Capitola City Council
March 23, 2023

Revised 3/23/2023 1:50 PM
City of Capitola
City Council Meeting Agenda
Thursday, March 23, 2023 – 6:00 PM
City Council Chambers
420 Capitola Avenue, Capitola, CA 95010
Mayor: Margaux Keiser
Vice Mayor: Kristen Brown
Council Members: Yvette Brooks, Joe Clarke, Alexander Pedersen Regular Meeting of the Capitola City Council – 6 PM
All correspondence received prior to 5:00 p.m. on the Wednesday preceding a Council Meeting will be distributed to Councilmembers to review prior to the meeting. Information submitted after 5 p.m. on that Wednesday may not have time to reach Councilmembers, nor be read by them prior to consideration of an item.

1. Roll Call and Pledge of Allegiance
Council Members Yvette Brooks, Joe Clarke, Alexander Pedersen, Kristen Brown, and Mayor Margaux Keiser.

2. Additions and Deletions to the Agenda

3. Presentations
Presentations are limited to eight minutes.

A. Annual update from Central Coast Community Energy

4. Additional Materials
Additional information submitted to the City after distribution of the agenda packet.

A. Additional Materials - Item 8B - Correspondence
B. Additional Materials - Item 8C - Correspondence
C. Additional Materials - Item 8D - Correspondence & Updated Final Local Action Notice and Zoning Permit

5. Oral Communications by Members of the Public
Please review the Notice of Remote Access for instructions. Oral Communications allows time for members of the Public to address the City Council on any “Consent Item” on tonight’s agenda, or on any topic within the jurisdiction of the City that is not on the “General Government/Public Hearings” section of the Agenda. Members of the public may speak for up to three minutes, unless otherwise specified by the Mayor. Individuals may not speak more than once during Oral Communications. All speakers must address the entire legislative body and will not be permitted to engage in dialogue. A maximum of 30 minutes is set aside for Oral Communications.

6. Staff / City Council Comments
Comments are limited to three minutes.

7. Consent Items
1 City Council Meeting Agenda – March 23, 2023
City of Capitola Page 2
All items listed as “Consent Items” will be enacted by one motion in the form listed below. There will be no separate discussion on these items prior to the time the Council votes on the action unless members of the City Council request specific items to be discussed for separate review. Items pulled for separate discussion will be considered following General Government. Note that all Ordinances which appear on the public agenda shall be determined to have been read by title and further reading waived.

A. Consider and Approve 3/9/2023 & 3/16/2023 City Council Meeting Minutes B. Approval of City Check Registers Dated February 17, 2023, and March 3, 2023 Recommended Action: Approve check registers.

8. General Government / Public Hearings
All items listed in “General Government / Public Hearings” are intended to provide an opportunity for public discussion of each item listed. The following procedure pertains to each General Government item: 1) Staff explanation; 2) Council questions; 3) Public comment; 4) Council deliberation; 5) Decision.

A. Temporary Village Parking Committee Recommendations
Recommended Action: Direct staff to prepare the necessary documentation to approve the Temporary Village Parking Committee recommendations.

B. Coastal Rail Trail Segments 10 and 11
Recommended Action: Receive report on the Coastal Rail Trail Segments 10 and 11 Project through the City of Capitola.

C. 401 Capitola Avenue Appeal
Recommended Action: Adopt a resolution affirming the Planning Commission’s decision to deny Application #22-0282 seeking a Conditional Use Permit, Parking Variance, and Coastal Development Permit for a restaurant/café at 401 Capitola Avenue (Capitola Tap House).

D. Kennedy Drive Sidewalk Project
Recommended Action: Approve the plans, specifications, and construction budget of $214,000 for the Kennedy Drive Sidewalk Project; approve the Coastal Development Permit and the findings listed in the Final Local Action Notice; and authorize the Department of Public Works to advertise for construction bids.

9. Adjournment
_____________________________________________________
Notice of In-Person & Remote Access
Meetings are open to the public for in-person attendance at the Capitola City Council Chambers located at 420 Capitola Avenue, Capitola, California, 95010 Other ways to Watch:

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Meeting
link: https://us02web.zoom.us/j/83328173113?pwd=aVRwcWN3RU03Zzc2dkNpQzRWVXAydz09 Or dial one of these phone numbers: 1 (669) 900 6833, 1 (408) 638 0968, 1 (346) 248 7799 Meeting ID: 833 2817 3113
2 City Council Meeting Agenda – March 23, 2023
City of Capitola Page 3
Meeting Passcode: 678550
To make a remote public comment:

Via Zoom Application: Use participant option to “raise hand”. The moderator will unmute you Via Zoom phone call: Dial *9 on your phone to “raise your hand”. The moderator will unmute you Notice regarding City Council: The City Council meets on the 2nd and 4th Thursday of each month at 6:00 p.m. in the City Hall Council Chambers located at 420 Capitola Avenue, Capitola.

Agenda and Agenda Packet Materials: The City Council Agenda and the complete Agenda Packet are available for review on the City’s website: www.cityofcapitola.org and at Capitola City Hall prior to the meeting. Agendas are also available at the Capitola Post Office located at 826 Bay Avenue Capitola.

Need more information? Contact the City Clerk’s office at 831-475-7300.

Agenda Materials Distributed after Distribution of the Agenda Packet: Pursuant to Government Code §54957.5, materials related to an agenda item submitted after distribution of the agenda packet are available for public inspection at the Reception Office at City Hall, 420 Capitola Avenue, Capitola, California, during normal business hours.

Americans with Disabilities Act: Disability-related aids or services are available to enable persons with a disability to participate in this meeting consistent with the Federal Americans with Disabilities Act of 1990. Assisted listening devices are available for individuals with hearing impairments at the meeting in the City Council Chambers. Should you require special accommodations to participate in the meeting due to a disability, please contact the City Clerk’s office at least 24 hours in advance of the meeting at 831-475-7300. In an effort to accommodate individuals with environmental sensitivities, attendees are requested to refrain from wearing perfumes and other scented products.

Televised Meetings: City Council meetings are cablecast “Live” on Charter Communications Cable TV Channel 8 and are recorded to be rebroadcasted at 8:00 a.m. on the Wednesday following the meetings and at 1:00 p.m. on Saturday following the first rebroadcast on Community Television of Santa Cruz County (Charter Channel 71 and Comcast Channel 25). Meetings are streamed “Live” on the City’s website at www.cityofcapitola.org by clicking on the Home Page link “Meeting Agendas/Videos.” Archived meetings can be viewed from the website at any time. 3 1
Moss, Julia
From: Molly Ording <[email protected]>
Sent: Thursday, March 23, 2023 11:26 AM
To: City Council
Subject: Report on Coastal Rail Trail Segments 10 & 11 through Capitola Follow Up Flag: Follow up
Flag Status: Flagged
Dear Valued City Council Members:

Although I have every intention of attending your meeting this evening, both as a member of the Temporary Village Parking Committee and as a long time resident supporter of the Coastal Rail Trail, a few events have transpired today that may prevent my attendance.

I AM a long time resident as well as a LONG TIME supporter of the Coastal Rail & Trail. For very obvious reasons which seem incredibly lost on the minority GW crew, the populace has voiced their unstinting support over & over for these developments! Now, more than ever with us all feeling the direct effects of climate change on our communities, wise, educated & informed decisions re future rail & trail transportation are REQUIRED! I am confident the many bodies tasked with making these long term decisions are intelligent, informed and clear in their mandate -and will NOT be distracted by a small minority of nay sayers who are once more grabbing at straws to deter your progress! OUR progress!

Also in light of my years of involvement as a Village & Monterey Avenue resident, I count on future trail configurations through the Village being major contributors to our long time stated goals of reducing auto traffic & encouraging active ADA transportation via a safe, clear and adequate bike/walking trial through our Village and DISCOURAGING cars from cruising & traversing & polluting theVillage!
IT CAN BE DONE & Accomplished!
Thank you for your time & attention. I appreciate all your work and study to advance of our shared & long stated goals of reduced emissions & pollution & increased health & safety for all! Do not be deterred! Most sincerely,
MOLLY I. ORDING
218 Monterey Avenue
Capitola. Calif. 95010
mollyording@ yahoo.com
Sent from my iPhone
4 Item 4 A.
1 Moss, Julia
From: Lynne Lampros <[email protected]>
Sent: Tuesday, March 21, 2023 3:34 AM
To: Froelich, Brian; Moss, Julia
Cc: Amy Cheng
Subject: 401 Capitola
Attachments: Cheng, Amy city council hrg response to staff report 3.23.23.docx Follow Up Flag: Follow up
Flag Status: Flagged
Please submit this Response to Staff Report with the Agenda Packet for March 23, 2023 Item 8. General Government/Public Hearings C. 401 Capitola Ave.

Thank you,
Lynne Lampros
on behalf of Amy Cheng
5 Item 4 B.

Response to Staff Report for Capitola City Council Meeting March 23, 2023 Subject: 401 Capitola Avenue Appeal of Denial of Application #22-0282 and Consideration of Alternative Proposals
From: Amy Cheng
To the Honorable City Council of the City of Capitola,
Thank you for your consideration of this matter and thanks to Staff for their time on this project.

I would like to respond to the Staff Report for this Agenda item.

1. Appeal of Planning Commission Denial of Application #22-0282 A. Parking:

Staff cites to Capitola Municipal Code Section 17.76.020 (B) (b) [sic, actually 17.76.020 (B) (2)] for the proposition that the change of existing use requires additional on-site parking unless a variance is granted.

Applicant would like to point out Capitola Municipal Code Section

17.76.050- On Site Parking Alternatives, which states,
A. Purpose. This section identifies alternatives to required onsite parking to:

1. Allow for creative parking solutions;

2. Enhance economic vitality in Capitola;

3. Promote walking, biking, and use of transit; and

4. Encourage the efficient use of land resources consistent with the general plan.
6 Item 4 B.

These alternatives to required on-site parking in this section are specifically available only to uses located outside of the MU-V zoning district. 401 Capitola is located just outside the MU-V zoning district.

Therefore Applicant submits that it is appropriate and in accordance with the Municipal Code to consider these alternatives and make the findings for a variance from the parking requirements of a CUP for a restaurant/café.

As Applicant stated at the Planning Commission, this business is located very near the two large public parking lots. Further it is appropriate to consider foot traffic, biking, shuttle and ride share/public transportation in consideration of the alternatives to required on-site parking.

B. Improper consideration of the kitchen and food plan:

The Staff report notes that the Planning Commission discussed the shortcomings of the application, including the proposed kitchen and business plan. However the Staff report states that the Commission’s denial did not include reference to the kitchen or business plan.

Applicant submits that is somewhat spurious. Denials are phrased succinctly, (as findings being made or not) but the grounds for a Commission’s ruling are articulated during discussion. In this case, Applicant notes that both Commissioners Christiansen and Routh emphasized the kitchen and food plan in their decisions. Commissioner Routh led off his comments with that. Commissioner Christiansen entirely premised her decision on the kitchen and food plan, stating that she supported the proposal for alcohol and the amount of seats, but that she could not support the project because the kitchen and food plan needed ‘fleshing out.’ (See video of Planning Commission hearing on 12/1/22 at the 1:44 point.)
C. Unique circumstances remain the same:

This business currently has a parking variance of 4 spots as either a retail or take-out establishment. The Application #22-0282 seeks to expand seating to 26 seats inside and outside on the front porch, which is an intensification that requires 7 additional parking spots. Staff states that “The parking variance issued in 2014, waiving the parking requirement for four parking spaces, is not applicable to the current application, which asks the City to 7 Item 4 B.
waive the parking requirement for seven spaces.” This sentence in the Staff Report suggests that the analysis here is contingent on the numbers being the same. That is not Applicant’s point or argument.

Applicant’s point is that the conditions that supported the granting of the variance in 2014 remain the same today. This location has difficult, unique physical circumstances that existed in 2014 when the parking variance was granted for this business as a retail-clothing store, because it could not provide four onsite parking spots. Those difficult and unique physical constraints still exist. Therefore the conditions in support of a variance today – the lack of ability to provide onsite parking in this location - are the same as they were in 2014.

Therefore Applicant does think the findings can be made and it is appropriate for City Council to overturn the Planning Commission’s denial of the project in Application #22-0282.

2. Alternate Proposals
If the Council does not overturn the Planning Commission’s denial, Applicant has alternative proposals and is open to proposals suggested by the Council. All the proposed alternatives include the expanded food menu that is referenced in the prior Application and Appeal package filed for this hearing. The goal of all the proposals is to enable Applicant to expand her business draw while also ensuring enough turnover to maximize the amount of customers, done in a safe, family friendly way that promotes community and is a benefit to the City.

A. Remove the request for a parking variance, maintain the six seats and convert NO MORE THAN 50% of the existing taps to beer/wine/hard kombucha for self pour consumption on premises, as is the kombucha and coffee now.

Staff claims this alternative should be denied as it would change the business to a bar or lounge by virtue of its tap system.

Applicant disagrees. If Council members visited the premises or looked in the windows it is apparent that this light, bright, almost sterile interior is 8 Item 4 B.
more akin to a juice bar or yogurt shop than a bar/lounge. It is open to minors and has limited hours, closing by 8 pm. It is not a place where people are going to ‘belly up to the bar’ for hours.

Staff report states that a tap system is inherently incompatible with a take out business model because of open container laws and the fact that tap systems are typical of bars, lounges, beer gardens and full service restaurants, where customers intend to stay in the business for longer periods of time. These are not well-founded arguments and there are ways to address these concerns.

Open container issue:

Castagnola Deli & Café has a CUP as a takeout establishment but it also has an ABC license 41, which is what is sought for the business at 401 Capitola Avenue. That license category with the ABC is for an “On-Sale Beer & Wine – Eating Place.” Castagnola is allowed to sell canned beer and wine from a refrigerator. As a takeout deli, this should draw the same concerns regarding open container laws as Staff articulates here. However it is allowed at Castagnola’s. Applicant submits that the concern regarding open container are easily addressed with signage and staff enforcement of “No Alcohol Past This Point” or “No Open Containers Past This Point.” Length of time issue:

There is no issue right now with the length of time Applicants’ customers can stay on premises consuming non-alcoholic kombucha or coffee.

Therefore the length of time a customer is on premises is not a fair criterion to convert a takeout establishment to a bar/lounge.

If the concern with length of time on premises is the amount of alcohol consumption, that can be addressed and enforced by the RFID technology that Applicant has proposed since she first began this process in September 2022. Applicant proposes the RFID technology to ensure the limit of two alcoholic drinks per customer. This limitation can be consistently enforced by the fact that the taps will shut off for the customer after two pours.

Applicant is open to Council suggestion as to the size and number of pours that is acceptable, as well as the number of taps that could be converted. 9 Item 4 B.

B. Remove the parking variance, maintain six seats and convert NO MORE THAN 50% of the taps and sell prefilled containers of the beverages from the taps from a refrigerator, while also allowing on-site consumption of selfpour sample/flight size tastings (limited in size and number as Council deems appropriate) and of the prefilled containers from the refrigerator.

Staff’s basis for denial of this alternative is again that a tap system is not compatible with a take-out establishment. Applicant responds that her business has and will have far different “business patterns, scale, and impacts” than a bar/lounge. Thus the fact that there are taps at the premises should not be the only measure of the character of this establishment. The totality of the circumstances should be evaluated.

C. Remove the parking variance, maintain six seats and convert NO MORE THAN 50% of the taps and sell prefilled containers of the beverages from the taps from a refrigerator, allowing on-site consumption from the prefilled containers from the refrigerator, but no self pour consumption of alchohol.

Staff’s response to this proposal is to state that the ‘chain of custody’ of a prefilled container is inconsequential and the business would still be functioning as a bar/beer garden/pour room. Applicant disagrees. The containers could be prefilled in the kitchen, before opening hours, away from customers. Some of the taps are located only in the kitchen, where only staff can access. This would not be an “on demand” pour into a container rather than a glass.

However this proposal would enable Applicant to realize more return on her investment in the tap system and offer a more unique experience to the customer.

3. Staff’s Proposals:

A. Staff has stated they could support a model like Castagnola’s – that is a refrigerator selling prefilled, commercially available cans and bottles of beer and wine. Applicant appreciates this offer. However Applicant submits that allowing customers to order food and kombucha or coffee from her taps and then also get a can of outside beer from a refrigerator is not substantially different from being able to get a bottle of a beverage that came from one of 10 Item 4 B.
the taps on the premises. And again, offering the beverages from the tap system helps realize more return on her investment in the tap system and distinguishes her business from others that simply sell cans that could be found in the local corner market.

B. Staff also proposed that if Applicant wanted to utilize her tap system for both alcoholic and non-alcoholic beverages than Staff would revoke her CUP as a take out establishment and only allow her a CUP as a retail establishment. Further Staff would only allow her to operate as sales for offsite consumption entirely of her food, non-alcoholic kombucha, coffee and alcoholic beverages. No onsite consumption of even the non-alcoholic kombucha or a cup of coffee.

Applicant suggests this is an unduly harsh alternative. Applicant is not trying to become a market or liquor store. Applicant is trying to create a business that provides community and offers a unique service. Further Applicant notes that English Ales and Armida Winery are both classified as retail, and yet both operate closer to a bar/lounge than a retail store.

Applicant realizes that they have different ABC licenses than Applicant is seeking. However the business patterns, scale and impacts are much closer to a bar/lounge than Applicant’s business would be.

C. With regard to the question of the additional parking spaces, Applicant was not suggesting that they were going to be new construction on the premises immediately adjacent to her building. Applicant is in talks to lease three of the existing parking spaces under the trestle. Applicant seeks information from Staff as to how many more seats adding those three spaces could yield or asks Council to consider that the request for variance would be reduced by three spaces.

Conclusion
Applicant is open to the Council’s suggestions and wishes to again thank Council and Staff for all the time they have invested in this application. 11 Item 4 B.
1 Moss, Julia
From: AM Cheng <[email protected]>
Sent: Tuesday, March 21, 2023 4:52 PM
To: Lynne Lampros
Cc: Moss, Julia; Froelich, Brian
Subject: [PDF] Re: 401 Capitola
Attachments: Bob Edgren supporting letter copy.pdf; Capitola Tap House customers petition signup.pdf; Kathleen Byrne supporting letter for city council.pdf Follow Up Flag: Follow up
Flag Status: Flagged
Hi Julia,
I collected two supporting letters and many customer's petition sign-up. Please add them to the agenda for City Council Meeting on March 23, 2023
Thank you,
Amy
On Tue, Mar 21, 2023 at 11:48 AM Lynne Lampros <[email protected]> wrote:

Thank you, Julia.

Lynne
Sent from my iPhone
On Mar 21, 2023, at 11:41 AM, Moss, Julia <[email protected]> wrote:

Hi Lynne,

This correspondence has been added to the agenda packet and provided to the City Council/members of the public. You can find it here.

Julia Moss
City Clerk - City of Capitola
831.475.7300 x228

12 Item 4 B.
2 From: Lynne Lampros <[email protected]>
Sent: Tuesday, March 21, 2023 3:34 AM
To: Froelich, Brian <[email protected]>; Moss, Julia <[email protected]> Cc: Amy Cheng <[email protected]>
Subject: 401 Capitola

Please submit this Response to Staff Report with the Agenda Packet for March 23, 2023 Item 8.

General Government/Public Hearings C. 401 Capitola Ave.

Thank you,

Lynne Lampros
on behalf of Amy Cheng
13 Item 4 B.

Dear City Council Members,
Having been or around Capitola since 1973, I have observed a number of developments and our city evolve. Now comes a new popular venue, that being craft beer. I am not sure when or how this popular trend started, but it has exploded nationwide. I remember when wine started appearing in cafes, and tasting rooms emerged, but never as fast as the craft brewing. So with this explosion connoisseurs of beer have grown exponentially. For visitors to a pub, they are often treated with five or so small samples. Much like wine tasting. The hundreds of craft brews has made it difficult for marketing and finding the perfect customers. The answer has come in a concept called tasting at tap room tasting. This is not a place to get inebriated, but a place to taste the many different brews. This is what Amy Cheng of her Capitola Tap house would like to bring to Capitola. This is not new to Santa Cruz County. There was a very popular Self-Pour Taproom in Santa Cruz with the same concept located downtown called the Pour Taproom. This was closed due to COVID issues according to their website.

For those who are not familiar with a Tap room tasting system you are encouraged to visit Amy’s Tap room, although now, she only serves 32 flavors of Kombucha, an ancient Asian fermented tea drink. Although she has not been completely Licensed by the ABC to serve beer, she waits for the nod from the city, Community planning has put a block on her endeavor, most likely because it is such a new concept.

Capitola is a city with a long record of making exceptions, and variances. One stands out in my mind was Pizza My Heart. It took moving a mountain to allow that business to open, to have a partial open front and long hours. Just about everything against the current code at that time. I remember the Britannia Arms, securing part of the city park for their patio area, another gift from the Capitola God. I recall the small restaurant now Mijo’s, that had a major battle at a city council meeting over allowing seating, which they finally got again against codes. Just recently the city voted to stretch the transient overlay to include another block up Capitola avenue and outside the village. This made dozens of property owners very happy, but reduced long term housing. Inconsistent decisions made by planning can make one dizzy, as rarely are any records kept.

The Capitola Tap House is some 50 feet away from the village zone. It it was located within the zone, approval for the idea and operation, probably would be easily approved.

So who are the neighbors? The fire department to the right, the railroad trestle to the left and the museum across the street. Again, this is not a business where customers become inebriated. At the Tap house, drinking would be tightly controlled by purchased cards of two drinks that are inserted in the select brews. Those can be shut off any 14 Item 4 B.
time. Of course, food will be served as well. Amy envisions her locale a place where people can come, away from the active Esplanade, sit and enjoy time with friends.

Probably a blend of Mr. Toots, Cork and Fork and Trestles. Who wouldn’t want more of these type businesses in town?
The other big trend facing Californias cities is the limitation of cars. The bill signed by Newsom AB2097
New year, new laws... and beginning in 2023, housing developers and business owners in California will no longer be required to include parking spots for residents and patrons if the project is located at least a half-mile from transit.

This a clear statement, that housing is more important than autos, so the mandate is to allow businesses and housing be built WITHOUT parking spaces required. Who ever thought they would see the day? It will be interesting to see how that plays out, but essentially our parklet program was just that, taking away parking spaces and adding more seating for dining. Again, this was completely against any pre-existing code.

The Capitola Tap House will be an addition to our city that will be a new much needed concept. Something new, a new experience for locals and visitors. In the process of bending codes, one should ask is the project a plus, or a minus for Capitola. It is difficult to see any negatives in this business concept.

Thank you taking the time to consider my views and opinion.

Bob Edgren
[email protected]
15 Item 4 B.
16 Item 4 B.
17 Item 4 B.
18 Item 4 B.
19 Item 4 B.

Kathleen Byrne
407 Capitola Avenue
Capitola, CA 95010
March 21, 2023
Members of the Capitola City Council
City of Capitola
Capitola CA 95010
I am writing this letter in support of Amy Cheng’s permit application for a “Restaurant that serves Beer and Wine.” I am a teacher, author and designer. I have always been innovative in my teaching career, and felt that positivity and praise is extremely important with my students. This approach has carried over to the rest of my life, and that is one of the reasons I would like to welcome and support Amy Cheng to the Capitola Community, and compliment her for her dedication and perseverance in attaining the permit for her restaurant.

Amy has applied for permit to establish a “Restaurant that serves Beer and Wine” The Capitola Municipal Code states that “Restaurants and Cafes” means a business establishment serving food and beverages to customers where the food and beverages may be consumed on the premises or carried out and where more than 160 sq. ft. of public area is open to customers. Amy has well over the 160 sq. ft. required, as she has 470 sq. ft. of public area open to customers, she has a great menu that can be served at the restaurant or carried out, and she has installed a beautiful tap system to dispense kombucha, iced tea, nitro coffee, and hopefully beer and wine if her permit is approved through the City Counsel. Amy cannot attain the ABC license, unless the City of Capitola permit is approved first, so it is very important her permit application for a “Restaurant that serves Beer and Wine” is approved. She has also applied through the Alcohol Beverage Control for the License “On-Sale Beer/Wine Eating Place.”
The self-serve alcohol and beverage dispense technology is currently legal in 45 states including California. I have personally spoken with an ABC representative in Salinas, and was told self-pour taps are legal in California, and in individuals cities which do not restrict their use for the particular, which is in this case is “Restaurant that serves Beer and Wine. Fortunately, there are no restrictions in the Capitola Code that would disallow the self-pour technology taps for the business for which Amy has applied.

What is so impressive to me is the convenience of the self-pour taps, and the responsible proactive approach the monitored system provides to keep patrons safe, if they choose to have beer or wine. Patrons over 21 are limited to two drinks per person monitored by issuing a card, and this limitation of alcoholic drinks, promotes drinking in moderation, thus not encouraging a long stay at the restaurant. With this limitation, this system is different from a restaurant or bar, in which patrons can easily order alcoholic drinks without the monitoring of the number of drinks consumed. Since the self-pour technology allows the patron to dispense the drink, and it keeps track of the number of drinks, it saves the server time, so more time can be spend for food prep, serving and clean up. The “self-pour” is an interactive hands-on approach which people enjoy, as they can sample several different kinds of drinks before they decide which one they would like.

I have frequented Amy’s business often. Many people are visitors to Capitola on their way to the Village or neighbors walking by. The people that drop by are mature and of mixed ages, and in no way a rowdy type. So many of the people comment on how beautiful the outside and inside of the building are. Many say they will check back in to see if the permit has been approved. As a resident of the Neighborhood Mixed Use Zone, and 20 Item 4 B.
as a close neighbor, I welcome Amy’s business, as the self-pour taps are innovative, the proposed menu is unique, and her restaurant would be a great addition to our neighborhood.

Since the seating would be under the front porch area or possibly inside, there are no neighbors that would be disturbed. Capitola Avenue is in front of the building with a hill with trees on the other side of the Capitola Avenue, the railroad trestle is on the left side with an adjacent parking lot, and a parking area for the fire station is on the right side. Since there is no seating on the side next to the trestle, the vacation rental to the rear of the building would not be disturbed. The street traffic on Capitola Avenue exceeds and drowns out any noise that patrons could possibly make with their conversation.

Amy is very dedicated to her goal of providing a safe family oriented restaurant. She welcomes neighborhood friends, out of town guests and children. I have witnessed her outgoing personality, and her huge welcome to all that enter her establishment. She takes pride in her business and the City of Capitola. With all the positives of her new business, I look forward to Amy’s permit being approved, as her restaurant will provide a safe, unique and friendly environment to tourists, our Mixed Use Neighborhood residents, and all of Capitola and Santa Cruz County.

Respectfully,
Kathleen Byrne
21 Item 4 B.
1 Moss, Julia
From: Bob Edgren <[email protected]>
Sent: Wednesday, March 22, 2023 10:26 AM
To: Woodmansee, Chloe
Cc: City Council
Subject: for council meeting packet
Attachments: AMY Cheng XXXmy letter version 4 3 copy(1)(1) Hello Chloe,
I hope it is not too late to submit this letter for the upcoming city council meetimng.

Bob Edgren
831-402-2111
22 Item 4 B.

March 19, 2023
Dear Honorable Mayor and City Council
Members
re: Application for Capitola Tap House
Having been or around Capitola since 1973, I
have observed a number of developments and
our city evolve through many different phases.

Now comes a new popular venue, that being
craft beer. I am not sure when or how this
popular trend started, but it has exploded
nationwide. I remember when wine started
appearing in cafes, and tasting rooms emerged,
but never as fast as the craft brewing craze. So
with this explosion connoisseurs of beer have
grown exponentially. For visitors to a pub, they
are often treated with five or so small samples.

Much like wine tasting. The hundreds of craft
brews have made it difficult for marketing and
finding loyal customers. The answer has come
in a concept called tasting at tap rooms. This is
not a place to get inebriated, but a place to taste
23 Item 4 B.
the many different brews. This is what Amy
Cheng of her Capitola Tap house would like to
bring to Capitola. This is not new to Santa Cruz
County. There was a very popular Tap House in
Santa Cruz with the same concept located
downtown called the Flow Taproom. This
closed due to COVID issues according to their
website.

For those who are not familiar with a Tap room
tasting system you are encouraged to visit
Amy’s Tap room, although now, she only serves
32 flavors of Kambucha, an ancient Asian
fermented tea drink. Although she has been
completely Licensed by the ABC to serve beer
she waits for the nod from the city, Community
planning has put a block on her endeavor, most
likely because it is such a new concept.

Capitola is a city with a long record of making
exceptions, and variances. One stands out in my
mind was Pizza My Heart. It took moving a
mountain to allow that business to open, to have
a partial open front and long hours. Just about
everything against the current code at that time.

I remember the Britannia Arms, securing part of
24 Item 4 B.
the city park for their patio area, another gift
from the Capitola God. I recall the small
restaurant now Mijos, that had a major battle at
a city council meeting over allowing seating,
which they finally got again against code. Just
recently the city voted to stretch the transient
overlay to include another block up Capitola
avenue and outside the village. This made
dozens of property owners very happy, but
reduced long term housing. Inconsistent
decisions made by planning can make one dizzy,
as rarely are any records kept, and answers are
relied on one or two people.

The Capitola Tap House is some 50 feet away
from the village zone. It it was located within
the zone, approval for the idea and operation,
probably would be easily approved. So who are
the neighbors? The fire department to the right,
the railroad trestle to the left and the museum
across the street. Again, this is not a business
where customers become inebriated. At the Tap
house, drinking would be tightly controlled by
purchased cards of two maximum drinks that
are inserted in the select brews. Those can be
25 Item 4 B.
shut off any time. Of course, food will be served
as well. Amy envisions her locale a place where
people can come, away from the active
Esplanade, sit and enjoy time with friends.

