Annexation Agenda Memo

City of Boulder City Council Agenda Item Meeting Date: October 1, 2026 Agenda Title Consideration of the following items related to a petition to annex a property at 1275 Cherryvale Rd. and a property at 5995 McSorley Ln. with an initial zoning designation of Residential – Rural 2 (RR-2) (LUR2025-00049): Consideration of a motion to adopt Resolution 1383 finding the annexation petition to annex approximately 5.43 acres of land in compliance with state statutes and establishing November 12, 2026, as the date for a public hearing. AND Introduction, first reading and consideration of a motion to order published by title only Ordinance 8764, annexing to the City of Boulder approximately 5.43 acres of land with an initial zoning designation of Residential – Rural 2 (RR-2) as described in Chapter 9-5, “Modular Zone System,” B.R.C. 1981; amending the Zoning District Map forming a part of said Chapter to include said land in the above-mentioned zoning district; and setting forth related details.

Staff Contact • •

Alison Blaine, Senior Planner, Planning & Development Services (P&DS) Brad Mueller, Director, Planning & Development Services (P&DS)

Draft Motion Language Motion to adopt Resolution 1383 finding the annexation petition to annex approximately 5.43 acres of land in compliance with state statutes and establishing November 12, 2026, as the date for a public hearing.

AND Motion to introduce and order published by title only Ordinance 8764, annexing to the City of Boulder approximately 5.43 acres of land with an initial zoning designation of Residential – Rural 2 (RR-2) as described in Chapter 9-5, “Modular Zone System,” B.R.C. 1981; amending the Zoning District Map forming a part of said Chapter to include said land in the above-mentioned zoning district; and setting forth related details.

Executive Summary The purpose of this item is for City Council to consider an annexation request to annex a property at 1275 Cherryvale Rd. and a property at 5995 McSorley Ln., totaling 5.43 acres of land with an initial zoning designation of RR-2 consistent with the Boulder Valley Comprehensive Plan (BVCP). This application was received prior to the adoption of the most recent BVCP major update and was reviewed against the policies in place at that time. The annexation area is located within Planning Area II of the BVCP and is eligible for annexation. The applicant has requested annexation to allow for an existing detached dwelling unit at 5995 McSorley Ln. to connect to city water and sewer utilities and for the property at 1275 Cherryvale Rd. to redevelop with a religious assembly use that will conform to city zoning standards. Annexation is generally required by the city when a property wants to use or increase use of city water and/or sewer services. Per Annexation Policy 1.17, the annexation area is substantially developed, with the potential for additional development, and therefore may be considered for annexation with annexation terms and conditions that provide community benefit. Refer to Attachment E for the proposed annexation agreement. The proposal also includes a BVCP land use map change due to the recent adoption of the BVCP major update, which states that all land outside of the city’s jurisdiction will have a land use designation of “Rural Lands” and are expected to update to a non-rural land use designation upon annexation. Although this annexation was received prior to the update and subject to the 2020 BVCP policies, the application is still impacted by the 2026 changes to the future land use map. As a result, the land use map will need to be updated. The proposed land use is Neighborhood 1, which City Council will be asked to consider at the time of the annexation hearing scheduled for November 12, 2026. Per the state’s annexation law, City Council is asked to consider the attached proposed Resolution 1383, which is provided in Attachment B. The annexation resolution is a procedural step required under state law to determine that the petition to annex the property complies with Section 31-12-107(1), C.R.S., and to set a hearing date to

