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Page 1 Table of Contents Statement of Physical Description of Study Chapter I - Character of Study History of Study Area Residential Character of the Study Area Commercial Character of the Tax Crime Statistics Fire Chapter II - Infrastructure Transportation (current conditions and future Traffic Traffic Streetscape Freight & Transport Air Public Amenities Specific to the Study Area (cultural & recreational resources)............18 Chapter III - Land Use and Planning Comprehensive Growth Chapter IV - Chapter IV - Discussion of Sub-areas Chapter VI - Conclusions & Recommendations ---PAGE BREAK--- Page 2 INTRODUCTION Statement of Purpose A group of business people and property owners became concerned about the condition of the south Missoula area and approached the Missoula City Council about the possibility of creating an urban renewal district. On July 10, 2000, the Missoula City Council adopted Council Resolution No. 6333, endorsing the City of Missoula Redevelopment Agency’s entering into a contract with a group of citizens and property owners to conduct a professional study for the purpose of determining if blight exists within the south Missoula area. This report is the result of that study. An area is determined to be blighted according to definitions set forth in the Montana Urban Renewal Law (see Appendix A) if one or more of the factors listed as constituting blight are found to exist. The statute declares that prevention and elimination of such areas is of public concern, i.e.: "the prevention and elimination of such areas is a matter of state policy and state concern in order that the state and its municipalities shall not continue to be endangered by areas which are focal centers of disease, promote juvenile delinquency, are conducive to fires, are difficult to police and to provide police protection for, and while contributing little to the tax income of the state and its municipalities, consume an excessive proportion of its revenues because of the extra services required for police, fire, accident, hospitalization, and other forms of public protection services and facilities."(7-15-4202(3) M.C.A.) This report presents information on factors that can be used in determining the existence of blight, given their relationship to the area and how it functions as a part of our community. Making a Finding of Blight in many cases is as much an art as it is a science. Conditions may be identified which are undesirable but do not necessarily constitute the legislative definition of blight. Interpreting and applying the factors that constitute blight as provided in the law, relies on judgment as much as it does statistical analysis. This report contains three main components. The first component describes the existing social and infrastructure conditions. The second identifies existing Comprehensive Plan designations, zoning designations and existing land use. The third component discusses conclusions and recommendations regarding the finding of blight in the area studied. Physical Description of the Study Area The boundaries of the Study Area were determined by the citizens group who sponsored the study and the along with MRA Staff. Factors that determined the dimensions of the Study Area evolved through a combination of suggestions from the sponsoring citizens and property owners, elected officials, staff experience and intuitive judgment. Part of ---PAGE BREAK--- Page 3 the consideration involved the extremely limited time frame available to do the study, which, in turn, kept the Study Area from becoming too large. Moreover, making the study too large would make it so diverse as to make it incomprehensible. Consequently, the boundaries settled upon for the Study Area includes areas that are obviously substandard, underdeveloped, and conducive to redevelopment either through their condition or the likelihood of their being significantly impacted through planned municipal capital improvement projects. The physical boundaries of the Study Area begin at the corner of Fourteenth and Kemp and run east along Fourteenth Street until Fourteenth turns into Mount Avenue at Russell Street; continue east on Mount to Brooks; southwest on Brooks to Burlington; south on Burlington to Kensington; west on Kensington to Bow; south on Bow to Kent; west on Kent to Holborn; south on Holborn to South Ave.; west on South Ave. to Russell; south on Russell to Benton; west on Benton to 1/2 block east of Brooks and following the south and east property lines of property with frontage on Brooks south all the way to Reserve Street; then north on Reserve to McDonald; and east on McDonald to 1/2 a block east of Reserve Street and following a line north to South Ave; east on South Ave. to Clark Street; then 1/2 block north of South Ave. following that line east to Kemp; then north on Kemp to the point of beginning. (Please see map of Study Area & Sub-areas.) The Study Area is approximately 630 acres in size, which is approximately 4% of the land area of the City of Missoula. It is an area that has been developed largely due to the influences of transportation features, particularly Brooks Street (Highway 93), Reserve Street, and the Bitterroot Branch Line of the Montana Rail Link. These transportation corridors shape almost every key element of the Study Area including platting of land and land use, access, traffic and circulation, development patterns and a host of other aspects of the Study Area. Portions of the Study Area lie within City Council Ward boundaries 3 and 4, but the majority of the Study Area falls within Wards 5 and 6. (Please see Ward Boundary Map.) Portions of the Study Area lie within the Neighborhood Council boundaries of Southgate Triangle Neighborhood, Rose Park Neighborhood, and Franklin to Fort Neighborhood. (Please see Neighborhood Council Map.) The area is a made up of both commercial and residential areas which are sometimes blended together in less than appropriate ways. When commercial and residential uses intermix in this way it is usually an indication of “evolution” of the area as it makes a transition from one predominant use to another. ---PAGE BREAK--- ---PAGE BREAK--- ---PAGE BREAK--- ---PAGE BREAK--- Page 4 Chapter I - CHARACTER OF THE STUDY AREA History of Study Area Construction of the Northern Pacific Railroad in 1883 allowed Missoula's economy (based on agriculture, timber and mining) to thrive. By 1920, Missoula was a city of 12,000, mostly living north of the Clark Fork River or near the University of Montana. Missoula began to expand to the south side of the river in the late 1800's, and continued to grow in a southwesterly direction, and eventually the Study Area became developed. (Please see Images from "Missoula Valley Growth History".) According to aerial photo images in the Missoula County Images Vol. II by Stan Cohen there was virtually no urban development in the Study Area before 1939 although some agricultural uses were present. Some development was beginning to take place south of Mount and west of Higgins Avenue by 1940. The Fairgrounds was also in place at that time, having been sited at what was then outside Missoula’s urban area. Missoula’s first airfield was located on the eastern edge of the Fairgrounds, near the site of present day Sentinel High School and the University of Montana College of Technology campus. Another photo taken of the Fairgrounds in the early 1950's reveals that very little development had occurred in the Study Area, yet. Between 1950 and 1960, the area south of the Slant Street Neighborhood saw a significant amount of subdivision and platting. Development in the Study Area began to occur in the 1950’s and by 1964 much of the area was built out. By the 1970's the Study Area appears to have been almost entirely built out, including the 1978 construction of Southgate Mall on the former Hamilton Lumber mill site. Residential Character of the Area Population characteristics, crime and fire statistics, and tax information are indicators of the social and economic well being of an area. While in and of themselves they may not make the case for a finding of blight, they are nonetheless good measures by which the social and economic problems and opportunities of an area can be illuminated. The following information is gathered from a variety of sources including the Office of Planning and Grants (for census information), the Missoula Department of Public Works, Missoula City Police Department, Missoula Fire Department and the Missoula County Treasurer's Office. Demographics Demographics show how the Study Area compares to the rest of the City in terms of population, age distribution, housing occupancy, and housing ownership status. At the date of this Report, the Census Bureau has only released preliminary data regarding ---PAGE BREAK--- ---PAGE BREAK--- ---PAGE BREAK--- ---PAGE BREAK--- Page 5 community total populations from its 2000 Census. Detailed data regarding the Study Areas population, income and housing statistics will not be available for months and in some cases, years. However, information gathered from the field, studies completed by the City of Missoula Office of Planning and Grants (primarily the Missoula Consolidated Plan, adopted in August 1999), the Missoula Housing Authority’s 1999 Housing Survey, and data collected and maintained by the Missoula Realtors Association yield evidence that the condition of housing stock and other statistics have not changed significantly in the overall Study Area relative to the City as a whole during the past 10 years. Characteristic City of Missoula Portion of City Study Area Portion of Study Area Percent Study Area of City Total Persons in 1999 52,239 Total Persons in 1990 46,866 2,562 4.9% Persons Under 18 10,537 22.5% 528 20.1% 5.0% Persons Over 65 5,590 11.9% 495 19.3% 8.9% Persons 18-65 30,739 65.6% 1,539 60% 5.0% Total Housing Units 20,332 1,174 5.8% Owner Occupied Housing Units 9,602 47.2% 433 36.9% 4.5% Renter Occupied Housing Units 9,829 48.3% 676 57.5% 6.9% Multi Family Housing Units 8,791 41.8% 658 56.5% 7.5% Single Parent Households 1,734 8.6% 108 9.1% 6.2% (Unaccounted for housing units may have been vacant or did not respond to the Census.) At the time of the 1990 Census, the population of the Study Area was approximately 2,562 or 5.4% of the City Population. A significant part of the increase in the City’s population between 1990 and the 1998 was due to annexations of urban areas contiguous to, or surrounded by, the City. Portions of the Study Area, particularly Sub-area B, were part of those annexations. Very little residential growth has occurred in the Study Area as a result of new construction. 