Probably a blend of Mr. Toots, Cork and Fork
and Trestles. Who wouldn’t want more of these
type businesses in town?
The other big trend facing Californias cities is
the limitation of cars. The bill signed by
Newsome AB2097
New year, new laws... and beginning in 2023,
housing developers and business owners in
California will no longer be required to include
parking spots for residents and patrons if the
project is located at least a half-mile from
transit.

This a clear statement, that housing is more
important than autos, so the mandate is to allow
businesses and housing be built WITHOUT
parking spaces required. Who ever thought they
would see the day? It will be interesting to see
how that plays out, but essentially our parklet
program was just that, taking away parking
26 Item 4 B.
spaces and adding more seating for dining.

Again, this was completely against any preexisting code.

The Capitola Tap House will be an addition to
our city that will be a new much needed
concept. Something new, a new experience for
locals and visitors. In the process of bending
codes, one should ask is the project a plus, or a
minus for Capitola. It is difficult to see any
negatives in this business concept.

Thank you taking the time to consider my views
and opinion, I fully support the Capitola Tap
House project.

Bob Edgren
[email protected]
27 Item 4 B.
1 Moss, Julia
From: SHARON GIUDICE <[email protected]>
Sent: Thursday, March 23, 2023 10:05 AM
To: City Council
Subject: Application #22-0030
Follow Up Flag: Follow up
Flag Status: Flagged
Honorable Members of Capitola City Council,
I am writing in support of the Capitola Tap House and ask that you reconsider your decision to deny the application for a Conditional Use Permit.

There seems, to me, to be precedent set with the approval of permits for businesses along Capitola Avenue like “Cork and Fork”, “English Ales” and even “Reef Dog Sandwiches” (although I am not sure if they sell alcohol). They do not have on sight parking and there are also surrounded by businesses and housing units.

I do not know the owner of Capitola Tap House personally, but have observed that she had been forced to survive many obstacles in the past two years to try and get a business up and running. Beyond the shut down due to the pandemic, the site has been “red tagged” multiple times. And yet she has persevered.

I think as the very least, a conditional permit should be granted and then perhaps reviewed in 6 months or so.

Thank you for your time, and also for serving on the city council, Sincerely, Timothy C Kerr
3031/2 Fanmar Way
Capitola, CA 95010
28 Item 4 B.
1 Moss, Julia
From: reynie lave <[email protected]>
Sent: Thursday, March 23, 2023 1:24 PM
To: City Council; Keiser, Marguax; [email protected]; Brooks, Yvette; Clarke, Joe; [email protected]
Subject: Application #22-0282, 401 Capitola Ave, Agenda Item 8-C Follow Up Flag: Follow up
Flag Status: Flagged
Dear Esteemed Council Members,
We are writing to you to urge you to deny Application #22-0282 at 401 Capitola Avenue.

We feel that the City of Capitola has parking rules and restrictions for a good reason and each time the City grants a variance to these rules it makes it more difficult to uphold these rules in the future. Continued granting of parking variances detrimentally impacts the already impacted neighborhoods. Granting a parking variance for a restaurant/cafe with seating for 26 with alcohol service pushes parking into our neighborhood. As history has shown us, people look for free parking first no matter how affordable or close paid parking is. We experience this with the merchants, their employees, Jr. Guard parents, beachgoers, and other visitors to the village.

Please uphold the staff recommendation and Planning Commission decision to deny this request.

Thank you so much for your time, consideration, and service.

Reynie Lave
Margaret Campodonico
310 Fanmar Way
Capitola, Ca
29 Item 4 B.
420 CAPITOLA AVENUE
CAPITOLA, CALIFORNIA 95010
TELEPHONE (831) 475-7300
FAX (831) 479-8879

FINAL LOCAL ACTION NOTICE AND

ZONING PERMIT
March 23, 2023
Jessica Kahn - Public Works Department
420 Capitola Avenue
Capitola, CA 95010
RE: Notice of Final Action on Project Application #23-0123 Kennedy Drive Right-of-Way Between Sir Francis Avenue and Park Avenue #23-0123 Coastal Development Permit request for sidewalk, bike lane, and vehicle parking improvements on Kennedy Drive between Sir Francis Avenue and Park Avenue.

Environmental Determination: Categorical Exemption 15301, Existing Facilities Property Owner: City of Capitola
Representative: Public Works Department, City of Capitola, Filed: 03.07.23 The above matter was presented to the City Council on March 23, 2023, and was approved, with the following findings and conditions. Any modifications to the conditions and findings are indicated below in strikeout and underline notation.

Conditions of Approval:

1. The project approval consists of a Coastal Development Permit for roadway and sidewalk improvements on Kennedy Drive between Sir Francis Avenue and Park Avenue in the R-1 and PD Zoning Districts. The improvements include a new sidewalk with curb and gutter on the south side of Kennedy Drive and a new bicycle lane on the north side of Kennedy Drive. The proposed project is approved as indicated on the final plans reviewed and approved by the City Council on March 23, 2023, except as modified through conditions imposed by the City Council during the hearing.

2. Construction hours shall be limited between the hours of 8:00 a.m. and 5:00 p.m. on weekdays.

Construction shall be prohibited on weekends or legal holidays except in case of an emergency work approved by the Public Works Director. §9.12.080(B) 30 Item 4 C.

Kennedy Drive Right-of-Way Between Sir Francis Avenue and Park Avenue Final Local Action Notice and Zoning Permit – Project Application #23-0123 March 23, 2023

Coastal Development Permit Findings:

A. The project is consistent with the LCP land use plan, and the LCP implementation program.

The Kennedy Drive Sidewalk Project conforms to the City’s certified Local Coastal Plan (LCP) land use plan and the LCP implementation program.

B. The project maintains or enhances public views.

The Kennedy Drive Sidewalk Project will maintain public views.

C. The project maintains or enhances vegetation, natural habitats and natural resources.

The Kennedy Drive Sidewalk Project is located within the Kennedy Drive right-of-way. The improvements will maintain and enhance vegetation and will not have an effect on natural habitats or natural resources.

D. The project maintains or enhances low-cost public recreational access, including to the beach and ocean.

The project involves improved pedestrian, bicycle, and auto circulation and will enhance safety connections to low impact low-cost public recreational access to New Brighton State Beach and the viewpoints along Park Avenue.

E. The project maintains or enhances opportunities for visitors.

The project involves improved pedestrian and bicycle circulation and will enhance opportunities for visitors through safer multimodal transportation options.

F. The project maintains or enhances coastal resources.

The project involves street improvements on Kennedy Drive and will not negatively impact coastal resources.

G. The project, including its design, location, size, and operating characteristics, is consistent with all applicable design plans and/or area plans incorporated into the LCP.

The proposed street improvements comply are consistent with the LCP.

H. The project is consistent with the LCP goal of encouraging appropriate coastal development and land uses, including coastal priority development and land uses (i.e., visitor serving development and public access and recreation).

The project involves pedestrian and bicycle improvements along Kennedy Drive, a coastal access route to New Brighton State Beach and Park Avenue viewpoints. The proposed project is consistent with the LCP by providing safe routes to the coast with a new sidewalk and improved bike lanes.
31 Item 4 C.

Kennedy Drive Right-of-Way Between Sir Francis Avenue and Park Avenue Final Local Action Notice and Zoning Permit – Project Application #23-0123 March 23, 2023

I. The proposed project is consistent with the general plan, any applicable specific plan, the zoning code, and the California Environmental Quality Act (CEQA) and is subject to Section 753.5 of Title 14 of the California Code of Regulations.

Section 15301 of the CEQA Guidelines exempts the alteration of existing public facilities that involve negligible or no expansion of use. Specifically, 15301(c) exempts projects involving existing streets, sidewalks, gutters, bicycle and pedestrian trails, and similar facilities (this includes road grading for the purpose of public safety), and other alterations such as the addition of bicycle facilities, including but not limited to bicycle parking, bicycle-share facilities and bicycle lanes, transit improvements such as bus lanes, pedestrian crossings, street trees, and other similar alterations that do not create additional automobile lanes. The project involves a new sidewalk, new bicycle lane, and related access improvements to an existing roadway. The project will not create additional automobile lanes and involves a negligible expansion of use.

No adverse environmental impacts were discovered during review of the proposed project.

This permit is issued to the owner of the property. In executing this permit, owner agrees to comply with all terms of permit, including conditions of approval, if any. Permit must be exercised within 24 months of date of issuance (March 23, 2025) unless otherwise indicated in conditions of approval. 32 Item 4 C.
1 Moss, Julia
From: Aurore Sibley <[email protected]>
Sent: Friday, March 17, 2023 5:10 PM
To: City Council
Subject: Sidewalk on Kennedy Drive
Follow Up Flag: Follow up
Flag Status: Flagged
To whom it may concern,
I live in Capitola Knolls between Park Avenue and Saint Francis Avenue and I’m very pleased to hear that a sidewalk is being considered along this stretch of road where many middle school students walk and bike to and from New Brighton middle school each day. My daughter will be among the students there next year. I hope the initiative is approved.

Sincerely,
Aurore Sibley
Sent from Yahoo Mail for iPhone
33 Item 4 C.
1 Moss, Julia
From: Chris Hadland <[email protected]>
Sent: Saturday, March 18, 2023 9:09 AM
To: City Council
Subject: Sidewalk addition to Kennedy Dr - March 23 agenda item Hello Council Member -
My wife and I have been residents in the Capitola Knolls condo association for over 22 years. Our condo looks straight out toward the area where the sidewalk is proposed, so I'd like to think that we have an unique perspective on the topic of adding a pedestrian walkway and changing the driving lanes.

We have been in support of a better pedestrian pathway in this location, since we purchased our home in 2000.

The stretch between Park Ave and Sir Francis is moderately traveled in the morning by young students on their way to New Brighton Middle school, from the neighborhoods on the other side of the freeway and Park Ave.

Again, this corridor is moderately traveled by students going home in the afternoon. Once again, this corridor is traveled by the young kids that go to the skate and bike park on McGregor. For every adult that travels this stretch on foot or on a bike, there are 10 kids that have to navigate this stretch where currently no pedestrian pathway is provided.

With that said, I believe that it is imperative that we focus on providing a safe travel corridor, especially for our children.

The loss of parking is a minor point. On most days, there is enough parking on one side of the street, that if the other side were gone, the existing side could handle the volume.

One of the crucial times of travel is just before school starts, when parents are driving their kids to school, and other kids are riding their bikes and walking to school. In the current state, the kids are forced into the street because of parked cars on both sides. I believe that this can and should be corrected.

In my opinion, the problem with the current plan is that the bike lane will be subject to cars crossing over into the bike lane on the north side. Even with the car lanes current width, when a car is traveling eastbound (downhill), and cars are parked also facing eastbound, the traveling cars are forced into the westbound traffic lane because of the already narrow lane width, thus causing the westbound traffic to move toward the curb on the North side of the road. Remember that we have 18 wheelers and large dump trucks that drive this section of road too. (Artic Glacier Premium Ice Co and Earth Works to name a few). The current lane width is consdierably wider on the North side of the street, then on the south side of the street. Once the proposed changes are made, particularly the reduced width of the car travel lanes, this will become even more of an issue. I am of the opinion that travel in the proposed bike lane will not be safe, especially since it turns into a "Sharrow" lane (shared bike and car) just before the entrance of the Capitola Knolls Sutherland lane entrance. Forcing a bike that is riding up the hill toward the stop sign at Sir Francis, to suddenly share the road with cars that are still traveling at a much greater speed than the bike (riding up the hill), is completely stupid.

Most bicyclist that are riding up the hill are at a crawl as they approach the stop sign. I ask you to take your bike to this location and just before the entrance to Sutherland lane, jump on your bike and try to merge with 34 Item 4 C.
2 traffic coming up the hill in the same direction that you are traveling. You will get hit or at least honked at. As it is now, the kids have to share the road as they near the stop sign, but the lane is currently wide enough (just barely) that a kid on a bike and a car can share the width of the current lane. Once the lane is narrowed, that will increase the conflict.

I would like to propose that the parking be on the north side of the streeet, with the bike lane between the curb and the parking lane. The bike lane would then be protected by parked cars (or the parking lane). The opposite side of the road (the south side) would have the raised sidewalk for pedestrians on foot, and bikes would "share" the lane going DOWN the hill, where a bike can much easier keep up with the speed of the traffic. Sharing a lane going down a hill makes more sense, vesrse trying to share a lane while riding a bike up a hill makes much less sense.

If the "sharrow" idea heading up the hill prevails, then the bike lane and the NO PARKING needs to extend past the stop sign at the corner of Sir Franics. This now starts to impact the current parking of the residnets in the neighborhoold and I find this to be a less attractive option.

I find it dissapointing that it appears that no neighbors were interview by Kimly and Horn, in order to get a perspective of the daily flow of traffic and pedestrians in our neighborhood.

Thank you for listening.

Chris and Christy Hadland
[email protected] & [email protected]
831 840-0194 & 831 246-3027
35 Item 4 C.

Capitola City Council
Agenda Report
Meeting: March 23, 2023
From: City Manager Department
Subject: Consider and Approve 3/9/2023 & 3/16/2023 City Council Meeting Minutes
Recommended Action: Approve minutes from the regular meeting on March 9, 2023, and special meeting on March 16, 2023.

Background: Attached for Council review and approval are the draft minutes from the regular City Council meeting on March 9, 2023, and special City Council meeting on March 16, 2023.

Attachments:

1. 3/9/2023 Regular Minutes

2. 3/16/2023 Special Minutes
Report Prepared By: Julia Moss, City Clerk
Approved By: Jamie Goldstein, City Manager
36 Item 7 A.

City of Capitola
City Council Meeting Minutes
Thursday, March 09, 2023 – 6:00 PM
City Council Chambers
420 Capitola Avenue, Capitola, CA 95010
Mayor: Margaux Keiser
Vice Mayor: Kristen Brown
Council Members: Yvette Brooks, Joe Clarke, Alexander Pedersen Closed Session – 5:30 PM
Called to order at 5:30 PM. In attendance: Council Members Brooks, Clarke, Pedersen, and Vice Mayor Brown. Absent: Mayor Keiser
i. CONFERENCE WITH LEGAL COUNSEL - ANTICIPATED LITIGATION (§ 54956.9) Significant exposure to litigation pursuant to § 54956.9(d)(4): one case Regular Meeting of the Capitola City Council – 6 PM

1. Roll Call and Pledge of Allegiance - Called to order at 6:02 PM. In attendance: Council Members Brooks, Clarke, Pedersen, Brown, and Mayor Keiser.

2. Additions and Deletions to the Agenda - None

3. Presentations
A. The Mayor presented a proclamation declaring March 2023 as Red Cross Month to Antonio Rivas, Executive Board Member on the American Red Cross Central Coast Board.

4. Report on Closed Session
The City Council met and discussed one item on the Closed Session Agenda and took no reportable action.

5. Additional Materials
A. Correspondence Received - Item 8B
B. Correspondence Received - Item 8C

6. Oral Communications by Members of the Public - None

7. Staff / City Council Comments
City Manager Goldstein shared a brief update on sandbag availability and storm preparations.

Council Member Brooks shared that Capitola received a Grade A rating from the California State of Tobacco Control.

Mayor Keiser shared that the new Capitola Museum exhibit will open on March 18th at 11:30 AM.

8. Consent Items
A. Consider and Approve 2/23/2023 & 3/1/2023 City Council Meeting Minutes 37 Item 7 A.

City Council Meeting Minutes – March 09, 2023
City of Capitola Page 2
B. Capitola Bar & Grill Entertainment Permit Administrative Appeal Recommended Action: Set the hearing date and time for the Capitola Bar & Grill administrative appeal for April 13, 2023, at 6:00 PM.

C. Beach House Rentals, LLC Transient Occupancy Tax Administrative Appeal Recommended Action: Set the hearing date and time for the Beach House Rentals, LLC appeal for May 25, 2023, at 6:00 PM.

D. Ordinance Amending Capitola Municipal Code Sections 8.04.020 and 8.04.080 Recommended Action: Adopt an ordinance of the City of Capitola amending Capitola Municipal Code Sections 8.04.020 and 8.04.080 regarding the storage of waste collection containers.

E. Termination of Local Emergency
Recommended Action: Adopt a resolution terminating the Proclamation of the Existence of a Local Emergency due to the Worldwide Spread of the Coronavirus (“COVID-19”).

Mayor Keiser pulled Item 8B from the Consent Calendar.

Motion to approve Items 8A, 8C, 8D, and 8E: Council Member Brooks Seconded: Council Member Clarke
Voting Yea: Council Members Brooks, Clarke, Pedersen, Brown, and Mayor Keiser Motion to approve Item 8B: Council Member Brooks
Seconded: Clarke
Voting Yea: Council Members Brooks, Clarke, Pedersen, and Vice Mayor Brown Abstaining: Mayor Keiser

9. General Government / Public Hearings
A. Consider Changes to Administrative Policy V-18: Outdoor Display of Governmental and NonGovernmental Flags on City Property Recommended Action: Approve changes to policy.

Chloe Woodmansee, Assistant to the City Manager, presented the staff report.

Council Member discussion included clarification regarding the best practice for Council Member sponsorship, non-governmental flag approval and denial.

Public Comments: None
Motion to approve the changes listed in Option 2 with added language regarding Council Member sponsorship procedure: Council Member Clarke Seconded: Vice Mayor Brown
Voting Yea: Council Members Brooks, Clarke, Pedersen, Brown, and Mayor Keiser B. Fiscal Year 2023-2024 Federal Funding Requests
Recommended Action: Consider requests for Fiscal Year 2023-24 Federal Funding.

Public Works Director Kahn presented the staff report.

Public Comments: None
Motion to direct staff to apply for three federal funding sources for three projects: Vice Mayor Brown
Seconded: Council Member Brooks
Voting Yea: Council Members Brooks, Clarke, Pedersen, Brown, and Mayor Keiser C. City Council Orientation Presentation
38 Item 7 A.

City Council Meeting Minutes – March 09, 2023
City of Capitola Page 3
Recommended Action: Receive presentation and provide feedback regarding potential Administrative Policy updates.

City Manager Goldstein, City Attorney Zutler, City Clerk Moss, and Assistant to the City Manager Woodmansee presented the staff report.

Council Member discussion included guidance for a new Administrative Policy regarding City Council training and travel.

10. Adjournment - Adjourned at 7:49 PM to a special meeting on March 16, 2023, at 6:00 PM. ____________________________
ATTEST: Margaux Keiser, Mayor
___________________________
Julia Moss, City Clerk
39 Item 7 A.

City of Capitola
Joint City Council and Planning Commission
Workshop Minutes
Thursday, March 16, 2023 – 6:00 PM
City Council Chambers
420 Capitola Avenue, Capitola, CA 95010
Mayor: Margaux Keiser
Vice Mayor: Kristen Brown
Council Members: Yvette Brooks, Joe Clarke, Alexander Pedersen Special Joint Meeting of the Capitola City Council and Planning Commission – 6 PM

1. Roll Call and Pledge of Allegiance
Meeting called to order at 6:01 PM. In attendance: Council Members Brooks, Clarke, Pedersen, Brown, and Mayor Keiser. Also in attendance: Commissioners Estey, Jensen, Wilk, Christiansen, and Chair Westman.

2. Additions and Deletions to the Agenda – None

3. Additional Materials
A. Correspondence Received - Item 5A

4. Oral Communications by Members of the Public
John Hakin, resident, spoke about Cabrillo Mobile Home Estates Park.

Laura Tucker, resident, spoke about Cabrillo Mobile Home Estates Park.

Dianne Deligle, resident, spoke about Cabrillo Mobile Home Estates Park.

Marilyn Chop, resident, spoke about Cabrillo Mobile Home Estates Park.

Anthony Kresge, Reef Dog Deli owner, spoke about the parklet outdoor dining program.

Council Member Brooks asked staff to bring an item back to Council regarding the Cabrillo Mobile Home Estates Park and requested staff to work with Reef Dog Deli regarding their parklet extension request.

5. General Government / Public Hearings
A. Citywide Housing Element Work Session
Recommended Action: Receive a presentation regarding the Housing Element Update and Sites Inventory.

Community Development Director Herlihy and consultants Veronica Tam and Bret Stinson presented the staff report.

The following members of the public provided feedback on the presented map:

Laura Tucker, resident Kalisha Webster, Housing Choices John Mulry, resident Ralph, resident Jane Barr, resident
40 Item 7 A.

Joint City Council and Planning Commission Workshop - Housing Element Update Minutes – March 16, 2023 City of Capitola Page 2
Planning Commission and City Council comments included a discussion of density, requirement and timing of a zoning update, trends in ADU development, development of the Capitola Mall, suggestions for evaluation of specific sites, and potential consequences for noncompliance with the Housing Element.

6. Adjournment – The meeting was adjourned at 8:23 PM to the next regularly scheduled meeting of the City Council on March 23, 2023, at 6:00 PM.
____________________________
ATTEST: Margaux Keiser, Mayor
____________________________
Julia Moss, City Clerk
41 Item 7 A.

Capitola City Council
Agenda Report
Meeting: March 23, 2023
From: Finance Department
Subject: Approval of City Check Registers Dated February 17, 2023, and March 3, 2023
Recommended Action: Approve check registers.

Account: City Main
Date Starting Check # Ending Check # Payment
Count Amount
2/17/2023 102691 102788 103 $ 361,379.88
3/3/2023 102789 102900 119 $ 643,495.33
The main account check register dated February 3, 2023, ended with check #102690.

Account: Payroll
Date Starting
Check/EFT #
Ending
Check/EFT #
Payment
Count Amount
2/17/2023 21358 21453 96 $ 175,122.04
3/3/2023 21454 21544 91 $ 181,310.12
The payroll account check register dated February 3, 2023, ended with EFT #21357.

Following is a list of payments issued for more than $10,000 and descriptions of the expenditures:

Check/
EFT Issued to Dept Description Amount
102697 American Traffic Solutions
Inc PW 1
st half of FY22/23 red light
revenue
$ 10,247.70
102706 Burke Wiliams and
Sorensen LLP CM November & December legal services $ 29,889.80 102720 Emergency Vehicle
Specialists Inc PD Cradlepoint installations $ 10,469.70 102727 Greenwaste Recovery Inc PW Storm cleanup, disposal charge, haul charge $ 35,074.51
102747 Moffatt and Nichol PW Wharf design, permit,
construction support $ 10,392.00
102748 Motorola Solutions Inc PD Remote speaker microphones, radios, chargers $ 31,422.71
102751 Pacific Gas & Electric PW February utilities $ 18,430.26 1482 CalPERS Member
Services Division CM PERS contributions PPE 2/4/23 $ 54,493.58 1484 Internal Revenue Service CM Federal taxes & Medicare PPE 2/4/23 $ 31,388.94
42 Item 7 B.
102789 Santa Cruz County Bank Fin Pacific Cove financing lease $ 82,532.87 102799 Bear Electrical Solutions
Inc PW
41st & Cliff pedestrian polara
solar install, 41st & Reposa
pedestrian telespar pole install,
January traffic signal
maintenance
$ 23,566.50
102803 Burke Williams and
Sorensen LLP CM January legal services $ 30,072.48
102805 California Grey Bears Inc CDD CDBG health food program grant $ 13,741.44
102837 McKim Corporation PW Clares St traffic calming $ 136,955.83 102870 Visit Santa Cruz County Fin October – December TMD $ 57,930.64 102872 Wells Fargo Bank Fin January credit card charges $ 54,846.79 1487 CalPERS Health Insurance CM March health insurance $ 63,630.06 1488 CalPERS Member
Services Division CM PERS contributions PPE 2/18/23 $ 54,714.88 1490 Internal Revenue Service CM Federal taxes & Medicare PPE 2/18/23 $32,733.93
Attachments:

1. 2-17-23 Check Register

2. 3-3-23 Check Register
Report Prepared By: Leda Laidlaw-Hunter, Accountant I
Reviewed By: Julia Moss, City Clerk and Jim Malberg, Finance Director Approved By: Jamie Goldstein, City Manager
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Capitola City Council
Agenda Report
Meeting: March 23, 2023
From: Finance Department
Subject: Temporary Village Parking Committee Recommendations Recommended Action: Direct staff to prepare the necessary documentation to approve the Temporary Village Parking Committee recommendations.

Background: On April 28, 2022, the City Council approved the Temporary Village Parking Committee (TVPC) goals and made appointments to the ad hoc committee. The appointments consisted of three City residents, three Village business representatives, one member of the Finance Advisory Committee, and two members of the City Council as follows:
 Dennis Norton – City resident – Committee Chairperson  Margaux Keiser – Vice Mayor – Vice Chairperson
 Jacques Bertrand – City Councilmember
 Anthony Guajardo – Village business representative
 Vicki Guinn – Village business representative
 Carin Hanna – Village business representative
 Molly Ording – City resident
 Peter Wilk – City resident
 Anthony Rovai – Finance Advisory Committee representative The ad hoc committee also received staff support during its duration. City staff included:
 Andy Dally – Police Chief
 Katie Herlihy – Community Development Director
 Tracie Hernandez – Police Records Manager
 Jessica Kahn / Steve Jesberg – Public Works Director
 Jim Malberg – Finance Director
The City Council approved the following committee goals at the time of formation:
 Examine parking meter rates to determine if there should be an inflation adjustment.  Evaluate equity between permit costs/utility for Village parking.  Examine changes to parking program rules and rates to encourage use of Upper and Lower Beach and Village parking lots.
 Evaluate opportunities to reduce parking impacts on neighborhoods, without expanding permit zones or Coastal Commission approval of permit rules.

The TVPC did NOT review the following:
 Changes in parking meter zone areas
 Changes to permit parking program boundaries.
 Consider new parking meter areas or permit areas.
75 Item 8 A.

Discussion: The TVPC met seven times during the summer and fall of 2022 to review and discuss parking meter rates, parking permits, parking signage, and renaming the Upper and Lower Beach & Village Parking lots. The TVPC is making the following recommendations for City Council consideration.
 Parking Rates
o Increase parking rates from $1.50 per hour to $2.00 per hour in the Village and maintain three-hour maximum.
o Increase parking rates from $1.00 per hour to $2.00 per hour on Cliff Drive and maintain twelve-hour maximum.
o Increase parking rates from $0.50 per hour to $1.00 per hour in the Upper and Lower Beach and Village parking lots and maintain twelve-hour maximum.  Parking Permits
o Add Holidays as a parking permit requirement on Fanmar/Terrace and the 300 block of San Jose Avenue (currently only restricted on weekends) o Transferrable permits – Capitola Hotel – increase from $50 per year to $365 per year, maximum of 10 permits allowable.
o Surf & Coffee Permits – increase from $50 per year to $55 per year and increase number of permits from 75 to 100.
 Parking Signs
o Replace existing signs with surfboard design to be consistent with the new sign in the Village.
o Install parking signs (banners) over Capitola Avenue near entrance to Beach & Village parking lots as well as over parking lot entrances on Bay Avenue and Monterey/Park Avenue.
o City staff should work with County Assessor and USPS to change parking lot address from 426 Capitola Avenue to Bay, Monterey, and Park Avenue entrance addresses to make it easier to find with online mapping applications. o City staff should work with Google Maps, Apple Maps, Waze, etc. to move pin when searching for parking to Bay, Monterey, and Park Avenue entrances.  Other
o Rename Upper and Lower Beach & Village parking lots to Capitola Beach & Village Lot #1 and Capitola Beach & Village Lot #2 and make sure signs state that it is All Day Parking.
o City staff should explore options to notify motorists when Esplanade parking is full.

If the City Council desires to implement any of the TVPC recommendations related to parking meter rates, staff will begin the process of updating the Municipal Code and submitting for Coastal Commission certification which takes approximately six months to complete.

Fiscal Impact: Increases to the rates for parking meters and parking permits would increase revenues from those sources depending upon the amount of increase. The TVPC recommendations as presented would result in an estimated increase in revenues of $400,000 annually.
76 Item 8 A.

Attachments:

1. Temporary Village Parking Committee Summary & Recommendations Report Prepared By: Jim Malberg, Finance Director
Reviewed By: Julia Moss, City Clerk; Samantha Zutler, City Attorney Approved By: Jamie Goldstein, City Manager
77 Item 8 A.

Temporary Village Parking Committee
Summary and Recommendations
March 23, 2023
The following report reflects the majority view of the committee members which consisted of Village residents and merchants as well as two members of the City Council and a member of the Finance Advisory Committee.

Executive Summary
The following recommendations are made as an effort to alleviate traffic in the Village by directing visitors to the Upper and Lower Beach and Village parking lots while also maintaining a revenue source for administering the parking program.

