Loading...
HomeMy WebLinkAboutOshkosh Sustainability Plan - Land Uses Economic Development DRAFT - 25 July 2025Oshkosh Sustainability Plan 2025 30 July 2025 DRAFT Chapter: Land Uses & Economic Development Introduction Sustainable development balances the benefits of new investments, infrastructure, and opportunities with the negative impacts of new construction on undeveloped land, loss of natural resources, and industrial pollution. Land uses and economic development include a broad range of development activities associated with urban life, but these activities usually have similar impacts that affect sustainability. They all consume limited resources and produce waste. However, development is essential to enhancing quality of life and providing opportunities for future generations, so it must be managed to achieve sustainable outcomes. As the Oshkosh community grows, builds wealth, and meets the needs of its residents, the benefits of growth need to be reinvested into future opportunities and preserving limited resources for the benefit of all. This chapter addresses the administration and management of sustainable investments in development and redevelopment that minimize urban sprawl, promote efficient use of infrastructure, and expand access to urban amenities while minimizing impacts to the natural environment. Most development occurs in the private sector, but it is regulated by government. The recommendations in this chapter focus on ensuring that the regulation and promotion of new construction, industry, and employment produces long-term benefits and stability across the whole community. Past Accomplishments The City of Oshkosh has already made progress towards sustainability with the following accomplishments: • Completed a Housing Needs Assessment in 2022, updated in 2024 • Currently developing the former Washington Elementary School into residential lots for workforce housing and approved an additional 31 lots on Farmington Avenue • Developed a House Design Book1 and housing building plans for the city’s infill lots to encourage new construction on vacant lots that fit the historic character of neighborhoods • Ongoing implementation of the Great Neighborhoods Initiative to provide neighborhood improvements and rehabilitate buildings with dedicated funding • Expanded housing options in the zoning code to offer choices to build accessory dwelling units (ADU), townhomes, and twinhomes across most residential districts. Background Building Codes. The State of Wisconsin passed Act 270 (2013) and Act 243 (2017) which limited municipalities from creating amendments to the International Existing Building Code (IEBC) and Uniform Dwelling Code (UDC), respectively, that are more or less restrictive than the State code. Municipalities may, however, incentivize private development to build to a standard that is more restrictive than the State code. At the time of writing this Plan, Wisconsin uses the 2015 Commercial International Energy Conservation Code (IECC)2 and the 2009 Residential IECC3 with amendments.4,5 Oshkosh Sustainability Plan 2025 30 July 2025 DRAFT Tax Increment Financing (TIF)/Tax Incremental District (TID). Tax Increment Financing (TIF) is a common economic development policy used by municipalities throughout Wisconsin to incentivize development by spending property tax revenue on development projects within a defined project area as defined by the Tax Increment District (TID). Oshkosh has established 35 TIDs since 1979. Only new property tax increment (a type of revenue) resulting from new projects may be spent in the TID, but the money may be spent in a variety of ways to incentivize new development following the approved plan for the TID. TIF spending is designed to be economically sustainable because it uses money from new developments to encourage additional new development, continuing the cycle of new development paying for its own incentives for a defined period of time. After a TID closes, new increment that generates tax revenues by the development goes to the property tax fund. Some communities, such as Middleton, WI, have used TIF incentives to encourage environmentally sustainable development. New developments that meet certain criteria are eligible for TIF including: • Remediation of contaminated soils – special kind of TID • Whole-building energy modeling (BEM) • Renewable energy installations (solar, wind, geothermal) • Electric vehicle (EV) charging infrastructure • Green roofs and blue roofs • Stormwater best management practices (BMP) • Water reclamation systems While many project costs are TIF-eligible, it is important when pursuing TIDs to understand what project costs are not TIF-eligible. Non-eligible costs generally include anything that is required to meet City or State requirements or codes, City fees, infrastructure that is normally paid for by special assessments or similar charges, and “normal” development costs. The decision of how much TIF subsidy to grant a