been
considered in this initial feasibility analysis, and would also apply to any design and operation of
a potential development. Initial environmental and cultural/archaeological assessments yielded
findings that would not inhibit the proposed development.
Soils, Hydrology, Public Water Supply Well, Wastewater, and Storm Water
Considerations. The most limiting set of factors emerging from this study involve soils, on-site
public well and wastewater capacity and wetlands. The available quantity and quality of on-site
soils for sanitary septic compatibility, in addition to the wells and wetlands pose significant
challenges to the development of a manufactured home park on this site. Based on a
preliminary site evaluation by a licensed soil scientist, there is insufficient area of usable soils for
a subsurface wastewater treatment and disposal system of adequate capacity to support the
contemplated development. An on-site septic system, if possible, would include a containment
lagoon for either a surface drip or surface irrigation system.
Delineation of jurisdictional and isolated wetlands onsite introduces considerable site planning
challenges and preliminary site grading analysis requires some soil import for site balancing.
Although constructing (multiple) public water supply wells is theoretically possible on the site,
County environmental health representatives opine that obtaining the flow volume required for
the contemplated development (minimum of 7,000 gallons per day for a 28 lot manufactured
home park alone) is questionable. The only definitive method for measuring water flow volume
is to dig test wells at a cost of approximately $45,000. Moreover, the North Carolina Public
Water Supply Section, as well as the Orange County Environmental Health Services Division,
must permit public water supply wells. The close availability of Orange Water & Sewer Authority
(OWASA) public water (within an estimated 500 feet) may be a negative factor in obtaining the
required state permit(s).
Alternative Wastewater Treatment Options. Because of the lack of adequate subsurface soil
to support a sanitary septic system, pre-treatment surface drip or spray irrigation system with a
containment lagoon or a state-approved innovative package sewer system could be considered
for this site. Stream discharge, which is required for the innovative package sewer type system,
is physically possible, but requires an exhaustive permitting process by the North Carolina
2
Division of Water Resources (“NCDWR”). The proximity of existing sanitary sewer mains (within
an estimated 1,200 feet) at the Town of Chapel Hill Town Operations Center would likely be a
strong contributing factor against NCDWR issuing a National Pollutant Discharge Elimination
System (NPDES) discharge permit for a free-standing innovative package treatment facility on
this site. Significant ongoing operation, maintenance, and reporting are required for this type of
treatment facility, should such a permit be obtained.
Conceptual Land Planning. Attachment 3, ”Conceptual Land Plans”, illustrates two “bubble
plan” options for the layout of the site. These illustrations depict areas that would support
approximately 28 mobile home park lots, a soccer park area generally contemplated by the
Orange County-Town of Chapel Hill partnership, and required development features supporting
these uses. Note that the delineated wetlands in plan option 3b would reduce the acreage
available for soccer use by approximately 30%.
Availability of OWASA Water and Sewer Service. Adequate water and sewer capacity is
located on the adjacent parcel east of the County parcel assembly; however, current land use
and utility extension policies prohibit the extension of these facilities.
Land Use Considerations; Orange County Unified Development Ordinance (“UDO”); Joint
Planning Area Assessment. The parcels are located within the Rural Buffer as designated in
the Joint Planning Land Use Plan and on the County’s Future Land Use Map and Zoning Atlas.
Site-built residential uses in the Rural Buffer must adhere to a minimum lot size of 2 acres per
unit. Housing units may be clustered while still adhering to a 2-acre per unit density requirement
which would yield up to 34 housing units on the site. Development of a home park will require a
rezoning to the Home Park – Conditional Zoning (“HP-CZ”) district and the standards for home
parks in section 5.5.4 of the Unified Development Ordinance (“UDO”) will have to be met.
The Joint Planning Land Use Plan designates the area in which the parcels are located as the
“Joint Courtesy Review Area” which means that the Towns of Chapel Hill and Carrboro must be
provided the opportunity to review and comment upon development proposals. Final approval
authority rests solely with Orange County.
On-site Public Well Water Supply and Wastewater Treatment Limiting Factor
Comparison. Note Attachment 4, “Infrastructure Limiting Factor Comparison”. This summary
provides a comparative view of the feasibility of the Millhouse Road Park site across four
constraining factors for the development of a manufactured home park on this site: 1)
community public well water supply; 2) subsurface septic installation; 3) innovative sewer
treatment package installation with discharge; and 4) extending OWASA water and sewer
services. The comparative illustration also provides estimated timelines for entitlement and
construction as well as associated costs.