Specific Recommendations:
 Parking Rates
 Increase parking rates from $1.50 per hour to $2.00 per hour in the Village and maintain three-hour maximum. (Estimated revenue increase = $161,000)  Increase parking rates from $1.00 per hour to $2.00 per hour on Cliff Drive and maintain twelve-hour maximum. (Estimated revenue increase = $97,000)  Increase parking rates from $0.50 per hour to $1.00 per hour in the Upper and Lower Beach and Village parking lots and maintain twelve-hour maximum. (Estimated revenue increase = $157,000)
 Parking Permits
 Add Holidays as a parking permit requirement on Fanmar / Terrace and the 300 block of San Jose Avenue (currently only restricted on weekends)  Transferrable permits – Capitola Hotel – increase from $50 per year to $365 per year, maximum of 10 permits, allow additional accommodations for availability of parking spaces, and consider dedicated space in front of the hotel at same $3,400 annual cost as outdoor dining program.
 Surf & Coffee Permits – increase from $50 per year to $55 per year and increase number of permits from 75 to 100.
 Parking Signs
 Replace existing signs with surfboard design to be consistent with the new sign in the Village.
 Install parking signs (banners) over Capitola Ave. near entrance to Beach & Village parking lots as well as over parking lot entrances on Bay Avenue and Monterey/Park Avenue.
 City staff should work with County Assessor and U.S.P.S. to change parking lot address from 426 Capitola Ave. to Bay, Monterey, and Park Ave. entrance addresses to make it easier to find with mapping Aps.
 City staff should work with Google Maps, Apple Maps, Waze, etc. to move pin when searching for parking to Bay, Monterey, and Park Ave. entrances. 78 Item 8 A.
 Other
 Rename Upper and Lower Beach & Village parking lots to Capitola Beach & Village Lot #1 and Capitola Beach & Village Lot #2 and make sure signs state that it is All Day Parking.
 City staff should explore options to notify motorists when Esplanade parking is full.
 Action Items
 Parking Committee recommendation to City Council
 City Council Municipal Code update
 Submit update to Coastal Commission for certification  Coastal Commission adoption or conditional approval
 Coastal Commission certification is a 6-month process Background

On April 28, 2022, the City Council approved the Temporary Village Parking Committee (TVPC) Goals and made appointments to the committee consisting of three City residents, three Village business representatives, one member of the Finance Advisory Committee, and two members of the City Council.

Committee Organization
The organizational meeting was held on May 31, 2022, in the Community Room. During the meeting the committee appointed a Chairperson and Vice Chairperson, adopted the meeting schedule, reviewed the workplan and goals, and reviewed parking meter areas and rates.
 Members of the TVPC consist of:
o Dennis Norton – City resident – Committee Chairperson o Margaux Keiser – Vice Mayor – Vice Chairperson
o Jacques Bertrand – City Councilmember
o Anthony Guajardo – Village business representative
o Vicki Guinn – Village business representative
o Carin Hanna – Village business representative
o Molly Ording – City resident
o Anthony Rovai – Finance Advisory Committee representative o Peter Wilk – City resident
 City staff support:
o Andy Dally – Police Chief
o Katie Herlihy – Community Development Director
o Tracie Hernandez – Police Records Manager
o Jessica Kahn / Steve Jesberg – Public Works Director
o Jim Malberg – Finance Director
79 Item 8 A.

The TVPC met seven times during the summer and fall. While the committee members recognized that the priorities of the residents and merchants are not always consistent, they worked together to achieve a common ground to maintain a vibrant Village attractive to residents and supportive of compatible businesses and services for residents and visitors alike.

Committee Goals
 Examine parking meter rates to determine if there should be an inflation adjustment
 Evaluate equity between permit costs / utility for Village parking  Examine changes to parking program rules and rates to encourage use of Upper and Lower Beach and Village parking lots
 Evaluate opportunities to reduce parking impacts on neighborhoods, without expanding permit zones or Coastal Commission approval of permit rules  The TVPC did NOT review the following:
o Changes in parking meter zone areas
o Changes to permit parking program boundaries
o Consider new parking meter areas or permit areas
Committee Workplan
The following workplan was adopted to achieve the goals of the TVPC:

Goal Actions
Examine parking meter rates to
determine if there should be an inflation
adjustment.
 Review data regarding how parking
costs have changed
 Compare rates to other coastal cities
 Evaluate change in CPI since last
adjustment
 Evaluate ratio of parking rates in
Village to Beach and Village Parking
Lots
Evaluate equity between permit
costs/utility for
Village Parking
 Review data regarding costs for
various parking permit types, and
rights associated with each
 Compare costs to existing per space
meter revenue
Examine changes to parking programs
rules and rates to encourage use of upper
and lower Beach and
 Examine if there are new permit
variants that could be offered at
low/no cost
 Examine if other permit rates can be
adjusted to encourage use of remote
lots
80 Item 8 A.

Evaluate opportunities to reduce parking
impacts on neighborhoods, without
expanding permit zones or Coastal
Commission-approve permit rules
 Evaluate parking permit rules, that are
not subject to Coastal Commission
review
Parking Committee will not review:

1. Changes in parking meter zone areas

2. Changes permit parking program boundaries

3. Consider new parking meter areas or permit areas
Information Reviewed
The TVPC reviewed and discussed the following information:
 Coastal Commission opinion
o Overall support
o Coastal Plan amendment
o Individual CDP’s (permitting)
 Review of existing parking rates for coastal California cities  Review of the rules and boundaries of the existing permit parking programs authorized in the Village and surrounding neighborhoods  Parking meter and Permit parking historic revenue analysis  Identify all necessary zoning and policy changes
 CEQA compliance review if necessary
 Inflation rates since last update
 Location and type of parking signage throughout City
Observations
 The committee discussed various parking rate structures including variable rates related to peak and non-peak seasons. Also discussed were creating free parking areas or free parking seasons in the Beach & Village lots to encourage use of those parking lots. Ultimately the TVPC reached consensus that keeping the program as simple as possible would be the best approach.  Many visitors encounter difficulties using the parking pay stations and ease of use should be a consideration when current pay stations require replacement.  The parking permit program is working as intended with the exception of possible equity adjustments related to transferable parking permits.  Utilizing consistent signage and increasing that signage could be instrumental in directing visitors to the Upper and Lower Beach & Village parking lots during high traffic time periods.
 Additional revenues generated could be utilized for program enhancements such as equipment upgrades and additional signage.
81 Item 8 A.

Recommendations
 Parking Rates
 Increase parking rates from $1.50 per hour to $2.00 per hour in the Village and maintain three-hour maximum. (Estimated revenue increase = $161,000)  Increase parking rates from $1.00 per hour to $2.00 per hour on Cliff Drive and maintain twelve-hour maximum. (Estimated revenue increase = $97,000)  Increase parking rates from $0.50 per hour to $1.00 per hour in the Upper and Lower Beach and Village parking lots and maintain twelve-hour maximum. (Estimated revenue increase = $157,000)
 Parking Permits
 Add Holidays as a parking permit requirement on Fanmar / Terrace and the 300 block of San Jose Avenue (currently only restricted on weekends)  Transferrable permits – Capitola Hotel – increase from $50 per year to $365 per year, maximum of 10 permits
 Surf & Coffee Permits – increase from $50 per year to $55 per year and increase number of permits from 75 to 100
 Parking Signs
 Replace existing signs with surfboard design to be consistent with the new sign in the Village.
 Install parking signs (banners) over Capitola Ave. near entrance to Beach & Village parking lots as well as over parking lot entrances on Bay Avenue and Monterey/Park Avenue.
 City staff should work with County Assessor and U.S.P.S. to change parking lot address from 426 Capitola Ave. to Bay, Monterey, and Park Ave. entrance addresses to make it easier to find with mapping Aps.
 City staff should work with Google Maps, Apple Maps, Waze, etc. to move pin when searching for parking to Bay, Monterey, and Park Ave. entrances.  Other
 Rename Upper and Lower Beach & Village parking lots to Capitola Beach & Village Lot #1 and Capitola Beach & Village Lot #2 and make sure signs state that it is All Day Parking.
 City staff should explore options to notify motorists when Esplanade parking is full.

Summary
Parking in the Village has been and will continue to be an ongoing challenge. It is important that the City Council continue to engage with residents and business owners looking for ways to continually improve the parking program. In order to maintain a vibrant Village, it is crucial that the experiences of residents, business owners, and visitors are pleasant, and parking is a critical part of that experience. 82 Item 8 A.

Capitola City Council
Agenda Report
Meeting: March 23, 2023
From: Public Works Department
Subject: Coastal Rail Trail Segments 10 and 11
Recommended Action: Receive report on the Coastal Rail Trail Segments 10 and 11 Project through the City of Capitola.

Background: The Santa Cruz County Regional Transportation Commission (RTC) adopted the Monterey Bay Sanctuary Scenic Trail (MBSST) Master Plan in November 2013. The Master Plan laid out an overview of the Coastal Rail Trail, a proposed 32-mile-long paved multi-use pathway for bicyclists and pedestrians along the RTC-owned Santa Cruz Branch Rail Line (SCBRL). The Master Plan divided the Coastal Rail Trail into 20 segments. The cities of Capitola, Santa Cruz, Watsonville, and County of Santa Cruz all adopted the MBSST Master Plan in 2014.

In November 2016, over two-thirds of Santa Cruz County voters approved a 1/2-cent sales tax to fund transportation projects and programs (Measure D). Seventeen percent of Measure D revenues are allocated for active transportation (development and construction of the Coastal Rail Trail and maintenance of the corridor). Over the 30-year life of the Measure, active transportation allocations are forecasted to be approximately $178 million. However, there is insufficient Measure D revenue to fully fund the construction costs of the entire 32-mile Coastal Rail Trail. The most effective use of Measure D funds is to leverage them for larger state and federal grant opportunities.

County of Santa Cruz Segments 10 and 11 Project Description The Coastal Rail Trail Segments 10 and 11 Project is being led by the County of Santa Cruz (County) in coordination with the City of Capitola and the RTC, as the owner of the Santa Cruz Branch Rail Line rightof-way. The Segments 10 and 11 Project under development by the County is an approximately 4.5-mile ADA-accessible bicycle/pedestrian path that generally extends along the SCBRL corridor from 17th Avenue in Live Oak to State Park Drive in the Seacliff neighborhood. The Segments 10 and 11 Project is currently in the preliminary design and environmental review phase, with an Environmental Impact Report (EIR) scheduled for public review in October 2023 and certification in March 2024. Schematic plans for both an “Ultimate Trail” configuration, where the trail is constructed next to the railroad tracks, and an “Interim Trail” configuration, where the tracks are removed and the trail is constructed in the existing location of the railroad tracks as part of an optional first phase, have been developed.

Consistent with the 2016 Measure D Ordinance and the strategy to use Measure D funding to leverage state and federal grant opportunities, the County of Santa Cruz applied for, and was awarded, $67.6 million in competitive grant funding from the California Transportation Commission (CTC) through the State Active Transportation Program (ATP) in December 2022 for Coastal Rail Trail Segments 10 and

11. With matching funds from Measure D, this funding is sufficient to fully fund the Ultimate Trail configuration with construction anticipated to start in Fiscal Year 2026/27.

The Ultimate Trail configuration for the Segments 10 and 11 Project is consistent with the MBSST Master Plan and aligns the trail on the inland side of the railroad tracks from 17th Avenue in Live Oak and into the City of Capitola to 47th Avenue. The trail alignment switches to the coastal side of the rail tracks at 47th Avenue and continues on the coastal side of the rail tracks, generally parallel to Cliff Drive, until the eastern end of the City of Capitola public parking spaces. Here, the trail ends at the existing crosswalk that brings pedestrians from the inland to the coast side of Cliff Drive (see Attachment 1, page 2). The Project proposes reconfiguring the public parking spaces in this location to allow for construction of the trail between the rail and public parking and to maintain an uphill bicycle lane on Cliff Drive. The project 83 Item 8 B.
also proposes to replace the existing narrow informal staircase from Opal Street to Cliff Drive with a wider staircase, an improved and formalized rail crossing (subject to California Public Utilities Commission (CPUC) approval), and a small trail plaza at the eastern end of the public parking spaces.

The trail starts again at the Monterey/Park Avenue intersection continues to State Park Drive in the unincorporated area of the County, consistent with the MBSST Master Plan. The trail is aligned on the coast side of the railroad tracks from Monterey Ave to Mar Vista Dr. At Mar Vista Dr, the trail alignment switches to the inland side of the railroad tracks until the eastern terminus of Segment 11 at State Park Dr. The project proposes to formalize the existing informal trail from Coronado St. down to New Brighton State Beach. Proposed improvements include an accessible ramp from the Coronado St. and Park Ave intersection to the Rail Trail with a formalized rail crossing (subject to CPUC approval) and a new concrete staircase from the trail to the New Brighton State Beach parking lot.

The approximately 0.5 mile portion of the Coastal Rail Trail between the pedestrian crossing at Cliff Dr to the Monterey/Park intersection is not included in the Ultimate Trail configuration, due to the structural condition of the Capitola Trestle, which spans Soquel Creek and Capitola Village.

Due to structural considerations, the Trail cannot be attached or cantilevered from the Trestle.

Additionally, there is insufficient room to build an adjacent trail structure next to the Trestle. Due to these constraints, the MBSST Master Plan considered that Coastal Rail Trail facilities across Soquel Creek would be included in future design plans for a new rail bridge replacement at Soquel Creek and that access the Trail would use existing surface streets and sidewalks to cross Soquel Creek and travel through Capitola Village.

The Interim Trail configuration considered structural reinforcements and replacement of the tracks with a light-weight deck to accommodate bicycles and pedestrians; however, this option is not being pursued due to regulatory issues and RTC’s plans to consider Trestle replacement as part of the Zero-Emission Passenger Rail Concept Report and EIR, which will study a new passenger rail system between Pajaro Junction in Monterey County and Natural Bridges Dr. in the City of Santa Cruz, and will also include development of trail segments between Rio Del Mar Blvd. and Pajaro that have not advanced past the planning stage. Work on the passenger rail and trail concept report is expected to start in 2023 and take approximately two years to complete. Once the concept report is completed, RTC will pursue environmental clearance and eventual funding to construct, operate, and maintain the project.

Discussion: Staff has been in discussions with County of Santa Cruz and RTC staff regarding potential bicycle and pedestrian enhancements along the MBSST through Capitola Village.

Staff for the County and RTC have proposed constructing circulation improvements along the MBSST through Capitola Village as part of a separate project rather than including it in the construction of the proposed trail adjacent to the rail tracks. Specific project features have yet to be identified, however, potential improvements could include additional and expanded sidewalks, pedestrian crossings, Class III and/or IV bike facilities, and new striping and signage.

Note that the Project currently does includes some minor improvements along the MBSST through the Village, including signage directing trail users between the two trail ends.

Improvements to the bicycle and pedestrian network within Capitola Village are not part of the County’s Segments 10 and 11 Project scope, so would not be eligible for the County’s CTC ATP grant funds.

However, improvements would be eligible for Measure D active transportation funding to improve the MBSST through Capitola Village. Similar to the Coastal Rail Trail, the most effective use of these funds is to leverage them for a larger grant opportunity.

One option to address the situation would be for Capitola to define desired bicycle and pedestrian enhancements in the Village through a public active transportation planning process. This would be similar to Active Transportation Plans (ATPs) completed by other local jurisdictions in Santa Cruz County with a focus on the Village. RTC staff has indicated the RTC would assist the City in scoping and applying for grant funding to develop a Village ATP. A Village ATP would be useful to improve circulation to and through the Village, regardless of the Coastal Rail Trail. City staff, in coordination with RTC and the 84 Item 8 B.

County of Santa Cruz, could pursue several grant funding opportunities. The current proposed funding plan is described below.

Winter 2023-2024 Capitola applies for Caltrans FY 2024-25 Sustainable Transportation Planning Grant to develop a Capitola Village ATP Spring/Summer 2024 Capitola Project awarded planning funding for Capitola Village ATP Summer/Fall 2025 Capitola completes Village ATP Plan
Spring/Summer 2026 Capitola applies for a State Active Transportation Plan Grant to complete design, environmental, permitting for projects identified in the Village ATP
Winter 2026 Project awarded construction funding
July 2027 Construction funds allocated
Between now and applying for FY 2024-25 Sustainable Transportation Planning Grant, City staff would work with the County of Santa Cruz and RTC to better define project needs, preferred options, and general scope and schedule.

Fiscal Impact: The City has not expended any funds to date to identify connections from Coastal Rail Trail Segments 10 & 11 to Capitola Village. Local match funding to support proposed grant applications could include Measure D Active Transportation Allocations.

Attachments:

1. Coastal Rail Trail Segments 10 and 11 in Capitola City Limits Report Prepared By: Jessica Kahn, Public Works Director Reviewed By: Julia Moss, City Clerk; Samantha Zutler, City Attorney Approved By: Jamie Goldstein, City Manager
85 Item 8 B.

SYMBOL DESCRIPTION SITE FURNISHINGS AND EQUIPMENT CONCRETE TRACK PANEL SEPARATION FENCING PROPOSED SIGN RELOCATED PAY STATION TRASH RECEPTACLES BENCH CROSSWALK BARRIER BIKE RACKS FLEXIBLE BOLLARD GUARDRAIL SYSTEM PEDESTRIAN AND TRAFFIC CONTROL 6" WIDE CURB 8" WIDE CURB 6" CURB AND GUTTER CURB RAMP DETECTABLE WARNING SURFACE HMA PAVEMENT (TRAIL) HMA PAVEMENT (ROAD) CONCRETE SIDEWALK CONTINENTAL CROSSWALK STRIPING CROSSBIKE MARKINGS LADDER CROSSWALK STRIPING PROPOSED AT-GRADE CROSSING PROPOSED STAIRS TRAIL CHICANE STRUCTURAL RETAINING WALL, SEE WP SHEETS VIADUCT ABUTMENT BRIDGE UTILITIES PIP EXISTING RAIL EQUIPMENT PROPOSED LIGHT NEW LIGHT FIXTURE ON EXISTING POLE SOLAR LED W11-15 CROSSING SIGN REFERENCE NOTES SCHEDULE 2-01 2-02 2-03 2-04 2-05 2-06 2-07 2-08 2-09 2-10 2-11 2-12 2-13 2-14 1-01 1-02 1-03 1-04 1-05 1-06 1-07 1-08 1-09 1-10 3-01 3-03 3-02 3-04 4-01 4-02 4-03 4-05 W
W
W
E
E
E
E
STOP
YIELD
YIELD
STOP
STOP 1-02 2-02 2-06 1-03 2-04 2-05
1-03
1-05
1-04 2-11 SEG 11
1 4-02 10+00
11+00 12+00 13+00
14+00
15+00
16+00 2-03 2-04 2-07
2-07
10'-1" 17'-8"
12' 9'-6" TO RAIL CENTERLINE
TRACK

CENTERLINE

SCCRTC RIGHT OF
WAY BOUNDARY 12' PAVED MULTI-USE TRAIL

SCCRTC RIGHT OF
WAY BOUNDARY CITY OF CAPITOLA 2-01 2-02 1-02 2-06 SYMBOL DESCRIPTION LEGEND CONCRETE PAVEMENT RETAINING WALL, SEE WP SHEETS HMA PAVEMENT (TRAIL) VIADUCT WITH FIBERGLASS REINFORCED POLYMER DECK BRIDGE WITH FIBERGLASS REINFORCED POLYMER DECK DECOMPOSED GRANITE DECORATIVE PAVERS PROPOSED LIGHTS LIGHT ON EX. FIXTURE ROADWAY LIGHT TRAIL LIGHT RECESSED LIGHT IN POST x x x x EXISTING FENCE SCCRTC RIGHT OF WAY CITY LIMITS FENCE OR GUARDRAIL ON CURB, WALL, VIADUCT OR BRIDGE REFERENCES DRAWING #: FIELD BOOK: DESIGN CHECKED DATE DRAWN VAULT NO. SCALE 701 Ocean Street, Room 410 Santa Cruz, CA 95060 REVISIONS D E P A R T M E N T O F P U B L I C W O R K S SANTACRUZ 02/10/2023 rrmdesign.com | (949) 361-7950 32332 Camino Capistrano, Ste. 205 San Juan Capistrano, CA 92675 DIG ALERT DIAL TOLL FREE AT LEAST 2 DAYS BEFORE YOU DIG

PRELIMINARY NOT FOR CONSTRUCTION C O U N T Y O F
TRAIL NEXT TO THE RAIL LINE (ULTIMATE TRAIL CONFIGURATION) REFINED SCHEMATIC PLANS - 02/10/23 CONSTRUCTION KEYNOTE PLANS TRAIL NEXT TO THE RAIL LINE (ULTIMATE TRAIL CONFIGURATION) RAIL TRAIL SEGMENTS 10 & 11 CP-0193-06-RWT-S11 KS/MS MS KS AS SHOWN CP-1.15 KEYMAP 0 10 20 40 60 MATCHLINE, SEE SHEET CP-1.16 SCALE 1/8"=1'-0" 1 TYPICAL SECTION MATCHLINE, SEE SHEET CP-1.14
(SEGMENT 10)
SHEET 56 of 185 86
Item 8 B.

SYMBOL DESCRIPTION SITE FURNISHINGS AND EQUIPMENT CONCRETE TRACK PANEL SEPARATION FENCING PROPOSED SIGN RELOCATED PAY STATION TRASH RECEPTACLES BENCH CROSSWALK BARRIER BIKE RACKS FLEXIBLE BOLLARD GUARDRAIL SYSTEM PEDESTRIAN AND TRAFFIC CONTROL 6" WIDE CURB 8" WIDE CURB 6" CURB AND GUTTER CURB RAMP DETECTABLE WARNING SURFACE HMA PAVEMENT (TRAIL) HMA PAVEMENT (ROAD) CONCRETE SIDEWALK CONTINENTAL CROSSWALK STRIPING CROSSBIKE MARKINGS LADDER CROSSWALK STRIPING PROPOSED AT-GRADE CROSSING PROPOSED STAIRS TRAIL CHICANE STRUCTURAL RETAINING WALL, SEE WP SHEETS VIADUCT ABUTMENT BRIDGE UTILITIES PIP EXISTING RAIL EQUIPMENT PROPOSED LIGHT NEW LIGHT FIXTURE ON EXISTING POLE SOLAR LED W11-15 CROSSING SIGN REFERENCE NOTES SCHEDULE SYMBOL DESCRIPTION LEGEND CONCRETE PAVEMENT RETAINING WALL, SEE WP SHEETS HMA PAVEMENT (TRAIL) VIADUCT WITH FIBERGLASS REINFORCED POLYMER DECK BRIDGE WITH FIBERGLASS REINFORCED POLYMER DECK DECOMPOSED GRANITE DECORATIVE PAVERS PROPOSED LIGHTS LIGHT ON EX. FIXTURE ROADWAY LIGHT TRAIL LIGHT RECESSED LIGHT IN POST x x x x EXISTING FENCE SCCRTC RIGHT OF WAY CITY LIMITS FENCE OR GUARDRAIL ON CURB, WALL, VIADUCT OR BRIDGE 2-01 2-02 2-03 2-04 2-05 2-06 2-07 2-08 2-09 2-10 2-11 2-12 2-13 2-14 1-01 1-02 1-03 1-04 1-05 1-06 1-07 1-08 1-09 1-10 3-01 3-03 3-02 3-04 4-01 4-02 4-03 4-05

CLIFF DRIVE PARKING
STOP
9'-6"
43'-7" 2-02 2-06 1-02 2-05 1-03 1-05 1-04 1-04 1-05 2-01 1-03 1-01 2-12 2-11 1-08 2-14 1-06 SEG 11
2 4-02
16+00
17+00
18+00
19+00
20+00
21+00
21+21 2-13 2-07
10+00
11+00
11+79 WALL 1D
12'
13'-2"
8' 3' 5'
20'-6"
12' 8'-6" TO RAIL CENTERLINE
TRACK
CENTERLINE 12' PAVED MULTI-USE TRAIL

SCCRTC RIGHT OF
WAY BOUNDARY CLIFF DR PARKING 3' BUFFER 8' PARALLEL PARKING 3' BUFFER 5' CLASS II BIKE LANE 2-02 1-02 2-06 2-03 REFERENCES DRAWING #: FIELD BOOK: DESIGN CHECKED DATE DRAWN VAULT NO. SCALE 701 Ocean Street, Room 410 Santa Cruz, CA 95060 REVISIONS D E P A R T M E N T O F P U B L I C W O R K S SANTACRUZ 02/10/2023 rrmdesign.com | (949) 361-7950 32332 Camino Capistrano, Ste. 205 San Juan Capistrano, CA 92675 DIG ALERT DIAL TOLL FREE AT LEAST 2 DAYS BEFORE YOU DIG

PRELIMINARY NOT FOR CONSTRUCTION C O U N T Y O F
TRAIL NEXT TO THE RAIL LINE (ULTIMATE TRAIL CONFIGURATION) REFINED SCHEMATIC PLANS - 02/10/23 CONSTRUCTION KEYNOTE PLANS TRAIL NEXT TO THE RAIL LINE (ULTIMATE TRAIL CONFIGURATION) RAIL TRAIL SEGMENTS 10 & 11 CP-0193-06-RWT-S11 KS/MS MS KS AS SHOWN

TRAIL GAP FROM OPAL TO MONTEREY AVE
SEE SHEET 1.17 WHERE TRAIL BEGINS CP-1.16 KEYMAP
MATCHLINE, SEE SHEET CP-1.15 0 10 20 40 60 SCALE 1/8"=1'-0" 2 TYPICAL SECTION
SHEET 57 of 185 87
Item 8 B.

SYMBOL DESCRIPTION SITE FURNISHINGS AND EQUIPMENT CONCRETE TRACK PANEL SEPARATION FENCING PROPOSED SIGN RELOCATED PAY STATION TRASH RECEPTACLES BENCH CROSSWALK BARRIER BIKE RACKS FLEXIBLE BOLLARD GUARDRAIL SYSTEM PEDESTRIAN AND TRAFFIC CONTROL 6" WIDE CURB 8" WIDE CURB 6" CURB AND GUTTER CURB RAMP DETECTABLE WARNING SURFACE HMA PAVEMENT (TRAIL) HMA PAVEMENT (ROAD) CONCRETE SIDEWALK CONTINENTAL CROSSWALK STRIPING CROSSBIKE MARKINGS LADDER CROSSWALK STRIPING PROPOSED AT-GRADE CROSSING PROPOSED STAIRS TRAIL CHICANE STRUCTURAL RETAINING WALL, SEE WP SHEETS VIADUCT ABUTMENT BRIDGE UTILITIES PIP EXISTING RAIL EQUIPMENT PROPOSED LIGHT NEW LIGHT FIXTURE ON EXISTING POLE SOLAR LED W11-15 CROSSING SIGN REFERENCE NOTES SCHEDULE SYMBOL DESCRIPTION LEGEND CONCRETE PAVEMENT RETAINING WALL, SEE WP SHEETS HMA PAVEMENT (TRAIL) VIADUCT WITH FIBERGLASS REINFORCED POLYMER DECK BRIDGE WITH FIBERGLASS REINFORCED POLYMER DECK DECOMPOSED GRANITE DECORATIVE PAVERS PROPOSED LIGHTS LIGHT ON EX. FIXTURE ROADWAY LIGHT TRAIL LIGHT RECESSED LIGHT IN POST x x x x EXISTING FENCE SCCRTC RIGHT OF WAY CITY LIMITS FENCE OR GUARDRAIL ON CURB, WALL, VIADUCT OR BRIDGE 2-01 2-02 2-03 2-04 2-05 2-06 2-07 2-08 2-09 2-10 2-11 2-12 2-13 2-14 1-01 1-02 1-03 1-04 1-05 1-06 1-07 1-08 1-09 1-10 3-01 3-03 3-02 3-04 4-01 4-02 4-03 4-05

MONTEREY AVENUE PARK AVENUE
E
E
E
E
W
W
W
W W W
W
EB
STOP 10+00 11+00 12+00 13+00 14+00
14' (E) PG&E POWER POLE #3522. COORDINATE WITH PG&E FOR THE INSTALLATION OF A (N) POLE AND LIGHT FOR THE TRAIL CROSSING. 4-02 2-08 2-08 4-01 4-01 2-14 SEG 11 3 SEG 11
4 2-05 1-05 1-05 1-06 2-02 1-02 2-01 4-02
9'-10" 10+00 10+25 10+50 10+75 10+00 11+00 12+00 13+00 14+00 WALL 1E START WALL 1F START 10+00 11+00 12+00 WALL 2F START 3-01 3-01 3-01 6'-2"
12' TRACK

CENTERLINE

SCCRTC RIGHT OF

WAY BOUNDARY

SCCRTC RIGHT OF
WAY BOUNDARY 9'-10" TO RAIL CENTERLINE 12' MULTI-USE TRAIL 3-01 2-06 1-10 3-01 1-10 12' MULTI-USE TRAIL TRACK

CENTERLINE

SCCRTC RIGHT OF
WAY BOUNDARY 9'-11" PAVED TO RAIL CENTERLINE

SCCRTC RIGHT OF
WAY BOUNDARY 2-06 3-01 1-10 3-01 1-10 CP-1.17 REFERENCES DRAWING #: FIELD BOOK: DESIGN CHECKED DATE DRAWN VAULT NO. SCALE 701 Ocean Street, Room 410 Santa Cruz, CA 95060 REVISIONS D E P A R T M E N T O F P U B L I C W O R K S SANTACRUZ 02/10/2023 rrmdesign.com | (949) 361-7950 32332 Camino Capistrano, Ste. 205 San Juan Capistrano, CA 92675 DIG ALERT DIAL TOLL FREE AT LEAST 2 DAYS BEFORE YOU DIG

PRELIMINARY NOT FOR CONSTRUCTION C O U N T Y O F
TRAIL NEXT TO THE RAIL LINE (ULTIMATE TRAIL CONFIGURATION) REFINED SCHEMATIC PLANS - 02/10/23 CONSTRUCTION KEYNOTE PLANS TRAIL NEXT TO THE RAIL LINE (ULTIMATE TRAIL CONFIGURATION) RAIL TRAIL SEGMENTS 10 & 11 CP-0193-06-RWT-S11 KS/MS MS KS AS SHOWN MATCHLINE, SEE SHEET CP-1.18 KEYMAP 0 10 20 40 60

TRAIL GAP FROM OPAL TO MONTEREY AVE SEE
SHEET 1.16 WHERE TRAIL PICKS UP AT OPAL SCALE 1/8"=1'-0" 4 SCALE 1/8"=1'-0"
3 SHEET 58 of 185 88
Item 8 B.