12% of the City's population is over 65 years old while 19.3% of the Study Area's population is over 65. 11% of Sub-area A is over 65. 6% of Sub-area B is over 65 and 80% of Sub-area C is over 65 (this high number is due to the location of Missoula Manor Retirement Home on West Central Ave. (with 143 units of housing for senior citizens). This suggests that the residential population of the Study Area is younger than the rest of the City. Given the relatively high number of rental residential units, mobile homes, etc., it might be reasonable to assume that this area is populated by younger families who have had neither the opportunity or ability to purchase a home yet (See Housing, below). Single parent households account for roughly 9% of the total households in both the Study Area and the City of Missoula as a whole. ---PAGE BREAK--- Page 6 The 1998 Comprehensive Plan Update compared 1990 and 1980 Census information and discovered that the population of the overall urban core increased less than 1% while some areas within in the core actually experienced a slight decrease. (This is can be expected inasmuch as new homes are usually built on the fringe of the existing urban area. In Missoula’s case, during that decade growth occurred in the Grant Creek area, the South Hills and other neighborhoods distant from the urban core.) Like these urban areas, the Study Area also experienced some drop in population between the 1980 and the 1990 Census. The two census tracts represented in the Study Area, Tracts 10 and 12, decreased from populations of 4,340 to 4,248 and 4,496 to 4,451, respectively between 1980 and 1990 a drop in population of between one and three percent. Conversely, populations in outlying areas, particularly south and west of the urban area, have seen significant increases Housing According to 1990 Census information, 5.7% of the City's total housing units are located within the Study Area. 43% of the total housing units within the City are in multi-family structures (such as duplexes, triplexes, etc.) while 56% of the Study Area's housing is multi-family. The Missoula Manor with its 143 units of housing for retired senior citizens represents a concentration of that type of housing. However, even if the Manor was excluded from the calculations, the 1990 percentage of multifamily housing in the Study Area (50%) was significantly more that the City as a whole. The 1990 Census lists 47% of the housing units in the City as owner-occupied while 37% of the units in the Study Area are owner-occupied. 48% of the housing units in the City are renter-occupied while 58% of units in the Study Area are renter occupied. While not an absolute indicator, the higher number of renters as opposed to homeowners indicates a population without the means to purchase a home, often people on fixed incomes, students, single parent households, etc. (Please see Map of Predominant Land Use.) Income In 1996, the City of Missoula responded to a recognized need for sewer service in the newly annexed East Reserve Street area and applied for a CBDG Block Grant to install sewer lines and connections for the area between the MRL Bitterroot Branch Line railroad tracks and South Reserve Street, south of Fourteenth Street. The Missoula Office of Planning and Grants surveyed the residents of this area as part of the grant application process to determine if the income levels of this area would qualify for CBDG funds. It was through the data collected as part of this grant application process that the State Department of Commerce and the Department of Housing and Urban Development determined that this area did qualify for CBDG funds due to the number of low and moderate-income households. Within the overall Study Area, housing stock conditions and income statistics vary significantly between three residential areas: East of Russell Street; west of Russell ---PAGE BREAK--- ---PAGE BREAK--- Page 7 Street and east of MRL right-of-way that is north of South Avenue; and the area between the MRL right-of-way and the western boundary of the Study Area exclusive of the South Avenue corridor and other concentrations of commercial/industrial activities. There are few housing structures in the Study Area east of Russell Street. A majority of the units are concentrated at the Missoula Manor. The median construction year of the single-family dwelling in this area is 1950 (1990 Census). In 1990, the median household income for this area was between $16,000 and $24,000, below the City median income of $32,000 that same year. In 1998, the median sales price for homes in this area was $90,000 to $110,000 compared to the average sales price in the City of $126,800 (Missoula Realtors Association). The area between Russell Street and the MRL right-of-way north of South Avenue includes the only dedicated neighborhood park (McLeod Park) and playground (Jefferson School) in the Study Area. The median construction year of homes in the area is 1960 (1990 Census). The median income for households in 1990 was in the $24,000 to $32,000 range. Most of the housing units in this area are single-family residences with the exception of a few duplexes on South Avenue and near the MRL right-of-way. Median 1998 sales prices in this area were $110,000 to $130,000 (Missoula Realtors Association). Former single-family houses along the South Avenue corridor and Russell Street bordering the “McLeod Park area” are being inappropriately converted to commercial office and retail use. Additionally, there are industrial and warehouse uses along the north and west portions of this area. Future expansion of South Avenue and traffic efficiency measures to be undertaken at the Brooks/South/Russell intersection may lead to increased commercial and industrial pressure on this neighborhood. Although higher density and intensity of uses along South Avenue is appropriate, it should be undertaken with suitable official planning and consideration so as to prevent incongruous development adjacent to the neighborhood, continued conversion of neighborhood homes to commercial establishments, and increased commercial traffic circulation within the neighborhood. Portions of the third area, between the MRL right-of-way and the west boundary of the Study Area are separated by the geographical barrier of South Avenue as well as interspersed with commercial and industrial areas. However, characteristics of the housing and population are common to the separated sections. Housing in the area has a median construction date of 1960. Median household income was less than $16,000 in 1990. Therefore the relatively high percentage of renters and multi-family structures mentioned above is not surprising. The 1998 median sales price of homes in this area was less than $90,000, substantially less than the 1998 citywide median. That figure is the lowest listed by the Missoula Realtors Association and is common only to the Northside and Westside Neighborhoods in Missoula. While the other two areas described above had telephone availability (a key indicator of poverty) of 95% - 100%, this area was in the lowest availability category listed in the 1990 Census for Missoula County of 85% - 90% (one of ten households were without a telephone). ---PAGE BREAK--- Page 8 Although not directly related to housing, this area, like many areas of Missoula has an open irrigation ditch winding through the neighborhood, which should be noted as a distinct characteristic of this area. Visual survey and sales data indicate that the condition of housing in general within the Study Area, and specifically with respect to the third residential area described above, meets the definition of blight listed in M.C.A 7-15-4206(2a). The condition of much of the housing in the third area retards the provision of adequate housing because of low property values and conditions that appear to present poor risk for private investment. Although no evidence of significant blighting conditions exist now in the McLeod Park neighborhood, they influence and pose a real threat to the continued well-being of that area. Commercial Character of the Area Much of the Study Area provides a broad mix of commercial and retail services to the south side of the community. Most of the commercial activity is concentrated along Brooks, Russell and South Avenue, as well as Stephens Avenue. There are also six banks and two credit unions represented in the Study Area. In addition to the four major shopping centers (Southgate mall, Paxson Plaza, Tremper’s and Holiday), the area also contains numerous independent and chain retailers as well as a wide range of restaurants and bars. Because of the arterial street connections, it is not surprising that there are also five car dealerships in the Study Area. There are several construction related businesses in the Study Area, including both contractors and suppliers. There are very few medical related facilities. Most of the commercial space in the area is occupied with the exception of two large retail spaces (the former Ernst Store and the space next to it) near Southgate Mall. While these vacancies have persisted for some time, the properties are in very good condition and are adequately served by the street network and public utilities. (Please see Map of Predominant Land Use.) Tax Information The following tax information was obtained from the Missoula County Assessor for year 2000. Property is broken down into various categories for tax purposes including property, property with improvements, and property without improvements (vacant). According to tax information, there are 1,160 parcels within the Study Area. 11%, or 131, of those parcels are vacant. (Please see Vacant Land Map) The information below is based on taxable value of lots and improvements. The total market value as determined by appraisal for commercial and residential categories within the Study Area is $177,765,541. To get the taxable value, the appraised market value is multiplied by 3.627%. To determine a person's tax bill, the taxable value is multiplied by ---PAGE BREAK--- ---PAGE BREAK--- Page 9 the mills (in this case, 0.6331 for tax year 2000 in School District # The current taxable value of the property within the Study Area is $6,185,597, which represents 9.02% of the entire City's taxable value. 