Title
Olympia 2045 - Comprehensive Plan Land Use and Urban Design Chapter Update
Recommended Action
Committee Recommendation:
Not referred to a committee.
City Manager Recommendation:
Receive a briefing on the Comprehensive Plan Land Use and Urban Design Chapter update.
Report
Issue:
Whether to receive a briefing on the Comprehensive Plan Land Use and Urban Design Chapter update.
Staff Contact:
Susan McLaughlin, Director, Community Planning & Economic Development, 360.753.8206
Tim Smith, Deputy Director, Community Planning & Economic Development, 360.570.3915
David Ginther, Senior Planner, Community Planning & Economic Development, 360.753.8335
Presenter(s):
David Ginther, Senior Planner, Community Planning & Economic Development
Background and Analysis:
The City is currently underway with a major periodic update of the Comprehensive Plan. For the last Periodic Update, the City’s Comprehensive Plan underwent a major rewrite through a planning process that took place from 2009 through 2014. The Plan was adopted in December of 2014. There have been a few amendments to the Land Use and Urban Design chapter over the years through the “annual amendments” process. At least once every 10 years, cities and counties that are fully planning under the Growth Management Act (GMA), must update its plan through a process known as the Periodic Update. The Periodic Update requires that jurisdictions update the planning horizon to a minimum of 20 years, update the population projection it is planning for, and address all new state planning requirements that have been adopted since the previous update.
Survey Results for Land Use and Urban Design Chapter
In March of 2025, a survey was provided to the community to gather information on updating the Land Use and Urban Design chapter. 35 people participated in the online survey. 45.7% of the participants indicated that they would like to see more emphasis on land use designs that provide for social interactions. 25.7% were unsure and 28.6% said they did not feel more emphasis was needed. 48.6% of the participants said that the current amount of the City designated as Low Density Residential is not consistent with their vision for the future of Olympia. 37.1% indicated the amount was inline with their vision for Olympia and 14.3% were unsure. When asked if they felt that neighborhood retail should be allowed City-wide (but with controls to assure compatibility) 60% said yes, 34.3% said no, and 5.7% were unsure. The last question in the survey provided an opportunity for any comments the participants wanted to share. Most participants took advantage of this opportunity. The survey results are posted on the chapter webpage.
Environmental Impact Statement (EIS) Scoping Comments
When the scoping notice for the EIS was issued in February, it was noted that the Alternatives that would be considered in the analysis would be based on variations of elements such as the mix of residential, commercial, and industrial zoning and land uses, employment growth scenarios, and housing types, density, and location. The notice also clarified that the City does not intend to propose an expansion of the Urban Growth Boundary as part of this Plan update under any Alternative. This is because the land capacity analysis that was prepared by Thurston Regional Planning Council showed that the City has adequate land supply to accommodate the population growth within the existing urban growth boundary.
Early City Council Input
Council identified areas of interest that could be addressed. These include:
• The area along Plum Street, between the I-5 Interchange and State Ave or Olympic Ave that currently has several designations for land uses. Council suggested that perhaps the number of designations could be reduced or the subject of a future subarea/corridor planning process.
o A policy has been added regarding a corridor plan for this area to address these issues (PL18.9)
• Neighborhood Centers and the possibility of allowing more small-scale commercial uses in neighborhoods could be considered.
o For a description of the changes on these two subjects, see the sections of this staff report titled “Neighborhood Centers” and “Small scale neighborhood commercial uses”.
• Language to support converting Capital Lake back to an Estuary should be included, with policy direction for future city actions being identified.
o Language referencing Capitol Lake has been changed to “Deschutes Estuary” throughout the chapter. Additional language added to the West Bay focus area description. Work on this is still in progress.
• Support for adding language directing staff to review and update Title 18, the Unified Development Code, in the future. The intent of this suggestion was to make the code easier to understand and implement. The discussion included the possibility of amending the code to reduce the overall number of zoning districts, simplifying the language used in the code, and looking for opportunities to improve it.
o New policy added consistent with the comments on this subject (PL1.20).
