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ITEM 5 - SR ADU 2nd Reading 3.20.24

Atherton City Council
March 20, 2024

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ITEM 5 - SR ADU 2nd Reading 3.20.24
Meeting
March 20, 2024
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Atherton City Council
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Text extracted from the city's file for reading and search. Open the original on atherton.primegov.com. That file is the official record.

Item No. 5
Town of Atherton
CITY COUNCIL STAFF REPORT – CONSENT AGENDA
TO: HONORABLE MAYOR AND CITY COUNCIL

GEORGE RODERICKS, CITY MANAGER
FROM: BRITTANY BENDIX, TOWN PLANNER
DATE: MARCH 20, 2024
SUBJECT: SECOND READING AND ADOPTION OF AN ORDINANCE TO REPEAL AND REPLACE ATHERTON MUNICIPAL CODE CHAPTER 17.52
“ACCESSORY DWELLING UNITS,” AND TO AMEND CHAPTER 17.36
“PUBLIC FACILITIES AND SCHOOLS DISTRICT (PFS)” AND
CHAPTER 17.60 “DEFINITIONS.”
RECOMMENDATION:

Staff recommends that the City Council approve for second reading of the ordinance that repeals and replaces Chapter 17.52 “Accessory Dwelling Units” and amends Chapter 17.36 “Public Facilities and Schools District (PFS)” and Chapter 17.60 “Definitions.”

BACKGROUND
The City Council introduced and discussed updates to the Town’s Accessory Dwelling Unit (ADU) ordinance at its meeting on February 21, 2024. This discussion occurred after multiple meetings with both the City Council and Planning Commission throughout 2023. Because many of the proposed updates are required by state law, the discussion among Councilmembers on February 21, 2024 focused on the following topic areas where local jurisdictions have the greatest ability to influence ADU development:

1. Bonus ADU Program

2. ADUs Above Detached Garages, Fencing and Screening

ANALYSIS
This report summarizes the local programming discussed at the City Council meeting on February 21, 2024 for ADUs included in the proposed ordinance. A draft ordinance, with red-lined text that shows all changes from the existing language in the Atherton Municipal Code (AMC) is included as Attachment 1; a clean copy of the draft ordinance is included as Attachment 2.

Second Reading for ADU Ordinance
March 20, 2024

Page 2 ends

1. Bonus ADU Program. The updated ordinance establishes a Bonus ADU program to incentivize the development and documentation of ADUs that are available to lower income households. This program would be voluntary, applicable only to lots that are 2 acres or greater and recorded through a deed-restriction. If a Bonus ADU is rented, the program requires rental of the Bonus ADU to either a low-income household for a period of 15 years, or a very lowincome household for a period of 10 years. Bonus ADUs must also comply with the Town’s setbacks for accessory structures. Additionally, the Council directed staff to add clarification that the Bonus ADU cannot be rented for a period less than nine (9) months. This update is reflected in the attached draft ordinance.

2. ADUs Above Detached Garages, Fencing and Screening. The ordinance allows for the location of ADUs above detached garages; however, these units must feet requirement for fencing and screening. The ordinance also includes fencing and screening requirements for ADUs located within the Town’s setbacks for accessory buildings and structures.

FINDINGS:

The proposed zoning text amendments are consistent with the General Plan goals, policies, and implementation programs. The proposed Zoning Ordinance amendments allow the Town to be compliant with recent changes in state law related to the development of Accessory Dwelling Units (ADUs) and Junior Accessory Dwelling Units (JADUs). Amendments proposed address the following General Plan Goal, Objectives, and Policy:

Housing Element Goal 3.720 Use Accessory Dwelling Units to meet a substantial portion of the Town’s moderate to very low-income
housing need.

Housing Element Objective 3.721 A. Realize the construction of 280 new accessory dwelling units planned for occupancy by moderate to
extremely low-income households in Atherton from
2023-2031.

Housing Element Policy 3.722 A. Actively promote the Accessory Dwelling Unit provision of the Atherton Zoning Ordinance by
encouraging homeowners and developers to include
attached or detached Accessory Dwelling Units in
existing or new homes.

B. Comprehensively update the Town’s Accessory
Dwelling Unit (ADU) Ordinance to amend any identified
zoning development standards which may unduly
constrain development of ADUs.

Housing Element Policy 3.762 B. The Town shall continue to encourage the production and availability of more affordable housing through the development of new accessory dwelling units, and
private and public-school faculty and student housing.

Second Reading for ADU Ordinance
March 20, 2024

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CONCLUSION:

To respond to the current state housing crisis, the state passed a series of bills designed to encourage the production of both ADUs and JADUs. Cities are expected to update their local ordinances to comply with the state legislation. If the Town fails to conform its local ordinance, applicants would be permitted to develop under the state legislation. Since the Town currently has several ADU applications pending, adopting the local updates will allow the Town to process applications with more clarity and compliance. The attached ordinance is drafted to comply with the minimum, more permissive state regulations. Additionally, adoption of amendments to the ADU Ordinance to incorporate the more permissive state requirements, may further promote the development of ADUs in Town, which may in turn assist the Town fulfilling its Regional Housing Needs Allocations (RHNA) requirements for the adopted 6th Cycle Housing Element.

ENVIRONMENTAL CONSIDERATIONS
The project is Categorically Exemption per Section 15305 of the CEQA Guidelines. Section 15305 relates to Minor Alterations in Land Use Limitations, as the ordinance amendments would not result in any changes to land use or density.

FISCAL IMPACT
The cost associated with the preparation of the draft Ordinance amendments are included within the annual Planning Department budget. The cost to implement the Ordinance will be paid for the applicants of related development projects.

PUBLIC NOTICE
Public notification was achieved by posting the agenda, with this agenda item being listed, at least 72 hours prior to the meeting in print and electronically. Legal advertisement of this hearing was published in The Almanac newspaper. Notice of this hearing was also mailed to all property owners within the Town. Information about the project is also disseminated via the Town’s electronic News Flash and Atherton Online. There are approximately 1,200 subscribers to the Town’s electronic News Flash publications. Subscribers include residents as well as stakeholders – to include, but be not limited to, media outlets, school districts, Menlo Park Fire District, service provides (water, power, and sewer), and regional elected officials.

ATTACHMENTS

1. Draft ADU Ordinance (Changes shown in red)

2. Draft ADU Ordinance (Tracked changes)

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