Annual report / Arizona Governor's Growing Smarter Oversight Council

              GROWING SMARTER
IN
ARIZONA
The 1st Annual Report
of the
Growing Smarter Oversight Council
Arlan Colton
Mark Schnepf
Grant Woods
Co-chairs
Growing Smarter Oversight Council Members
As of December 5, 2001
Michael Anable Arizona State Land Department
Governor Donald Antone Gila River Indian Community
Maria Baier Arizona Governor's Office
Ed Beasley City of Glendale
Steve Betts Gallagher & Kennedy
Stephen Brophy Page Land & Cattle Co.
Patrick Call Cochise County Board of Supervisors
Frank Carrillo City of Somerton
Arlan Colton University of Arizona
Albert Elias City of Tucson Department of Transportation
Margie Emmermann Arizona Department of Commerce
Tom Farley Arizona Association of Realtors
Pat Gilbert Mesa Community Action Network
Jan Hancock Arizona Trail Association
Jim Holway Arizona Department of Water Resources
Carol Johnson Arizona Planning Association
Virginia Korte Center for Native and Urban Wildlife
David Mehl Cottonwood Properties
Victor Mendez Arizona Department of Transportation
Mandy Metzger Diablo Trust
John Ogden Suncor
Jerry Owen City of Cottonwood
Jack Pfister Arizona State University School of Public Affairs
Luther Propst Sonoran and Rincon Institutes
David Richert City of Phoenix Planning Department
Katharina Richter Pima County Attorney's Office
Jackee Schafer Arizona Department of Environmental Quality
Mark Schnepf Schnepf Farms
Duane Shroufe Arizona Game and Fish Department
Debra Stark City of Peoria Community Development
Mike Trailor Centex Homes
Tonia Tunnell Arizona Association of Counties
Grant Woods Attorney
Staff
Deb Sydenham, AICP, Community Planning Manager
Kristen Keener, Community Planning Specialist
Arizona Department of Commerce
3800 North Central Ave., Suite 1400
Phoenix, AZ 85012
work: (602) 280-8114; fax (602) 280-1305
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December 20, 2001
The Honorable Jane Dee Hull
Governor
State of Arizona
1700 West Washington
Phoenix, Arizona 85007
Dear Governor Hull:
The Growing Smarter Oversight Council is pleased to submit this inaugural Annual Report to you, the
Legislature, and the citizens of Arizona.
A keynote of the Hull administration has been your personal leadership in the realm of growth and open
space issues bombarding Arizona. From the inception of the original Growing Smarter Act in 1998, through
the Growing Smarter Commission and Growing Smarter Plus in 1999 and 2000, to the creation of this
volunteer Council in the spring of 2001, you have pursued a myriad of avenues to improve the way Arizona
grows.
As the primary players in monitoring and ensuring successful implementation of the Growing Smarter Acts,
we have so far focused on strengthening stakeholder involvement and identifying perceived barriers to
achieving effective compliance with this landmark legislation.
The highlights of the Growing Smarter Oversight Council’s first year are contained herein, and it is with
pride and a continuing commitment to Arizona’s legacy that we will pursue our mission into the years to
come.
Respectfully submitted,
Growing Smarter Oversight Council Co-Chairs,
Mark Schnepf Arlan Colton, AICP Grant Woods
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Introduction
Arizona has a unique heritage when it comes to public lands, open space and growth. One of the few
states to hang on to most of its State Trust lands and filled with vast expanses of federal lands, Arizona is
blessed with exceptionally diverse landscapes. Arizona is comprised of bustling metropolitan regions,
working ranches and agricultural districts, rural communities, and magnificent natural open spaces.
The lifestyles of Arizonans are equally as diverse as the landscapes they live in. Arizona’s quality of life
and vibrant economy has made it one of the fastest growing states in the nation. This rapid growth has left
many Arizonans searching for ways to better maintain our unique lifestyle and preserve the character of our
communities. To sustain this economic prosperity without irreversibly damaging the State’s natural
resources, Governor Jane Dee Hull set out to create and strengthen growth management and open space
preservation programs to ensure that every community and county would possess the tools necessary to
control their own destinies and preserve their futures. Promoting smart growth principles on the local level
ensures that the distinct character that comprises our diverse State will continue to flourish for all
Arizonans.
Arizona’s History of Managing Growth
The State of Arizona has been working for nearly a decade to actively manage growth and preserve open
space. Since 1973, cities, towns and counties have been required to develop plans for their communities,
looking at issues such as land use, circulation, housing, public services and facilities, and conservation,
rehabilitation and redevelopment. Communities used these plans to visualize the directions they wished to
develop and ways to get there. However, as growth rates significantly increased in the 1990s and through
the next decade, it became clear that more tools were needed to assist these communities in their planning
endeavors.