Future Land Use Map
One of the cornerstones of the Comprehensive Plan is the Future Land Use Map. This map identifies where different land use types and intensities will occur. These designations are implemented through the zoning districts and other development regulations. Master plans for the provision of urban governmental services such as drinking water, sanitary sewer, storm and surface water, parks, and transportation are completed based on these designations.
While the majority of the City and its urban growth area (~70%) are currently designated for “Low Density Neighborhoods”, there are three areas designated with the “High Density Neighborhoods Overlay”. The High Density Neighborhood overlay areas are where the majority of new growth is designated to enable a mix of urban commercial and residential development.
Updates to the map include proposing the removal of three of the neighborhood centers (recommended in the Neighborhood Centers Strategy Report), showing the “walkshed” for the remaining neighborhood centers, and combining the three lowest density land use designations into a new one called “Urban Residential”. A new description for the Urban Residential Designation was also created for the chapter, to be incorporated into the descriptions of each of the designations in Appendix A of the chapter. The reason for this change is in response to comments from Councilmembers in the past, as a way to help alleviate or prevent any misconceptions around residential neighborhoods, because “low density neighborhoods” could be construed as being lower in density than the description of allowing up to 12 units per acre in these areas.
Changes to the Chapter
The goals and policies for housing are being moved to the new Housing Chapter, so they are proposed to be removed from this chapter. In addition, the goals and policies for schools will move from the Public Services Chapter into the Land Use and Urban Design Chapter because the Public Services Chapter will change to a Public Safety Chapter. The annexation, moratoriums, and transfer of development rights sections that were in the Public Participation and Partners Chapter are being moved into the Land Use and Urban Design Chapter. The goals and policies for climate that relate to land use will be integrated into the chapter after the public review process for the Climate Action & Resilience chapter has been completed.
Related planning efforts, such as the Urban Agriculture recommendations, the Neighborhood Centers Strategy report, the Capital Mall Triangle Subarea Plan, and the Martin Way Corridor Study recommendations will also be incorporated into the update of the chapter. Other plans, such as the Housing Action Plan, will be considered as some recommendations in the plan may be appropriate for this Chapter as well.
Other amendments include addressing land uses near airports, updates to the values and vision statements based on community input, residential infill, neighborhood centers, small scale commercial uses in neighborhoods, mobility and accessibility, land use design that provides for social interaction opportunities, environmental justice, housing types and affordability, adaptive reuse of buildings, equitable access to green spaces, sea level rise and the Deschutes Estuary, and planning for the area along Plum Street.
Neighborhood Centers
Based on the direction from the Land Use and Environment Committee and the recommendations in the Neighborhood Centers Strategy report there are several changes to the chapter for Neighborhood Centers.
• Updated policies regarding the siting of Neighborhood Centers. It is to be through a collaborative approach with the community that also acknowledges the metrics described in the Neighborhood Centers Strategy. (PL14.4, PL21.1, PL21.2, PL21.3)
• Updated the narrative and the policies to allow more flexibility for determining appropriate types of land uses in Neighborhood Centers
• Updated the Future Land Use Map to remove the three Neighborhood Centers that have the least potential for success and added “walksheds” for each of the centers
• Updated the Neighborhood Centers land use designation description regarding size and siting of neighborhood centers
Small scale neighborhood commercial uses
Commercial uses are generally prohibited within residential areas of the City, apart from Neighborhood Centers. The only commercial uses that are allowed in residential zone districts are childcare centers and plant nurseries. Both require conditional use permits. Hospice care is also allowed but is restricted to the very low residential density zone districts (R1/5 and RLI) or the higher density residential zone districts. Home occupations are allowed in residential zone districts with strict controls to minimize impacts. As a result, home occupations are not typically a type of business that would serve a neighborhood. Allowing small-scale neighborhood commercial uses in residential zones could allow for the organic growth of small-scale neighborhood-oriented businesses which could be a benefit for neighborhood residents. Such uses could serve as gathering spots to increase social interactions among neighbors and support the ability of residents to walk, roll, or use their bicycles to meet some of their daily needs.
