Del Mar City Council
September 23, 2024

Table of Contents
9-23-2024 Regular Meeting Agenda
Item 2 - Draft Action Minutes Regular Meeting 9-9-2024
Item 3 - List of Demands
Item 5 - 2023 SHSP Award Approval - TICs & Rescue Equip Purchase Item 6 - STR Ordinance Adoption
Item 7 - FY 2024 Holleman Foundation Grant
Item 8 - Finance Committee Appointment
Item 9 - Cal OES 130
Item 10 - IH and Condos Ordinances
Item 11 - ODS Ordinance Adoption
Item 12 -Measure Q Overview
Item XII-A,B,E,F,L,N,O; XIII-C,J,P- Council Liaison Reports 2 9
15 33
53 82
84 92
100
151
243
250
Del Mar City Council Meeting Agenda
City of Del Mar, Town Hall
1050 Camino del Mar, Del Mar, California
1050 Camino del Mar, Del Mar, CA 92014 www.delmar.ca.us Civility Works: The Del Mar Code of Civil Discourse: Together we will promote inclusion; listen to understand; show respect; be clear and fair; and focus on the issue.

Regular Meeting
Monday, September 23, 2024 at 4:30 PM
Public Participation/Comment: Members of the public can participate in City Council meetings in-person or via written comment (Red Dot). Anyone may address the City Council for up to three minutes, at the Mayor’s discretion, on items on the agenda.

Members of the public wishing to speak on items not on the agenda may do so under Public Oral Communications. Agenda items may be addressed in any order at the discretion of the Mayor. When addressing the Council, please state your name for the record. Any electronic presentations must be received before 9 a.m. on the date of the Council meeting. No PowerPoint presentations can be loaded during the meeting.

In-Person Participation: Please submit a completed “Speaker Slip”, including the item number you wish to speak on, to the City Clerk prior to the Mayor announcing the agenda item. The forms are located near the door at the rear of the Meeting Room. When called to speak, please approach the podium and state your name for the record.

Written Comments: Members of the public can participate in the meeting by submitting a written red dot comment via email to [email protected]. The deadline to submit written comments is 12 p.m. on the day of the meeting and the subject line of your email should clearly state the agenda item you are commenting on.

Remote Participation: Due to technical issues, remote
participation will not be offered at this City Council meeting.

Viewing the Meeting and Access to Agenda Materials: Members of the public can watch the meeting live on the City’s website at: http://delmar.12milesout.com/Video/Live and on Cable TV Spectrum Ch. 24, AT&T Ch. 99 starting at 4:30 PM. Agenda materials and communications from the public on agenda items, “Red Dots”, are available on the City’s website:
http://www.delmar.ca.us/AgendaCenter and a hard copy of the agenda materials are available at Del Mar City Hall and the Del Mar Library during their business hours.

Assistance for Persons with Disabilities: In compliance with the Americans with Disabilities Act, if you need special assistance to participate in this meeting, please contact the Administrative Services Department at 1050 Camino del Mar or by calling (858) 755-9313.

Notification of at least 48 hours prior to the meeting will enable the City to make reasonable arrangements to ensure accessibility to this meeting.

Dave Druker
Mayor
Terry Gaasterland
Deputy Mayor
Tracy Martinez
Council Member
Dan Quirk
Council Member
Dwight Worden
Council Member
Ashley Jones
City Manager
Leslie E. Devaney
City Attorney
Sarah Krietor
Administrative Services
Manager/City Clerk
Del Mar City Council Regular Meeting September 23, 2024 Agenda Page 2
1050 Camino del Mar, Del Mar, CA 92014 www.delmar.ca.us I. CALL TO ORDER/ROLL CALL
II. CITY ATTORNEY CLOSED SESSION REPORT
III. PLEDGE OF ALLEGIANCE
IV. PUBLIC ORAL COMMUNICATIONS
Each person wishing to speak before the City Council on any matter not on the agenda shall submit a “Speaker Slip” to the City Clerk when Public Oral Communication is announced. Each speaker will have up to three (3) minutes to speak at the discretion of the Mayor and may be asked clarifying questions. Information received during Public Oral Communication may be received, placed on a future agenda, or referred to the City Manager by the City Council. State law generally precludes the City Council from discussing or acting upon any topic presented during oral communications that is not described on the posted agenda.

Note: there is a time limit of 30 minutes for this section of public communications and each speaker will be heard in the order of the submission of their speaker slip. Speakers who have turned in a speaker slip prior to the time oral communications was called on the agenda, but were not heard during the initial time period shall be called to speak at the end of the agenda.

V. COMMUNITY ANNOUNCEMENTS
VI. CITY MANAGER’S REPORT
VII. PRESENTATIONS

1. Appreciation for Outgoing Councilmember Dwight Worden TIME CERTAIN 7:00 PM - CAKE & REFRESHMENTS TO FOLLOW

Recommended Action: Present resolution of appreciation for outgoing Councilmember Worden and receive other proclamations and acknowledgments.

Reference: Clerk’s File No. 401-1
VIII. CONSENT CALENDAR
All items listed on the Consent Calendar are considered to be routine and will be acted upon with one motion. There will be no separate discussion of these items unless a member of the City Council or the public so requests, in which event, the item will be pulled from the Consent Calendar and considered separately after the motion to approve the Consent Calendar. If you wish to remove an item from the Consent Calendar, please submit a “Speaker Slip” to the City Clerk.

Del Mar City Council Regular Meeting September 23, 2024 Agenda Page 3
1050 Camino del Mar, Del Mar, CA 92014 www.delmar.ca.us

2. Approval of Minutes: September 9, 2024 Regular Meeting Recommended Action: Approve Minutes.

Reference: Clerk’s Minutes Book

3. Ratification of List of Demands, dated September 23, 2024 Recommended Action: Ratify the List of Demands.

Reference: Clerk’s File No. 201-3

4. Waiver of Reading of Ordinances on Agenda
Recommended Action: Waive Reading of Ordinances.

Reference: Clerk’s File No. 401-4

5. Acceptance of 2023 State Homeland Security Program Grant Funds Recommended Action: Staff recommends the City Council: 1) Accept $6,352 in grant funds from the Fiscal Year 2023 State Homeland Security Program (SHSP) for the purchase of individual thermal imaging cameras and fire rescue equipment for the Del Mar Fire Department; and 2) Authorize the City Manager to execute the necessary grant documents.

Reference: Clerk’s File No. 201-13

6. Adoption of an Ordinance to Establish Short-Term Rental Regulations Recommended Action: Staff recommends that the City Council adopt the ShortTerm Rental (STR) Regulations Ordinance (Attachment A) to amend the Title 30 (Zoning) in the Del Mar Municipal Code (DMMC) and the certified Local Coastal Program (LCP) by Zone Code Amendment (ZA24-004) and LCP Amendment (LCPA24-003) to establish STR regulations in a new DMMC Chapter 30.96.

Reference: Clerk’s File No. 301-19, 401-4, 401-9

7. 2024 Roy & Marian Holleman Foundation Grant Application & Acceptance of a Separate Donation for Fire Station Equipment
Recommended Action: Staff recommends the City Council: 1) Approve submission of a grant application for $10,000 to the Roy & Marian Holleman Foundation for Fire Station equipment; 2) Accept a separate donation of two refrigerators for the Fire Station; and 3) Authorize the City Manager to execute the required grant and donation documents and accept the grant funds, if awarded.

Del Mar City Council Regular Meeting September 23, 2024 Agenda Page 4
1050 Camino del Mar, Del Mar, CA 92014 www.delmar.ca.us Reference: Clerk’s File No. 201-13, 1202-5

8. Finance Committee Appointment
Recommended Action: The City Council Liaisons to the Finance Committee recommend that the City Council appoint Bret D’Vincent as a voting member to the Finance Committee to serve a full three-year term effective September 23, 2024, and ending on September 30, 2027.

Reference: Clerk’s File No. 401-5

9. California Governor’s Office of Emergency Services Designation of Applicant’s Agent Resolution
Recommended Action: Staff recommends the City Council: 1) Adopt a Resolution (Attachment A) designating the City of Del Mar’s authorized representatives (agents) to execute official documents with the California Governor’s Office of Emergency Services (Cal OES) and the Federal Emergency Management Agency (FEMA); and 2) Authorize staff to complete the updated form (Cal OES 130) required by Cal OES to be executed by the governing body of the jurisdiction requesting reimbursement (Attachment B).

Reference: Clerk’s File No. 1501-12, 1502-22
IX. PUBLIC HEARING

10. Continued from September 9, 2024 Council Meeting - Introduction of Ordinances to Repeal and Replace Del Mar Municipal Code Chapters 24.21 and 24.40 Relating to Inclusionary Housing and Condominium Conversion Regulations and Amend the Municipal Code and Local Coastal Program to Make Minor Corrections to the North Commercial and Professional Commercial Zones for Consistency With the Citywide Inclusionary Housing Regulations
Recommended Action: Staff recommends the City Council take the following actions to address City commitments in 6th Cycle Housing Element (2021-2029) Programs 4D and 4E relating to inclusionary housing and condominium (condo) conversion regulations, which will apply consistently citywide, including discretionary review as applicable: 1) Confirm the environmental determination that the proposed Ordinances are not subject to the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines Section 15061(b)(3) because the activity is covered by the common-sense exemption that CEQA only applies to projects which have the potential for causing a significant effect on the environment; 2) Introduce an Ordinance (Attachment A) to repeal and replace the DMMC regulations in Chapter 24.21 (Inclusionary Housing) and regulations in Chapter 24.40 (Condo Conversions) by amending the DMMC (A24-001 and A24- 002) to implement Housing Element Programs 4D and 4E; and 3) Introduce an Del Mar City Council Regular Meeting September 23, 2024 Agenda Page 5
1050 Camino del Mar, Del Mar, CA 92014 www.delmar.ca.us Ordinance (Attachment B) to amend the Del Mar Municipal Code (DMMC) Section

30.24.070(A) North Commercial Zone Development Standards and Section

30.25.070(A) Professional Commercial Zone Development Standards in the City’s Municipal Code and certified Local Coastal Program (LCP) by amending the Municipal Code (ZA24-005) and LCP (LCPA24-004) to make minor corrections for consistency with the citywide Inclusionary Housing regulations.

Reference: Clerk’s File No. 303-1, 401-4, 401-9
X. COUNCIL MEETING RECESS
XI. CITY COUNCIL OTHER BUSINESS

11. Adoption of an Ordinance Establishing Multi-Unit and Mixed-Use Objective Design Standards for “By-Right” Housing Development Projects Recommended Action: Staff recommends that the City Council adopt an Ordinance (Attachment A) to amend Del Mar Municipal Code (DMMC) Title 23 and establish a new Chapter 23.06 to approve and implement Multi-Unit and Mixed-Use Objective Design Standards for “by-right” housing development projects and implement Housing Element Program 6G.

Reference: Clerk’s File No. 304-7, 401-4, 401-9

12. Measure Q Overview & Accomplishments to Date
Recommended Action: Mayor Dave Druker and Councilmember Dwight Worden recommend that the City Council discuss the background and history related to Measure Q, designated uses, accomplishments to date, and next steps.

Reference: Clerk’s File No. 401-5
XII. REGIONAL ORGANIZATION REPORTS
A Councilmember assigned as a liaison to a regional organization may make a written or oral report. State law precludes the Council from commenting on, discussing, or acting on a report unless the item of business within the report is described in the agenda.

A. 22nd District Agricultural Association Community Relations Committee (Martinez/Worden)
Recommended Action: Receive written report (Worden)
B. Clean Energy Alliance JPA (CEA) Board of Directors (Druker/Worden) Recommended Action: Receive written report (Worden)
C. CSA-17 Ambulance District Advisory Board (Martinez/Quirk) D. Fire Governance Board, Solana Beach/Del Mar/Encinitas (Martinez/Druker) E. League of California Cities – San Diego Chapter (Martinez/Worden) Recommended Action: Receive written report (Worden)
F. League of California Cities – Coastal Cities Group (Worden) Del Mar City Council Regular Meeting September 23, 2024 Agenda Page 6
1050 Camino del Mar, Del Mar, CA 92014 www.delmar.ca.us Recommended Action: Receive written report (Worden)
G. North County Transit District (NCTD) (Martinez/Druker) H. Regional Solid Waste Association (Worden/Quirk)
I. San Diego Association of Governments Board (SANDAG)
(Gaasterland/Martinez/Druker)
J. SANDAG Borders Committee (Gaasterland)
K. SANDAG Regional Planning Committee (Martinez)
L. SANDAG Shoreline Preservation Working Group
(Worden/Gaasterland/Martinez)
Recommended Action: Receive written report (Worden)
M. SANDAG LOSSAN Executive Task Force (Druker/Gaasterland) N. San Diego Metropolitan Wastewater Commission/JPA (Worden/Quirk/Druker) Recommended Action: Receive written report (Worden)
O. San Dieguito River Valley Regional Open Space Park JPA –Executive Committee (Worden/Quirk)
Recommended Action: Receive written report (Worden)
P. Other Regional Organization Reports
XIII. COUNCIL COMMITTEES/SUBCOMMITTEES/COMMUNITY ORG REPORTS A Councilmember assigned as a liaison to a City Committee, Council Subcommittee OR Community Organization may make a written or oral report. State law precludes the Council from commenting on, discussing, or acting on a report, unless the item of business within the report is described in this agenda.

