SR-111108-7CCity Council Meeting: November 11, 2008
Agenda Item:
To: Mayor and City Council
From: Eileen Fogerty, Planning and Community Development Director
Subject: Construction Rate Program Interim Ordinance
Recommended Action
Staff recommends that Council introduce for first reading an interim ordinance extending
and modifying the existing interim ordinances that restrict one new multi-family
construction project within a five hundred foot radius in the City's multi-family residential
districts for a fifteen month duration.
Executive Summary
On March 11, 2008, the Council adopted an emergency interim ordinance to clarify that
only one new multi family construction project be allowed within a five hundred foot
radius in the City's multi-family residential district, and establish that exempt projects
should also be considered in applying the prohibition on new construction. At that time,
the emergency interim ordinance was extended until December 31, 2008 to allow time
for the new Building Officer to assess the rating program and return to Council with
recommended changes, if any. The proposed ordinance continues to limit only one new
multi-family construction project within a five hundred foot radius, and also addresses
projects affected by multiple overlapping radii by establishing a maximum single project
delay of 21 months. A copy of the proposed ordinance is contained in Attachment A.
The proposed ordinance has no financial or budgeting impact.
Background
In response to the increase in multi-family construction activity, Council has acted
repeatedly to preserve. neighborhood tranquility, protect circulation, and also afford
adequate opportunities for housing production. Among Council's actions was adoption
of a construction rate program formulti-family residential districts. The construction rate
program was initially adopted by ah interim ordinance in 2000 and was later modified in
1
March 2008 to clarify ambiguity in this provision of the Zoning Ordinance whether only
one or two projects may be constructed within a 500 foot radius.
Discussion
The Building Officer has evaluated the interim construction rate ordinance. He has
determined that .the "five hundred foot radius from construction" provision has been
effective. The proposed ordinance would continue existing law that authorizes only one
multi-family construction project (2 or more dwelling units) is allowed within a five
hundred foot radius. in the City's multi-family residential districts for a fifteen month
duration. Although rare, it is possible that a construction project subject to the
Construction Rate Program could fall within multiple 500 foot radii of projects already
under construction, thereby delaying this construction project well beyond the maximum
fifteen month delay that can result from any individual. construction project.
Consequently, it is recommended that this project shall not be delayed for more than
twenty one months.
The ordinance also identifies projects that are exempt 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. Projects
that fall within these exemptions can begin construction even if they are within a 500
foot radius of another construction project. However, such projects could delay the
commencement of projects subject to the law.
The Building Officer surveyed several cities to determine their methods in reducing
construction impacts. It was determined that no other city has a similar program.
This interim ordinance would extend existing interim ordinances related to the
Construction Rate Program until December 31, 2010.
2
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 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.
Financial Impacts & Budget Actions
Approval of the attached ordinance will not have financial impacts.
Prepared by:
Jack Leonard, Building Officer
Approved: Forwarded to Council:
~`
~ o~ P ~~
e oga it or ~.^. P. Lamont Ewell
anning aCo muni velopment City Manager
Attachment A: Proposed Interim Ordinance
3
f:\atty\muni\laws\barry\construction rate program extension 11-11--OS
City Council Meeting 11-11-08
ORDINANCE NUMBER
(City Council Series)
Santa Monica, California
(CCS)
AN INTERIM ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SANTA
MONICA EXTENDING INTERIM ORDINANCE NUMBER 2250 (CCS) AND INTERIM
ORDINANCE NUMBER 2256 (CCS) WHICH CLARIFIED THAT ONLY ONE NEW
MULTI-FAMILY CONSTRUCTION PROJECT IS ALLOWED WITHIN A FIVE
HUNDRED FOOT RADIUS IN THE CITY'S MULTI-FAMILY RESIDENTIAL DISTRICTS
AND MODIFYING THESE INTERIM ORDINANCES TO ESTABLISH THE MAXIMUM
LENGTH OF TIME THAT PROJECTS SUBJECT TO THE CONSTRUCTION RATE
PROGRAM CAN BE DELAYED
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 ll.
1
(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.
(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 Couhcil 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
2
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.
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 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.
3
(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
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) Earlier this year, staff 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) Although rare, it is possible that a construction project subject to the
Construction Rate Program could fall within multiple radii of projects already under
construction, thereby delaying this construction project well beyond the maximum fifteen
month delay that can result from any individual construction project. Accordingly, the
interim ordinances should be modified to provide that in no case. shall a construction
project subject to the Construction Rate Program be delayed more than twenty-one
months.
(u) ..Pending completion of these permanent revisions, in order to provide
clarification and otherwise protect the public health; safety, and welfare, it is necessary
4
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.
(v) In response to this ambiguity, on February 26, 2008, the Council adopted
emergency Interim Ordinance Number 2250 (CCS) to reaffirm that only one new multi-
family construction project is allowed within any five hundred foot radius. The. City
Council extended Interim Ordinance Number 2250 (CCS) through the adoption of
Interim Ordinance Number 2256 (CCS). However, this initial interim ordinance will
expire on December 31, 2008 unless extended.
(w) The extension of the interim standards set forth in Interim Ordinance Number
2250 (CCS) and Interim Ordinance Number 2256 (CCS) 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.
(x) 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 Interim Ordinance Number 2250 (CCS) and Interim Ordinance
Number 2256 (CCS) until December 31, 2010 to establish on an interim basis the
following development standards:
5
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 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
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
6
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. However, in no case shall a project be placed on a waiting list
for a period that exceeds twenty-one months.
(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 tow, iow; middle, and/or
moderate income housing.
(2) Structures identified by the Building and Safety Division as
unreinforced masonry construction and subject #o City-mandated seismic
upgrading.
7
(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 Interim Ordinance No. 2250 (GCS).
(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 December
31, 2010 unless prior to that date, after a public hearing, noticed pursuant to Santa
8
Monica Municipal Code Section 9.04.20.22.050, the City Council, by majority vote,
extends this ihterim 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
9
in the official newspaper within 15 days after its adoption. This Ordinance shall
become effective thirty days after its adoption.
APPROVED AS TO FORM:
MA SHA J ES MO TRIE
Cit ttorn
10