The first legislative success to further this effort was the passage of the Arizona Preserve Initiative (API) in
1996, which was designed to encourage the preservation of State Trust land in and around urban areas for
open space to benefit future generations. The law established a process by which Trust land could be
leased for up to 50 years or sold for conservation purposes.
In 1998, the landmark Growing Smarter Act was passed. The Act added four new elements to the already
required general plans of municipalities and comprehensive plans of counties. The four new elements
included: Open Space, Growth Areas, Environmental Planning, and Cost of Development. Additionally,
previously required elements were modified, clarified, and strengthened.
The Act also created a ballot initiative, Proposition 303, which provided $20 million per year for eleven
years to help communities preserve open space and incentivize certain landowners to adopt best
conservation practices on their land. This proposition passed in 1998 with a 53% voter approval.
Furthermore, the Growing Smarter Act created a Growing Smarter Commission to consider additional
proposals to manage growth and preserve open space in Arizona. The 15-member Commission was
comprised of state and local government officials and representatives from the business, ranching, and
environmental industries. Also, more than 100 individuals with diverse backgrounds from around the State
were appointed to eight Commission subcommittees. Through these subcommittees, the best alternatives
for addressing growth issues were reported to the Commission and consolidated into a draft report that was
used in a series of open houses conducted by the Commission to obtain public input before the
Commission made its final recommendations.
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The Commission’s final recommendations ultimately led to the drafting of Growing Smarter Plus (GS+)
legislation, which was passed in a Special Legislative Session, and signed by Governor Hull in 2000. A
primary focus of GS+ was to further the enhancement of land use planning statutes. Highlights of GS+
include:
• Large and fast-growing cities are to obtain voter approval of their general plans at least once
every ten years and include a water adequacy element in their plans;
• Cities and counties are to exchange plans prior to adoption to encourage regional coordination;
• Requires full disclosure to property buyers of the lack of available services and facilities;
• Requires land-owner permission for plan designation and rezoning of private property to open
space;
• Authorizes cities and counties to designate service area limits beyond which services and
infrastructure are not provided at public expense;
• Permits counties to impose development fees consistent with municipal development fee
statutes;
• Allows cities to create infill incentive districts and plans that could include expedited process
incentives;
• Gives landowners an expedited and cost-free review of taking claims; and
• Establishes a development rights program to purchase, lease or transfer development rights of
private lands.
Another focus of GS+ resulted in a proposition on the 2000 ballot, which aimed to make substantive
reforms of the State Land Department and to establish the Arizona Stewardship Reserve for the purpose of
conserving up to three percent of Arizona’s State Trust lands. However, this ballot proposition was
narrowly defeated by the voters and did not become law.
To continue the effort to ensure that local communities and the State have the tools necessary to manage
growth, Governor Hull established the Growing Smarter Oversight Council by Executive Order 2001-02 on
February 6, 2001. The Executive Order is included in the Appendix of this Report.
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Missions and Goals of the Growing Smarter Oversight Council
The Growing Smarter Oversight Council, a council of volunteers, was created by Executive Order, and is
charged with the goals of monitoring the implementation of the Growing Smarter and Growing Smarter Plus
Acts; identifying obstacles; suggesting refinements; developing a method of measuring and assessing the
effectiveness of the Acts; determining how compliance with the Acts should be addressed; and suggesting
improvements. It is also charged with the obligation to include discussions of other groups including the
Groundwater Management Commission, the Brown Cloud Summit, the Vision 21 Transportation Task
Force, and the Arizona Partnership for the New Economy.
2001 Activities
Over the past 10 months, the Council met in northern, central, and southern Arizona locations, and heard
testimony from a large number of statewide constituent groups, agencies, communities, and organizations
on their needs, concerns, issues, suggestions, and recommendations regarding the Growing Smarter
legislation. After a daylong Visioning Retreat to identify ways to address priorities and identify the
perceived barriers to successful implementation of Growing Smarter initiatives, it became clear that the
issues identified were far-reaching and embraced a broad spectrum of social, economic, and political
interests. Therefore, the Council divided into subcommittees to proactively prioritize issues, strategize
approaches, and ultimately achieve results. The subcommittees are as follows:
  Communication and Education – This subcommittee is charged with increasing public awareness
and understanding through meaningful and accessible participation mechanisms. This is a grassroots
group focusing on feasible and successful ways to reach the public and elevate smart and quality
growth philosophies statewide.
  Local Government Relations – The role of this group is to interface with elected and appointed
officials at the local level and turn issues and concerns into concrete directions and actions. This
subcommittee provides policy guidance to the Legislative Subcommittee.
