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O26731 City Council Meeting: June 8, 2021 Santa Monica, California ORDINANCE NUMBER 2673 (CCS) (City Council Series) AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SANTA MONICA ADOPTING CHAPTER 6.40 TO IMPLEMENT THE SANTA MONICA OUTDOORS PILOT PROGRAM AND CONTINUE THE AUTHORIZATION FOR ELIGIBLE BUSINESSES TEMPORARILY TO USE CERTAIN PUBLIC OUTDOOR SPACE WHEREAS, the novel coronavirus 19 (“COVID-19”) disease is caused by a virus that spreads easily from person to person and may result in serious illness or death, and is classified by the World Health Organization (“WHO”) as a worldwide pandemic; and WHEREAS, COVID-19 has broadly spread throughout California and, in the absence of herd immunity achieved through vaccinations, presents a significant health risk to the community, especially members of our most vulnerable populations; and WHEREAS, on March 13, 2020, the City Manager, in his role as the Director of Emergency Services, proclaimed the existence of a local emergency pursuant to Chapter 2.16 of the Santa Monica Municipal Code to ensure the availability of mutual aid and an effective City response to the COVID-19 pandemic, and this local emergency was restated on March 14, 2020, through a revised declaration of local emergency to ensure compliance with all digital signature requirements (the “Executive Order”); and DocuSign Envelope ID: BF17AE88-EFD7-4B38-B24F-03D41F536761 2 WHEREAS, on March 19, 2020, the Los Angeles County Department of Public Health issued an enhanced Health Officer Order, the Safer at Home Order for Control of COVID-19, amending and superseding its earlier March 16, 2020 Order, closing all nonessential businesses, and limiting gatherings to 9 people or less; and WHEREAS, since March 19, 2020, the Los Angeles County Department of Public Health has on multiple occasions amended and modified its Health Officer Order, and as part of these amendments and modifications, nonessential businesses, including restaurants, lower-risk retail businesses, and gym and fitness establishments were subject to, at various times, prohibitions on operating indoors or restrictions on capacity; and WHEREAS, on May 29, 2020, the Director of Emergency Services issued an Eighteenth Supplement to the Executive Order, which, among other things, authorized temporary outdoor dining extensions to adjacent sidewalk and/or adjacent parking, courtyard, or other private open space owned by the restaurant; and WHEREAS, on June 23, 2020, the Director of Emergency Services issued a Second Revised Eighteenth Supplement to the Executive Order that modified the First Revised Eighteenth Supplement to, among other things: extend the authorization for temporary dining to adjacent private spaces not owned by the restaurant and to sidewalks in front of adjacent buildings with the consent of either the owner or tenant; extend the authorization for temporary dining to areas of the Pier to be specified by the Director of the Community Development Department subject to specified conditions and any additional regulations; extend the authorization for temporary dining to portions of DocuSign Envelope ID: BF17AE88-EFD7-4B38-B24F-03D41F536761 3 the sidewalk or roadway in the Third Street Promenade to be specified by the Director of the Community Development Department subject to specified conditions and any additional regulations; authorize the temporary use by businesses of adjacent sidewalks, adjacent private outdoor space, and areas of the Pier to be specified by the Director of the Community Development Department for business activities other than temporary dining, subject to specified conditions and any additional regulations; and authorize restaurants and other businesses to establish temporary parklets for business activities and outdoor dining in on-street parking and loading spaces adjacent to the restaurant or business, subject to specified conditions, specified design and safety specifications, and any additional regulations; and WHEREAS, on August 22, 2020, the Director of Emergency Services issued a Third Revised Eighteenth Supplement to the Executive Order (“Third Revised Eighteenth Supplement”), which, among other things, superseded and replaced the prior versions of the Eighteenth Supplement, authorized the specified uses of public and private outdoor spaces through the duration of the County’s Health Officer Order, plus an additional 30 days, made other modification governing the conditions for use of public and