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SR-031108-7F~~~ ~;tYOf City Council Report Santa Monica City Council Meeting: March 11, 2008 Agenda Item: To: Mayor and City Council From: Marsha Jones Moutrie, City Attorney Subject: Extension of Interim Ordinance No. 2250 (CCS) Which Clarifies the Scope of the Prohibition of New Construction Within a Five Hundred Foot Radius of Another Construction Project Recommended Action Legal staff recommends that Council introduce for first reading an interim ordinance to extend until June 30, 2008 an existing interim ordinance clarifying that only one new multi-family construction project is allowed within a five hundred foot radius in the City's multi-family. residential districts. Staff also recommends that Council clarify whether exempt construction projects are considered in applying the prohibition on new construction. Executive Summary On February 26, 2008, Council adopted an emergency interim construction rate ordinance applicable to multi-family neighborhoods, Interim Ordinance No. 2250 (CCS). That ordinance clarified that only one new multi-family construction project is allowed within a five hundred foot radius. However, Interim Ordinance No. 2250 (CCS) will expire on April 26, 2008 unless extended by the Council. The proposed interim ordinance would extend the initial interim ordinance until June 30, 2008 which would give the new Building Officer the opportunity to assess the rating program and make recommendations. A copy of the proposed interim ordinance extension is contained in Attachment A. Background In response to the construction boom that the City has experienced in recent years, the City Council has acted repeatedly to preserve neighborhood tranquility, protect circulation, and also afford adequate opportunities for housing production. Among the Council's actions was adoption of a construction rate program for residential neighborhoods. The construction rate program was initially adopted by interim ordinance in 2000 and was later adopted as part of the City's Zoning Ordinance. As detailed in the February 25; 2008 staff report, contained in Attachment B, there is an 1 ambiguity in this provision of the Zoning Ordinance whether only one or two projects may be constructed within a 500 foot radius. A recent assessment of the construction rate program precipitated by questions about whether two particular projects conformed to the program triggered a review of this ambiguity. On February 25, 2008, the Council adopted Interim Ordinance 2250 (CCS) clarifying that only one new multi-family construction project is allowed within a five hundred foot radius in the City's multi-family residential districts. Discussion Interim Ordinance No. 2250 (CCS) was adopted on February 25, 2008 and is effective until April 26, 2008, sixty days from the date of its adoption. This interim ordinance clarifies existing law that only one multi-family construction project (2 or more dwelling units) is allowed within a five hundred foot radius. It also clarifies that a building permit. should not issue until the requirements of the interim ordinance are met. It thus eliminates confusion caused by the ambiguity in the Zoning Ordinance, serves to prevent additional construction projects from proceeding inconsistent with the interim ordinance and thereby protects the public health, safety, and welfare while allowing development consistent with these standards to occur. The proposed interim ordinance would extend Interim Ordinance No. 2250 (CCS) up to and including June 30, 2008. At the February 25, 2008 hearing, staff also briefly addressed other possible clarifications that the Council might want to consider at a future proceeding. Except for one matter discussed immediately below, staff believes that this discussion should wait until the new Building Officer has commenced his employment with the City, has had an opportunity to assess the current ordinance, and can participate in developing any staff recommendations for proposed modifications. The City's Building & Safety Division is responsible for administering this program. Staff anticipates returning to the Council in May 2008. Z The current law exempts .certain projects from the construction rate. program. These include specified affordable housing projects, projects to be developed on vacant sites, and projects that involve the retention of a historic landmark. Thus, projects that fall within these exemptions can begin construction even if they are within a 500 foot radius of another construction project. It is not clear, however, whether another project would be prohibited from commencing construction for a fifteen month period after the issuance of the building permit for an exempt project or whether it is only a project which is subject to the construction rate. program which can act to prevent another project subject to the program from commencing construction. The former interpretation would further limit the amount of construction that could occur within a 500 foot radius, but could cause an exempt project to further delay the construction of a nonexempt project even when the nonexempt project received all plan-check approvals first in time. It could certainly extend the construction delay beyond the fifteen month period established in the interim ordinance. Staff is prepared to resolve this issue at the March 11th hearing based on Council direction. Environmental Analysis The proposed interim ordinance extension is exempt from CEQA pursuant to CEQA Guidelines Section 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. This proposed ordinance, which clarifies the existing rating program, is environmentally beneficial as it will ensure neighborhoods are protected from construction related impacts by limiting the number of projects in close proximity to each other through regulating the timing and distribution of construction projects through the building permit process. 