2000 TAX VALUATION 2000 Market value of entire city 1,967,698,010 2000 Market value of URD 3 Study Area 177,765,541 9.03% of city 2000 Taxable value of entire city 68,600,670 2000 Taxable value of URD 3 Study Area 6,185,597 9.02% of city 2000 Taxable value of residential land 297,139 0.43% of city (tax code 2201) 2000 Taxable value of commercial land 1,733,819 2.53% of city (tax code 2207) 2000 Taxable value of residential improvements 574,332 0.84% (tax code 3501) 2000 Taxable value of commercial improvements 3,580,307 5.22% NOTE: To provided for an accurate comparison between the market and taxable value of the City and the Study Area, only residential and commercial land and improvements were compared (tax codes 2201, 2207, 3501, 3507). Other tax codes were intentionally omitted since the City contained many tax codes that are not found in the Study Area. Southgate Mall is excluded from analysis of statistics gathered about the Study Area. Southgate Mall, a collection of over 100 stores, is of regional importance, and its inclusion will skew the data available for consideration in the rest of the Study Area. Source: Table prepared by Tod Gass of MRA utilizing County Assessor data. The map entitled Commercial Properties where Improvement are Valued less than Land shows commercial properties where the value of the improvements is less than the value of the land. Through simple observation, two possibilities come to mind why this is so. The first is that the land dedicated to commercial property rarely declines in value while improvements can become run-down and lose value. In some cases in the Study Area, this is what has happened. More often, this situation is due to a proportionately small area of commercial property being devoted to improvements (such as buildings) while the ---PAGE BREAK--- Page 10 bulk of the real property, appraised at a high commercial value, is dedicated to parking automobiles. From an urban design standpoint, it is not surprising that Brooks Street is replete with such properties. Some time ago, decisions were made - right or wrong - that consigned Brooks Street to carry high levels of traffic. High levels of automobile traffic represent customers that commercial businesses seek to capture, hence the need for huge parking lots. These lots are typically located between the busy street and the business, a condition that renders architecture less important than big, bright signs. As a result, the predominant visual experience is designed to be perceived from the seat of a car. In the past several decades of development in the Study Area, pedestrians and bicyclists were neglected—indeed, they became a liability for motorists in traffic—as the community struggled to cope with increasing traffic counts. After so many years, taming the rivers of cars and even conceiving of alternative urban design solutions to the built environment becomes a Herculean effort costing huge amounts of money and effort. Where the commercial use is automobile sales - where cars are the product - land values almost always exceed the values of the improvements. Historically, automobile dealers in Missoula have moved progressively from the center of the urban area to the fringes. In this sense, automobile dealerships are a form of urban development land-banking. When they move, large parcels with relatively modest improvements remain, making them likely candidates for redevelopment. (Please see map of Commercial Properties where Improvement are Valued less than Land.) The map entitled Commercial Uses located in Residential Zoning shows a large number of properties located within residential zoning districts being taxed as commercial property. This is due largely to the fact that residential rental property and leased mobile home lots are taxed as commercial property. Inasmuch as the Census data cited above suggested a high level of rentals in the area, this is borne out by the tax assessment classifications, as well. Even though most of the colored areas on the map represents rental properties, some of them indicate non-conforming commercial uses. A preponderance of non-conforming uses in even a small area is an indication of blight as the area has evolved, unguided by enforced land use regulations. The converted garage, or the home business, for example, or any unnoticed or unchallenged use of property contrary to the provisions of the Comprehensive Plan or the Municipal Zoning Code create unintended burdens on neighboring properties. (Please see map of Commercial Property within Residential Zones.) Crime Statistics Currently the City of Missoula does not have a database of crime statistics that can be manipulated to query for information regarding a specific area of the City. For that reason, a comparison of the crime rate between the Study Area and the City as a whole is not possible. The kinds of crimes to which the police indicate they often respond to in the Study Area are “crimes against persons” such as assault, domestic violence, etc. ---PAGE BREAK--- ---PAGE BREAK--- ---PAGE BREAK--- Page 11 Additionally, concentrations of commercial, warehouse or light industrial businesses close to residential neighborhoods, especially those that utilize outside storage, often experience higher rates of burglary, robbery, and vandalism than other businesses. The western portion of the Study Area is such an area. The Missoula County Sheriff’s Office confirmed that prior to annexation into the City ending their jurisdiction, the Study Area together with adjacent neighborhoods to the north were the primary source of calls in the County requiring response to the aforementioned crimes. The Study Area meets definitions of blight listed as M.C.A. 7-15-4206(2h) and 2(n) in that although hard data is not immediately available, crime prevention and investigatory agencies familiar with the area feel the area is more unsafe for persons and property than the urban area as a whole. Fire Statistics There were approximately 4,100 fire calls within the entire City of Missoula in 1999. Approximately 643 of these calls were within in the Study Area, which equates to 16% of the City's total calls. [This information includes fire calls (responses to structural fires, grass fires, hazardous materials spills, smoke, etc.), medical (disease, traffic crashes, home accidents, and assaults, etc.) and miscellaneous (extrications, rescues, etc.) calls.] Fire 57 Medical 437 Miscellaneous 149 Total 643 This can be compared to the fact that the Study Area comprises only 4% of the City's land area and only 5.4% of the City's population. That the Study Area generates three to four times more calls than its proportionate share of the population could be due to any number of reasons that would only be made clear through a more rigorous development and analysis of data related to these statistics. However, the number and type of calls leads to the conclusion that the Study Area likely meets definitions of blight contained in M.C.A. 7-15-4206(2h) and (2n) in that more unsafe conditions as well as conditions that endanger life or property by fire or other causes exist in this area than the City as a whole. (Please see Map of Fire Calls.) ---PAGE BREAK--- ---PAGE BREAK--- Page 12 Chapter II - INFRASTRUCTURE Transportation By investigating the status of transportation in the areas of traffic circulation, traffic volumes, crashes and bike/pedestrian amenities within the Study Area, blighting conditions that relate to transportation will be revealed. Several blighting conditions under Urban Renewal Law that relate to transportation are: "defective or inadequate street layout"; "the existence of conditions which endanger life or property by fire or other causes"; and "faulty lot layout in relation to size, adequacy, accessibility, or usefulness". (M.C.A. 7-15-4206) In 1996, Robert Peccia & Associates updated the Missoula Transportation Plan for the local urban area for the Missoula Office of Planning and Grants (OPG) in cooperation with the Montana Department of Transportation and the Federal Highway Administration. In 1999, a technical Memorandum to the 1996 Missoula Transportation Plan Update was prepared by OPG staff for the Metropolitan Planning Organization. The 1996 Missoula Transportation Plan Update and the 1999 Missoula Transportation Plan Update - Technical Memorandum involved in-depth analysis of all aspects of transportation in the urban area and suggested a number of transportation related projects to address current and future transportation concerns. Regarding the urban renewal Study Area, the abovementioned Transportation Plan identifies Brooks Street, South Avenue and Russell Street (south to Brooks) as principal arterials to the major street network of the urban area. This role makes the Study Area very significant in terms of transportation circulation for the City of Missoula. The Plan Update also identifies 14th Street/Mount as an east-west arterial and Johnson Street as a local collector. Traffic Circulation The Study Area is bisected by the MRL Bitterroot Branch Line railroad tracks and Brooks Street. Both of these facilities interrupt the platted street grid system creating irregular traffic patterns and difficult access, especially for citizens trying to access businesses within this area. Because the grid system