private spaces, and set fines for violations of the conditions for operating in the public right-of-way and in private outdoor spaces through administrative citations; and WHEREAS, on November 23, 2020, the Director of Emergency Services issued a Twenty-Eighth Supplement to the Executive Order (“Twenty-Eighth Supplement”), which, among other things, authorized the Director of the Community Development Department to issue permits for and regulations regarding the temporary extension by DocuSign Envelope ID: BF17AE88-EFD7-4B38-B24F-03D41F536761 4 certain eligible businesses of their operations into unused portions of the parking lane on Main Street where the City has placed K-rails and authorized such use through the duration of the County’s Health Officer Order, plus an additional 30 days; and WHEREAS, on January 28, 2021, the Director of Emergency Services issued a Thirty-Third Supplement to the Executive Order (“Thirty-Third Supplement”), which, among other things, authorized satellite outdoor dining in portions of the roadway in the Third Street Promenade pursuant to limitations set out in the supplement and regulations to be issued by the Director of the Community Development Department and authorized such use through the duration of the County’s Health Officer Order, plus an additional 30 days; and WHEREAS, on March 19, April 6, April 14, May 12, May 26, June 9, June 23, July 14, July 28, September 8, October 27, and December 15, 2020, as well as on January 26, March 23, and effective May 22, 2021, the City Council ratified the Executive Order, as well as the supplements to the Executive Order in place at the time, including the Third Revised Eighteenth, Twenty-Eighth, and Thirty-Third Supplements; and WHEREAS, there are approximately 150 active permits to use public outdoor space issued pursuant to the Third Revised Eighteenth, the Twenty-Eighth, and Thirty- Third Supplements; and WHEREAS, the eligible businesses and restaurants with permits to use public outdoor space as authorized under the Third Revised Eighteenth, the Twenty-Eighth, and Thirty-Third Supplements have entered into temporary outdoor encroachment DocuSign Envelope ID: BF17AE88-EFD7-4B38-B24F-03D41F536761 5 agreements with the City, the terms of which are coterminous with the County’s Health Officer Order plus an additional 30 days; and WHEREAS, on April 6, 2021, the Governor of the State of California announced the California will fully re-open its economy on June 15, 2021, provided that vaccine supply is sufficient and hospitalization rates are stable and low; and WHEREAS, on April 27, 2021, Council directed staff, as part of economic recovery efforts, to consider the proposals of the Main Street Business Improvement Association (MSBIA) and the Ocean Park Association (OPA) and return to Council with a plan to implement a pilot program for temporary summer weekend closure of all or part of Main Street to automobiles and bus traffic, as well as to assess the pilot’s traffic impacts on surrounding neighborhoods; and WHEREAS, staff has considered the proposal of MSBIA and OPA, and on June 8, 2021, returned to Council with a plan to partially close Main Street on weekends so that businesses that have applied for and obtained a permit may operate outdoor dining or other business activities on the roadway that has been closed to traffic; and WHEREAS, on May 21, 2021, the California Department of Public Health announced that, other than for mega events (those with crowds greater than 5,000 for indoor events and 10,000 for outdoor events), beginning on June 15, 2021, the State will not impose on businesses restrictions on capacity and physical distancing; and WHEREAS, on May 21, 2021, the Los Angeles County Department of Public Health announced that the County will align with the State’s June 15, 2021 reopening plans that ease many capacity limits and distancing requirements for businesses; and DocuSign Envelope ID: BF17AE88-EFD7-4B38-B24F-03D41F536761 6 WHEREAS, as a result of the State and County’s announcements regarding a planned June 15 reopening, it is anticipated that the authorizations to use public space for outdoor business activities as set forth in the City’s Third Revised Eighteenth, Twenty-Eighth, and Thirty-Third Supplements may expire on July 15, 2021; and WHEREAS, the City has an important government interest in maintaining a thriving business community and protecting the health, safety, and economic welfare of its citizens and businesses; and WHEREAS, as a result of the