DRC_STAFF REPORT_TOD ZONING CODE TEXT AMENDMENTS_051226.DOCX
City of Tempe — Development Review Commission Regular Meeting (2026-05-12)
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STAFF REPORT TOD ZONING & DEVELOPMENT CODE TEXT AMENDMENT (PL260139) COMMENTS: In 2020, Planning staff introduced an Urban Code District (UCD) to be added to the Zoning and Development Code (ZDC) which was to be applied to the 1) downtown area, 2) the area between Rural Road to the west and Dorsey Street to the east and roughly between University Drive to the north and Mill Avenue to the south, and 3) those areas along Apache Boulevard from Rural Road to the west and the Price - 101 freeway to the east. There were to be seven zones within the UCD that ranged in density and included permitted land use, development standard and parking requirements. This included a consultant provided study of parking reductions for these areas. The UCD and the Urban Core Masterplan were withdrawn and did not ultimately move forward for City Council at that time. In January 2024, the Phoenix City Council approved a zoning ordinance code text amendment to reduce the minimum parking requirements for multi-family, single-family attached, and affordable housing projects, and introduced the definition of “unreserved spaces”, also known as guest parking spaces. It is important to note that at the time, many other cities across the country were undertaking similar code text amendments to address parking issues to accommodate the need of changing demographics. At the Joint City Council/Development Review Commission meeting on May 13, 2024, Planning staff presented an analysis of the parking requirements of the City of Tempe compared with those of the City of Phoenix. The purpose of the analysis was to evaluate the adequacy of parking in Tempe’s downtown area and to provide recommendations for improving parking inadequacies. In conducting its research, Tempe Planning staff determined that the parking requirements of Tempe’s Transportation Overlay District (TOD) were higher comparable to those of the City of Phoenix’s Walkable Urban Code. As a result, Tempe staff realized that it could bring its TOD parking requirements in line with those of the Phoenix Walkable Code and in line with more recent project entitlements. This code text amendment includes amending Part 5, Chapter 6, Transportation Overlay District of the ZDC as follows: Section 5-602 – Boundaries The seven Station Areas within the TOD are listed by name (i.e. Mill Avenue and Third Street, Veteran’s Way and College Avenue, University Drive and Rural Road, Dorsey Lane and Apache Boulevard, McClintock Drive and Apache Boulevard, Smith-Martin and Apache Boulevard, and Price-101 and Apache Boulevard) and renumbering of this section is required due to this addition. Figure 5-602A – Transportation Overlay District Boundary Map, has been replaced with a new map that more clearly delineates the Station and Corridor areas and includes the seven Station Areas by name and location. Section 5-603 – Applicability Section 5-603.C – Amendments, has been revised to include additional property that can be added to the TOD subject to proximity of future streetcar alignment or streetcar line. Section 5-612 – Pedestrian Oriented Design Standards Sections 5-612 J (Minimum Parking Ratios), K (Maximum Parking Ratios) and L (On-Street Parking) have been deleted and moved to a new section related to parking. Table 5-612A (Transportation Overlay District Reductions to Minimum Parking) has been deleted and a new table is proposed for the new parking section. PL260139 – ZONING CODE TEXT AMENDMENTS Page 3 May 12, 2026 Section 5-612 M (Sidewalk Standards) has been renumbered 5-612 J and language has been added that would allow exceptions to be made to the minimum 8-foot public sidewalk width for neighborhood or local streets subject to Traffic Engineering approval. Section 5-612 O (Loading, Delivery and Service Entrances) has been renumbered 5-612 L and includes language stating that drop off and pickup spaces for passenger share ride shall not occupy required parking or travel lanes and shall be clearly visible and accessible to development entrances. Re-lettering of Section 5-612 is required due to the relocation of parking related standards to the new parking section. Section 5-613 – Parking Standards This is a new parking section that includes standards for: o Minimum parking requirements based upon the location of a property within a specific Station Area or Corridor (identified in Table 5-613A); o Maximum and on-street parking standards; and o Clarification of parking requirements for guest parking and mixed-use developments. Comparison Between Current and Proposed TOD Parking Requirements Current TOD Parking Requirements Proposed TOD Parking Requirements Use Corridor Station Area Use Corridor Station Area by # SINGLE-FAMILY None specified None specified SINGLE-FAMILY 1 space per unit + 0.2 unrestricted guest spaces per unit 1 and 2: Refer to Downtown Parking Standards 3 through 7: 1 space per unit + 0.1 unrestricted guest spaces per unit MULTI-FAMILY 0.75 spaces per bedroom plus guest parking 0.75 spaces per bedroom plus guest parking MULTI-FAMILY 0.5 spaces per bedroom + 0.2 unrestricted guest spaces per unit 1 and 2: Refer to Downtown Parking Standards 3 and 4: 0.4 spaces per bedroom + 0.1 unrestricted guest spaces per unit 5 through 7: 0.5 spaces per bedroom + 0.1 unrestricted guest spaces per unit RETAIL SALES AND SERVICE USES/CUSTOMER SERVICE OFFICES/ENTERTAINME NT USES (EXCLUDING THEATERS) Parking