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HomeMy WebLinkAboutPacket Special Council AM Oct 29 2024Whatcom County Council (Special) COUNTY COURTHOUSE 311 Grand Avenue, Ste #105 Bellingham, WA 98225-4038 (360) 778-5010 Meeting Agenda Tuesday, October 29, 2024 9AM Hyrbid Meeting - Council Chambers HYBRID MEETING - ADJOURNS BY 9:55 AM (PARTICIPATE IN -PERSON, SEE REMOTE JOIN INSTRUCTIONS AT www.whatcomcounty.us/joinvirtualcouncil, OR CALL 360.778.5010) COUNCILMEMBERS Barry Buchanan Tyler Byrd Todd Donovan Ben Elenbaas Kaylee Galloway Jon Scanlon Mark Stremler CLERK OF THE COUNCIL Cathy Halka, AICP, CMC Council (Special) Meeting Agenda October 29, 2024 Call To Order Roll Call Announcements Individuals who require special assistance to participate in the Council's meetings are asked to contact the Council Office at 360.778.5010 at least 96 hours in advance. This committee meeting is also noticed as a meeting of the Whatcom County Council, with the agenda limited to committee business. Discussion AB2024-647 Discussion relating to population and employment projections for the Birch Bay Urban Growth Area (UGA), Cherry Point UGA, Columbia Valley UGA and areas outside UGAs (Rural areas and Resource Lands) associated with the 2025 Whatcom County Comprehensive Plan Update Items Added by Revision Other Business Adiournment Whatcom County Pure 2 Printed on 413012025 File ID: AB2024-647 File Created: 09/25/2024 Department: Planning and Development Services Department Assigned to: Council (Special) Agenda Date: 10/29/2024 Whatcom County Agenda Bill Master Report File Number: AB2024-647 Version: 1 Entered by: Matt Aamot File Type: Discussion Primary Contact Email: maamot@co.whatcom.wa.us TITLE FOR AGENDA ITEM: COUNTY COURTHOUSE 311 Grand Avenue, Ste #105 Bellingham, WA 98225-4038 (360)778-5010 Status: Discussed Final Action: 10/29/2024 Enactment #: Discussion relating to population and employment projections for the Birch Bay Urban Growth Area (UGA), Cherry Point UGA, Columbia Valley UGA and areas outside UGAs (Rural areas and Resource Lands) associated with the 2025 Whatcom County Comprehensive Plan Update SUMMARY STATEMENT OR LEGAL NOTICE LANGUAGE: Discussion relating to population and employment projections for the Birch Bay Urban Growth Area (UGA), Cherry Point UGA, Columbia Valley UGA and areas outside UGAs (Rural areas and Resource Lands) associated with the 2025 Whatcom County Comprehensive Plan Update. This initial discussion will inform the development of a non -binding multi -jurisdictional resolution for consideration by the County Council at a later date. HISTORY OF LEGISLATIVE FILE Date: Acting Body: Action: Sent To: 10/08/2024 Council Committee of the Whole DISCUSSED 10/22/2024 Council Committee of the Whole DISCUSSED AND MOTION(S) APPROVED 10/29/2024 Council (Special) DISCUSSED Whatcom County Page 1 Printed on 4/30/2025 Agenda Bill Master Report Continued (AB2024-647) Attachments: Staff Memo for 10.8.2024, Presentation on 10.8.2024, Staff Memo for 10.29.2024 Whatcom County Page 2 Printed on 4/30/2025 WHATCOM COUNTY Planning & Development Services 5280 Northwest Drive Bellingham, WA 98226-9097 360-778-5900, T Y 800-833-6384 360-778-5901 Fax Memorandum October 2, 2024 TO: The Honorable Whatcom County Council FROM: Matt Aamot, Senior Planner THROUGH: Steve Roberge, Assistant Director Mark Personius Director RE: 2025 Comp Plan Update - Preliminary Population and Employment Projections The Washington State Growth Management Act (GMA) requires that certain counties, and the cities within those counties, engage in regular planning for future population and employment growth. GMA planning goals include encouraging development in urban areas with public facilities and services, reducing sprawl, planning for housing affordable to all economic segments of the population, economic development, conservation of agricultural and forest lands, and protecting the environment (RCW 36.70A.020). The last Whatcom County Comprehensive Plan update was completed in 2016. The GMA requires Whatcom County to review and revise its Comprehensive Plan and development regulations by December 31, 2025 (RCW 36.70A.130). Additionally, the GMA requires review of urban growth areas (UGAs) under RCW 36.70A.130(3). The UGAs must have sufficient areas and densities to accommodate population, housing and employment growth projected for the new planning period (2023 - 2045). Therefore, Whatcom County has initiated a multi -year project to update its Comprehensive Plan and development regulations by the state deadline. The Comprehensive Plan update and UGA review is being conducted in close coordination with the seven cities in Whatcom County. The County and cities hired a consulting firm to develop initial population and employment growth projections. The Whatcom County Comprehensive Plan Population and Employment: Growth Projections and Preliminary Allocations Technical Report (Leland Consulting Group, May 22, 2024, hereinafter referred to as "2024 Technical Report") includes preliminary growth projections to UGAs and the area outside UGAs. The consultant report represents a starting point for public input and discussions by planning commissions and elected officials to develop policy based growth allocations. Here are the next steps in the process (and tentative schedule) for developing growth projections: The County Council Committee of the Whole provides direction on growth allocations for the Birch Bay UGA, Cherry Point UGA, Columbia Valley UGA, and Rural areas & Resource Lands outside UGAs (October 2024). The Cities develop recommended growth allocations for their respective UGAs (October 2024). The