determine if the proposed annexation complies with state annexation laws. Refer to Attachment A for the annexation map and Attachment D for the annexation petition. Planning Board reviewed the proposed annexation and initial zoning on July 28, 2026. The Board voted unanimously (6-0) (ml Robles absent) to recommend to City Council approval of the proposed annexation of the properties located at 1275 Cherryvale Rd. and 5995 McSorley Ln. with an initial zoning designation of Residential – Rural 2 (RR-2) pertaining to case number LUR2025-00049, incorporating the staff memorandum as findings of fact and subject to the recommended conditions of approval for the annexation as provided for in the proposed annexation agreement. The Board deliberated on an amendment to the main motion to recommend that the property provide additional community benefit that would have encouraged more housing density as part of the terms and conditions of the annexation agreement. Some of the additional requirements that the Board considered included the following: requiring the applicant to subdivide the property for the purposes of building a new dwelling unit, requiring the applicant to provide additional cash-in-lieu than included in the draft annexation agreement, and adopting an initial zoning of RE to allow for greater density in the area should the property be sold or redeveloped. The Board moved forward with drafting an amendment that the properties annex with an initial zoning designation of RE (instead of the requested RR-2) and with a condition that the property may develop a maximum of two dwelling units per acre per parcel. Ultimately, the amended motion failed, and the Board recommended approval of the annexation agreement as originally drafted by staff. A summary of the Board’s discussion and recommendation on the annexation can be found below under “Application History.” The staff memorandum to Planning Board, meeting audio, and other related background materials are available on the Records Archive for Planning Board. Draft minutes from the Planning Board hearing can be found in Attachment G. Because the initial recommendation for the annexation went to Planning Board before the BVCP major update, a separate hearing is scheduled on October 27, 2026, for Planning Board to act on the land use map change prior to the second reading of the annexation before City Council on November 12, 2026. Staff analysis on the land use map change will be presented to Planning Board and included in the memo for second reading.

Council Action Options Option

Outcome

If the petition is in substantial If the resolution is adopted and the ordinance is compliance with state law introduced and ordered published by title only, a

requirements, adopt Resolution 1383 and introduce and order published by title only Ordinance 8764

public hearing will be scheduled on October 1, 2026, to determine whether the proposed annexation complies with state law and, if so, to consider adoption of on Ordinance 8764.

If the petition is not in substantial compliance with state law requirements, no action will be taken on Resolution 1383 or Ordinance 8764

The annexation process ends.

Key Issues 1.

Does the annexation request comply with applicable state annexation statutes?

2.

Is the proposal consistent with city’s annexation and other Boulder Valley Comprehensive Plan (BVCP) policies?

3.

Is the initial zoning of Residential – Rural 2 (RR-2) appropriate for the subject property?

Background Property Description & Site Context As shown in Figure 1, the subject site is located just north of McSorley Lane, near the intersection of Reserve Drive and Cherryvale Road, in unincorporated Boulder County. The project site is comprised of two parcels addressed as 1275 Cherryvale Rd. and 5995 McSorley Ln. City mapping shows 1275 Cherryvale Rd. as two parcels due to multiple tax accounts filed with Boulder County. Refer to Figure 2 for the annexation map, which shows the boundaries of the two properties to be annexed. The project site totals approximately 5.4 acres.

Project Site

Figure 1. Vicinity Map

Figure 2. Annexation Map

At time of annexation, the Cherryvale property contains a two-story detached dwelling

unit, two mobile homes, a garage, and several accessory buildings including sheds, yurts, and a greenhouse. The Cherryvale property is already served by city sewer connections through Ordinance 4644, recorded in 1982 at Reception No. 00494071 with the Boulder County Clerk & Recorder. The Cherryvale property also obtained an out of city agreement and revocable permit for water service, which was signed in 2010 (recorded at Reception No. 03108953 with the Boulder County Clerk & Recorder). The current out of city service parameters restrict the Cherryvale property from constructing a commercial use and limit any expansion of water services unless annexed, if the property is eligible for annexation. The McSorley property contains a detached dwelling unit and several sheds. The McSorley property is served by an existing Onsite Wastewater Treatment System (OWTS) through Boulder County for sewer and a well for domestic water. The two properties are owned by the Hakubai Temple. The surrounding properties are primarily detached dwelling units on larger lots and at a low density. The site is east of the Flatirons Golf Course and south of the Boulder Jewish Community Center. BVCP Planning Areas: The subject area proposed to be annexed is located in Area II of the BVCP, which is the “area now under county jurisdiction where annexation to the city can be considered consistent with Policies 1.08 Adapting to Limits on Physical Expansion, 1.10 Growth Requirements and 1.17 Annexation. New urban development may only occur coincident with the availability of adequate facilities and services. Master plans project the provision of services to this area within the planning period.” The southwest and southern boundaries of the subject area are adjacent to Area I (refer to Figure 3). Area I is the area within the City of Boulder that has adequate urban facilities and services and is expected to continue to accommodate urban development.

