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SR-400-005-13 (5) PCD:SF:JT:AS:PF\f:\plan\share\council\strpt\drintordextend.doc Council Mtg: January 9, 2001 Santa Monica, California TO: Mayor and City Council FROM: City Staff SUBJECT: Recommendation to Adopt an Emergency Interim Ordinance Extending An Existing Interim Ordinance Which Modifies Development Review Thresholds in the following districts: RVC Residential Visitor Commercial District; BCD Broadway Commercial District; C2 Neighborhood Commercial District; C4 Highway Commercial District; C5 Special Office Commercial District; C6 Boulevard Commercial District; CM Main Street Commercial District; CP Commercial Professional District; M1 Industrial Conservation District; and, LMSD Light Manufacturing and Studio District. . INTRODUCTION This report recommends that the City Council adopt an emergency interim ordinance to extend for three years an interim ordinance modifying development review thresholds. On November 28, 2000 the City Council adopted a 45-day interim ordinance that modified the development review thresholds in the following districts: RVC Residential Visitor Commercial District; BCD Broadway Commercial District; C2 Neighborhood Commercial District; C4 Highway Commercial District; C5 Special Office Commercial District; C6 Boulevard Commercial District; CM Main Street Commercial District; CP Commercial Professional District; M1 Industrial Conservation District; and, LMSD Light Manufacturing and Studio District. This ordinance will expire on January 12, 2001 unless the proposed interim ordinance (Attachment A) is adopted. BACKGROUND The 45-day interim ordinance reduced the discretionary review threshold to require Planning Commission review for developments that exceed 7,500 square feet of floor area in the RVC Residential Visitor Commercial District, the commercial districts that abut residential districts and the industrial zoning districts. The interim ordinance did not affect projects in the BSC Bayside Commercial District, C3 Downtown Commercial District or the C3C Downtown Overlay District. In addition, the interim ordinance exempted two types of projects from the reduced development review thresholds: 1) Mixed-use projects that contain a minimum of 80% of floor area devoted to market rate multi-family residential uses; and 2) Projects that contain 100% affordable housing units deed restricted to households with incomes 80% of median income or less. These types of projects are subject to the development review thresholds of the individual zoning districts that were in place prior to the interim ordinance. The exemption applies to mixed use projects, rather than market rate projects that are 100% residential, in order to encourage mixed use development in commercial districts. In particular, staff has found that residential projects located in commercial districts that include ground floor retail/commercial uses enhance pedestrian orientation and provide an opportunity to include commercial uses that serve building tenants. The exemption also applies to 100% affordable residential projects in order to encourage affordable housing development in the City. The 45-day interim ordinance affects any project whose application had not been deemed complete for filing by October 25, 2000. As a result, four projects with incomplete applications as of that date whose proposed floor area exceeds 7,500 square feet must now file for a Development Review permit. Council also directed staff to meet with representatives of the Bayside District Corporation to initiate discussions regarding possible modifications to development review thresholds in the downtown area that would provide incentives for the development of multi-family housing. Staff expects that these discussions will begin within the next 90 days. DISCUSSION Staff recommends adoption of the proposed emergency interim ordinance to extend for three years the interim ordinance adopted by the City Council on November 28, 2000 to allow for a comprehensive planning process to revise the development review thresholds on a permanent basis. This process may include modifications to development review thresholds in the downtown area following discussions with the Bayside District Corporation representatives. Staff recommends a three year period for the proposed emergency interim ordinance as the Council has recently adopted two other emergency interim ordinances for two year periods which will also require an extensive public process to develop permanent standards. On June 13, 2000 the Council adopted Ordinance 1977 to modify the development standards and building height projection standards for the R2, R3 and R4 multi-family zoning districts, and modify the demolition permit standards for structures which are forty years of age or older. On June 27, 2000 the Council adopted Ordinance 1978 to modify the allowable uses and development standards for the C2 Neighborhood Commercial district located along Montana Avenue. Adopting a three year term for the proposed emergency ordinance will provide staff with sufficient time to complete other pending projects prior to commencing the study of permanent development review thresholds. CEQA