is interrupted, there are many intersections where the streets do not meet at right angles, which reduces sight angles causing dangerous situations for motorists trying to get onto Brooks. This situation, due to traffic safety engineering requirements, has caused many intersections to be right-turn only, further diminishing access to commercial properties. The diagonal orientation of the MRL tracks and Brooks has caused many parcels to be unusually small or irregular shaped making some of these lots simply not very useful or accessible. [Please see & of FINDINGS section.] ---PAGE BREAK--- Page 13 Brooks/South/Russell During the drafting of the 1996 Missoula Transportation Plan Update, a Level of Service study was performed for all existing traffic signals in the Missoula Urban Area. According to the Plan, "drivers are experiencing notable signal delays" at the intersection of Brooks/South/Russell. The Transportation Plan Update calls for major reconstruction/traffic improvement of the Brooks/South/Russell intersection using Congestion Mitigation and Air Quality Funds (CMAQ) and Surface Transportation Program Urban (STPU) funds. The functioning of the Brooks/South/Russell intersection will be improved by eliminating the introduction of South Avenue to the intersection. South Avenue will terminate and traffic flowing through the resulting Brooks/Russell intersection from South Avenue will approach on Brooks having been redirected a few blocks before the intersection. This project alone will create as many opportunities as problems for the Study Area. Properties acquired for the project will be reconfigured and, in some cases, existing improvements will be removed, creating an immediate redevelopment potential. Moreover, changes in traffic patterns will affect some businesses more than others; in some cases the results will be positive and in others it will be negative. In cases where street networks are altered in this way, it is not uncommon for some marginal businesses to find it easier to get out of business than to adapt to the new situation. Another project planned for this area is the reconstruction of South Avenue from Reserve to Russell. The reconstructed street will be three lanes wide and will be funded through the use of local funding and assessments to adjacent property owners. As in the case of the Brooks/South/Russell intersection improvements, the South Avenue improvements will have a significant effect on the properties along South Avenue. Where today there are no curbs, gutters and sidewalks; where existing property setbacks do not conform with City standards; where on-street parking will be increased or eliminated; where access will change; all these issues will deeply affect businesses and residents and in turn make the properties ripe for redevelopment. Both South Avenue reconstruction and Brooks/South/Russell realignment are scheduled to occur in Year 2003. (Please see Draft Engineering Detail of Realignment of Brooks/South/Russell.) Currently the City Public Works Department is paving Eaton, Dixon and Schilling Streets in the Study Area west of Brooks and plans to pave the alleys behind these streets during the summer of 2001. Other alleys in the Study Area west of Brooks are scheduled to be paved then, as well. Traffic Volumes According to the 1999 Missoula Transportation Plan Update - Technical Memorandum, comparisons between traffic counts taken in 1994 and those taken in 1998 show very little change or show a slight decrease for most streets within the Study Area including ---PAGE BREAK--- ---PAGE BREAK--- Page 14 Brooks, South Avenue, Russell and Mount. This is probably due, in part, to the improvements made to Reserve Street, which enabled it to carry a greater share of local traffic volume. Because Brooks Street has been designed as a major arterial to carry heavy traffic flows, (depending on location, from 22,100 to 24,600 according to counts done for the 1998 Transportation Plan Update -Technical Memorandum) the volume and speed of automobiles on this street make ingress and egress from properties difficult. This, in turn, hinders redevelopment of those properties except in ways that are friendly to automobiles. In some cases, this may be the appropriate solution, but it must be recognized that it is almost impossible to design a street that carries high volumes of traffic at high speed while remaining friendly to pedestrians and bicyclists. As with street design, the implications for other urban design are staggering. Two of Missoula’s oldest shopping centers are located in the Study Area. Their design, dating from the 1960’s, along with their acres of parking facing Brooks continue to actively serve their customer base. Their time for redevelopment will surely come but has been put off for years as the current transportation network reinforces the use of the automobile as the community’s principal mode of transportation. The street system the community designs today in many ways must support the design decisions - right or wrong - that were made nearly half a century ago. [Please see of FINDINGS section] Crashes In the 1999 Transportation Plan Update - Technical Memorandum, automobile crash data was reviewed and all locations within the Missoula Urban Area with an average of 5 or more crashes over a three-year period were identified. Thirty-four such locations were identified of which nine locations (26%) are within the Study Area. Of the 796 crashes that occurred among the thirty-four locations, 237 crashes (or 30%) occurred within the Study Area. The significance of this crash data is that it shows there is a relatively high (compared to the City) volume of automobile traffic carried by the Study Area streets since only 4% of the City's land area is within the Study Area. [Please see of the FINDINGS section.] Most of the high crash locations are at intersections where streets intersect with South Avenue or Brooks Street. As noted above, the intersections are often no at the 90% optimal angle for sight distance. The Transportation Plan Update calls for a number of modifications to help alleviate the traffic congestion and crash incidents at these locations. The projects proposed in the Transportation Plan Update within the Study Area are as follows: (Note: some of these projects have been completed since the drafting of the Transportation Plan Update.) South 14th Street West/Johnson Street Signal - recommendation: Signalize the intersection. Provide turn bays on 14th. (Warrant study has been completed.) The long-term solution should include additional lanes and protected left turn phasing on Johnson. Current status of this project is - Done. ---PAGE BREAK--- Page 15 Brooks/South/Russell Traffic Improvement Phase I - recommendation: Study existing traffic situation, recommend improvements, and implement changes to improve traffic operations at this six-leg intersection. Current status of this project is - In Progress. Brooks/South/Russell Traffic Improvement Phase 2- recommendation: This project is an extension of the above project. This second phase of the project focuses on geometric changes which will relieve or eliminate traffic congestion at the intersection. Current status of this project is - In Progress. Johnson Street Extension - recommendation: Construct a new portion of Johnson Street with a general alignment along the west boundary of the Mall, connecting South Avenue to Brooks. The new roadway would include two travel lanes, bike lanes, and a sidewalk. Current status of this project is - Inactive. South Avenue Reconstruction (Reserve to Russell) - recommendation: Reconstruct to three- lane urban section with curb and gutter, bike lanes and sidewalks. The right-of-way is generally 60-feet wide along this section of South Avenue. (Note: This project is active, moving ahead using Gas Tax funds and assessments to adjacent property owners.) South Avenue & Johnson Approach Widening - recommendation: Widen the north approach enough to accommodate two approach lanes. Widen the pavement on the west approach of South Avenue enough to provide a 12-foot left-turn bay. Pavement widening should continue to the east over the tracks to provide for the eastbound through traffic movement. This will require relocating the railroad crossing signal and widening the at-grade crossing. Current status of this project - Inactive. Brooks & Harve Parking Restrictions - recommendations: Restrict parking on the north side of Harve within 150 feet of the Brooks Street intersection. Current status of this project - Done. Dearborn & Garfield Sight Distance Improvements - recommendation: Improve sight distance at intersection. Trim trees, replace existing signs with new 36" Stop signs. Install stop bars and center lines at the Dearborn approaches. Extend left turn bays to the intersection of Dearborn by providing a continuous two-way left turn. Long-term improvements: Consider modification of Mall entrance. Remove the T-intersection at the loop road and provide for an extended roadway into the Mall parking area. Current status of this project - Inactive, (Additional Yellow curb added.) Fairview & Garfield Sight Distance Improvements - recommendation: Improve sight distance at intersection. Trim trees, replace existing 30" stop sign with a new 36" sign. Visually reinforce the Stop conditions with a stop bar addition to the westbound approach. Implement left-turn bays on Garfield. Extend left-turn bay to provide a continuous two-way left turn lane. Convert left- turn bay to left and through movements on Fairview. (Note: Brooks South Russell realignment project calls for modifications to this intersection as part of that project.) Current status of this project - Inactive, (Additional yellow curb added.) Kent & Oxford Traffic Control - recommendation: Install a curbed island on the southwest corner, and a sidewalk bulb island in the northwest corner. Double yellow center lines, Stop bars and pedestrian crosswalks should be added to all legs of the intersection. Stop signs should be replaced with oversized 36" signs and located nearer to the intersection. Long-term