A. Arts Advisory Committee (Druker)
B. Clean Water Rate Project
C. Del Mar Community Connections (Martinez/Worden)
Recommended Action: Receive written report (Worden)
D. Del Mar Village Association (Gaasterland/Martinez)
E. Finance Committee (Druker/Worden)
F. Housing Subcommittee (Gaasterland/Martinez)
G. Human Resources Subcommittee (Druker/Worden)
H. Legislative Subcommittee (Gaasterland/Martinez)
I. Measure Q Citizen Oversight Committee (Gaasterland/Quirk) J. Parks and Recreation Committee (Martinez/Gaasterland) Recommended Action: Receive written report (Martinez)
K. Del Mar Railroad Committee (Druker/Gaasterland)
L. Lagoon Committee (Quirk/Worden)
M. Sea-Level Rise Adaptation Plan Implementation Subcommittee (Gaasterland/Martinez)
N. Shores Advisory Committee
O. Sustainability Advisory Committee (Martinez/Worden)
P. Traffic and Parking Advisory Committee (Quirk/Worden) Recommended Action: Receive written report (Worden)
Q. Undergrounding Project Advisory Committee (Druker/Gaasterland) R. Other Committee-Subcommittee Reports
XIV. UPCOMING AGENDA ITEMS
The following topics/items are tentatively planned for upcoming agendas. The title, wording, and planned date for these items are subject to change. Final agendas are Del Mar City Council Regular Meeting September 23, 2024 Agenda Page 7
1050 Camino del Mar, Del Mar, CA 92014 www.delmar.ca.us posted at City Hall 72 hours in advance of the meetings and are also posted on our web site with the accompanying staff report. Please watch our web site:
www.delmar.ca.us for City Council Agendas.

October 7, 2024
Agreement for Investment Advisory Services
Contract with Redflex for Traffic Signal Enforcement Cameras Bid Award for Hoska Alley Street and Storm Drain Improvements Guiding Principles for TSVS Ordinance Update
Undergrounding Financing Analysis - NHA Advisors (Tentative) San Dieguito Drive Permits (DRB, LC, TRP, CDP, CUP)
UUD X1A Permits (DRB, CDP, CUP), Task Order Amendment, Easements, and 1810 San Dieguito Drive Pole Exemption
City Council Interviews and Appointment
Amendments to Agreements for As-Needed Environmental Consulting Services
XV. CERTIFICATION
I, Sarah Krietor, Administrative Services Manager/City Clerk for the City of Del Mar, hereby certify that a copy of this agenda was posted at City Hall on the 18th day of September, 2024 at approximately 5:45 p.m.
___________________________________________ 9/18/2024
Sarah Krietor, Administrative Services Manager/ Date
City Clerk

CITY OF DEL MAR

CITY COUNCIL REGULAR MEETING MINUTES
SEPTEMBER 9, 2024
City of Del Mar Town Hall
1050 Camino del Mar, Del Mar California 92014
And via teleconference
128 Ritchie Ave., Silver Spring, MD 20910
The minutes set forth the actions taken by the City Council on the matters stated. Audio/video recordings of the City Council proceedings are retained for a period of ten years, in accordance with the City's Records Retention Schedule. Audio/video recordings, as well as written materials presented to the City Council, including Red Dots (materials provided to the City Council after the agenda has published), are available on the City’s website at www.delmar.ca.us/AgendaCenter or by contacting the Administrative Services Department at (858) 755-9313.

CALL TO ORDER
Mayor Druker called the Regular Meeting to order at 4:30 p.m.

ROLL CALL

Present: Mayor Dave Druker; Deputy Mayor Terry Gaasterland; Councilmembers Tracy Martinez, Dan Quirk (arrived at 4:32 p.m.), and Dwight Worden

PLEDGE OF ALLEGIANCE
Deputy Mayor Gaasterland led the Pledge of Allegiance.

PUBLIC ORAL COMMUNICATIONS
Mayor Druker opened public oral communication and Meg Harris spoke regarding the road conditions outside of Flower Hill shopping center in the City of San Diego. Mayor Druker closed public oral communications.

CITY COUNCIL COMMENTS & COMMUNITY ANNOUNCEMENTS
Councilmember Quirk provided comments on the fencing at Powerhouse Park and trash on the beach.

City Manager Ashley Jones and Public Works Director Joe Bride provided a response. Mayor Druker cautioned Councilmember Quirk about communications with staff and raising concerns in an appropriate manner. Deputy Mayor Gaasterland reported on the importance of making a will. Councilmember Martinez reported on Mayor Druker’s birthday.

CONSENT CALENDAR
Administrative Services Manager/City Clerk Sarah Krietor read the titles of the items included on the Consent Calendar. There were no public speakers for the consent calendar items.

IT WAS MOVED BY DEPUTY MAYOR GAASTERLAND, SECONDED BY COUNCILMEMBER MARTINEZ TO APPROVE THE CONSENT CALENDAR ITEMS 1 THROUGH 5 AND ITEM 7. (VOTE 5-0)
Ayes: Mayor Druker, Deputy Mayor Gaasterland, and Councilmembers Martinez, Quirk and Worden; Noes: 0; Recuse: 0; Absent: 0; Abstain: 0.
1 September 23, 2024 Item 02
City Council Regular Minutes
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ITEM 1: APPROVAL OF MINUTES: AUGUST 26, 2024 REGULAR AND SPECIAL MEETING (CLERK’S MINUTES BOOK)
Council approved the minutes, on consent.

ITEM 2: RATIFICATION OF LIST OF DEMANDS, DATED SEPTEMBER 9, 2024 (CLERK’S FILE NO. 201-3)
Council approved the list of demands, on consent.

ITEM 3: WAIVER OF READING OF ORDINANCES ON AGENDA (CLERK’S FILE NO. 401-4) Council waived the reading of ordinances, on consent.

ITEM 4: LICENSE AGREEMENT WITH SAINT PETER’S PARISH FOR PARKING METER MANAGEMENT, ENFORCEMENT AND REVENUE SHARING (CLERK’S FILE NO. 406-1, 905-4)
Council approved a Parking Management License Agreement with Saint Peter’s Parish to reestablish a formal parking meter management, enforcement, and revenue share arrangement with the City; and authorized the City Manager to execute the License Agreement, on consent.

ITEM 5: SECOND READING AND ADOPTION OF AN ORDINANCE UPDATING THE CITY’S PURCHASING CODE (CLERK’S FILE NO. 201-9, 401-4, 401-9, 601-5) Council adopted Ordinance 1009, “AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF DEL MAR, CALIFORNIA, AMENDING TITLE 7 OF THE CITY OF DEL MAR MUNICIPAL CODE – EXPENDITURES”, on consent.

PUBLIC HEARING
ITEM 6: CONTINUED TO SEPTEMBER 23, 2024 CITY COUNCIL MEETING - INTRODUCTION

OF ORDINANCES TO REPEAL AND REPLACE DEL MAR MUNICIPAL CODE CHAPTERS 24.21 AND 24.40 RELATING TO INCLUSIONARY HOUSING AND

CONDOMINIUM CONVERSION REGULATIONS AND AMEND THE ZONING CODE

AND LOCAL COASTAL PROGRAM TO MAKE MINOR CORRECTIONS TO THE

NORTH COMMERCIAL AND PROFESSIONAL COMMERCIAL ZONES FOR

CONSISTENCY WITH THE CITYWIDE INCLUSIONARY HOUSING REGULATIONS (CLERK’S FILE NO. 303-1, 401-4, 401-9)
The item was continued date certain to September 23, 2024.

ITEM 7: RESOLUTION APPROVING TENTATIVE PARCEL MAP TPMC23-001 AND COASTAL DEVELOPMENT PERMIT CDP24-004
APPLICANT/OWNER: DEAL DEL MAR LLC
ASSESSOR PARCEL NUMBERS (APN): 300-181-07-00
LOCATION: 730-750 STRATFORD COURT (CLERK’S FILE NO. 301-2) 2 September 23, 2024 Item 02
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September 9, 2024

Mayor Druker opened the public comment. There were no public speakers for this item. Mayor Druker closed the public hearing. City Council adopted Resolution 2024-45 “A RESOLUTION OF THE CITY

COUNCIL OF THE CITY OF DEL MAR, APPROVING TENTATIVE PARCEL MAP (CONDOMINIUM) TPMC23-001 AND COASTAL DEVELOPMENT PERMIT CDP24-004 TO CONVERT AN EXISTING

RESIDENTIAL DUPLEX (AS TWO DETACHED UNITS) TO CONDOMINIUM OWNERSHIP, ON LAND LOCATED WITHIN THE HIGH DENSITY RESIDENTIAL (R2) ZONING AND COASTAL OVERLAY DISTRICTS AT 730 AND 750 STRATFORD COURT, DEL MAR, CALIFORNIA (APN: 300-181-07-00)”, on consent.

ITEM 8: INTRODUCTION OF ORDINANCE TO ESTABLISH SHORT TERM RENTAL REGULATIONS (CLERK’S FILE NO. 301-19, 401-4, 401-9)
A presentation was provided by Principal Planner Amanda Lee. Deputy City Attorney Wendy House and Planning and Community Development Director Karen Brindley were available to answer questions.

Mayor Druker opened the item to public comment and the following people spoke:
1) Laura DeMarco (time donations from Steve McDowell and Joe Andrew) 2) Don Instone
3) Nina Detrow
4) Kimberly Jackson
5) Dolores Davies Jamison
6) Gina Mattern
7) Brenda Sampiere
8) Shirli Weiss
9) Ken Assi
10) Lauren Ranes
11) Summer Rota
Mayor Druker closed the item to public comment.

Council questions and discussion focused on the proposed home inspection provisions of the ordinance; City’s complaint-based enforcement procedures; regulations in place in the interim of City Council adoption of the Ordinance and California Coastal Commission certification; short-term rental cap and potential related regulatory revisions being considered by the City Council; rational for not prohibiting short-term rentals in the R1 Zone; proposed 10% short-term rental cap on condominiums and ability to revisit in the future if desired; primary residence requirement for new short-term rentals; relationship between the cap and primary residence requirement; definition of monthly rental for purposes of exemption from the STR regulations; desire for Council to receive data on complaints as part of the City’s annual STR reporting; expectation that the City Council may need to review and adjust STR regulations in the future; and relationship between the primary residence requirement and the City’s 6 th Cycle
Housing Element.

IT WAS MOVED BY DEPUTY MAYOR GAASTERLAND AND SECONDED BY COUNCILMEMBER

MARTINEZ TO REPLACE THE INSPECTION PROVISIONS IN THE PROPOSED ORDINANCE WITH

A SELF-CERTIFICATION INSPECTION PROCESS AT THE TIME THE STR PERMIT IS ISSUED AND

AT RENEWALS AND FOR STAFF TO INCLUDE DATA ON COMPLAINTS WHEN REPORTING ANNUALLY ON STR REGULATIONS. (VOTE 5-0)
Ayes: Mayor Druker, Deputy Mayor Gaasterland, and Councilmembers Martinez, Quirk and Worden; Noes: 0; Recuse: 0; Absent: 0; Abstain: 0.
3 September 23, 2024 Item 02
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IT WAS MOVED BY DEPUTY MAYOR GAASTERLAND AND SECONDED BY COUNCILMEMBER WORDEN THAT THE 129 STR UNIT CAP BE AFFIRMED IN THE PROPOSED ORDINANCE. (VOTE 5-0)
Ayes: Mayor Druker, Deputy Mayor Gaasterland, and Councilmembers Martinez, Quirk and Worden; Noes: 0; Recuse: 0; Absent: 0; Abstain: 0.

Council consensus was to introduce the ordinance with the amendment to the definition of monthly rental read into the record by Principal Planner Amanda Lee.

IT WAS MOVED BY DEPUTY MAYOR GAASTERLAND TO REMOVE THE PRIMARY RESIDENT REQUIREMENT. DEPUTY MAYOR GAASTERLAND SUBSEQUENTLY WITHDREW HER MOTION.

IT WAS MOVED BY MAYOR DRUKER AND SECONDED BY COUNCILMEMBER WORDEN TO

ACCEPT THE CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA) ENVIRONMENTAL DETERMINATION. (VOTE 5-0)
Ayes: Mayor Druker, Deputy Mayor Gaasterland, and Councilmembers Martinez, Quirk and Worden; Noes: 0; Recuse: 0; Absent: 0; Abstain: 0.

IT WAS MOVED BY COUNCILMEMBER WORDEN AND SECONDED BY MAYOR DRUKER TO INTRODUCE THE ORDINANCE WITH THE FOLLOWING MODIFICATIONS:
1) RELATING TO THE CITYWIDE CAP, MODIFY PROPOSED SECTION 30.96.0050(B) TO READ AS FOLLOWS: B. THE MAXIMUM NUMBER OF STR PERMITS ISSUED BY THE CITY SHALL BE LIMITED TO 129 STRS, WHICH IS EQUIVALENT TO FIVE PERCENT (5%) OF THE TOTAL NUMBER OF DWELLING UNITS LOCATED IN THE CITY BASED ON THE 2020 UNITED STATES CENSUS DATA. ANY FUTURE INCREASE IN CAPACITY FOR NEW STRS SHALL

BE SUBJECT TO PROCESSING AN AMENDMENT BY ORDINANCE SUBJECT TO APPROVAL BY THE CITY COUNCIL AND THE CALIFORNIA COASTAL COMMISSION. 2) RELATING TO EXEMPTIONS, MODIFY PROPOSED SECTION 30.96.025(A)(2)(A) IN THE EXPLANATION OF “RENTAL FOR ONE MONTH” TO REPLACE THE TERM “SAME” WITH THE TERM “PRIOR”.
3) RELATING TO STR INSPECTION REQUIREMENT, DELETE PROPOSED SECTION

30.96.070(F)(3) IN THE OPERATING REQUIREMENTS AND MODIFY PROPOSED SECTION

30.96.040(E)(5) IN THE APPLICATION REQUIREMENTS TO READ AS FOLLOWS: E. STR RENTAL AGREEMENT AND SITE-SPECIFIC DETAILS 5. PRIOR TO THE ISSUANCE OR RENEWAL OF A STR PERMIT, OWNER SHALL COMPLETE AND SUBMIT, A SELFCERTIFICATION INSPECTION FORM ON A FORM PROVIDED BY THE CITY AND SIGNED

BY OWNER UNDER PENALTY OF PERJURY, ACKNOWLEDGING THAT THE STR AND

PROPERTY COMPLY WITH ALL APPLICABLE LAWS, RULES AND REGULATIONS OF THE STR RELATING TO LIFE SAFETY, INCLUDING THE PROVISIONS OF THIS CHAPTER. (VOTE 5-0)
Ayes: Mayor Druker, Deputy Mayor Gaasterland, and Councilmembers Martinez, Quirk and Worden; Noes: 0; Recuse: 0; Absent: 0; Abstain: 0.