project is essential to achieving economic development goals. TIF projects often receive between 50-90% of the increment generated by that project (though some communities provide less than 50%), with the remainder of the increment going towards other projects and administrative costs. Rather than requiring that all TIF projects achieve sustainable outcomes – thereby potentially discouraging development, a set proportion of TIF increment can be made available to all projects (e.g. up to 10%) to encourage adoption of green building practices.6 Transit-Oriented Development (TOD). Transit-oriented development (TOD) is an approach to land use planning that recognizes the efficiencies achieved by locating housing, services, and jobs near transit. Doing so is aimed at reducing traffic, reducing the amount of parking needed to support developments, improving housing affordability, increasing ridership on public transportation, and creating a healthier, more walkable environment. Typically, transit-oriented development approaches use a variety of strategies to allow for increased density and reduced parking requirements based on proximity to transit stops. The typical distance from a transit stop where transit-oriented development is promoted ranges from ¼ mile to 1 mile, depending on the capacity and service area (catchment) of the transit service. For bus stops, the typical catchment is around ¼ mile, while commuter rail and regional rail can be upwards of ½ mile or 1 mile. This is based on the typical distance the average transit customer walks between the transit stop and their origin and destination. Oshkosh Sustainability Plan 2025 30 July 2025 DRAFT Sustainable Development vs. Urban Sprawl. Several factors contribute to sustainable development and land use. Foremost among these factors is efficient and compact, environmentally sensitive, and responsible use of land. These factors are goals of the City of Oshkosh’s Comprehensive Plan. Failure to effectively achieve these goals results in urban sprawl, or uncontrolled, low-density development on the periphery of the city. The City of Oshkosh has increasingly tended towards sprawling development, characterized by: • Decreasing numbers of residential units per acre of residential land in both single-family and multi-family developments • Decreasing population per acre of residential land • Increasing proportion of overall land dedicated to single-use and single-family residential development These trends compounded with decreasing average household sizes and plateauing population growth make it likely that the economic burden of funding public services and infrastructure will increase per household because there is more infrastructure to maintain and fewer taxpayers from which to collect revenue. Infill development, or development that uses existing infrastructure rather than requiring new infrastructure on undeveloped lands, is a viable strategy as recommended by the Comprehensive Plan to reduce urban sprawl and develop sustainably. The City can focus on improving services during infill development rather than expanding services to new areas, such as utilities, roads, and parks. For example, the 2024 Comprehensive Outdoor Recreation Plan (CORP) update identifies goals for ensuring access to parks. The City of Oshkosh provides 6.22 acres of park per 1,000 residents, and the Winnebago County Community Park provides an additional 270 acres available to the whole community. Making full use of existing park properties and other government services rather than stretching resources to serve areas that are not currently developed is a sustainable approach to improving quality of life without increasing urban sprawl. Impact Fees. Impact fees are a sustainable growth strategy that requires new developments to pay for new public infrastructure, such as sewers, streets, and parks. Many communities in Wisconsin utilize impact fees for new infrastructure created by new developments utilizing city services to offset the increased taxpayer burden. Impact fees can be a powerful tool to ensure that new growth occurs sustainably, and they can prevent new development from straining local budgets. New housing developments that utilize existing infrastructure are not charged fees as long as they do not create the need for new infrastructure, creating a natural incentive for infill development versus sprawl. Impact fees can be established over specific zones, or they can be established over the entire community, depending on what they pay for. Wisconsin state law (Wis. Stats. 