3 Financial Impacts & Budget Actions Approval of the attached ordinance will not have financial impacts. Prepared by: Marsha Jones Moutrie, City Attorney Attachment: A. Proposed Ordinance B. February 26, 2008 staff report .Approved: Forwarded o Council: M rsha Jon Moutrie P. mont well Ci Attorne Ci Manager 4 ATTACHMENT A f:\atty\muni\laws\barry\construction rate program clarification 3-11-08 City Council Meeting 3-11-08 Santa Monica, California ORDINANCE NUMBER (CCS) (City Council Series) AN INTERIM ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SANTA MONICA EXTENDING AN INTITIAL INTERIM ORDINANCE CLARIFYING THAT ONLY ONE NEW MULTI-FAMILY CONSTRUCTION PROJECT IS ALLOWED WITHIN A FIVE HUNDRED FOOT RADIUS IN THE CITY'S MULTI-FAMILY RESIDENTIAL DISTRICTS 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) Santa Monica is a small, extremely dense, older coastal city consisting of just 8 square miles of land bordered on one side by the Pacific Ocean and on three sides by the megalopolis of Los Angeles. (b) Approximately, 90,000 people live in the City, on weekdays there are about 300,000 present in the City, and on weekends and holidays, the number of persons in the City soars to between 500,000 and 1 million. (c) Santa Monica has been fully built out for over 50 years, much of its development having occurred during, and immediately after World War II. (d) In recent years, ever-escalating land values, economic prosperity, and changes in state law have fueled a massive increase in development which has significantly altered the physical and social landscape of the City. 1 (e) Throughout this period of rapid development, the City Council has adopted a series of laws relating to land use and housing which were intended to strike and restrike the balance between potentially conflicting municipal values and policies in order to best protect the health, safety and welfare of Santa Monica residents, with one of these measures being the construction rate program, detailed below. (f) The City's 1998-2003 Housing Element Update Program 7.f required that the City monitor the rate of development activity in multi-family residential districts so as to ensure that rapid development did not jeopardize the character of the neighborhoods and negatively impact the quality of life. (g) This program further provided that if the rate or pattern of development appeared to negatively affect the quality of life or character of neighborhoods, the City Council should consider enacting a construction rate program. (h) City staff monitored the rate of development activity in accordance with this program and determined that the City Council should consider a construction rate program. (i) On March 7, 2000, the City Council adopted Ordinance Number 1966 (CCS) which established a construction rate program to avert the negative impacts of .construction such as traffic circulation, noise, neighborhood aesthetics and pedestrian enjoyment of City streets and to minimize the disruptive effects of the construction process on the neighborhood by limiting the number of projects in close proximity to each otherwhich can be constructed at any one time through regulating both the timing and distribution of construction projects through the building permit approval process. 2 (j) The constriction rate program imposed strong protections by allowing only one construction project per block and providing that this construction project must not be within a five hundred foot radius of another construction project. (k) On April 11, 2000, the City Council adopted Ordinance Number 1969 (CCS) extending Ordinance Number 1966 (CCS) for eighteen months. (I) On or about May 17, 2000, a lawsuit was filed against the City challenging the construction rate program. Petitioners raised both constitutional and CEQA challenges. (m) The City Council assessed the suit and decided to resolve the claims through a settlement contingent upon adoption of a less restrictive ordinance which would, in part, eliminate the requirement that one only construction project be allowed per block, but would continue the radius restriction to only allow one single construction project within. a five hundred foot radius. (n) The City Council adopted this ordinance, Ordinance Number 1984 (CCS), which eliminated the block limitation and amended the radius restriction to provide only one construction project shall be allowed within a five hundred foot radius of another construction project. (o) On October 9, 2001, the City Council adopted Ordinance Number 2022 (CCS) extending Ordinance Number 1966 (CCS) until November 11, 2002. (p) On October 8, 2002, the City Council .adopted a permanent ordinance, Ordinance Number 2053 (CCS) which mirrored the interim ordinance. (q) The basic prohibition of the construction rate program allows one project, but only one, within a 500 foot radius of an existing permitted project. Other subsections state a permit may not be issued for a project within 500 feet of an existing project and 3 require that the project be placed on a waiting list if another building permit has been issued. Consequently, notwithstanding Council's consistent intent from the inception of the construction rate program to only allow one single construction project within a five hundred foot radius, there is an ambiguity in the Zoning Ordinance whether only one or two projects (but not three) may exist within a 500 foot radius. (r) In recent weeks, staff has received questions about whether two particular projects conformed to the construction rate program. These complaints triggered a review of the ordinance's ambiguity addressed herein. (s) For these reasons, the City's zoning and planning regulations should be revised to clarify how they pertain to the rate of construction to ensure that development is consistent with the public health, safety, and welfare. (t) Pending completion of these permanent revisions, in order to provide clarification and otherwise protect the public health, safety, and welfare, it is necessary on an interim basis to clarify the current development standards as they relate to the rate of construction in the City's multi-family districts. (u) In response to this ambiguity, on February 26, 2008, the Council adopted emergency Interim Ordinance No. 2250 (CCS) to reaffirm that only one new multi-family construction project is allowed within any five hundred foot radius. However, this initial interim ordinance will expire on April 26, 2008 unless extended. (v) The extension of the interim standards set forth in Interim Ordinance No. 2250 (CCS) will eliminate confusion and will serve to prevent any further disruption caused by increasing developmeht in these districts while allowing development consistent with these standards to occur. 