restrictions imposed by the State’s COVID-19- related guidance and the County’s Health Officer Order, businesses, and particularly restaurants, have suffered significant economic hardships; for example, according to Santa Monica’s fourth quarter sales tax report from 2020, restaurants are down 50-66% in sales from the same quarter in 2019 just prior to COVID-19; and WHEREAS, continuing to allow eligible businesses to expand their operations to certain public outdoor spaces through a one-year pilot program will facilitate business recovery, generate increased sales tax revenue for the City, and provide City staff the time necessary to develop and bring to Council a permanent and expanded program for businesses to use public outdoor space for their operations; and WHEREAS, this ordinance is presented for adoption as an emergency ordinance, to be introduced, adopted, and immediately effective upon its passage by at least five affirmative votes, pursuant to City Charter Section 615, because of the impending termination of the authorization to use public space under the Third Revised Eighteenth, Twenty-Eighth, and Thirty-Third Supplements following the State and County’s announcements on May 21, 2021 that COVID-related restrictions on business DocuSign Envelope ID: BF17AE88-EFD7-4B38-B24F-03D41F536761 7 for most sectors will cease on June 15, 2021 and the disruption to and harm that terminating the authorization to use public space will have on City businesses; and WHEREAS, on June 8, 2021, the City Council held a public meeting during which it considered the adoption of this emergency ordinance pursuant to California Government Code Section 36937 and Santa Monica City Charter Section 615, both of which allow the adoption of emergency ordinances to take effect immediately to ensure the immediate preservation of the public peace, health, safety, and general welfare in the City of Santa Monica; and WHEREAS, the City Council finds and declares that a current and immediate threat to the public health, safety, and general welfare exists as a result of the impending termination of the authorization to use public outdoor space as provided by the Third Revised Eighteenth, Twenty-Eighth, and Thirty-Third Supplements, and the proposed pilot program to stimulate economic recovery is necessary to protect the public health, safety, and welfare. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF SANTA MONICA DOES HEREBY ORDAIN AS FOLLOWS: SECTION 1. Santa Monica Municipal Code Chapter 6.40 is hereby adopted to read as follows: Chapter 6.40 Santa Monica Outdoors Pilot Program 6.40.010 Definitions The definitions in Section 9.52.020 apply to the words and phrases used in this Chapter, unless otherwise specified herein. In addition, the following words and phrases have the following meanings when used in this Chapter: DocuSign Envelope ID: BF17AE88-EFD7-4B38-B24F-03D41F536761 8 (a) “Eligible business” means (1) a business that operates out of a physical location in the City and has received any necessary entitlements from the City to operate and (2) the use of the physical location by the business is a non- residential use classification that is permitted or conditionally permitted in the district, other than a liquor store, or an automobile/vehicle service and repair, minor or major, as those terms are defined by Santa Monica Municipal Code Section 9.51.030. (b) “Director” means the Director of the Community Development Department or designee. (c) “Santa Monica Outdoors pilot program” means the use by a restaurant or eligible business of the Main Street closure area, Main Street satellite space, a parklet, the Promenade outdoor dining area, the Promenade satellite outdoor dining area, or a sidewalk for either, as applicable, outdoor dining or business activities in compliance with this Chapter. (d) “Main Street closure area” means the portions of the roadway on Main Street that are subject to temporary and periodic weekend closure and designated for outdoor dining or other business activities pursuant to administrative regulations issued under this Chapter. (e) “Main Street satellite space” means the public parking or loading space(s) (other than accessible parking spaces) located in the public right-of-way and adjacent sidewalk on Main Street where the City has installed K-Rail barriers and the public parking or loading space is unoccupied by an adjacent eligible business with a Santa Monica Outdoors pilot program permit to use a parklet. DocuSign Envelope ID: BF17AE88-EFD7-4B38-B24F-03D41F536761 