66.0617) requires new impact fees to be established following an impact fee assessment and public hearing to ensure they are being fairly implemented. New fees that are established must be proportionate to new development, and are restricted from being spent on existing infrastructure deficits. New impact fees are also required to demonstrate they will not have a negative impact on housing affordability and cities may choose to exempt certain low-income housing developments from impact fees as long as that cost burden is not shifted onto impact fees paid by other developments. Infill Development. Infill development is any development constructed on property that previously contained buildings. While infill development benefits from existing streets, utilities, and proximity to Oshkosh Sustainability Plan 2025 30 July 2025 DRAFT other developments, there are several factors that make infill development difficult compared to greenfield development (i.e. development on vacant, not previously developed lands). Barriers to infill development include higher land costs, constrained sites, potentially contaminated soils and/or the need to demolish existing structures, and restrictive zoning policies. Most communities, including Oshkosh, struggle to encourage infill development instead of greenfield development, resulting in urban sprawl. It is important to address and reduce these barriers to infill development to achieve sustainable development. Oshkosh’s Redevelopment Authority is focused on reducing barriers to development and spurring investment by assembling and marketing City owned properties for private development. Most of these properties are infill sites that benefit from additional stewardship and recruitment for investment, such as several residential lots that provide new housing choices for community members to live and stay in Oshkosh. This supports the community’s growth goals in a sustainable manner by encouraging compact, efficient use of existing land in the city. For additional information on the resources outlined in this chapter, check out: 1 House Design Book: https://www.amazon.ie/Oshkosh-House-Design-Office-Jonathan/dp/B0DSVZYLR4 2 Commercial International Energy Conservation Code (IECC): http://docs.legis.wisconsin.gov/code/admin_code/sps/safety_and_buildings_and_environment/361_366/363 3 Residential IECC: http://docs.legis.wisconsin.gov/code/admin_code/sps/safety_and_buildings_and_environment/320_325/322 4 Wisconsin Uniform Commercial Building Code FAQ | Wisconsin Department of Safety: https://dsps.wi.gov/Documents/Programs/CommercialBuildings/FAQAct270.pdf 5 Building Regulations in Wisconsin | League of Wisconsin Municipalities: https://www.lwm-info.org/610/Building- Regulations 6 Tax Incremental Finance (TIF) – Project Costs FAQ | Wisconsin Department of Revenue: https://www.revenue.wi.gov/Pages/FAQS/slf-tif-projexp.aspx Goal(s): a) Expansion: Ensure policies facilitate construction at appropriate density and site design to minimize undeveloped land consumption and de-emphasize vehicle-dependent development. b) Infill: Reduce barriers to infill development to steer development toward the urban core. c) Land use mix: Promote a mix of complementary land uses at sufficient densities and proximity to support commercial viability, healthy lifestyles, and access to urban amenities. d) Diversification: Promote a mix of sectors in the local economy with planning and small business/entrepreneurship to improve resilience to economic shifts. Recommendations 1. Transit Oriented Development (TOD). Create incentives for transit-oriented development near transit stops. o Lead Responsibility: Planning Division o Time Frame: Medium (3-5 years) o Implementation Details: ▪ Create a defined TOD Boundary, such as ¼ mile from transit stops. Oshkosh Sustainability Plan 2025 30 July 2025 DRAFT ▪ Deploy specific incentives for development within the TOD Boundary, such as residential unit density bonuses, height bonuses, and reduced off-street parking requirements. Consider a bonus between 20-40% of current standards. ▪ Consider creation of a TOD Zoning Overlay District to facilitate the implementation of TOD incentives. 2. Infill Development. Revise the zoning code to accommodate market-based standards for new development in the central city to ensure that infill, by-right development is viable and competitive with greenfield development. o Lead Responsibility: Planning Division o Time Frame: Priority (<3 years) o Implementation Details: ▪ Revise the zoning code for market-based density, bulk, and parking standards by identifying market-rate development and housing models in the region that is suitable for the central city and changing standards to accommodate those building types without the need for exceptions, special permits, or intensive public reviews. ▪ Consider switching to a more user-friendly interface for the zoning code to improve navigability and ease-of-use by the development community and the community at-large. ▪ Reduce the prevalence of conditional use permits required for desirable developments in the central city, especially mixed-use residential developments. 