County Planning Commission holds a public hearing and issues recommendations on the proposed County and City growth allocations (November 2024). The County Councils and City Councils approve "non -binding multi - jurisdictional resolutions" for the growth allocations (December 2024). These policy -based allocations may take into consideration factors such as goals of individual cities, County goals, public input, infrastructure, and land capacity. Ultimately, the County Council will adopt growth projections for the entire County, along with projections for UGAs and Rural & Resource Lands, in the Comprehensive Plan update by December 2025. The Council has a considerable amount of discretion in developing the growth projections, but they must be within the range of growth alternatives (bookends) studied in the Environmental Impact Statement. Additionally, County and City comprehensive plans (including growth projections) must be coordinated and consistent under the GMA. An initial step in the process of developing policy based projections for the Birch Bay UGA, Cherry Point UGA, Columbia Valley UGA and Rural & Resource Lands is discussion with the County Council Committee of the Whole on October 8. In November, the County Planning Commission will hold a public hearing on the County and City proposals (which are due by October 31). The "non -binding multi - jurisdictional resolution" for population, housing and employment will then go to the County Council and City Councils for consideration. The tables below show the 2024 Technical Report growth projections and the County Planning and Development Services' (PDS) initial proposal for consideration by the County Council Committee of the Whole on October 8. The County Council has the discretion to choose higher or lower projections within the range of growth alternatives in the Environmental Impact Statement. Table 1. Population Growth Proposal Area Tech Report Tech Report Tech Report County Notes on Initial County Low Middle High PDS PDS Proposal Proposal Birch Bay UGA 1,555 2,313 3,490 2,662 Between Tech Report Middle and High Scenarios Continuation of 2013-23 trend Cherry Point UGA 0 0 0 O N/A, Industrial UGA Columbia Valley UGA 665 988 1,492 1,137 Between Tech Report Middle and High Scenarios Continuation of 2013-23 trend Outside UGAs 7,243 10,773 16,260 10,000 Slightly below Tech Report Middle Scenario Table 2. Employment Growth Proposal Area Tech Report Tech Report Tech Report County Notes on Initial County Low Middle High PDS PDS Proposal Proposal Birch Bay UGA 80 124 194 450 Above Tech Report High Scenario Greater jobs/housing balance Cherry Point UGA 316 493 769 1,200 Above Tech Report High Scenario Columbia Valley UGA 9 13 21 350 Above Tech Report High Scenario Greater jobs/housing balance Outside UGAs 2,180 3,403 5,302 3,403 Tech Report Middle Scenario The initial County PDS proposals above would allocate population growth to the Birch Bay and Columbia Valley UGAs consistent with recent growth trends in these areas. The population growth allocation to Rural and Resource Lands (outside UGAs) would be slightly below the 2024 Technical Report's middle scenario (the middle scenario is based on the share of countywide growth the Rural and Resource Lands received over the last decade). Employment growth can fluctuate based on a number of factors, including available and serviced land and recruitment of businesses of various sizes. The employment projections for UGAs are higher than past trends and may be considered optimistic when compared against past growth. However, local governments and special purpose districts can facilitate job growth by providing adequate land supply and conducting capital facility planning to serve future growth (both of which should be consistent with the growth projections for the community). Therefore, these projections would set the stage to potentially facilitate job growth in the future. Below is a more detailed discussion of the recommendations and how they were derived. Birch Bay UGA Population Historical population growth in the Birch Bay UGA is shown below. Population Growth in the Birch Bay UGA (1990-2020) Average Average Share of Annual Annual Countywide Growth for Growth for Growth Growth for Year Population Decade Decade Rate Decade 1990 2,141 2000 4,163 2,022 202 6.9% 5.2% 2010 7,379 3,216 322 5.9% 9.4% 2020 8,685 1,306 131 1.6% 5.1% Source: Population data from 1990 and 2000 is from the Whatcom County Population and Employment Projections and Urban Growth Area Allocations Phase I Technical Report (BERK, 2013, p. 9). Population data for 2010 and 2020 is from the State Office of Financial Management's Small Area Estimates Program. 3 Population growth in the Birch Bay UGA has fluctuated over the last several decades, as shown in the table above. Overall, adequate land supply, availability of public water & sewer and the attractiveness of the area have led to a growing Birch Bay community that has more than doubled in population from 4,163 in 2000 to 8,685 in 2020. The 2024 Technical Report middle population growth scenario, which is based upon the share of countywide growth the UGA received from 2013 to 2023, would equate to an additional 105 people per year in the Birch Bay UGA from 2023-2045. This is lower than growth experienced in the last three decades. The proposed population allocation extrapolates the annual average population growth in the UGA between 2013 and 2023 to the new planning period (2023-2045). The proposal growth allocation of 2,662 would equate to 121 people/year through 2045. Employment The 2024 Technical Report middle employment growth scenario is based upon