9 (f) “Parklet” means the public parking or loading space(s) (other than accessible parking spaces) located in the public right-of-way that are adjacent to each other and at least one of which is adjacent to the restaurant or eligible business that seeks to use the space(s) for outdoor dining or other business activities in compliance with this Chapter. There may be no parklets on the Third Street Promenade or the Santa Monica Pier. (g) “Restaurant” means a restaurant, full-service, as that term is defined by Santa Monica Municipal Code Section 9.51.030(B)(8)(b), or a restaurant, limited- service and take-out, as that term is defined by Santa Monica Municipal Code Section 9.51.030(B)(8)(c). (h) “Promenade outdoor dining area” means any portion of the sidewalk or roadway in the Third Street Promenade that is designated for outdoor dining pursuant to administrative regulations issued under this Chapter. (i) “Promenade satellite outdoor dining area” means the portion of the roadway in the Third Street Promenade that is designated pursuant to administrative regulations issued under this Chapter for a restaurant to deliver its take-out food and beverages and for patrons to consume such food and beverages. (j) “Sidewalk” means (1) a “sidewalk,” as that term is defined by Santa Monica Municipal Code Section 9.52.020.2250, including, but not limited to, any portion of the sidewalk on the Third Street Promenade, or (2) any portion of the Santa Monica Pier that is designated for outdoor dining or business activity pursuant to administrative regulations issued under this Chapter. DocuSign Envelope ID: BF17AE88-EFD7-4B38-B24F-03D41F536761 10 6.40.20 Santa Monica Outdoors Pilot Program Authorization The Director is authorized to issue permits to and enter into licensing agreements with eligible businesses that meet the requirements for participating in the Santa Monica Outdoors pilot program as set forth in this Chapter and administrative regulations. 6.40.030 Santa Monica Outdoors Pilot Program Requirements (a) Application Required. Any eligible business seeking to obtain a Santa Monica Outdoors pilot program permit shall submit an application using a form designated by the Director for that purpose. (b) Permit and Licensing Agreement Required. No person may participate in the Santa Monica Outdoors pilot program without having obtained a permit from and entered into a licensing agreement with the City. (c) Posting of Santa Monica Outdoors Pilot Program Permit. The Santa Monica Outdoors pilot program permit shall be displayed by the eligible business during business hours. (d) Specific Santa Monica Outdoors Pilot Program Requirements. (1) Sidewalk Use. An eligible business that has obtained a Santa Monica Outdoors pilot program permit and entered into a licensing agreement for use of the sidewalk may utilize the sidewalk adjacent to the eligible business to conduct, as applicable, outdoor dining or other business activities as authorized by the permit and licensing agreement. (2) Parklet Use. An eligible business that has obtained a Santa Monica Outdoors pilot program permit and entered into a licensing agreement for use of a parklet may utilize the parklet to conduct, as DocuSign Envelope ID: BF17AE88-EFD7-4B38-B24F-03D41F536761 11 applicable, outdoor dining or other business activities as authorized by the permit and licensing agreement. a. An eligible business may obtain a Santa Monica Outdoors pilot program for use of a parklet only in streets that have (i) a speed limit of 25 miles per hour or less, (ii) a speed limit of 30 miles per hour and either a Class II or IV bikeway, as those terms are defined by California State & Highway Code Section 890.4, or (iii) a speed limit of 30 miles per hour without a Class II or IV bikeway, so long as the City has authorized a parking lane closure and the City has implemented additional design or safety specifications. b. The construction of and use of a parklet pursuant to a Santa Monica Outdoors pilot program permit shall comply with the design and safety specifications set forth in administrative regulations issued under this Chapter. (3) Promenade Outdoor Dining Area Use. An eligible business that has obtained a Santa Monica Outdoors pilot program permit and entered into a licensing agreement for use of the Promenade outdoor dining area may utilize the Promenade outdoor dining area for outdoor dining as authorized by the permit and licensing agreement. a. Only a restaurant that operates out of a physical