Cotati City Council
Agenda Staff Report
Item type: PUBLIC HEARINGS (ACTION)
To: City Council
Subject: City of Cotati Downtown Specific Plan (DSP) and Zoning Code Amendments Date: June 13, 2023
Written by: Noah Housh, Director of Community Development Recommendation
It is recommended by the Community Development Department and the Planning Commission that the City Council approve resolutions and an ordinance adopting an Addendum to the Downtown Specific Plan (DSP) EIR and finding the proposed amendments to the Downtown Specific Plan (DSP) consistent with the DSP EIR and the General Plan EIR; amending the Downtown Specific Plan; and making further amendments to Chapter 17 of the Cotati Municipal Code, as identified herein.
Project Description
The DSP Amendments project proposes to add clarifying language, remove inconsistent policy requirements, and address recent state law requirements including that multifamily housing be allowed in the Plan area while also making efforts to incentivize mixed use and commercial development in the downtown. At the direction of the City Council, the focus of this project is to prepare amendments that would update and clarify the DSP land use regulations to ensure the City is both consistent with state housing laws and which maintain the City’s vision for downtown as expressed in the adopted DSP. Based on the following analysis, staff and the Planning Commission recommends that the City Council accept the Addendum to the Downtown Specific Plan EIR as the appropriate environmental compliance document for the DSP Amendments and approve the related Plan Amendments and zoning text amendments (rezoning).
Background
The Downtown Specific Plan (DSP) provides development regulations for the entire 60-acre downtown area, stretching from Henry Street on the southern end of downtown, to the Laguna De Santa Rosa at the northern City boundary (shared with Rohnert Park). The goals of the Plan include providing additional public space and multi-modal street circulation throughout downtown; ensuring mixed use is the primary development type downtown; providing a variety of building types, shapes, and sizes to ensure architectural interest; and ensuring a mix of retail and housing types served by adequate parking. The policy direction for these goals is provided by separating the downtown into four distinct districts (Historic Core, La Plaza Park, Northern Gateway, and Commerce Avenue) and tailoring the development criteria to each of these areas in the plan. The City Council adopted the Downtown Specific Plan and certified an Environmental Impact Report (EIR) in 2009.
A. Housing Regulation Changes and the DSP
Over the last decade, the California Legislature has passed an increasingly complex portfolio of housing laws in a statewide response to a shortage of housing affecting persons at all economic levels. With more than 40 housing bills adopted since 2017 (primarily intend to overcome the lack of affordable housing in the state), the City of Cotati is subject to provisions of California state law that have changed since the Downtown Specific Plan was adopted in 2009. In addition, the City recently adopted an update to its Housing Element, which was subsequently certified by the state Housing and Community Development Department (HCD). Any proposed modifications to the DSP and properties included within must maintain consistency with the policies and programs in the adopted Housing Element. A summary of the recent legislation affecting preparation of the DSP includes the following:
SB 35 (2017) requires ministerial approval of housing and mixed-use development in jurisdictions not meeting their regional housing needs goals. The City of Cotati is currently subject to SB 35 provisions for projects with at least 50% affordable housing, and the determination is reissued each year at the end of June. In 2021, the City Council adopted the new Objective Design Standards for Streamlined and Ministerial Developments to the Cotati Municipal Code (Title 17, Chapter 17.39.to ensure compliance by objective design guidance for projects that qualify for ministerial streamlined processing under SB 35 (Ord. 905 § 5, 2021).
AB 2162 (2018) requires that supportive housing be a use that is permitted by right in zones where multifamily and mixed-use development is permitted.
AB 101 (2021) requires a Low Barrier Navigation Center (LBNC) be a use that is permitted by right in areas zoned for mixed-use and nonresidential zones permitting multifamily uses.
AB 2011 & SB 6 (2022) require non-discretionary, staff-level (ministerial) approval of 100% residential and mixed-use housing projects in existing commercial zones that allow office, retail, or parking as a permitted use along commercial corridors and within ½ mile of transit when certain labor and affordability requirements are met. AB 2011 & SB 6 provide two avenues for developers; AB 2011 requires higher amounts of affordable housing, and SB 6 requires higher standards for use of skilled and trained labor. These two concurrently adopted bills go into effect on July 1, 2023.
The City has adopted Objective Design Guidelines consistent with the State - mandated ministerial review procedures and the city reviewed these existing Guidelines for conformance with AB 2011 and SB 6.
AB 1551 (2022) added Section 65915.7 to the Government Code which requires a city to grant a concession to a commercial developer who is also including affordable housing within a project located within ½ mile of a major transit stop. The concession may include, but is not limited to, a 20% increase in density; a 20% increase in floor area; a 20% increase in height; a 20% reduction in minimum parking; a limited use elevator; and/ or an exception to a zoning or land use regulation. AB 1551 goes into effect January 1, 2023.