4 (w) As described above, there exists a current and immediate threat to the public safety, health, and welfare should the initial interim ordinance not be extended and should development inconsistent with the contemplated clarification to the development standards be allowed to occur. Allowing additional construction projects to proceed inconsistent with the following proposed interim standards would result in a threat to public health, safety, or welfare. .Therefore, it is necessary to. adopt this interim ordinance which extends the initial interim ordinance to establish on an interim basis the following development standards. SECTION 2. Construction Rate Proqram. (a) For projects involving the new construction or substantial remodel of two or more dwelling units in all multi-family residential districts in the City for which a development application was deemed complete on or after March 7, 2000, only one such construction project shall be allowed within a five hundred foot radius. Except as provided in subsection (c) of this Section, this restriction shall apply for fifteen months after issuance of a building permit, after which time another project may begin construction in the defined area. The multi-family residential districts in the City are: R2R, R2, R3, R4, RVC, RMH, OP-Duplex, OP2, OP3, OP4, NW-Overlay, BR Boulevard Residential R3 Overlay, R2B, and R3R. (b) Building permits shall be provided on a first-come first- served basis in accordance with the terms of this Section. No building permit shall be issued by the Building and Safety Division unless the 5 requirements of subsections (c) and (d) of this Section have been satisfied. (c) During the plan-check process, the Building and Safety Division shall determine the status of other building permits for projects in the area. A building permit shall not be issued when the Building Officer determines that a building permit has been issued in the previous fifteen months for any other project within a five hundred foot radius of the subject property unless the owner of the previously permitted project has formally relinquished the building permit for that project or obtained a certificate of occupancy for the project. (d) If the Building Officer determines that another building permit has been issued less than fifteen months prior to the date on which the building permit has received all plan-check approvals and the exceptions specified in subsections (c) and (e) do not apply, the Building Officer shall place the project on a waiting list in order of the date and time of day that the permit application received all plan-check approvals. The life of other City approvals or permits necessary to commence the project shall be automatically extended by the amount of time that a project remains on the waiting list. The Building Officer shall approve the project in accordance with the Uniform Technical Code in effect at the time of the plan-check. (e) The following projects shall be exempt from this Section: 6 (1) Affordable housing projects in which one hundred percent of the units will be deed-restricted for very low, low, middle, and/or moderate income housing. (2) Structures identified by the Building and Safety Division as unreinforced masonry construction and subjecfto City-mandated seismic upgrading. (3) Projects to be developed on a site that is vacant. (4) Projects to be developed on a site in which either: (i) the structures on the site are uninhabitable, not as a result of the owner's failure to maintain the structure, or the property of which the structure is a part, in good repair, and the structures cannot be rendered habitable in an economically feasible manner or (ii) the current use of. the property is not otherwise economically viable. The City shall prepare an exemption application form which delineates all submission requirements. An owner shall not be required to file a project application with the exemption application: City staff shall make a final determination whether a project meets the requirements of this subdivision within ninety days after the owner's exemption application for the project is deemed complete. (5) Projects that include the retention and preservation of a designated landmark building or contributing structure to an adopted Historic District. 7 (6) Projects that have received final building permits prior to the effective date of Interim Ordinance No. 2250 (CCS). (f) The Planning and Community Development Department may develop administrative guidelines implementing this Section. SECTION 3. This Ordinance shall be of no further force or effect after June 30, 2008 unless prior to that date, after a public hearing, noticed pursuant to Santa Monica Municipal Code Section 9.04.20.22.050, the City Council, by majority vote, extends this interim ordinance. SECTION 4. 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 5. 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 6. 