location on the Third Street Promenade is eligible to obtain a Santa DocuSign Envelope ID: BF17AE88-EFD7-4B38-B24F-03D41F536761 12 Monica Outdoors pilot program permit for use of the Promenade outdoor dining area. (4) Promenade Satellite Outdoor Dining Area Use. An eligible business that has obtained a Santa Monica Outdoors pilot program permit and entered into a licensing agreement for use of the Promenade satellite outdoor dining area may utilize the Promenade satellite outdoor dining area for outdoor dining as authorized by the permit and licensing agreement. a. Only a restaurant that operates out of a physical location in the area bounded by the east side of Second Street, south side of Wilshire Boulevard, west side of 4th Street and north side of Broadway is eligible to obtain a Santa Monica Outdoors pilot program permit for use of the Promenade satellite outdoor dining area. (5) Main Street Closure Area Use. An eligible business that has obtained a Santa Monica Outdoors pilot program permit and entered into a licensing agreement for use of the Main Street closure area may utilize the Main Street closure area to conduct, as applicable, outdoor dining or other business activities as authorized by the permit and licensing agreement. (6) Main Street Satellite Space Use. An eligible business that has obtained a Santa Monica Outdoors pilot program permit and entered into a licensing agreement for use of the Main Street satellite space may utilize DocuSign Envelope ID: BF17AE88-EFD7-4B38-B24F-03D41F536761 13 the Main Street satellite space for business activity as authorized by the permit and licensing agreement. a. Only an eligible business other than a restaurant may obtain a Santa Monica Outdoors pilot program permit for use of the Main Street satellite space. However, restaurants and other eligible businesses located on Main Street may obtain a Santa Monica Outdoors pilot program permit for a parklet, Main Street closure area, or use of the adjacent sidewalk on Main Street as authorized pursuant to this Chapter. (7) Insurance Required. An eligible business that has obtained a Santa Monica Outdoors pilot program permit shall maintain insurance at coverage limits, and with conditions thereon determined necessary and appropriate from time to time, as determined by the Risk Manager and name the City of Santa Monica as an additional insured. (8) Signage. Notwithstanding anything to the contrary in Chapter 9.61 of the Santa Monica Municipal Code, an eligible business that has obtained a Santa Monica Outdoors pilot program permit may place a single, non-permanent sign with the eligible business’s name and, if the eligible business is a restaurant, a menu within the public property area that is subject to the Santa Monica Outdoors pilot program permit and licensing agreement. DocuSign Envelope ID: BF17AE88-EFD7-4B38-B24F-03D41F536761 14 (9) Compliance with Administrative Regulations. An eligible business that has obtained a Santa Monica Outdoors pilot program permit shall comply with any other permit requirements or conditions set forth in the administrative regulations issued under this Chapter. (e) Duty to Comply with the Law. Eligible businesses that obtain a Santa Monica Outdoors pilot program permit and enter into a licensing agreement with the City shall comply with all applicable Federal, State, and City laws, rules, and regulations, including, but not limited to, the requirement to have a current business license, the noise restrictions in Chapter 4.12 of this Code, the protection of public trees in compliance with Chapter 7.40 of this Code, compliance with the Americans with Disabilities Act, and compliance with any public health orders issued by the State or County of Los Angeles. (f) Fees. The City Council may establish application and permit fees and charges by resolution, which shall: (1) Defray the City’s costs in administering and enforcing the provisions of this Chapter; and (2) Reflect charges associated with use of public property pursuant to this Chapter. 6.40.040 Administrative Regulations (a) The Director may adopt administrative regulations to implement the provisions of this Chapter, including, but not limited to, the location of the Promenade satellite outdoor dining area and Promenade outdoor dining area, the portion of the Santa Monica Pier that is subject to a Santa Monica Outdoors pilot DocuSign Envelope ID: BF17AE88-EFD7-4B38-B24F-03D41F536761 15 program permit, design and safety specifications for parklets, the use of adjacent or neighboring tenant or building space, application procedures, and other permit conditions and requirements. (b) No person shall fail to comply with the City’s administrative regulations. 