STATUS The proposed emergency interim ordinance is exempt from CEQA pursuant to CEQA Guidelines Sections 15061(b)(3). Section 15061(b)(3) provides that CEQA only applies to those projects that have the potential for causing a significant effect on the environment. The proposed reduction in development review thresholds does not have this potential. Instead, the proposed emergency interim ordinance is environmentally beneficial as it will ensure that a larger number of new developments in the City, particularly those which have the potential to be incompatible with existing neighborhoods, will be reviewed and approved within a public process and will be subject to the provisions of CEQA. CONCLUSION The proposed emergency interim ordinance is necessary to allow for a comprehensive planning process that will address development review thresholds in those commercial and industrial areas of the City where larger projects have the most potential for impact on nearby residences. By lowering discretionary review thresholds, the emergency interim ordinance will require that larger commercial and industrial projects are reviewed and approved within a public process. This process will help ensure compatibility between new and existing development including a sensitive transition between the commercial and industrial districts and the neighboring residential areas. BUDGET/FINANCIAL IMPACT The recommendation presented in this report could have incremental budget impacts in that it could require additional staff and related resources in the long term. While it is not possible to predict the exact impacts at this time, staff will evaluate the issue in the context of FY 01-02 budget discussions. RECOMMENDATION It is respectfully recommended that the City Council adopt the emergency interim ordinance included in Attachment A. Prepared by: Suzanne Frick, Director Jay M. Trevino, AICP, Planning Manager Amanda Schachter, Principal Planner Bobby Ray, AICP, Senior Planner Paul Foley, Associate Planner Planning and Community Development Department Attachment: A: Proposed Emergency Interim Ordinance B: Notice of Public Hearing f:\atty\muni\laws\barry\drintordextend-1.wpd City Council Meeting 01-09-01 Santa Monica, California ORDINANCE NUMBER ____ (CCS) (City Council Series) AN INTERIM ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SANTA MONICA EXTENDING THE MODIFICATIONS TO THE DEVELOPMENT REVIEW THRESHOLDS IN THE RVC RESIDENTIAL VISITOR, BCD, C2, C4, C5, C6, CM, CP, M1, and LMSD DISTRICTS TO 7,500 SQUARE FEET; DECLARING THE PRESENCE OF AN EMERGENCY THE CITY COUNCIL OF THE CITY OF SANTA MONICA DOES ORDAIN AS FOLLOWS: SECTION 1. Findings and Purpose. The City Council finds and declares: (a) A development review permit is intended to allow the construction of certain projects for which the design and siting could result in an adverse impact on the surrounding area such as development that is proposed to be built to a greater intensity and building height than generally permitted in the area. (b) A development review permit allows for the review of the location, size, massing and placement of a proposed structure on the site, particularly as the project relates to the existing context of the area in which it is located. The development review process is designed to ensure that the development is compatible with and relates harmoniously with the surrounding neighborhood. (c) The City’s Zoning Ordinance establishes by zoning district square footage threshold criteria for development review permits based upon the floor area of a project. (d) A project that requires a development review permit is subject to public review by the Planning Commission, with appeal to the City Council, whereas a project below the development permit review threshold can be administratively approved. (e) Presently, the City’s development review thresholds vary from 5,000 square feet in the C2 district along Montana Avenue to 30,000 square feet in the downtown zoning districts, the industrial zoning districts, the C5 Special Office District, portions of the RVC Residential Visitor Commercial District and the C6 district along Wilshire Boulevard. (f) The City itself is extremely dense with a land area of just eight square miles and a population of approximately 90,000 people. Due to this density, almost all of the City’s commercial/industrial districts adjoin residential districts. Consequently, large development in these commercial/industrial districts directly impacts residential neighborhoods. (g) The current development review thresholds in the commercial corridors of the City are too high since these thresholds have resulted in the administrative approval of projects adjacent to residential areas that are significantly out of scale with the adjoining neighborhood and that create significant adverse impacts on these neighborhoods. Yet, given the ministerial nature of the approval process, the City was not able to mitigate or address these impacts. (h) More specifically, these larger scale developments have created adverse noise, traffic, parking, aesthetic, privacy, light and air, shade and shadow impacts on these residential areas and are incompatible with the existing scale and character