COUNCIL MEETING RECESS:

The City Council took a meeting recess from approximately 7:54 p.m. to 8:08 p.m. 4 September 23, 2024 Item 02
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September 9, 2024

CITY COUNCIL OTHER BUSINESS
ITEM 9: JOINT RESOLUTION REGARDING THE LOSSAN RAIL REALIGNMENT PROJECT (CLERK’S FILE NO. 1005-2)
A presentation was provided by Mayor Druker and Councilmember Martinez. City Manager Jones provided comments on the drafting and legal review process for the joint resolution. Deputy City Attorney Ralph Hicks was available to answer questions and provided comments on the joint resolution related to the California Environmental Quality Act (CEQA).

Council questions focused on the conflict analysis provided by City Attorney Devaney related to the LOSSAN Rail Realignment Project; whether there was Council support for staff to follow up on request for Department of the Army Chief of the Railroads for National Defense Program Daniel Zedack to present at a future City Council meeting regarding military use of the rail corridor; and whether there was Council support for a future agenda item related to a proposed ballot measure to fund public transportation infrastructure projects known as Measure G.

Mayor Druker opened the item to public comment and the following people spoke:
1) Shirli Weiss (time donations from Mike Boyle and Jennifer Anderson) 2) Drew Cady
3) Mark Rittenbaum
4) Laura DeMarco
Mayor Druker closed the item to public comment.

Council discussion focused on public concerns about proposed language in Section 4 of the Joint Resolution; CEQA process related to the LOSSAN Rail Realignment Project and nexus to language included proposed Joint Resolution; time constraints and whether the other parties would be receptive to proposed changes to the resolution; whether anything in the resolution would compromise the City’s ability to challenge the project or force the issuance of City permits in the future; aspirational nature of the joint resolution; summary of the San Diego Association of Government (SANDAG) Values Analysis process that is currently underway; and City Council support for staff to request a presentation from SANDAG or their third-party consultant on the Values Analysis process at a future Council meeting.

IT WAS MOVED BY MAYOR DRUKER, SECONDED BY COUNCILMEMBER WORDEN TO ADOPT A

JOINT RESOLUTION WITH THE CITIES OF DEL MAR, SOLANA BEACH, AND SAN DIEGO AND THE 22ND DISTRICT AGRICULTURAL ASSOCIATION (22ND DAA) REGARDING THE SAN DIEGO ASSOCIATION OF GOVERNMENT’S (SANDAG) LOSSAN RAIL REALIGNMENT PROJECT. (VOTE 4-1, WITH COUNCILMEMBER QUIRK OPPOSED)
Ayes: Mayor Druker, Deputy Mayor Gaasterland, and Councilmembers Martinez and Worden; Noes:

Councilmember Quirk; Recuse: 0; Absent: 0; Abstain: 0.

ITEM 10: OPTIONS FOR FILLING UPCOMING CITY COUNCILMEMBER VACANCY (CLERK’S FILE NO. 401-1)
An introduction to the item was provided by City Manager Jones. A presentation was provided by Administrative Services Manager/City Clerk Sarah Krietor.

Council questions focused on the process and logistics of holding a special election or appointing someone to serve.
5 September 23, 2024 Item 02
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September 9, 2024

There were no public speakers for this agenda item.

Council discussion focused on cost of holding a special election; pros and cons of the Council appointing someone to serve the balance of Councilmember Worden’s term of office due to his resignation from service; importance of minimizing the period-of-time the position is vacant to ensure Council can effectively do business; history related to filling prior Council vacancies; adding a section to the application form indicating the applicant’s priorities while serving on the Council; and include an acknowledgement of minimum time commitment.

IT WAS MOVED BY DEPUTY MAYOR GAASTERLAND AND SECONDED BY COUNCILMEMBER MARTINEZ TO PROCEED WITH AN APPOINTMENT PROCESS, OPENING SEPTEMBER 10, 2024, CLOSING THE APPLICATION PERIOD ON SEPTEMBER 27, 2024, AND HOLDING INTERVIEWS ON OCTOBER 7, 2024 (VOTE 3-1-1, WITH COUNCILMEMBER QUIRK OPPOSED AND COUNCILMEMBER WORDEN ABSTAINING.)
Ayes: Mayor Druker, Deputy Mayor Gaasterland, and Councilmembers Martinez Noes:

Councilmember Quirk; Recuse: 0; Absent: 0; Abstain: Councilmember Worden.

City Council consensus was to direct the City Clerk to amend the application as discussed at the meeting.

REGIONAL ORGANIZATION AND COUNCIL COMMITTEES/SUBCOMMITTEES/COMMUNITY

ORGANIZATION REPORTS
City Council representatives reported on SANDAG Board of Directors; SANDAG Shoreline Preservation Working Group; and Clean Energy Alliance.

ADJOURNMENT
Mayor Druker adjourned the meeting at 9:48 p.m.
__
Sarah Krietor, Administrative Services Manager/
City Clerk
6 September 23, 2024 Item 02
1 September 23, 2024 Item 03
09/03/2024
Check List
City of Del Mar
1 11:57:09AM
apChkLst Final Page:

Bank : eusbnk EFT GENERAL ACCOUNT US BANK
Check # Date Vendor Invoice Inv Date Description Amount Paid Check Total 6205 9/3/2024 cor22 CORVEL CORPORATION 1649716 7/31/2024 WC SERVICES JUL 185.00 Voucher: 6205 1652202 7/31/2024 WC SERVICES JUL 185.00
1652203 7/31/2024 WC SERVICES JUL 37.00 407.00
6206 9/3/2024 del31 DELL MARKETING L.P. 10761001850 7/18/2024 COMPUTER HARDWARE 361.24 361.24 Voucher: 6206
6207 9/3/2024 san56 SAN ELIJO JOINT POWERS, AUTHORITY 05092024 5/9/2024 RECYCLED WATER RECON FY22&23 19,470.00 19,470.00 Voucher: 6207
6208 9/3/2024 swc01 SWCA ENVIRONMENTAL CONSULTANTS 200655 8/15/2024 ENVIRONMENTAL STUDY 3,655.00 3,655.00 Voucher: 6208
Sub total for EFT GENERAL ACCOUNT US BANK: 23,893.24
Page: 1
2 September 23, 2024 Item 03
09/03/2024
Check List
City of Del Mar
2 11:57:09AM
apChkLst Final Page:

Bank : gusbnk GENERAL ACCOUNT US BANK
Check # Date Vendor Invoice Inv Date Description Amount Paid Check Total 138684 9/3/2024 coa21 COAST NEWS GROUP 00153815 8/16/2024 AD - PUBLIC HEARING UG 337.50 Voucher: 138684 00153816 8/16/2024 AD - PUBLIC HEARING 240.00 00153880 8/16/2024 AD - PUBLIC HEARING 236.25
00153813 8/16/2024 AD - PUBLIC HEARING 150.00
00153812 8/16/2024 AD - PUBLIC HEARING 135.00
00153814 8/16/2024 AD - PUBLIC HEARING TITLE 7 112.50 1,211.25 138685 9/3/2024 gae03 GAETKE MEDICAL CORPORATION 506 6/22/2023 EMPLOYEE TESTING MAY 750.00 750.00 Voucher: 138685
138686 9/3/2024 lie01 LIEBERT, CASSIDY WHITMORE267318 4/30/2024 LEGAL FEES APR 1,778.50 1,778.50 Voucher: 138686
138687 9/3/2024 nov04 NOVAKOVIC, DANA 08152024 8/15/2024 APPLICATION REF DRB23-006 3,185.00 3,185.00 Voucher: 138687
138688 9/3/2024 qua04 QUALITY CHEVROLET 214114 8/8/2024 NEW UTILITY TRUCK 44,235.31 44,235.31 Voucher: 138688
138689 9/3/2024 ver03 VERIZON WIRELESS 872374736-00003 8/18/2024 TELEPHONE AUG 227.69 Voucher: 138689 872374736-00003 7/18/2024 TELEPHONE JUL 227.67 872374736-00004 8/18/2024 TELEPHONE AUG 226.49
542070053-00002 8/20/2024 TELEPHONE AUG 167.56 849.41
Sub total for GENERAL ACCOUNT US BANK: 52,009.47
Page: 2
3 September 23, 2024 Item 03
09/03/2024
Check List
City of Del Mar
3 11:57:09AM
apChkLst Final Page:
10 checks in this report. Grand Total All Checks: 75,902.71 Page: 3
4 September 23, 2024 Item 03
09/09/24 City of Del Mar
1 3:02PM
VoidCkEP Void Check Posting List Page:

Document #: 879707 Void Date: 08/30/2024 Posting #: 33862 Check #: 138657 Bank code: gusbnk Check Date: 08/30/24
Group: eescalante
Post into: 02/2025 Check amount: 215.00
Vendor: dai03 DAILY DIRECT MAIL
Doc Source Account Number Description Amount
disb B 51.2110.0000 A/P-GENERAL 107.50 CR
disb B 57.2110.0000 A/P GENERAL 107.50 CR
disb S* B 57.1100.0000 CASH AND INVESTMENTS 107.50 DB
disb S* B 51.1100.0000 CASH AND INVESTMENTS 107.50 DB
disb S* B 72.1160.0000 UNION BANK - GENER 215.00 DB
disb S* B 72.1100.0000 CASH AND INVESTMENTS 215.00 CR
Balance Sheet Totals: 430.00 DB 430.00 CR Difference: 0.00 S* = Automatic Summary Page: 1
5 September 23, 2024 Item 03
09/11/24 City of Del Mar
1 12:29PM
VoidCkEP Void Check Posting List Page:

Document #: 880127 Void Date: 09/03/2024 Posting #: 33888 Check #: 138687 Bank code: gusbnk Check Date: 09/03/24
Group: eescalante
Post into: 03/2025 Check amount: 3,185.00
Vendor: nov04 NOVAKOVIC, VLADIMIR
Doc Source Account Number Description Amount
disb B 01.2110.0000 A/P GENERAL 3,185.00 CR
disb S* B 01.1100.0000 CASH AND INVESTMENTS 3,185.00 DB disb S* B 72.1160.0000 UNION BANK - GENER 3,185.00 DB
disb S* B 72.1100.0000 CASH AND INVESTMENTS 3,185.00 CR Balance Sheet Totals: 6,370.00 DB 6,370.00 CR Difference: 0.00 S* = Automatic Summary Page: 1
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City of Del Mar
Agenda Report
________________________________________________________________________________________________________ City Council Action:

TO: Honorable Mayor and City Council Members
FROM: Joshua Gordon, Fire Chief
Via Ashley Jones, City Manager
DATE: September 23, 2024
SUBJECT: Acceptance of 2023 State Homeland Security Program Grant Funds REQUESTED ACTION/RECOMMENDATION:

Staff recommends the City Council: 1) Accept $6,352 in grant funds from the Fiscal Year 2023 State Homeland Security Program (SHSP) for the purchase of individual thermal imaging cameras and fire rescue equipment for the Del Mar Fire Department; and 2) Authorize the City Manager to execute the necessary grant documents.

BACKGROUND:

The City of Del Mar is eligible for $6,352 in Fiscal Year 2023 SHSP federal grant funds through the County of San Diego. Copies of the award letter (Attachment A) and approved grant allocation (Attachment B) are included with this report. SHSP grant funds can only be expended on equipment authorized by the Department of Homeland Security.

DISCUSSION/ANALYSIS:

Staff proposes that the SHSP grant funds be used toward the purchase of individual thermal imaging cameras and fire rescue equipment for the Del Mar Fire Department.

Thermal imaging cameras are one of the most important pieces of fire suppression equipment that a firefighter relies on in a hazardous environment and are a vital tool used to find unconscious victims or fallen firefighters in smoke filled rooms, pinpoint the source of fires, and detect structural dangers before they cause injury or death. They also allow responders to access important information and improve reconnaissance when responding to a variety of situations requiring night vision, forcible entry, and exposure to immediate dangerous environments.

The rescue chainsaw is one of the most used pieces of equipment in the fire service. The versatility in using wood or carbide chains allows the firefighter to cut through a variety of materials to gain access in forcible entry, cut debris blocking roadways, and cut through buildings roofing material to ventilate hazardous smoke and heat for safer interior working conditions. Rescue rope and pulley systems are key when conducting elevated rope lines, confined space entries, or cliff rescue operations. Flashlights also assist with rescue operations. They are equipped with both spot and flood LED for close-up, as well as 1 September 23, 2024 Item 05
City Council Staff Report
2023 State Homeland Security Program Grant Funds
September 23, 2024

distance illumination, giving a wide area light in the immediate work area and still penetrate darkness hundreds of yards away.

The grant funds are reimbursement-based, which requires the City to expend funds prior to requesting reimbursement from the County of San Diego. The deadline to expend funds and request reimbursement is May 31, 2025.