AB 2244 (2022) allows affordable housing development located on a religious property up to a 50% reduction of required religious-use parking spaces, as of January 1, 2023.
SB 330 (2019) extensively amended the Housing Accountability Act to prohibit downzoning and other intended or unintended efforts to preclude the development of housing through 2030 (as amended by SB 8, 2021).
In the fall of 2022, the City initiated an effort to identify draft DSP and Zoning (Title 17) amendments in anticipation of the Housing Element Update and changes in State Housing Law.
The project description below describes the proposed amendments.
Analysis/Discussion
Downtown Specific Plan Amendments
The purpose of the City of Cotati (City) Downtown Specific Plan (DSP) Amendments project is to adopt minor changes to the DSP and implementing Land Use/ Zoning Ordinance (Title 17) that clarify and provide technical guidance for development projects to be consistent with the City’s vision for downtown, considering numerous changes to State housing and planning law. These Amendments serve to strike a balance between consistency with recent changes in State planning and housing law, as reflected in the City’s General Plan Housing Element Update and reaffirms the DSP direction to foster development of a vibrant, pedestrian oriented mix of retail businesses, housing for all economic segments of the community, and recreation amenities, while preserving Cotati’s historic character (DSP, page 1:14).
Proposed DSP Documents Revisions
The DSP Amendments include two sets of document amendments. The first will be to the Plan itself and is intended to clarify development standards and affirm the mix of residential uses consistent with the build out (units, square feet) and forms (height, setbacks, and landscaping) anticipated under the Plan and the supporting DSP EIR environmental analysis.
The second set of amendments will be to the Land Use/ Zoning Code, inclusive of the land use tables, Objective Residential and Mixed-Use Design Standards amendments (DSP Area) and other related Municipal Code standards as necessary to address the new housing regulations and promote commercial land use in the DSP. Specific development projects are not included in the DSP Amendments. All future construction projects in the DSP Area must comply with the DSP, as well as the Cotati General Plan, DSP, Zoning Ordinance, development standards, and relevant state and federal jurisdictional regulations. In addition, future discretionary actions (i.e., use permits, site plan review) require independent and project-specific environmental review by the City and compliance with the (CEQA). The specific plan document edits are included in Attachment A.
Land Use Code/ Zoning Amendments
Clarifying minor compliance changes occur in the following Land Use/Zoning categories that ensure DSP and implementing regulations accommodate State Housing Law changes. These categories include Purpose of DSP Zone Districts; Allowed Land Uses and Permit Requirements for the DSP Districts; Special Purpose Zone and Overlay Zone Standards; Objective design standards; Mixed-use standards; Density Bonuses; Parking Requirements and Definitions as detailed in underline and strike-through text in Attachment B.
General Plan Consistency
Adoption of the DSP Amendments is consistent with the General Plan and advances the following General Plan policies and actions:
Policy LU2.4: Maintain the character of existing neighborhoods by ensuring new development is compatible in style, size, color, and footprint with existing residences in the neighborhood.
Require new residential development to be consistent with the small-town character of Cotati and designed and landscaped in an aesthetically pleasing and sustainable manner.
Policy LU2.7: Encourage social interaction between neighbors in new residential developments by providing opportunities for community gathering in common areas, parks, and neighborhood commercial centers.
Action LU 4a: Review and update the City’s development permitting process to provide a streamlined and straightforward process. At a minimum, the review may consider,
1. Methods to streamline and simplify the process, including the process for review by City staff as well as the various committees and commissions.
2. Opportunities to reduce redundancies and delays.
3. Methods to prioritize and fast-track in-fill development projects and re-use projects that are consistent with the General Plan and Land Use Code.
4. Updating the City’s website to provide additional information to the public regarding development application requirements, and the building permit and land use approval process.
Policy H-3-2: Provide incentives for affordable housing development, including density bonus, expedited processing, relaxation of development standards, and either reduction, delay, or waiver of fees when financially feasible.
Land Use/ Zoning Code Consistency
Following is a summary of the key Land Use Code/ Zoning Amendments that are proposed to be applied to multifamily and mixed-use developments when the applicant chooses to use the ministerial (by-right) process at the time of development application detailed in Attachment B.
Projects must comport with the Purpose of the zoning districts detailed in the Land Use Code (Chapter 17.20.030.D) (Purposes of the Zone Districts)(DSP Districts).
Allowed uses must be consistent with allowed uses and the design standards applicable for each DSP Zone District as amended, (Chapter 17.22)(Allowable Land Uses)(Table 2- 4:
Allowed Land Uses and Permit Requirements for Downtown Specific Plan Districts).
Residential use proposals in DSP zoning districts must comply with the City’s Ministerial Objective Design Guidelines (Chapter 17.28.050.C)(Special Purpose Zone and Overlay Zone Standards)(Specific plan, downtown zoning districts)(Development standards).