of these neighborhoods. (i) During the period of January 1996 through June 2000, sixty-nine (69) administrative approvals were issued both for new buildings and additions throughout the City. (j) The average mean new building project size equaled 16,782 square feet with the median project size equaling 11,348 square feet. (k) Recently completed administratively approved projects located adjacent to residential areas include a 21,341 square foot addition to a production studio on Exposition Avenue and a 20,232 square foot school addition on Euclid. Other large projects recently administratively approved include two mixed-use commercial/residential projects on Montana Avenue that will each be just less th than 11,000 square feet and an 11,352 square foot industrial/office building on 16 Street. (l) Reducing the development review threshold to 7,500 square feet would allow close review of the impacts of large projects and enable the public to participate in this review. Reducing the development review threshold would also ensure that administrative approval is only available to smaller scale developments which do not produce adverse impacts on nearby residential neighborhoods. (m) The typical lot size in the commercial zone is 7,500 square feet. Consequently, the proposed threshold would allow up to 1.0 FAR or a one story building occupying the entire lot or a two story building occupying a portion of the lot. Such development would be generally compatible in scale with nearby multi-family developments since residential developments in the City are typically five to seven unit projects ranging from 5,400 square feet to 8,200 square feet. This level of development is also consistent with the scale of existing older developments. (n) Reducing the development review threshold will not materially alter the City’s incentives for residential development or mixed use development in the City’s commercial zones. More specifically, in the City’s commercial districts, the City will continue to either provide FAR bonuses for the residential components of development projects or discount the residential floor area for the purpose of calculating FAR. (o) Additionally, in determining whether a development review permit is required for new development, floor area devoted to residential uses will continue to discounted by fifty percent (50%). Thus, even with the proposed changes, residential development of up to 15,000 square feet could be approved administratively. This would continue to permit administrative approval of residential development that is two to three times the City average. (p) Given the circumstances described above, the Zoning Ordinance requires review and revision as it pertains to the development review permit threshold in the RVC, BCD, C2, C4, C5, C6, CM, CP, M1, and LMSD districts. (q) In light of these concerns, the City Council adopted Ordinance Number 1991 (CCS) on November 28, 2000 which modified the development review thresholds in the RVC, BCD, C2, C4, C5, C6, CM, CP, M1, and LMSD districts. However, that ordinance will expire on January 12, 2001. (r) Pending the study and possible amendment of the Zoning Ordinance, it is necessary, on an interim basis, to extend the modifications to the existing project design and development standards in these districts establishing a 7,500 square foot threshold for requiring a development review permit. (s) As described above, there exists a current and immediate threat to the public health, safety, or welfare should the interim ordinance not be adopted and should development inconsistent with the contemplated revisions to the developments standards be allowed to occur. Approval of additional development inconsistent with the proposed interim standards would result in a threat to the public health, safety, or welfare. Therefore, the City Council finds that the public health, safety and general welfare require the extension of Ordinance Number 1991 (CCS) to establish on an interim basis the following standards for the RVC, BCD, C2, C4, C5, C6, CM, CP, M1, and LMSD districts. SECTION 2. Interim Zoning. (A) Except for Montana Avenue between Sixth Court and Seventeenth Street which is subject to Ordinance No. 1978 (CCS), no development or permit shall be approved pursuant to Chapter 1 of Article IX of the Santa Monica Municipal Code for land in the C2 District, unless the following findings are made: The project complies with existing C2 District property development standards except, a development review permit is required for any development of more than seven thousand five hundred square feet of floor area. Square footage devoted to residential use shall be reduced by fifty percent when calculating whether a development review permit is required. (B) No development or permit shall be approved pursuant to Chapter 1 of Article IX of the Santa Monica Municipal Code for land in the C4 District unless the following findings are made: The project complies with existing C4 District property development standards except, a development review permit is required for any development of more than seven thousand five hundred square feet of floor area. Square footage devoted to residential use shall be reduced