Zoning and Development Plan Review October 2016
Zoning and Development Plan Review Project Information Project: Prepared for: North Lewis County Industrial Access Lewis County Public Works 2025 NE Kresky Avenue Chehalis, WA 98532 Project Representative Prepared by: Contact: Project Reference: SCJ Alliance 8730 Tallon Lane NE Lacey, WA 98516 360.352.1465 scjalliance.com Eric Johnston, PE, Principal SCJ #0635.02 Phase 02 Baseline Analysis Path: N:\Projects\0635 Lewis County\0635.02 North Lewis County - Industrial Access\Phase 2 - Baseline Analysis\Task 03 Project Context
TABLE OF CONTENTS Introduction... 1 Chehalis Tribes... 2 Port of Centralia... 3 IPAT... 4 Chehalis River Basin Flood Authority... 5 Washington State Department of Transportation... 6 Lewis County... 7 City of Centralia... 8 Thurston County... 9 Town of Bucoda... 10 City of Tenino... 11 LIST OF TABLES Table 1 Lewis County Study Area Demographics... 8 LIST OF FIGURES Figure 1 Great Wolf Lodge in Grand Mound... 2 Figure 2 Port of Centralia... 3 Figure 3 Industrial Park at TransAlta... 4 Figure 4 I-5 improvements at Mellen Street and Harrison (Exit 81)... 6 Figure 5 I-5 Improvements near Future Centralia Station... 6 Figure 6 Downtown Centralia... 8 Figure 7 Grand Mound Community in Thurston County... 9 Figure 8 Bucoda Neighborhood... 10 Figure 9 Bucoda Community Center... 10 Figure 10 Commercial Area, Downtown Tenino... 11 Figure 11 Tenino Neighborhood... 11 Page i
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INTRODUCTION Lewis County, located in the southwest part of Washington State, touches eight other Washington counties. Grays Harbor, Thurston, and Pierce Counties to the north; Yakima County to the east; and Skamania, Cowlitz, and Wahkiakum Counties to the south; and Pacific County to the west. The boundaries are purely political creations except for that portion of the northern boundary that briefly parallels the Nisqually River, and all of the eastern boundary which tracks along the crest of the Cascade Mountains. The largest county in western Washington, Lewis County covers 2,452 square miles and measures about 90 miles (east to west) by 25 miles (north to south). The topography varies widely, from the broad, relatively flat and low-lying western section of the county to the Cascade Mountains to the east. Roughly three-fourths of the county is rugged, mountainous and forested. The remainder is characterized by low rolling hills interspersed with rivers and tributaries including the Cowlitz, Chehalis, and Newaukum systems. The major population centers of Chehalis and Centralia, are located on the flood plains of the Chehalis River and its tributaries, including the Skookumchuck and Newaukum rivers. Over threequarters of the land in Lewis County is committed to federal, state, and private resource land uses. This includes 38% in federal and state ownership, primarily for timber and recreational uses. Another 37% is privately owned resource lands, large tracts of property devoted to mineral, agricultural and forestry uses. Only 1% of the land lies within urban areas, with much of that devoted to right-ofways and public uses, or constrained by critical areas. Another 1% of the land is classified as a "Rural Area of More Intense Development" (LAMIRDS), which includes small towns in unincorporated areas, crossroads, and commercial and subdivision enclaves. Other urban designations, such as Master Planned Resorts, are found within rural areas, especially adjacent to the State and Federal highway network. Twenty three percent of the land is considered remote rural, much of which is characterized by steep slopes, wetlands and hydric soils. This results in over 98% of Lewis County being considered as open space or remote rural areas with less than 2% available for urban or more intense rural development (2007 Lewis County Comprehensive Plan). In northern Lewis County along to the I-5 corridor, urban uses are more prevelant, and include employment centers of industry, business and tourism that support the economic vitality of Lewis County and adjacent counties. Access and circulation are two important transportation factors that weaken the economic viability of industrial investments that support the region s vision and economic vitality. Supporting and improving access to this job center is critical to the economic growth of the area. Of 39 counties in the state in 2015, Lewis ranked 33 rd in growth, 34 th for per capita personal income, and 16 th for poverty. As the number of jobs in the timber and mineral extraction industries wanes, jobs in other sectors are needed that do not upset the rural character of the county and takes advantage of a skilled trades and industrial sector. The Industrial Park at TransAlta, the site of a former surface coal mine, is located approximately eight miles from I-5, three miles from Bucoda, and four miles from Centralia. From 1971 until 2006, the mined coal fueled TransAlta s thermal generating plant which has a net capacity of 1,340 megawatts and is still Washington State s largest baseload power source. The mining operations have transitioned into reclamation efforts, and over 2,600 acres of the 7,700 acres disturbed for mining have been completely reclaimed. The two coal fired power plants will be retired in 2020 and 2025. While the mining and power generating operations are coming to an end, 4,400 acres have been designated by the Page 1