Residential projects in mixed-use development must comply with objective design standards identified in the revised DSP design guidance in and integrated into and Land Use/ Zoning Code (Chapter 17.42.100)(Mixed-use projects),as well as Chapter 17.39 (Objective Design Guidelines)
Allowed density bonuses are modified to be consistent with current requirements under State Density Bonus and State Housing Law, commercial developers who include residential uses with specific parameters (Chapter 17.32.030)(Allowed density bonuses).
In compliance with state regulations governing density bonuses and housing, parking requirements shall not be imposed or enforced on a residential, commercial, or other development project, except for non-residential use transient lodging, including hotels, motels, bed, and breakfast inns. (Chapter 17.32).(Density Bonus) Changes to Parking and Loading requirements are amended to ensure compliance with existing parking requirements located further than ½ mile from existing public transit; limited parking requirements for projects within ½ mile of transit, and added religious use parking exceptions which are established in the Government Code Section 65853, Additionally, should the City determine, a primary use will provide adequate parking for the entire project (Chapter 17.36)(Parking and Loading).
Residential developments across the street or along the same frontage as existing Downtown Commercial and Mixed Use must include consistent frontage and designs as required in each DSP Zone and the Objective Design Guidelines. All building design and site design requirements and criteria in the Objective Design Guidelines and the City’s adopted plans-including the DSP (Chapter 17.39.030.H) (Objective Residential Design Guidelines)(Mixed-use development).
DSP Amendments Application Process
Consistent with current application standards, should an applicant request the streamlined ministerial process and submit a checklist documenting how the project meets all the required State and City objective standards under AB 52 as described above.
In this case City staff conducts an initial review to verify that the project is eligible for streamlined processing under AB 52.
Senate Bill SB 35 (as amended by SB 765) project review must be completed within 90 days for 150 units or fewer and 180 days for projects with more than 150 units, measured from the date the application is submitted.
The process allows for a staff-level, or ministerial review and approvals. SB 35 does allow boards/commissions to conduct the project review for consistency with adopted Guidelines. However, the project review by an approval body, such as the Planning Commission, would generally occur in charter cities where the voter approved charter requires the project approval to be done by an appointed board or commission. The review board would not be allowed to use any discretionary judgement. As such, SB 35 decisions are made at the staff level in Cotati.
Public noticing would be limited and could include a webpage or possibly a notice of project application prior to approval.
These residential projects are exempt from the requirements of the California Environmental Quality Act (CEQA).
Generally, the City would not conduct any public meetings or hearings on these projects unless a General Plan or Land Use/Zoning Code is requested.
Community Outreach and Comments
To involve members of the Cotati community and help refine the City Council’s direction, this project included the following public outreach activities to gain public input on the DSP Amendments.
Public Surveys. January 2023
The City, in coordination with its consultant, developed a concise survey and distributed the survey via multiple channels to ensure a robust response. Staff highlighted the survey’s availability at the workshop event described below. The City received over 400 individual responses to the Public Survey questions which are summarized in Attachment C. The survey requested that the participants indicate their initial reaction to the downtown generally by seeking responses to topics specific to the DSP Amendments (generally allowing more housing projects to develop downtown) and more generally to what they liked or did not like about the downtown. As identified, the City received over 400 individual responses however it is assumed that a number of these responses were provided by “bots” seeking to win the gift card prize. Staff attempted to “de-bot” the survey responses. Because the spreadsheet format does not lend itself to static printing and static viewing, portions of the assumed valid responses (totaling over 60) are included in a separate attachment to allow a better presentation.
Generally, the comments identified the following main issues and suggestions.
Bike-ability and walkability is one of the most appreciated and valued elements of the downtown
Generally, some Housing-only development projects in the downtown are acceptable to the community
Generally, an expanded range of commercial businesses and activity are desired in the downtown
Workshop Event - In Person Outreach. January 2023
City staff hosted an informational presentation and workshop at a joint meeting of the City Council and Planning Commission on the DSP Amendments on January 17, 2023. Staff introduced the community to the project, informed them about the issues being addressed, and sought input from residents, business-owners and both the Commissioners and Council Members.
Comments received from the community and decision-makers are summarized below.
Concerns that changes to state housing law would result in the loss of local land use controls developed by the City.
Concerns were raised that the DSP Amendments accommodating new housing would not be compatible with Cotati’s small-town character and the existing businesses downtown.
Conversely, participants who supported retaining the DSP primarily as a commercial and mixed-use district, consistent with the General Plan provided comments and direction requesting minor edits to Land Use/ Zoning design guidance which would seek to incentivize commercial development in the DSP zoning districts.