Area II

Area I

Figure 3. BVCP Planning Areas

Existing BVCP Land Use Designation at Time of Planning Board Recommendation on July 28, 2026: As shown in Figure 4, the underlying BVCP land use designation is Very Low Density Residential (VLR), which reflects the current detached dwelling unit use on both properties. The Cherryvale property also contains a BVCP designation of Open Space, Other (OS-O), which applies to the South Boulder Creek that transverses the property. The OS-O portion of the property will be preserved from future development with a flood control easement. See more information under “Flood” below.

Figure 4. BVCP Land Use Designations

BVCP Land Use Designation after August 19, 2026: As a result of the BVCP major update that came into effect August 19, 2026, the BVCP Land Use Designation of the subject site is currently Rural Lands (R-RL) and Greenways. The Rural Lands designation is defined as follows: “Rural Lands are the unincorporated areas of the Boulder Valley that are within the county’s jurisdiction and include a variety of land uses and county zone districts. Future use of these areas will be guided by county planning processes, the uses permitted by county zoning and policies in the comprehensive plan that intend to preserve the rural character of these areas, except that upon annexation, any annexed areas would be expected to update to a non-rural land use designation and would be subject to city processes, zoning and policies.” Greenways are defined as “… areas adjacent to existing waterways, including Boulder Creek and tributary streams, that help manage and mitigate flooding, support multifunctional landscapes and ecosystem services, and protect cultural resources.

Greenways may also offer recreation and active transportation amenities. These areas form an interconnected system across public and private lands.”

Figure 5. BVCP Land Use Designations – 2026 Comprehensive Plan

Existing Zoning: The property is located in unincorporated Boulder County with a county zoning of RR – Rural Residential, which is defined as “[r]esidential areas developed at a density and character compatible with agricultural uses” (Article 4-103, Boulder County Land Use Code). Surrounding city zoning districts are shown in Figure 6. Annexation of the subject property provides an opportunity to consider the appropriate zoning and land use designation for the area proposed to be annexed. The applicant’s specific proposal for annexation and initial zoning is discussed later in this memorandum.

Figure 6. Surrounding City Zoning

FLOOD: South Boulder Creek runs north-south on the western edge of the Cherryvale property and just west of the McSorley property. The annexation site is impacted by the 100-year floodplain, conveyance zone and high hazard zones as shown below.

Figure 7. Floodplains and Wetland Boundaries

Application Description The applicant is requesting annexation by petition into the City of Boulder with an initial zoning of RR-2. The existing detached dwelling unit on the McSorley property is proposed to remain and will continue to be used as a residence. Upon annexation, the Cherryvale property will be redeveloped with a religious assembly use for the Hakubai Temple. The McSorley residence will not be associated with the Hakubai Temple. A religious assembly use is allowed by-right in the RR-2 zone and would not trigger a future Site Review, as the site is not otherwise required to complete Site Review per Table 2-2 in Section 9-2-14, “Site Review,” B.R.C. 1981. The existing mobile homes, nonstandard structures not otherwise approved and accessory structures (sheds, yurts, etc.) will be removed from the site. Refer to the Key Issues analysis for staff’s analysis of applicable state law, BVCP policies and proposed initial zoning. Annexation Terms The proposed annexation agreement (Attachment E) contains terms and conditions for this annexation. There is limited redevelopment potential for the site due to the large impact of the floodplain and conveyance zones. However, the site may have the potential for additional development after annexation. As such, the specific terms of the annexation agreement include 1.5 times the applicable cash-in-lieu contribution for any new dwelling unit that is not permanently affordable in order to meet community benefit

requirements (see Chapter 9-13, “Inclusionary Housing, B.R.C. 1981”). The application will also satisfy community benefit requirements through the dedication of a flood control easement to the city for the purpose of drainage conveyance, control of flood waters and the installation and maintenance of flood control and conveyance improvements. The applicant will be required to provide public access easements along Cherryvale Road and McSorley Lane for future right-of-way improvements. Additionally, as a condition of annexation, the applicant will be required to close off an access from Cherryvale Road to reduce the amount of conflict points between vehicles and nonvehicle users and enable safety improvements for all travelers. Process The properties are not currently within city limits, and to allow for the expansion of current utility service uses or future redevelopment of the property under city jurisdiction, the land would have to be annexed. Land may be considered for annexation to the city if the annexation complies with state annexation law and the policies of the BVCP. The property borders the Boulder city limits with sufficient contiguity per state statute and is located within Area II of the BVCP, the area that may be considered for annexation. If a property is annexed, zoning is established consistent with the goals and land use designations of the BVCP. The city’s annexation policies are located within Policy 1.17 of the BVCP. An annexation agreement is required to establish the terms and conditions of the annexation. Terms of annexation are to be based on the amount of development potential. For annexation agreements, additional development potential includes the ability to subdivide the property and/or build at least one additional unit on the property. This property may have the potential for additional development after annexation. Thus, the agreement is required to provide a special opportunity and community benefit to the city. Standard terms and conditions, such as dedication requirements and fees, are established in the agreement considering city code and policies. Most annexations involve two public hearings. The first is conducted by the Planning Board, which makes a recommendation to the City Council about whether the annexation should be approved, the terms and conditions of annexation and the initial zoning that should be applied. The City Council then holds a second public hearing before deciding whether to annex.

