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Planning Commission delay pushes Council action on Palm District until July

Wednesday, April 26, 2023 by Chad Swiatecki

After a series of delays stretching back to November, the Planning Commission is now expected to consider and possibly approve the Palm District Plan at a special called meeting May 30.

As a result of the new meeting time, City Council is not expected to hold a public hearing on the plan until its July 20 meeting, according to a memo published last week.

The plan, which was commissioned by Council in 2019, spells out the possible scenarios for future residential, commercial and public spaces for the downtown district that begins at the southern edge of Rainey Street and extends north to the blocks just east of the state Capitol.

The various site-specific scenarios have been grouped together into Live, Work and Play categories, according to the vision statement document that accompanies the larger plan. The preferred scenario calls for music, entertainment and recreation throughout, improved transportation and connectivity, a mix of commercial businesses and offices that support creative uses in new developments, as well as enhancement of the culture and history of the area with the historic Palm School as something of an epicenter.

The vision plan also spells out more than 50 action steps that are either already underway or must be completed over the course of the next 10 years. Major components at play within the district include the growth of the Innovation District around the Dell Medical School, the reconstruction of the Austin Convention Center, the eventual fate of the Palm School property that is owned by Travis County, and the variety of initiatives under consideration to preserve and enhance music venues in the Red River Cultural District.

The draft plan was completed last year and initially brought before the Planning Commission for consideration in November. At the time, commissioners voted to postpone the item until January to allow for further discussion, with the recent memo noting that it was delayed twice more in January in February and was set for today’s Planning Commission meeting but then was delayed once more until late May.

Because the plan would become an amendment to the Imagine Austin Comprehensive Plan, it must receive a recommendation from the Planning Commission before City Council can take action to adopt it.

Potential outcomes from the plan include the creation of a governing body for the district that would oversee the plan’s implementation, an update to the Land Development Code to adjust building setbacks along the Waterloo Greenway, and an amendment to the Downtown Austin Plan to codify the Palm District’s boundaries.

In January, the Travis County Commissioners Court again discussed the future uses for the Palm School property, which has been considered as the site for an art gallery, event space or other cultural uses.

The property has also been the centerpiece of ongoing negotiations between the county and the city, with the city offering $10 million for it in early 2020. In its offer letter, the city noted: “The Palm School property represents an inspirational and essential piece of our shared community, and the public’s desire to find a future use of the property that both maintains public ownership and preserves its historic significance and cultural values has been made clear. Continued public ownership through the City of Austin is responsive to community comments collected by the Travis County Palm School Advisory Board.”

County commissioners waited more than a year to quietly reject the offer for the site. The property carries an estimated commercial value of up to $50 million, though the county has said it doesn’t plan to open a private redevelopment process regarding it.

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