PARK AVENUE

WASHBURN
AVE 15+00 16+00 17+00 18+00 19+00 20+00 2-06
14'
30' SEG 11
5 SEG 11
6 2-01 3-01 3-01 4-02
10'3-01 14+00 15+00 16+00 17+00 18+00 19+00 20+00 WALL 1E WALL 2F WALL 2F 13+00 14+00 15+00 16+00 17+00 18+00 3-01 WALL 1E 6'
12' SYMBOL DESCRIPTION SITE FURNISHINGS AND EQUIPMENT CONCRETE TRACK PANEL SEPARATION FENCING PROPOSED SIGN RELOCATED PAY STATION TRASH RECEPTACLES BENCH CROSSWALK BARRIER BIKE RACKS FLEXIBLE BOLLARD GUARDRAIL SYSTEM PEDESTRIAN AND TRAFFIC CONTROL 6" WIDE CURB 8" WIDE CURB 6" CURB AND GUTTER CURB RAMP DETECTABLE WARNING SURFACE HMA PAVEMENT (TRAIL) HMA PAVEMENT (ROAD) CONCRETE SIDEWALK CONTINENTAL CROSSWALK STRIPING CROSSBIKE MARKINGS LADDER CROSSWALK STRIPING PROPOSED AT-GRADE CROSSING PROPOSED STAIRS TRAIL CHICANE STRUCTURAL RETAINING WALL, SEE WP SHEETS VIADUCT ABUTMENT BRIDGE UTILITIES PIP EXISTING RAIL EQUIPMENT PROPOSED LIGHT NEW LIGHT FIXTURE ON EXISTING POLE SOLAR LED W11-15 CROSSING SIGN REFERENCE NOTES SCHEDULE SYMBOL DESCRIPTION LEGEND CONCRETE PAVEMENT RETAINING WALL, SEE WP SHEETS HMA PAVEMENT (TRAIL) VIADUCT WITH FIBERGLASS REINFORCED POLYMER DECK BRIDGE WITH FIBERGLASS REINFORCED POLYMER DECK DECOMPOSED GRANITE DECORATIVE PAVERS PROPOSED LIGHTS LIGHT ON EX. FIXTURE ROADWAY LIGHT TRAIL LIGHT RECESSED LIGHT IN POST x x x x EXISTING FENCE SCCRTC RIGHT OF WAY CITY LIMITS FENCE OR GUARDRAIL ON CURB, WALL, VIADUCT OR BRIDGE 2-01 2-02 2-03 2-04 2-05 2-06 2-07 2-08 2-09 2-10 2-11 2-12 2-13 2-14 1-01 1-02 1-03 1-04 1-05 1-06 1-07 1-08 1-09 1-10 3-01 3-03 3-02 3-04 4-01 4-02 4-03 4-05 10' TO RAIL CENTERLINE TRACK

CENTERLINE

SCCRTC RIGHT OF
WAY BOUNDARY 12' PAVED MULTI-USE TRAIL

SCCRTC RIGHT OF
WAY BOUNDARY 3-01 1-10 3-01 1-10 2-06 9'-11" TO RAIL CENTERLINE TRACK

CENTERLINE

SCCRTC RIGHT OF
WAY BOUNDARY 12' PAVED MULTI-USE TRAIL
SCCRTC RIGHT OF 2-06
WAY BOUNDARY 3-01 1-10 2-01 CP-1.18 REFERENCES DRAWING #: FIELD BOOK: DESIGN CHECKED DATE DRAWN VAULT NO. SCALE 701 Ocean Street, Room 410 Santa Cruz, CA 95060 REVISIONS D E P A R T M E N T O F P U B L I C W O R K S SANTACRUZ 02/10/2023 rrmdesign.com | (949) 361-7950 32332 Camino Capistrano, Ste. 205 San Juan Capistrano, CA 92675 DIG ALERT DIAL TOLL FREE AT LEAST 2 DAYS BEFORE YOU DIG

PRELIMINARY NOT FOR CONSTRUCTION C O U N T Y O F
TRAIL NEXT TO THE RAIL LINE (ULTIMATE TRAIL CONFIGURATION) REFINED SCHEMATIC PLANS - 02/10/23 CONSTRUCTION KEYNOTE PLANS TRAIL NEXT TO THE RAIL LINE (ULTIMATE TRAIL CONFIGURATION) RAIL TRAIL SEGMENTS 10 & 11 CP-0193-06-RWT-S11 KS/MS MS KS AS SHOWN MATCHLINE, SEE SHEET CP-1.19
MATCHLINE, SEE SHEET CP-1.17 KEYMAP 0 10 20 40 60 SCALE 1/8"=1'-0" 6 SCALE 1/8"=1'-0"
5 SHEET 59 of 185 89
Item 8 B.

PARK AVENUE GROVE LANE VIADUCT 21+00 22+00 23+00 24+00 25+00 26+00 27+00 2-06 14' 30'-1" 3-03 SEG 11
7 SEG 11
8 BP-4.01 SEE 2-01 3-01 4-02
10' 10+00 11+00 21+00 22+00 23+00 24+00 25+00 26+00 WALL 2F WALL 3F START 19+00 20+00 21+00 22+00 SEE BP-4.01 VIADUCT SHEET 3-01 WALL 1E 3-01 WALL 1E 3-01 4-02 1-10 12'
12'
6' SYMBOL DESCRIPTION SITE FURNISHINGS AND EQUIPMENT CONCRETE TRACK PANEL SEPARATION FENCING PROPOSED SIGN RELOCATED PAY STATION TRASH RECEPTACLES BENCH CROSSWALK BARRIER BIKE RACKS FLEXIBLE BOLLARD GUARDRAIL SYSTEM PEDESTRIAN AND TRAFFIC CONTROL 6" WIDE CURB 8" WIDE CURB 6" CURB AND GUTTER CURB RAMP DETECTABLE WARNING SURFACE HMA PAVEMENT (TRAIL) HMA PAVEMENT (ROAD) CONCRETE SIDEWALK CONTINENTAL CROSSWALK STRIPING CROSSBIKE MARKINGS LADDER CROSSWALK STRIPING PROPOSED AT-GRADE CROSSING PROPOSED STAIRS TRAIL CHICANE STRUCTURAL RETAINING WALL, SEE WP SHEETS VIADUCT ABUTMENT BRIDGE UTILITIES PIP EXISTING RAIL EQUIPMENT PROPOSED LIGHT NEW LIGHT FIXTURE ON EXISTING POLE SOLAR LED W11-15 CROSSING SIGN REFERENCE NOTES SCHEDULE SYMBOL DESCRIPTION LEGEND CONCRETE PAVEMENT RETAINING WALL, SEE WP SHEETS HMA PAVEMENT (TRAIL) VIADUCT WITH FIBERGLASS REINFORCED POLYMER DECK BRIDGE WITH FIBERGLASS REINFORCED POLYMER DECK DECOMPOSED GRANITE DECORATIVE PAVERS PROPOSED LIGHTS LIGHT ON EX. FIXTURE ROADWAY LIGHT TRAIL LIGHT RECESSED LIGHT IN POST x x x x EXISTING FENCE SCCRTC RIGHT OF WAY CITY LIMITS FENCE OR GUARDRAIL ON CURB, WALL, VIADUCT OR BRIDGE 2-01 2-02 2-03 2-04 2-05 2-06 2-07 2-08 2-09 2-10 2-11 2-12 2-13 2-14 1-01 1-02 1-03 1-04 1-05 1-06 1-07 1-08 1-09 1-10 3-01 3-03 3-02 3-04 4-01 4-02 4-03 4-05 10' TO RAIL CENTERLINE TRACK

CENTERLINE

SCCRTC RIGHT OF

WAY BOUNDARY

SCCRTC RIGHT OF
WAY BOUNDARY 12' PAVED MULTI-USE TRAIL 3-01 1-10 2-06 3-01 1-10 12' MULTI-USE TRAIL TRACK

CENTERLINE

SCCRTC RIGHT OF
WAY BOUNDARY 10' PAVED TO RAIL CENTERLINE

SCCRTC RIGHT OF
WAY BOUNDARY 2-06 3-01 1-10 2-01 CP-1.19 REFERENCES DRAWING #: FIELD BOOK: DESIGN CHECKED DATE DRAWN VAULT NO. SCALE 701 Ocean Street, Room 410 Santa Cruz, CA 95060 REVISIONS D E P A R T M E N T O F P U B L I C W O R K S SANTACRUZ 02/10/2023 rrmdesign.com | (949) 361-7950 32332 Camino Capistrano, Ste. 205 San Juan Capistrano, CA 92675 DIG ALERT DIAL TOLL FREE AT LEAST 2 DAYS BEFORE YOU DIG

PRELIMINARY NOT FOR CONSTRUCTION C O U N T Y O F
TRAIL NEXT TO THE RAIL LINE (ULTIMATE TRAIL CONFIGURATION) REFINED SCHEMATIC PLANS - 02/10/23 CONSTRUCTION KEYNOTE PLANS TRAIL NEXT TO THE RAIL LINE (ULTIMATE TRAIL CONFIGURATION) RAIL TRAIL SEGMENTS 10 & 11 CP-0193-06-RWT-S11 KS/MS MS KS AS SHOWN MATCHLINE, SEE SHEET CP-1.20
MATCHLINE, SEE SHEET CP-1.18 KEYMAP 0 10 20 40 60 SCALE 1/8"=1'-0" 8 SCALE 1/8"=1'-0"
7 SHEET 60 of 185 90
Item 8 B.

SYMBOL DESCRIPTION SITE FURNISHINGS AND EQUIPMENT CONCRETE TRACK PANEL SEPARATION FENCING PROPOSED SIGN RELOCATED PAY STATION TRASH RECEPTACLES BENCH CROSSWALK BARRIER BIKE RACKS FLEXIBLE BOLLARD GUARDRAIL SYSTEM PEDESTRIAN AND TRAFFIC CONTROL 6" WIDE CURB 8" WIDE CURB 6" CURB AND GUTTER CURB RAMP DETECTABLE WARNING SURFACE HMA PAVEMENT (TRAIL) HMA PAVEMENT (ROAD) CONCRETE SIDEWALK CONTINENTAL CROSSWALK STRIPING CROSSBIKE MARKINGS LADDER CROSSWALK STRIPING PROPOSED AT-GRADE CROSSING PROPOSED STAIRS TRAIL CHICANE STRUCTURAL RETAINING WALL, SEE WP SHEETS VIADUCT ABUTMENT BRIDGE UTILITIES PIP EXISTING RAIL EQUIPMENT PROPOSED LIGHT NEW LIGHT FIXTURE ON EXISTING POLE SOLAR LED W11-15 CROSSING SIGN REFERENCE NOTES SCHEDULE SYMBOL DESCRIPTION LEGEND CONCRETE PAVEMENT RETAINING WALL, SEE WP SHEETS HMA PAVEMENT (TRAIL) VIADUCT WITH FIBERGLASS REINFORCED POLYMER DECK BRIDGE WITH FIBERGLASS REINFORCED POLYMER DECK DECOMPOSED GRANITE DECORATIVE PAVERS PROPOSED LIGHTS LIGHT ON EX. FIXTURE ROADWAY LIGHT TRAIL LIGHT RECESSED LIGHT IN POST x x x x EXISTING FENCE SCCRTC RIGHT OF WAY CITY LIMITS FENCE OR GUARDRAIL ON CURB, WALL, VIADUCT OR BRIDGE 2-01 2-02 2-03 2-04 2-05 2-06 2-07 2-08 2-09 2-10 2-11 2-12 2-13 2-14 1-01 1-02 1-03 1-04 1-05 1-06 1-07 1-08 1-09 1-10 3-01 3-03 3-02 3-04 4-01 4-02 4-03 4-05 WESLEY

STREET PARK AVENUE
W
W
W
W
W
W

W GROVE LANE ESCALONA GULCH
STOP
STOP GROVE LANE VIADUCT 27+00 28+00 29+00 30+00 31+00 32+00 33+00 2-02 2-06 12' 10'-8" 30'-1"
10' 13'-2" 78'-9" 3-03 1-02 (E) STREET LIGHT AT CORNER OF PARK AVE. AND WESLEY ST. COORDINATE WITH PG&E CITY FOR EXTENSION OF POWER CIRCUIT TO (N) LIGHT AND POLE AT PARK AVE. AND GROVE LANE TRAIL CROSSING. 2-10 2-08 1-05 1-03 4-02 SEG 11 9 SEG 11 10 2-02 1-02 1-01 2-05 2-05 4-02 4-02 3-02 12+00 13+00 27+00 28+00 29+00 30+00 31+00 32+00 3-01 WALL 4F START WALL 1EWALL 3F 10+00 11+00 SEE BP-4.01 VIADUCT SHEET 4-02 1-10 3-01 3-01 2-03 7'-5"
30' 10' TO RAIL CENTERLINE
TRACK

CENTERLINE

SCCRTC RIGHT OF
WAY BOUNDARY 12' PAVED MULTI-USE TRAIL 3-01 1-10 2-02 1-02 2-06 12' MULTI-USE TRAIL TRACK
CENTERLINE 10' PAVED TO RAIL CENTERLINE

SCCRTC RIGHT OF
WAY BOUNDARY 1-02 2-02 1-02 2-02 2-06 CP-1.20 REFERENCES DRAWING #: FIELD BOOK: DESIGN CHECKED DATE DRAWN VAULT NO. SCALE 701 Ocean Street, Room 410 Santa Cruz, CA 95060 REVISIONS D E P A R T M E N T O F P U B L I C W O R K S SANTACRUZ 02/10/2023 rrmdesign.com | (949) 361-7950 32332 Camino Capistrano, Ste. 205 San Juan Capistrano, CA 92675 DIG ALERT DIAL TOLL FREE AT LEAST 2 DAYS BEFORE YOU DIG

PRELIMINARY NOT FOR CONSTRUCTION C O U N T Y O F
TRAIL NEXT TO THE RAIL LINE (ULTIMATE TRAIL CONFIGURATION) REFINED SCHEMATIC PLANS - 02/10/23 CONSTRUCTION KEYNOTE PLANS TRAIL NEXT TO THE RAIL LINE (ULTIMATE TRAIL CONFIGURATION) RAIL TRAIL SEGMENTS 10 & 11 CP-0193-06-RWT-S11 KS/MS MS KS AS SHOWN MATCHLINE, SEE SHEET CP-1.19 KEYMAP 0 10 20 40 60
MATCHLINE, SEE SHEET CP-1.21 SCALE 1/8"=1'-0" 10 SCALE 1/8"=1'-0" 9 SHEET 61 of 185 91
Item 8 B.

SYMBOL DESCRIPTION SITE FURNISHINGS AND EQUIPMENT CONCRETE TRACK PANEL SEPARATION FENCING PROPOSED SIGN RELOCATED PAY STATION TRASH RECEPTACLES BENCH CROSSWALK BARRIER BIKE RACKS FLEXIBLE BOLLARD GUARDRAIL SYSTEM PEDESTRIAN AND TRAFFIC CONTROL 6" WIDE CURB 8" WIDE CURB 6" CURB AND GUTTER CURB RAMP DETECTABLE WARNING SURFACE HMA PAVEMENT (TRAIL) HMA PAVEMENT (ROAD) CONCRETE SIDEWALK CONTINENTAL CROSSWALK STRIPING CROSSBIKE MARKINGS LADDER CROSSWALK STRIPING PROPOSED AT-GRADE CROSSING PROPOSED STAIRS TRAIL CHICANE STRUCTURAL RETAINING WALL, SEE WP SHEETS VIADUCT ABUTMENT BRIDGE UTILITIES PIP EXISTING RAIL EQUIPMENT PROPOSED LIGHT NEW LIGHT FIXTURE ON EXISTING POLE SOLAR LED W11-15 CROSSING SIGN REFERENCE NOTES SCHEDULE SYMBOL DESCRIPTION LEGEND CONCRETE PAVEMENT RETAINING WALL, SEE WP SHEETS HMA PAVEMENT (TRAIL) VIADUCT WITH FIBERGLASS REINFORCED POLYMER DECK BRIDGE WITH FIBERGLASS REINFORCED POLYMER DECK DECOMPOSED GRANITE DECORATIVE PAVERS PROPOSED LIGHTS LIGHT ON EX. FIXTURE ROADWAY LIGHT TRAIL LIGHT RECESSED LIGHT IN POST x x x x EXISTING FENCE SCCRTC RIGHT OF WAY CITY LIMITS FENCE OR GUARDRAIL ON CURB, WALL, VIADUCT OR BRIDGE 2-01 2-02 2-03 2-04 2-05 2-06 2-07 2-08 2-09 2-10 2-11 2-12 2-13 2-14 1-01 1-02 1-03 1-04 1-05 1-06 1-07 1-08 1-09 1-10 3-01 3-03 3-02 3-04 4-01 4-02 4-03 4-05

CABRILLO
STREET
PARK AVENUE 33+00 34+00
35+00
36+00
37+00
38+00
10'
30' 1-02 2-02 3-01 3-01 2-06
SEG 11
11 4-02 33+00
34+00
35+00
36+00
37+00
38+00 WALL 4F 12+00 13+00
14+00
15+00
16+00
17+00
13'-8"
12' 10'-3" TO RAIL CENTERLINE
TRACK

CENTERLINE

SCCRTC RIGHT OF
WAY BOUNDARY 12' PAVED MULTI-USE TRAIL 3-01 1-10 1-02 2-02 2-06 CP-1.21 REFERENCES DRAWING #: FIELD BOOK: DESIGN CHECKED DATE DRAWN VAULT NO. SCALE 701 Ocean Street, Room 410 Santa Cruz, CA 95060 REVISIONS D E P A R T M E N T O F P U B L I C W O R K S SANTACRUZ 02/10/2023 rrmdesign.com | (949) 361-7950 32332 Camino Capistrano, Ste. 205 San Juan Capistrano, CA 92675 DIG ALERT DIAL TOLL FREE AT LEAST 2 DAYS BEFORE YOU DIG

PRELIMINARY NOT FOR CONSTRUCTION C O U N T Y O F
TRAIL NEXT TO THE RAIL LINE (ULTIMATE TRAIL CONFIGURATION) REFINED SCHEMATIC PLANS - 02/10/23 CONSTRUCTION KEYNOTE PLANS TRAIL NEXT TO THE RAIL LINE (ULTIMATE TRAIL CONFIGURATION) RAIL TRAIL SEGMENTS 10 & 11 CP-0193-06-RWT-S11 KS/MS MS KS AS SHOWN MATCHLINE, SEE SHEET CP-1.22
MATCHLINE, SEE SHEET CP-1.20 0 10 20 40 60 KEYMAP SCALE 1/8"=1'-0" 11 TYPICAL SECTION SHEET 62 of 185 92
Item 8 B.

SYMBOL DESCRIPTION SITE FURNISHINGS AND EQUIPMENT CONCRETE TRACK PANEL SEPARATION FENCING PROPOSED SIGN RELOCATED PAY STATION TRASH RECEPTACLES BENCH CROSSWALK BARRIER BIKE RACKS FLEXIBLE BOLLARD GUARDRAIL SYSTEM PEDESTRIAN AND TRAFFIC CONTROL 6" WIDE CURB 8" WIDE CURB 6" CURB AND GUTTER CURB RAMP DETECTABLE WARNING SURFACE HMA PAVEMENT (TRAIL) HMA PAVEMENT (ROAD) CONCRETE SIDEWALK CONTINENTAL CROSSWALK STRIPING CROSSBIKE MARKINGS LADDER CROSSWALK STRIPING PROPOSED AT-GRADE CROSSING PROPOSED STAIRS TRAIL CHICANE STRUCTURAL RETAINING WALL, SEE WP SHEETS VIADUCT ABUTMENT BRIDGE UTILITIES PIP EXISTING RAIL EQUIPMENT PROPOSED LIGHT NEW LIGHT FIXTURE ON EXISTING POLE SOLAR LED W11-15 CROSSING SIGN REFERENCE NOTES SCHEDULE SYMBOL DESCRIPTION LEGEND CONCRETE PAVEMENT RETAINING WALL, SEE WP SHEETS HMA PAVEMENT (TRAIL) VIADUCT WITH FIBERGLASS REINFORCED POLYMER DECK BRIDGE WITH FIBERGLASS REINFORCED POLYMER DECK DECOMPOSED GRANITE DECORATIVE PAVERS PROPOSED LIGHTS LIGHT ON EX. FIXTURE ROADWAY LIGHT TRAIL LIGHT RECESSED LIGHT IN POST x x x x EXISTING FENCE SCCRTC RIGHT OF WAY CITY LIMITS FENCE OR GUARDRAIL ON CURB, WALL, VIADUCT OR BRIDGE 2-01 2-02 2-03 2-04 2-05 2-06 2-07 2-08 2-09 2-10 2-11 2-12 2-13 2-14 1-01 1-02 1-03 1-04 1-05 1-06 1-07 1-08 1-09 1-10 3-01 3-03 3-02 3-04 4-01 4-02 4-03 4-05

PARK AVENUE PARK AVENUE VIADUCT
39+00
40+00
41+00
42+00
43+00 44+00
13'-2" 10'-1"
30' 3-01 2-02 2-06 1-03 2-01 3-03
12'
SEG 11
13 3-01 1-10 4-02 3-02
SEG 11
12 10+00 11+00
38+00
39+00
40+00
41+00
42+00 43+00 WALL 4F WALL 1E WALL 5F START
18+00
19+00 SEE BP-5.01 VIADUCT SHEET 1-02 3-01
38'-9"
12' 10' TO RAIL CENTERLINE
TRACK
CENTERLINE 12' PAVED MULTI-USE TRAIL 1-02 2-02 2-06 2-01 10'-2" TO RAIL CENTERLINE TRACK

CENTERLINE

SCCRTC RIGHT OF
WAY BOUNDARY 12' PAVED MULTI-USE TRAIL 2-01 3-01 1-10 2-06 CP-1.22 REFERENCES DRAWING #: FIELD BOOK: DESIGN CHECKED DATE DRAWN VAULT NO. SCALE 701 Ocean Street, Room 410 Santa Cruz, CA 95060 REVISIONS D E P A R T M E N T O F P U B L I C W O R K S SANTACRUZ 02/10/2023 rrmdesign.com | (949) 361-7950 32332 Camino Capistrano, Ste. 205 San Juan Capistrano, CA 92675 DIG ALERT DIAL TOLL FREE AT LEAST 2 DAYS BEFORE YOU DIG

PRELIMINARY NOT FOR CONSTRUCTION C O U N T Y O F
TRAIL NEXT TO THE RAIL LINE (ULTIMATE TRAIL CONFIGURATION) REFINED SCHEMATIC PLANS - 02/10/23 CONSTRUCTION KEYNOTE PLANS TRAIL NEXT TO THE RAIL LINE (ULTIMATE TRAIL CONFIGURATION) RAIL TRAIL SEGMENTS 10 & 11 CP-0193-06-RWT-S11 KS/MS MS KS AS SHOWN MATCHLINE, SEE SHEET CP-1.23
MATCHLINE, SEE SHEET CP-1.21 KEYMAP 0 10 20 40 60 SCALE 1/8"=1'-0" 13 TYPICAL SECTION SCALE 1/8"=1'-0" 12 TYPICAL SECTION SHEET 63 of 185 93
Item 8 B.

SYMBOL DESCRIPTION SITE FURNISHINGS AND EQUIPMENT CONCRETE TRACK PANEL SEPARATION FENCING PROPOSED SIGN RELOCATED PAY STATION TRASH RECEPTACLES BENCH CROSSWALK BARRIER BIKE RACKS FLEXIBLE BOLLARD GUARDRAIL SYSTEM PEDESTRIAN AND TRAFFIC CONTROL 6" WIDE CURB 8" WIDE CURB 6" CURB AND GUTTER CURB RAMP DETECTABLE WARNING SURFACE HMA PAVEMENT (TRAIL) HMA PAVEMENT (ROAD) CONCRETE SIDEWALK CONTINENTAL CROSSWALK STRIPING CROSSBIKE MARKINGS LADDER CROSSWALK STRIPING PROPOSED AT-GRADE CROSSING PROPOSED STAIRS TRAIL CHICANE STRUCTURAL RETAINING WALL, SEE WP SHEETS VIADUCT ABUTMENT BRIDGE UTILITIES PIP EXISTING RAIL EQUIPMENT PROPOSED LIGHT NEW LIGHT FIXTURE ON EXISTING POLE SOLAR LED W11-15 CROSSING SIGN REFERENCE NOTES SCHEDULE SYMBOL DESCRIPTION LEGEND CONCRETE PAVEMENT RETAINING WALL, SEE WP SHEETS HMA PAVEMENT (TRAIL) VIADUCT WITH FIBERGLASS REINFORCED POLYMER DECK BRIDGE WITH FIBERGLASS REINFORCED POLYMER DECK DECOMPOSED GRANITE DECORATIVE PAVERS PROPOSED LIGHTS LIGHT ON EX. FIXTURE ROADWAY LIGHT TRAIL LIGHT RECESSED LIGHT IN POST x x x x EXISTING FENCE SCCRTC RIGHT OF WAY CITY LIMITS FENCE OR GUARDRAIL ON CURB, WALL, VIADUCT OR BRIDGE 2-01 2-02 2-03 2-04 2-05 2-06 2-07 2-08 2-09 2-10 2-11 2-12 2-13 2-14 1-01 1-02 1-03 1-04 1-05 1-06 1-07 1-08 1-09 1-10 3-01 3-03 3-02 3-04 4-01 4-02 4-03 4-05 11'-1" TO RAIL CENTERLINE TRACK
CENTERLINE 12' PAVED MULTI-USE TRAIL

SCCRTC RIGHT OF
WAY BOUNDARY 1-10 3-01 1-10 2-06 3-01

CORONADO

STREET PARK AVENUE PARK AVENUE VIADUCT
PARK AVENUE VIADUCT CORONADO RAMP 45+00 46+00 47+00 48+00 49+00
50+00
SEG 11
14 1-10 4-02 1-01 2-06 3-01 2-13 4-02 3-01 3-03 3-03 1-10 4-02 3-02 3-02 12+00 13+00 14+00 15+00 16+00
17+00
18+00 44+00 45+00 46+00 47+00
48+00
49+00
50+00 WALL 1E WALL 1E WALL 5F WALL 5F SEE BP-5.01 VIADUCT SHEET SEE BP-5.01 VIADUCT SHEET 12'
12'
12'
10'-10"
10'-1"
8' CP-1.23 REFERENCES DRAWING #: FIELD BOOK: DESIGN CHECKED DATE DRAWN VAULT NO. SCALE 701 Ocean Street, Room 410 Santa Cruz, CA 95060 REVISIONS D E P A R T M E N T O F P U B L I C W O R K S SANTACRUZ 02/10/2023 rrmdesign.com | (949) 361-7950 32332 Camino Capistrano, Ste. 205 San Juan Capistrano, CA 92675 DIG ALERT DIAL TOLL FREE AT LEAST 2 DAYS BEFORE YOU DIG

PRELIMINARY NOT FOR CONSTRUCTION C O U N T Y O F
TRAIL NEXT TO THE RAIL LINE (ULTIMATE TRAIL CONFIGURATION) REFINED SCHEMATIC PLANS - 02/10/23 CONSTRUCTION KEYNOTE PLANS TRAIL NEXT TO THE RAIL LINE (ULTIMATE TRAIL CONFIGURATION) RAIL TRAIL SEGMENTS 10 & 11 CP-0193-06-RWT-S11 KS/MS MS KS AS SHOWN MATCHLINE, SEE SHEET CP-1.24
MATCHLINE, SEE SHEET CP-1.22 0 10 20 40 60 KEYMAP SCALE 1/8"=1'-0" 14 TYPICAL SECTION SHEET 64 of 185 94
Item 8 B.