waived for 25% of floor area not to exceed 10,000 SF of floor area Parking waived for 50% of floor area not to exceed 30,000 SF of floor area COMMERCIAL (ALL TYPES OF COMMERCIAL USES INCLUDING RETAIL, RESTAURANT, BAR, OFFICE AND CONFERENCE/ASSEMB LY) 1 space per 500 SF 1 and 2: Refer to Downtown Standards 3 through 7: 1 space per 500 SF THEATERS Parking waived for first 50 seats Parking waived for first 150 seats REFER TO COMMERCIAL USES (ALL TYPES) PL260139 – ZONING CODE TEXT AMENDMENTS Page 4 May 12, 2026 RESTAURANTS/BARS AND CLUBS Parking waived for 25% of floor area, not to exceed 1,250 SF of floor area Parking waived for 50% of floor area not to exceed 2,500 SF of floor area REFER TO COMMERCIAL USES (ALL TYPES) HOTEL None specified None specified HOTEL 0.5 spaces per hotel unit + commercial 1 and 2: Refer to Downtown Parking Standards 3 through 7: 0.5 spaces per hotel unit, + commercial. First 5,000 SF waived for commercial; 1 space per 500 SF thereafter OUTDOOR DINING AREA No standard No standard OUTDOOR DINING No Standard No Standard Staff reviewed approved projects in the TOD area from the last few years and found that the majority of these projects included a Planned Area Development (PAD) Overlay component in which the applicant proposed a parking reduction from the TOD parking ratios, often times bringing the provided number of parking spaces well below what have been required using the current TOD parking ratios. Dorsey Station (PL250278), the mixed-use development located at 1320 E. Apache Boulevard and 1412 Dorsey Lane is an example of such a project. The project included 400 multi-family residential units along with commercial uses in which a PAD Overlay was proposed to deviate from the development standards of the MU-4 TOD zoning district for building height and from the parking requirements of the TOD Overlay. The table below from the Dorsey Station staff report illustrates the current TOD parking ratios compared to those requested with the associated PAD. While PADs are a common way for applicants to request deviations from the development standards and parking requirements of the Zoning and Development Code, lowering the parking requirement in the TOD provides additional incentives to developers and businesses to lower overall costs of development and for the City of Tempe to promote and increase the use of alternative modes of transportation and encourage a mix of uses and balance of densities and intensities within its activity areas which are accessible to alternative modes of transportation. PL260139 – ZONING CODE TEXT AMENDMENTS Page 5 May 12, 2026 PUBLIC INPUT A neighborhood meeting is not required for code text amendments. Development Review Commission heard a presentation and discussed the changes at a study session on April 28, 2026. Neighborhood Advisory Commission will hear a presentation and discuss the changes during a meeting on May 6, 2026. The draft ordinance was posted online on the Planning Division webpage. Upon completion of this report, staff has received no inquiries or comments regarding the proposed changes. DEVELOPMENT REVIEW COMMISSION STUDY SESSION Staff presented the proposed code text changes on April 28, 2026 for preliminary feedback. The Commission asked for an illustration that shows the current TOD parking requirements versus the proposed changes and asked if analysis was done on projects the Commission has approved over the past couple of years to see how these proposed changes would have affected them or potentially resulted in them being denied. Chair Johnson stated that he would also like to see these comparisons and that in general the direction is very good to see. NEIGHBORHOOD ADVISORY COMMISSION Staff will be presenting the proposed code changes on May 6, 2026 for feedback. GENERAL PLAN The proposed code text amendment will not impact the goals and objectives of the Tempe Tomorrow: General Plan 2050. The proposed additions and clarifications to the ZDC will facilitate implementation of certain objectives within the General Plan relating to transportation, economic development, sustainability, and the protection of public health, safety and welfare. HISTORY & FACTS: January 20, 2005 City Council adopted the Zoning and Development Code, a new Zoning Ordinance 2003.36 and repealing Zoning Ordinance 808, which had been in effect since this date. Subsequent revisions have been made to the code over the past twenty years to keep the code current with General Plan updates, changes in state laws, new technologies and other factors that affect code implementation and enforcement. April 28, 2026 Development Review Commission heard a presentation at their study session regarding the requested Zoning and Development Code text amendment. May 6, 2026: Neighborhood Advisory Commission is scheduled to hear a presentation regarding the requested Zoning and Development Code text amendment. May 12, 2026 Development Review Commission is scheduled to hear a presentation regarding the requested Zoning and Development Code text amendment for recommendation to City Council. June 2, 2026 City Council is scheduled for the first public hearing for the requested Zoning and Development Code text amendment. June 25, 2026 City Council is scheduled for a second and final public hearing for Zoning and Development Code text amendment. PL260139 – ZONING CODE TEXT AMENDMENTS Page 6 May 12, 2026 ZONING AND DEVELOPMENT CODE REFERENCE: Section 5-602 – Boundaries Section 5-603 – Applicability Section 5-612 – Pedestrian Oriented Design Standards Section 5-613 – Parking Standards