FINANCIAL IMPACT: The feasibility analysis cost to date is $25,700. Conceptual cost
estimates for site planning options are illustrated in Attachment 4, with estimated design and
construction costs for the home park use within both land planning configurations as well as
within both the well/package sewer scenario and OWASA services scenario. Repayment to the
Lands Legacy Program for lands repurposed for housing use, based on the original purchase
price from Parks Bond funds, would be $18,500 per acre.
SOCIAL JUSTICE IMPACT: The following Orange County Social Justice Goals are applicable
to this item:
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• GOAL: FOSTER A COMMUNITY CULTURE THAT REJECTS OPPRESSION AND
INEQUITY
The fair treatment and meaningful involvement of all people regardless of race or color;
religious or philosophical beliefs; sex, gender or sexual orientation; national origin or
ethnic background; age; military service; disability; and familial, residential or economic
status.
• GOAL: ENSURE ECONIOMIC SELF-SUFFICIENCY
The creation and preservation of infrastructure, policies, programs and funding necessary
for residents to provide shelter, food, clothing and medical care for themselves and their
dependents.
• GOAL: ENABLE FULL CIVIC PARTICIPATION
Ensure that Orange County residents are able to engage government through voting and
volunteering by eliminating disparities in participation and barriers to participation.
RECOMMENDATION(S): The Manager recommends the Board:
1) Receive a progress report on the 78 acre Millhouse Road Park site feasibility analysis for
a potential affordable housing development; and
2) Provide feedback to the Manager and staff on the analysis and potential next steps.
4
MANORDR
MIL
L
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U
S
E
R
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BRUIN TRL
9871519160
9871607301
OWASA Long-Term
Interest Area
OWASA Primary
Service Area
Aerial Site Illustration & Fact Sheet
¯0 300150
Feet
1 in =400 feet
Orange County Planning and Inspection
BC 5/17/2018
Streams
Millhouse Road Park Parcels
2' Contours (NCDOT)
Parcels
WASMPBA
Gravity Sewer Lines
Water Lines
PIN: 9871519160 PIN: 9871607301
Zoning Jurisdiction Orange County Orange County
Zoning Rural Buffer Rural Buffer
Future Land Use Rural Buffer Rural Buffer
WASMPBA OWASA Long-term Interest AreaOWASA Long-term Interest Area
Water Supply Watershed Jordan Lake UnprotectedJordan Lake Unprotected
Land Acquisition 12/30/2004 3/12/2007
Size 68.3 acres 9.92 acres
5
1
O
• civ i ! consultants
LAND DEVELOPMENT CONSULTANTS
Property Evaluation
Millhouse road Property
Chapel Hill, NC
May 18, 2018
Project No. 25010
Prepared For:
6-18
Orange County
PO Box 8181
Hillsborough, NC 27278
LAND PLANNERS ♦ CIVIL ENGINEERS
Property Evaluation
Millhouse Road Property
Chapel Rill, NC
Purpose
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This report will present summary findings regarding the feasibility of developing two parcels
located along the west side of Millhouse Road just west of the railroad crossing at the Town
of Chapel Hill Public Works headquarters for a 34 unit rapid re- housing development in the
form of a mobile home park use in addition to its original intended use as a soccer park in
partnership with the Town of Chapel Hill. The subject parcels are identified as PINs
9871519160, and 9871607301, constituting a total land area of approximately 78 acres.
The specific facilities proposed for the subject property include a maximum of 34 mobile
home sites on individual lots and associated roadways, recreation, refuse and recycling, and
mail facilities and a six field soccer complex with associated parking, concession stand with
bathrooms and possible passive recreational facilities.
Assumptions and Oualifications
This analysis and resulting opinions are based on current Orange County zoning designations
and long -range planning documents, applicable land development regulations and policies,
typical interpretations relating thereto, mapping and other information provided by others,
other available public information, and our substantial experience with other land
development projects. The determinations and opinions herein assume that current regulatory
conditions will not change in a manner that will adversely affect development of the subject
property.
Site Physical Conditions
The subject property lies along the west side of Millhouse Road just west of the railroad
crossing at the Town of Chapel Hill Public Works headquarters. The property has
approximately 750 feet of frontage on Millhouse Road.
The property presently houses the Parks Operation Center and former temporary refuse and
recycling collection center which occupy the areas immediately adjacent to Millhouse Road.
The remaining majority of the property is currently in a grassed or brush - covered condition
closest to these facilities and wooded beyond moving to the west.
A small stream runs north to south along the southern and western portions of the property.
There is a pond just off the property along the northern boundary and there is a low area, also
2
offsite, in the south east corner of the site where stormwater is slowed by the drainage pattern
of the railroad.