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 8 in the official newspaper within 15 days after its adoption. This Ordinance shall become effective thirty days after its adoption. APPROVED AS TO FORM: ATTACHMENT B ~® City. Council Report atr of Santa Monica City Council Meeting: February 26, 2008 Agenda Item: ~ - To: Mayor and City Council From: Marsha Jones Moutrie, City Attorney Subject: Clarification of the Construction Rate Program Recommended Action Legal staff recommends that the Council adopt an~e ~~~~~~~~a clarifying the construction rate program so that it clearly either prohibits any new construction project within a five hundred foot radius of another construction project or allows only one such project within that radius of another project.. Executive Summary On March 7, 2000, the Council adopted an interim construction rate ordinance applicable to multi-family neighborhoods. That ordinance allowed only one construction project at a time for each block and also.prohibited any new construction project within a 500 foot radius of an ongoing project, with certain specified exemptions. On May 17, 2000, a lawsuit was filed challenging that ordinance. The case settled contingent upon the adoption of a less restrictive ordinance. The Council amended the. ordinance.. As amended, Municipal Code Section 9.04.10.02.450(a) allows one project within a 500 foot radius of another. However, subsections (c) and (d) of the same section indicate that no new project maybe authorized. within 500 feet of another. This ambiguity has existed since the lawsuit settlement Staff has received complaints in the last month from members of the public regarding the application of this ordinance. Legal staff recommends that Council act to eliminate the ambiguity and clarify whether one project or no project is allowed within a 500 foot radius of another. Background The City of Santa Monica is geographically small, very dense, and has been fully built out for over 50 years. Each year, it is a destination for hundreds of thousands of workers and even more visitors. And, in recent years, the City has experienced a construction boom. In response to these realities, the City Council has acted repeatedly to preserve neighborhood tranquility, protect circulation, and also afford adequate opportunities for housing production. Among the Council's actions was adoption of a construction rate program for residential neighborhoods. 1 C. C. #470 The rate program adopted in 2000 by interim ordinance imposed strong neighborhood protections. It allowed only one construction. project per block and provided that this construction project must not be within a five hundred foot radius of another construction project. The restriction lasted for 18 months after issuance of the "first project's" building permit unless the owner of the previously permitted project formally relinquished the building permit for that project. Certain projects. were exempted from the program. The Santa Monica Housing Council filed suit. Its comp.Iaint asserted both constitutional and CEQA challenges based upon the duality and duration of the prohibitions. In additioh, the Housing Council claimed that the rate ordinance violated state housing element law. Council assessed the suit and opted to resolve the claims by way.of a settlement contingent upon adoption of a less restriction ordinance which would, in part, eliminate the requirement that only one construction project be allowed per block, but continue the radius restriction. Council adopted a less restrictive interim ordinance which eliminated the block limitation and amended the radius restriction to provide that only one const~uc#ion project shall be allowed within a five hundred foot radius of another construction project . -Other provisions were modified consistent with the settlement agreement including reducing the eighteen month restriction on issuance of new building permits to fifteen months. Ultimately, a permanent ordinance was adopted mirroring this modifed interim ordinance. Discussion .The basic prohibition of the rate ordinance allows one project, but only one, within a 500 foot radius of an existing permitted project. See SMMC section 9.04.10.02.450(a). This restriction is mirrored in the staff report accompanying the permanent ordinance. It states, "the current construction rate program allows only one construction project, or 2 c. c. #a7t substantial remodel project, within afive-hundred foot radius of another project subject to this program." However, other subsections state that a permit may not be issued for a project within 500 feet of an existing project and require that the project be placed on awaiting list if another building permit has been issued: Thus, there is an ambiguity as to whether only one or two projects (but not three) may exist within a 500 foot radius. In recent weeks, staff has received questions about whether two particular projects conformed to the construction rate program. Staff investigated. to one case, the project which drew the complaint lacked the requisite permits and was halted. In the other case, the project was exempt from- the rate program. Thus, the complaints were resolved. Fortunately, they triggered a review of the ordinance's ambiguity addressed in this report. Council can resolve the ambiguity byadopting-an ordinance which makes clear either that only a single project is allowed within a 500 foot radius or that only one project is allowed within a 500 foot radius of another permitted project. The attached ordinance would effectuate the latter alternative, consistent with current subsection (a). However, the proposed ordinance could readily be modified at the Council meeting to effectuate the first alternative. In either circumstance, staff recommends that subsection (b) of the current law should be modified to clarify that a building permit shall not be issued until the requirements. of subsections (c) and (d) have been satisfied. This change would reflect current practice. Environmental Analysis The proposed ordinance