Grant recipients are required to adhere to the California Governor’s Office of Emergency Services Standard Assurances for Cal OES Federal Non-Disaster Grant Programs, which outline policies and regulations pertaining to use of federal grant funds (Attachment C).

FISCAL IMPACT:

The fiscal impact associated with the recommended action is receipt of $6,352 in SHSP grant funds, which will require the following budget adjustments to the Fiscal Year 2024- 2025 Operating and Capital Budget:

Account Name Account Number Amount
Federal Grant (Revenue) 24.4600.4622 $6,352
Small Tools & Equipment (Expenditure) 24.5781.2600 $6,352 Net Budget Impact $0
ENVIRONMENTAL IMPACT:

The proposed City Council action does not constitute a “project” under the definition set forth in California Environmental Quality Action (CEQA) Guidelines Section 15378 because it will not have a potential to result in a direct or indirect physical change in the environment and is, therefore, not subject to CEQA. No further action under CEQA is required.

ATTACHMENTS:

Attachment A – FY 2023 County OES Award Letter to Jurisdictions Attachment B – FY 2023 SHSP Approved Grant Allocation
Attachment C – California Governor’s Office of Emergency Services Standard Assurances for Cal OES Federal Non-Disaster Grant Programs
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4 September 23, 2024 Item 05

JURISDICTION
CITIES LE - 30% of FY22
Allocation Non-LE Allocation TOTAL
Sworn LE
Personnel
Figures
(2022)
LE - 30% of FY23
Allocation
Non-LE
Population
(2022)
Non-LE Allocation TOTAL % Change from
FY2022 to FY2023
CARLSBAD 21,061 56,787 77,848 132 20,988 115,585 44,776 65,764 -15.52% CHULA VISTA 43,877 128,053 171,930 280 44,520 276,785 100,248 144,768 -15.80% CORONADO 7,339 15,024 22,363 46 7,314 22,277 12,666 19,980 -10.66% DEL MAR - 6,909 6,909 - 3,929 6,352 6,352 -8.06%
EL CAJON 19,625 51,290 70,915 123 19,557 105,638 41,353 60,910 -14.11% ENCINITAS - 32,928 32,928 - 61,515 26,169 26,169 -20.53% ESCONDIDO 24,571 73,012 97,583 159 25,281 150,679 56,853 82,134 -15.83% ESCONDIDO RINCON DEL DIABLO - 6,289 6,289 - 4,626 4,626 -26.44% IMPERIAL BEACH - 17,453 17,453 - 26,243 14,031 14,031 -19.61% LA MESA 11,169 31,713 42,882 70 11,130 60,472 25,810 36,940 -13.86% LEMON GROVE - 16,812 16,812 - 27,242 14,375 14,375 -14.50% NATIONAL CITY 13,721 33,134 46,855 88 13,992 61,471 26,154 40,146 -14.32% NATIONAL CITY - LINCOLN ACRES - 723 723 - 534 534 -26.14% OCEANSIDE 36,059 84,250 120,309 225 35,775 173,048 64,550 100,325 -16.61% POWAY - 26,941 26,941 - 48,759 21,779 21,779 -19.16%
SAN DIEGO 324,847 - 324,847 2,036 323,721 - - 323,721 -0.35% SAN MARCOS - 48,178 48,178 - 93,585 37,205 37,205 -22.78% SAN MARCOS FPD - 6,566 6,566 - 4,946 4,946 -24.67%
SANTEE - 30,467 30,467 - 59,015 25,309 25,309 -16.93%
SOLANA BEACH - 11,200 11,200 - 12,812 9,409 9,409 -15.99% VISTA - 51,302 51,302 - 100,291 39,513 39,513 -22.98%
VISTA FPD - 9,179 9,179 - 7,033 7,033 -23.38%
TOTAL CITIES 502,269 738,210 1,240,479 3,159 502,278 1,399,346 583,691 1,085,969 -12.46%

FIRE DISTRICTS/OTHER
ALPINE FPD - 12,274 12,274 - 15,550 10,351 10,351 -15.67% DEER SPRINGS FPD - 10,489 10,489 - 12,216 9,204 9,204 -12.25% LAKESIDE FPD - 33,621 33,621 - 63,251 26,766 26,766 -20.39% NORTH COUNTY FPD - 28,485 28,485 - 50,489 22,375 22,375 -21.45% PORT OF SAN DIEGO 22,337 - 22,337 140 22,260 - 22,260 -0.34% RANCHO SANTA FE FPD - 20,338 20,338 - 35,103 17,080 17,080 -16.02% SAN MIGUEL FPD - 61,544 61,544 - 123,095 47,360 47,360 -23.05% VALLEY CENTER FPD - 12,338 12,338 - 15,904 10,473 10,473 -15.12% TOTAL FIRE DISTRICTS/OTHER 22,337 179,090 201,427 140 22,260 315,608 143,609 165,869.00 -17.65% 2-1-1 SAN DIEGO CONTRACT 70,000 70,000 100,000 100,000 42.86% AlertSanDiego - 350,000 350,000 100.00%

COUNTY DEPTS
UDC SHARE 0 102,357 102,357 - - 102,357 102,357 0.00%
M&A (5%) 0 160,535 160,535 - - 160,535 160,535 0.00%
HHSA-EMS 0 80,000 80,000 - 80,000 80,000 0.00%
OES - 917,301 917,301 - - 727,301 727,301 -20.71%
SHERIFF 438,607 - 438,607 2,759 438,676 - - 438,676 0.02% TOTAL COUNTY DEPTS 438,607 1,260,193 1,698,800 2,759 438,676 - 1,070,193 1,508,869 -11.18% TOTAL ALLOCATIONS 963,213 2,247,493 3,210,706 6,058 963,213 1,714,954 2,247,493 3,210,706 0.00% Notes:
*Personnel Cap: Each jurisdiction's allocation has a personnel cap of 50%. *San Diego Sheriff includes: Unincorporated San Diego County and the contracted cities of Del Mar, Encinitas, Imperial Beach, Lemon Grove, Poway, San Marcos, Santee, Solana Beach and Vista.

FY 2023 STATE HOMELAND SECURITY PROGRAM (SHSP) APPROVED UDC GRANT ALLOCATION FY2022 Approved Formula with Award FY2023 - APPROVED
5 September 23, 2024 Item 05
Standard Assurances
For Cal OES Federal Non-Disaster Grant Programs

As the duly authorized representative of the Applicant, I hereby certify that the Applicant has the legal authority to apply for federal assistance and the institutional, managerial, and financial capability (including funds sufficient to pay any non-federal share of project cost) to ensure proper planning, management, and completion of the project described in this application, within prescribed timelines.

The requirements outlined in these assurances apply to Applicant and any of its subrecipients.

I further acknowledge that the Applicant is responsible for reviewing and adhering to all requirements within the:
(a) Applicable Federal Regulations (see below);
(b) Federal Program Notice of Funding Opportunity (NOFO); (c) Federal Preparedness Grants Manual;
(d) California Supplement to the NOFO; and
(e) Federal and State Grant Program Guidelines.

Federal Regulations
Government cost principles, uniform administrative requirements, and audit requirements for federal grant programs are set forth in Title 2, Part 200 of the Code of Federal Regulations (C.F.R.). Updates are issued by the Office of Management and Budget (OMB) and can be found at http://www.whitehouse.gov/omb/.

In the event Cal OES determines that changes are necessary to the subaward after a subaward has been made, including changes to period of performance or terms and conditions, Applicants will be notified of the changes in writing. Once notification has been made, any subsequent request for funds will indicate Applicant acceptance of the changes to the subaward.

State and federal grant award requirements are set forth below. The Applicant hereby agrees to comply with the following:

1. Proof of Authority
The Applicant will obtain proof of authority from the city council, governing board, or authorized body in support of this project. This written authorization must specify that the Applicant and the city council, governing board, or authorized body agree:
6 September 23, 2024 Item 05
Standard Assurances
For Cal OES Federal Non-Disaster Grant Programs

(a) To provide all matching funds required for the grant project and that any cash match will be appropriated as required;
(b) Any liability arising out of the performance of this agreement shall be the responsibility of the Applicant and the city council, governing board, or authorized body;
(c) Grant funds shall not be used to supplant expenditures controlled by the city council, governing board, or authorized body;
(d) The Applicant is authorized by the city council, governing board, or authorized body to apply for federal assistance, and the institutional, managerial and financial capability (including funds sufficient to pay the non-federal share of project cost, if any) to ensure proper planning, management and completion of the project described in this application; and
(e) The official executing this agreement is authorized by the Applicant.

This Proof of Authority must be maintained on file and readily available upon request.

2. Period of Performance
The period of performance is specified in the Award. The Applicant is only authorized to perform allowable activities approved under the award, within the period of performance.

3. Lobbying and Political Activities
As required by Section 1352, Title 31 of the United States Code (U.S.C.), for persons entering into a contract, grant, loan, or cooperative agreement from an agency or requests or receives from an agency a commitment providing for the United States to insure or guarantee a loan, the Applicant certifies that:
(a) No federal appropriated funds have been paid or will be paid, by or on behalf of the undersigned, to any person for influencing or attempting to influence an officer or employee of an agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with the awarding of any Federal contract, the making of any federal grant, the making of any federal loan, the entering into of any cooperative agreement, and the extension, continuation, renewal, amendment, or modification of any federal contract, grant, loan, or cooperative agreement.
7 September 23, 2024 Item 05
Standard Assurances
For Cal OES Federal Non-Disaster Grant Programs

(b) If any funds other than federal appropriated funds have been paid or will be paid to any person for influencing or attempting to influence an officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with this federal contract, grant, loan, or cooperative agreement, the undersigned shall complete and submit Standard Form-LLL, “Disclosure Form to Report Lobbying,” in accordance with its instructions.
(c) The Applicant shall require that the language of this certification be included in the award documents for all subawards at all tiers (including subcontracts, subgrants, and contracts under grants, loans, and cooperative agreements) and that all subrecipients shall certify and discloseaccordingly.

The Applicant will also comply with provisions of the Hatch Act (5 U.S.C. §§ 1501-1508 and §§ 7324-7328) which limit the political activities of employees whose principle employment activities are funded in whole or in part with federal funds.

Finally, the Applicant agrees that federal funds will not be used, directly or indirectly, to support the enactment, repeal, modification or adoption of any law, regulation or policy without the express written approval from the California Governor’s Office of Emergency Services (Cal OES) or the federal awarding agency.

4. Debarment and Suspension
As required by Executive Orders 12549 and 12689, and 2 C.F.R. § 200.214 and codified in 2 C.F.R. Part 180, Debarment and Suspension, the Applicant will provide protection against waste, fraud, and abuse by debarring or suspending those persons deemed irresponsible in their dealings with the federal government. The Applicant certifies that it and its subrecipients:
(a) Are not presently debarred, suspended, proposed for debarment, declared ineligible, or voluntarily excluded from covered transactions by any federal department or agency;
(b) Have not within a three-year period preceding this application been convicted of or had a civil judgment rendered against them for commission of fraud or a criminal offense in connection with obtaining, attempting to obtain, or performing a public (federal, state, or local) transaction or contract under a public transaction; violation of federal or state antitrust statutes or commission of embezzlement, theft, forgery, bribery, falsification or destruction of records, making false statements, or receiving stolen property;
8 September 23, 2024 Item 05
Standard Assurances
For Cal OES Federal Non-Disaster Grant Programs

(c) Are not presently indicted for or otherwise criminally or civilly charged by a governmental entity (federal, state, or local) with commission of any of the offenses enumerated in paragraph (4)(b) of this certification; and (d) Have not within a three-year period preceding this application had one or more public transaction (federal, state, or local) terminated for cause or default.

Where the Applicant is unable to certify to any of the statements in this certification, he or she shall attach an explanation to this application.

5. Non-Discrimination and Equal Employment Opportunity
The Applicant will comply with all state and federal statutes relating to nondiscrimination, including:
(a) Title VI of the Civil Rights Act of 1964 (Public Law (P.L.) 88-352 and 42 U.S.C. § 2000d et. seq.) which prohibits discrimination on the basis of race, color, or national origin and requires that recipients of federal financial assistance take reasonable steps to provide meaningful access to persons with limited English proficiency (LEP) to their programs and services;
(b) Title IX of the Education Amendments of 1972, (20 U.S.C. §§ 1681-1683, and 1685-1686), which prohibits discrimination on the basis of sex in any federally funded educational program or activity;
(c) Section 504 of the Rehabilitation Act of 1973, (29 U.S.C. § 794), which prohibits discrimination against those with disabilities or access and functional needs; (d) Americans with Disabilities Act (ADA) of 1990 (42 U.S.C. § 12101 et seq.), which prohibits discrimination on the basis of disability and requires buildings and structures be accessible to those with disabilities and access and functional needs;
(e) Age Discrimination Act of 1975, (42 U.S.C. §§ 6101-6107), whichprohibits discrimination on the basis of age;
(f) Public Health Service Act of 1912 (42 U.S.C. §§ 290 dd—2), relating to confidentiality of patient records regarding substance abuse treatment; (g) Title VIII of the Civil Rights Act of 1968 (42 U.S.C. § 3601 et seq.), relating to nondiscrimination in the sale, rental or financing of housing as implemented by the Department of Housing and Urban Development at 24 C.F.R. Part 100. The prohibition on disability discrimination includes the requirement that new multifamily housing with four or more dwelling units—i.e., the public and common use areas and individual apartment units (all units in buildings with elevators and ground-floor units in buildings without elevators)— 9 September 23, 2024 Item 05
Standard Assurances
For Cal OES Federal Non-Disaster Grant Programs

be designed and constructed with certain accessible features (See 24 C.F.R. § 100.201);
(h) Executive Order 11246, which prohibits federal contractors and federally assisted construction contractors and subcontractors, who do over $10,000 in Government business in one year from discriminating in employmentdecisions on the basis of race, color, religion, sex, sexual orientation, gender identification or national origin;
(i) Executive Order 11375, which bans discrimination on the basis of race, color, religion, sex, sexual orientation, gender identification, or national origin in hiring and employment in both the United States federal workforce and on the part of government contractors;
(j) California Public Contract Code § 10295.3, which prohibits discrimination based on domestic partnerships and those in same sex marriages; (k) Department of Homeland Security (DHS) policy to ensure the equal treatment of faith-based organizations, under which the Applicant must comply with equal treatment policies and requirements contained in 6 C.F.R.