Washington State Legislature (Revised Code of Washington 36.70A.368) as an industrial park. The other primary industrial center within the study area is the Port of Centralia industrial parks. With some facilities located less than two miles of Interstate 5 interchanges, this site also has a combined 1,500 acres between ready-to-develop and currently provides over 800 jobs to the area. With improved access to these two major industrial parks and other surrounding industrial uses, northern Lewis County would be able to boost its economy, attract business and residents, and sustain the industrial employment base that has diminished over the last decade. CHEHALIS TRIBES The Confederated Tribes of the Chehalis Reservation are located on 4,215 acres in southwest Washington about twenty-six miles southwest of Olympia and six miles northwest of Centralia. Approximately 20% of the reservation lies within Thurston County and 80% in Grays Harbor County. The reservation consists of agricultural areas, residential neighborhoods and forested areas. The Reservation is dominated by the current and historical paths of the Chehalis and Black rivers. In 2013, the Chehalis Reservation tribal member population was 894. The Tribe currently has a growth rate of approximately 17% with a projected population growth of 1,046 by 2024. The Chehalis Tribe has identified core and rural residential areas with high and low density neighborhoods. The rural low density neighborhoods have been developed at scattered sites throughout the Reservation. The Tribe has designated commercial areas along Anderson Road from SR 12 to the reservation boundaries and the property known as the Grand Mound Property on Highway 99 near exit 88 on Interstate 5. Figure 1 Great Wolf Lodge in Grand Mound The Tribe operates the Lucky Eagle Casino and Eagles Landing Hotel (located in Rochester) and own and operate The Great Wolf Lodge Resort, an indoor water park located in Grand Mound between Old Highway 99 and Interstate 5. The tribe has recently expanded capacity at each site, and have completed the Grand Mound Development Plan as a response to the rapid growth in the Grand Mound area. This Plan was developed in consultation with Thurston County, and it develops a vision for the future of Grand Mound and establishes a plan that envisions a retail village or town center, higher density residential areas and new commercial and industrial land uses. Page 2
With increased commercial development and investment in Grand Mound and along property adjacent to the interstate by the tribe, congestion along Harrison Avenue/Old Highway 99 and the I-5 interchanges could further constrain access to existing industrial properties in north Lewis County. PORT OF CENTRALIA The Port of Centralia is a municipal corporation governed by three elected commissioners. With over 1,500 acres of property in two industrial parks west of Interstate 5 and one mixed-use development, the Port s industrial parks contain 30 businesses providing 800 jobs to the local economy. The industrial parks, like others in the area, have access to rail service, fiber optics, pipelines, water, and electricity. In a 2016 trip generation analysis, the Port s two industrial parks are estimated to currently provide 2.4 million square feet of industrial/warehouse space with the ability to develop approximately 2.5 million additional square feet 1. Access to the I-5 Harrison Avenue interchange (exit 82) is about 1-3 miles from Port properties and 3-6 miles to the Grand Mound interchange at exit 88. The Port is currently completing property acquisition for Centralia Station, a regional commercial park intended to provide approximately 40 acres of office, retail, restaurant, and recreation space. The park is located south of the Mellen Street interchange (Exit 81) and considerable construction in the area will provide easy freeway access to the site. Figure 2 Port of Centralia 1 The May 2016 transportation study states that Park I has 250 acres of primarily undeveloped property, though a May 2016 article by a commissioner states that Park I started to reach capacity and thus developed Park II in 2003. Page 3
IPAT The Industrial Park at TransAlta, LLC (IPAT) is a non-profit organization established to market industrial uses on a portion of the TransAlta Centralia operations site. The mine and power generation site employed approximately 900 employees until 2006 when it discontinued mining operations. IPAT proposes to use former mining land to increase manufacturing employment and fulfill the demand for ready to develop industrial sites in excess of 100 acres. Figure 3 Industrial Park at TransAlta IPAT lists 1,000 acres of developable property eight miles from Interstate 5, equidistant between Seattle and Portland. The site features include access to rail, fiber optics, pipelines, large volume water, major electricity, and limited environmental and adjacent use concerns. Infrastructure capacities include: 60,000 gallons of potable water capacity is available Process Water Capacity: 2 million gallons per day Existing onsite sewer treatment facility to serve up to 1,000 employees Two natural gas pipeline providers, with 30 and 36 mains High-speed fiber optic lines North/south Finished Products Pipeline that provides a conduit for liquid fuels Page 4