solution: Consider complete access control to the adjacent businesses. Current status of this project - Inactive. Source: 1996 Missoula Transportation Plan Update and 1999 Missoula Transportation Plan Update Technical Memorandum. ---PAGE BREAK--- Page 16 Bicycles The Transportation Plan Update recommends several bicycle improvements in the Study Area. Fourteen or fifteen foot wide bicycle lanes on Russell, Stephens and Mount, North, South, Paxson, and Eaton Streets are recommended. According to the City Engineering Department, bicycle facilities will be included in the South Avenue reconstruction project. A bicycle/pedestrian trail built in 1998 (a portion of the Bicycle Commuter Network) exists along the railroad tracks through the heart of the Study Area. There is a gap in the trail from Livingston Avenue to North Avenue (approximately 2000 feet). The gap forces bicyclists and pedestrians off the trail and onto the street network in an eight- block detour to return to the trail. Pedestrian The Transportation Plan Update identifies an area that includes much of Sub-area B as having one of the lowest percentages of sidewalks (11% of the block faces) of any of the Missoula developed urban areas. In order to address this deficiency, the City Master Sidewalk Plan calls for sidewalks on Stephens from Mount to South Avenue and sidewalks on Johnson from South Avenue. to Fourteenth Street. Projects currently under construction to address pedestrian needs within the Study Area include installation of sidewalks on Brooks from Mount to Paxson in all areas where property owners grant easements. Sidewalks were constructed on South Avenue and Russell Street adjacent to the Fairgrounds during the summer of 2000. Public Transportation Three Mountain Line bus routes serve portions of the Study Area: Routes 6, 7, & 8. Current routes generally cover South Ave. to the UM campus and Downtown; Garfield/North/Eaton to the UM campus and Downtown; and Eaton/Clark/South and Brooks serving Southgate Mall and Downtown. To better serve the area, the Transportation Plan Update recommends that both Russell Street and Brooks be considered for corridor service, as they are two major arterial routes in the Missoula urban area not currently served by the transit system. However, according to the Technical Memorandum, "until these corridors have sidewalks, transit service is not feasible". As mentioned above, sidewalks are planned for Brooks in future projects. Yellow Cab, Inc. serves the Study Area and Paratransit is available for ADA eligible passengers and senior citizens. Streetscape Conditions An independent inventory by MRA Staff found that nearly 90% of the Study Area is lacking sidewalks and many areas do not have curbs, gutters or sidewalks. A small portion of the area has curbs and sidewalks but no gutter, which is typical of older parts of Missoula that were developed prior to the use of curbing machines. A lack of a ---PAGE BREAK--- Page 17 functioning curb, gutter and sidewalk system is a blighting influence for a variety of reasons. A lack of sidewalks forces pedestrian traffic into the streets creating an obviously unsafe condition. The absence of curbs and gutters results in poor drainage which affects the life of the street, and does nothing to prevent parking of automobiles in the boulevard area of the public right-of-way. [Please see of the FINDINGS section.] (Please see Curb, Gutter & Sidewalk Inventory map.) Most of the parking for businesses in the area is accomplished through the use of off- street private parking in parking lots. Many of the off-street parking facilities in the portions of the Study Area off the primary street network are unimproved and are not constructed to City parking lot standards. Unimproved lots are an air quality degradation factor because motor vehicle tires carry dirt, mud and other material onto the street network where it is pulverized by traffic and becomes airborne. (See Air Quality section below.) Freight and Transport Service The urban area of Missoula seems to be adequately served by freight and parcel delivery services. In addition to being served by delivery services, the Study Area has several designated truck routes including Brooks Street, South Avenue, and Russell Streets. The Bitterroot Branch Line of Montana Rail Link runs through the center of the Study Area with the potential to serve many properties along the tracks. Air Quality Based on air pollution monitoring data, Missoula has been designated as "non- attainment" (the standards are not attained) for two pollutants: carbon monoxide and PM10. PM10 is particulate matter ten microns or less in size. When airborne, it is considered an air quality problem because particles of this size are respirable and may lead to respiratory disease. Carbon monoxide is an odorless, colorless gas created by the incomplete combustion of hydrocarbon-based fuels. According to the Transportation Plan Update, the highest concentrations of carbon monoxide are found near congested intersections. The Brooks/South/Russell intersection is the only intersection in Missoula that has actually violated local and federal air quality standards for carbon monoxide, but all of Missoula is the official non-attainment area for carbon monoxide. [Please see of the FINDINGS section.] Public Utilities The Study Area is adequately served by public utilities including power (gas and electric), water, and solid waste collection. With installation of sewer in the Franklin to Fort Neighborhood in 1999, the Study Area as a whole now has a fairly extensive network of sewer mainlines. Connection to individual residential property lags behind ---PAGE BREAK--- ---PAGE BREAK--- Page 18 with only half the properties in the Franklin Neighborhood connected to the new sewer, although the City Public Works Department expects them to be connected over the next several years. Generally public utilities can be located within a block or so of most properties. Adequacy of service to individual properties must be determined on a case- by-case basis. Amenities Specific to the Study Area (Cultural & Recreational Resources) Quality of life is an important factor to many Missoulians and is often cited as a reason for locating here. Recreational, cultural and aesthetic resources are generally the amenities that contribute to the quality of life a community has to offer. Recreational resources provide opportunities for indoor or outdoor activities that engage families and individuals in either active or passive roles. Parks, playgrounds and open space are a primary source of public recreational amenities. Cultural amenities come under a number of varied categories such as education, history, the designed environment, and visual and performing arts. Parks McLeod Park, located across North Avenue from the local Montana Power office, is the only municipal park located within the Study Area. It contains a basketball court, picnic shelter, picnic tables and an open play area. Other regional recreational areas such as Spartan Pool, Playfair Park, Larchmont Golf Course and Fort Missoula are a significant distance away from the Study Area or are separated from the Study Area by barriers such as major traffic corridors, which inhibit neighborhood access. The Missoula County Fairgrounds are located adjacent to the Study Area and recently emerged as the subject of public discussions regarding its future. Schools The Jefferson School building is located within the Study Area on South Ave. It is no longer used as a regular public school but rather houses some of Missoula School District #1's special programs and administrative functions. The District’s hot lunch program kitchen is located adjacent to the school building. The school’s former playground is maintained by the District and is used by the neighborhood. The presence of schools and provision of parks in neighborhoods is important, especially within the urban area where access to open spaces is limited. This importance can be observed within the Study Area in the neighborhood containing Jefferson School building and McLeod Park. This is a stable, intact neighborhood with little rental property even though it is surrounded on two sides by busy streets and backed by a railroad. ---PAGE BREAK--- Page 19 Churches No church buildings are located within the Study Area. Shopping Centers The Study Area encompasses several community shopping centers including Paxson Plaza, Tremper's Shopping Center and Holiday Village Shopping Center. Southgate Mall, a regional shopping center is also within the Study Area boundary and serves as a public gathering place. The shopping centers in the Study Area, except for normal business turnover, are generally fully leased. Both Tremper's and Holiday Village were built in an era when shopping centers often did not include landscaping within their parking areas. While they have both been maintained and portions occasionally remodeled, they are nonetheless showing their age and may be suitable candidates for redevelopment in the next several years. At that time, a re-examination of their orientation and access to the street network should be considered. Additionally, the design and layout of parking and delivery improvements should be reviewed. Other The Main Post Office for the City of Missoula is located in the Study Area on Kent between Brooks and Russell. The United States Forest Service has a large shop and storage area/compound in the Study Area located just south of 14th Street and west of the railroad tracks. These public facilities generate a significant amount of traffic--much of it truck traffic--in the Study Area on a regular basis. No conclusive evidence was found to suggest that blight exists by merely the limited number of public amenities such as parks, schools and churches, however evidence does suggest that presence of these amenities has a very positive influence. ---PAGE BREAK--- Page 20 Chapter III - LAND USE & PLANNING According to Montana Urban Renewal Law some factors determining blight are: "inappropriate or mixed uses of land or buildings"; "improper