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Council advances first reading of Health Services Overlay zoning change, asks staff to return for adoption
Summary
Council introduced zone change ZC 26-03 to create a Health Services Overlay along Olive Highway to coordinate health-related uses and improve predictability for medical and wellness services; staff and council discussed traffic, transit access, and coordination with BCAG and B-Line planning.
City planning staff presented the first reading of a zone change (ZC 26-03) to establish a Health Services Overlay (HSO) district along the Olive Highway corridor and surrounding hospital service area.
"The health services overlay is a city-initiated zoning action intended to support long-term planning and coordination of health care-related services within Oroville," said Kylie Cope of the Community Development Department. She said the overlay does not replace underlying zoning or permit prohibited uses; rather, it provides clearer pathways and predictability for medical, wellness and support services clustered near the hospital.
Staff described outreach (newspaper notice, mailed notices to affected property owners, signs in the overlay area and online materials) and a planning commission revision to the boundary after concerns about compatibility north of Olive Highway. Cope said future development in the overlay would remain subject to standard permitting and CEQA review.
Council members expressed interest in ensuring adequate pedestrian, transit and roadway access as health services cluster along Olive Highway. Planning staff and public works noted coordination with the Butte County Association of Governments (BCAG) and BCAG’s B-Line transit study to evaluate improved bus service and accessibility to the health corridor.
Council directed staff to return with the formal ordinance for adoption at the next regular meeting; no vote to adopt was taken at the first reading.