BNSF heavy rail spur and full loop to serve three unit trains To capitalize on site strengths and maximize economic and employment benefits, facilities like warehouses and distribution centers are discouraged in favor of capital intensive manufacturing and heavy industrial uses. The area available for development is predicted to be able to accommodate over 2,000 jobs, which is a significant boost to the job market for the entire region. There are seven industrial pads currently proposed, and each has easy access to necessary utilities as well as a BNSF rail line. Additionally, access to the area, while currently available via road and railway, is also being examined for access development, creating shorter access routes to the highway. Full build out, depending on market conditions, is anticipated by 2025-2035 at the earliest. When built out, businesses on the property are expected to contribute over 2,000 jobs to the regional economy, 1,400 more employees than when the coal mine was operational. In Lewis County, approximately 2,578 people of the civilian workforce remain currently unemployed. Freight traffic would vary based on the specific logistics of future developments. Without additional access routes, IPAT traffic would continue to use truck routes including Reynolds Avenue, Main Street, and SR 507 through Centralia s downtown leading to the Harrison Avenue interchange at I-5. Multiple intersections and segments along this truck route are noted in Centralia s 2007 Comprehensive plan as being congested and having a high number of accidents. IPAT is one of two designated Major Industrial Development areas in Lewis County that are not associated with the UGAs of the incorporated cities and towns. County development regulations provide an appropriate master planning process to address development criteria, preservation of large industrial sites, adequate public facilities (including sewer, water, and transportation), and adequate buffers and environmental protection. The Major Industrial Development areas require significant upfront planning to address an entire site. As an alternative, property owners may use the provisions of RCW 36.70A.365 to locate a new industrial development consistent with those standards within such proposed Major Industrial Development area. The major industrial facility siting may be more appropriate to the size, scale and pace of anticipated industrial development for those areas. In addition to industrial development pursuant to RCW 36.70A.365 and RCW 36.70A.367, Lewis County may designate a master planned location for major industrial activity subject to the provisions of RCW 36.70A.368. CHEHALIS RIVER BASIN FLOOD AUTHORITY The Chehalis River Basin Flood Authority was created through an interlocal agreement amongst local jurisdictions within the Chehalis River Basin in response to disastrous flooding occurring in 2007. The CRBFA is tasked with developing and participating in flood hazard mitigation measures throughout the basin, considering such things as retention dams, levees, creek restoration, street regrades, protecting the I-5, evacuation routes, and restoring aquatic species. Projects mitigate flooding of roads and highways and are not expected to affect transportation projects considered in this study. Page 5
WASHINGTON STATE DEPARTMENT OF TRANSPORTATION A multi-phase WSDOT project was completed in 2016 to increase highway capacity through the North Lewis and South Thurston counties. WSDOT constructed Collector Distributor (CD) lanes between Mellen Street (Exit 81) and Harrison Avenue (Exit 82) interchanges to eliminate merging conditions between these interchanges and separate local traffic from interstate traffic. Figure 4 I-5 improvements at Mellen Street and Harrison (Exit 81) This project also made safety improvements to the Mellen Street and Harrison Avenue interchanges, and widened and realigned the I-5 curve at Blakeslee Junction. It is expected to eventually provide access to the Port of Centralia s Centralia Station commercial park when those buildings are constructed. Figure 5 I-5 Improvements near Future Centralia Station Page 6