subdivision or obsolete platting"; and "faulty lot layout in relation to size, adequacy, accessibility, or usefulness". Looking at current adopted plans and existing zoning and comparing them to what is actually in place reveals if these factors exist. Comprehensive Plan The following land use designations of the Missoula Urban Comprehensive 1998 Plan Update are represented within the Study Area. Parks & Open Space Designation - this designation is for areas where environmental constraints (such as slope, floodplain, wildlife habitat, etc.), or public values (such as open space, utility corridors, etc.) make development inadvisable. Community Commercial Designation - this designation is intended to encompass those retail goods and services, financial institutions, business and professional offices and personal services which are routinely used by residents. These areas need to be located for convenient access. Highway/Heavy Commercial Designation - is intended to accommodate uses that have unique land use needs and impacts. It is intended to encompass uses with large land requirements; uses which involve outdoor storage of merchandise or materials; uses which are automobile or heavy equipment related; uses which provide support services to business or industry; and uses which support highway travel such as motels, truck stops, or shipping/warehouse facilities. Community and Highway/Heavy Commercial Designation - is a combination of the two above designations. Urban Residential 16 Dwelling Units per Acre Urban Residential D 12-16 Dwelling Units Per Acre (See map showing Comp Plan Designations) Source: 1998 Missoula Urban Comprehensive Plan Update ---PAGE BREAK--- ---PAGE BREAK--- Page 21 Zoning The Study Area can be characterized as being made up of primarily commercial and residential zoning. Residential Zones The Residential Zones according to the Missoula City Zoning Ordinance which are represented in the area are as follows: B Residential - Minimum lot area of 1000 square feet to 3,500 square feet depending on number of bedrooms R-H High Rise Multiple-dwelling Residential - 125 feet maximum building height R-I Residential - minimum lot area of 5,000 square feet or more R-II Two Family Residential - minimum lot area of 5,400 square feet or 2,700 square feet per dwelling unit (whichever is greater) R-IV Multiple Dwelling Residential - Multi-unit dwellings and limited commercial uses R-V Neighborhood Business - allows for residential uses and limited commercial uses R-XII Residential - a maximum density of 12 dwelling units per acre (Source: Missoula City Zoning Ordinance) Commercial Zones Commercial Zones represented in the area are as follows: SC Shopping Center District - a zone to accommodate retail business area comprised of one or more adjacent or adjoining commercial establishments with a total gross floor area of 30,000 square feet or more with adjacent off street parking. C commercial - Maximum building height of 125 feet. C-I Commercial - no height restrictions and commercial structures may be constructed to the property line. ---PAGE BREAK--- Page 22 C-II Commercial - as in C-I there are no height restrictions and commercial structures may be constructed to the property line. The difference between the two is a different set of permitted uses. CLB Commercial On-premise Liquor/Beer Establishment District - a zone allowing for establishments that serve liquor and or beer. (Note: CLB Overlay, because it dictates location of establishments with liquor licenses, also dictates locations where gambling may occur.) C/CLB Commercial On-premise Liquor/Beer Establishment District - an underlying C-Commercial Zone allowing for establishments that serve liquor or beer. C or C-I/CLB-I Commercial On-premise Wine/Beer Establishment District - an underlying commercial zone allowing for establishments that serve wine or beer. CG Commercial Gasoline Station District - a zone allowing for commercial gas stations. Other Zones There is some Light Industrial (I-I) property at the north end of the Study Area along the railroad tracks and along South Avenue. The Forest Service property and Jefferson School are zoned Public Lands (P-II). In comparing Zoning Designations with the underlying Comprehensive Plan designations one area of inconsistency was noted. While there are industrial zones within the Study Area boundary, there are no industrial Comprehensive Plan designations. The uses that grow up around railroad tracks are by nature often industrial. The ability of property serviced by and fronting the railroad to be used to its highest and best use may be reduced if the Comprehensive Plan does not accommodate such uses. Several properties along the Bitterroot Branch Line are not used to their fullest potential with respect to the railroad service available. This issue may be a contributing factor to blight inasmuch as property owners cannot be encouraged to invest in properties that are subject to conflicting land use designations. Careful consideration of land use along the railroad right-of-way involving property owners, Montana Rail Link, neighbors and City Staff should determine how best to use this part of the community’s infrastructure. According to the 1996 Transportation Plan Update, areas identified for encouragement of infill residential and commercial development include the portions of Sub area A and Sub-area B that lie west of the railroad tracks. (See map showing zoning districts) ---PAGE BREAK--- ---PAGE BREAK--- Page 23 Growth Management According to the 1996 Transportation Plan Update, the Missoula Growth Management Task Policy identifies issues and concerns that assist in selection of areas targeted for in- fill development. In addition to having large areas of vacant land, the areas targeted for in-fill development were selected on the basis of: "In-fill in which areas would have the least impact on transportation, air quality, water quality, open space, schools, cost of services, and vehicle miles traveled". Also, according to the Transportation Plan Update, the area between the Montana Rail Link Bitterroot Branch Line and Reserve Street was identified for in-fill development where new residential and commercial development should be encouraged. The Comprehensive Plan and Zoning Ordinance are in apparent conflict regarding residential designations in this neighborhood which is a condition of blight according to M.C.A. 7- 15-4606(m). Annexation The most recent annexation in the Study Area occurred in January of 1996 with the annexation of the area west of the Montana Rail Link railroad tracks, a portion of which is within Sub-area C. At the time of annexation, a Municipal Service Report was prepared to determine the impacts that annexation would have on the City budget and how the City intended to provide services to the newly annexed area. The Municipal Service Report analyzed the impact of annexation on various City departments and services including: administration; fire protection; police protection; public works; parks and recreation; and revenues. According to the Report, the greatest impacts would occur in personnel especially to the Police Department due to increased patrol area and the Public Works Department due to an increased number of street miles to maintain. Creation of a Special Improvement District for a wastewater collection system was also prescribed to serve the annexed area. Hiring of additional wastewater personnel is being done over time as needed and the wastewater system extension was constructed 1998- 1999 with CBDG grant funds. There are 758 parcels in the wastewater project area and of those parcels, nearly 50% of them have been hooked up to sewer to date, many with the aid of funds from a variety of sources including Block Grant funds, Water Quality District, Department of Natural Resources, and Treasure State Endowment Funds. 70- 80% of the properties are expected to be hooked up in the next few years. ---PAGE BREAK--- Page 24 Chapter IV - FINDINGS The following findings are organized according to the factors that define blight under M.C.A. 7-15-4206. the substantial physical dilapidation; deterioration; defective construction, material, and arrangement; and/or age obsolescence of buildings or improvements, whether residential or nonresidential; We are unable to make a case that physical dilapidation of the area was substantial however, we did find examples of it. inadequate provision for ventilation, light, proper sanitary facilities, or open spaces as determined by competent appraisers on the basis of an examination of the building standards of the municipality; No examination of the area was made by competent appraisers. However, the City has determined the need to provide assistance to low and moderate-income households. Even though this is a blighting influence, it is being addressed. inappropriate or mixed uses of land or buildings; There are areas of inappropriate and mixed uses of land, the most obvious of which is on South Avenue. Another example we found were areas of industrial zoning, which are contrary to the Comprehensive Plan designation of residential. This situation should be re-examined in light of the existing uses and the community’s need for light industrial areas in the future. high density of population and overcrowding; According to demographics, the population of this area has not changed significantly in the last 20 years, therefore this is not a blighting influence. In the Study Area there is only one dedicated neighborhood park. Given the value the Missoula community places on parks and open space this may not be adequate. defective or inadequate street layout; There is evidence of inadequate street layout due to the configuration of streets adjacent to Brooks and the railroad tracks. This causes traffic circulation problems and may be a contributing factor to automobile crashes. faulty lot layout in relation to size, adequacy, accessibility, or usefulness; Faulty lot layout was found in relation in relation to size, adequacy, accessibility, or usefulness due to the orientation of Brooks and the railroad