Part 19;
(l) The Applicant will comply with California’s Fair Employment and Housing Act (FEHA) (California Government Code §§12940-12957), as applicable. FEHA prohibits harassment and discrimination in employment because of ancestry, familial status, race, color, religious creed (including religious dress and grooming practices), sex (which includes pregnancy, childbirth, breastfeeding and medical conditions related to pregnancy, childbirth or breastfeeding), gender, gender identity, gender expression, sexual orientation, marital status, national origin, ancestry, mental and physical disability, genetic information, medical condition, age, pregnancy, denial of medical and family care leave, or pregnancy disability leave, military and veteran status, and/or retaliation for protesting illegal discrimination related to one of these categories, or for reporting patient abuse in tax supported institutions;
(m)Any other nondiscrimination provisions in the specific statute(s) under which application for federal assistance is being made; and
(n) The requirements of any other nondiscrimination statute(s) that may apply to this application.

6. Drug-Free Workplace
As required by the Drug-Free Workplace Act of 1988 (41 U.S.C. § 701 et seq.), the Applicant certifies that it will maintain a drug-free workplace and a drug-free awareness program as outlined in the Act.
10 September 23, 2024 Item 05
Standard Assurances
For Cal OES Federal Non-Disaster Grant Programs

7. Environmental Standards
The Applicant will comply with state and federal environmental standards, including:
(a) California Environmental Quality Act (CEQA) (California Public Resources Code §§ 21000-21177), to include coordination with the city or county planning agency;
(b) CEQA Guidelines (California Code of Regulations, Title 14, Division 6, Chapter 3, §§ 15000-15387);
(c) Federal Clean Water Act (CWA) (33 U.S.C. § 1251 et seq.), which establishes the basic structure for regulating discharges of pollutants into the waters of the United States and regulating quality standards for surface waters; (d) Federal Clean Air Act of 1955 (42 U.S.C. § 7401) which regulates air emissions from stationary and mobile sources;
(e) Institution of environmental quality control measures under the National Environmental Policy Act (NEPA) of 1969 (P.L. 91-190); the Council on Environmental Quality Regulations for Implementing the Procedural Provisions of NEPA; and Executive Order 12898 which focuses on the environmentaland human health effects of federal actions on minority and low-income populations with the goal of achieving environmental protection for all communities;
(f) Evaluation of flood hazards in floodplains in accordance with Executive Order 11988;
(g) Executive Order 11514 which sets forth national environmental standards; (h) Executive Order 11738 instituted to assure that each federal agency empowered to enter into contracts for the procurement of goods, materials, or services and each federal agency empowered to extend federal assistance by way of grant, loan, or contract shall undertake such procurement and assistance activities in a manner that will result in effective enforcement of the Clean Air Act and the Federal Water Pollution Control Act Executive Order 11990 which requires preservation of wetlands;
(i) The Safe Drinking Water Act of 1974, (P.L. 93-523); (j) The Endangered Species Act of 1973, (P.L. 93-205);
(k) Assurance of project consistency with the approved state management program developed under the Coastal Zone Management Act of 1972 (16 U.S.C. §§1451 et seq.);
(l) Conformity of Federal Actions to State (Clear Air) Implementation Plans under Section 176(c) of the Clean Air Act of 1955, as amended (42 U.S.C. §§7401 et seq.); and
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Standard Assurances
For Cal OES Federal Non-Disaster Grant Programs

(m)Wild and Scenic Rivers Act of 1968 (16 U.S.C. § 1271 et seq.) related to protecting components or potential components of the national wildand scenic rivers system.

The Applicant shall not be: (1) in violation of any order or resolution promulgated by the State Air Resources Board or an air pollution district; (2) subject to a cease-anddesist order pursuant to section 13301 of the California Water Code for violation of waste discharge requirements or discharge prohibitions; or (3) determined to be in violation of federal law relating to air or water pollution.

8. Audits
For subrecipients expending $750,000 or more in federal grant funds annually, the Applicant will perform the required financial and compliance audits in accordance with the Single Audit Act Amendments of 1996 and 2 C.F.R., Part 200, Subpart F Audit Requirements.

9. Cooperation and Access to Records
The Applicant must cooperate with any compliance reviews or investigations conducted by DHS. In accordance with 2 C.F.R. § 200.337, the Applicant will give the awarding agency, the Comptroller General of the United States and, if appropriate, the state, through any authorized representative, access to and the right to examine all records, books, papers, or documents related to the award. The Applicant will require any subrecipients, contractors, successors, transferees and assignees to acknowledge and agree to comply with this provision.

10. Conflict of Interest
The Applicant will establish safeguards to prohibit the Applicant’s employees from using their positions for a purpose that constitutes or presents the appearance of personal or organizational conflict of interest, or personal gain.

11. Financial Management
False Claims for Payment - The Applicant will comply with 31 U.S.C §§ 3729-3733 which provides that Applicant shall not submit a false claim for payment, reimbursement, or advance.

12. Reporting - Accountability
The Applicant agrees to comply with applicable provisions of the Federal Funding Accountability and Transparency Act (FFATA) (P.L. 109-282), including but not limited to (a) the reporting of subawards obligating $30,000 or more in federal funds, 12 September 23, 2024 Item 05
Standard Assurances
For Cal OES Federal Non-Disaster Grant Programs

and (b) executive compensation data for first-tier subawards as set forth in 2 C.F.R.

Part 170, Appendix A. The Applicant also agrees to comply with the requirements set forth in the government-wide financial assistance award term regarding the System for Award Management and Universal Identifier Requirements located at 2 C.F.R.

Part 25, Appendix A.

13. Whistleblower Protections
The Applicant must comply with statutory requirements for whistleblower protections at 10 U.S.C. § 2409, 41 U.S.C. § 4712, and 10 U.S.C. § 2324, 41 U.S.C. § 4304 and § 4310.

14. Human Trafficking
The Applicant will comply with the requirements of Section 106(g) of the Trafficking Victims Protection Act of 2000, as amended (22 U.S.C. § 7104) which prohibits the Applicant or its subrecipients from: (1) engaging in trafficking in persons during the period of time that the award is in effect; (2) procuring a commercial sex act during the period of time that the award is in effect; or (3) using forced labor in the performance of the award or subawards under the award.

15. Labor Standards
The Applicant will comply with the following federal labor standards:
(a) The Davis-Bacon Act (40 U.S.C. §§ 276a to 276a-7), as applicable, and the Copeland Act (40 U.S.C. § 3145 and 18 U.S.C. § 874) and the Contract Work Hours and Safety Standards Act (40 U.S.C. §§ 327-333), regarding labor standards for federally-assisted construction contracts or subcontracts, and (b) The Federal Fair Labor Standards Act (29 U.S.C. § 201 et seq.) as they apply to employees of institutes of higher learning (IHE), hospitals and other nonprofit organizations.

16. Worker’s Compensation
The Applicant must comply with provisions which require every employer to be insured to protect workers who may be injured on the job at all times during the performance of the work of this Agreement, as per the workers compensation laws set forth in California Labor Code §§ 3700 et seq.
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17. Property-Related
If applicable to the type of project funded by this federal award, the Applicant will:
(a) Comply with the requirements of Titles II and III of the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970 (P.L. 91-646) which provide for fair and equitable treatment of persons displaced or whose property is acquired as a result of federal or federally-assisted programs. These requirements apply to all interests in real property acquired for project purposes regardless of federal participation in purchase;
(b) Comply with flood insurance purchase requirements of Section 102(a) of the Flood Disaster Protection Act of 1973 (P.L. 93-234) which requires federal award subrecipients in a special flood hazard area to participate in the program and to purchase flood insurance if the total cost of insurable construction and acquisition is $10,000 or more;
(c) Assist the awarding agency in assuring compliance with Section 106 of the National Historic Preservation Act of 1966, as amended (16 U.S.C. § 470), Executive Order 11593 (identification and protection of historic properties), and the Archaeological and Historic Preservation Act of 1974 (16U.S.C. § 469a-1 et seq.); and
(d) Comply with the Lead-Based Paint Poisoning Prevention Act (42 U.S.C. § 4831 and 24 CFR Part 35) which prohibits the use of lead-based paint in construction or rehabilitation of residence structures.

18. Certifications Applicable Only to Federally-Funded Construction Projects For all construction projects, the Applicant will:
(a) Not dispose of, modify the use of, or change the terms of the real property title or other interest in the site and facilities without permission and instructions from the awarding agency. Will record the federal awarding agency directives and will include a covenant in the title of real property acquired in whole or in part with federal assistance funds to assure nondiscrimination during the useful life of the project;
(b) Comply with the requirements of the awarding agency with regard to the drafting, review and approval of construction plans and specifications;and (c) Provide and maintain competent and adequate engineering supervision at the construction site to ensure that the complete work conforms with the approved plans and specifications and will furnish progressive reports and such other information as may be required by the assistance awarding agency or State.
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19. Use of Cellular Device While Driving is Prohibited
The Applicant is required to comply with California Vehicle Code sections 23123 and 23123.5. These laws prohibit driving motor vehicle while using an electronic wireless communications device to write, send, or read a text-based communication. Drivers are also prohibited from the use of a wireless telephone without hands-free listening and talking, unless to make an emergency call to 911, law enforcement, or similar services.

20. California Public Records Act and Freedom of Information Act The Applicant acknowledges that all information submitted in the course of applying for funding under this program, or provided in the course of an entity’s grant management activities that are under federal control, is subject to the Freedom of Information Act (FOIA), 5 U.S.C. § 552, and the California Public Records Act, California Government Code §7920.000 et seq. The Applicant should consider these laws and consult its own State and local laws and regulations regarding the release of information when reporting sensitive matters in the grant application, needs assessment, and strategic planning process.

EMERGENCY MANAGEMENT PERFORMANCE GRANT PROGRAM (EMPG) –

PROGRAM SPECIFIC ASSURANCES / CERTIFICATIONS

21. Acknowledgment of Federal Funding from DHS
The Applicant must acknowledge its use of federal funding when issuing statements, press releases, requests for proposals, bid invitations, and other documents describing projects or programs funded in whole or in part with federal funds.

22. Activities Conducted Abroad
The Applicant must ensure that project activities carried on outside the United States are coordinated as necessary with appropriate government authorities and that appropriate licenses, permits, or approvals are obtained.

23. Best Practices for Collection and Use of Personally Identifiable Information (PII) DHS defines personally identifiable information (PII) as any information that permits the identity of an individual to be directly or indirectly inferred, including any information that is linked or linkable to that individual. If the Applicant collectsPII, the Applicant is required to have a publicly-available privacy policy that describes standards on the usage and maintenance of PII they collect. The Applicant may refer to the DHS Privacy Impact Assessments: Privacy Guidance and Privacy template as a useful resource.
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24. Copyright
The Applicant must affix the applicable copyright notices of 17 U.S.C. §§ 401 or 402 and an acknowledgement of United States Government sponsorship (including the award number) to any work first produced under federal financial assistance awards.

25. Duplication of Benefits
Any cost allocable to a particular federal financial assistance award provided for in 2 C.F.R. Part 200, Subpart E may not be charged to other federal financial assistance awards to overcome fund deficiencies, to avoid restrictions imposed by federal statutes, regulations, or federal financial assistance award terms and conditions, or for other reasons. However, these prohibitions would not preclude the Applicant from shifting costs that are allowable under two or more awards in accordance with existing federal statutes, regulations, or the federal financial assistance award terms and conditions.

26. Energy Policy and Conservation Act
The Applicant must comply with the requirements of 42 U.S.C. § 6201 which contain policies relating to energy efficiency that are defined in the state energy conservation plan issued in compliance with this Act.

27. Federal Debt Status
The Applicant is required to be non-delinquent in its repayment of any federal debt.

Examples of relevant debt include delinquent payroll and other taxes, audit disallowances, and benefit overpayments. See OMB Circular A-129.

28. Fly America Act of 1974
The Applicant must comply with Preference for United States Flag Air Carriers: (air carriers holding certificates under 49 U.S.C. § 41102) for international air transportation of people and property to the extent that such service is available, in accordance with the International Air Transportation Fair Competitive Practices Act of 1974 (49 U.S.C. § 40118) and the interpretative guidelines issued by the Comptroller General of the United States in the March 31, 1981, amendment to Comptroller General Decision B-138942.

29. Hotel and Motel Fire Safety Act of 1990
In accordance with Section 6 of the Hotel and Motel Fire Safety Act of 1990, the Applicant must ensure that all conference, meeting, convention, or training space funded in whole or in part with federal funds complies with the fire prevention and control guidelines of the Federal Fire Prevention and Control Act of 1974, as amended, 15 U.S.C. § 2225a.
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30. Non-supplanting Requirement
If the Applicant receives federal financial assistance awards made under programs that prohibit supplanting by law, the Applicant must ensure that federal funds do not replace (supplant) funds that have been budgeted for the same purpose through non- federal sources.