the share of employment that each UGA had in 2021. Although the Birch Bay UGA had 3.8% of the county -wide population in 2023, it only had 0.5% of the county -wide jobs (2021). Whatcom County Comprehensive Plan Policy 7K-6 is to "Support long-term employment efforts in the unincorporated areas of the county, such as those stated in the Point Roberts, Birch Bay and east County Economic Development Plans and Sub -Area Plans." The Birch Bay Community Plan states: ... Purchasing power of the Birch Bay Community is significant and most of its consumer dollars are expended outside the Birch Bay area. To capture the consumer dollar, the Birch Bay Community needs commercial areas for retail and services of significant size to attract competitive retail and service outlets. The proposed community plan identifies such commercial areas at Blaine Road and Alderson Road, Blaine Road and Birch Bay-Lynden Road and again at Lincoln Road and Shintaffer Road... " (p. 2-24). The Community Plan's Vision Statement indicates, in part, that Birch Bay will be . a place where scenic beauty is harmonized with urban development and job creating activities..." (p. 5-5). If the 2024 Technical Report middle growth allocation of 124 new jobs (2023-2045) was adopted along with the proposed population allocation, the Birch Bay UGA would add about 1 job for every 21 new residents over the planning period. Such an allocation would also be substantially lower than the 545 jobs allocated to the Birch Bay UGA in the current Whatcom County Comprehensive Plan. In order to support opportunities for businesses to locate in the Birch Bay UGA and potential employment opportunities, the initial proposal is for an employment allocation of 450 jobs over the new planning period from 2023 to 2045. 4 Bach Bay Urban Growth Area Urban Growth Area Urban Growth Area Reserve aG.n.Enwi.x.x..danwi:G�R..Tx�nTM ua[r. ��-. lo I— r`r-n"inW�.r...ir.wrenarar..ar w.nYli h— WM1 �'C' u W prnN��w.na.PinM... G (r pv50I . 0 e reo a5 ... P6mks 2024 5 Cherry Point UGA Population N/A - Cherry Point is an industrial UGA and does not allow residential land uses. Employment The 2024 Technical Report middle employment growth scenario is based upon the share of employment that each UGA had in 2021. The Cherry Point UGA had 2.0% of the county -wide jobs in 2021 and was assigned this percentage for the 2024 Technical Report's middle growth allocation. The Whatcom County Comprehensive Plan states "The Cherry Point Urban Growth Area (UGA) contains approximately 7,000 acres of industrial land. The land has long been planned and designated by Whatcom County for industrial development ... (p. 2-53). Whatcom County Comprehensive Plan Goal 2CC is to "Maintain Cherry Point as an unincorporated urban growth area based on its unique location, characteristics and its significant contribution to the overall industrial land supply and Whatcom County's tax base." Comprehensive Plan Policy 2CC-1 is to: Designate Cherry Point as a major industrial Urban Growth Area to accommodate major users that need to be located away from concentrated urban residential areas and that can manage their activities in such a way that they do not conflict with the goals of the Aquatic Reserve Management Plan. The Cherry Point area has long been utilized and recognized as an important industrial area in the County. In fact, the Cherry Point UGA had 7.1% of the county -wide industrial employment in 2021 (2024 Technical Report, p 20). In order to support opportunities for industries to locate in the area and potential job growth (including from redevelopment of the Intalco site) the initial proposal is for an employment allocation of 1,200 for the Cherry Point UGA (2023-2045), which is above the 2024 Technical Report's high employment growth scenario and above the current Comprehensive Plan's allocation of 890 jobs for this area. 6 �,rraff Creek � a T C W j vH17EHORN WAY a Y z � lI�I�� m Y GRANOVIEW Ry N U a GRANOVIEW RO Y GRANOVIEW RO' { rc � z _z r K q W o 0 F J = BROWN RO L1 BROWN RO > z _ BROWN RO J ALOERGROVE RO c� n m Z ❑ �. o a LONSETH AD ❑ � / Zvi 0 HENRY RO Y t 1Wq m r oho MOUNTAIN VIEW RO ❑ � a � l J 2' W UNICK RD E 1 Cherry Point Urban Growth Area Urban Growth Area (Major PortlIndustria[) o..hI. 2024• 7 Columbia Valley UGA Population Historical population growth in the Columbia Valley UGA is shown below. Population Growth in the Columbia Valley UGA (1990-2020) Average Average Share of Annual Annual Countywide Growth for Growth for Growth Growth for Year Population Decade Decade Rate Decade 1990 454 2000 21384 11930 193 18.0% 4.9% 2010 3,056 672 67 2.5% 2.0% 2020 3,353 297 30 0.9% 1.2% The Columbia Valley UGA had relatively high growth from 1990-2000 (193 people per year) and more moderate growth from 2000-2010 (67 people per year). The Columbia Valley UGA grew at a slower pace from 2010-2020 (30 people per year) While housing tends to be less expensive in the the Columbia Valley UGA, it is about a 50-mile round trip to downtown Bellingham. Therefore, gas prices influence overall cost of living in this area. Adequate land supply, public water & sewer in portions of the UGA, and less expensive housing have led to a growing Columbia Valley UGA community that has increased from 2,384 residents in 2000 to 3,353 in 2020. The 2024 Technical Report middle population growth scenario, which is based upon the share of countywide growth the UGA received from 2013 to 2023, would equate to an additional 45 people per year in the Columbia Valley UGA from 2023-2045. The initial proposal extrapolates the annual average population growth in the UGA between 2013 and 2023 to the new planning period (2023-2045). The proposal growth allocation of 1,137 would equate to about 52 people/year through 2045. Employment The 2024 Technical Report middle employment growth scenario is based upon the share of employment that each UGA had in 2021. Although the Columbia Valley UGA had 1.5% of the county -wide population in 2023, it only had 0.1% of the county -wide jobs (2021). The vision statement in the Foothills Subarea Plan states, in part: "... The Columbia Valley will become a fully -served urban area set within this rural context, providing a range of shopping, housing, and employment opportunities and accommodating the majority of new Foothills residents..." (p. 2-6). The Subarea Plan also contains the following goal and policy: Goal LU4 - Provide for increased employment opportunities in the Foothills. 