SYMBOL DESCRIPTION SITE FURNISHINGS AND EQUIPMENT CONCRETE TRACK PANEL SEPARATION FENCING PROPOSED SIGN RELOCATED PAY STATION TRASH RECEPTACLES BENCH CROSSWALK BARRIER BIKE RACKS FLEXIBLE BOLLARD GUARDRAIL SYSTEM PEDESTRIAN AND TRAFFIC CONTROL 6" WIDE CURB 8" WIDE CURB 6" CURB AND GUTTER CURB RAMP DETECTABLE WARNING SURFACE HMA PAVEMENT (TRAIL) HMA PAVEMENT (ROAD) CONCRETE SIDEWALK CONTINENTAL CROSSWALK STRIPING CROSSBIKE MARKINGS LADDER CROSSWALK STRIPING PROPOSED AT-GRADE CROSSING PROPOSED STAIRS TRAIL CHICANE STRUCTURAL RETAINING WALL, SEE WP SHEETS VIADUCT ABUTMENT BRIDGE UTILITIES PIP EXISTING RAIL EQUIPMENT PROPOSED LIGHT NEW LIGHT FIXTURE ON EXISTING POLE SOLAR LED W11-15 CROSSING SIGN REFERENCE NOTES SCHEDULE SYMBOL DESCRIPTION LEGEND CONCRETE PAVEMENT RETAINING WALL, SEE WP SHEETS HMA PAVEMENT (TRAIL) VIADUCT WITH FIBERGLASS REINFORCED POLYMER DECK BRIDGE WITH FIBERGLASS REINFORCED POLYMER DECK DECOMPOSED GRANITE DECORATIVE PAVERS PROPOSED LIGHTS LIGHT ON EX. FIXTURE ROADWAY LIGHT TRAIL LIGHT RECESSED LIGHT IN POST x x x x EXISTING FENCE SCCRTC RIGHT OF WAY CITY LIMITS FENCE OR GUARDRAIL ON CURB, WALL, VIADUCT OR BRIDGE 2-01 2-02 2-03 2-04 2-05 2-06 2-07 2-08 2-09 2-10 2-11 2-12 2-13 2-14 1-01 1-02 1-03 1-04 1-05 1-06 1-07 1-08 1-09 1-10 3-01 3-03 3-02 3-04 4-01 4-02 4-03 4-05

PARK AVENUE

TANNERY GULCH

NEW BRIGHTON

STATE BEACH

NEW BRIGHTON STATE BEACH BRIDGE

PARK AVENUE VIADUCT
51+00
52+00
53+00
54+00
55+00 56+00
12'
10'-11"
26'-1" 3-03 3-03 2-02 2-06 3-01 3-04 SEE SHEET BP-6.01 SEG 11 15 SEG 11
BP-6.01 3-02 1-10 4-02 4-02 1-10
18+00
19+00
20+00
21+00
22+00 23+00
50+00
51+00
52+00
53+00
54+00 55+00 WALL 5F SEE BP-5.01 VIADUCT SHEET
17'-1"
12'
12' CP-1.24 REFERENCES DRAWING #: FIELD BOOK: DESIGN CHECKED DATE DRAWN VAULT NO. SCALE 701 Ocean Street, Room 410 Santa Cruz, CA 95060 REVISIONS D E P A R T M E N T O F P U B L I C W O R K S SANTACRUZ 02/10/2023 rrmdesign.com | (949) 361-7950 32332 Camino Capistrano, Ste. 205 San Juan Capistrano, CA 92675 DIG ALERT DIAL TOLL FREE AT LEAST 2 DAYS BEFORE YOU DIG

PRELIMINARY NOT FOR CONSTRUCTION C O U N T Y O F
TRAIL NEXT TO THE RAIL LINE (ULTIMATE TRAIL CONFIGURATION) REFINED SCHEMATIC PLANS - 02/10/23 CONSTRUCTION KEYNOTE PLANS TRAIL NEXT TO THE RAIL LINE (ULTIMATE TRAIL CONFIGURATION) RAIL TRAIL SEGMENTS 10 & 11 CP-0193-06-RWT-S11 KS/MS MS KS AS SHOWN MATCHLINE, SEE SHEET CP-1.23
MATCHLINE, SEE SHEET CP-1.25 0 10 20 40 60 KEYMAP SCALE 1/8"=1'-0" 15 TYPICAL SECTION SHEET 65 of 185 95
Item 8 B.

Capitola City Council
Agenda Report
Meeting: March 23, 2023
From: Community Development
Subject: 401 Capitola Avenue Appeal
Recommended Action: Adopt a resolution affirming the Planning Commission’s decision to deny Application #22-0282 seeking a Conditional Use Permit, Parking Variance, and Coastal Development Permit for a restaurant/café at 401 Capitola Avenue (Capitola Tap House).

Background: On June 5, 2014, the Planning Commission approved a Design Permit, Setback and Parking Variances, Coastal Development Permit (CDP), and Sign Permit to Charlie and Company to construct the building at 401 Capitola Avenue. The parking variance was granted for all four required onsite spaces and the property has operated with no onsite parking ever since. The property was subsequently sold by Charlie and Company to the current applicant.

On April 4, 2019, the Planning Commission approved Conditional Use Permit (CUP) #19-0031 for a takeout restaurant to serve boba tea, rice bowls, salads, beverages, and ice desserts with a six-seat maximum. The final local action notice included 26 conditions of approval that remain in effect (Attachment 3). The Planning Commission did not approve a proposed patio along the side of the building nearest the trestle and conditioned the permit to require that any kitchen exhaust be located on the front half of the building toward Capitola Avenue. A parking variance was not required for this change of use because the required parking for a six-seat takeout business is the same as the required parking for a retail use, and a six-seat takeout business is not considered an intensification of the retail use.

During building permit review, the applicant modified the business plan to be a kombucha, tea, and coffee serving takeout establishment with a smaller kitchen that is primarily for washing dishes and has no cooking equipment or food preparation counters. The change included replacing a portion of the kitchen and prep area with a walk-in cooler that is plumbed with 32 tap dispensers for non-alcoholic beverages.

The Santa Cruz County Environmental Health Department has conditioned the approval of the current facility to limit food services to cold brew coffee and kombucha from approved sources only.

On May 18, 2022, the Building Department issued a Certificate of Occupancy for the Capitola Tap House.

The Capitola Tap House is operating currently with a condition of approval that limits the use to six or fewer seats. The daily configuration includes no seats but has two bar height tables on the front porch that customers use while standing.

On July 6, 2022, the applicant filed Application #22-0282 for a new CUP, Parking Variance, and CDP, to establish a restaurant with 26 seats that serves beer from the tap system and has no onsite parking.

On December 1, 2022, the Planning Commission considered Application #22-0282 and denied the application 3-0, with two Commissioners recusing. The Commissioners cited an inability to make findings to support the CUP, CDP, and Parking Variance as the basis for denial (Attachment 12).

On December 9, 2022, the applicant appealed the Planning Commission’s denial.

Overview of Application #22-0282: The appellant applied for Planning Commission review of a Conditional Use Permit (CUP) to change the property from a six-seat takeout business, serving kombucha and cold coffee, to a restaurant serving beer and wine. The proposal seeks to expand customer seating from six seats to 26 seats and seeks a variance for seven required parking spaces. 96 Item 8 C.

The proposed intensified use requires seven (rather than the currently required four) parking spaces, in accordance with Capitola Municipal Code Section 17.76.020.

Capitola Municipal Code Section 17.76.020 B. Replacing Existing Uses. b. In all other changes of use in the mixed use village (MU-V) zoning district, additional parking is required to accommodate the incremental intensification of the new use. Additional parking is not required to remedy parking deficiencies existing prior to the change in use.

The applicant seeks a variance (essentially a waiver) of the seven-space parking requirement.

The existing kombucha and cold coffee business at Capitola Tap House is operating under an existing CUP (#19-0031) as a takeout establishment and the location provides no onsite parking. Under the City’s zoning code as applicable when the current use was approved, a takeout restaurant with six seats or less has to provide the same parking as retail uses. A takeout restaurant with seven or more seats has to provide roughly twice as many parking spaces, consistent with restaurant parking requirements.

The existing business has installed 32 taps that connect to a walk-in cooler and currently uses the taps to serve kombucha and cold coffee to customers for onsite consumption and to-go sales. The current application seeks to convert 50% of the existing tap system to use for beer/wine/hard kombucha, and to continue using the other 50% of the taps as they are currently used. The proposal also includes conversion of interior space to add a food prep counter, toaster, and ice machine.

On December 1, 2022, the Planning Commission denied the application with a 3-0 vote, with two Commissioners recusing. The Commissioners cited an inability to make findings to support the proposal as the basis for denial.

Basis of Appeal Filed December 1, 2022: The basis of the appeal (Attachment 8) provided by the applicant focused on three issues:

1. “The staff report noted the use is allowable but the focus for denial was on parking.” The appellant states concern with the staff determination that by providing no parking onsite, there would be spill over parking impacts to street parking in the vicinity and impacts to beach access by limiting parking for visitors.

Staff Analysis: Zoning Ordinance Section 17.76.020 B(b) requires parking for an intensification of use to be provided on-site. The applicant is proposing an intensification of use and the proposal does not include onsite parking which would have spill-over parking impacts.

2. “Two of the three Planning Commissioners based their decision on a part of the application that was not properly before them for their review.” The appellant states that two Commissioners were critical of the proposed kitchen and that was the basis of their denial vote.

Staff Analysis: Planning Commissioners discussed the shortcomings of the application, including the proposed kitchen and business plan. The Commissioners also discussed comparisons made to The Avenue Café being difficult due to The Avenue Café having been established over 40 years ago, three General Plans ago, and under a completely different set of land use laws and standards. The Commissioners described an inability to make findings for the requested CUP, CDP, and Parking Variance, stating that the project would set a precedent of allowing an intensification of use without parking.

While the Commission may have discussed multiple aspects of the project, their denial was based on a lack of ability to make the findings for a CUP, Parking Variance, and CDP. The denial did not include reference to the kitchen or business plan.

3. “Findings for a Variance can be Made.” The appellant states that the Planning Commission approved a Parking Variance for the subject property in 2014 and made findings for approval. 97 Item 8 C.

They also state that property conditions have not changed, so the proposed Parking Variance should also be approved.

Staff Analysis: The Planning Commission approved a Parking Variance in 2014 for four required parking spaces to allow new construction on the property to operate as a retail use. In 2019, the Planning Commission approved a conversion of the business from retail (Charlie & Co.) to a takeout business (Capitola Tap House). In 2019, the City’s Zoning Ordinance allowed for conversion from retail to a takeout eating and drinking establishment use where seating was limited to a six-seat maximum. The City’s Zoning Ordinance specifically allows property owners and commercial tenants the flexibility to convert from retail to takeout (and vice versa) without necessitating parking upgrades, provided the takeout establishment has six or fewer seats. A takeout restaurant is limited to six seats.

The proposed restaurant had more than six seats and is no longer a takeout restaurant. Restaurants and cafes have a parking requirement of one parking space for dining and drinking areas and one parking space for every 300 square feet of other floor area.

In the applicant’s 2019 application to originally establish the Capitola Tap House, the seating for the takeout business was limited to six seats, which did not intensify the parking demand when compared to the prior retail business. The existing 2014 parking variance was sufficient to allow the conversion to a six seat takeout business use in 2019.

The current application seeks to change the use from a takeout business with six seats to a restaurant with 26 seats and is an intensification of use that requires seven onsite parking spaces. The parking variance issued in 2014, waiving the parking requirement for four parking spaces, is not applicable to the current application, which asks the City to waive the parking requirements for seven spaces.

Staff Supported Options: Following denial of the project, the applicant requested that City staff provide feedback on the type of proposal that could be supported. Planning staff discussed the following options with the applicant:

A. No Change to Existing Takeout Food and Beverage: Maintain existing use a takeout food and beverage establishment with six seat limit and no alcohol. No new permit required.

B. Takeout Food and Beverage with Beer and Wine: The business could sell food, beverages, and retail items, but not use taps for beer and wine. The business could sell beer and wine that is bottled or canned off site and displayed for sale in a small display refrigerator. This option would retain the existing six seats. Prefilling containers from the tap system with beer and wine for sale in a display refrigerator would not be allowed.

C. Retail with Tap Use: The business could operate as a retail-only store that fills containers from the tap system onsite for offsite consumption only. No tasting, onsite consumption, or patron seating would be permitted.

The common limitation of the three staff supported options is use of the 32-tap system, in part or in whole, for the service of beer and wine for onsite consumption. The takeout business has a lower parking requirement, is not an intensification of use, and does not have spillover impacts. However, a tap system with beer and wine is inherently incompatible with a takeout business model due to open container laws.

Tap systems are typical of bars, lounges, beer gardens, and full-service restaurants that cater to customers that intend to stay in the business for longer periods of time. The Zoning Ordinance defines and regulates takeout businesses differently than restaurants, bars, and lounges (Section 17.160.020 E 1 a, b, & c).

Modification of Appeal: An appeal to the City Council is a “de novo” review per Section 17.152.30 (F).

This means the City Council can consider any alternatives in addition to the project that was reviewed by the Planning Commission. The appellant has provided a second letter introducing several new alternatives for consideration (Attachment 9). Appellant proposed the following alternatives:
98 Item 8 C.

1. Remove the parking variance request, maintain six seats, and convert 50% of the existing 32 taps to beer/wine/hard kombucha.

Staff Analysis: This alternative is most accurately characterized as a bar or lounge as defined by the Zoning Ordinance. The definition of a bar or lounge is “a business devoted to serving alcoholic beverages for consumption by guests on the premises and in which the serving of food is incidental”.

A bar or lounge is an intensification of use which requires additional parking; therefore, removal of the parking variance is not an option. The Zoning Ordinance defines and regulates bars and lounges separately from a takeout business as those uses have different business patterns, scale, and impacts. A defining feature of a bar, lounge or beer garden is often a tap system.

2. Remove the Parking Variance request, maintain six seats and propose to sell containers prefilled by the tap system with beer/wine/hard kombucha and cold coffee/kombucha from a refrigerator.

On site consumption would be limited to flight sized pours if regular sized pours are not acceptable to the City Council (limited to two per customer).

Staff Analysis: This alternative proposes to function similar to a tasting room, with stated intent to limit pours for sampling. This would be extremely challenging for City Planning staff and Police to enforce.

ABC allows bona-fide breweries and vineyards to have a limited number of satellite tasting rooms.

The Capitola Tap Room would not classify as a tasting room as it is not affiliated with a vineyard or brewery. This alternative would also be categorized as a bar or lounge and would require a variance for additional parking due to the intensification of use. As previously mentioned, allowing a takeout establishment to have a tap system is not compatible with the function of a takeout business model.

3. Remove the Parking Variance, maintain six seats, and sell containers prefilled by the tap system with beer/wine/hard kombucha from a refrigerator for consumption onsite.

Staff Analysis: The chain of custody for an individually prefilled beer/wine/hard kombucha that is filled and then placed in a refrigerator for retail sale and consumption onsite is inconsequential. In situations when this transaction is completed in a matter of seconds, the business would be effectively functioning as a bar, beer garden or pour room. For this reason, staff continues to view this proposal as requiring a parking variance and be a bar or restaurant for zoning purposes.

The appeal modification letter introduces the concept of leasing a portion of the RTC property next to the trestle to add three parking spaces. The applicant did not provide a plan showing how the three parking spaces would be laid out. The RTC/trestle property is zoned CF (Community Facility). The Zoning Ordinance land use table for the CF zone (Table 17.32.1) does not list parking lots or parking facilities as permitted or conditional uses, so this option is not currently allowed by ordinance. The City is aware that there are several long-standing agreements for parking under the trestle. These uses are considered legal nonconforming and were established under prior standards.

Planning staff used existing maps and measured the likely area between the existing building and the trestle and found a width of approximately 18 feet. The minimum commercial parking space dimensions are 9 feet wide by 18 feet deep; therefore, a maximum of two spaces could be accommodated dimensionally by width. However, accessible parking spaces are prioritized and require additional area for paths of travel and clearances. This concept would also require removal of a guy wire, communications pole, undergrounding of communications cables, and coordination around a storm drain inlet. This concept would potentially provide one accessible parking space but, does not meet the requirement of seven total parking spaces.

The appellant also requests that if the City Council chooses to uphold the Planning Commission’s denial of the application that it be without prejudice so that the applicant can continue working with staff on an alternative. Pursuant to Section 17.156.090(A), the City may not accept an application for the same or substantially similar permit for the same site, for twelve months following the denial, unless the denial is made without prejudice. Planning staff believes that any of the three options provided by staff to the applicant would not be substantially similar to the current application. 99 Item 8 C.

CEQA: The City Council’s action would be statutorily exempt from the requirements of the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines Section 15270 (“Projects Which are Disapproved”). If the Council wishes to grant the appeal, or approve the project with modifications, this determination should be modified.

Fiscal Impact: None.

Attachments:
(Attachments 1-5 included from the December 1, 2022, Planning Commission staff report)

1. Proposed Site Plan/Floor Plan

2. Proposed Business Plan and Narrative

3. Existing CUP Conditions for #19-0031

4. Applicant’s letter to the Planning Commission

5. Public Comments

6. Revised Floor Plan - February 22, 2023

7. Revised Business Plan - February 23, 2023

8. Appeal and Basis Statement submitted December 9, 2023

9. Modification of Appeal submitted February 23, 2023

10. Planning Commission Meeting Minutes - December 1, 2022

11. Resolution Affirming Denial

12. December 1, 2022, Planning Commission staff report
Report Prepared By: Brian Froelich, Senior Planner
Reviewed By: Julia Moss, City Clerk; Samantha Zutler, City Attorney Approved By: Jamie Goldstein, City Manager
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SHEET:

SHEETS 401 CAPITOLA AVE 95010 TAP HOUSE FLOOR PLAN FOR LL APPLICATION for Amy Cheng DATE: 07-05-2022 DRAWN BY: RLE REV: 09-21-2022 APN REV:11-2-2022 # 035-131-11 phone # 510-701-8383 413 Capitola Avenue Capitola, CA 95010 Phone: 831-479-1452 Fax: 831-479-1476 RICHARD L. EMIGH A.I.B.D. DRAFTING, DESIGNING & LAND USE ANALYSIS A-1 1 0F 1

SITE PLAN
1/4 " = 1' 0"
sidewalk
planter planter 6'-0"
1/2 bath
stair up
to storage room

DASHED LINE SHOWS
230 SQUARE FEET STORAGE AREA UPPER
FLOOR

COLD STORAGE AREA
KITCHEN KOMBUCHA TAP AREA 12 spouts
KOMBUCHA AND BEER and WINE TAP AREA
20 spouts COUNTER
10' 49.4'
41' 36.4'

36.27'
REFUSE
AREA
existing planting to stay
e) tree
the beer will be from controlled taps and served only to persons over 21 years of age (card key controlled) signs to b posted
"NO OPEN CONTAINERS PAST PROPERTY LINE OR CONTROLLED
SEATING AREAS" PROPOSED SEATING FOR 13 PEOPLE INSIDE
313 SF OF INSIDE FLOOR AREA FOR PUBLIC USE
PROPOSED SEATING FOR 13 PEOPLE OUTSIDE
145 SF OF OUTSIDE AREA FOR PUBLIC USE
26 SEATING AREA 458 SF FLOOR AREA

SIMILAR CONDITION TO

AVANUE CAFE, SAME ZONING ,NON-CONFORMING
40 SEATS WITH INSIDE AND OUTSIDE SEATING

AND NO ON SITE PARKING
VARIANCE TO PARKING REQUESTED SITE PLAN AND SEATING AREAS display display
SINK WC nitro cold brew coffee tea green wine pinot noir wine chardonney 10.5 stout 8-8 stout cavatica (light) 5.5 regular cider 803 sour cider 8.5 dark docker blue moon (middle) 5.7 sipka pilfner (light) hard kombuchia hard kombuciha hard kombuciha PROPERTY LINE PROPERTY LINE

PROPERTY LINE

PROPERTY LINE
display
table
table
table 1 2 34 6 5 7
table
ice
storage
commercial conveyor
toster sandwitch/salad prep table with refrigator barrier gate
no public access
to this area 8 9 10 12 11
13 14 15 16 17 18 19 20 21 22 23
25 25 24
no public access
to this area
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BUSINESS PLAN
Capitola Tap House
401 Capitola Ave.

Capitola, CA 95010, USA
September 13, 2022
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Executive Summary
The Company
Capitola Tap House is a self-serve drink on draft. The self-pour revolution is growing and will add a modern touch to my establishment that will increase foot traffic, drive up sales, reduce waste, and make my operations overall more efficient. Self-pour technology can surely add a unique differentiator.

Having a self-pour beverage wall with beer, wine, and wine-based spirits cocktails will create a sense of community and is great for team bonding and creating a more inclusive environment for everyone for Santa Cruz county and visitors come to Capitola.

The Ownership
The Company will be structured as a sole proprietorship.

The Management
The Company will be managed by hired managers and staff. For delivery drop off, In front of the business location on the street, two parking spaces are designated for a 24 minute parking/loading zone for receiving deliveries. For storage concerns, All beer/wine are set up in 5 gallons to 15 gallons inside the walk-in cooler, and there are plenty of storage shelves. The second story has plenty of room for storage. Green waste management offers bigger size garbage/recycle containers to meet higher waste demand as necessary.

The Goals and Objectives
Capitola Tap House aims to add a fun place for local residents and visitors to stop for some drinks (non alcohol and alcohol drinks are featured on two walls and daily fresh small eating plates for pairing with the drinks. The Capitola Tap House business will enhance the residents' quality of life. Many residents and visitors have expressed positive interest regarding this new business in Capitola, especially the incorporation of alcohol beverages into our business model. This is an ideal location for residents to gather and meet their neighbors and enjoy social circles. Capitola Beach draws many visitors and vacation renters to this area. The City of Capitola Village parking lots, and street meter parking provide parking to the visitors who come by my business while on their way to the village, as we are not a point of destination, but a stop on the way to or from the Village, and many people would be able to take advantage of our take-out option. This business will not generate more 103
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than usual car traffic, or spillover parking in the neighborhoods, as can be confirmed by our previous statement on not being an immediate point of destination, but a business on the way to the Capitola Village. This business is surrounded by recently rezoned vacation rentals and separated by the mixed use village zone.

Open hours are 11am to 8pm (summer and winter business hours may vary).

The Products and Services
Capitola Tap House offers self-pour draft kombucha, specialty tea, nitro cold brew coffee, beer and wine on tap and daily fresh food.

Pricing Strategy
The Company will make use of an economy pricing strategy.

Business Plan - Capitola
Tap House
The Company
Business Sector
The Owner would like to start a business in the following industry: food and drinks accommodation services sector.

Company Background
Capitola Tap House is a self-serve drink on draft. The self-pour revolution is growing and will add a modern touch to my establishment that will increase foot traffic, drive up sales, reduce waste, and make my operations overall more efficient. Self-pour technology can surely add a unique differentiator.
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Having a self-pour beverage wall with beer, wine, and wine-based cocktails will create a sense of community and is great for team bonding and creating a more inclusive environment for everyone for Santa Cruz county and visitors come to Capitola.

Company Goals and Objectives
Capitola Tap House aims to add a fun place for local residents and visitors to stop for some drinks (non alcohol and alcohol drinks are featured on two sides of the walls) and daily fresh made small eating plates for pairing with the drinks. My business is in close proximity to the central village zone and the business is not directly inside a residential neighborhood. My business has only one vacation rental behind me, one side is adjacent to the trestle, and the other side is adjacent to the fire station. My business is in the Neighborhood Commercial Zone, but boarding the Central Village Zone. Lack of parking for this business would not constitute a special privilege, because lack of parking is not a unique request, as many businesses have a lack of parking, and I am not taking parking from the Central Village Zone.

In addition, my business would not be a point of destination, not congest the traffic, and we also limited our seating to aid your concerns. Open hours are 11am to 8pm. Summer and Winter business hours may vary.

Company Ownership Structure
The Company will be structured as a sole proprietorship.

Ownership Background
- Owner: Amy Cheng
Experience and training: Amy Cheng has many years of experience in the food and drinks business. She has degrees in nutritional food and science from UCDavis.

Company Management Structure
The Company will be managed by hired managers and staff.

The Products and Services
The Products and Services
Capitola Tap House offers draft kombucha, special tea, cold brew coffee, beer and wine on tap.

Location Analysis
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The business is located in a bustling commercial beach town and is minutes away from the prominent Capitola Village.

Pricing
The Company will make use of an economy pricing strategy.

Advertising
The Company will promote the business through:
• Online channels (website, Google ads, etc.)
• Email marketing (newsletters, brand story, etc.)
• Social media
• TV or radio ads
• Print (magazines, flyers, etc.)
The annual budget for advertising is: $5,000.00.

SWOT Analysis (Strengths/Weaknesses/Opportunities/Threats) Strengths
Customer service, cutting edge technology in the self-pour are critical success factors and they give the business its competitive advantage.

Weaknesses
The location is driven by tourists, summer, warm, sunny weather.

Opportunities
There is an opportunity to promote brands and products to the community. Bring education about the benefits of Kombucha healthy drinks and efficiency of self-pour technology.

Threats
Common threats include things like rising costs for goods and products, increasing competition and current labor shortage.

Operations
Daily Operations
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The business hours are open to the public from 11am to 8pm. This business is family friendly to locals, visitors and services of all ages. This is family friendly hours and limited crowds after dark and avoiding noisy crowds around the nearby residential neighborhood.

Operational Facilities
Capitola Tap House offers indoor seating, outdoor seating, and daily fresh small plates healthy choice of food. Self-Pour Technology card key check-in manage and control alcohol consumption include the following: (1) keeping track of consumption; (2) measure portion drink sizes; (3) limiting to no more than 2 standard drinks per person at a time. (4)Signs posted "No Open Containers past controlled outdoor seating areas. Staff serve free samples of kombucha on draft outdoor mobile carts within the property line. Outdoor Signages stand placement within the property line.

Staffing
The Company has a 5-10 person staff, including a general manager, part-time and full-time staff. Staff check ID at the POS counter.

Zone Commercial/Residential
Capitola Tap House business is separated by Trestle Boundary Zoning Central Village and Neighborhood Commercial. Central Fire Station is on the right, Trestle is on the left, Riverview Ave Beach Vacation Rentals directly behind. Capitol Ave is a major artThis business is surrounded by Central Village Zoning. Outdoor dining seating and Outdoor Business Signage placements are important for businesses in central village and neighborhood commercials.

Capitola Tap House proposed 18 people indoor seating, 13 people outdoor seating

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City of Capitola

MASTER APPLICATION
Application #__________
Filing Date____________
Total Fee_____________
Received by___________
Project Address:

A.P.N.: Zone District:

Existing Condition/Current Use
New Addition Remodel Variance Demo CUP Coastal Permit Other________ Residential: # of Bldgs. # of Stories # of Units Commercial: # of Bldgs. # of Stories Project Description:

Proposed Use/Occupancy:

IMPORTANT: Please check the box  next to the name of the person listed below whom we should contact regarding this application.

Property Owner: Phone:

Mailing Address:

Email:

Applicant: Phone:

Mailing Address:

Email:

Architect/Designer: Phone:

Mailing Address:

Email:

Engineer: Phone:

Mailing Address:

Email:

401 Capitola Ave 0351311 mixed-use commerc Take-Out Restaurant 1 1 I would like to re-notice and process it as a restaurant/cafe serving draft kombucha, draft nitro coffee, draft beer, draft wine, and a bona fide eating place with 23 seats, parking variance, mixed-use neighborhood zoning. Amy Cheng 510-701-8383 401 Capitola Ave, Capitola, CA 95010 [email protected] Amy Cheng 510-701-8383 401 Capitola Ave, Capitola, CA 95010 [email protected] Richard Emigh 831-566-9142 413 Capitola Ave, Capitola, CA 95010 [email protected] 112
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https://leginfo.legislature.ca.gov/faces/billNavClient.xhtml?bill_id=202120220AB2097 Updates: AB 2097 passed the State Senate on 8/29/22 by a vote of 26-9. It passed the State Assembly in a concurrence vote on 8/30/22 by a vote of 52-17. AB 2097 was signed by Governor Gavin Newsom on 9/22/22. Click here to view the governor's signing message.
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To: Capitola Planning Commission
Meeting Date: October 6, 2022
Address: 401 Capitola Avenue
Permit Number #22-0282
APN: 035-131-11
Dear Members of the Capitola Planning Commission and City Staff, I am Amy Cheng, the owner of 401 Capitola Avenue and the Applicant for this matter.

Thank you for the opportunity to address the Staff Report pertaining to my proposal.

The Staff Report states that my application requires two entitlements:

1. A Conditional Use Permit Modification to establish a “bar and lounge serving beer and wine” in the MU-N zoning district.

2. A parking variance to expand customer area from six seats to a plan that fully utilizes the front porch and interior customer area with proposed seating for 31 customers.

In response, I disagree with both points.

1. I disagree with and object to the characterization of my proposed use for this location as a “bar and lounge” (pour room.) (Please note that I also take objection to the wording on the City’s green Notice of Public Hearing.)

2. I disagree with the statement that this application requires a parking variance, in light of the passage of Assembly Bill (“AB”) 2097, which was approved by the Governor on September 22, 2022 and Filed with the Secretary of State on September 22, 2022. AB 2097 amends Section 65585 of and adds Section 65863.2 to the CA Government Code relating to land use.

In the alternative, I submit that if the Planning Commission determines that a minimum parking requirement still applies, the number imposed by the City’s Planning Department is incorrect.

DISCUSSION

1. Proposed Use for location is an Eating Place, not a bar and lounge.

I have applied for a Type 41 On-Sale Beer and Wine- Eating Place license through the California Department of Alcohol Beverage Control (“ABC”). A Type 41 license is defined as follows:
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41: (Restaurant) Authorizes the sale of beer and wine for consumption on or off the premises where sold. Distilled spirits may not be on the premises (except brandy, rum, or liqueurs for use solely for cooking purposes). Must operate and maintain the licensed premises as a bona fide eating place. Must maintain suitable kitchen facilities, and must make actual and substantial sales of meals for consumption on the premises. Minors are allowed on the premises.

I am NOT applying for a license for a bar or tavern type use. Contrast my proposed use with a Type 42 license: On-Sale Beer and Wine – Public Premises:
42: (Bar, Tavern) Authorizes the sale of beer and wine for consumption on or off the premises where sold. No distilled spirits may be on the premises. Minors are not allowed to enter and remain (see Section 25663.5 for exception, musicians).

Food service is not required.

The hours of operation for my establishment are requested to be 11:00 a.m. to 8:00 p.m. Minors are allowed to enter and remain. This is a family friendly business for all ages. The early close time of 8:00 p.m. limits noise and other impacts to the surrounding businesses and neighbors such as lighting or traffic generation. My business is next door to the Fire Station and across the street from the Police Department and adjacent to the RTC- railway/trestle open space.

There is only one vacation rental home behind me. The fact that there is only one vacation rental residence near me and the proximity to law enforcement further ensures a lack of impact.