31. Patents and Intellectual Property Rights
Unless otherwise provided by law, the Applicant is subject to the Bayh-Dole Act, Pub.

L. No. 96-517, as amended, and codified in 35 U.S.C. § 200 et seq. The Applicant is subject to the specific requirements governing the development, reporting, and disposition of rights to inventions and patents resulting from financial assistance awards located at 37 C.F.R. Part 401 and the standard patent rights clause located at 37 C.F.R. § 401.14.

32. SAFECOM
If the Applicant receives federal financial assistance awards made under programs that provide emergency communication equipment and its related activities, the Applicant must comply with the SAFECOM Guidance for Emergency Communication Grants, including provisions on technical standards that ensure and enhance interoperable communications.

33. Terrorist Financing
The Applicant must comply with Executive Order 13224 and United States law that prohibit transactions with, and the provisions of resources and support to, individuals and organizations associated with terrorism. The Applicant is legally responsible for ensuring compliance with the Order and laws.

34. Reporting of Matters Related to Recipient Integrity andPerformance If the total value of the Applicant’s currently active grants, cooperative agreements, and procurement contracts from all federal assistance offices exceeds $10,000,000 for any period of time during the period of performance of this federal financial assistance award, the Applicant must comply with the requirements set forth in the government-wide Award Term and Condition for Recipient Integrity and Performance Matters located at 2 C.F.R. Part 200, Appendix XII, the full text of which is incorporated here by reference in the award terms and conditions. 17 September 23, 2024 Item 05
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35. USA Patriot Act of 2001
The Applicant must comply with requirements of the Uniting and Strengthening America by Providing Appropriate Tools Required to Intercept and Obstruct Terrorism Act (USA PATRIOT Act), which amends 18 U.S.C. §§ 175-175c.

36. Use of DHS Seal, Logo, and Flags
The Applicant must obtain permission from their DHS Financial Assistance Office, prior to using the DHS seal(s), logos, crests or reproductions of flags or likenesses of DHS agency officials, including use of the United States Coast Guard seal, logo, crests or reproductions of flags or likenesses of Coast Guard officials.

37. Applicability of DHS Standard Terms and Conditions to Tribes The DHS Standard Terms and Conditions are a restatement of general requirements imposed upon the Applicant and flow down to any of its subrecipients as a matter of law, regulation, or executive order. If the requirement does not apply to Indian tribes or there is a federal law or regulation exempting its application to Indian tribes, then the acceptance by Tribes of, or acquiescence to, DHS Standard Terms and Conditions does not change or alter its inapplicability to an Indian tribe. The execution of grant documents is not intended to change, alter, amend, or impose additional liability or responsibility upon the Tribe where it does not already exist.

38. Required Use of American Iron, Steel, Manufactured Products, and Construction Materials
The Applicant must comply with the “Build America, Buy America” Act (BABAA), enacted as part of the Infrastructure Investment and Jobs Act and Executive Order 14005. Applicants receiving a federal award subject to BABAA requirements may not use federal financial assistance funds for infrastructure projects unless:
(a) All iron and steel used in the project are produced in the United States – this means all manufacturing processes, from the initial melting stage through the application of coatings, occurred in the United States; (b) All manufactured products used in the project are produced in the United States – this means the manufactured product was manufactured in the United States; and the cost of the components of the manufactured product that are mined, produced, or manufactured in the United States is greater than 55 percent of the total cost of all components of the manufactured product, unless another standard for determining the minimum amount of domestic content of the manufactured product has been established under applicable law or regulation; and
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(c) All construction materials are manufactured in the United States – this means that all manufacturing processes for the construction material occurred in the United States.

The “Buy America” preference only applies to articles, materials, and supplies that are consumed in, incorporated into, or affixed to an infrastructure project. It does not apply to tools, equipment, and supplies, such as temporary scaffolding, brought to the construction site and removed at or before the completion of the infrastructure project. Nor does a “Buy America” preference apply to equipment and furnishings, such as movable chairs, desks, and portable computer equipment, that are used at or within the finished infrastructure project but are not an integral part of the structure or permanently affixed to the infrastructure project.

Per section 70914(c) of BABAA, FEMA may waive the application of a “Buy America” preference under an infrastructure program in certain cases.

39. Advancing Effective, Accountable Policing and Criminal Justice Practice to Enhance Public Trust and Public Safety
The Applicant must comply with the requirements of section 12(c) of Executive Order 14074. The Applicant is also encouraged to adopt and enforce policies consistent with Executive Order 14074 to support safe and effective policing. 19 September 23, 2024 Item 05
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IMPORTANT
The purpose of these assurances is to obtain federal and state financial assistance, including any and all federal and state grants, loans, reimbursement, contracts, etc.

Applicant recognizes and agrees that state financial assistance will be extended based on the representations made in these assurances. These assurances are binding on Applicant, its successors, transferees, assignees, etc. as well as any of its subrecipients.

Failure to comply with any of the above assurances may result in suspension, termination, or reduction of grant funds.

All appropriate documentation, as outlined above, must be maintained on file by the Applicant and available for Cal OES or public scrutiny upon request. Failure to comply with these requirements may result in suspension of payments under the grant or termination of the grant or both and the Applicant may be ineligible for award of any future grants if Cal OES determines that the Applicant: (1) has made false certification, or (2) violates the certification by failing to carry out the requirements as noted above.

All of the language contained within this document must be included in the award documents for all subawards at all tiers. Applicants are bound by DHS Security Standard Terms and Conditions 2023, Version 2, hereby incorporated by reference, which can be found at: https://www.dhs.gov/publication/fy15-dhs- standard-terms-and-conditions.

The undersigned represents that he/she is authorized to enter into this agreement for and on behalf of the Applicant.

Applicant:

Signature of Authorized Agent:

Printed Name of Authorized Agent:

Title: Date:

City of Del Mar
Ashley Jones
City Manager
20 September 23, 2024 Item 05
City of Del Mar
Agenda Report
________________________________________________________________________________________________________ City Council Action:

TO: Honorable Mayor and City Councilmembers
FROM: Amanda Lee, Principal Planner
Karen Brindley, Planning and Community Development Director Wendy House, Assistant City Attorney
Via Ashley Jones, City Manager
DATE: September 23, 2024
SUBJECT: Adoption of an Ordinance to Establish Short-Term Rental Regulations REQUESTED ACTION/RECOMMENDATION:

Staff recommends that the City Council adopt the Short-Term Rental (STR) Regulations Ordinance (Attachment A) to amend the Title 30 (Zoning) in the Del Mar Municipal Code (DMMC) and the certified Local Coastal Program (LCP) by Zone Code Amendment (ZA24-004) and LCP Amendment (LCPA24-003) to establish STR regulations in a new DMMC Chapter 30.96.

DISCUSSION/ANALYSIS:

On September 9, 2024, the City Council took action to confirm the environmental determination and introduce the STR Regulations Ordinance/LCPA. The Ordinance accommodates “Existing STRs”, which are defined in the Ordinance as STRs operating in the City prior to adoption of the City’s STR Ordinance where the owner timely registered the STR with the City as of the date stated in the Ordinance, which is December 31, 2024. The Ordinance allows owners to keep their “Existing STR” operations and transfer the property title and STR Permit to their families for continued operations over time. New STRs will be limited to operations within a primary residence. All STRs will be required to comply with the STR permit, operation, and enforcement requirements.

As introduced, the Ordinance includes modifications relating to the topics of the citywide cap; the meaning of rentals for one month, which are exempt from the STR and Transient Occupancy Tax (TOT) regulations; and STR operator self-certification of compliance with life safety requirements, as further explained below and in Attachment B.

Citywide Cap
The City Council modified the “Permit Issuance” section (Section 30.96.050) in the Ordinance to set a hard cap at 129 STRs, which is equivalent to five percent (5%) of the total number of dwelling units located in the City based on the 2020 United States Census. The citywide cap includes the total number of Existing STRs and any new STRs where there is capacity under the citywide cap.

Qualifying Existing STRs will be accommodated above the citywide cap. The code language as modified at the Ordinance introduction hearing expressly states that any future increase in capacity for new STRs (beyond the Ordinance cap of 129 STRs) shall be subject to processing an amendment by Ordinance subject to approval by the City Council and the California Coastal Commission (CCC).
1 September 23, 2024 Item 06
City Council Agenda Report
Adoption of STR Regulations
September 23, 2024

Exemption of Rentals for One Month
The City Council modified the “Exemptions” section (Section 30.96.025) in the Ordinance to clarify the meaning of “rentals for a month” that are exempt from the Ordinance. As amended, the Ordinance states that the rental period for a month includes a rental period that starts at the beginning of a calendar month and goes through the end of the same calendar month, or a rental period that starts on a certain day within the calendar month and goes through the prior day of the subsequent calendar month.

Self-Certification of Compliance with Life Safety Requirements The City Council deleted the proposed Section 30.96.070(F)(3) from the “Operating Requirements” section and modified the proposed Section 30.96.040(E)(5) “Application Requirements” in the Ordinance to clarify safety requirements relating to conducting an inspection of the STR and property. Specifically, the Ordinance requires that owners provide a selfcertification inspection form with each STR permit or renewal application to self-certify compliance with life safety requirements.

The proposed Ordinance is consistent with the City Council’s Guiding Principles and Objectives established in 2023, the City’s certified Housing Element and certified Local Coastal Program, and prior City Council discussion and direction.

The Ordinance will implement the City’s Housing Element Program 5C commitment to preserve the community’s existing housing stock and reduce the vacancy rate in the City. It will also implement the City’s certified LCP. Measures in the Ordinance that balance the need to supplement local visitor accommodations through accommodation of regulated short-term rental use without sacrificing the City’s need to maintain its long-term housing stock include the citywide cap on STRs; accommodation of Existing STRs; prohibition of new STRs in apartments in residential zones; limitation of new STRs in condominium complexes to ten percent (10%); and limitation of new STRs to primary residences to ensure these units are able to be reported and counted as “occupied” dwelling units that support long-term housing capacity within the City.

The Ordinance provides for reasonable STR use without undue restrictions, accommodates Existing STRs currently operating in the City (without permits), and limits the concentration of new STRs with a citywide cap in a manner that is consistent with past California Coastal Commission (CCC) decisions on regulations of STRs in the Coastal Zone. Data collected by the City and its consultants demonstrates the City will have ample visitor accommodations in the City’s jurisdictional boundary and within a five-mile radius providing a ratio of more than one guest unit for each dwelling unit in Del Mar based on a total of 2,574 total dwelling units in the City of Del Mar (2020 US Census), compared to a record of 2,700-2,900 visitor accommodations total within five-miles including 400 hotel guest rooms in Del Mar; 1,979 hotel guest rooms in 13 hotels within five-miles; and STRs in Del Mar and within five-miles in the City of San Diego, City of Solana Beach, and County of San Diego, as shown below.

Location Dwelling Units Visitor Accommodations
City of Del Mar 2,574 total dwelling units
(2020 US Census)
400 hotel guest rooms:
• Best Western Premier
• Del Mar Beach Hotel
• Hotel Indigo
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Adoption of STR Regulations
September 23, 2024

• L’Auberge
• Les Artistes
• Secret Garden Inn
• L’Auberge Vacation Villas
• Wavecrest Resort
At least 129 STRs:

Plus, Existing STRs
accommodated above cap
Additional
Accommodations Within 5-
miles in the Cities of San
Diego and Solana Beach,
and County of San Diego
- 1,979 hotel guest rooms
At least 200-400 STRs
Prior City Council and Planning Commission review relating to the Ordinance includes:
• September 5, 2023 – City Council direction to establish a database of existing STRs in operation to inform the City of a reasonable baseline to use for future City Council determinations and understanding of the number of STRs to be accommodated. The City Council also voted unanimously to approve Guiding Principles and Objectives. • October 2, 2023 – City Council direction on various policy items related to the desired regulatory approach. No formal action was taken.
• January 22, 2024 – City Council direction for staff to prepare draft regulations that accommodate Existing STRs until the property changes ownership, the STR permit is not renewed, or the permit is revoked due to non-compliance. (Vote 3-2) • May 20, 2024 – City Council direction relating to the draft STR regulations. No formal action was taken.
• August 13, 2024 - Planning Commission unanimously recommended approval of the environmental determination under CEQA, and the Ordinance to the City Council with a recommendation to modify the definition of “short-term rental” to define STRs as less than one month and define what that means.
• August 26, 2024 - City Council consensus was to define STR as the rental of a dwelling unit, or any portion thereof for dwelling, lodging, or sleeping purposes, for a period of thirty (30) consecutive calendar days or less, unless otherwise exempted. The Council further directed staff to modify the definition of “long-term rental” and the “Purpose” section, and craft an “Exemptions” section under the STR Ordinance, consistent with the Council’s stated intent to expressly exempt rentals of a dwelling unit for terms of one month or longer. No formal action was taken.

Additional background can be accessed in the following link to the City Council Agenda Report for Item 8 on September 9, 2024:
https://www.delmar.ca.us/AgendaCenter/ViewFile/Agenda/_09092024-3515 3 September 23, 2024 Item 06
City Council Agenda Report
Adoption of STR Regulations
September 23, 2024

Following City Council adoption of the Ordinance, the City will submit the Ordinance/LCPA to the CCC for certification in order for the Ordinance to become effective.

Currently, 123 Existing STRs have been registered. Owners should note the following actions must be taken in order to be accommodated as Existing STRs under the Ordinance:
• Owners must register their Existing STRs with the City by December 31, 2024; and • Owners must apply for a STR Permit within 60 days of the Ordinance effective date, which will be the date the CCC takes action to grant final certification.