is exempt from CEQA pursuant to CEQA Guidelines Section 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. This proposed ordinance; which clarifies the existing rating .program, is environmentally beneficial as it will ensure neighborhoods are protected from construction related impacts by limiting the number ofprojects in close proximity to each other through 3 C. C. #472 regulating the timing and distribution of construction projects through the building. permit process. Financial Impacts & Budget Actions Approval of either the attached ordinance or the alternative would not have financial impacts. Prepared by: Marsha Jones Moutrie, City Attorney 4 C. C. #473 Approved: Forwarded to Council: f:latty\munillaws\barrylconstruction rate program clarification City Council Meeting 2-26-08 Santa Monica, California ORDINANCE NUMBER (CCS) (City Council Series) AN INTERIM ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SANTA MONICA CLARIFYING THE SCOPE OF THE PROHIBITION OF NEW CONSTRUCTION WITHIN A FIVE HUNDRED FOOT RADIUS OF ANOTHER CONSTRUCTION PROJECT AND 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) Santa Monica is a small, extremely dense, older coastal city consisting of just 8 square miles of land bordered on one side by the Pacific Ocean and on three sides by the megalopolis of Los Angeles. (b) Approximately; 90,000 people live in the City, on weekdays there are about 300,000 present in the City, and on weekends and holidays, the number of persons in the City soars to between 500,000 and 1 million. (c) Santa Monica has been fully built out for over 50 years, much of its development having occurred during, and immediately after World War II. (d) In recent years, ever-escalating land values, economic prosperity, and changes in state law have fueled a massive increase in developmenfi which has significantly altered the physical and social landscape of the City. 1 G. C. #475 (e) Throughout this period of rapid development, the City Council has adopted a series of laws relating to land use and housing which -were intended to strike-and restrike the balance between potentially conflicting municipal values and policies in order to best protect the health, safety and welfare of Santa Monica residents, with one of these measures being the construction rate program, detailed below. (f) .The City's 1998-2003 Housing Element Update Program 7.f required that the City monitor the rate of development activity in multi-family residential districts so as to - ensure that rapid development did not jeopardize the character of the neighborhoods and negatively impact the quality of life. (g) This program further provided that if the rate or pattern of development appeared to negatively affect the quality of life or character of neighborhoods; the City Council should consider enacting a construction rate program. (h) City staff monitored the rate of development activity in accordance with this program and determined that the City Council should consider a cohstruction rate program. (i) On March 7, 2000, the City Council adopted Ordinance Number 1966 (CCS) which established a construction rate program to avert the negative impacts of construction such as traffic circulation, noise, neighborhood aesthetics and pedestrian enjoyment of City streets and to minimize the disruptive effects of the construction process on the neighborhood by limiting the number of projects in close proximity to each other which can be constructed at any one time through regulating both the timing and distribution of construction projects through the building permit approval process. 2 C. C. #476 Q) The constriction rate program imposed strong protections by allowing only one construction project per block and providing that this construction ,project must not be within a five hundred foot radius of another construction project. (k} On April 11, 2000, the City Council adopted Ordinance Number 1969 (CCS) extending Ordinance Number 1966 (CCS) for eighteen months. (I) On or about May 17, 2000, a lawsuit was filed against the City challenging the construction rate program. Petitioners raised both constitutional and CEQA challenges. (m) The City Council assessed the suit and decided to resolve the claims through a settlement contingent upon adoption of a less restrictive ordinance which would, in part, eliminate the requirement that one only construction project be allowed per block, but would continue the radius restriction. (n) The City Council adopted this ordinance, Ordinance Number 1984 (CCS), which eliminated the block limitation and amended the radius restriction to provide only one construction project shall be allowed within a five. hundred foot radius of another construction. project. (o) On October 9, 2001,. the City Council adopted Ordinance Number 2022 (CCS) extending Ordinance Number 1966 (CCS) until November 11, 2002. (p) On October 8, 2002, the City Council adopted a permanent ordinance, Ordinahce Number 2053 (CCS) which mirrored the interim ordinance. (q) The basic prohibition of the construction rate program allows one project, but only one, within a 500 foot radius of an existing permitted project. Other subsections state a permit may not be issued for a project within 500 feet of an existing project and require that the project be placed on a waiting list if another building permit has been 3 C. C. #477 issued. Consequently, there is an ambiguity as to whether only one or two projects (but not three) may exist within a 500 foot radius. (r) In recent weeks, staff has received questions about. whether two particular projects conformed to the construction rate program. These complaints triggered a review of the ordinance's ambiguity addressed herein. (s) For these reasons, the City's zoning and planning regulations should be revised to clarify how they pertain to the rate of construction to ensure that development is consistent with the public health, safety, and