8 Policy LU4A - Encourage development of light impact industrial or business park land uses in the Columbia Valley UGA in areas planned for light impact industrial uses. If the 2024 Technical Report middle growth allocation of 13 jobs was adopted (2023-2045), with the proposed population allocation, the Columbia Valley UGA would add about 1 job for every 87 new residents over the planning period. Such an allocation would also be substantially lower than the 359 jobs allocated to the Columbia Valley UGA in the current Whatcom County Comprehensive Plan. The Foothills Subarea Plan indicates that many Foothills residents must commute 30 minutes or more to western Whatcom County to work (p. 7-1). The Subarea Plan also indicates that the Planned Town Center/General Commercial zone and the Planned Light Impact Industrial area were intended to boost economic development in the Columbia Valley UGA (p. 7-5). In order to support opportunities for businesses to locate in the Columbia Valley UGA and potential job growth, the initial proposal is for an employment allocation of 350 jobs over the new planning period from 2023 to 2045. E 3 0 s L PS mE Ro 0 3 xm o qY . 5 v R�p�HHPt s rry 4nRf= W4Y v F C� .� kRY Lk yy CHESTNUT OR i ALOE a 2 Lk DGl OOD DR G(1Dgp VA 46[}'8lvp i v AFT WA gpy 1.0 �4L{[.Y a DF � a nR g 4p D. RCE4uyJ PL '0 "W M i �4p 4$ % 'Af a aRou Ro rash q n Columbia Valley Urban Growth Area C�r) `" WeF� -�.R., �T...R.R -g Urban Growth Area �•,,� • "'�•,•••�"••"^"'�••• �w Urban Growth Area Reserve "Y 1 YYdOYiY' , ,•� n, � 1. No LSW 7.b0 2024 10 Rural Areas / Resource Lands (Outside UGAs) Population Population growth in the Rural areas and Resource Lands has slowed over the last several decades, as shown below. Population Growth in Rural and Resource Lands (1990-2020) Year 1990 2000 2010 2020 Growth for Population Decade 45,321 56,775 64,862 69,821 11,454 8,087 4,959 Average Annual Growth for Decade 1,145 809 496 Average Annual Growth Rate 2.3% 1.3% 0.7% Share of Countywide Growth for Decade 29.3% 23.6% 19.3% Source: Population data from 1990 and 2000 is from the Whatcom County Population and Employment Projections and Urban Growth Area Allocations Phase I Technical Report (BERK, 2013, p. 9). Population data for 2010 and 2020 is derived from the State Office of Financial Management's Small Area Estimates Program. The 2024 Technical Report middle population scenario is that population would increase in Rural and Resource Lands by 10,773 people over the planning period (2023-2045). The middle scenario, based upon the share of countywide growth the Rural and Resource Lands received from 2013 to 2023, would equate to an additional 490 people per year in the Rural and Resource Lands from 2023-2045. On an average yearly basis, this is comparable to growth experienced between the last two Censuses. The proposal is to allocate population growth of 10,000 new residents in the Rural and Resource Lands. This would equate to growth of about 455 people per year in these areas over the 22-year planning period and would continue the trend of lower growth experienced outside UGAs over the last three decades. Employment The 2024 Technical Report middle employment growth scenario is based upon the share of employment that each area had in 2021. The Rural and Resource Lands (outside UGAs) had 30.1% of the county -wide population in 2023 and 14.0% of the county -wide jobs (2021).1 Whatcom County Comprehensive Plan Chapter 2 contains the following provisions under the heading of "Rural Employment Opportunities": Goal 2FF: Provide employment opportunities in the rural parts of Whatcom County. Whatcom County Comprehensive Plan Population and Employment: Growth Projections and Preliminary Allocations Technical Report (Leland Consulting Group, May 22, 2024, pp. 10 and 20). 11 Policy 2FF-1: Support small businesses, cottage industries, home occupations, resource -based, tourist, recreational, and other appropriate industries in the rural areas of Whatcom County. New rural commercial and industrial uses that are more intensive than those permitted within rural zones as home occupations or cottage industries should be located within designated Rural Communities and Rural Business areas. Policy 2FF-2: Support resource -based industries that require only rural services, conserve the natural resource land base, and help maintain the rural character and lifestyle of the community. Assure adequate facilities, mitigation and buffers through development regulations. Policy 2FF-3: Ensure that business operations do not adversely impact adjacent residential, agricultural or forest land, or compromise water quality and quantity. Policy 2FF-4: Allow home -based occupations, cottage industries and small- scale tourist and recreational uses throughout the rural area provided they do not adversely affect the