LEWIS COUNTY With over 75,000 residents spread across more than 1.5 million acres (31.2 per square mile), Lewis County remains a predominantly rural and resource-based county adjacent to the Thurston County, Olympia-Tumwater economic area to the north. The majority of development is within the I-5 corridor connecting Portland, Oregon with Tacoma and Seattle to the north, though dispersed communities are established along the eastbound US highway 12 stretching into the Cascade mountain range. At 16,000, the City of Centralia serves as the largest population and employment base. Lewis County was hit particularly hard by the Great Recession and has generally suffered from a lack of employment growth, high unemployment (8.2%), poverty (17%), and lower median household income ($42,917). Though employment has historically relied on resource extraction like forestry and wood products, the diversifying economy increasingly relies on industrial and commercial activities like manufacturing, transportation, logistics, warehousing, food production, and wholesale and retail. Of approximately 30,000 working residents, over 62% commute to work outside the county (one of the lowest rates of in-county workers). Of those working, annual wages in manufacturing average $46,864, in transportation $35,036, and agriculture, forestry, fishing and hunting averages $32,452. Lewis County s average total is $37,059. The per capita income average however is reported at $33,424. These numbers show the poor state of economy in the area, and the need for beneficial development. Population Labor Force Average Annual Wages Per Capita Income Major Local & State Taxes Source Lewis County 76,890 OFM (2016) Centralia 16,820 OFM (2016) Chehalis 7,460 OFM (2016) Napavine 1870 OFM (2016) Civilian Labor Force 31,452 ESD (2016) Employed 28,874 ESD (2016) Unemployed 2,578 ESD (2016) Unemployment Rate 8.2% ESD (2016) Lewis County Total $37,059 Lewis EDC (2014) Manufacturing $46,864 Lewis EDC (2014) Transportation & Warehousing $35,036 Lewis EDC (2014) Agriculture, Forestry, Fishing & Hunting $32,452 Lewis EDC (2014) Lewis County $33,424 ESD (2013) Lewis Retail Sales 7.8% DOR (2016) Retail Sales most areas 7.8% DOR (2016) Page 7
State B&O Tax.00484% DOR (2016) Average Property Tax Rates Unincorporated Lewis County $11.825 ESD (2016) Centralia $10.26 ESD (2016) Table 1 Lewis County Study Area Demographics All industrial developments focused on by this study are expected to take place in Lewis County. Much of the property at the Port of Centralia is within the City of Centralia or the urban growth boundary, but other industrial properties, such as IPAT, are within unincorporated Lewis County. Based upon the area demographics found in Figure 1, Lewis County would greatly benefit from increased industrial activity as is proposed for development at IPAT. CITY OF CENTRALIA Centralia is the largest city in Lewis County with over 16,000 residents and, as a midway point between Seattle and Portland, sits along the major north-south highway and rail lines for the West Coast. Settled in 1852, the city s urban growth boundary has grown to almost 2000 acres with 63% used for residential, 10% used for commercial and medical uses, and about 17% devoted to industrial development. Centralia holds the great majority of Lewis County jobs and has stronger population growth than the rest of the county (2-3% 2010-2014), but employment in the Centralia-Chehalis area dropped an estimated 7% to 14,534 between 2003 and 2013. Saddling the confluence of the Chehalis and Skookumchuck Rivers, Centralia encompasses significant floodplains that divide development and create transportation bottlenecks. Harrison Avenue, the primary interchange connecting the city to the I-5 is a highly congested corridor and frequently cited for frequent accidents and congested intersections. Residential traffic, downtown commercial traffic, industrial traffic, and school traffic are all commonly funneled into the Harrison corridor as a way to both cross to other parts of the city and to access the I-5. The Mullen Street interchange to the South is much less utilized. Figure 6 Downtown Centralia Modeling future development in the area, corridors like Harrison Avenue are expected to worsen and Centralia currently plans to widen, repave, resurface, and add bike lanes and sidewalks to Harrison and other unsatisfactory routes. As referenced above, WSDOT completed a project in 2016 that increases highway capacity through the North Lewis and South Thurston counties through the use of bypass collector distributor lanes through the Centralia area. Page 8
THURSTON COUNTY With a population of over 250,000, Thurston County anchors the southern end of the Puget Sound metropolitan area. The bulk of the urbanized population is centered in the cities of Olympia, Lacey, and Tumwater which also represent a significant source of employment. Olympia is notable for being Washington State s capitol and, along with the surrounding cities, has a large state and governmental employment draw. With one of the highest rates of commuters traveling to work in other counties (62%), Thurston County constitutes a significant source of imported income for Lewis County and the majority of the Lewis County commuters travel through the northern neighbor s jurisdiction. Though Grand Mound, Bucoda, and Tenino are all communities within Thurston County, they are closely connected to the Centralia and north Lewis County economy. Access and mobility projects for industrial uses located in Lewis County will likely impact and may be located within Thurston County. An impending Rural Mobility Study, a study of SR507, the widening of Highway 99 around Grand Mound, and other transportation and development visions have the potential to influence industrial access. Figure 7 Grand Mound Community in Thurston County The Grand Mound area is a rural community in Thurston County (located approximately 15 miles south of the Tumwater/Olympia/Lacey metro area) that is experiencing a surge in economic growth. With its close proximity to Interstate 5 (I-5) and rail services, being the location of The Great Wolf Lodge Resort and containing several undeveloped properties, Grand Mound has become an ideal location for new commercial/industrial uses and higher density housing. Several areas surrounding the I-5 corridor are Page 9