3. Adaptive Reuse. Incentivize preservation of existing buildings by reducing barriers to rehabilitation. o Lead Responsibility: o Time Frame: Priority (<3 years) o Implementation Details: ▪ Create exceptions in the zoning code for adaptive reuse developments for standards they may have trouble conforming to, such as parking minimums, setbacks, and lot coverage. Do not create exceptions for site improvements such as landscaping and environmental feature preservation that contribute to the overall sustainability of a project. ▪ Continue to utilize grant programs for the rehabilitation of publicly visible elements of older buildings (i.e. facades, signs, awnings, windows, etc.) such as the Historic Rehabilitation Program and the Oshkosh Healthy Neighborhoods Good Neighbor Grant. ▪ Explore the creation of new historic districts to unlock funding for building preservation costs, but ensure the City has the administrative capacity to manage these districts. 4. Sustainable Construction. Create green building incentives to encourage sustainable practices in new construction (i.e. local, sustainable building materials, energy efficiency improvements, renewable energy, stormwater management, etc.). o Lead Responsibility: o Time Frame: Priority (<3 years) o Implementation Details: Oshkosh Sustainability Plan 2025 30 July 2025 DRAFT ▪ Create a green building checklist that lists sustainable building practices that align with the City of Oshkosh’s sustainability goals. (same as Energy, Utilities, & Facilities implementation detail under Green Construction.) ▪ Explore density, height, and parking bonuses as green building incentives for meeting the requirements of the green building checklist. ▪ Include the green building checklist as a proportion of the scoring criteria in RFPs for development procurements. ▪ Identify items from the green building checklist that are TIF-eligible project costs for inclusion in the City’s TIDs. ▪ Consider offering up to an additional 10% of TIF increment to projects that include green building checklist elements. 5. Sustainable Growth. Discourage sprawling development patterns and reduce opportunities for low-density development on the city’s periphery by ensuring newly annexed residential lands permit urban residential densities (>5 units/acre) or do not permit residential subdivision at all (i.e. permit urban residential densities, conservation/ recreational land, or non-residential land uses such as commercial or industrial. Do not permit farmstead/estate/low-density suburban development). o Lead Responsibility: Planning Division o Time Frame: Long (5-10 years) 6. Site Sustainability. Enhance environmental feature preservation requirements and decrease negative environmental impacts (i.e. erosion, runoff, etc.) during construction. o Lead Responsibility: Planning Division/ Department of Public Works/ Engineering o Time Frame: Priority (<3 years) o Implementation Details: ▪ Adopt wetland and woodland preservation and mitigation requirements for new development projects as part of the land division and site plan review processes. ▪ Review construction staging requirements to prevent damaging construction activities within the drip line of existing trees. ▪ Review the erosion control ordinance to minimize topsoil erosion during construction and landscaping, such as requiring temporary vegetative cover of disturbed areas, protecting buffer zones along water bodies, and using structural controls to trap sediment on-site. 7. Parks. Utilize park space efficiently to provide social and environmental benefits by targeting improvements to increase utilization, accessibility/appropriateness to all demographics, and provide ecosystem services. o Lead Responsibility: Planning Division o Time Frame: Priority (<3 years) o Implementation Details: ▪ Update the Comprehensive Outdoor Recreation Plan (CORP) to reflect the total park inventory of the community, inclusive of County and State properties. ▪ Match park and recreation needs with opportunities to improve underutilized park properties. ▪ Explore public-private partnerships to provide parks and outdoor public places in areas of existing deficit or where recommended expansion of park properties is Oshkosh Sustainability Plan 2025 30 July 2025 DRAFT less feasible (i.e. publicly accessible parks and pocket parks as parts of private developments). ▪ Explore strategies to encourage homeowners and businesses to create welcoming outdoor atmospheres on and around their properties, such as on larger lots or community gardens, empty to promote informal social spaces across the community. ▪ Ensure new developments that expand the urban footprint of Oshkosh include adequate provisions for outdoor recreational spaces, parks, and/or trails/walking paths. 8. Retention. Collaborate with local businesses and industries to identify opportunities and threats to expansion, stability, and long-term success while staying in Oshkosh. o Lead Responsibility: Economic Development o Time Frame: Ongoing 9. Expansion. Identify strategies to attract regional industries underrepresented in Oshkosh and provide pathways to increased presence in the city. o Lead Responsibility: Economic Development o Time Frame: Ongoing