Application History Planning Board reviewed the proposed annexation and initial zoning on July 28, 2026. The Board voted unanimously (6-0) (ml Robles absent) to recommend to City Council approval of the proposed annexation of the properties located at 1275 Cherryvale Rd. and 5995 McSorley Ln with an initial zoning designation of Residential – Rural 2 (RR-2) pertaining to case number LUR2025-00049, incorporating the staff memorandum as

findings of fact and subject to the recommended conditions of approval for the annexation as provided for in the proposed annexation agreement. The Board deliberated on an amendment to the motion. Overall, several Board members expressed concern that the terms and conditions of the annexation did not provide enough community benefit to offset the impacts of annexation. Further, the Board felt that there were greater opportunities to encourage and/or require additional housing density due to the size of the annexation area and in keeping with BVCP policies regarding annexation. The Board discussed several possible amendments, including requiring the applicant to subdivide the property and build a dwelling unit, provide additional cash-in-lieu; the Board also proposed an initial zoning of RE to allow for greater density in the area should the property be sold or redeveloped. The Board drafted a motion for an initial zoning of RE, but the motion failed 3-3 (ml Robles absent). A summary of the board’s discussion and recommendation on the annexation can be found in the draft meeting minutes from the July 28, 2026, Planning Board Hearing included as Attachment G. The staff memorandum to Planning Board, meeting audio, and other related background materials are available on the Records Archive for Planning Board. Planning Board will take an action on the concurrent land use map change on October 27, 2026.

Public Comment Consistent with Section 9-4-3, Public Notice Requirements, B.R.C. 1981, staff provided notification to all property owners within 600 feet of the subject location of the application, and signs have been posted by the applicant indicating the review requested. Written comments are included in Attachment H.

Criteria for Review Applicable Boulder Revised Code Sections SECTION 9-2-17, “ANNEXATION REQUIREMENTS,” BOULDER REVISED CODE 1981 SECTION 9-2-18, “ZONING OF ANNEXED LAND,” BOULDER REVISED CODE 1981

Applicable Plans and Guidelines BOULDER VALLEY COMPREHENSIVE PLAN POLICIES”

• • •

1.08 Adapting to Limits on Physical Expansion; 1.10 Growth Requirements; and 1.17 Annexation.

COLORADO MUNICIPAL ANNEXATION ACT OF 1965: Colorado State Statutes Title 31, Article 12 § 31-12-104. Eligibility for annexation § 31-12-105. Limitations § 31-12-107. Petitions for annexation and for annexation elections

Analysis 1.

Does the annexation request comply with applicable state annexation statutes? Staff has reviewed the annexation petition for compliance with Sections 31-12104, 31-12-105, and 31-12-107, C.R.S., and with Section 30 of Article II of the Colorado Constitution and finds that the application is consistent with the statutory and constitutional requirements. Refer to Attachment F for staff’s analysis of state annexation law.

2.

Is the proposal consistent with city’s annexation and other Boulder Valley Comprehensive Plan (BVCP) policies? The properties at 1275 Cherryvale Rd. and 5995 McSorley Ln. may be considered for annexation due to their designation as Area II properties (Policy 1.14 Definition of Comprehensive Planning Areas I, II, and III). The Area II designation of these properties refers to the planning area now under county jurisdiction where annexation to the city can be considered consistent with BVCP policies. The annexation will allow connection of the existing home at 5995 McSorley Ln. to the city’s water and stormwater systems, thereby providing a critical public health benefit through the delivery of safe and quality drinking water. The dedication of a flood conveyance easement for South Boulder Creek is consistent with BVCP Policies 3.06 Wetland & Riparian Protection and 3.21 Preservation of Floodplains. Refer to Attachment F for staff’s analysis of the annexation proposal with city policies.