The property includes two gently sloping knolls in the front of the property that form several
"saddles" which break the drainage patterns to flow to the north, south and east. Steeper
slopes are found to the west of the property and generally drain south to the aforementioned
stream. No steep slope areas exist on the site.
There is an existing access easement and gravel drive running east to west that bisects the 68
acre parcel along the northern boundary of the 10 acre parcel for the purposes of accessing
the off -site cell tower facility west of the property from Millhouse Road. There is another
access easement and driveway along the north side of the property that provides access from
Millhouse Road to the Green Beagle Lodge.
Parcel Summary Data
The following table summarizes selected information relative to various land development
parameters for the subject parcels:
Street Address:
6823 Millhouse Road
Total Acreage:
78.22 acres
Current Land Use:
Parks Operation Center
ZoninE Jurisdiction:
Orange Count
Current Zoning:
Rural Buffer
-Zoning Overlays-._
Jordan Lake Unprotected
Future Land Use Designation:
Rural Buffer
Municipal Services:
Outside Urban Services
Bounda
Environmental Areas:
Stream buffer, possible wetlands
100 -Year Flood Plain:
None
River Basin:
Cape Fear (Jordan Lake)
Street Authority — Millhouse Road:
NCDOT
Zonin$ and Development Review
The subject parcels are regulated under the planning jurisdiction of Orange County and
subject to the Joint Planning Land Use Plan; an agreement between Orange County, Chapel
Hill and Carrboro. The Plan designates the area in which the parcels are located as the "Joint
Courtesy Review Area" which means the Towns of Chapel Hill and Carrboro must be
provided the opportunity to review and comment upon development proposals with final
approval authority resting solely with Orange County.
Given the density limitation of a minimum two acre lot size per dwelling unit associated with
the Rural Buffer zoning designation, a zoning change to Home Park — Conditional Zoning
(HP -CZ) is envisioned. While the concept of clustering lots with a minimum size of one acre
3
0
is afforded in other zoning districts, the HP -CZ zoning district provides the unique provision
for clustering lots that are less than the one acre size. Lot sizes in this district may be reduced
to 5,000 SF and thereby able to be serviced with far greater infrastructure efficiency.
In addition to zoning entitlement, detailed plans for development of site infrastructure will
require review and approval under typical County and NCDOT procedures and requirements.
As noted in the Water and Sewer sections below, possible infrastructure extensions crossing
the railroad will also require review and approval by the railroad.
Water Service
Given the estimated potable water demands associated with the project program, County
environmental health representatives believe it is unlikely on site wells will be able to fulfill
the demand.
To determine the actual capacity and potential for on -site wells which meet the public water
supply standards to serve the project requires the wells be drilled. Typical cost of a test well
is in the range of $15,000.00 per well and is beyond the budget for this feasibility study.
An alternative to on -site potable water supply is the extension of public water mains from
OWASA's water system currently proximate to the site and presently serving the Town of
Chapel Hill's Public Works facility across the railroad and Millhouse Road.
Sanitary Sewer Service
On site soils analysis was performed by S&EC. Their findings indicate that on -site soils are
not suitable for conventional subsurface septic systems and some areas are generally usable
for and have potential for drip and /or pre - treatment low pressure pipe septic systems. Those
soils however are present in the areas most conducive to construction of the soccer fields
which would displace and render the soils unsuitable.
Other soils located in the western portion of the site in steeper areas provide limited soil
depths and have potential for pretreatment surface drip and /or pre- treatment low pressure
spray irrigation systems. Additional soils characteristics analysis is required to determine the
soil's suitability for the estimated flows from the project. Preliminary estimates of flow and
these preliminary findings indicate a low probability of adequate treatment capacity. If
however the systems mentioned above are practicable they are likely to require a 90 day
storage capacity ( -1 million gallons) which is most cost effectively accommodated with a
lagoon.
Alternatives to on -site septic treatment include on -site and off -site options.
On -site options include several innovative systems (package plants) that have been
developed and accepted for use within North Carolina that treat effluent to a re -use standard
that can be discharged to the on -site stream.
El
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Offsite options include public sewer extension from OWASA's sewer system currently
proximate to the site and presently serving the Town of Chapel Hill's Public Works facility
across the railroad and Millhouse Road.
Both of these options for sewer service, and the option mentioned above regarding water
service, require additional research and include extensive permitting considerations and
potential County policy modifications to serve this property /project located in the Rural
Buffer.
Driveway Access and Roadway Improvements
The NC Department of Transportation will control vehicular access to the subject property
from Millhouse Road. NCDOT will require a Transportation Impact Analysis to be prepared
for development of the project. Meetings with the NCDOT have indicated that driveway
access for the intended uses is feasible and that roadway improvements to Millhouse Road
are expected in order to serve the soccer complex. Scheme A includes a roundabout as a
means to manage the traffic volumes associated with the soccer facilities but other more
traditional means may be acceptable such as left and right turn lanes. This proposed driveway
alignment utilizes (shares) and preserves the existing access easement to an off site cell
tower and provides a single driveway access to the property.