  Legislative - This group addresses specific refinements and looks at what new components are
needed to enhance and clarify the intent and successful implementation of Growing Smarter. They
work collaboratively on state level policies and legislative endeavors, and are strong resources for state
elected and appointed officials.
  Performance Measures - This subcommittee will provide the link among all the subcommittees by
establishing the potential criteria and processes by which Arizona's Growing Smarter Acts will be
monitored and measured for successful implementation. Additionally, this subcommittee will document
“guiding principles” that identify quality of life impacts and solidify the efforts of the other
subcommittees.
Each subcommittee identified short, medium, and long-term goals. Short-term goals are expected to be
reached over the following year. Medium-term goals may take up to 2-3 years to achieve, and long-term
goals have varying completion dates.
Further, the Council identified, reviewed and drafted, through its Legislative Subcommittee and approved
as an entire body, legislative language to address some immediate obstacles to implementing Growing
Smarter requirements. The Council will be forwarding these suggestions to the Arizona Legislature for
consideration during their 2002 Regular Legislative Session. A summary of these suggestions can be
found under the Legislative Subcommittee section of this Report. It is expected that the Legislative
Subcommittee will continue to work with the other subcommittees throughout the next Legislative Session
to ensure that policy issues regarding better growth management are brought to the attention of the
Governor and the Legislature.
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COMMUNICATION and EDUCATION SUBCOMMITTEE
Increases public awareness and understanding through meaningful and accessible participation
mechanisms. This grassroots group focuses on feasible and successful ways to reach the public and
elevate smart and quality growth philosophies statewide.
2002 Goals and Action Items
  Establish a website that can be a data clearinghouse and linked to agencies, organizations, and
communities. The website can also provide continuous, updated information on the General Plans that
have been approved, or others that are scheduled for voting.
  Develop a brochure through the private sector, which helps define the goals and objectives of Growing
Smarter and Growing Smarter Plus. This brochure can be utilized in presentations, mailings, and
community brochure racks in key locations.
  Develop a Media Plan to help keep the Growing Smarter initiatives in the public eye; keep the Growing
Smarter process vital.
  Form a Speakers Bureau to be available for community presentations and public outreach activities.
Medium-Term Goals
  Communicate with editorial staff at newspapers and other media-outlets statewide.
  Develop a presentation kit and several table-top displays for conferences and public meetings.
  Encourage community leaders to include community planning in education programs, for youth as well
as adults.
  Promote community workshops, develop model elements, and public involvement programs that help
educate the public about the importance of planning.
Long-Term Goals
  Encourage all Growing Smarter Oversight Council members to participate in public forums throughout
the State.
  Encourage community agencies, commissions, councils and organizations to conduct educational
retreats to develop an understanding and consensus about growth in their communities.
  Promote the philosophy that planning is a worthwhile return on investment in a community’s future.
  Encourage communities to inform and educate citizens about policies and actions that will not
encourage sprawl.
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LOCAL GOVERNMENT RELATIONS SUBCOMMITTEE
Interfaces with elected and appointed officials at the local and state level and turns issues and concerns
into concrete directions and actions. Provides policy guidance to the Legislative Subcommittee.
2002 Goals and Action Items – Planning Guidance
  Develop a definition for “affordable housing” that equates to housing that is affordable to the average
household income, and differentiates it from subsidized housing.
  Consider the relationship between growth management provisions, supply of land for development, and
affordable housing and explore measures to achieve Growing Smarter/Plus objectives, such as open
space, while also ensuring adequate affordable housing. As part of this, research the availability of
State and Federal lands for future development.
  Develop policy guidance for promoting a stronger correlation between population growth, types of
employment, wages, housing diversity, and housing costs with an objective of achieving a balance of
jobs and suitable housing for employees in close proximity. Require an analysis of jobs and housing
balance as part of the general plan.
  Develop policy guidance for using the location and timing of infrastructure as a tool to guide desired
types and locations for new development.
  Develop policy guidance for major amendments, including criteria for developing a definition, and
setting forth requirements for reviewing potential impacts (including an analysis of potential traffic
impacts, water availability, environmental impacts, and jobs/housing balance).
  Review taxation policies, and recommend revisions that would allow property taxes to be used as a tool
to encourage development consistent with long-range plans, including the retention of land as
undeveloped until the market exists for more appropriate uses in the future.
  Develop State policy to allow counties greater authority to address affordable housing issues.
  Identify implementation obstacles in existing statutes, as well as implementation opportunities, such as
tax increment financing, public works trust funds, and public/private joint ventures.
Medium-Term Goals – Regional Planning and Coordination
  Identify land use issues of regional significance, which should be addressed in local plans.