My proposal is for a business that is a bona fide eating place. I will have suitable kitchen facilities and provide the following meals (not ancillary food, but rather substantial meals for consumption on premises or take out):

MENU

DAILY FRESH MADE
Daily Fresh Soup
Variety Crackers & Cheese Plates
Daily Fresh Specialty Rolls
Beef Kimbap Rolls
Chicken Kimbap Rolls
Spam Kimbap Rolls
Tofu & Fish Cake Kimbap Rolls
Shrimps Spring Rolls
Chicken Rice Bowl
Daily Fresh Desserts
Please note that the Capitola Municipal Code also confirms my proposed use of the premises as an “eating and drinking establishment” such as a restaurant, café, or take-out food and beverage, rather than a “bar and lounge”. As you can see from the definitions taken from Section 17.160.020 of the Capitola Municipal 117
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Code, a “bar and lounge” is a business “devoted to serving alcoholic beverages”, “in which the serving of food only incidental to the consumption of such (alcoholic) beverages” and describes such places as “cocktail lounges, nightclubs, taverns.” This description brings to mind bars that primarily serve alcohol in a cocktail lounge, nightclub or tavern environment, which might serve baskets of pretzels or nuts ‘incidental’ to the consumption of the alcoholic beverage.

This ‘bar and lounge’ description is not at all what the proposed use of my premises is contemplated to be, or intended to be, or will be.

Capitola Municipal Code 17.160.020

1. “Eating and drinking establishments” means businesses primarily engaged in serving prepared food and/or beverages for consumption on or off the premises.
a. “Bars and lounges” means a business devoted to serving alcoholic beverages for consumption by guests on the premises and in which the serving of food is only incidental to the consumption of such beverages.

Includes cocktail lounges, nightclubs, taverns, and other similar uses. b. “Restaurants and cafes” means a business establishment serving food and beverages to customers where the food and beverages may be consumed on the premises or carried out and where more than one hundred sixty square feet of public area is open to customers. Includes full service restaurants, fast-food restaurants, coffee shops, cafes, and other similar eating and drinking establishments.
c. “Take-out food and beverage” means establishments where food and beverages may be consumed on the premises, taken out, or delivered, but where the area open to customers is limited to no more than one hundred sixty square feet. Includes take-out restaurants, take-out sandwich shops, limited service pizza parlors and delivery shops, and snack bars. Also includes catering businesses or bakeries that have a storefront retail component.

The Staff Report determines this is a bar and lounge based on the following:

1. The proposed use is greater than 160 sf of customer area – Response: this is not a criteria for the definition of bar and lounge.

2. The proposed use includes 31 seats – Response: this is not a criteria for the definition of bar and lounge.
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3. This utilizes a self-pour tap system – Response: this is not a criteria for the definition of bar and lounge.

4. Will utilize at least 50% of the 32-tap system for alcoholic beverages – Response: this ignores the fact that meals will be served as well as numerous non-alcoholic beverages
My current business has had approval of the plans for the Conditional Use Permit (“CUP”) in the Category “Take-Out Restaurant.” In my understanding, a variance was given to have no parking on site. My business is family friendly- with limited evening hours (closing at 8 pm) where are minors are welcome. My proposed use does not fit the Capitola Municipal Code definition of bar and lounge, it does not fit the ABC Type 42 license for bar, tavern, and it does not fit the actual image of a bar, cocktail lounge, nightclub, tavern etc. that ‘we know when we see it.’

2. A Parking Variance is no longer needed.

AB 2097 was passed and approved by Governor Newsom on September 22, 2022 and filed with the Secretary of State the same day. It has been codified as law in Government Code Section 65585 and adds Section 65863.2 to the CA Government Code relating to land use.

AB 2097 does not just apply to housing developments. It was contemplated to “make housing cheaper and more abundant, help mom ’n’ pop restaurants get started, let architects reuse historic buildings, and make the state’s neighborhoods more walkable.” Before AB 2097, local laws required gyms, offices, stores, cafes, restaurants, homes etc. to come with a certain number of parking spots. Now, with the governor’s approval, those requirements disappear within a half-mile of regular transit service, effectively ending parking minimums.

No longer are buildings frozen out of “adaptive reuse” because of parking requirements.

The new law, codified in Government Code Section 65863.2, states:
(a) A public agency shall not impose or enforce any minimum automobile parking requirement on a residential, commercial, or other development project if the project is located within one-half mile of public transit.

The only exception to this law is if not imposing parking requirements would have a substantially negative impact on the city meeting its regional housing need number or other housing development related impacts. There are no such impacts at issue with this proposal.

Public transit” means a major transit stop as defined in Section 21155 of the Public Resources Code, (“PRC”) which refers to 21064.3. 119
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21064.3 of the PRC defines “Major transit stop” means a site containing any of the following:
(a) An existing rail or bus rapid transit station.
(b) A ferry terminal served by either a bus or rail transit service.

Therefore it is my contention that no minimum parking requirement can be legally imposed.

3. In the alternative, if a parking minimum is still imposed, the City’s suggested number of parking spots required is incorrect.

I have a lawful CUP under the prior zoning ordinance, which allowed takeout business without additional parking. Original building permit#For this proposal, City Planning staff is holding me to the standard of parking ratio imposed on bars and lounges. That ratio is 1:60 square feet (“sf”) for customer area and 1:240 sf for other areas. However a take-out restaurant has a parking ratio of 1:300 sf, which for these premises requires 4 parking spaces – if you include the total square footage of the building. For this proposed change, the City indicates that 8 additional spaces be added, because the City is using the 1:60 sf ratio of a bar and lounge.

I submit that that is an inaccurate characterization and therefore these 8 additional spaces are incorrectly imposed. The staff report notes that “the customer area of the existing building (interior plus front porch) is 554 sf.” (Page 2 of the Staff Report.) That suggests a parking requirement of two spots if reviewed under the current Zoning Ordinance. Further I submit that Planning Commission can grant any parking variance required, as this use is of minimal impact and compatible with neighboring land uses. In my understanding, when “Charley and Co.” built the building and final permit#BP 2014-228 in 2015, a variance was given to have no parking on site.

4. The Planning Department’s allegations regarding a history of code violations and ABC concerns are red herrings and
disingenuous.

The Planning department notes the following code enforcement actions: a trash enclosure that didn’t conform to approved plans, concrete forms installed for a patio area that was not approved, and banners in front of the house without permits. After inspections Planning Staff notified me of these issues and I immediately took corrective action and resolved the noticed issues. There are no open code violations. To inflate this to an allegation of a history of code violations is overstating and I suggest disingenuous. Planning notes in the report that “no calls to Police have been made by or to the Capitola Tap House.” (Page

3.)
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Planning Staff also claim that ABC had concerns as to how id’s would be checked for alcohol sales and whether the kitchen had the ability to meet the Type 41 requirement for being a restaurant. I suggest that these speculations on the part of the ABC don’t rise to the level of unmitigable issues that result in an unsupportable project. The kitchen is adequate to provide the meals that have been outlined on the menu. Further I will employ sophisticated self-pour technology involving a card key that will enable us to only allow people who have shown id’s that they are at least 21 years of age to use the taps, and manage and control alcohol consumption by keeping track of consumption, measuring portion drink sizes, and cutting off self-pour after two standard drinks per person.

Notably ABC stated that they were not concerned with the front porch area being used for consumption.

This is not a ‘bar and lounge.’ This is a family friendly eating establishment business, with limited hours. Noise, lighting, traffic generation etc. are accordingly mitigated and not significant impacts. My neighbors are primarily the RTC open space, the Fire Department and City Hall and the Police Department, with the exception of one vacation rental house. I abut the Mixed Use Village zoning with many nearby commercial businesses. I am much closer to the MUV and already run a Kombucha business establishment here with no negative impact to the residential transitional area. This proposed use would not change this. This is a compatible use for the area. It will not negatively impact surrounding uses or public health, safety and welfare.

The Staff Report notes that this project is categorically exempt under section 15301 of CEQA – it is a “negligible or no expansion of use beyond that existing at the time of the lead agency’s determination. This project involves no new permanent physical improvements and does not require a Building permit. The permit will involve a minor change in operations and utilization of existing spaces.

No adverse environmental impacts were discovered during review of the proposed project.” (Staff Report Page 6, emphasis added.) Therefore it is compatible with the General Plan and I respectfully request that the amendment to the CUP should be granted.

Thank you for your consideration,
Amy Cheng
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1 Froelich, Brian
From: Edward Newman <[email protected]>
Sent: Wednesday, October 5, 2022 8:57 PM
To: PLANNING COMMISSION
Subject: 401 Capitola Avenue
Dear Commissioners:

I am writing on behalf of the seven tenants at 331 Capitola Avenue regarding the application for a conditional use permit, parking variance, and coastal permit for a 46 seat food and alcohol service business  at 401 Capitola Avenue. I will obviously not participate in that hearing due to my interest in the property at 331 Capitola  Ave.

When the applicant first applied for the existing  use permit, the tenants at 331 Capitola Ave. were concerned about impacts on their limited parking.  At the time assurance were made that the operation would not affect adjacent parking because of the nature of the use being limited to serving tea products.

The current application for a 46 seat bar and restaurant is drastically different from the original approval.  The building at 401 Capitola Ave. has zero off‐street parking spaces and almost no on‐street parking.  Our tenants do not wish to be in perpetual conflict with patrons of an adjacent  bar/restaurant.   When the property at 331 Capitola Ave. was originally built, parking was required, and food services uses were prohibited for that property.  The location is not suitable for the proposed use, and It is difficult to see how the state mandated findings for a parking variance can be made under the circumstances.

We at 331 Capitola Ave. support the staff recommendation and respectfully request that the application be denied.

Ed Newman
Sent from Mail for Windows
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1 Froelich, Brian
From: Troy A <[email protected]>
Sent: Tuesday, September 27, 2022 4:01 PM
To: PLANNING COMMISSION
Subject: 401 Capitola Ave permit
Hello,
I’m a neighbor of the Kombucha bar. I’m against any kind of permit for alcoholic beverages. This location has residential neighbors and should not be allowed to become another beer bar. We have enough of those establishments downtown.

Don’t need another one amongst residential homes.

Thank you!
Troy
Sent from my iPhone
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October 19, 2022
City of Capitola Planning Commission
420 Capitola Avenue
Capitola, CA 95010
Attn: Brian Froelich
SUBJ: 401 Capitola Avenue/Tap House/ APN: 035-131-11
RE: Conditional Use Permit and Parking Variance Application/Permit Number: #22-0282 Dear Brian & Members of the Capitola Planning Commission, Our house at 403 Riverview Avenue is approx. 100 feet from The Tap House (the home across the street from us backs up against it). We support the staff recommendation and respectfully request that the application be denied for the following reasons:

1. The location is not suitable for the proposed use (serving beer & wine, expand indoor and outdoor dining/consumption customer areas and a variance to required parking):
a. Not enough off-street parking spaces. The proposal places the burden of parking demand entirely offsite in an area already overburdened with parking issues. b. This is a Mixed Use Neighborhood zoning district & not in Capitola Village.

2. The proposed use will be detrimental to the public health, safety, and welfare. a. Several single family residences are a few feet away & bar and lounge use—especially with taps and limited space for patrons—pose a risk to public health, safety, and welfare to adjacent residential property owners.
i. Noise associated with this type of business (yelling & horn honking) would have negative impacts on neighbors in the vicinity.
ii. Statistics show establishments that serve beer & wine give way to public drunkenness and the crime that comes along with it. Examples include:
unauthorized parking in neighbor’s driveways, damages to parked cars, littering, loitering, urinating in public, DUI’s, drug use & possession & violence. iii. Unfortunately, even law-abiding bars may pose major problems when patrons leave at closing time, parking in neighborhoods & waking neighbors with car sounds and headlights.
iv. Issuance of any kind of alcohol license could aggravate an existing crime problem already in the area.

We wish The Tap House owners continued success w/their current business and would like to thank the Planning Commission for the opportunity to express our opinion on this important subject.

Sincerely,
Oskar & Gina Kalbali
403 Riverview Avenue
Capitola, CA 95010
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SHEET:

SHEETS
401 CAPITOLA AVE 95010TAP HOUSE FLOOR PLANFOR LL APPLICATIONfor Amy Cheng DATE: 07-05-2022
DRAWN BY: RLE
REV: 09-21-2022
APN
REV:11-2-2022REV:02-22-2023
# 035-131-11
phone # 510-701-8383 413 Capitola Avenue Capitola, CA 95010 Phone: 831-479-1452 Fax: 831-479-1476 RICHARD L. EMIGH A.I.B.D. DRAFTING, DESIGNING & LAND USE ANALYSIS A-1 1 0F 1

SITE PLAN
1/4 " = 1' 0"
sidewalk
planter planter 6'-0"
1/2 bath
stair up
to storage room

DASHED LINE SHOWS
230 SQUARE FEET

EXISTING DRY

STORAGE AREA UPPER
FLOOR

COLD STORAGE AREA

KITCHEN
KOMBUCHA TAP AREA12 spouts
KOMBUCHA AND BEER and WINE TAP AREA
20 spouts

EXISTING COUNTER
10'

49.4'
41' 36.4'

36.27'
REFUSE
AREA
existing planting to stay
e) tree
the beer will be from controlled taps
and served only to persons over 21
years of age (card key controlled)
signs to b posted
"NO OPEN CONTAINERS PAST

PROPERTY LINE OR CONTROLLED
SEATING AREAS"
PROPOSED SEATING FOR 6 PEOPLE

SITE PLAN ANDSEATING AREAS
display
display
SINK
WC
nitro cold brew coffeetea greenwine pinot noirwine chardonney

10.5 stout8-8 stout cavatica (light)

5.5 regular cider803 sour cider8.5 dark dockerblue moon (middle)

5.7 sipka pilfner (light)hard kombuchiahard kombucihahard kombuciha

PROPERTY LINE

PROPERTY LINE

PROPERTY LINE

PROPERTY LINE
display
table
table
2 1 3
4 5
6 table
Existing
ice
storage
New
commercial
conveyor
toster
New sandwitch/saladprep table with refrigator72 5/8" long 30 1/16" wide barrier gate
no public
access
to this area
no public
access
to this area

EMPLOYEE

DESIGNATED

STORAGE AREA
Existing 24 x 24
sink and Cleaning storage area
Existing
sink
Existing
three bay
sing area

EXISTING SELF-CLOSING

DOOR FOR RESTROOM

EXISTING FINISHES

FLOOR IS TILES,BASEBOARDS,

PAINTED WALLS, CEILING EXISTING
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BUSINESS PLAN
Capitola Tap House
401 Capitola Ave.

Capitola, CA 95010
February 14, 2023
Executive Summary
The Company
Capitola Tap House is a take-out restaurant with self-pour draft craft local beer, wine, hard kombucha and organic kombucha located in the heart of Capitola, California. The goal is to provide an enjoyable and inviting space for locals and tourists alike to come together, sample local craft beer, and appreciate the beauty of the Capitola area. I am passionate about creating an atmosphere that encourages community and a unique and exciting experience to the city of Capitola – a takeout restaurant with a self-pour taphouse. This concept has become increasingly popular in the past few years, and I believe it would be a great addition to the city. The self-pour taphouse will provide customers with a fun and interactive experience. They’ll be able to sample each selection before making their purchase, allowing them to make an informed decision about what they’d like to drink. The self-pour revolution will add a modern touch to my establishment that will increase foot traffic, drive up sales, reduce waste, and make my operations overall more efficient. Self-pour technology can surely add a unique differentiator. Our menu offerings will include an extensive selection of craft beers, wines, and small plates of food. We will also host special events, such as beer tastings and educational seminars, to further support our commitment to craft beer and wine appreciation.

The Ownership
The Company will be structured as a sole proprietorship. 126
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The Management
The management team at Capitola Tap House consists of experienced entrepreneurs who are passionate about draft craft beer, wine and kombucha appreciation. The team consists of a general manager, assistant manager, and 6-8 staff. For delivery drop off, in front of the business location on the street, two parking spaces are designated for a 24 minute parking/loading zone for receiving deliveries. For storage concerns, All beer/wine are set up in 5 gallons to 15 gallons inside the walk-in cooler, and there are plenty of storage shelves. The second story has plenty of room for storage. Green waste management offers bigger size garbage/recycle containers to meet higher waste demand as necessary.

The Goals and Objectives
Capitola Tap House will have a total start-up cost of $250,000. This includes the cost of remodeling and improvement costs, licenses, equipment, and supplies. The business will generate revenue through the sale of drinks and food. This take-out restaurant and self-pour taphouse establishment will also generate revenue through special events, such as beer tastings and educational seminars.

Capitola Tap House aims to add a fun place for local residents and visitors to stop for some drinks (non alcohol and alcohol drinks are featured on two walls and daily fresh small plates for pairing with drinks. The Capitola Tap House business will enhance the residents' quality of life. Many residents and visitors have expressed positive interest regarding this new business in Capitola, especially the incorporation of alcohol beverages into our business model. This is an ideal location for residents to gather and meet their neighbors and enjoy social circles. Capitola Beach draws many visitors and vacation renters to this area. The City of Capitola Village parking lots, and street meter parking provide parking to the visitors who come by my business while on their way to the village, as we are not a point of destination, but a stop on the way to or from the Village, and many people would be able to take advantage of our take-out option. This business will not generate more than usual car traffic, or spillover parking in the neighborhoods, as can be confirmed by our previous statement on not being an immediate point of destination, but a business on the way 127
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to the Capitola Village. This business is surrounded by recently rezoned vacation rentals and separated by the mixed use village zone.

Open hours are 11am to 8pm (summer and winter business hours may vary).

The Products and Services
Capitola Tap House offers self-pour draft kombucha, specialty tea, nitro cold brew coffee, beer and wine on tap and daily fresh food.

Pricing Strategy
The Company will make use of an economy pricing strategy.

Ownership Background
Owner: Amy Cheng
Experience and training: Amy Cheng has many years of experience in the food and drinks business. She has degrees in nutritional food and science from UCDavis.

Company Management Structure
The Company will be managed by the general manager, assistant manager and staff.

The Products and Services
Capitola Tap House offers draft kombucha, special tea, cold brew coffee, beer and wine on tap and local source and organic small bite sized food.

Location Analysis
The business is located in a bustling commercial beach town and is minutes away from the prominent Capitola Village.
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Advertising
The Company will promote the business through:
• Online channels (website, Google ads, etc.)
• Email marketing (newsletters, brand story, etc.)
• Social media
• TV or radio ads
• Print (magazines, flyers, etc.)
The annual budget for advertising is: $15,000.00.

SWOT Analysis (Strengths/Weaknesses/Opportunities/Threats) Strengths
Customer service, cutting edge technology in the self-pour are critical success factors and they give the business its competitive advantage.

Weaknesses
The location is driven by tourists, summer, warm, sunny weather.

Opportunities
There is an opportunity to promote brands and products to the community. Bring education about the benefits of Kombucha healthy drinks and efficiency of self-pour technology.

Threats
Common threats include things like rising costs for goods and products, increasing competition and current labor shortage.

Operations
Daily Operations
The business hours are open to the public from 11am to 8pm. This business is family friendly to locals, visitors and services of all ages. This business has family friendly hours and limited crowds after dark and avoids noisy crowds around the nearby residential neighborhood.
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Operational Facilities
Capitola Tap House offers indoor seating, outdoor seating, and daily fresh small plates healthy choice of food. Self-Pour Technology card key check-in manage and control alcohol consumption include the following: (1) keeping track of consumption; (2) measure portion drink sizes; (3) limiting to no more than 2 standard drinks per person at a time. (4)Signs posted "No Open Containers past controlled outdoor seating area. staff serve free samples of kombucha on draft outdoor mobile carts within the property Boundary and digital signage inside the building.

Staffing
The Company has a 8-20 person staff, including a general manager, part-time and full-time staff. Staff check ID at the POS counter.

Zone Commercial/Residential
Capitola Tap House business is separated by Trestle Boundary Zoning Central Village and Neighborhood Commercial. Central Fire Station is on the right, Trestle is on the left, Riverview Ave Beach Vacation Rentals directly behind. Capitol Ave is a major commercial business, public transportation and traffic artery. This business is surrounded by Central Village Zoning. Outdoor dining seating and visuage signage are important for businesses in central village and neighborhood commercials.

Capitola Tap House is limited to 6 outdoor seating. Proposal for additional seats and additional parking space nearby becomes available.

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Modification to appeal of Planning Commission denial of Application # 22-0282 Additional sheets
To: The Honorable City Council
From: Amy Cheng
Dear City Council Members,
On December 9, 2022 I submitted a timely appeal of the Planning Commission denial of my Application #22-0282.

Thank you for the opportunity to have my appeal heard by the Council.

Desired Outcome of this hearing:

1. I would like to continue with the City Council’s consideration of my appeal of the Planning Commission decision on my application #22-0282.

2. If the appeal of Application #22-0282 is not granted, I seek a De Novo review by City Council of any and all alternative proposals to that Application and to my current CUP for my business at 401 Capitola Avenue, and I hope to get a ruling from City Council granting one of the alternatives I have proposed.

3. A discussion with Council and Planning Staff of how much additional seating the addition of three parking spaces to my property would enable me to have.

4. If the City Council returns the matter to the Planning Department or Planning Commission I would request the ruling by City Council be ‘without prejudice’ to enable me to continue to engage with Planning Department.

I. Original Appeal of Application #22-0282 – appeal filed December 9, 2022.

I would like to continue with the City Council’s consideration of my appeal of the Planning Commission decision on my application#22-0282, and I refer to and incorporate by reference the packet materials that I submitted for that purpose on December 9, 2022, which I will also attach to this Modified Appeal.

That proposal was to increase the number of seats in my business to 26 and modify my CUP to a restaurant/café, with service of alcohol.
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My initial Appeal Packet contains the issue in more detail. Please see the original Appeal packet filed with the City Clerk on December 9, 2022. Briefly to summarize here, the reasons given for denial of the application were parking and sufficient kitchen facilities.

I continue to assert that the proposal could have been granted by Planning. The findings for a parking variance could have been made as Policy 1-1 of the Land Use Plan set forth the review standard- The intensity of new development shall be limited to the availability of parking and other alternative transportation systems, such as a shuttle bus and remote parking.” (Emphasis added.) There is ample public parking near me, and an increase in the use of shuttle bus and shared ride transportation modes.

With regard to the sufficiency of my proposed kitchen facilities, Staff informed the Planning Commission that that was not a factor for their review. Please see the tape of the proceeding at approximately the 1:15-1:17 mark, where Staff informed the Commission that the issue of the ABC license, including the issue of the ‘bona fide eating establishment’ required was NOT part of the findings to make. Yet the Planning Commission did heavily rely on the issue of the sufficiency of the kitchen facilities and I feel that was weighted inappropriately in their decision to deny my application.

II. Consideration of alternatives to the original CUP and the proposal in #22-0282.

Since December 2022, I have been in continued discussions with the City of Capitola’s Planning Department. I want to express my gratitude to the Planning Department City Staff for their time and work with me. City Staff and I have discussed alternatives to my proposal in the original Application #22-0282.

City Staff informed me that, as this is a De Novo review, City Council could consider not only the project contained in Application #22-0282, but also any and all alternative proposals to that Application and to my current CUP for my business at 401 Capitola Avenue.

Accordingly I would like to amend my appeal to include for your review and discussion the alternative proposals, contained herein.

I also would welcome any other direction and alternatives proposed by City Council at the hearing on March 23, 2023.

Without waiver of my appeal and for the purposes of trying to reach a mutually agreeable alternative, I propose the following alternatives:

1. First proposed alternative:
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I am in agreement to remove the parking variance from the request and continue with the six-seat takeout business model, which is the business model I have now with my current, valid CUP.

However I would like to continue with my request to convert no more than 50% of my taps to beer/wine/hard kombucha (hard kombucha is classified as beer/wine so for this proceeding I will refer to the proposal as seeking a CUP for beer and wine). This alternative would be to allow the consumption of food, non-alcoholic drinks, and limited consumption of alcoholic drinks on the premises.

As was stated in the staff report for the Planning Commission hearing dated December 1, 2022, (page 124 of the Agenda packet):

Conditional Use Permit Findings A. The proposed use is allowed in the applicable zoning district. Restaurant businesses and alcohol sales are not permitted by-right in the MU-N zoning district and require a conditional use permit. A restaurant serving beer and wine that meets parking standards is a potentially supportable proposal.

Therefore a CUP application for a proposal serving beer and wine is a supportable proposal if it meets the parking standards. In this alternative proposal, I am not seeking to expand seating and therefore my proposal meets existing parking standards. There is no longer that impediment to this proposal.

I received an email from Senior Planner Brian Froelich on December 27, 2022, which stated:

The staff advice is to continue with the takeout business model and remove the parking variance from the request. Staff is also unlikely to support use of the tap system for beer and wine for a takeout business. A takeout business and a tap system are not compatible.

Bars and full-service restaurants have tap systems where customers stay for longer periods and consume on property.

We are open to reviewing bottle and can sales from an appropriately sized refrigerator to accompany the takeout business model.

It seems to me that Planning Staff is now proffering a new impediment to my proposal that was not the basis for Staff's recommendation for denial in the Staff Report for my application #22-0282. This new impediment is based on the length of time my customers will patronize my business. Specifically Staff is maintaining that "a takeout business and a tap system are not compatible. Bars and full-service restaurants have tap systems where customers stay for longer periods and consume on property." I think that Staff's statement here is not well founded. The length of time my customers 143
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can stay now to consume the drinks I currently sell, in the six seats allowed in my business, has never been an issue. There is no limit placed on how long one of my customers can sit and drink the kombucha drinks I sell now. Realistically with only six seats and the type of environment that my business presents (family oriented, minors welcome, light and bright, minimal seating, limited hours- closing at 8 pm) it is not going to draw the type of activity that a typical bar/lounge does. A bar/lounge has ample seating, dark lighting, adults only, who settle in for hours on end consuming unlimited alcoholic beverages. That is not what my proposal will look like.

As stated in my original application in #22-0282, I will implement a Self Pour Technology Card Key system - which manages and controls alcohol consumption by limiting each adult customer to no more than two (2) alcoholic drinks, and measuring and controlling portion size on the self-pour. This technology will ensure this limitation consistently and accurately. This will address Staff's concern, as it will limit the length of time customers will stay and consume on the premises, as well as the amount that can be consumed on the premises. Further, I can adjust the number and size of the pour even further. I am open to Council discussion on what Council feels is acceptable.

Alcohol sales are allowed in this zone with a CUP. Fundamentally alcohol sales are not incompatible with a takeout business. Staff's suggestion is proposing takeout alcohol sales in cans and bottles from a refrigerator.

2. Second Proposed Alternative:

Please note that alcohol from the pour taps can be also bottled and sealed for take out in pints, growlers and crowlers. If I am not granted the option of regular size pours (limited to two per person) of alcohol from the taps, I would like to accept the idea of a refrigerator for beer and wine sales but propose that the refrigerator offer prefilled, sealed bottles of my beverages from my taps. On premises, customers could be limited to trial, flight size pours (limited in number) enabling them to try a beverage and then select a sealed bottle of choice either for consumption on premises and/or to buy it to-go as well. This makes much more economic sense than stocking the fridge with other canned brands of beer and wine, and is compatible with the uniqueness of my business brand.

And this would also address Planning's concerns about length of time of consumption on the property.

While I appreciate that Staff is open to allowing the sale of alcohol in bottles and cans, if this means other brands of alcohol this is a limitation that will continue to present an economic hardship on me and my business. I have invested very significant cost in the tap system that is presently installed in my business. I implemented this system to differentiate my business from others and offer a unique and fun service with a modern, innovative touch that will draw customers and allow me to survive financially as a small business owner. I want to bring in customers with this distinctive service, but I also want 144
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to encourage the turnover of customers with the two drink maximum, (or whatever is proposed by Council) so that I can increase revenue.

3. Third Proposed Alternative:

Accept the use of a refrigerator for all sales of beer and wine but request that the presealed beer and wine beverages be from my tap system. Accept no self-pour consumption on premises of any size. Request to allow the consumption on premises of the presealed bottles from the refrigerator. (See discussion, below.) On February 10, 2023, I had a zoom meeting with Capitola Planning Staff. Planning Staff articulated their position in an email to me dated 2/14/23, as follows:

Staff supportable alternatives:
a. No Beer and Wine (B&W) – No new permit required
b. Takeout Food & Beverage
OK to sell food, beverage, and retail with following limitations i. No tap use for B&W in any capacity
ii. Cannot fill containers with B&W from taps for consumption on or off site.
iii. Small display fridge for B&W– example Castagnolas
iv. Keep legal nonconforming seating (6 seats)
c. B&W retail w/taps
i. Retail liquor store that packages to-go B&W beverages from the taps (pints, growlers, etc.) as well as food and retail goods.
ii. No onsite consumption of food and drink. No dining
areas, no seats, no drink rails, etc..
iii. All sales would be retail only.

Staff’s alternative ‘a’ is for me to withdraw my application and continue to maintain my business as currently permitted. Staff’s alternative ‘c’ is to convert my business from a take-out establishment, which creates community for the public, to essentially a liquor store. No seating on the premises, no consumption of even non-alcoholic beverages on the premises, just retail sales to go of both my non-alcoholic kombucha, and beer and wine, and any food and retail goods.
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These are not the proposed alternatives I wish to accept. While option ‘a.’ maintains what I have now, (and I certainly don’t want to go less than what I have now) I am trying to survive and wish to increase my business. Most importantly option ‘c’ is not acceptable and I would think that Council would not want the beautiful building at 401 Capitola Avenue to become essentially a liquor store.

What I love about being a small business owner in the beautiful City of Capitola is the community! I am developing a core group of customers who love the City and what my business brings and could bring to the City. It would be a shame to convert this location from a family friendly, community oriented meeting place to a retail liquor store.

