The Goldwater Institute sent a warning letter to Mayor David Ortega earlier this year warning that the City of Scottsdale could face litigation if it carries through with zoning regulation changes that would impose greater development restrictions in the Old Town area.
City Council started to work on a General Plan amendment to the Old Town Scottsdale Area Plan and a text amendment to the zoning ordinance for downtown in August 2021. The changes would reduce maximum building heights and floor area ratios, increase setback requirements, create a new requirement for so-called “sensitive edge buffers” and establish a requirement for “publicly accessible open space.”
Goldwater claims these changes, or “downzoning,” would violate Proposition 207, a 2006 voter-approved initiative that requires government entities to reimburse property owners when policies and regulations reduce the value of a property.
Goldwater Institute representatives have stated the Institute would be willing and available to represent property owners affected by the policy changes.
Mayor Ortega has said City Council will reexamine portions of the planned changes before the scheduled session break begins July 12. In the meantime, Council continues to consider zoning and rezoning requests on a case-by-case basis.
In 2021, Scottsdale backed off from another proposed land use policy change that would have restricted development to large single-family residential lots for some of the city’s more rural areas. The City yielded in the face of opposition and Prop 207 claims from the Arizona State Land Department and industry and public policy groups. (Source)