Dealerships rejected from CMU zone

Fife City Council voted against allowing auto dealerships within the city’s Community Mixed-Use (CMU) zone. The city’s CMU is located on land along the south side of Interstate 5 to 20th Street East.

“The intent of these CMU zones was to create a space for business to support the residents,” Mayor Barry Johnson said. “At some point we have to draw the line and plan for the community. That’s what the CMU is here for.”

Some council members felt that allowing auto dealerships in the CMU zone could positively impact the city.

“I think allowing auto dealerships in this area would be okay if they were designed right,” Councilmember Rob Cerqui said. “They would have to meet the certain criteria of the CMU zone.”

At a Jan. 26 public hearing on the issue, many residents felt frustrated by the prospect of new car dealerships in the city.

“People like it here because it’s a farm town,” said Fife resident Doug Mueller. “We don’t need another car dealership.”

In 2007, Fife officials began changing the city’s zoning to include more CMU areas in an effort to promote more pedestrian access, residences and small businesses.

The proposed changes in the CMU area of 54th Avenue East to 70th Avenue East would have allowed new dealerships and expansion of existing ones.

The two dealerships currently along that section of the city, McCann Motors and Hinshaw’s Honda, were grandfathered into the space before the changes in zoning were finalized in 2007. Other dealerships throughout the city are located in zones that already permit vehicle sales.

Andrew Primis, a representative for Hinshaw’s Honda owner Hooman Bodaghi, told Fife council members at the public hearing that Bodaghi supports the change in zoning. Bodaghi also owns land west of his Hinshaw’s Honda site and is interested in using it for a car dealership, Primis added.

Fife’s planning commission voted 4-2 against the proposed zoning change last November.

The planning commission’s majority report stated, “…auto dealerships do not foster pedestrian activity similar to drive thru businesses.” The report further highlighted the council’s goals for 2010, which include diversifying the city’s economy by strengthening business with family and community-orientated services. The majority report further concluded that auto dealerships “do not accomplish this goal, as they do not sell community oriented services.”

Car dealerships make up a substantial part of revenue for Fife. The city pulls in 0.85 percent in sales tax for each car sold within the city. For example, a $30,000 car generates about $225 for the city. In 2009, the vehicle sales tax generated about one quarter, or roughly $14 million, general fund revenue for Fife.

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