welfare. (t) Pending completion of these permanen# revisions, in order to provide clarification and otherwise protect the public health, safety, and welfare, it is necessary on an interim basis to clarify the current development standards as they relate to the rate of construction iri the City's multi-family districts. (u) These interim standards will eliminate confusion and will serve to prevent any further disruption caused by increasing development in these districts while allowing development consistent with these standards to occur. (v) As described above, there exists. a current and immediate threat to the public safety, health, and welfare should the interim ordinance not be adopted and should development inconsistent with the contemplated clarification to the development standards be allowed to occur. Allowing additional construction projects to proceed inconsistent with the following proposed interim standards would result in a threat to public health, safety, or welfare. Therefore, it is necessary to establish on an interim basis the following development standards. 4 C. C. #478 SECTION 2. Construction Rate Program. (a) For projects involving the new constnaction or substantial remodel of two or more dwelling units in all multi-family residential districts in the City for which a development application was deemed complete on or after March 7, 2000, only orie such construction project shall be allowed within a five hundred foot radius of another construction project subject to this Section. Except as provided in subsection (c) of this Section, this restriction shall apply for fifteen months after issuance of a building permit, after which. time another project may begin construction ih the defined area. The,multi-family residential districts in the City are: R2R, R2, R3, R4, RVC, RMH, OP-Duplex, OP2, OP3, OP4, NW-Overlay, BR Boulevard Residential R3 Overlay, R2B, and R3R. (b) Building permits shall be provided on a first-come first- served basis in accordance with the terms of this Section. No app4isaEiea #er-a building permit shall be ^^^°^'°~' f^~ {~'~^^ ^ ^'~°^•~~°° ^~^^°°°°~' issued by the Building and Safety Division unless the reauirements of subsections (c) and (dl of this Section have been satisfied. applisar~t 5 G. C. #479 (c) During the plan-check process for a proiect subiect to this Section, the Building and Safety Division shall determine the status of other building permits for projects '^ *~-area within a five hundred foot radius of the subiect property. A building permit shall not be issued when the Building Officer determines that a-building permits #~as have already been issued in the previous fifteen months for aay- ether two projects subiect to this Section within thisa five hundred foot radius o{ *~ "~a~eet ~reperEy unless the owner of the either previously permitted project. has formally relinquished the building permit for that project or obtained a certificate of occupancy for the project. (d) If the Building Officer determines that two aaetherbuilding permits ktas have been issued for proiects subiect to this Sectiorrwithin a five hundred square foot radius of the subiect property less than fifteen months prior to the date on which the ir~g-per~tit subiect proiect has received all plan-check approvals, and the exceptions specified in subsections (c) and (e) do not apply, the Building Officer shall place the subiect project on a waiting list in order of the date and time of day that the subiect property perre+t appliea#+er~ received all plan-check approvals_The life of other City approvals or permits necessary to commence the project shall be automatically extended by the amount of time that a project remains on the waiting list. The Building Officer shall approve the project in accordance with the Uniform Technicai Code in effect at the time of the plan-check. 6 C. C. #480 (e) The following projects shall be exempt from this Section: (1) Affordable housing projects in which one hundred percent of the units will be-deed-restricted for very low, low, middle, and/or moderate income housing. (2) Structures identified by the Building and Safety Division as unreinforced masonry construction and subject to City-mandated seismic upgrading.. (3) Projects to be developed on a site that is vacant. (4) Projects to be developed on a site in which either: (i) the structures on the site are uninhabitable, not as a result of the owner's failure to maintain the structure, or the property of which the structure is a part, in good repair, and the structures cannot be rendered habitable in an economically feasible manner or (ii).the current use of the properly is not othervvise economically viable. The City shall prepare an exemption application form which delineates all submission requirements. An owner shall not be required to file a project application with the exemption application. City staff shall make a final determination whether a project meets the requirements of this subdivision within ninety days after the owner's exemption application for the project is deemed complete. 7 G. C. #489 (5) Projects that include the retention and preservation of a designated landmark buildirig or contributing structure to an adopted Historic District. (f) The Planning and Community Development Department may develop administrative guidelines implementing this Section. SECTION 3. -This Ordinance is declared to be an urgency measure. adopted pursuant to the provisions of Section 615 of the Santa Monica City Charter. As set forth in the findings above, this Ordinance is necessary for preserving the public peace,. health, safety, and welfare. As an urgency measure, this Ordinance is effective immediately upon adoption. SECTION 4. This Ordinance shall be of no further force or effect sixty days after its effective date unless prior to that date, after a public hearing, noticed pursuant to Santa Monica Municipal Code Section 9.04.20.22.050, the City Council, by majority vote, extends this interim ordinance. :SECTION 5. 