6.40.050 Pilot Program Term Permits issued pursuant to this Chapter shall terminate and be of no further force or effect beyond June 30, 2022, unless otherwise extended or terminated earlier by the City at its discretion and consistent with any noticing requirements set forth in the administrative regulations or the licensing agreement between the City and the eligible business. 6.40.060 Grounds for revocation, suspension, or denial; appeals. (a) The Director may deny any application for or suspend or revoke any Santa Monica Outdoors pilot program permit if the eligible business, including its employees, managers, officers, principals, directors, owners, contractors, representatives, or agents: (1) Has made a materially false, misleading, or fraudulent statement of fact or omission of fact to the City on the permit application, during the application process, or during the Santa Monica Outdoors pilot program; (2) Operates, has operated, or proposes to operate in a manner that endangers public health or safety; or (3) Fails to comply or has failed to comply with any requirement imposed by the provisions of this Code (or successor provision or DocuSign Envelope ID: BF17AE88-EFD7-4B38-B24F-03D41F536761 16 provisions), including any administrative regulations issued pursuant to this Chapter, or any provision of State law. (b) Any decision by the City under this Chapter to deny an application for or suspend or revoke a Santa Monica Outdoors pilot program permit may be appealed by an aggrieved applicant or permit holder. An appeal must be taken within the time and manner set forth in Chapter 6.16 of this Code. 6.40.070 Parking Prohibition No person shall park or leave standing a vehicle in any parklet, the Main Street closure area, or the Main Street satellite space. 6.40.080 Enforcement (a) Any person who violates any provision of this Chapter, including any administrative regulations, shall be guilty of an infraction, which shall be punishable by a fine not exceeding $250 dollars, or a misdemeanor, which shall be punishable by a fine not exceeding $500 dollars per violation or by imprisonment in the County Jail for a period not exceeding six months or by both such fine and imprisonment. (b) Any person who violates any provision of this Chapter, including any administrative regulations, shall be subject to administrative fines and administrative penalties pursuant to Chapter 1.09 and Chapter 1.10 of this Code. (c) Any person convicted of violating this Chapter in a criminal case, or found to be in violation of this Chapter in a civil or administrative case brought by a law enforcement agency, shall be ordered to reimburse the City and other participating law enforcement agencies their full investigative costs. DocuSign Envelope ID: BF17AE88-EFD7-4B38-B24F-03D41F536761 17 SECTION 2. 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 3. 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 4. 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. Pursuant to Sections 615 and 619 of the City Charter, for the reasons stated in the recitals above, the City Council declares this ordinance to be necessary as an emergency measure for preserving the public peace, health, and safety, with the result that this ordinance shall be introduced and adopted at the same meeting and shall become effective immediately upon its adoption. APPROVED AS TO FORM: _______________________ GEORGE S. CARDONA Interim City Attorney DocuSign Envelope ID: BF17AE88-EFD7-4B38-B24F-03D41F536761 Approved and adopted this 8th day of June, 2021. _____________________________ Sue Himmelrich, Mayor State of California ) County of Los Angeles ) ss. City of Santa Monica ) I, Denise Anderson-Warren, City Clerk of the City of Santa Monica, do hereby certify that the foregoing Ordinance No. 2673 (CCS) had its introduction and adoption at the Santa Monica City Council meeting held on June 8, 2021, by the following vote: AYES: NOES: Councilmembers Parra, Brock, Davis, de la Torre, Mayor Himmelrich, Mayor Pro Tem McCowan None ABSENT: Councilmember McKeown ATTEST: _____________________________________ _________________ Denise Anderson-Warren, City Clerk Date A summary of Ordinance No. 2673 (CCS) was duly published pursuant to California Government Code Section 40806. DocuSign Envelope ID: BF17AE88-EFD7-4B38-B24F-03D41F536761 6/23/2021