HOUSING IMPACT:

Adoption of the Ordinance will implement the City’s 6th Cycle Housing Element. STRs involve commercial use of a dwelling unit, which has the potential to decrease the availability of housing options if left unregulated. Housing Element Program 5C commits the City to implement measures to reduce current vacancy rates with the intent to maintain dwelling units for long term housing. A unit is recorded as “vacant” when off-site owners report their units as unoccupied with no housing tenant. The proposed STR regulations include measures to maintain dwelling units for long term housing including a citywide cap on the total number of STRs; and require new STRs to be primary residences where the occupants live more than six (6) months per year.

FISCAL IMPACT: There is no fiscal action to be taken by the City Council for this agenda item.

ENVIRONMENTAL IMPACT: The Ordinance is exempt from the California Environmental Quality Act (CEQA) pursuant to Section 15061(b)(3) (General Rule) because CEQA only applies to projects with the potential for causing a significant effect on the environment. There is no change in baseline environmental conditions or potential to cause a significant effect on the environment.

On April 17, 2024, the City’s CEQA consultant, Interwest Group, completed an Initial Study evaluation, which concluded that no environmental factors would be potentially affected by the STR Regulations contemplated by the City Council. The subsequent revisions to the regulations also would not result in a change in baseline environmental conditions or potential to cause a significant effect on the environment. A Notice of Exemption will be filed following adoption by the City Council.

NEXUS TO CITY COUNCIL GOALS AND PRIORITIES: This is a Tier 1 City Council priority special project with the City Council adoption of the STR Regulations Ordinance to be completed by December 2024.

ATTACHMENTS:

Attachment A – STR Regulations Ordinance
Attachment B – Strikeout Underline Showing Modifications Introduced September 9, 2024 4 September 23, 2024 Item 06

ATTACHMENT A
ORDINANCE NO. XXXX

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF

DEL MAR, CALIFORNIA, AMENDING THE DEL MAR
MUNICIPAL CODE (TITLE 30 ZONING CODE) TO
ESTABLISH A NEW CHAPTER 30.96 SHORT TERM
RENTAL REGULATIONS; AND AMENDING THE CITY’S

CERTIFIED LOCAL COASTAL PROGRAM ALL RELATING

TO THE ESTABLISHMENT OF SHORT TERM RENTAL

REGULATIONS AND PERMIT REQUIREMENTS AND
IMPLEMENTATION OF THE 6TH CYCLE HOUSING
ELEMENT PROGRAM 5C (PRESERVE THE CITY’S

EXISTING HOUSING STOCK)
WHEREAS, the term short term rental (STR) means the rental of a dwelling unit, or any portion thereof, for dwelling, lodging, or sleeping purposes, for a period of thirty (30) consecutive calendar days or less, unless otherwise exempted as a rental for a term of at least one month or longer; and
WHEREAS, the purpose of this Ordinance is to create a new Del Mar Municipal Code Chapter 30.96 to establish short term rental regulations that provide a permitting process and reasonable standards regulating the use and operation of STRs with the intent to preserve long term housing; and
WHEREAS, preparation of the STR Regulations Ordinance has been a multi-year process, which has involved studies and consideration of how the availability of dwelling units in the community for short-term visitor use can supplement the availability of visitor accommodations and support visitor-serving uses without sacrificing the City’s need to maintain its long-term housing stock; and
WHEREAS, the State legislature declared that “Housing is a statewide concern”, that California faces a housing crisis, and that local jurisdictions are mandated to comply with applicable State housing laws; and
WHEREAS, the City of Del Mar Community Plan is the General Plan for the City of Del Mar and has an overall goal to “preserve and enhance the special character of Del Mar,” this includes maintaining the “village-like community of substantially single family residential character, a picturesque and rugged site, and a beautiful beach” as well as preserving and enhancing “Del Mar’s special residential character and small town atmosphere with its harmonious blending of buildings and landscape in proximity to a beautiful shoreline”; and
WHEREAS, the City’s certified Housing Element is one of many required components that is part of the Del Mar Community Plan consistent with State laws applicable to General Plans; and
5 September 23, 2024 Item 06
Ordinance No. XXXX

WHEREAS, the certified Housing Element identifies programs and resources required for the preservation, improvement, and production of housing to meet the existing and projected needs of its population which requires the creation of additional affordable housing stock; and
WHEREAS, the proposed amendments to the Del Mar Municipal Code and Local Coastal Program (LCP) are required to implement the City’s 6th Cycle Housing Element commitments identified in Program 5C (Preserve the City’s Existing Housing Stock); and WHEREAS, the City of Del Mar is located entirely within the “Coastal Zone” boundary and is therefore subject to compliance with the California Coastal Act, including the required submittal of all amendments to the City’s certified LCP land use policies and zoning regulations for certification by the California Coastal Commission consistent with the Coastal Act; and
WHEREAS, City staff engaged in a multi-year public outreach process to encourage public participation for the formulation of guiding principles and objectives, draft regulations, and this Ordinance, which included articles posted on the City’s website, multiple announcements made in the City’s weekly updates, and multiple announcements made during public meetings including the Planning Commission and City Council meetings; and
WHEREAS, on September 5, 2023, the City Council provided direction to staff to establish a database of existing STRs in operation within the last ten (10) years to inform the City of a reasonable baseline to use for future City Council determinations of the number of existing STRs to be accommodated; and
WHEREAS, an online registry was established on the City of Del Mar website and beginning September 8, 2023, multiple newsflash articles were published and distributed in the City’s weekly update and in all Agenda Reports to the City Council and Planning Commission relating to short term rentals from that date to the present to encourage existing STR owners seeking to continue their existing operations to add their properties to the database; and
WHEREAS, on January 22, 2024, the City Council provided policy direction to accommodate existing STRs under the new STR regulations where the existing STR owners timely register with the City and obtain a STR Permit to allow their existing STR operations to exist subject to compliance with the STR regulations, as applicable, until the property changes ownership, the STR Permit is not renewed, or the permit is revoked for non-compliance; and
WHEREAS, this STR Ordinance will accommodate existing STR owners operating in the City of Del Mar prior to adoption of the Ordinance where the owner timely registers the existing STR with the City by December 31, 2024;
6 September 23, 2024 Item 06
Ordinance No. XXXX

WHEREAS, STR Permit applications for existing STRs must be submitted within sixty (60) days of the effective date of the Ordinance which will be the date the Coastal Commission grants final certification of the Ordinance; and WHEREAS, the Notice of Availability and Notice of Planning Commission public hearing for the Amendments to the Community Plan, Zoning Ordinance, and LCP was posted in the Coast News on July 26, 2024, and individual mailed notices were sent to all interested parties who participated by submitting written correspondence, requested notification, and/or submitted speaker slips on the topic of short term rentals in the public meetings of the Planning Commission and City Council held between January 2023 through September 2024; and
WHEREAS, on August 13, 2024, the Planning Commission recommended approval of the CEQA determination and recommended the City Council adopt the amendments and modify the definition of short-term rentals to define STRs as less than one month and define what that means; and
WHEREAS, on August 23, 2024, the notice of City Council public hearing was published in the San Diego Union Tribune and mailed notices were sent to all interested parties including those who participated through the Planning Commission hearing on August 13, 2024; and
WHEREAS, as part of Item 17 on the August 26, 2024, City Council meeting, the City Council reviewed options for definitions of short-term rental, long-term rental, and exemptions for monthly rentals, and the Council expressed a desire to exempt rentals for a month from the STR regulations and the requirement to collect and remit Transient Occupancy Tax (TOT); and
WHEREAS, on September 9, 2024, the City Council held a duly noticed public hearing for introduction of the Ordinance; and
WHEREAS, as introduced by the City Council on September 9, 2024, modifications were made to the Ordinance relating to the topics of the citywide cap (Section 30.96.050(B)), exemption of rentals for one month from the STR regulations (Section 30.96.025(A)(2)(a)), and STR operator self-certification of compliance with life safety requirements (30.96.040(E)(5) and deletion of 30.06.070(F)(3)), as shown in the findings under Section Two, below; and
WHEREAS, adoption of this Ordinance will amend the Del Mar Municipal Code Title 30 (Zoning) and certified Local Coastal Program to establish short term rental regulations in a new Del Mar Municipal Code Chapter 30.96 and implement the 6th Cycle Housing Element Program 5C commitment for preservation of existing stock which is consistent with the California Coastal Commission policy guidance to limit new short term rentals to primary residences.

NOW THEREFORE, the City Council of the City of Del Mar does hereby ordain as follows:
7 September 23, 2024 Item 06
Ordinance No. XXXX

SECTION ONE: The above stated Recitals are true and correct and are incorporated by reference into this action.

SECTION TWO: That a new Chapter 30.96 be added to the Del Mar Municipal Code and the City’s Local Coastal Program as follows:

Chapter 30.96 – Short-Term Rentals

30.96.010 – Purpose
The purpose of this Chapter is to provide a permitting process and reasonable standards regulating the use and operation of Short-Term Rentals (STRs) for visitor lodging involving timeframes of thirty (30) consecutive days or less, with the intent to maintain long-term housing stock in the City of Del Mar; honor the existing policies in the Del Mar Community Plan; maintain the residential character of neighborhoods in residential zones; honor the tradition of vacation rentals during the summer, holiday, and horseracing seasons; ensure protection of the public health, safety, and general welfare; ensure the City’s natural resources will be preserved and protected; ensure STRs will not overburden public improvements, facilities, and services; minimize adverse impacts to adjacent private properties and the surrounding neighborhood; establish distribution and concentration of STRs throughout the community; establish enforcement protocols; and ensure the regulation of STRs is, at a minimum, revenue-neutral to the City. For purposes of this Chapter, long-term rentals (including rentals for a fixed-term or periodic tenancy and rentals for a month), and home exchanges are exempt from compliance with the provisions of this Chapter.

30.96.020 – Definitions
For purposes of Chapter 30.96, the following definitions shall apply:

Accessory Dwelling Unit (ADU) shall have the same meaning as in Section

30.04.010(C) of this Municipal Code.

Bedroom shall be defined as an enclosed space within a dwelling unit that is designed for or could be used for sleeping and has or is designed to have a door permitting complete closure and separation from the kitchen, living room, and hallway areas.

Designated Local Contact Person means the person designated by the Owner to be available twenty-four (24) hours per day, seven (7) days per week, for the purpose of responding within thirty (30) minutes to complaints regarding the condition, operation, and/or conduct of occupants and guests of the STR, and taking remedial action to resolve any such complaints.

Existing Short-Term Rental (Existing STR) means a STR operating in the City prior to adoption of the City’s STR Ordinance where the Owner timely registered 8 September 23, 2024 Item 06
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the STR with the City as of the date stated in the Ordinance. A STR shall cease to be protected as an Existing STR upon any of the following: the transfer of ownership of the STR property, the STR Permit is not maintained in good standing, including a STR Permit that is not timely renewed prior to the permit expiration date, or the STR Permit is revoked due to non-compliance with any provision of this Chapter. A change in title that is processed in accordance with Section 30.96.030(G) shall not be considered a transfer of ownership that would terminate rights to an Existing STR. Unless otherwise expressly stated herein, an Existing STR is subject to all applicable provisions of this Chapter.

Home Exchange means an agreement between parties for exclusive use of each other’s homes for dwelling, lodging, or sleeping purposes, for a set period of time, with no monetary exchange or other consideration exchanged between the parties.

Long-Term Rental means the rental of a dwelling unit, or any portion thereof, for dwelling, lodging, or sleeping purposes, subject to a rental agreement, for (i) a fixed-term (e.g., annual) or periodic tenancy (e.g., month-to-month), with a total rental period of more than thirty (30) consecutive calendar days; or (ii) a rental for a month as described in Section 30.96.025 of this Chapter.

Owner means the natural person(s) who is/are the owner(s) of record of the dwelling unit, at least one of whom occupies the dwelling unit at which the STR will operate as their Primary Residence, unless identified as an Existing STR by the City. All owner(s) of record of the dwelling unit are required to sign the STR Permit application and shall be held jointly and severally liable for any violation(s) of this Chapter. For purposes of this Chapter, “Owner” may also include:
(i) A personal trust or family trust whose beneficiaries consist solely of natural persons and the trustee(s) of such trust, so long as at least one beneficiary or trustee of the trust occupies the dwelling unit at which the STR will operate as their Primary Residence. If the dwelling unit is held in a personal or family trust, each trustee must sign the STR Permit application, and shall be held jointly and severally liable for any violation(s) of this Chapter; and
(ii) A limited liability company (LLC), limited partnership (LP), or limited liability partnership (LLP) owned by natural persons (not business entities), so long as at least one manager/member occupies the dwelling unit at which the STR will operate as their Primary Residence. Each manager/member of the LLC, LP, or LLP must sign the STR Permit application, and shall be held jointly and severally liable for any violation(s) of this Chapter.

Unless identified as an Existing STR by the City, the term “Owner” does not include a dwelling unit that is fully or partially owned as a timeshare, a 9 September 23, 2024 Item 06
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business trust, corporation, general partnership, or any other business entity other than a LLC, LP, or LLP.

Primary Residence means a dwelling unit owned and occupied as the Owner’s principal place of residence, where the Owner lives more than six (6) months per year. For purposes of this Chapter, an Owner can only have one Primary Residence at any given time.

Short-Term Rental (STR) means, unless otherwise exempt under Section

30.96.025 of this Chapter, the rental of a dwelling unit, or any portion thereof, for dwelling, lodging, or sleeping purposes, for a period of thirty (30) consecutive calendar days or less. For purposes of this Chapter, Home Exchanges and LongTerm Rentals (each defined by this Chapter) are not considered STRs, and are expressly exempt from the requirements of this Chapter under Section 30.96.025.

