City of Bellingham Planning Commission

**Iron Gate Rezone and Behavioral Care Center (REZ 2026-0003)** The Iron Gate rezone was the only action item at this hearing that required substantive deliberation against both comprehensive plan amendment and rezone criteria. Whatcom County submitted its docketing application in July 2026 to rezone two parcels at 2000 Division Street — currently zoned Industrial, Light/Planned — to Public with the government services use qualifier. The properties have been in county ownership for approximately eight to nine years, purchased with the intent of eventually building out a behavioral health campus adjacent to the Anne Deacon Center for Hope, which operates as the county's existing crisis center on the same block. The proposed Behavioral Care Center, as described in the county's application materials, is designed to provide an alternative destination for individuals experiencing behavioral health or substance use crises when jail or an emergency department is not the clinically appropriate setting. It is part of Whatcom County's Justice Project Implementation Plan, a broader regional initiative that also contemplates a future regional justice center on Hanigan Road in the same Iron Gate neighborhood. While evaluating the county's request, city staff simultaneously proposed expanding the public zone eastward to include two additional areas: a city-owned parcel at 2140 Division Street (the former vactor waste drying site, no longer in active use) and the easterly 140 feet of a county-owned parcel at 2028 Division Street that contains a stormwater pond serving the upper campus. Staff explained that these additions were logical because they consolidated all public ownership in the area under consistent zoning, and that the stormwater pond was functionally "zoning agnostic" — it serves the site regardless of the zoning designation. All parcels in the proposed rezone are currently vacant other than the stormwater facility. A commissioner asked what would be "lost" by changing the designation from industrial to public. Staff confirmed the parcels are vacant, with the exception of the stormwater pond, and that no active industrial use would be displaced. Staff also clarified that the stormwater infrastructure would remain and continue to serve the upper campus regardless of the zoning change. Policy support for the proposal in the Bellingham Plan includes Policy LU-39 (public designation for government-owned parcels), Policy FS-1 (support for adequate capital facilities serving regional needs), Policy CW-2 (reducing barriers to healthcare through permissive land use), Policy CW-3 (supporting the Whatcom County Justice Project Implementation Plan), and Policy CW-4 (collaboration with Whatcom County on health services). All SEPA review resulted in Determinations of Non-Significance, with no comment received during the 14-day comment period. The commission found no concerns with the proposal and approved it without debate. **School District Capital Facilities Plan and Elimination of School Impact Fees (REZ 2026-0009, in part)** The Bellingham School District adopted a new capital facilities plan at its September 24, 2026 board meeting — one week before this hearing. The most consequential change embedded in the plan is the elimination of school impact fees. Jessica Sinki, the district's chief operating officer, explained that three conditions must be met for a school district to collect impact fees: increasing enrollment, a need for additional …

**Jessica Sinki, Chief Operating Officer, Bellingham Public Schools** — Appeared during public comment in a supportive and informational capacity. Confirmed that the school board adopted its new capital facilities plan on September 24, 2026. Explained the three statutory conditions for collecting school impact fees and confirmed the district meets none of them. Expressed the district's commitment to monitoring enrollment and returning with amendments if enrollment patterns change. Thanked Chris Behee for extensive staff support in preparing the plan. **Rob Nye, Facilities Director, Whatcom County** — Appeared during public comment in a supportive and informational capacity. Stated that the county purchased the Division Street property eight to nine years ago with a long-term vision of building out a behavioral health…

**Chris Behee, on the facilities intended for the Iron Gate site:** "The facilities [are] intended to reduce unnecessary incarceration, decrease pressure on the jail and first responders, and improve long-term health outcomes." *(Reading from Whatcom County's application materials)* **Chris Behee, on the water system plan deferral:** "We don't anticipate that that is going to be done now before the end of the year. So when that works its way through final state approval and council approval, …

**Before this meeting:** - The Iron Gate Area 2 public zone did not include parcels at 2000 Division Street (county-owned, industrial designation), 2140 Division Street (city-owned, industrial designation), or the eastern portion of 2028 Division Street (county-owned, partially in public zone) - The Bellingham Plan's future land use map referenced the 2020 PROS Plan and contained mapping errors in the Samish Way Urban Village and missing arterials - Policy FS-17 did not include language requiring a distinct siting process for essential public facilities - The Capital Facilities Plan referenced the 2021–2026 Bellingham School District plan, which included school impact fees - Library level of service standards maintained a tiered structure distinguishing the central branch from the three neighborhood branches - Seven items remained on the 2026 docket for Planning Commission action **After this meeting:** - The Planning Commission has forwarded a unanimous recommendation to City Council to approve all six active 2026 do…

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