3.

Is the initial zoning of Residential – Rural 2 (RR-2) appropriate for the subject property? Staff Findings Prior to August 19, 2026: Initial zoning is established pursuant to Section 9-2-18, “Zoning of Annexed Land,” B.R.C. 1981. If a property is annexed, zoning will be established consistent with the goals and Land Use Map of the BVCP. As described above, the site is designated as VLR, which anticipates a density of two dwelling units per acre or less. The only applicable zoning districts in this density range are the Residential Rural 1 and Residential - Rural 2 zoning districts. Only the RR-2 district is found in the vicinity of the site. Refer to zoning map in Figure 6. The RR-1 and RR-2 districts are described as: “Primarily detached dwelling units with some duplexes and attached dwelling units at low to very low residential densities.” (Section 9-5-2(c)(1), B.R.C. 1981). The allowed uses and permitted intensity of development is the same for each district. The only notable difference between the districts is the required side yard setbacks in the form and bulk standards of the land use code. As described above, the site is designated as VLR on the land use map of the comprehensive plan. City mapping shows that the site is also designated as OSO. Thus, RR-2 zoning for the entire site would be consistent with the land use designations. Considering that the surrounding area is zoned RR-2, staff finds the proposed zoning is consistent with the underlying land use designation and the community’s desired future for the area. Updated Staff Findings After August 19, 2026: Initial zoning must be consistent with the BVCP and Section 9-2-18, “Zoning of Annexed Land”, B.R.C. 1981. If a property is annexed, zoning will be established according to the land use designation in the Land Use Map of the BVCP. The proposed zoning RR-2 is defined as: “Primarily detached dwelling units with some duplexes and attached dwelling units at low to very low residential densities.” (Section 9-5-2(c)(1), B.R.C. 1981) The property is designated as “Neighborhood 1” under the newly updated BVCP land use map, which is described as primarily residential and includes opportunities for small scale business and other community uses serving local community members, such as dining services, schools and places of worship.The nearest properties are zoned RR-1 and RR-2. The allowed uses and permitted intensity of development is the same for each district. The only notable difference

between the districts is the required side yard setbacks in the form and bulk standards of the land use code. The applicant has requested RR-2 zoning, which staff finds appropriate given the surrounding area and proposed use, consistent with the Neighborhood 1 definition.

Fiscal Note Review of this project is part of the P&DS team’s standard workplan and its impacts are incorporated into the annual revenue forecasting as part of the Budget office’s annual budget development. Therefore, review of the project will not have a meaningful fiscal impact past what has already been included in the approved budget.

Current Year Estimated Fiscal Impact Fund(s): 2120FD Department(s): Planning & Development Services Program(s): All P&DS programs

Item Beginning Fund Balance Total Forecasted Revenue Total Estimated Expenses Ending Fund Balance(s) After Reserves FTE

FY 2026 Budget

FY 2026 Estimated Impact

FY 2026 Net Change

$18,200,885

$0

$18,200,885

$15,179,491

$0

$15,179,491

$17,735,173

$0

$17,735,173

$12,646,701

$0

$12,646,701

122.65

0

122.65

Three-Year Estimated Fiscal Impact

Item

FY 2026

FY 2027

FY 2028

Total Forecasted Revenue Total Estimated Expenses Net Estimated Impact

$0

$0

$0

$0

$0

$0

$0

$0

$0

Findings 1. Staff finds the proposed annexation to be consistent with State statutes. 2. Staff finds the proposed annexation to be consistent with the city’s annexation and BVCP policies. 3. Staff finds the proposed initial zoning of RR-2 is consistent with the goals and land use designation VLR and Neighborhood 1 and appropriate for the subject property.

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Attachments A:

Annexation Map

B:

Proposed Resolution 1383

C:

Proposed Ordinance 8764

D:

Annexation Petition

E:

Proposed Annexation Agreement

F:

Staff Analysis of State Statutes and BVCP Policies

G:

July 28, 2026, Draft Planning Board Meeting Minutes

H:

Public Comment

I:

Proposed Drainage Easement

J:

Proposed Flood Control Easement

K:

Proposed Public Access Easement (Cherryvale)

L:

Proposed Public Access Easement (McSorley)