City Staff and I spent much time discussing Option ‘b’.

Staff offered the proposal, similar to Castagnola’s, where I could offer food and nonalcoholic kombucha for consumption on premises along with a refrigerator of precanned/ prebottled beer and wine from outside vendors (i.e. not my taps). Staff stated that the customers could consume the beer and wine from the refrigerator on my premises, as well as the customers who were buying the non-alcoholic kombucha drinks and the food could stay and consume on the premises.

However Staff would not support the conversion of any of my taps (proposal was 50%) to beer and wine if there were any consumption of beer and wine on the premises. Staff then went further and said that if any of the taps were converted to beer and wine (even if only for filling bottles for to-go sales), no consumption of any food and non-alcoholic drink could occur on the premises.

I submit to Council that this hardline position is not reasonable or good for Capitola. It seems unnecessarily stringent.

I am fortunate to own a business that is much more weather proof than those right up against the ocean. My location is not as vulnerable to storms and resultant flooding and destruction. My business can be a year round draw to Capitola, a community destination and an important source of revenue to the City.

I think it is unduly restrictive to allow me to sell commercial brands of beer and wine from my premises, for consumption on the premises, but not allow for my use of the already existing tap system for beer and wine (unless I convert my business to a liquor store.) This defeats the uniqueness of my business model.

Staff is clearly very worried about my business becoming a bar. That is absolutely not going to happen. I have a family friendly; minors welcome business with limited hours and limited seating. Expanding my offerings somewhat to a limited amount of beer and 146
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wine will not result in an adverse impact to the City or my immediate surroundings.

Although I am in the mixed use –N zone, I am surrounded by commercial/office buildings and the open trestle space. I know that this proposal would not have the negative impact that the City Staff are worried about.

I plan to offer a menu of food items. Note that originally on April 4, 2019, the Planning Commission approved CUP #19-0031 for a takeout restaurant that was to serve rice bowls, salads, beverages, and ice desserts with six seats for customers (takeout).

Although I then changed that proposal three years ago, my current proposal includes a similar but even more extensive menu of items:

Daily fresh soup • Variety crackers and cheese plates • Daily fresh specialty rolls • Beef kimbap rolls • Chicken kimbap rolls • Spam kimbap rolls • Tofu and fish cake kimbap rolls • Shrimps spring rolls • Chicken rice bowl • Daily fresh desserts I am not seeking, in this alternate proposal, a CUP as a restaurant/cafe. I am staying with my current CUP of a takeout establishment:

Capitola Municipal Code Section 17.160.020 defines a takeout food and beverage establishment as offering, for example, limited service sandwich and pizza and snacks. c. “Take-out food and beverage” means establishments where food and beverages may be consumed on the premises, taken out, or delivered, but where the area open to customers is limited to no more than one hundred sixty square feet. Includes take-out restaurants, take-out sandwich shops, limited service pizza parlors and delivery shops, and snack bars. Also includes catering businesses or bakeries that have a storefront retail component.

Therefore my request of City Council in this proposed alternative #3 is to accept no selfpour and consumption from self-pour of beer and wine on premises, but allow me to prefill sealed containers of beer and wine for sale from a refrigerator and consumption on premises of the drinks from the refrigerator. The distinction of that model from the model that Staff proposes of allowing sale and consumption of outside beer and wine from the refrigerator is not significant and I suggest it is unduly restrictive. The technology could be implemented that would not allow pouring from the beer and wine taps by customers, but only management wearing the appropriate card-key technology system. This would ensure compliance with this proposal. But this proposal enables me to get more value out of the already in place tap system, rather than have to purchase outside beer and wine.
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III. Opportunity to obtain three parking spots:

I have been in talks with RTC to lease three parking spaces next door to my property. I believe I am able to lease three parking spaces immediately next to me. I would like to understand from the City Council and Staff what plans inside could now be afforded to me as a result of this increase in space. Could there be in increase in the amount of seating as a result of three additional parking spaces (in addition to the variance of four parking spaces that this CUP already has?)
IV. If Council denies the appeal and does not grant any of the alternatives, please do so ‘without prejudice’ so I can continue to discuss Staff Option B with Planning Staff.

Please note that this is not the option I really want and so I hope that putting it down here does not convey that impression. I am simply saying that if no other option is afforded me, I do not want to have Staff Option B foreclosed to me, and therefore would request City Council rule without prejudice so that option is still open.

SUMMARY
In sum my appeal to the Honorable City Council is:

1. A request for a reconsideration of the proposal that I submitted to the Planning Commission Hearing on December 1, 2022. I believe that the City Council can make the findings for the variance and reverse the Planning Commission’s denial of my application # 22-0282 for the reasons articulated in my appeal filed on December 9, 2022 which I incorporate here by reference.

2. A request for a ruling on Alternative Proposals:
• A request for the City to allow the conversion of no more than 50% of my taps to beer and wine for limited self-pour and consumption on premises along with on premises food and non-alcoholic kombucha.
• A request for the City to allow the conversion of no more than 50% of my taps to beer and wine for trial size/flight tasting only on premises consumption and the refrigerator for sale of pre-filled beverages from my taps for on premises consumption and to-go sales along with on premises food and non-alcoholic kombucha.
• A request for the City to allow the conversion of no more than 50% of my taps to beer and wine for no ‘self pour’ on premises consumption (which can be guaranteed by technology) but allow the refrigerator sale of pre-filled beverages from my taps for on premises consumption and to-go sales, along with on premises food and non-alcoholic kombucha.
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• A request for the City to allow the conversion of no more than 50% of my taps to beer and wine for the sale of pre-filled beer and wine beverages from my taps for only to-go sales, while still allowing the consumption of non-alcoholic drinks and food on premises.

3. A request for guidance and discussion regarding any and all alternatives that City Council and Staff determine is possible with the addition of three parking spaces.

4. At a very minimum, if the City Council returns the matter to the Planning Department or Planning Commission I would request the ruling by City Council be ‘without prejudice’ to enable me to continue to engage with Planning Department on Staff option b.

Thank you.

Amy Cheng
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City of Capitola
Planning Commission Meeting Minutes
Thursday, December 01, 2022 – 7:00 PM
City Council Chambers
420 Capitola Avenue, Capitola, CA 95010
Chairperson: Peter Wilk
Commissioners: Courtney Christiansen, Paul Estey, Gerry Jensen, Susan Westman All correspondences received prior to 5:00 p.m. on the Wednesday preceding a Planning Commission Meeting will be distributed to Commissioners to review prior to the meeting. Information submitted after 5 p.m. on that Wednesday may not have time to reach Commissioners, nor be read by them prior to consideration of an item.

1. Roll Call and Pledge of Allegiance
The meeting was called to order at 7:00 PM. In attendance: Commissioners Routh, Christiansen, Newman, Westman, and Chair Wilk.

2. Oral Communications
A. Additions and Deletions to the Agenda – Additional materials were distributed for items 6B and 6E.

B. Public Comments – None
C. Commission Comments:

Newman: Thanked the Commission and Staff for their efforts during his time on the Planning Commission.

Chair Wilk: Thanked outgoing Commissioners for their efforts.

D. Staff Comments – None

3. Director's Report – Update on City Hall tree removal, accepting feedback on the 2023 Meeting Calendar.

4. Approval of Minutes
A. Approve October 20, 2022, Regular Planning Commission Meeting Minutes B. Approve November 3, 2022, Regular Planning Commission Meeting Minutes Motion to approve the 10/20 and 11/3 minutes: Commissioner Westman Seconded: Routh
Voting Yea: Commissioners Routh, Christiansen, Newman, Westman, and Chair Wilk

5. Consent Calendar
A. 121 Cabrillo Street
Permit Number: #22-0221
APN: 036-185-10
Design Permit and Accessory Dwelling Unit (ADU) for a new single-family residence and attached ADU located within the R-1 (Single-Family Residential) zoning district.

This project is in the Coastal Zone and requires a Coastal Development Permit which is not appealable to the California Coastal Commission.
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Planning Commission Meeting Minutes – December 01, 2022 City of Capitola Page 2
Environmental Determination: Categorical Exemption
Property Owner: Chris & Lee Heck
Representative: Kurt Useldinger, Filed: 06.08.22
Motion to approve the Consent Calendar: Commissioner Newman Second: Commissioner Christiansen
Voting Yea: Commissioners Christiansen, Newman, Routh, Westman, and Chair Wilk

6. Public Hearings
A. 2210 Derby Avenue
Permit Number: #22-0264
APN: 034-223-07
Design Permit for first- and second-story additions to an existing single-family residence and Minor Modification for the required parking space dimensions. The project is located within the R-1 (Single-Family Residential) zoning district.

This project is not in the Coastal Zone.

Environmental Determination: Chris Buich
Property Owner: David Mendoza, Filed: 07.14.22
Representative: Categorical Exemption
Associate Planner Sean Sesanto presented the staff report.

Commissioner comments included a discussion of canopy coverage and parking space modifications.

Motion to approve the design permit and minor modification to the required parking space dimensions: Commissioner Newman
Second: Commissioner Westman
Voting Yea: Commissioners Christiansen, Newman, Routh, Westman, and Chair Wilk B. 123 Monterey Avenue
Permit Number: 22-0391
Location: Sidewalk in front of El Toro Bravo
Coastal Development Permit, Design Permit, and Major Encroachment Permit for Sidewalk Dining at 123 Monterey Avenue in the Mixed-Use Village zoning district.

Environmental Determination: Categorically Exempt
Property Owner: Delia Rey
Representative: Jon Baron, Business Owner
City Planner Brian Froelich presented the staff report.

Commissioner comments included a discussion of the eating surface, rent amount, requirements for sidewalk area, color of umbrellas, and conditions of approval.

Motion to approve the Coastal Development Permit, Design Permit, and Major Encroachment Permit for sidewalk dining with the following conditions: 1) umbrellas must not encroach the set boundaries; and 2) umbrella color must be approved by the Community Development Director: Commissioner Routh
Second: Commissioner Christiansen
Voting Yea: Commissioners Christiansen, Routh, Westman
Voting Nay: Chair Wilk and Commissioner Newman
C. 111 Capitola Avenue
Permit Number: 22-0436
Location: 2 parking spaces in front of English Ales
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Planning Commission Meeting Minutes – December 01, 2022 City of Capitola Page 3
Coastal Development Permit, Design Permit, and Major Encroachment Permit for Custom Street Dining Deck for English Ales at 111 Capitola Avenue in the Mixed-Use Village zoning district.

Environmental Determination: Categorically Exempt
Property Owner: Karen Blackwell-Harrison
Representative: Peter Blackwell, Business Owner
City Planner Brian Froelich presented the staff report.

Commissioner comments included a discussion of bike racks, parklets, and building colors.

Motion to deny the Coastal Development Permit, Design Permit, and Major Encroachment Permit: Commissioner Routh
Second: Commissioner Westman
Voting Yea: Commissioners Routh and Westman
Voting Nay: Commissioner Christiansen
Abstaining: Commissioner Newman and Chair Wilk
D. 311 Capitola Avenue
Permit Number: 22-0502
Location: 1 Parking Space in front of 311 Capitola Avenue Coastal Development Permit, Design Permit, and Major Encroachment Permit for Custom Street Dining Deck for Reef Dog Deli at 311 Capitola Avenue in the Mixed-Use Village zoning district.

Environmental Determination: Categorically Exempt
Property Owner: Lawrie & Lawrie
Representative: Anthony Kresge, Business Owner
City Planner Brian Froelich presented the staff report.

Commissioner comments included a discussion about the deck materials, bike parking, and storm drainage.

Motion to deny the Coastal Development Permit, Design Permit, and Major Encroachment Permit: Commissioner Westman
Second: Commissioner Christiansen
Voting Yea: Commissioners Christiansen, Routh, Westman
Abstaining: Commissioner Newman and Chair Wilk
E. 401 Capitola Avenue
Permit Number: #22-0282
APN: 035-131-11
Conditional Use Permit, Parking Variance, and Coastal Development Permit to establish a restaurant that serves beer and wine with no onsite parking in the MU-N (Mixed Use Neighborhood) zoning district.

This project Coastal Development Permit which is appealable to the Coastal Commission.

Environmental Determination: Categorical Exemption 15303 Property Owner: Amy Cheng
Representative: Richard Emigh Filed: 07.06.2022
City Planner Brian Froelich presented the staff report.

Public Comments Received:
• 3 letters of opposition
• 2 letters of support
• Public speakers in support: 7
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Planning Commission Meeting Minutes – December 01, 2022 City of Capitola Page 4
Commissioner comments included a discussion of the business plan, parking concerns, following the City’s General Plan and guidelines.

Motion to deny the Conditional Use Permit, Parking Variance, and Coastal Development Permit: Commissioner Routh
Second: Commissioner Christiansen
Voting Yea: Commissioners Christiansen, Routh, Westman
Abstaining: Commissioner Newman and Chair Wilk

7. Commission Communications – None

8. Adjournment – Adjourned at 8:55 PM to the next regularly scheduled meeting on January 19, 2023.

ATTEST:
____________________________
Julia Moss, City Clerk
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RESOLUTION NO.

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
CAPITOLA, CALIFORNIA DENYING APPLICATION #22-
0282 FOR A CONDITIONAL USE PERMIT, PARKING

VARIANCE, AND COASTAL DEVELOPMENT PERMIT OF

FOR A PROPOSED RESTAURANT THAT SERVES BEER AND
WINE AND PROVIDES NO PARKING LOCATED AT 401
CAPITOLA AVENUE (APN# 035-131-11) AND APPEAL
APPLICATION #23-0030.

WHEREAS, the applicant Amy Cheng, (“Applicant”) submitted an application for a proposed Conditional Use Permit, Parking Variance, and Coastal Development Permit to establish a restaurant that serves beer and wine on a property with no parking at 401 Capitola Avenue located within the MU-N (Mixed Use Neighborhood) zoning district. (“Project”); and WHEREAS, the Project requires approval of a Conditional Use Permit, Parking Variance, and Coastal Development Permit; and
WHEREAS, the Planning Commission unanimously denied the project citing an inability to make findings for approval; and
WHEREAS, the Planning Commission of the City of Capitola did hold a duly noticed public hearing on December 1, 2022, at which time it considered all oral and documentary evidence presented, and voted to deny the Project by a 3-0 vote.

WHEREAS, the Applicant submitted a timely appeal on December 9, 2022.

WHEREAS, the City Council of the City of Capitola did hold a duly noticed public hearing on March 23, 2023, at which time it considered the Appeal, including all oral and documentary evidence presented.

NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Capitola as follows:

A. The above recitals are true and correct and material to this Resolution.

B. In making its findings, the City Council relied upon and hereby incorporates by reference all correspondence, staff reports, and other related materials.

BE IT FURTHER RESOLVED THAT the City of Capitola City Council hereby makes the following findings regarding the Project:

Conditional Use Permit Findings
A. The proposed use is allowed in the applicable zoning district.

Restaurant businesses and alcohol sales are not permitted by-right in the MU-N zoning district and require a conditional use permit. A restaurant serving beer and wine that meets 154
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parking standards is a potentially supportable proposal. The subject proposal includes an intensification of customer use areas from six seats to 26 seats while providing no on-site parking. Additionally, the by-right takeout nature of the existing business would be replaced with a dine-in food and beverage experience with 32 self-pouring taps that is conducive to customers staying longer periods of time and occupying more neighborhood and coastal access parking spaces. The combination of intensification of use in customer capacity and duration is not permitted in the zoning district and is counter to MU-N district purpose statement.

B. The proposed use is consistent with the general plan, local coastal program, zoning code, and any applicable specific plan or area plan adopted by the city council.

The proposed use is not consistent with the General Plan or Zoning Ordinance, as discussed:

GP. LU-1.3 Compatible Development. Ensure that all new development is compatible with neighboring land uses and development.

Staff Analysis: The proposed development is not compatible without providing parking. There is no precedent for new or intensified land uses providing no parking. Additionally, the tap system proposed is out of scale for a restaurant of this size. With 32 taps, there is a tap for every 14 square feet of customer area proposed. The ratio of taps to customer area is more typical of an alcohol serving business than a restaurant.

GP. LU-4.1 Quality of Life. Ensure residential neighborhoods are walkable, safe, friendly, and provide a high quality of life for residents of all ages. Minimize unwanted noise and spillover parking in neighborhoods.

Staff Analysis: The proposal is relying on offsite parking exclusively while intensifying the parking demand. Surrounding areas will be impacted by parking spillover.

GP. LU-4.7 Planning Projects. Ensure that future planning efforts for non-residential areas carefully consider potential impacts on adjacent residential neighborhoods.

Staff Analysis: The subject property sits at a zoning boundary with residential zoning and is located along a transitional street from the Village north on Capitola Avenue to a less active and more residentially developed part of the city.

ZO. 17.20.010 B2 2. Mixed Use, Neighborhood (MU-N) Zoning District. The purpose of the MU-N zoning district is to allow for neighborhood-serving mixed use areas that enhance residents’ quality of life. The MU-N zoning district contains an eclectic mix of retail, restaurants, and services for residents and visitors. A range of housing types close to nonresidential uses increases housing choices and supports a walkable community. Development in the MU-N zoning district will be carefully designed to complement its surroundings and minimize impacts on neighboring properties. Land uses will strengthen connections between destinations in Capitola, including the Village, Bay Avenue, and 41st Avenue
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Staff Analysis: In 2014, the city has approved a parking variance for the subject property allowing the owner to operate a retail shop. In 2019, the Planning Commission approved a CUP for a takeout restaurant which has the same parking requirement and is not an intensification of use. With these approvals the city has determined the appropriate balance of uses and mitigation of impacts to the vicinity.

The applicant is now proposing to intensify the building’s use and introduce impacts that are out of scale with the vicinity, would set a new precedent, and cannot reasonably be mitigated.

ZO. 17.128.010 This chapter identifies the process to obtain a variance. A variance is a discretionary permit that allows for deviation from development standards in the zoning code. The city may grant a variance only when the strict application of development standards creates a unique hardship due to unusual circumstances associated with the property.

Staff Analysis: Planning Commission approved a parking variance for the subject property in 2014 and allowed the applicant a change of use in 2019 that maintained the 2014 variance. The applicant is now proposing to intensify parking demand from four to 11 spaces (net seven). The proposal is an exacerbation of nonconformity without mitigation. Approval of this proposal would call into question how the city regulates parking city wide. There is no identified hardship associated with the subject property. The applicant proposes a variance to allow a special privilege not enjoyed by other properties in the city.

The location is not in the Capitola Village. The area of Capitola Avenue between the trestle and Bay Avenue is described as transitional with a focus on residents’ quality of life rather than visitor serving amenities like the MU-V zone and Capitola Village area. This finding cannot be made.

C. The location, size, design, and operating characteristics of the proposed use will be compatible with the existing and planned land uses in the vicinity of the property.

The current takeout establishment with its limited capacity for customers is compatible with the existing land uses in the vicinity. The current operation has a correspondingly limited impact on parking and noise in the vicinity. Capitola’s zoning ordinance and business licensing process has long held that retail facilities and takeout food and beverage establishments, in their limited capacity, were interchangeable and do not introduce new impacts. The proposal to intensify customer capacity, introduce beer and wine from a tap system, and provide no parking onsite is counter to Capitola’s established zoning policy in these circumstances. This finding cannot be made.

D. The proposed use will not be detrimental to the public health, safety, and welfare.

Restaurant uses and beer and wine sales are conditionally permitted in the MU-N. The intensity of use and change of use to a sit-down establishment with 32 taps and no parking presents new and unmitigated impacts to public health, safety, and welfare to adjacent residents and businesses. This finding cannot be made.

E. The proposed use is properly located within the city and adequately served by existing 156
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or planned services and infrastructure.

The intensity of the proposed use is not adequately served by parking and proposes to transfer the full impact of the increased parking demand entirely offsite. The nearest R-1 zoned single family residence is approximately five feet away and over 60 residentially occupied properties are within 300 feet. The proposed use will have an impact to the daily life for these residents. The combination of parking deficiency, proximity to sensitive receptors, and the proposed intensity of use are not supported by services or infrastructure.

This finding cannot be made.

Variance Findings
A. There are unique circumstances applicable to the subject property, including size, shape, topography, location, or surroundings, that do not generally apply to other properties in the vicinity or in the same zone as the subject property.

The lot size and shape was noted with the prior variance for four parking spaces granted in 2014. The applicant is now proposing a variance to exacerbate the existing parking deficiency without demonstrating a reason for reconsidering the prior variance approval.

The city determined in the 2014 decision the appropriate parking variance for the property.

This finding cannot be made.

B. The strict application of the zoning code requirements would deprive the subject property of privileges enjoyed by other property in the vicinity or in the same zone as the subject property.

Strict application of the zoning code is that the subject property is currently operating with a legal nonconforming status with an approved parking variance and is enjoying the privilege of a customer area larger than currently permitted. The property is not deprived an opportunity or privilege enjoyed by any comparable property in the MU-N zoning district. The proposal introduces a request for a new privilege that is not supported by the zoning ordinance or general plan and transfers the increased impacts of additional parking demand and business activity to offsite locations. This finding cannot be made.

C. The variance is necessary to preserve a substantial property right possessed by other property in the vicinity or in the same zone as the subject property.

The proposed variance is not necessary to preserve a substantial property right possessed by other property in the vicinity or in the same zone. The city has evaluated the property and the hardship related to parking and determined that previously granting a variance for four parking spaces was appropriate to allow the property to maintain similar rights and uses as other properties in the same zone. This finding cannot be made.

D. The variance will not be materially detrimental to the public health, safety, or welfare, or be injurious to the properties or improvements in the vicinity or in the same zone as the subject property.

Granting of the proposed variance would be detrimental to public health, safety, or welfare.

The project presents noise impacts to the 63 sensitive receptors in the vicinity due to all parking demand for the project to be provided on or adjacent to surrounding properties.

Noise associated with increased activity to and from vehicles parked in the neighborhood 157
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would have an unmitigated negative impact on residences and businesses in the vicinity.

This finding cannot be made.

E. The variance does not constitute a grant of special privilege inconsistent with the limitations upon other properties in the vicinity or in the same zone as the subject property.

The granting of the parking variance would be a granting of special privilege by allowing an intensified use that requires seven additional parking spaces and provides none. This finding cannot be made.

F. The variance will not have adverse impacts on coastal resources.

The variance would have an impact on coastal parking resources due to displacing the entire parking burden on other parking locations. This would limit overall visitor parking opportunities. This finding cannot be made.

Coastal Findings

1. The project is consistent with the LCP land use plan, and the LCP implementation program.

The proposed project is not consistent with LCP land use Policy I-1 “The intensity of new development shall be limited to the availability of parking and other alternative transportation systems, such as a shuttle bus and remote parking.” The proposed intensity of use necessitates parking that is not accommodated on site and displaces the burden to available public and street parking. The result is a reduction of coastal access for the public.

This finding cannot be made.

2. The project maintains or enhances public views.

The proposed project has no permanent impact on views.

3. The project maintains or enhances vegetation, natural habitats and natural resources.

The proposed project has no impact on vegetation, natural habitats or natural resources.

4. The project maintains or enhances low-cost public recreational access, including to the beach and ocean.

The project has a direct impact on neighborhood parking and Village parking. The project displaces parking demand from onsite activity to be provided in offsite locations limiting options for low-cost public parking. This finding cannot be made.

5. The project maintains or enhances opportunities for visitors.

The project limits opportunities for coastal access to visitors by not providing parking or mitigating demand. The project results in a net loss for coastal visitor opportunities and access. This finding cannot be made.

6. The project maintains or enhances coastal resources.

The proposed project has no impact on natural or environmental resources. The project has a negative and unmitigated impact on coastal access for visitors by intensifying a land use without providing any parking. This finding cannot be made. 158
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7. The project, including its design, location, size, and operating characteristics, is consistent with all applicable design plans and/or area plans incorporated into the LCP.

LCP Policy I-1 requires that the city protect adjacent residential neighborhoods from parking intrusions while providing for public access to viewpoints and recreation areas.

This finding cannot be made.

8. The project is consistent with the LCP goal of encouraging appropriate coastal development and land uses, including coastal priority development and land uses (i.e., visitor serving development and public access and recreation).

The project will limit public access and impact recreation and visitor opportunities and experiences by impacting parking availability, which will overflow to other areas. The proposed intensification is not a priority development. This finding cannot be made.

NOW, THEREFORE, BE IT FURTHER RESOLVED that based on the above findings, the City Council of the City of Capitola hereby affirms the Planning Commission’s decision to deny project application #22-0282 and appeal application #23-0030.

BE IT FURTHER RESOLVED that the City Council’s action is statutorily exempt from the requirements of the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines Section 15270 (“Projects Which are Disapproved”) because the City Council has denied the proposed Project.

AFFIRMED, and ADOPTED by the City Council of the City of Capitola, California, at a regular meeting thereof this 23rd day of March 2023 by the following vote:

AYES:

NAYS:

ABSTAIN:

ABSENT:
____________________________________
MAYOR
ATTEST:
__________________________________
CLERK
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Capitola Planning Commission
Agenda Report
Meeting: December 1, 2022
From: Community Development
Address: 401 Capitola Avenue
Permit Number: #22-0282
APN: 035-131-11
Conditional Use Permit, Parking Variance, and Coastal Development Permit to establish a restaurant that serves beer and wine with no onsite parking in the MU-N (Mixed Use Neighborhood) zoning district.

This project Coastal Development Permit which is appealable to the Coastal Commission.

Environmental Determination: Categorical Exemption 15303 Property Owner: Amy Cheng
Representative: Richard Emigh Filed: 07.06.2022
Applicant Proposal
The applicant is applying for a conditional use permit (CUP) to establish a restaurant serving beer and wine, to expand customer seating areas and a variance to required parking. The existing business, Capitola Tap House, is operating under an existing CUP (#19-0031) as a take-out food and beverage establishment that serves kombucha and coffee. Conditions of the active CUP limit the business to six customer seats and the location provides no onsite parking.

Background
On June 5, 2014, the Planning Commission approved a Design Permit, Setback and Parking Variances, Coastal Development Permit, and Sign Permit to construct the existing building for use by the prior retail tenant. The Parking Variance reduced the parking requirement from four spaces to zero.

On April 4, 2019, the Planning Commission approved CUP #19-0031 for a takeout restaurant that was to serve rice bowls, salads, beverages, and ice desserts with six seats for customers (takeout). The final local action notice included 26 conditions of approval that remains effective (attachment #3). During discussion, the Planning Commission decided not to approve a proposed patio along the side of the building nearest the trestle and that any kitchen/hood exhaust would need to be located on the front half of the building toward Capitola Avenue. The prior zoning ordinance categorized retail uses and takeout restaurants with six or fewer seats the same relative to parking requirements. The Capitola Tap House is operating currently with a condition of approval that limits the use to six or fewer seats. The daily configuration includes no seats but has two bar height tables on the front porch that customers use while standing.

During the Building Permit plan check, the applicant changed the business model to a kombucha, tea, and coffee serving business with a smaller kitchen that is primarily for washing dishes and has no cooking equipment or food preparation counters. The change included replacing a portion of the kitchen and prep area with a walk-in cooler that is plumbed with 32 tap dispensers for nonalcoholic beverages. The county environmental health department has conditioned the approval 160
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of the current facility to limit food services to cold brew coffee and kombucha from approved sources only.

Discussion
The applicant is proposing to modify a portion of the current customer area to add a new 96 square foot food preparation area. The new equipment includes ice storage bin, refrigerator, toaster, and food preparation counter. The proposal also includes the utilization of the 32 tap system for dispensing beer and wine along with the existing kombucha and cold brew coffee and would be offered with a self-pour operation. This means that customers would purchase credits at the point-of-sale counter and obtain an RFID wristband or card that would be read at the tap dispensers and the customer would then be able to pour their own beverage.

The proposed menu includes the following items:
• Daily fresh soup
• Variety crackers and cheese plates
• Daily fresh specialty rolls
• Beef kimbap rolls
• Chicken kimbap rolls
• Spam kimbap rolls
• Tofu and fish cake kimbap rolls
• Shrimps spring rolls
• Chicken rice bowl
• Daily fresh desserts
The only unit of existing or proposed kitchen equipment that warms food is a toaster. It is not clear from the submitted plans how the other menu items would be warmed or cooked. If approved, the applicant would need to submit detailed kitchen plans, a more thorough menu, and operations plan to the county environmental health division for review.

The applicant has simultaneously filed for a type 41 license with California Department of Alcohol and Beverage Control (ABC). Type 41 licenses are defined as:
“Type 41 (Restaurant) Authorizes the sale of beer and wine for consumption on or off the premises where sold. Distilled spirits may not be on the premises (except brandy, rum, or liqueurs for use solely for cooking purposes). Must operate and maintain the licensed premises as a bona fide eating place. Must maintain suitable kitchen facilities; and must make actual and substantial sales of meals for consumption on the premises. Minors are allowed on the premises.” (ABC website) “Bona fide public eating place” means a place which is regularly and in a bona fide manner used and kept open for the serving of meals to guests for compensation and which has suitable kitchen facilities connected therewith, containing conveniences for cooking and an assortment of foods which may be required for ordinary meals, the kitchen of which must be kept in a sanitary condition with the proper amount of refrigeration for keeping of food on said premises and must comply with all the regulations of the local department of health. (ABC website) “Meals” means the usual assortment of foods commonly ordered at various hours of the day; the service of such food and victuals only as sandwiches or salads shall 161
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not be deemed a compliance with this requirement. “Guests” shall mean persons who, during the hours when meals are regularly served therein, come to a bona fide public eating place for the purpose of obtaining, and actually order and obtain at such time, in good faith, a meal therein. Nothing in this section, however, shall be construed to require that any food be sold or purchased with any beverage. (ABC website)
Planning staff communicated concern to the applicant about the combination of a Type 41 license and suitability of the existing and proposed kitchen facilities to meet the standard of a “bona fide eating place”. Planning staff has also contacted representatives from ABC and inquired about the proposal. The response was that ABC will not perform an in-depth review or offer written comments until after local approval but offered preliminary verbal feedback. The representative noted that they were familiar with the front porch area and were not concerned with this area being used as customer area. The representative expressed concern with how IDs would be checked for a self-pour tap business model. They also noted that a type 41 license requires that the business be primarily food serving with beer and wine as a beverage option. They stated concern with the kitchen’s limitations and the ability to meet the type 41 requirement of being a bona fide eating place.