Downtown Plan Amendments Website
The Cotati Planning Department posted the Draft DSP Amendments on the Community Development Department website to serve as the public clearinghouse of information on the project, that includes:
Access to draft documents.
Provides a portal to the project survey and its results.
Agenda notices, staff reports and materials for public hearings by the Planning Commission and City Council are available in advance.
New Housing in Zones Allowing Commercial and Mixed Uses. State law now allows 100% housing developments “by-right” in areas zoned for commercial and mixed use. The DSP Amendments address the application of Objective Design Guidelines to these projects to ensure the designs of these project are consistent with DSP design guidance.
Density. Housing development in the DSP would provide opportunities for housing among the local community and region who are currently unable to obtain housing. New housing in a commercial area would be consistent with the existing DSP which seeks to provide increased vibrance and housing for all economic segments of the community. Commercial uses in the downtown would benefit from an increase in its customer base and residents would be provided retail and services within walking distance and opportunities to work near homes and access to increased alternative modes of transportation.
Parking. The changes to Parking and Loading requirements are amended to ensure compliance with recent changes in state law; limiting parking requirements for projects within ½ mile of transit as established in the Government Code Section 65853, may result in a lack of parking in specific DSP areas near new housing projects. The DSP provides for public parking to be constructed should future parking problems manifest downtown. In addition, some limited changes are being proposed to support and incentivize the development of commercial land uses within the DSP.
Incentives to commercial development. Given the changes to State housing law allowing more housing only development in commercial zoning districts, staff and the City Council discussed several potential changes to the DSP zoning districts to provide incentives to commercial land uses within the DSP. Several minor changes are included in the zoning districts to provide such incentives and support for commercial land uses, including a potential density bonus for mixed use development and reducing the review process from a Use Permit to a Minor Use Permit for certain activity generating uses.
Housing Bonus for Mixed Use in the Downtown Specific Plan districts: One additional story of housing units (above 35 ft) shall be allowed by the City if the housing project includes the following:
a. Indoor publicly available community areas (administrative, shared work, meeting and/or exercise) to be located on the ground floor; or
b. In exchange for reduced community common areas being provided, 50% of the project’s ground floor street or La Plaza Park frontages shall include restaurant and/or retail commercial uses.
c. A mix of private shared areas, commercial frontages, and/or public access outdoor space easements may also satisfy the above requirements and the DSP objective residential design guidelines open space requirements.
d. Design is otherwise consistent with the DSP objective residential design guidelines.
Other housing related changes. Staff has included some minor changes to the land use tables to add “Low Barrier Navigation Center” and “Supportive Housing” as a land use as required under recent changes to state law. These changes and the definitions of each are included within these zoning amendments. Further, staff has identified that “tobacco retail stores” are prohibited as a land use within the City. This prohibition currently exists in Cotati Municipal Code Section 9.31 Smoking and Secondhand Smoke, but also belongs in the zoning code.
In general, it is staff’s position that the issues/questions identified above are addressed by the DSP Amendments and that generally, the changes in the DSP Amendments are minor and are complementary to existing land use regulations and new State Housing and Planning Laws. The additional changes being recommended are primarily “housekeeping” type zoning changes.
Financial Considerations
The general fund cost of making the proposed amendments to the DSP and zoning code has totaled approximately $40,000 to date, in keeping with the Council adopted 4Leaf contract. Additional efforts were made whereby the consultant and staff requesting additional one-time appropriations of $1,300. These funds would be adjusted for the fiscal year 2022/23 budget within the professional services contract account 00-80188-000000, within the Excess Bond Proceeds Special Revenues Fund 219. The increase in budget for fiscal year 2022/23 will be offset with a reduction in available funds for the budget in fiscal year 2023/24.
To the best of City Staffs knowledge there is no additional or ongoing costs, except what is presented above.
Environmental Issues
According to CEQA Guidelines Section 15164(a), an addendum shall be prepared if some changes or additions to a previously adopted EIR are necessary, but none of the conditions enumerated in CEQA Guidelines Sections 15162(a)(1) through (3) calling for the preparation of a subsequent EIR have occurred. As stated in CEQA Guidelines Section 15162 (Subsequent EIRs and Negative Declarations): The City Council certified the DSP Environmental Impact Report (EIR) with adoption of the DSP on August 26, 2009. The proposed Addendum to the City Council Certified DSP EIR, found that The DSP Amendments propose minor, insubstantial changes in the circumstances that were present during the prior DSP EIR analysis of the DSP.
Further, the DSP Amendments described above would not result in new significant environmental effects or an increase in the severity of previously identified significant effects.
Based on the analysis above, no major revision of the previous DSP EIR is necessitated by the DSP Amendments.
Attachments:
Attachment A-DSP Amendments (DOCX)
Attachment B-DSP Zoning Amendments (DOCX) Attachment
C - Survey Summary-Open Questions (DOCX)