surrounding residential uses, agricultural uses, forestry uses, or rural character. Jobs in Rural and Resource Lands are associated with agriculture, forestry, mining, home based businesses, cottage industries, commercial or industrial uses in "limited areas of more intensive rural development" (LAMIRDs), public schools, etc. If the 2024 Technical Report middle growth allocation of 3,403 jobs was adopted as proposed, with the proposed population allocation, the Rural and Resource Lands would add about 1 job for every 3 new residents over the planning period. Recently, there is about 1 job for every 4.5 residents in Rural and Resource Lands.Z Additionally, such an allocation would be similar to the 3,201 jobs allocated to the Rural and Resource Lands in the current Whatcom County Comprehensive Plan. Next Steps We would like to discuss the initial population and employment proposals for the Birch Bay, Cherry Point, Columbia Valley, and Rural/Resource Lands with the Council's Committee of the Whole on October 8 to receive Council direction. These preliminary population and employment growth projections from the County, along with growth proposals from the Cities for City UGAs, would then go to the County Planning Commission. The Commission would hold a public hearing and issue recommendations. The growth projections would come back to Council in the form of a draft non -binding multi -jurisdictional resolution. Thank you for your consideration of this matter. We look forward to discussing it with you. The Whatcom County Comprehensive Plan Population and Employment: Growth Projections and Preliminary Allocations Technical Report (Leland Consulting Group, May 22, 2024) indicates that there were 70,985 people living outside UGAs (in Rural and Resource Lands) in Whatcom County in 2023 (p. 10). Additionally, 14.0% of 112,633 total countywide jobs were outside UGAs in 2021 (pp. 18 and 20), which equates to approximately 15,769 jobs outside UGAs. 12 2025 Comp Plan Update Population and Employment Projections Birch Bay UGA, Cherry Point UGA, Columbia Valley UGA and Rural Areas Whatcom County Planning and Development Services Presentation at County Council Committee of the Whole October 8, 2024 Growth Projection Process 1. County and City proposals (October 2024) 2. County Planning Commission (November 2024) 3. County Council — Non -binding multi -jurisdictional resolution 4. City Councils - Non -binding multi -jurisdictional resolutions 5. Environmental Impact Statement 6. County Planning Commission recommendations on Comp Plan (including growth projections) 7. County Council adoption of Comp Plan (including growth projections) Growth Projections - Overview Population Table 1. Population Growth Proposal Area Tech Report Tech Report Tech Report County Notes on Initial County Low Middle High Pas PDS Proposal Proposal Birch Bay UGA 1,555 2,313 3,490 2,662 Between Tech Report Middle and High Scenarios Continuation of 2013-23 trend Cherry Point UGA 0 0 0 O N/A, Industrial UGA Columbia Valley UGA 665 988 1,492 1,137 Between Tech Report Middle and High Scenarios Continuation of 2013-23 trend Outside UGAs 7,243 10,773 16,260 10,000 Slightly below Tech Report Middle Scenario Employment Table 2. Employment Growth Proposal Area Birch Bay UGA Cherry Point UGA Columbia Malley UGA Outside UGAs Tech Report Tech Report Tech Report County Notes on Initial County Low Middle High PDS PDS Proposal Proposal 80 124 194 450 Above Tech Report High Scenario Greater jobs/housing balance 316 493 769 1,200 Above Tech Report High Scenario 9 13 21 2,180 3,403 5,302 350 Above Tech Report High Scenario Greater jobs/housing balance 3,403 Tech Report Middle Scenario Growth Projections i City of Blaine .. Eo � + O1 sew WE an E LMmEM Ro �o 1 41 eae 5 � H � � I ° SwuSX Rs agWxPOWTlWP � � � P - C 1 m �� � " •�Lcy '�8T � •kPERSOn u At—wT - -� S {VI ` xi Le GqY x j � ;� 'Npa sP Rcx eAr LixoEH X T � s GAF Icon ° enoYc r_ ^_.._� beep rwR nR , 7 _ 9 c4orR �esaX No F iei NR $Oe ,3 W9Mf � �4t 3 env Rn --GAD t WHITExpRN Yur n � x GRwYo.�Lr No - Birch Bay Urban Growth Area Urban Growth Area Urban Growth Area Reserve Birch Bay UGA - Population Population Growth in the Birch Bair UGC# 1990- 0 0 Average Average Share of Annual Annual Countywide Growth for Growth for Growth Growth for Year Population Decade Decade Rate Decade 1990 2,141 000 4,163 2,0220 6.9%, 5. 2 °l/a 010 7,379 3,216 322 5.9%, 9.4°l/a 00 8,685 1,06 11 1.611/b 5.111/b Initial Population Growth Proposal - 2023-2045: 2,662 (121 people/year) Birch Bay UGA - Employment Birch Bay UGA • 3.8% of the county -wide population (2023) • 0.5% of the county -wide jobs (2021) Initial Employment Growth Proposal - 2023-2045: 450 Growth Projections Cherry Point Urban Growth Area Urban Growth Area (Major Portflndustrial) Cherry Point UGA - Employment Cherry Point UGA • Industrial UGA - does not allow new residential development. • 7.1% of the county -wide industrial jobs (2021) Initial Employment Growth Proposal - 2023-2045: 1,200 Growth Projections -Columbia Valley Urban Growth Area L- Urbarrrowthom a Urban lmamArea Reserve — — Columbia Valley UGA - Population Population Growth in the Columbia Valley UGA (1990-2020) Average Average Share ❑f Annual Annual Countywide Growth for Growth for Growth Growth for Year Population Decade Decade Rate Decade 1990 454 2000 21384 11930 193 18.0% 4.9% 2010 31056 672 67 2.5% 2.0% 2020 31353 297 30 0.9% 1.2% Initial Population Growth Proposal - 2023-2045: 1,137 (52 people/year) Columbia Valley UGA - Employment Columbia Valley UGA • 1.5% of the county -wide population (2023) • 0.1% of the county -wide jobs (2021) Initial Employment Growth Proposal - 