The chapter narrative and policies (PL20.6 is new) have been updated to allow small scale commercial uses in neighborhoods, but with controls to minimize impacts to the neighborhood and nearby residents. The use of the word “controls” was used to provide flexibility for the City to determine if conditional use permits or special regulations are most appropriate. The intention is not to serve as a barrier to such development, but to ensure that applicable rules are in place for harmony between commercial and residential uses in close proximity to each other.
NOTE: The draft chapter is a work in progress and staff is actively working to address comments from the public, committees and commissions, and City Council.
Climate Analysis:
The Land Use and Urban Design Chapter supports goals and policies to reduce greenhouse gas emissions. One of the primary ways this is done is by accommodating projected population growth within the existing urban growth area boundary. This will help our community become a more compact and urban city and will also prevent the city from sprawling into the adjacent rural and resource lands of Thurston County.
As the City continues to grow, the community will expand multimodal transportation options (sidewalks, bicycle lanes, public transit), provide for schools and parks in proximity to residents, work to locate schools and small scale commercial uses near residences, and work to balance issues like increasing urban tree canopy while also increasing opportunities for rooftop solar photovoltaic systems.
Compact urban growth also allows for efficient provision of services, such as drinking water and sanitary sewer, as well as police and fire protection.
Neighborhood Centers provide goods and services near where people live which allows for less dependence on vehicles which, in turn, also helps to reduce climate impacts. The Land Use and Urban Design chapter envisions that most residents will live within a quarter-mile of a Neighborhood Center. This is approximately the distance that most persons are willing to travel without a car and is part of the goal of having a walkable and accessible “15-minute city”.
Equity Analysis:
The Land Use and Urban Design Chapter contains goals and policies in support of planning for space for the businesses that provide goods and services in proximity to where people live and work. This will allow people to more easily meet their daily mobility needs without the use of a car. This will be a benefit for both existing and future residents, including lower income persons that may not be able to afford a vehicle. Business owners could benefit from having more potential customers living in proximity to their businesses, however, increases in traffic congestion could impact businesses.
Policies encouraging infill will help with the creation of a variety of additional housing overall. This will provide more choices and options for those looking for housing. A larger supply of housing could help to mitigate some of the cost of housing which would be a benefit for both those looking to purchase or rent.
Both existing and future residents could be impacted as infill occurs and neighborhoods become increasingly dense. Impacts could include traffic, noise, and potential changes in the character of neighborhoods as they evolve over time. As areas infill and become more desirable, rents and property values could increase. This could impact businesses and existing/future residents, especially those with low incomes.
Properties that have development potential could benefit landowners if they choose to invest in their properties to build new housing or commercial uses.
In the past there has been a lack of investment opportunities in marginalized communities due to historic inequities associated with redlining and other discriminatory practices. Marginalized communities often have to commute extremely long distances to find employment. By enabling small scale businesses, it provides ownership opportunities for entrepreneurs to bring investment to their neighborhood but also employment for local residents.
Neighborhood Centers also provide opportunities for social interactions which helps to prevent social isolation and loneliness.
Financial Impact:
The Comprehensive Plan Periodic Update is being funded, in part, by a $175,000 grant from the Washington State Department of Commerce.
Neighborhood/Community Interests (if known):
It is anticipated that there will be a wide variety of diverse opinions and comments throughout the update process. Staff will work to provide opportunities for people to provide comments during the process, as draft amendments are proposed, and at public meetings. The first draft of the proposed Land Use and Urban Design chapter revisions was issued in April of 2025. Copies of the public comments received to date are attached. In addition, survey responses can be accessed from the webpage.
Options:
1. Receive the briefing.
2. Receive the briefing and discuss at a later date.
3. Do not receive the briefing.
Attachments:
Draft Chapter
Public Comment
Chapter Webpage