by fifty percent when calculating whether a development review permit is required. (C) No development or permit shall be approved pursuant to Chapter 1 of Article IX of the Santa Monica Municipal Code for land in the C5 District unless the following findings are made: The project complies with existing C5 District property development standards except, a development review permit is required for any development of more than seven thousand five hundred square feet of floor area. Square footage devoted to residential use shall be reduced by fifty percent when calculating whether a development review permit is required. (D) No development or permit shall be approved pursuant to Chapter 1 of Article IX of the Santa Monica Municipal Code for land in the C6 District unless the following findings are made: The project complies with existing C6 District property development standards except, a development review permit is required for any development of more than seven thousand five hundred square feet of floor area. Square footage devoted to residential use shall be reduced by fifty percent when calculating whether a development review permit is required. (E) No development or permit shall be approved pursuant to Chapter 1 of Article IX of the Santa Monica Municipal Code for land in the CM District unless the following findings are made: The project complies with existing CM District property development standards except, a development review permit is required for any development of more than seven thousand five hundred square feet of floor area. Square footage devoted to residential use shall be reduced by fifty percent when calculating whether a development review permit is required. (F) No development or permit shall be approved pursuant to Chapter 1 of Article IX of the Santa Monica Municipal Code for land in the CP District unless the following findings are made: The project complies with existing CP District property development standards except, a development review permit is required for any development of more than seven thousand five hundred square feet of floor area. Square footage devoted to residential use shall be reduced by fifty percent when calculating whether a development review permit is required. (G) No development or permit shall be approved pursuant to Chapter 1 of Article IX of the Santa Monica Municipal Code for land in the BCD District unless the following findings are made: The project complies with existing BCD District property development standards except, a development review permit is required for any development of more than seven thousand five hundred square feet of floor area. Square footage devoted to residential use shall be reduced by fifty percent when calculating whether a development review permit is required. (H) No development or permit shall be approved pursuant to Chapter 1 of Article IX of the Santa Monica Municipal Code for land in the M1 District unless the following findings are made: The project complies with existing M1 District property development standards except, a development review permit is required for any development of more than seven thousand five hundred square feet of floor area. Square footage devoted to residential use shall be reduced by fifty percent when calculating whether a development review permit is required. (I) No development or permit shall be approved pursuant to Chapter 1 of Article IX of the Santa Monica Municipal Code for land in the LMSD District unless the following findings are made: The project complies with existing LMSD District property development standards except, a development review permit is required for any development of more than seven thousand five hundred square feet of floor area. Square footage devoted to residential use shall be reduced by fifty percent when calculating whether a development review permit is required. (J) No development or permit shall be approved pursuant to Chapter 1 of Article IX of the Santa Monica Municipal Code for land in the RVC District unless the following findings are made: The project complies with existing RVC District property development standards except, a development review permit is required for any development of more than seven thousand five hundred square feet of floor area. Square footage devoted to residential use shall be reduced by fifty percent when calculating whether a development review permit is required. SECTION 3. The following projects shall be exempt from this ordinance: (A) Mixed-use projects that contain a minimum of eighty percent (80%) of floor area devoted to multi-family residential use. (B) Affordable housing projects in which one hundred percent (100%) of the units are deed- restricted for households with incomes of eighty percent (80%) of median income or less. SECTION 4. This ordinance shall be of no further force and effect three years from the date of its adoption, or January 6, 2004, unless prior to that date, after a public hearing, noticed pursuant to Santa Monica Municipal Code Section 9.04.20.22.050, or any successor ordinance thereto, the City Council, by majority vote, extends this interim ordinance. SECTION 5. This ordinance is declared to be an urgency measure adopted pursuant