Council approves up to $2 million sales tax rebate to keep Doug Smith dealership, rejects 1-stall-per-unit parking for downtown micro-apartments
August 24, 2021, 7:00 p.m. · American Fork City Hall, 31 N. Church St.
On a 4-1 vote, with Councilmember Rob Shelton opposed, the American Fork City Council approved a performance-based deal returning up to $2 million in sales tax over 10 years to Doug Smith Auto for dealership expansion, after staff said the dealer might leave. The council denied, 4-0, an appeal seeking one parking stall per unit for Lake City Flats, a 109-unit micro-apartment building at 95 N. Barratt Ave.; Councilmember Staci Carroll, whose husband is one of the developers, recused. It also approved the Lake City Row development agreement and a $160,900 contract to rehabilitate the Hospital Well.
From the approved minutes.
Decisions at a glance
Agenda, item by item
Item Consent 5 · Roads and utilities
Forfeiture of Connectionz Acquisition durability bond, 231 N. 825 East
Approved · 5-0
The city called a durability bond posted by Connectionz Acquisition to repair curb and gutter.
- Payment$2,150 to Connectionz Acquisition
- Bond: $2,150
Item Consent 4 · Budget
Ratification of payments Aug. 4-17, 2021, and purchases over $25,000
Approved · 5-0
Routine consent ratification; itemized list not in minutes.
Item Action 1 · Roads and utilities
Partial right-of-way vacation on 900 West, 620 South to 900 South
Approved · 5-0
After a public hearing, returned slivers of right-of-way deeded by a developer at annexation that the final road design did not need, per city practice.
Item Action 2 · Contract
Tier-1 auto sales tax incentive agreement with Doug Smith Auto
Approved · 4-1
Performance-based agreement reimbursing Doug Smith Auto (523 W. Main St., about 14.18 acres) a share of the city's sales tax above a $775,000 annual baseline (50% of the next $100,000, 65% of the next $100,000, 80% above), capped at $2 million or the cost of qualified improvements, for up to 10 years starting fiscal 2021. The dealer must stay seven years afterward or repay. Improvements are land acquisition and dealership expansion along Roosevelt Avenue; at Councilmember Shelton's urging the motion was amended to define them as capital improvements on that land. Shelton voted no, saying the city lacks an incentive policy, had rejected a similar request from Ken Garff, runs a structural deficit of about 0.6% a year, and learned only minutes before the meeting that the dealer might leave. Councilmembers Taylor, Hunter and Carroll said losing the dealer would be worse.
- Payment$2.00 million to Doug Smith Auto
- Cap: $2,000,000 or cost of qualified improvements
- Baseline retained by city: $775,000/yr
- Term: 10 years from FY2021 plus 7-year stay covenant
- Earlier: council approved a similar deal for National GMC and denied Ken Garff
Item Action 3 · Development
Lake City Row master plan amendment development agreement
Approved · 5-0
Development agreement with the Lake City Row master developer (Arvil Swaney) and North Valley parcel owners implementing the concept plan amendment approved May 25, 2021. The adjusted plan cuts west-side residential units from 2,026 to about 1,700 and requires shared parking at least as shown on the concept plan; adjacent owners, including the Kurt V. Vest Trust, sign as incidental parties acknowledging changes to shared parking under an existing MOU. Councilmember Carroll asked about signatories; Legal Counsel Cherylyn Egner said she was comfortable with the agreement.
- Residential units (LCR West): 2,026 approved → about 1,700
- Parking computed at 1.8 stalls/unit under MOU vs. 2.25 code
Item Action 4 · Zoning
Zone change at 860 East 930 South, PI-1 to PC Planned Community
Pending
Rezoning of a corner at 860 East and Utah Valley Drive from PI-1 Planned Industrial to PC Planned Community, following the Lake City Row concept plan amendment, for a future office-warehouse. The minutes record a motion by Councilmember Carroll, seconded by Councilmember Barnes, but no vote result.
- Planned use: office warehouse
Item Action 5 · Development
Appeal of Planning Commission denial of Lake City Flats micro-apartments, 95 N. Barratt Ave.
Denied · 4-0
Applicants Chad Pollard and Diego Carroll appealed the Planning Commission's denial of a five-story, 109-unit studio/micro-apartment building on 1.35 acres in the CC-1 zone with one parking stall per unit, versus the code's 2.25. They cited an ITE-based estimate of 69-95 stalls needed, peer-reviewed for traffic by Hales Engineering, and other cities' one-stall rules, said they felt 'strung along,' and mentioned possible legal action; they offered 1.25 stalls but not 2. Public Works said the Hales review did not endorse the parking. Councilmembers Taylor and Hunter supported the project; Shelton worried about precedent because CC-1 density is limited only by parking. The council denied the appeal so the parking standard could be taken up at a Sept. 7 joint work session.
- Applicants: Chad Pollard and Diego Carroll
- Units: 109 studios on 1.35 acres (about 80 units/acre)
- Requested parking: 1 stall/unit; code 2.25
- Connection: applicant Diego Carroll is Councilmember Staci Carroll's husband; she declared the conflict and recused
- Property partnered with the Romero family (proposed name Romero Place)
Item Action 6 · Public safety
Utah County FY2022 Communities That Care grant
Approved · 5-0
Accepted a Utah County e-cigarette, marijuana and drug prevention grant for the police department's CTC program: parenting and prevention classes, videos, a part-time assistant and vape sensors at American Fork High, American Fork Junior High and Polaris.
- Grant$100,000 to Utah County
- Amount: $100,000
- Vape sensors: $13,000; CTC assistant wages: $15,600
Item Action 7 · City code
Water and sewer connection standards for commercial condominiums (Section 17.5.131)
Approved · 5-0
Lets staff waive separate water meters for commercial condo suites with no water use, prompted by an office building owner wanting to sell suites. Councilmember Carroll asked staff to also review the separate-line requirement for residential condos.
Item Action 8 · Taxes and fees
Fee schedule: inspection cancellation and reinspection fees
Approved · 5-0
Added a $50 fee for canceling a building inspection with less than two business days' notice, raised the reinspection fee from $50 to $79, and corrected the TSSD fee.
- Late cancellation: $50
- Reinspection: $50 → $79
Item Action 9 · Roads and utilities
Hospital Well redevelopment contract, Widdison Turbine Service
Approved · 5-0
Awarded a contract to pull the pump, clean and redevelop the casing and pump-test the Hospital Well, one of the city's oldest and most used, to increase yield before a new pump and motor are sized. Bids were opened Aug. 17 through the state purchasing site; the tabulation shows a single bid against Horrocks Engineers' estimate of $172,800. Work is planned after irrigation season, finishing before the 2022 season, with penalties for delay.
- Contract$160,900 to Widdison Turbine Service LLC
- Bidders: Widdison Turbine Service LLC $160,900 (only bid on tabulation)
- Engineer's estimate (Horrocks Engineers): $172,800
- Mobilization: $30,000
Item Action 10 · Other
Closed session
No action
Council went into closed session.
What residents said
Downtown parking for micro-apartments
No one spoke in public comment. At the Lake City Flats appeal, applicants Chad Pollard and Diego Carroll argued micro-units need about one stall each and that they had been strung along by the Planning Commission; Planning Commission Chairman John Woffinden said the commission insisted on the 2.25 code standard.