  Study the possibility of requiring communities to coordinate general plans for issues of regional
significance or for land uses along the boundaries between jurisdictions the same way that the State
requires regional coordination of transportation plans.
  Develop policies that will encourage regional planning through grants, demonstration projects,
incentives, and building technical expertise and necessary databases at the regional and state level.
  Study the possibility of standardizing land use regulations and local government authority across cities
and counties within similar regions, while recognizing the differing needs of urban and rural areas.
  Study methods to address regional planning in rural areas in a manner that is compatible with other
communities in the area.
  Provide for joint applications for grant funds in order to encourage a regional approach in planning.
Long-Term Goals - Funding & Technical Assistance
  Identify methods for providing technical assistance to cities/towns and counties, and in particular,
technical support for the Water Resources Element.
  Identify opportunities for providing technical data through regional and state entities.
  Identify needs in rural Arizona separate from the urban areas and direct funds toward those areas.
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LEGISLATIVE SUBCOMMITTEE
Addresses specific refinements and looks at what new components are needed to enhance and clarify the
intent and successful implementation of Growing Smarter. Works collaboratively on state level policies and
legislative endeavors, and are strong resources for state elected and appointed officials.
2002 Goals and Action Items
  Draft legislation for the 2002 Regular Legislative Session that addresses the following issues:
• Extends the deadline for counties and fast-growing communities to adopt their general and
comprehensive plans for one year; to the end of 2002 for fast growing communities and counties
and to the end of 2003 for small communities and counties (county populations less than 125,000).
• Clarify the water adequacy element to address interpretive and financial impacts after review by
key water committees and the Arizona Department of Water Resources.
• Clarify that public hearings are not to begin until after the 60-day review period ends.
• Clarify the required citizen participation process for zoning cases.
  Monitor Representative O’Halleran’s working group regarding lot split authority and any legislation that
may be introduced in the 2002 Legislative Session.
  Monitor the Groundwater Management Commission recommendations and actions.
  Review State Land Department proposed legislation for consistency with Growing Smarter legislation.
Medium-Term Goals
  Clarify the major and minor amendment definition by setting clear parameters that take urban and rural
differences into account. Survey communities to define needs.
  Monitor suggested legislative changes to the State Land Department that is being developed by the ad
hoc group chaired by Ed Fox.
  Provide the Department of Commerce with the resources to act as a data clearinghouse, and explore
strengthening its role as an overview, assistance, coordination, and recommendation body.
Long-Term Goals
  Monitor the Pima County judicial decision on downzoning and, if necessary, address county
downzoning authority.
  Explore ways to address funding and technical needs as identified by communities and counties.
  Examine the issue of regional coordination and discuss the need for communities to regionally
coordinate land-use plans the same way that the State currently requires regional coordination of
transportation plans.
  Examine the issue of the required alternative designation for open space as one dwelling per acre.
  Monitor and, if necessary, explore a refinement of the referendum process, relative to smaller
municipalities.
  Monitor the newly formed Governor’s Office of Housing to see if it enacts a statewide affordable
housing policy. If necessary, suggest legislative amendments should the Office of Housing’s policies
conflict or alter Growing Smarter.
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PERFORMANCE MEASURES SUBCOMMITTEE
Provides the link among all the subcommittees by establishing the potential criteria and process by which
Arizona's Growing Smarter Acts will be monitored and measured for successful implementation.
Additionally, this subcommittee will document “guiding principles” that identify quality of life impacts and
solidify the efforts of the other subcommittees.
2002 Goals and Action Items
  Track the status of municipal general plan and county comprehensive plan updates.
  Seek statewide input for the potential development of guiding principles, and the process for
developing those principles.
  Examine what other communities around the country are doing and discuss their possible applications
in Arizona.
  Establish basic measurement indicators related to compliance with mandates. These could include:
• Status of processes underway to update general and comprehensive plans
• Status of final adoption of updated plan by elected officials from municipality or county
• Status of voter ratifications of updated plans for municipalities
Medium-Term Goals
  Implement an outreach effort to gather examples of successful planning processes from throughout the
State, and develop a menu of successful techniques that are key to successful adoption of general and
comprehensive plans. Ensure participation in this effort using a variety of techniques, such as small
group workshops, interviews of key stakeholders, and written questionnaires.
  Develop baseline data to measure quality of life impacts from a long-term perspective. These could
include:
• land consumption and density
• rate of population growth in communities
• acres of designated open space
• infrastructure adequacy/availability/affordability
• average daily vehicle trips per capita
• average vehicle travel time
• exceedences of air quality standards
• median income levels
• educational attainment level
• housing affordability
• home ownership
Long-Term Goals
  Develop a statewide participatory process to identify specific “Guiding Principles” being utilized to
update plans.