to the provisions of Section 9.04.20.16.060 of the Santa Monica Municipal Code and Section 615 of the Santa Monica City Charter. As set forth in the findings above, this ordinance is necessary for preserving the public health, safety, and welfare and the current interim ordinance would otherwise expire prior to the effective date of this extension ordinance. SECTION 6. Any provision of the Santa Monica Municipal Code or appendices thereto inconsistent with the provisions of this Ordinance, to the extent of such inconsistencies and no further, is hereby repealed or modified to that extent necessary to effect the provisions of this Ordinance. SECTION 7. If any section, subsection, sentence, clause, or phrase of this Ordinance is for any reason held to be invalid or unconstitutional by a decision of any court of competent jurisdiction, such decision shall not affect the validity of the remaining portions of this Ordinance. The City Council hereby declares that it would have passed this Ordinance and each and every section, subsection, sentence, clause, or phrase not declared invalid or unconstitutional without regard to whether any portion of the ordinance would be subsequently declared invalid or unconstitutional. SECTION 8. This Ordinance shall be applicable to applications for development projects deemed complete on or after October 24, 2000. SECTION 9. The Mayor shall sign and the City Clerk shall attest to the passage of this Ordinance. The City Clerk shall cause the same to be published once in the official newspaper within 15 days after its adoption. This Ordinance shall become effective upon its adoption. APPROVED AS TO FORM: _________________________ MARSHA JONES MOUTRIE City Attorney NOTICE OF A PUBLIC HEARING BEFORE THE SANTA MONICA CITY COUNCIL SUBJECT: PROPOSED EMERGENCY INTERIM ORDINANCE TO MODIFY ARTICLE IX OF THE SANTA MONICA MUNICIPAL CODE RELATED TO DEVELOPMENT REVIEW THRESHOLDS IN THE FOLLOWING DISTRICTS: RVC RESIDENTIAL VISITOR COMMERCIAL DISTRICT; BCD BROADWAY COMMERCIAL DISTRICT; C2 NEIGHBORHOOD COMMERCIAL DISTRICT; C4 HIGHWAY COMMERCIAL DISTRICT; C5 SPECIAL OFFICE COMMERCIAL DISTRICT; C6 BOULEVARD COMMERCIAL DISTRICT; CM MAIN STREET COMMERCIAL DISTRICT; CP COMMERCIAL PROFESSIONAL DISTRICT; M1 INDUSTRIAL CONSERVATION DISTRICT; AND, LMSD LIGHT MANUFACTURING AND STUDIO DISTRICT. WHEN: Tuesday, January 9, 2001 at 7:00 p.m. WHERE: City Hall Council Chambers 1685 Main Street Santa Monica, California PROJECT DESCRIPTION The City Council will conduct a public hearing to consider adoption of an emergency interim ordinance extending, for a three-year period, an interim ordinance adopted on November 28, 2000. The proposed emergency interim ordinance will reduce the development review thresholds to include projects that exceed 7,500 square feet of floor area in the following districts: RVC Residential Visitor Commercial District; BCD Broadway Commercial District; C2 Neighborhood Commercial District; C4 Highway Commercial District; C5 Special Office Commercial District; C6 Boulevard Commercial District; CM Main Street Commercial District; CP Commercial Professional District; M1 Industrial Conservation District; and, LMSD Light Manufacturing and Studio District. Mixed-use projects with a minimum of 80% of floor area devoted to residential uses and projects that contain 100% affordable housing units, deed restricted to households with incomes 80% of median income or less, are exempt from the provisions of this interim ordinance. Staff recommends extending the interim ordinance for a three period to allow for a comprehensive study regarding permanent development review thresholds in these districts. HOW TO COMMENT You may comment at the City Council public hearing, or by writing a letter. Written information received before 3:00 p.m. on the Wednesday before the hearing will be given to the City Council in their packet. Information received after that time will be given to the City Council prior to the meeting. Address your letters to: City Clerk 1685 Main Street, Room 102 Santa Monica, CA 90401 MORE INFORMATION For more information about this project, please contact Paul Foley, Associate Planner at (310) 458-8341 or via e-mail at paul-foley@santa-monica.org. Information is also available on the Citys web site at www.santa-monica.org. The meeting facility is handicapped = accessible. If you have any disability-related request, please contact 310/458-8701 or TTY 310/ 458-8696 at least three days prior to the event. Santa Monica Bus Lines 1, 2, 3 and 7 serve City Hall. Pursuant to California Government Code Section 65009(b), if this matter is subsequently challenged in Court, the challenge may be limited to only those issues raised at the Public Hearing described in this notice, or in written correspondence delivered to the City of Santa Monica at, or prior to, the Public Hearing. ESPAÑOL El Concilio Municipal de la ciudad de Santa Monica tendra una audencia publica para revisar applicaciones proponiendo desarrollo en Santa Monica. Para mas informacion, llame a Carmen Gutierrez al numero (310) 458-8341. APPROVED AS TO FORM _____________________ JAY M. TREVINO, AICP Planning Manager F:\PLAN\SHARE\COUNCIL\NOTICES\drthresholdintordextend.doc