Livingston board approves Sheep Mountain PUD to add 48 deed‑restricted rental units

The Livingston consolidated land use board on June 11 approved a rezoning to create the Sheep Mountain Planned Unit Development, allowing 48 residential dwelling units on a 1.02‑acre parcel in the Brookstone neighborhood.

City planning staff recommended approval with nine conditions designed to protect infrastructure, ditch rights and long‑term affordability. Jennifer, the staff presenter, told the board that “they're proposing a total of 48 residential dwelling units,” and confirmed staff’s calculation that 39 units would be allowed under the existing R3 zoning and the PUD adds nine more units through the planned‑unit development incentives.

The project team said the development would be 100% deed‑restricted rental housing for 50 years and targeted at households at or below 60% of Park County area median income (AMI). Catherine Daly of HRDC explained the financing approach: the team is pursuing Low Income Housing Tax Credits administered by the Montana Board of Housing and is planning units that serve households at 50% and 60% AMI. Scott Grama of Aspect Architecture said the team is not requesting additional height or special incentives beyond the density: “We're not asking for any additional height. We're really not asking for any additional incentive.”

Why it matters: The project responds to a locally identified shortage of smaller, rental units. HRDC’s presentation cited the county’s housing study and local rental market data showing median rents above what many households can afford, and the board and developers framed the PUD as a tool to add compact, income‑restricted housing close to existing services and a planned community wellness center.

Key approvals and conditions - The board approved the Sheep Mountain PUD with the staff recommendation and conditions. The approval was taken by roll call and the recorded votes on the motion were in favor from Forrest (yes), Becky (yes), John (yes), Caitlin (yes) and Bailey (yes); the motion passed. - Conditions listed in the staff recommendation that must be met prior to building permit or as ongoing requirements include: (1) demonstration that public works referral comments dated June 4, 2025 have been addressed; (2) a letter of agreement with the Brookstone Ditch Company confirming conveyance of ditch water rights and protection of downstream users before issuance of a building permit; (3) compliance with the fire chief’s referral including any hydrant or sprinkler requirements; (4) parking area design revisions to ensure emergency access and conformance with the City of Livingston code (staff noted 48 on‑site vehicular spaces and two ADA spaces are shown); (5) compliance with parking area landscaping and screening sections of city code (cited as 30‑51 and 30‑59 E/E1 in the staff report); (6) work with the city and local transit provider to establish a fixed‑route stop and install a bus shelter at or adjacent to the PUD site (location to be coordinated with Windrider Transit and public works); (7) fencing that is wildlife‑friendly to permit wildlife passage; (8) annual certification to the city that rental rates remain at or below 60% AMI (the AMI in effect at the time of the certification will be used); and (9) that the applicant is bound to commitments of record in the PUD application as approved.

Project and design details - Site and density: The parcel totals 1.02 acres; the PUD will rezone a portion of property currently zoned R3 (high‑density residential) to a PUD district. Staff corrected earlier math in the packet: the R3 base zoning allows 39 units by right on the combined parcels; the PUD adds nine units for a total of 48. - Unit mix and affordability: The design shows 48 units composed primarily of one‑bedroom units (32 one‑bedrooms, 12 two‑bedrooms and 4 three‑bedrooms in the current layout discussed by the architect). The development team stated the intent that all 48 units will be deed‑restricted rental housing: the tax‑credit financing approach anticipates 17 homes at 50% AMI and 31 homes at 60% AMI (as presented by HRDC), with the Montana Board of Housing requiring a 50‑year affordability term for awarded LIHTC projects. - Parking and access: The plan shows 48 on‑site vehicle parking spaces (one per unit) plus public on‑street spaces adjacent to the site; staff and the applicant noted 10 on‑street stalls on Brookstone are available but are public right‑of‑way and not exclusively reserved for the development. Two ADA parking spaces are shown (one required to be van‑accessible). Staff required adjustments to curb/compact stall geometry to preserve emergency vehicle access and a 24‑foot two‑way circulation at entrances. - Site constraints and infrastructure: The applicant’s civil engineer described a shallow historic irrigation/ditch and a southern easement; the team has been coordinating with Joel Patingale, the Brookstone Ditch Company representative. The board was told the project plans to infiltrate runoff on the western portion of the site, use subsurface stormwater treatment and pipe residual flow east toward Miles Lane consistent with the historical drainage path. Public works raised additional grading, drainage and maintenance items that must be addressed before building permit issuance. - Accessibility and on‑site amenities: The team said at least 12 units will be ADA‑adaptable and at least two fully accessible; the ground‑floor amenity space in each building will include laundry (the applicant confirmed on record that laundry facilities will be provided), bike/gear storage and a small community room. The buildings will be sprinkled and have separate domestic and fire services; the architect indicated energy‑efficient appliances and rooftop solar are planned.

Public comment and board discussion Residents who live adjacent to the site raised concerns about parking demand on Miles Lane, stormwater and ditch management, safety for pedestrians on Miles Lane and impacts to sightlines with the railroad. Nancy Atkins, a nearby resident, said she was “not opposed to low income housing” but asked for more parking and play areas for children and cited existing drainage and access problems near her home.

Board members pressed for clarity on parking layout, space geometry, the ditch agreement requirement, drainage testing and the transit stop condition. Staff emphasized that several detailed infrastructure items will be resolved in permit review and that the ditch company’s signatory authority must be demonstrated for the required agreement.

Next steps The PUD approval allows the applicant to proceed toward building permits subject to the listed conditions. The developer team said they are pursuing a Low Income Housing Tax Credit award from the Montana Board of Housing; final awards are anticipated in October, and the applicant said the project would reapply in subsequent rounds if not funded this year.

Ending The board’s approval authorizes the PUD zoning and lays out conditions to protect water rights, emergency access and the long‑term affordability commitment. The project team and staff will return with permit‑level plans that must demonstrate compliance with the conditions before construction begins.