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 ar modified to that extent necessary to effect the provisions of this Ordinance. SECTION 6. If any section, subsection, sentence, clause, or phrase of this Ordinance is for any reasori held to be invalid or unconstitutional by a decision of any court of competent jurisdiction, such decision shall not affect the validity of the 8 C. C. #482 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 7. 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 Ordihance shall become effective upon its adoption. APPROVED AS TO FORM~~: u tfYNt~f.-~ M HA::1 NES MO RIE Ci tto 9 G. C. #483 f:\atty\muni\laws\barry\construction rate program clarification2 City Council Meeting 2-26-08 ORDINANCE NUMBER (City Council Series) Santa Monica, California (CCS) AN INTERIM ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SANTA MONICA CLARIFYING THE SCOPE OF THE PROHIBITION OF NEW CONSTRUCTION WITHIN A FIVE HUNDRED FOOT RADIUS OF ANOTHER CONSTRUCTION PROJECT AND 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) Santa Monica is a small, extremely dense, older coastal city consisting of just 8 square miles of land bordered on one side by the Pacific Ocean and on three sides by the megalopolis of Los Angeles. (b) Approximately, 90,000 people live in the City, on weekdays there are about 300,000 present in the City, and on weekends and holidays, the number of .persons in the City soars to between 500,000 and 1 million. (c) Santa Monica has been fully built out for over 50 years, much of its development having occurred during, and immediately after World War II. (d) In recent years, ever-escalating land values, economic prosperity, and changes in -state law have fueled a massive increase in development which has significantly altered the physical and social landscape of the City. 1 (e) Throughout this period of rapid development, the City Council has adopted a series of laws relating to land use and housing which were intended to strike and restrike the balance between potentially conflicting municipal values and policies in order to best protect the health, safety and welfare of Santa Monica residents, with one of these measures being the construction rate program, detailed below. (f) The City's 1998-2003 Housing Element Update Program 7.f required thafthe City monitor the rate of development activity in multi-family residential districts so as to ensure that rapid development did not jeopardize the character of the neighborhoods and negatively impact the quality of life. (g) This program further provided that if the rate or pattern of development appeared to negatively affect the quality of life or character of neighborhoods, the City Council should consider enacting a construction rate program. (h) City staff monitored the rate of development activity in accordance with this program and determined that the City Council should consider a construction rate program. (i) On March 7, 2000, the City Council adopted Ordinance Number 1966 (CCS) which established a construction rate program to avert the negative impacts of construction such as traffic circulation, noise, neighborhood aesthetics and pedestrian enjoyment of City streets and to minimize the disruptive effects of the construction process on the neighborhood by limiting the number of projects in close proximity to each other which can be constructed at any one time through regulating both the timing and distribution of construction projects through the building permit approval process. 2 Q) The constriction rate program imposed strong protections by allowing only one construction project per block and providing that this construction project must not be within a five hundred foot radius of another construction project. (k) On April 11, 2000, the City Council adopted Ordinance Number 1969 (CCS) extending Ordinance Number 1966 (CCS) for eighteen months. (I) On or about May 17, 2000, a lawsuit was filed against the City challenging the construction rate program. Petitioners raised both constitutional and CEQA challenges. (m) The City Council assessed the suit and decided to resolve the claims through a settlement contingent upon adoption of a less restrictive ordinance which would, in part, eliminate the requiremenf that one only construction project be allowed per block, but would continue the radius restriction. (n) The City Council adopted this ordinance, Ordinance Number 1984 (CCS), which eliminated the block limitation and amended the radius restriction to provide only one construction project shall be allowed within a five hundred foot radius of another construction project. (o) On October 9, 2001, the City Council adopted Ordinance Number 2022 (CCS) extending Ordinance Number 1966 (CCS) until November 11, 2002. (p) On October 8; 2002, the City Council adopted a permanent ordinance, Ordinance Number 2053 (CCS) which mirrored the interim ordinance. (q) The basic prohibition of the construction rate program allows one project, but only one, within a 500 foot radius of an existing permitted project, Other subsections state a permit may not be issued for a project within 500 feet of an existing project and require that the project be placed on a waiting list if another building permit has been 3 issued. Consequently, there is an ambiguity as to whether only one or two projects (but not three) may exist within a 500 foot radius. (r) In recent weeks, staff has received questions about whether two particular projects conformed to the construction rate program. These complaints triggered a review of the ordinance's ambiguity addressed herein. (s) For these reasons, the City's zoning and planning regulations should be revised to clarify how they pertain to the rate of construction to ensure that development is consistent with the public health, safety, and welfare. (t) Pending completion of