Scheme B proposes to separate the driveway access to the different facilities. One is
proposed in the current driveway location of the existing Parks Operation Center to serve the
soccer complex and the other proposes to utilize, and share, the driveway currently serving
the Green Beagle Lodge in order to serve the residential area. This proposed driveway
alignments includes relocation of the access easement serving the off -site cell tower.
Environmental Considerations
The existing stream on the property has been reviewed by S &EC and the County and has
been determined to be a buffered stream. Initial slopes analysis indicate the buffer width is
likely to extend 65' on each side of the stream.
S &EC also identified three other features that have also been reviewed by the USACE and
determined to be wetlands. One feature is along the south side of the pond mentioned to be
offsite along the northern boundary. This wetland is jurisdictional, meaning under the
jurisdiction of the USAGE, and includes an Orange County buffer. Another jurisdictional
wetland was identified in the south -east corner previously described as a low area along the
railroad. This wetland is also jurisdictional and a buffered feature. The third wetland on site
is located along the "saddle" previously described and it occupies the area at the apex of the
saddle where the slopes are very slight. This wetland has been determined by the USACE to
be an isolated wetland and therefore not a jurisdictional feature. Given the State's jurisdiction
on isolated wetlands that are determined to be basins or bogs, S &EC has revisited the site
and demarked an area approximately 17,000 SF in area as a qualifying basin or bog. A site
visit by NCDWR is required to confirm or modify S &EC's findings for an official
jurisdictional determination. It is anticipated this site visit is likely to occur in June.
5
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The area of the jurisdictional feature is important in that below certain thresholds, general
permit authorization is granted for impacting such features. Less than a % acre impact to a
basin or bog is covered under such a permit and would thereby be eligible for removal.
Change County buffer regulations also apply to these features and may be the ultimate
standard to determine eligibility for impact.
This feature poses a significant consideration for the development potential of the site
locating six soccer fields in the areas of the site most conducive to the grading demands of
such facilities.
Scheme A proposes (assumes) eligibility for and removal of the feature whereas Scheme B
avoids removal of the feature but requires minor impacts to the associated County buffers.
Conclusions
Based upon our research of various matters relating to property development, the summary
findings described above, conceptual design work performed to date, and coordination with
various regulatory agencies having jurisdiction, we believe the site has a high potential to
accommodate the project program with the resolution of some key components including the
resolution of the jurisdictional status of the isolated wetlands, the County's buffer standards
on non - jurisdictional features, and most importantly the provision of adequate water and
sewer infrastructure.
End
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Unit Development Cost Comparison:
14
Lot Development — $2.046M — $1.838M
-Plan B has significantly less
- Earthwork
grading for the buildable lots due to
- Roadway
its linear design and its relationship
-Site Infrastructure
to the existing topography
- Stormwater
-Storm water design within Plan B
-Home Placement
is much less invasive regarding
- Permitting /Design
grading and site disturbance
-10% Contingency
Well /Package Sewer —$820K —$820K
Total -Well /Package Sewer — 2.866M — $2.658M
Per Lot Cost (28 lots) —$102K per lot —$95K per lot
OWASA Services
- Water /Sewer Extensions —$443K —$453K
- Railroad Crossing
Total — OWASA Services — $2.489M $2.291 M
Per Lot Cost (28 lots) —$89K —$82K
Utility Infrastructure Key Factors Comparison:
Challenges
Costs
Entitlement /Permit
Process Duration
Site Plan and
Operational
Impacts
- Required flows
unlikely;
- Proximity to
OWASA services
--$45K test well;
- -$120K
design /construct
-2 months for test
well;
-r4 -8 months for
testing, permitting;
-well location
impact on site plan;
- ongoing operations
costs
- Inadequate soils;
-May need on -site
pre- treatment
lagoon;
- Proximity to
OWASA services
from a permitting
standpoint
Physical Unknown No
Feasibility
- Extensive
permitting;
- Proximity to
OWASA
services from a
permitting
standpoint
-$700K
design /construct;
- $40 -50K ann.
operating cost
-8 -14 months;
-6 months for
re- zoning after
design
- extensive
ongoing service
and reporting
Yes
- Necessary WASMPBA
amendments;
- requirement of five
governmental entity
approval
-r$280K
design /construct
-12 -15 months
WASMPBA;
-9 -12 months
permitting
Yes