tracks which caused many lots to be laid out in odd shapes and sizes rendering many of them inadequate in terms of accessibility or usefulness. excessive land coverage; Examples of excessive land coverage was found in residential neighborhoods particularly in mobile home lots. The City, through its zoning authority, has determined minimum size lots for mobile homes. Whether that is adequate should be re-examined. ---PAGE BREAK--- Page 25 unsanitary or unsafe conditions; Examples of unsafe conditions were found in the high number of crash locations found in the Study Area in relation to the rest of the City. Also, lack of provisions for pedestrian and bicyclists can lead to unsafe conditions. deterioration of site; We uncovered no glaring examples of deterioration of site. diversity of ownership; We found no example where diversity of ownership constituted a blighting influence. tax or special assessment delinquency exceeding the fair value of the land; Cursory review of the tax records did not indicate this situation. In light of the County's practice of filing tax liens for tax and special assessment delinquencies, it is unlikely that this situation exists. defective or unusual conditions of title; Because of the vast number of properties involved in the Study Area, it was impossible to undertake a determination of whether defective or unusual condition of title exist. improper subdivision or obsolete platting; Because the Bitterroot Branch Line and Brooks Street cross the underlying grid system at an angle, have created irregular shaped lots which are reflected in the orientation of the buildings and improvements. This situation creates undesirable intersection configuration and poor access to commercial properties. the existence of conditions which endanger life or property by fire or other causes; In the residential area west of the Bitterroot Branch Line, there is an open irrigation ditch. Over the years several Missoulians (mostly children) have drowned in ditches. They persist as blighting influence in various areas of the City. Fire call data and crime information received suggests that the Study Area has a proportionately higher share of such incidences that the City as a whole. any combination of the factors listed in this subsection ---PAGE BREAK--- Page 26 Chapter V- DISCUSSION OF SUB-AREAS The Study Area was divided into three Sub-areas to better represent the three fairly distinct geographical areas defined by the dominant transportation features which shaped the development that makes up the Study Area to allow more in-depth consideration of those areas. The boundaries of the Sub-areas themselves are somewhat less arbitrary than the boundaries of the Study Area but are meant to be considered prompt discussion among the community and decision makers. Sub-area A (South Avenue Corridor) The South Ave. Corridor is generally bounded by Kemp, Fourteenth Street, and Russell Street between Fourteenth and Benton; from that point, the boundary goes generally in a westward direction to the entrance of Southgate Mall and follows the Southgate Mall property line to the northeast corner of the Southgate Mall property; it then goes west to approximately Reserve Street, taking in both sides of South Avenue. The Sub-area is almost evenly disbursed between the Franklin to Fort Neighborhood and the Southgate Triangle Neighborhood. Major land uses within this Sub-area include the United States Forest Service vehicle compound, Montana Power Company, and Empire Building Materials. Land use in this area is predominately commercial with some residential on the western portion of it. The Bitterroot Branch Line of the Montana Rail Link Railroad runs directly through the heart of Sub-area A. Its presence is reflected in the industrial nature of land uses located along the tracks. The area along the Bitterroot Branch Line contains commercial, residential and industrial zoning, which follow the pattern of land use found in the area. The Comprehensive Plan includes land use designations for commercial and residential, however, it does not contain any designations for industrial use within the this Sub-area. This Sub-area is subject to change in the foreseeable future particularly in light of the transportation improvements scheduled. The new Brooks/South /Russell configuration will change traffic patterns, particularly on South Avenue and the surrounding areas. Proposed acquisition for needed right-of-way will eliminate some area businesses and create new opportunities for others. With the improvement of South Avenue and its partial elimination from the Brooks/South/Russell intersection, traffic will flow through the area in different ways, creating new problems and opportunities. The future of several large tracts of land along the Bitterroot Branch Line of the Montana Rail Link Railroad is unknown. Montana Power is in the process of divesting itself of all its power generating and distribution functions and its successor may or may not retain this facility. The U.S. Forest Service vehicle compound off 14th Street is a possible site for a more intensive use and community in-fill if the federal government ever divests itself of the property. Finally, due to its size and current configuration, a triangle of land bordered by the Bitterroot Branch Line and Johnson Street and North Avenue has great potential for a more intense or different use. (Please see Sub-area Map) ---PAGE BREAK--- Page 27 Sub-area B (West of Southgate Mall) This area is generally bounded by a line a half block west of Clark between the corner of Reserve and Highway 93 and Livingston; from Livingston to the northwest corner of the Southgate Mall property; from that point along the Bitterroot Branch Line of the Montana Rail Link to the southwest corner of the Southgate Mall property; to the entrance of Southgate Mall on Brooks and then along both sides of Brooks to the point of beginning. Major land uses include University Motors, Vann’s, Shopko, and K-Mart. The majority of this Sub-area west of the railroad is low to moderate income residential while the portion of the Sub-area east of the railroad tracks is almost exclusively commercial. This land use pattern is reflected in the zoning designations for this area, which are generally in conformance with the Comprehensive Plan designations. This Sub-area B, like Sub- area A, is lacking sidewalks and some curbs, gutters, and paving, however, several streets east of the tracks are currently in the process of being paved. There is a large portion of the Sub-area south of the Bob Wards Store along the railroad tracks that remains undeveloped. One of the characteristics of the irrigation ditch creates a difficult impediment to successful in-fill of this property. Along Brooks Street is there is a broad array of retail, entertainment and hospitality businesses characteristic of so-called “strip development.” Among its principal defining features are the Montana Rail Link Bitterroot Branch Line and Brooks Street (Highway 93), and Southgate Mall. (Please see Sub-area Map) Sub-area C (Main Post Office) Sub-area C is generally bounded by South Avenue, Russell, Mount and Bancroft/Bow/Holborn. Major land uses within this area include the Main Post Office, Tremper's Shopping Center and Holiday Village Shopping Center. The Sub-area is bifurcated by Brooks Street (Highway 93), the presence of which has encouraged the development a wide variety of retail and service businesses. This Sub-area also borders on Brooks/South/Russell intersection. Since this area has already undergone a change from residential to commercial uses, it is a transition zone between the intense commercial area of Brooks Street and portions of the Rose Park Neighborhood. This Sub-area is almost entirely zoned for commercial uses with some industrial zoning located along Mount Avenue. There is no residential zoning in the area; however, the Missoula Manor retirement home is located within this Sub-area. ---PAGE BREAK--- Page 28 CONCLUSIONS & RECOMMENDATIONS Conclusions A group of citizens concerned about the future of the south side area of Missoula determined the application of urban renewal law and tax increment financing may address their concerns, recognizing the positive effect the creation of urban renewal districts has had on other parts of the City. The citizens group approached the City Council for support to pursue the steps outlined in Montana Urban Renewal Law for the determination of the existence of blight by the City Council, and, if blight is found, creation of an urban renewal plan to prevent its spread and to eliminate it. The City Council responded by endorsing the preparation of this study by the Missoula Redevelopment Agency to determine the existence of blight as defined under state statute. The results of that study are contained within this report. The Study Area comprises approximately 630 acres includes a wide variety of uses, and is characterized by building and infrastructure conditions that range from new construction to obsolete structures. In an area so large, it is unreasonable to expect that an assessment of existing conditions of blight would conclude all or none of the area is blighted. Indeed, much of the area is far from blighted in the legal or traditional sense of the term. While many portions of the Study Area contain some blighting factors, not all portions of the Study Area contain significant negative conditions or combinations of negative conditions to consider them blighted. These blighting conditions exist due to age, building obsolescence, and land use development patterns that were a response to accommodating the necessary evils that result from reliance on the automobile. Much of the properties in the Sub-areas west of the Bitterroot Branch Line were developed at a time when they were not part of the City, and so were not developed to City standards. Now they are part of the City and have a lot of catching up to do to be on an equal footing with the rest of Missoula. While uncovering factors that indicated blight, opportunities were also discovered, such as