these permanent revisions, in order to provide clarification and otherwise protect the public health, safety, and welfare, it is necessary on an interim basis to clarify the current development standards as they relate to the rate of construction in the City's multi-family districts. {u) These interim standards will eliminate confusion and will serve to prevent any further disruption caused by increasing development in these districts while allowing development consistent with these standards to occur. (v) As described above, there exists a current and immediate threat to the public safety, health, and welfare should the interim ordinance not be adopted and should development inconsistent with the contemplated clarification to the development standards be allowed to occur. Allowing additional construction projects to proceed inconsistent with the following proposed interim standards would result in a threat to public health, safety, or welfare. Therefore, it is necessary to establish on an interim basis the following development standards. 4 SECTION 2. Construction Rate Program. (a) For projects involving the new construction or substantial remodel of two or more dwelling units in all multi-family residential districts in the City for which a development application was deemed complete on or after March 7, 2000, only one such construction project shall be allowed within a five hundred foot radius. Except as provided in subsection (c) of this Section, this restriction shall apply for fifteen months after issuance of a building permit, after which time another project may begin construction in the defined area. The multi-family residential districts in the City are: R2R, R2, R3, R4, RVC, RMH, OP-Duplex, OP2, OP3, OP4, NW-Overlay, BR Boulevard Residential R3 Overlay, R2B, and R3R. (b) Building permits shallbe provided on a first-come first- served basis in accordance with the terms of this Section. No building permit shall be issued by the Building ahd Safety Division unless the requirements of subsections (c) and- (d) of this Section have been satisfied. (c) During the plan-check process, the Building and Safety Division shall determine the status of other building permits for projects in the area. A building permit shall not be issued when the Building Officer determines that a building permit has been issued in the previous fifteen months for any other project within a five hundred foot radius of the subject property unless the owner of the previously permitted project has 5 formally relinquished the building permit for that project or obtained a certificate of occupancy for the project. (d) If the Building Officer determines that another building permit has been issued less than fifteen months prior to the date on which the building permit has received all plan-check approvals and the exceptions specified in subsections (c) and (e) do not apply, the Building Officer shall place the project on a waiting list in order of the date and- time of day that the permit application received all plan-check approvals. The life of other City approvals or permits necessary to commence the project shall be automatically extended by the amount of time that a project remains on the waiting list. The Building Officer shall approve the project in accordance with the Uniform Technical Code in effect at the time of the plan-check. (e) The following projects shall be exempt from this Section: (1) Affordable housing projects in which one hundred percent of the units will be deed-restricted for very low,. low, middle, and/or moderate income housing. (2) Structures identified by the Building and Safety Division as unreinforced masonry construction and subject to City-mandated seismic upgrading. (3) Projects to be developed on a site that is vacant. (4) Projects to be developed on a site in which either: (i) the structures on the site are uninhabitable, not as a result of the owner's failure to maintain the structure, or the property of which the structure is a part, in good repair, and the structures cannot be rendered habitable in an economically feasible manner or (ii) the current use of the property is not otherwise, economically viable. The City shall prepare an exemption application form which delineates all submission requirements. An owner shall not be required to file a project application with the exemption application. City staff shall make a final determination whether a project meets the requirements of this subdivision within ninety days after the owner's exemption application for the project is deemed complete. (5) Projects that include the retention and preservation of a designated landmark building or contributing structure to an adopted Historic District. (6) Projects that have received final building permits prior to the effective date of this Ordinance. (f) The Planning and Community Development Department may develop administrative guidelines implementing this Section. SECTION 3. This Ordinance is declared to be an urgency measure adopted pursuant to the provisions of Section 615 of the Santa Monica City Charter. As set forth in the findings above, this Ordinance is necessary for preserving the public peace, 7 health, safety, and welfare. As an urgency measure, this Ordinance is effective immediately upon adoption. SECTION 4. This Ordinance shall be of no further force or effect sixty days after its effective date unless ,prior to thaf date, after a public hearing, noticed pursuant to Santa Monica Municipal Code Section 9.04.20.22.050, the City Council, by majority vote, extends this interim ordinance. SECTION 5. 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 6. 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 7. 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 8 in the official newspaper within 15 days after its adoption. This Ordinance shall become effective upon its adoption. APPROVED AS 70 FORM: MARSHA JONES MOUTRIE City Attorney 9