The applicant is resolute that the proposed business is a restaurant with beer and wine service.

City staff does not believe that the proposed restaurant and kitchen facilities meet the state standard of a bona fide eating place, however, this determination is not made by local agencies and does not factor into the CUP, Variance, or CDP analysis and findings. It is noted in this report as a matter of disclosure to the Planning Commission, the applicant, and the public that, if approved, this proposal may need to come back before the Planning Commission due to ABC requirements for further modification to the kitchen facilities to become a bona fide eating place (hood, exhaust, oven, range, etc..).

The Capitola Tap House is located at 401 Capitola Avenue, within the Mixed-Use Neighborhood (MU-N) zoning district and just outside the Mixed-Use Village (MU-V) boundary, which is aligned with the trestle. The purposes (section 17.20.010) of the two mixed-use zones are different, with the MU-V notably supporting “a mix of retail, restaurants, services, and recreation amenities providing a walkable environment, catering to all ages, and supporting year-round activities during the day and night”. The MU-N purpose is to “allow for neighborhood-serving mixed uses that enhance resident’s quality of life” and is “carefully designed to complement its surroundings and minimize impacts on neighboring properties”.

The immediate vicinity (300-foot radius) of the Capitola Tap House has a total of 83 addresses.

A total of 63 (75%) of these addresses are residential (23 in the R-1 and 40 in the MU-V).

The customer area of the existing building (interior plus front porch) is 554 square feet, which is considered legal nonconforming and is subject to a limitation of six seats. The applicant now proposes to activate 458 square foot customer space for customers to include 26 seats and convert 96 square feet of the current customer area for additional food preparation facilities.

The applicant has stated that they would like to establish a “Restaurant and Café” to replace the existing “Takeout food and beverage” facility as defined below:

17.160.020 E “Eating and drinking establishments” means businesses primarily engaged in serving prepared food and/or beverages for consumption on or off the premises. 162
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a. “Bars and lounges” means a business devoted to serving alcoholic beverages for consumption by guests on the premises and in which the serving of food is only incidental to the consumption of such beverages. Includes cocktail lounges, nightclubs, taverns, and other similar uses.
b. “Restaurants and cafes” means a business establishment serving food and beverages to customers where the food and beverages may be consumed on the premises or carried out and where more than one hundred sixty square feet of public area is open to customers. Includes full-service restaurants, fast-food restaurants, coffee shops, cafes, and other similar
c. “Take-out food and beverage” means establishments where food and beverages may be consumed on the premises, taken out, or delivered, but where the area open to customers is limited to no more than one hundred sixty square feet. Includes takeout restaurants, take-out sandwich shops, limited service pizza parlors and delivery shops, and snack bars. Also includes catering businesses or bakeries that have a storefront component.

The applicant has provided a business plan and narrative (attachment #2), which describes the intended operation details and customers for the business. The proposal includes operation hours of 11am-8pm and posits that most customers would be pass-by stops by visitors that are already on their way to and from the Village and beach.

General Plan Analysis
Several General Plan policies are relevant to the review of the project and are further cited in the findings.

Policy LU-1.3 Compatible Development. Ensure that all new development is compatible with neighboring land uses and development.

Policy LU-4.1 Quality of Life. Ensure residential neighborhoods are walkable, safe, friendly, and provide a high quality of life for residents of all ages. Minimize unwanted noise and spillover parking in neighborhoods.

Policy LU-4.7 Planning Projects. Ensure that future planning efforts for non-residential areas carefully consider potential impacts on adjacent residential neighborhoods.

Compatibility related to the intensity of the proposed use, no onsite parking, proximity to residential properties, and the location within the city are individually significant issues that are not mitigated and collectively result in an unsupportable project. The zoning code is established to implement the general plan and to protect the public health, safety, and welfare. The proposed project does not conform with the purpose statement of the MU-N zoning district and is contrary to the general plan.

Local Coastal Plan Analysis
401 Capitola Avenue is located in the Coastal Zone. An intensification of a land use requires a Coastal Development Permit (CDP) and consistency with the City’s Local Coastal Program (LCP), Land Use Plan and CDP findings. Policy 1-1 of the Land Use Plan states “It shall be the policy of the City of Capitola to maintain and enhance access to Capitola Beach, Village, and Wharf while maintaining and enhancing the existing character of Capitola Village and the surrounding 163
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residential areas. The intensity of new development shall be limited to the availability of parking and other alternative transportation systems, such as a shuttle bus and remote parking.” The proposed intensification of use is in contrast with this policy. Findings for consistency with the City’s LCP cannot be made as the proposal intensifies the use without parking. The increased demand on street parking and public parking will impact parking and beach access in the vicinity for visitors and existing businesses and residents.

Conditional Use Permit
In the MU-N district, Restaurants and Cafes and Alcoholic Beverage Sales require a Conditional Use Permit (CUP) (Table 17.20-1).

CUP’s are required for land uses that are generally appropriate within a zoning district, but potentially undesirable on a particular parcel or in large numbers. A use permit is a discretionary action that enables the city to ensure that a proposed use is consistent with the general plan and local coastal program land use plan and will not create negative impacts to adjacent properties or the general public.

Pursuant to 17.124.060, when evaluating a CUP, the Planning Commission must consider the following characteristics of the proposed use:

A. Operating characteristics (hours of operation, traffic generation, lighting, noise, odor, dust, and other external impacts).

B. Availability of adequate public services and infrastructure.

C. Potential impacts to the natural environment.

D. Physical suitability of the subject site for the proposed use in terms of design, location, operating characteristics, shape, size, topography.

Pursuant to 17.124.070, the Planning Commission must make the following findings for approval for a CUP:

A. The proposed use is allowed in the applicable zoning district.

B. The proposed use is consistent with the general plan, local coastal program, zoning code, and any applicable specific plan or area plan adopted by the city council.

C. The location, size, design, and operating characteristics of the proposed use will be compatible with the existing and planned land uses in the vicinity of the property.

D. The proposed use will not be detrimental to the public health, safety, and welfare.

E. The proposed use is properly located within the city and adequately served by existing or planned services and infrastructure.

Planning Department staff cannot make the required findings for approval of the proposed CUP.

As stated previously, the Capitola Tap House is located within the MU-N zoning district with a stated purpose to “enhance the residents’ quality of life”, and future development is to be “carefully designed to complement its surroundings and minimize impacts on neighboring properties”. With 75 percent of the properties within 300 feet of 401 Capitola being residential, proposed uses at the site must minimize impacts to neighboring properties. The proposed use intensifies the use of the site from the current six seat maximum to a restaurant with 26 seats and 458 square feet of activated space. The location, size, design, and operating characteristics of a dine-in restaurant business with a 32 tap self-pour system for dispensing beer, wine, kombucha, and cold brew coffee with no parking is not compatible with surroundings at this location. The use is also not consistent with the General Plan and the Local Coastal Program, as noted previously. 164
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Parking Variance
Restaurants require parking to be provided at a ratio of 1:60 square feet for customer area and 1:300 square feet for other areas. The gross parking calculation for the proposed business is 11 parking spaces (see table). However, section 17.76.020 only requires parking be provided for the incremental intensification of a proposed new use. The existing takeout restaurant use is categorized by code with a requirement for a 1:300 square foot parking ratio (1,265/300=4). Four parking spaces were also approved with the original Parking Variance for retail use in 2014.

Therefore, the existing parking credit for the 1,265 square foot building with a 1:300 ratio is four parking spaces. The proposed change of use from a takeout business to a restaurant and café has an incremental intensification that requires seven parking spaces be added to the site to comply.

Use Areas and Parking Required
Building Area Customer Area Other Area
First Floor 912 sf 308 sf 604 sf
Loft 203 sf 0 sf 203 sf
Porch 150 sf 150 sf 0 sf
Total 1,265 sf 458 sf 807
Parking Ratio 1:60 sf 1:300 sf
Required Parking 8 spaces 3 spaces
Provided Parking 0 spaces 0 spaces
To approve a variance application, the Planning Commission shall make all of the following findings:

A. There are unique circumstances applicable to the subject property, including size, shape, topography, location, or surroundings, that do not generally apply to other properties in the vicinity or in the same zone as the subject property.

B. The strict application of the zoning code requirements would deprive the subject property of privileges enjoyed by other property in the vicinity or in the same zone as the subject property.

C. The variance is necessary to preserve a substantial property right possessed by other property in the vicinity or in the same zone as the subject property.

D. The variance will not be materially detrimental to the public health, safety, or welfare, or be injurious to the property or improvements in the vicinity or in the same zone as the subject property.

E. The variance does not constitute a grant of special privilege inconsistent with the limitations upon other properties in the vicinity or in the same zone as the subject property.

F. The variance will not have adverse impacts on coastal resources The proposal is to intensify the current takeout restaurant land use to a restaurant and café with beer and wine. There are no unique circumstances applicable to the subject property related to the intensification of the use. In 2014, the property received a parking variance to allow retail on the site. In 2019, the current owner obtained a CUP for a takeout restaurant which has the same parking requirement and is not an intensification of use. The variance is not necessary to preserve a substantial property right as the property has an operating takeout restaurant. Also, if the Planning Commission were to issue the variance, this would be seen as special privilege inconsistent with the limitations placed on the businesses throughout the mixed-use neighborhood 165
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zone. The variance would have an adverse impact on coastal resources as public parking would be impacted.

Applicant’s Letter
The applicant responded to the October 6, 2022, staff report with a six-page letter (attachment #4).
• The applicant noted concern with the project being defined as a Bar and Lounge. The applicant believes the project is a Restaurant. Both Bar and Lounge and Restaurant uses require a Conditional Development Permit in the MU-N zone. Additionally, the introduction of Alcohol Sales requires a CUP. For the December 1, 2022 meeting, the project was renoticed as a CUP for a Restaurant with Alcohol Sales. • The applicant states that the project is eligible for AB 2097. AB 2097 allows transit oriented projects to reduce or be exempt from local parking standards if they are in proximity to high quality transit. There are no high quality transit services operating within city limits and AB 2097 is not applicable to this project. Additionally, AB 2097 does not become effective until January 2023.

Community Communications
At the time of writing this staff report, the city has received three letters of opposition (attachment #5).

CEQA
Section 15303(c) of the CEQA Guidelines exempts the conversion of small commercial buildings and installation of equipment within an urbanized area under where structures are less than 10,000 sf. This project involves conversion of interior space in the MU-N Zoning District.

Recommendation
Staff recommends that the Planning Commission deny the Parking Variance, Conditional Use Permit, and Coastal Development Permit based on the following Findings.

Attachments

1. Proposed Site Plan/Floor Plan

2. Proposed Business Plan and Narrative

3. Existing CUP Conditions for #19-0031

4. Applicant’s letter to the Planning Commission

5. Public Comments
Conditional Use Permit Findings
A. The proposed use is allowed in the applicable zoning district.

Restaurant businesses and alcohol sales are not permitted by-right in the MU-N zoning district and require a conditional use permit. A restaurant serving beer and wine that meets parking standards is a potentially supportable proposal. The subject proposal includes an intensification of customer use areas from six seats to 26 seats while providing no on-site parking. Additionally, the by-right takeout nature of the existing business would be replaced with a dine-in food and beverage experience with 32 self-pouring taps that is conducive to customers staying longer periods of time and occupying more neighborhood and coastal access parking spaces. The combination of intensification of use in customer capacity and duration is not permitted in the zoning district and is counter to MU-N district purpose statement.
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B. The proposed use is consistent with the general plan, local coastal program, zoning code, and any applicable specific plan or area plan adopted by the city council.

The proposed use is not consistent with the General Plan or Zoning Ordinance, as discussed:

GP. LU-1.3 Compatible Development. Ensure that all new development is compatible with neighboring land uses and development.

Staff Analysis: The proposed development is not compatible without providing parking. There is no precedent for new or intensified land uses providing no parking. Additionally, the tap system proposed is out of scale for a restaurant of this size. With 32 taps, there is a tap for every 14 square feet of customer area proposed. The ratio of taps to customer area is more typical of an alcohol serving business than a restaurant.

GP. LU-4.1 Quality of Life. Ensure residential neighborhoods are walkable, safe, friendly, and provide a high quality of life for residents of all ages. Minimize unwanted noise and spillover parking in neighborhoods.

Staff Analysis: The proposal is relying on offsite parking exclusively while intensifying the parking demand. Surrounding areas will be impacted by parking spillover.

GP. LU-4.7 Planning Projects. Ensure that future planning efforts for non-residential areas carefully consider potential impacts on adjacent residential neighborhoods.

Staff Analysis: The subject property sits at a zoning boundary with residential zoning and is located along a transitional street from the Village north on Capitola Avenue to a less active and more residentially developed part of the city.

ZO. 17.20.010 B2 2. Mixed Use, Neighborhood (MU-N) Zoning District. The purpose of the MU-N zoning district is to allow for neighborhood-serving mixed use areas that enhance residents’ quality of life. The MU-N zoning district contains an eclectic mix of retail, restaurants, and services for residents and visitors. A range of housing types close to nonresidential uses increases housing choices and supports a walkable community. Development in the MU-N zoning district will be carefully designed to complement its surroundings and minimize impacts on neighboring properties. Land uses will strengthen connections between destinations in Capitola, including the Village, Bay Avenue, and 41st Avenue Staff Analysis: In 2014, the city has approved a parking variance for the subject property allowing the owner to operate a retail shop. In 2019, the Planning Commission approved a CUP for a takeout restaurant which has the same parking requirement and is not an intensification of use. With these approvals the city has determined the appropriate balance of uses and mitigation of impacts to the vicinity. The applicant is now proposing to intensify the building’s use and introduce impacts that are out of scale with the vicinity, would set a new precedent, and cannot reasonably be mitigated.

ZO. 17.128.010 This chapter identifies the process to obtain a variance. A variance is a discretionary permit that allows for deviation from development standards in the zoning code. The city may grant a variance only when the strict application of development standards creates a unique hardship due to unusual circumstances associated with the property.
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Staff Analysis: Planning Commission approved a parking variance for the subject property in 2014 and allowed the applicant a change of use in 2019 that maintained the 2014 variance. The applicant is now proposing to intensify parking demand from four to 11 spaces (net seven). The proposal is an exacerbation of nonconformity without mitigation. Approval of this proposal would call into question how the city regulates parking city wide. There is no identified hardship associated with the subject property. The applicant proposes a variance to allow a special privilege not enjoyed by other properties in the city.

The location is not in the Capitola Village. The area of Capitola Avenue between the trestle and Bay Avenue is described as transitional with a focus on residents’ quality of life rather than visitor serving amenities like the MU-V zone and Capitola Village area. This finding cannot be made.

C. The location, size, design, and operating characteristics of the proposed use will be compatible with the existing and planned land uses in the vicinity of the property.

The current takeout establishment with its limited capacity for customers is compatible with the existing land uses in the vicinity. The current operation has a correspondingly limited impact on parking and noise in the vicinity. Capitola’s zoning ordinance and business licensing process has long held that retail facilities and takeout food and beverage establishments, in their limited capacity, were interchangeable and do not introduce new impacts. The proposal to intensify customer capacity, introduce beer and wine from a tap system, and provide no parking onsite is counter to Capitola’s established zoning policy in these circumstances. This finding cannot be made.

D. The proposed use will not be detrimental to the public health, safety, and welfare.

Restaurant uses and beer and wine sales are conditionally permitted in the MU-N. The intensity of use and change of use to a sit-down establishment with 32 taps and no parking presents new and unmitigated impacts to public health, safety, and welfare to adjacent residents and businesses. This finding cannot be made.

E. The proposed use is properly located within the city and adequately served by existing or planned services and infrastructure.

The intensity of the proposed use is not adequately served by parking and proposes to transfer the full impact of the increased parking demand entirely offsite. The nearest R-1 zoned single family residence is approximately five feet away and over 60 residentially occupied properties are within 300 feet. The proposed use will have an impact to the daily life for these residents. The combination of parking deficiency, proximity to sensitive receptors, and the proposed intensity of use are not supported by services or infrastructure. This finding cannot be made.

Variance Findings
A. There are unique circumstances applicable to the subject property, including size, shape, topography, location, or surroundings, that do not generally apply to other properties in the vicinity or in the same zone as the subject property.

The lot size and shape was noted with the prior variance for four parking spaces granted in 2014. The applicant is now proposing a variance to exacerbate the existing parking deficiency without demonstrating a reason for reconsidering the prior variance approval.

The city determined in the 2014 decision the appropriate parking variance for the property.

This finding cannot be made.
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B. The strict application of the zoning code requirements would deprive the subject property of privileges enjoyed by other property in the vicinity or in the same zone as the subject property.

Strict application of the zoning code is that the subject property is currently operating with a legal nonconforming status with an approved parking variance and is enjoying the privilege of a customer area larger than currently permitted. The property is not deprived an opportunity or privilege enjoyed by any comparable property in the MU-N zoning district. The proposal introduces a request for a new privilege that is not supported by the zoning ordinance or general plan and transfers the increased impacts of additional parking demand and business activity to offsite locations. This finding cannot be made.

C. The variance is necessary to preserve a substantial property right possessed by other property in the vicinity or in the same zone as the subject property.

The proposed variance is not necessary to preserve a substantial property right possessed by other property in the vicinity or in the same zone. The city has evaluated the property and the hardship related to parking and determined that granting a variance for four parking spaces was appropriate to allow the property to maintain similar rights and uses as other properties in the same zone. This finding cannot be made.

D. The variance will not be materially detrimental to the public health, safety, or welfare, or be injurious to the properties or improvements in the vicinity or in the same zone as the subject property.

Granting of the proposed variance would be detrimental to public health, safety, or welfare.

The project presents noise impacts to the 63 sensitive receptors in the vicinity due to all parking demand for the project to be provided on or adjacent to surrounding properties.

Noise associated with increased activity to and from vehicles parked in the neighborhood would have an unmitigated negative impact on residences and businesses in the vicinity.

This finding cannot be made.

E. The variance does not constitute a grant of special privilege inconsistent with the limitations upon other properties in the vicinity or in the same zone as the subject property.

The granting of the parking variance would be a granting of special privilege by allowing an intensified use that requires seven additional parking spaces and provides none. This finding cannot be made.

F. The variance will not have adverse impacts on coastal resources.

The variance would have an impact on coastal parking resources due to displacing the entire parking burden on other parking locations. This would limit overall visitor parking opportunities. This finding cannot be made.

Coastal Findings

1. The project is consistent with the LCP land use plan, and the LCP implementation program.

The proposed project is not consistent with LCP land use Policy I-1 “The intensity of new development shall be limited to the availability of parking and other alternative transportation systems, such as a shuttle bus and remote parking.” The proposed intensity of use necessitates parking that is not accommodated on site and displaces the burden to available public and street parking. The result is a reduction of coastal access for the public. This finding cannot be made.
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2. The project maintains or enhances public views.

The proposed project has no permanent impact on views.

3. The project maintains or enhances vegetation, natural habitats and natural resources.

The proposed project has no impact on vegetation, natural habitats or natural resources.

4. The project maintains or enhances low-cost public recreational access, including to the beach and ocean.

The project has a direct impact on neighborhood parking and Village parking. The project displaces parking demand from onsite activity to be provided in offsite locations limiting options for low-cost public parking. This finding cannot be made.

5. The project maintains or enhances opportunities for visitors.

The project limits opportunities for coastal access to visitors by not providing parking or mitigating demand. The project results in a net loss for coastal visitor opportunities and access. This finding cannot be made.

6. The project maintains or enhances coastal resources.

The proposed project has no impact on natural or environmental resources. The project has a negative and unmitigated impact on coastal access for visitors by intensifying a land use without providing any parking. This finding cannot be made.

7. The project, including its design, location, size, and operating characteristics, is consistent with all applicable design plans and/or area plans incorporated into the LCP.

LCP Policy I-1 requires that the city protect adjacent residential neighborhoods from parking intrusions while providing for public access to viewpoints and recreation areas.

This finding cannot be made.

8. The project is consistent with the LCP goal of encouraging appropriate coastal development and land uses, including coastal priority development and land uses (i.e., visitor serving development and public access and recreation).

The project will limit public access and impact recreation and visitor opportunities and experiences. The proposed project contrasts with the long-standing city standard of allowing retail and takeout restaurants to change uses. The proposed intensification is not a priority development. This finding cannot be made.

Report prepared by: Brian Froelich
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Capitola City Council
Agenda Report
Meeting: March 23, 2023
From: Department of Public Works
Subject: Kennedy Drive Sidewalk Project
Recommended Action: Approve the plans, specifications, and construction budget of $214,000 for the Kennedy Drive Sidewalk Project; approve the Coastal Development Permit and the findings listed in the Final Local Action Notice; and authorize the Department of Public Works to advertise for construction bids.

Background: In 2021 the City of Capitola was awarded $197,000 in Regional Transportation Improvement Program (RTIP) funding for the Kennedy Drive Sidewalk Project from the Santa Cruz County Regional Transportation Commission (SCCRTC). The project has been designed to fill in a gap in the City’s existing pedestrian facilities and address the City’s General Plan Mobility Element, which calls for a complete network of sidewalks. This project was identified during the public scoping sessions for McGregor Park, a multi-use park located approximately ¼ mile east of the intersection of Kennedy Drive and Park Avenue.

Discussion:

Project Description
Kennedy Drive from Sir Francis Avenue to Park Avenue is a primary pedestrian accessway from the Cliffwood Heights neighborhood to New Brighton State Beach and McGregor Park. Current conditions on this section of roadway consists of parking along both sides of the curb line, forcing pedestrians to walk next to traffic. Primarily a pedestrian safety project, the Kennedy Drive Sidewalk Project will construct approximately 550 feet of new sidewalk, curb and gutter, minor retaining walls, striping, and ADA curb ramps (Attachment 1). The addition of a sidewalk and uphill bike lane will eliminate conflicts between pedestrians, vehicles, and bicycles. The addition of a sidewalk also necessitates the removal of parking, approximately 18 spaces, on the north side of street. Sixteen spaces will remain on the south side of the street. The loss of parking does not significantly impact the overall parking availability in the area.

As required by the RTIP, Public Works staff will be presenting this project to the SCCRTC Elderly and Disabled Transportation Advisory Committee and the Bicycle Advisory Committee for review and comment in April 2023. Although not anticipated, if substantial changes are recommended staff will return to Council for approval. Staff intends on advertising for construction bids in late April with anticipated construction in late Spring 2023.

Coastal Development Permit
The project requires approval of a Coastal Development Permit (CDP). The City Council is the approval authority on CDP applications for public works projects that require no other discretionary permit approvals from the City other than funding approval. The proposed project is in compliance with all CDP findings. The required findings for a CDP are included in Attachment 2, the Final Local Action Notice.

California Environmental Quality Act (CEQA) Exemption: The proposed project is consistent with the general plan, any applicable specific plan, the zoning code, and the California Environmental Quality Act (CEQA) and is subject to Section 753.5 of Title 14 of the California Code of 171
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Regulations. Section 15301 of the CEQA Guidelines exempts the alteration of existing public facilities that involve negligible or no expansion of use. Specifically, 15301(c) exempts projects involving existing streets, sidewalks, gutters, bicycle and pedestrian trails, and similar facilities (this includes road grading for the purpose of public safety), and other alterations. The project involves a new sidewalk, new bicycle lane, and related access improvements to an existing roadway. The project will not create additional automobile lanes and involves a negligible expansion of use. No adverse environmental impacts were discovered during review of the proposed project.

Fiscal Impact: The escalated construction estimate for this project is $2140,000, $197,000 which can be funded from the SCCRTC RTIP grant. The Council approved an appropriation of $25,000 for this project in FY 2021-2022, $8,000 of which has been expended on project design. There is $17,000 remaining and available to fund the construction of the project.

Attachments:

1. Project Plans

2. Final Local Action Notice
Report Prepared By: Kailash Mozumder, Public Works Project Manager Reviewed By: Jessica Kahn, Public Works Director; Katie Herlihy, Community Development Director; Julia Moss, City Clerk; Samantha Zutler, City Attorney Approved By: Jamie Goldstein, City Manager
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420 CAPITOLA AVENUE
CAPITOLA, CALIFORNIA 95010
TELEPHONE (831) 475-7300
FAX (831) 479-8879

FINAL LOCAL ACTION NOTICE AND

ZONING PERMIT
March 23, 2023
Jessica Kahn - Public Works Department
420 Capitola Avenue
Capitola, CA 95010
RE: Notice of Final Action on Project Application #23-0123 Kennedy Drive Right-of-Way Between Sir Francis Avenue and Park Avenue #23-0123 Coastal Development Permit request for sidewalk, bike lane, and vehicle parking improvements on Kennedy Drive between Sir Francis Avenue and Park Avenue.

Environmental Determination: Categorical Exemption 15301, Existing Facilities Property Owner: City of Capitola
Representative: Public Works Department, City of Capitola, Filed: 03.07.23 The above matter was presented to the City Council on March 23, 2023, and was approved, with the following findings and conditions. Any modifications to the conditions and findings are indicated below in strikeout and underline notation.

Conditions of Approval:

1. The project approval consists of a Coastal Development Permit for roadway and sidewalk improvements on Kennedy Drive between Sir Francis Avenue and Park Avenue in the R-1 and PD Zoning Districts. The improvements include a new sidewalk with curb and gutter on the south side of Kennedy Drive and a new bicycle lane on the north side of Kennedy Drive. The proposed project is approved as indicated on the final plans reviewed and approved by the City Council on March 23, 2023, except as modified through conditions imposed by the City Council during the hearing.

2. Construction hours shall be limited between the hours of 8:00 a.m. and 5:00 p.m. on weekdays.

Construction shall be prohibited on weekends or legal holidays except in case of an emergency work approved by the Public Works Director. §9.12.080(B) 175
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Kennedy Drive Right-of-Way Between Sir Francis Avenue and Park Avenue Final Local Action Notice and Zoning Permit – Project Application #23-0123 March 23, 2023

Coastal Development Permit Findings:

A. The project is consistent with the LCP land use plan, and the LCP implementation program.

The Kennedy Drive Sidewalk Project conforms to the City’s certified Local Coastal Plan (LCP) land use plan and the LCP implementation program.

B. The project maintains or enhances public views.

The Kennedy Drive Sidewalk Project will maintain public views.

C. The project maintains or enhances vegetation, natural habitats and natural resources.

The Kennedy Drive Sidewalk Project is located within the Kennedy Drive right-of-way. The improvements will maintain and enhance vegetation and will not have an effect on natural habitats or natural resources.

D. The project maintains or enhances low-cost public recreational access, including to the beach and ocean.

The project involves improved pedestrian, bicycle, and auto circulation and will enhance safety connections to low impact low-cost public recreational access to New Brighton State Beach and the viewpoints along Park Avenue.

E. The project maintains or enhances opportunities for visitors.

The project involves improved pedestrian and bicycle circulation and will enhance opportunities for visitors through safer multimodal transportation options.

F. The project maintains or enhances coastal resources.

The project involves street improvements on Kennedy Drive and will not negatively impact coastal resources.

G. The project, including its design, location, size, and operating characteristics, is consistent with all applicable design plans and/or area plans incorporated into the LCP.

The proposed street improvements comply are consistent with the LCP.

H. The project is consistent with the LCP goal of encouraging appropriate coastal development and land uses, including coastal priority development and land uses (i.e., visitor serving development and public access and recreation).

The project involves pedestrian and bicycle improvements along Kennedy Drive, a coastal access route to New Brighton State Beach and Park Avenue viewpoints. The proposed project is consistent with the LCP by providing safe routes to the coast with a new sidewalk and improved bike lanes.
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Item 8 D.

Kennedy Drive Right-of-Way Between Sir Francis Avenue and Park Avenue Final Local Action Notice and Zoning Permit – Project Application #23-0123 March 23, 2023

I. The proposed project is consistent with the general plan, any applicable specific plan, the zoning code, and the California Environmental Quality Act (CEQA) and is subject to Section 753.5 of Title 14 of the California Code of Regulations.

Section 15301 of the CEQA Guidelines exempts the alteration of existing public facilities that involve negligible or no expansion of use. Specifically, 15301(c) exempts projects involving existing streets, sidewalks, gutters, bicycle and pedestrian trails, and similar facilities (this includes road grading for the purpose of public safety), and other alterations such as the addition of bicycle facilities, including but not limited to bicycle parking, bicycle-share facilities and bicycle lanes, transit improvements such as bus lanes, pedestrian crossings, street trees, and other similar alterations that do not create additional automobile lanes. The project involves a new sidewalk, new bicycle lane, and related access improvements to an existing roadway. The project will not create additional automobile lanes and involves a negligible expansion of use.

No adverse environmental impacts were discovered during review of the proposed project.

This permit is issued to the owner of the property. In executing this permit, owner agrees to comply with all terms of permit, including conditions of approval, if any. Permit must be exercised within 24 months of date of issuance (March 23, 2025) unless otherwise indicated in conditions of approval. 177
Item 8 D.