the existence of vacant land and parcels where the improvements are worth less than the value of the land. Both these situations represent in-fill opportunities that, as a matter of sound community development, should be attended to. Also, opportunities for redevelopment exist in areas where significant changes are planned in the transportation network and land use. The Urban Renewal Plan If the City Council agrees with this Study’s findings that blight does exist in the Study Area, State law directs the City Council to cause an urban renewal plan to be prepared to prevent the spread of blight and to eliminate it. The urban renewal plan must identify an area (the urban renewal district) in which the plan will be carried out and identify strategies for addressing the blighting conditions. ---PAGE BREAK--- Page 29 If an urban renewal district were created pursuant to an urban renewal plan, it would most likely contain a provision for the collection of tax increment to fund urban renewal activities in the district. To do otherwise would deprive the plan one of the essential tools with which to undertake redevelopment activities. If a tax increment district were created as part of the urban renewal plan, local taxing jurisdictions would continue to levy taxes against the district’s tax base which is identified and frozen at the time the district is created. Any tax revenue collected as a result of levies assessed against the increased value of the district base taxable value would be segregated and used for the permitted purposes outlined in State Urban Renewal Law and the local ordinance adopting the urban renewal plan. At the end of a fifteen-year period, or some time sooner if it is the will of the City Council, the district and the urban renewal plan will terminate. In the City’s past two experiences with creating urban renewal districts, vast areas of nearly 500 acres were included. That is what was required to deal with a dying Downtown, a degraded and ignored riverfront and a neighborhood that existed for 60 years before being annexed into the City. At the time each of those two districts was created, local taxing jurisdictions relied more heavily on the commercial portion of the property tax base than they do today because that was where the biggest increases in local revenue due to growth and re-appraisal occurred. That is still true today, although recent changes by the state legislature in the classification formulas for property tax make it less so. The strategy of casting the urban renewal net over too large a area creates a problem of administration and accountability. Rather than focusing on areas that have the most problems and which are the most likely candidates for successful redevelopment, the perspective in a large district must remain overly broad and the district management is successful only if it can be all things to all people. Redevelopment is often most successful when it is targeted to a cohesive, manageable area with specific outcomes in mind. A smaller area also focuses the attention of legitimate stakeholders at a level where defining redevelopment goals can be most meaningful. From a fiscal standpoint, it is also easier to analyze outcomes of public and private investment in a more compact area than a large one, and thereby easier to measure the success of a program from a variety of identified benchmarks. This sort of analysis informs decisions regarding the commitment of public funds and other resources in the course of negotiating public/private development agreements. Finally, if an urban renewal district is created, it in effect captures the revenue from all new growth, no matter how modest, in the tax base of that district. Even though the Study Area is a small percentage of the City’s entire tax base, if the district created is overly broad, taxing jurisdictions that rely on growth of the tax base may see that growth undesirably constrained. For all these reasons, it is recommended that if a district is to be created, it be relatively compact and have readily identifiable problems and opportunities for which redevelopment strategies can be formulated. If at a later date, the need arises to amend ---PAGE BREAK--- Page 30 the boundaries of such a district, the City Council may do so according to the provisions of State law. In the creation of a tax increment district, there is sometimes concern that a district will be so successful that it will collect more revenue than it needs, and deprive other taxing jurisdictions of revenue. The Montana Urban Renewal Law provides that a district have prepared for it an annual work plan and budget which are approved by the City Council. If the tax increment revenue collected exceeds the revenue needed to complete the planned urban renewal activities in a given year, the City Council may return a portion of the increment collected to the taxing jurisdictions in a manner consistent with the proportionate share of the revenue derived from each of their levies. This gives political oversight to the issue of tax increment collection and accumulation. Recommendations State Law provides municipalities with the ability to redevelop areas found to be blighted. It is the opinion of the Missoula Redevelopment Agency that this Study has yielded adequate information to make a finding that blight exists in the Study Area. The Missoula Redevelopment Agency further recommends that the City Council direct that a plan be prepared which addresses the blighted conditions so as to eliminate them and prevent their spread. Specific recommendations to the City Council are: 1. That the City Council make a finding that blight exists in Sub-area A and direct an urban renewal plan be drafted to deal with it for the City Council’s review and approval. This area is going to undergo identifiable changes due to the changes in the Brooks/South/Russell intersection and the improvements to South Avenue. It is an area that has the potential to generate enough change in the form of new private investment to drive the redevelopment engine of tax increment financing. A strong tax increment district will provide the City of Missoula with the necessary tools to guide redevelopment and to be a creditable part of the public/private partnerships that complete successful redevelopment projects. 2. That additional information be developed for Sub-areas B and C over the next 18 months to determine the appropriate strategies, either through an urban renewal plan or otherwise, for addressing deficiencies outlined within this Study. Such information should keep in mind the effects of Brooks/South/Russell modifications, the future of the Fairgrounds, and the economic health and physical condition of the commercial centers. 3. That the City Council continue to monitor residential neighborhoods in and around the Study Area and consider how to respond to their needs appropriately. ---PAGE BREAK--- Page 31 Appendix A Criteria for Determining Conditions of Blight Montana Urban Renewal Law provides municipalities with the powers necessary to redevelop and rehabilitate blighted areas through the creation of Urban Renewal Plans to eliminate and prevent the spread of blight. Urban Renewal Law contains criteria for the determination of existence of blight. Montana Urban Renewal Law (7-15-4202 MCA) declares: that blighted areas which constitute a serious and growing menace, injurious to public health, safety, morals, and welfare of the residents of the state, exist in municipalities of the state; that the existence of such areas: contributes substantially and increasingly to the spread of disease and crime and depreciation of property values; constitutes an economic and social liability; substantially impairs or arrests the sound growth pf municipalities; aggravates traffic problems; and substantially impairs or arrests the elimination of traffic hazards and the improvement of traffic facilities. that the prevention and elimination of such areas is a mater of state policy and state concern in order that the state and its municipalities shall not continue to be endangered by areas which are focal centers of disease, promote juvenile delinquency, are conducive to fires, are difficult to police and to provide police protection for, and, while contributing little to the tax income of the state and its municipalities, consume an excessive proportion of its revenues because of the extra services required for police, fire, accident, hospitalization, and other forms of public protection, services, and facilities. Montana Urban Renewal Law (7-15-4206 defines blight as follows: "Blighted area" shall mean an area which is conducive to ill health, transmission of disease, infant mortality, juvenile delinquency, and crime; substantially impairs or arrests the sound growth of the city or its environs; retards the provision of housing accommodations; or constitutes an economic or social liability and/or is detrimental or constitutes a menace to the public health, safety, welfare, and morals in its present condition and use, by reason of: the substantial physical dilapidation; deterioration; defective construction, material, and arrangement; and/or age obsolescence of buildings or improvements, whether residential or nonresidential; ---PAGE BREAK--- Page 32 inadequate provision for ventilation, light, proper sanitary facilities, or open spaces as determined by competent appraisers on the basis of an examination of the building standards of the municipality; inappropriate or mixed uses of land or buildings; high density of population and overcrowding; defective or inadequate street layout; faulty lot layout in relation to size, adequacy, accessibility, or usefulness; excessive land coverage; unsanitary or unsafe conditions; deterioration of site; diversity of ownership; tax or special assessment delinquency exceeding the fair value of the land; defective or unusual conditions of title; (m)improper subdivision or obsolete platting; the existence of conditions which endanger life or property by fire or other causes; or any combination of the factors listed in this subsection