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at the meeting indicated the PUD process would result in additional project processing cost and time. The Planning Commission had a robust discussion about this topic, and ultimately by 2- 1 vote, took the same position as the Task Force, that that a PUD not be required for all residential projects in the Downtown Commercial and MU-T districts. Instead, the majority of the Planning Commission recommended to follow the current process: for residential projects to go through a Design Review process (which, for new residential development in downtown, other than a new single family home, typically includes Planning Commission review and approval), with a PUD only required for an application that deviates from established development standards. Staff is requesting that the City Council provide direction on this topic. Outlined below are options, should the City Council wish to consider them. Please note that these options apply only to the Downtown Commercial and MU-T districts. Staff recommends Option 2, which indicates that new ground-floor residential units in these districts should be subject to particularly careful review and regulation. Options: 1. Maintain the current approach where projects that meet the development standards, Design Guidelines, and policies in the General Plan and Downtown Specific Plan are subject to Design Review approval by the Planning Commission, and only those that seek to deviate from established standards are subject to the PUD process. Planning Commission recommendation. 2. Require a PUD for projects that include new ground-floor residential unit(s) (i.e., projects with proposed residential units on upper-floors, or proposing remodel or addition to an existing unit, would go through the standard Design Review process but not require a PUD). Staff recommendation. 3. Require a PUD if residential does not already exist on the site (e.g., if the site already has a unit, adding an additional unit or doing an addition to the unit would not require a PUD). 4. Require a PUD for proposed residential (mixed-use or solely residential) with a redevelopment area of a certain size (e.g., if the subject site(s) is 0.75-acres or more) or include a certain unit increase (e.g., net increase of three new units or more). Examples of project sites over 0.75-acres include: 475/492 and 497 St. John (Barone's), 652 Main St. (True Value), 530 Main St. (Inklings), and 337 Main St. (Bank of America). Note that the proposed Zoning Code text amendments included in Attachment 4 indicate all development projects with a residential component in the Downtown Commercial and MU-T districts be subject to PUD approval. In acknowledgement of the significant number of projects that this approach would potentially impact, staff recommends Option 2 which provides a more focused approach to requiring PUDs for Page 14 of 18