2023-2045: 350 Growth Projections Rural and Resource Lands - Population Population Growth in Rural and Resource Lands (1990-2020) Average Average Share of Annual Annual Countywide Growth for Growth for Growth Growth for Year Population Decade Decade Rate Decade 1990 451321 2000 561775 111454 11145 2.3% 29.3% 2010 641862 81087 809 1.3% 23.6% 2020 691821 41959 496 0.7% 19.3% Initial Population Growth Proposal - 2023-2045: 10,000 (455 people/year) Rural and Resource Lands - Employment Areas outside UGAs • 30.1% of the county -wide population (2023) • 14.0% of the county -wide jobs (2021) Initial Employment Growth Proposal - 2023-2045: 3,403 Summary WHATCOM COUNTY Planning &Development Services 5280 Northwest Drive Bellingham, WA 98226 W A S H I N T N PDS@co.whatcom.wa.us 360-778-5900 October 25, 2024 TO: The Honorable Whatcom County Council FROM: Mark Personius, Director and Matt Aamot, Senior Planner RE: 2025 Comp Plan Update - Preliminary Population and Employment Projections As a follow-up to the October 8 and October 22 meetings of the County Council Committee of the Whole, Planning and Development Services is providing the following information for the Council's October 29 special meeting. Population and employment projections are an important component of planning for growth in the 2025 Comprehensive Plan update process. One of the fundamental tenants of the Growth Management Act (GMA) is to encourage the majority of future growth in cities and UGAs. There are currently two related but different processes occurring relating to future growth projections in the 2025 Comprehensive Plan update: (1) A Draft Environmental Impact Statement (EIS), and (2) A non -binding multi -jurisdictional resolution to select preliminary 20-year population and employment growth targets. Draft EIS The County is developing a Draft Environmental Impact Statement (EIS), with the assistance of a consultant, relating to the 2025 Comprehensive Plan update. The Draft EIS will study a range of growth alternatives to provide information to decision makers on the impacts of different land use scenarios. The Draft EIS will evaluate the following 20-year growth scenarios: • A "no action" growth alternative - based on the existing Comp Plan; • Action alternative 1 - based on the middle growth scenario from the Population and Employment: Growth Projections and Preliminary Allocations Technical Report (Leland Consulting Group, May 22, 2024 hereinafter referred to as "Technical Report"); • Action Alternative 2 - based on preliminary scenarios from the Cities and County; and • Action Alternative 3 - based the high growth scenario from the Technical Report. The population and employment projections for the EIS alternatives, as currently formulated, are set forth below. Note that the Whatcom County jurisdictional areas that are not associated with a city are highlighted in red. 1 No Action (Current Comp Plan) Population Employment Population Share Employment Share Bellingham City & UGA 17,676 44.6% 4,675 61.1% Birch Bay UGA 3,007 7.6% 113 1.5% Blaine City & UGA 2,513 6.3% 433 5.7% Cherry Point UGA 0 0.0% 184 2.4% Columbia Valley UGA 766 1.9% 74 1.0% Everson City & UGA 707 1.8% 124 1.6% Ferndale City & UGA 3,890 9.8% 826 10.8% Lynden City & UGA 3,645 9.2% 445 5.8% Nooksack City & UGA 564 1.4% 24 0.3% Sumas City & UGA 498 1.3% 92 1.2% Rural and Resource Lands 6,386 16.1% 661 8.6% Total 39,650 100.0% 7,651 100.0% Alternative 1 (OFM / Technical Report Middle) Population Employment Population Share Employment Share Bellingham City& UGA 24,158 42.4% 15,172 62.5% Birch Bay UGA 2,313 4.1% 124 0.5% Blaine City & UGA 2,774 4.9% 701 2.9% Cherry Point UGA 0 0.0% 493 2.0% Columbia Valley UGA 988 1.7% 13 0.1% Everson City& UGA 933 1.6% 203 0.8% Ferndale City& UGA 7,262 12.8% 2,141 8.8% Lynden City& UGA 6,665 11.7% 1,799 7.4% Nooksack City & UGA 352 0.6% 79 0.3% Sumas City & UGA 697 1.2% 150 0.6% Rural and Resource Lands 10,773 18.9% 3,403 14.0% Total 56,915 100.0% 24,279 100.0% Bellingham City & UGA Birch Bay UGA Blaine City & UGA Cherry Point UGA Columbia Valley UGA Everson City & UGA Ferndale City & UGA Lynden City & UGA Nooksack City & UGA Sumas City& UGA Rural and Resource Lands Total Alternative 2 (County/City Scenario) Population Population Share Employment Employment Share 30,310 42.5% 19,384 59.9% 2,662 3.7% 450 1.4% 2,774 3.9% 1,092 3.4% 0 0.0% 1,200 3.7% 1,137 1.6% 350 1.1 % 1,408 2.0% 317 1.0% 10,961 15.4% 3,337 10.3% 10,060 14.1 % 2,083 6.4% 995 1.4% 232 0.7% 1,000 1.4% 500 1.5% 10.000 14.0% 3.403 10.5% 71,307 100.0% 32,348 100.0% 2 Bellingham City & UGA Birch Bay UGA Blaine City & UGA Cherry Point UGA Columbia Valley UGA Everson City & UGA Ferndale City & UGA Lynden City & UGA Nooksack City & UGA Sumas City & UGA Rural and Resource Lands Total Alternative 3 (Technical Report High) Population Employment Population Share Employment Share 36,462 42.4% 23,642 62.5% 3,490 4.1% 194 0.5% 4,186 4.9% 1,092 2.9% 0 0.0% 769 2.0% 1,492 1.7% 21 0.1 % 1,408 1.6% 317 0.8% 10,961 12.8% 3,337 8.8% 10,060 11.7% 2,803 7.4% 531 0.6% 124 0.3% 1,052 1.2% 233 0.6% 16,260 18.9% 5,302 14.0% 85,902 100.0% 37,834 100.0% The County Council has broad discretion to select population and employment projections for the Comprehensive Plan update within the range of growth alternatives studied in the EIS. Non -Binding Multi -Jurisdictional Resolution A "Non -Binding Multi -Jurisdictional Resolution" is being developed for consideration by the County Council and City Councils. A similar resolution was approved in the 2016 Comp Plan update process (Resolution 2014-013). Staff is asking for County Council direction on the Birch Bay, Cherry Point, Columbia