zoned for planned industrial parks, light industrial uses, arterial commercial and highway commercial uses and higher density housing (4-16 units per acre). Thurston County anticipates a continued trajectory of high growth over the next ten years (20%) projecting to add over 100,000 residents and 35,000 jobs. Even if Thurston County transportation projects do not directly impact industrial transportation practices in north Lewis County, it will continue to reciprocally influence and be influenced by the economic, demographic, and transportation practices of Lewis County and the study area. TOWN OF BUCODA With a population of approximately 600, the Town of Bucoda is the smallest community in Thurston County and is within close proximity to Centralia in Lewis County. Since 1968, flooding along the Skookumchuck River has occurred 10 times, occasionally restricting the SR507 primary ingress and egress (connecting to Centralia) and inundating the town with multiple feet of water. 45% of the town and 70% of the residential structures are within the floodplain. There are currently no planned developments that would impact industrial access in the study area. Figure 8 Bucoda Neighborhood In 1910 the Town of Bucoda became incorporated and by 1920 had a population of 442 people. Between 1920 and 1930, Bucoda experienced their largest population growth. After 1960 (until roughly 2000) Bucoda felt a decrease in population. Today the Town of Bucoda is a quiet residential community with a population of approximately 600 people with an annual average growth rate of 0.1% The Town of Bucoda lies in a valley of the Skookumchuck River, which meanders through the eastern and southern city limits. Approximately one quarter of the town s area is on a hillside, and three-fourths is on flat lands near the river that experiences occasional flooding. Residential neighborhoods surround the downtown area with single family homes predominantly low density (0-3.5 du/acre) to moderate density (3.5-6.5 du/acre). Approximately 84% of the land area in Bucoda is zoned for residential uses. Currently, there are no multifamily developments in Bucoda. The Town of Bucoda consist of very few commercial and industrial uses (roughly 3% of the land area). Figure 9 Bucoda Community Center Page 10
CITY OF TENINO North of Bucoda on SR507 and east of Grand Mound on Old Highway 99, the City of Tenino is a historic, small community of about 1800 people. Tenino is considering plans to develop a Main Street program on the SR507 which could potentially increase safety, decrease vehicular speed, and enhance the character of downtown but the program is not expected to impact potential transportation and will take place east of the SR507 and Old Highway 99 intersection. The city may also continue restoration work along Scatter Creek that could affect new potential river crossings but is similarly not expected to impact future transportation projects. Figure 10 Commercial Area, Downtown Tenino Tenino, when incorporated in 1906, was a lively community powered by the railroad and sandstone quarries and by 1910 had a population of 1,083 residents. The population dropped in the 1950 s due to an impact on the job market and the opening of Interstate 5. Since 1990, Tenino s population growth rate has been 1%. Tenino currently makes up approximately 0.6% of the County s population. Downtown Tenino contains most of the area s historical buildings and is the focal point for the tight-knit community, providing retail and service oriented businesses. The buildings in downtown are characterized by the historical sandstone buildings from the early 1900 s. The City Park is located along the southern edge of the city limits and provides access for the Rails to Trails path that extends between Tenino and Yelm. Figure 11 Tenino Neighborhood Residential neighborhoods, predominantly single-family homes, surround the downtown core. Blended into the residential neighborhoods are some multifamily housing and mixed use developments. In Tenino, 52% of the net area is dedicated to single and multifamily residential uses. The western edge of Tenino, along the Burlington Northern Railroad corridor, is zoned for industrial uses, however currently there is very little industrial development within the City limits. The commercial and industrial uses make up 36% of the net area. Over half of the Tenino residents who are employed work outside of the City in either Olympia, Tumwater, Lacey, Centralia/Chehalis area or Tacoma. Page 11