Valley and Rural projections at the October 8, 22, and 29 meetings. The Cities are working on projections for their respective UGAs in October. In November, PDS would take the County and City projections to the Planning Commission. After that, the Non -Binding Multi -Jurisdictional Resolutions would come before the County Council and City Councils for review. Final growth projections would ultimately be adopted in the Comprehensive Plan by the County Council (the State deadline for adopting the Comp Plan update is December 31, 2025). Current Whatcom County Comprehensive Plan Comprehensive Plan Chapter 2 includes Policy 2DD-1, which requires the County to: ... compare nonurban population growth trends with the adopted nonurban population growth projection. If the trend over five years indicates that nonurban growth is significantly higher than adopted projections, the County shall take action to address the discrepancy. Actions may include changing the allocation of the projected population growth during the comprehensive plan update required per RCW 36.70A.130(1), or changing development regulations to limit growth outside the urban growth areas. In addition, as the County and cities review the capacity for growth in the urban growth 3 areas, the county should coordinate with the cities to ensure that policies are in place that are consistent with encouraging growth in the urban areas and reducing demand for development in rural areas (emphasis added). Chapter 1 of the current Whatcom County Comprehensive Plan (p. 1-7) allocates growth of 11,217 people or 16% of the future countywide population growth to areas outside UGAs (Rural and Resource Lands) and 84% to cities and UGAs. This equates to growth of about 488 people per year outside UGAs. According to analysis by the State Office of Financial Management (OFM) and the Puget Sound Partnership shown in the table below, 86% of the countywide growth from 2017-2023 was accommodated in cities and UGAs and 14% outside UGAs since the current Comprehensive Plan targets were adopted in 2016. 100% 90% N Cal 80% 70% 60% L 50% 0 0 40% 6 = 30% m 20% a 10% 0% 2011 - 2016 100% 93% 92% 89% 92% 93% 72% 41% 44% 2017 - 2023 '' '' i' Change -1% -0% -4% -3% -11% -15% +5% +8% -12% pr c �Q ,q, ■2011 —2016 ■ 2017 — 2023 1 18% 39% 6% Source: Puget Sound Partnership, Appendix: Tracking Urban Growth Across the Puget Sound: Findings for Whatcom County (2024) Past Growth in Rural and Resource Lands As indicated in the October 2, 2024 staff memo, the rate of population growth in the Rural areas and Resource Lands has steadily slowed over the last several decades, as shown below. 4 Population Growth in Rural and Resource Lands (1990-2020) Average Average Share of Annual Annual Countywide Growth for Growth for Growth Growth for Year Population Decade Decade Rate Decade 1990 45,321 2000 56,775 11,454 1,145 2.3% 29.3% 2010 64,862 8,087 809 1.3% 23.6% 2020 69,821 4,959 496 0.7% 19.3% Source: Population data from 1990 and 2000 is from the Whatcom County Population and Employment Projections and Urban Growth Area Allocations Phase/ Technical Report (BERK, 2013, p. 9). Population data for 2010 and 2020 is derived from the State Office of Financial Management's Small Area Estimates Program. According to the Technical Report, which used data from the State Office of Financial Management (OFM), areas outside UGAs experienced 18.9% of the countywide growth between 2013 and 2023 (p. 10) and, as previously indicated by OFM, the share of growth in rural and resource lands fell even further to 14% of countywide growth from 2017-2023. Council Motion / Discussion / PDS Response The County Council Committee of the Whole passed the following motion on October 22, 2024: Have Planning and Development Services plan to shift some of those 10,000 [population] that are currently assigned for LAMIRDS and the rural area to other locations. Prior to the motion, there was Council discussion of selecting a growth target of 300 people per year in the Rural areas (equating to approximately 6,600 persons over the 22-year planning period). Based upon the motion passed, PDS would suggest reducing the population growth projection for Rural and Resource Lands from 10,000 to no lower than 9,000 for the planning period (2023-2045). This would equate to growth of 409 people per year in these areas. It would be below historic rural growth trends in these areas. The goal being to select a future non-UGA growth target that is not likely to be "significantly" exceeded during the next planning period. If it were, it would trigger Policy 2DD-1 and the County would face having to "take action to address the discrepancy" and likely limit growth outside of UGAs in subsequent years. Based upon existing Policy 2DD-1, the County must take action if future Rural growth "significantly" exceeds the projection in the Comprehensive Plan. Potential actions may include: 1. Changing the allocation of the projected population growth during the comprehensive plan update required per RCW 36.70A.130(1); 5 2. Changing development regulations to limit growth outside the urban growth areas; and 3. The County and cities reviewing the capacity for growth in the urban growth areas, the county coordinating with the cities to ensure that policies are in place that are consistent with encouraging growth in the urban areas and reducing demand for development in rural areas. There's always the option of simply changing the Rural allocations at a later date to reflect the growth that has already happened (# 1 above). However, under House Bill 1220 and related state guidance on planning for affordable housing across all household income levels, the Growth Management Act now requires a county -wide process to allocate housing at the various income bands to the UGAs and Rural areas. Changing the Rural allocation would modify how many housing units each city and UGA must accommodate at the various income bands. Therefore, any future change to the Rural allocation would involve discussion with the cities to ensure our respective comprehensive plans are coordinated and consistent. Another action mentioned in Policy 2DD-1 is to change development regulations to limit growth in Rural areas (# 2 above). This could include downzoning. For example, the EIS will include mitigating measures to potentially downzone "Rural Study Areas" (lands zoned R5A or R10A that have agricultural significance), further restricting land division. Rezoning other areas could also be considered as well as instituting a moratorium on subdivisions outside of UGAs. It should be noted that downzoning to reduce land divisions in Rural areas would not prevent development on the many existing legal lots in these areas. If rural growth were to significantly exceed the final rural population projection targets adopted by the County Council, then slowing development on existing lots in Rural areas may require additional measures such as capping or rationing the number of building permits that can be issued each year or instituting moratoriums on the issuance of residential building permits outside of UGAs. Any such proposed measure brings risk and would require close consultation with the County's legal counsel. Budget implications of reduced permit fee revenue should also be considered. The final action mentioned is working with the cities to encourage growth in UGAs (# 3 above). Local governments can do a number of things to encourage growth in urban areas such as provide adequate land supply through zoning, plan and construct infrastructure to support development, and facilitate annexation of land in UGAs. At the current time, all seven cities have policies that generally do not allow extension of public water and sewer outside city limits prior to annexation. There is concern that when a city extends public water and sewer for development in the UGA (outside city limits) it may reduce the incentive for property owners in these areas to petition for annexation at a later date. However, the State Legislature has amended annexation statutes over the last 15 years to allow alternative annexation methods such as when the city, county, and fire district enter into an interlocal agreement for annexation (a property owner petition is not required). Based on the new housing planning requirements by household income band under House Bill 1220 adopted in 2021 and the implementation progress report requirements adopted under House Bill 1241 in 2022, PDS will be reviewing and likely proposing revisions to Policy 2DD-1 as part of the 2025 Comprehensive Plan update process to reflect these new requirements. C1 Finally, the Council asks PDS to shift some of the future population growth in Rural areas (10,000 people) to other locations. We would note that the State OFM's middle population projection is for total countywide growth of 56,915 people over the planning period (2023-2045). Pursuant to RCW 43.62.035, the OFM's middle projection represents the "most likely population projection for the county." If the Rural population allocation were reduced from 10,000 to 9,000, it would result in a total countywide growth projection of 70,307 under EIS Alternative # 2. This would still represent countywide population growth of 13,392 more than the OFM's most likely projection. If cities want to split up the 1,000 people reduction in UGAs, that would be fine. However, if they don't, the EIS Alternative 2 Countywide growth projection would still be above the OFM most likely projection. With the change to the Rural projection (outside UGAs), the proposed population and employment growth projections are shown below. Population Growth Proposal Area Tech Report Tech Report Tech Report County Notes on Initial County Low Middle High PDS PDS Proposal Proposal Birch Bay UGA 1,555 2,313 3,490 2,662 Between Tech Report Middle and High Scenarios Continuation of 2013-23 trend Cherry Point UGA 0 0 0 O N/A, Industrial UGA Columbia Valley UGA 665 988 1,492 1,137 Between Tech Report Middle and High Scenarios Continuation of 2013-23 trend Outside UGAs 7,243 10,773 16,260 9,000 Below Tech Report Middle Scenario Employment Growth Proposal Area Tech Report Tech Report Tech Report County Notes on Initial County Low Middle High PDS PDS Proposal Proposal Birch Bay UGA 80 Cherry Point UGA 316 Columbia Valley UGA 9 Outside UGAs 2,180 Next Steps 124 194 450 Above Tech Report High Scenario Greater jobs/housing balance 493 769 1,200 Above Tech Report High Scenario 13 21 350 Above Tech Report High Scenario Greater jobs/housing balance 3,403 5,302 3,403 Tech Report Middle Scenario We would like to discuss PDS' initial population and employment proposals for the Birch Bay, Cherry Point, Columbia Valley, and Rural/Resource Lands at the Council's special meeting on October 29 to receive direction on the proposals. 7 These preliminary population and employment growth projections from the County, along with growth proposals from the Cities for City UGAs, would then go to the County Planning Commission. The Commission would hold a public hearing and issue recommendations. The growth projections would come back to Council in the form of a draft non -binding multi -jurisdictional resolution. Thank you for your consideration of this matter. We look forward to discussing it with you. H.,