30.96.025 – Exemptions
A. The following uses are exempt from the provisions of this Chapter:

1. Home Exchanges, as that term is defined in Section 30.96.020; and

2. Long-Term Rentals, as that term is defined in Section 30.96.020, to include (i) rentals for a fixed-term (e.g., annual) or periodic tenancy (e.g., monthto-month) totaling more than thirty (30) consecutive calendar days; and (ii) rentals for a month, as described below.

For purposes of this Section, a “rental for a month” must meet all of the following requirements to be considered exempt from the provisions of this Chapter:
a. The rental of the dwelling unit, or portion thereof, is rented for a month. This includes a rental period that starts at the beginning of a calendar month and goes through the end of the same calendar month, or a rental period that starts on a certain day within the calendar month and goes through the priorday of the subsequent calendar month;
b. The rental of the dwelling unit, or portion thereof, is reserved to the same renter for the entire rental period of a month; and c. Should the renter leave the dwelling unit, or the rented portion thereof, prior to the expiration of the monthly rental period, then the dwelling unit, or the rented portion thereof, shall not be re-rented for a new rental period prior to the expiration of the monthly rental period. If the dwelling unit, or the rented portion thereof, is re-rented prior to the expiration of the monthly rental period, then the rental of 10 September 23, 2024 Item 06
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the dwelling unit, or the rented portion thereof, is no longer exempt from the provisions of this Chapter and becomes subject to compliance with the requirements of this Chapter.

An Owner may choose to rent their dwelling unit, or portion thereof, both as a STR subject to compliance with this Chapter, and as a Long-Term Rental exempt from the provisions of this Chapter, so long as the Owner applies for and obtains a valid and current STR Permit issued by the City in accordance with the terms of this Chapter. During those rental periods in which the dwelling unit, or portion thereof, is rented as a STR and is not considered exempt under this Section, the Owner shall be subject to all requirements of this Chapter, including the requirement to collect and remit Transient Occupancy Tax to the City.

B. In addition to an exemption from the provisions of this Chapter, the above uses under (A)(1) and (A)(2) of this Section are further exempt from the requirement to collect and remit Transient Occupancy Tax to the City in accordance with Chapter

3.12 of this Municipal Code.

30.96.030 – When a Short-Term Rental Permit is Required A. Any person or entity operating a STR in the City of Del Mar must have a valid STR Permit issued by the City pursuant to Section 30.96.050 of this Chapter.

Notwithstanding Section 30.96.060(A) and (B), the following properties have existing entitlements for visitor accommodations that are subject to the requirement to collect and remit Transient Occupancy Tax under Chapter 3.12 of this Municipal Code, but are not subject to the requirement to obtain a STR Permit pursuant to this Chapter:

1. Hotels in the Visitor Commercial Zone including the Best Western Premier (720 Camino del Mar), Del Mar Beach Hotel (1702 Coast Boulevard), Hotel Indigo (710 Camino del Mar), Hotel L’Auberge (1540 Camino del Mar), Les Artistes (944 Camino del Mar), and Secret Garden Inn (1140 Camino del Mar);

2. L’Auberge Vacation Villas (1570 Camino del Mar) in the Hotel Specific Plan Zone; and

3. Wavecrest Resort Timeshares (1400 Ocean Avenue) in the R2 Zone.

B. A STR Permit will only be issued to the Owner of the dwelling unit.

C. No person shall rent, offer to rent, or advertise a STR without a valid STR Permit.

D. A STR Permit shall be valid for a period of two (2) years from the date of issuance, and must be timely renewed prior to the STR Permit expiration date every two (2) years thereafter to maintain a valid STR Permit for STR operations. 11 September 23, 2024 Item 06
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E. The subletting of a STR is prohibited. Only an Owner with a valid STR Permit issued by the City is permitted to rent out a dwelling unit or portion thereof as a STR.

F. A STR Permit shall not be transferred, sold or assigned to any other person or entity. Upon transfer of ownership of a dwelling unit at which an STR operates, the STR Permit shall automatically terminate and no STR may be operated at the dwelling unit until a new STR Permit is issued by the City.

G. A new STR Permit is not required for changes in title to the dwelling unit resulting from inheritance or where an original Owner under the STR Permit remains an Owner under the new title. In such an event, notice of the change of title shall be provided to the City within thirty (30) days of such transfer.

30.96.040 – Application Requirements
An application for a STR Permit, or renewal thereof, shall be filed on a form provided by the City, shall be signed by the applicant(s) under penalty of perjury, and must include all of the following information, which shall be updated when there is any change to ensure that the City has current information on file at all times relating to the STR:

A. Legal name, address, telephone number, and email address of each Owner and the address and Assessor’s Parcel Number (APN) of the STR.

1. Each Owner of the dwelling unit is required to sign the STR Permit application and acknowledge that (i) all information contained in the STR Permit application is true and correct; (ii) each Owner and the Designated Local Contact Person have reviewed, understand and are familiar with the requirements of this Chapter; (iii) each Owner and the Designated Local Contact Person are responsible for ensuring compliance with this Chapter; (iv) failure to comply with this Chapter and all applicable provisions of the Del Mar Municipal Code may result in suspension and/or revocation of a STR Permit; and (v) each Owner may be held jointly and severally liable for any violation(s) of this Chapter.

2. If the dwelling unit is held in a personal or family trust, the trustee(s) must sign the STR Permit application and must acknowledge the information is true and correct in accordance with Section 30.96.040(A)(1).

3. If the dwelling unit Owner is a LLC, LP, LLP, or other form of business entity operating as an Existing STR, each manager/member of the entity must sign the STR Permit application and must acknowledge the information is true and correct in accordance with Section 30.96.040(A)(1). 12 September 23, 2024 Item 06
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4. Each Owner of a STR, or multiple Existing STRs, operating in the City shall disclose the name(s) and contact information for each person holding the legal, equitable, and/or beneficial interest of each of their respective STR ownership properties, as applicable.

5. Except for Existing STRs, documentation that the STR will operate as a Primary Residence shall be demonstrated by providing proof of the Owner’s STR address as follows:
a. Proof of address on at least two (2) of the following documents:
i. Federal and State tax returns
ii. Bank account
iii. Vehicle registration
iv. Driver’s license
v. Voter registration
vi. Employment records
vii. Homeowner’s tax exemption
b. If the Owner is a LLC, LP, LLP, or other form of business entity operating as an Existing STR, the Owner shall demonstrate proof of address by providing a current Certificate of Status, or similar documentation demonstrating the business entity is active and in good standing with the state of formation.

6. Written consent from the homeowners’ association (HOA), if applicable, or acknowledgement that there are no CC&Rs, private covenants, deed restrictions, or any other governing documents that prohibit or limit STR use of the dwelling unit.

B. Commencing from the effective date of this Ordinance, the Owner of an Existing STR, which meets the definition of an Existing STR as defined in Section

30.96.020 of this Chapter, will be eligible to apply for a STR Permit. The Owner of an Existing STR must submit and have all STR Permit application requirements to the City within sixty (60) days following the effective date of this Chapter to be considered an Existing STR.

C. Legal name, address, telephone number, and email address of the Designated Local Contact Person, if different from the Owner, and written consent from the Designated Local Contact Person to act as the responsible person designated by the Owner to be available twenty-four (24) hours a day, seven (7) days a week, for the purpose of responding within thirty (30) minutes to complaints regarding the condition, operation, and/or conduct of occupants and guests of the STR and taking remedial action to resolve any such complaints.
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D. Owner shall provide a Deed or Title Report for the STR property to confirm ownership interest in the property.

E. STR Rental Agreement and Site-Specific Details.

1. Owner shall provide a copy of their standard STR rental agreement, which shall, at a minimum, include the following information: STR Permit number, STR address and information regarding the maximum STR occupancy, parking capacity, noise restrictions, trash, organics, and recycling disposal requirements, and rules and regulations that will be distributed to STR occupants and acknowledgment of receipt and review of the City’s Good Neighbor Policy.

2. Site plan and/or photos showing the number and location of designated offstreet parking spaces for the exclusive use of the STR.

3. Floor plan(s) showing the layout of the dwelling unit, including all bedrooms and bathrooms; and the location of fire extinguishers, smoke alarms, and carbon monoxide alarms.

4. Acknowledgement that the STR Permit does not authorize STR lodging in non-dwelling units such as garages or vehicles (e.g., recreational vehicles, motor homes, travel trailers, truck campers, tent trailers), treehouses, tents and other temporary shelters.

5. Prior to the issuance or renewal of a STR Permit, Owner shall complete and submit, a self-certification inspection form on a form provided by the City and signed by Owner under penalty of perjury, acknowledging that the STR and property comply with all applicable laws, rules and regulations of the STR relating to life safety, including the provisions of this Chapter.

F. Evidence of property liability insurance in the amount of at least One Million Dollars ($1,000,000), combined single limit, which insurance shall be maintained during the entire term of any STR Permit issued by the City. Evidence of insurance renewal must be provided to the City before expiration of the policy.

G. Each Owner shall jointly and severally agree to indemnify, hold harmless, and defend the City and its officials, employees and agents from any and all liability, actions, claims, damages, costs, and expenses of any kind whatsoever, including reasonable attorneys’ fees and costs, which may be asserted by any person or entity arising from or relating to the issuance of a STR Permit or operation of a STR.

H. Any other information as the City Manager, or designee, deems reasonably necessary to administer this Chapter.
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I. Payment of STR Permit application fee or renewal fee, as applicable, for initial application or STR Permit renewal in accordance with the fee schedule established by the City Council, which may be amended from time-to-time.

30.96.050 – Permit Issuance

A. STR Permits shall be issued on a first-come, first-served basis, except that an Existing STR Owner, which applies for a STR Permit in accordance with Section

30.96.040(B), shall be granted priority to obtain a STR Permit.

1. Notwithstanding the permit issuance and locational requirements applicable to new STRs under Chapter 30.96, Existing STRs shall be accommodated as allowable uses in accordance with a valid STR Permit unless a termination of existing rights occurs upon any of the following: the transfer of ownership of the STR property, the STR Permit is not maintained in good standing, including a STR Permit that is not timely renewed prior to the date of STR Permit expiration, or the STR Permit is revoked due to non-compliance with any provision(s) of this Chapter. A change in title that is processed in accordance with Section 30.96.030(G) shall not be considered a transfer of ownership that would terminate rights to an Existing STR.

2. Notwithstanding Sections 30.96.060(A)(3)(a), (A)(4) and (A)(5) of this Chapter, Existing STRs shall be accommodated as allowable uses with a valid STR Permit, regardless of whether the existing operations are nonconforming with respect to operation of more than one STR (on the same lot or separate lots), and/or whether the operations are not within a Primary Residence.

B. The maximum number of STR Permits issued by the City shall be limited to 129 STRs, which is equivalent to five percent (5%) of the total number of dwelling units located in the City based on the 2020 United States Census data. Any future increase in capacity for new STRs shall be subject to processing an amendment by Ordinance subject to approval by the City Council and the California Coastal Commission.

1. STR Permits for new STRs shall be restricted to one (1) per Owner and Existing STRs shall be restricted in accordance with Section

30.96.050(B)(3). Once the maximum allowable number of STR Permits has been issued by the City (including Existing STRs and new STRs), the Owner of any applications submitted that would exceed the cap identified in this Section shall be placed on a waitlist that will be established based on the order the applications are filed and applications will be processed in the order in which the applications are received.
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2. Once a STR Permit becomes available for issuance, application submittals will be accepted by the City in the order appearing on the City’s STR Permit waitlist. Person(s) listed on the City’s STR Permit waitlist, who are contacted by the City to submit a STR Permit application, will have thirty (30) days from the date of notification by the City to submit a STR Permit application for consideration. If the person(s) contacted by the City do not submit a STR Permit application to the City within the required thirty (30) day period, that person(s) will be removed from the waitlist and the City will move on to notifying the next person appearing on the City’s STR Permit waitlist.

3. The Owner of an Existing STR may request a separate STR Permit for each Existing STR in operation by the Owner and registered with the City as of December 31, 2024 as stated in the STR Ordinance. If the number of Existing STRs exceeds the cap identified by this Section, then no additional STR Permits shall be issued by the City for new STRs until available capacity is reached within the cap through attrition (including, but not limited to, when existing rights are terminated for Existing STRs in accordance with Section 30.96.050(A)(1)).

C. New STR Owners may not include a dwelling unit fully or partially owned as a timeshare, a business trust, corporation, limited partnership, general partnership, or other business entity other than a LLC, LP, or LLP.

D. A STR Permit shall be issued by the City if the applicant meets the conditions and requirements of this Chapter 30.96.

E. A STR Permit shall not be issued by the City if:

1. The maximum number of STR Permits issued by the City already meets or exceeds the Citywide cap on STRs or exceeds the maximum number of permits allowed per Owner as established by Section 30.96.050(B).

2. The STR is a new STR, which is proposed in a prohibited location as set forth in Section 30.96.060 of this Chapter, or in a location that would exceed the neighborhood cap on STRs established by Section 30.96.060(A)(5).

3. The Owner has a pending enforcement action by the City for any violation of the Del Mar Municipal Code relating to the operation of a STR, unless the approval is required to resolve the enforcement action.

F. Following the issuance of a STR Permit, the City will provide written, mailed notice of the STR Permit approval to all property owners located within 300 feet of the STR. Such notice shall include the address of the STR, number of bedrooms available for rent, number of available on-site parking spaces, and contact information for the STR’s Designated Local Contact Person. 16 September 23, 2024 Item 06
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G. STR Permits may be suspended, revoked, or not renewed by the City in accordance with Section 30.96.080 of this Chapter.

30.96.060 – STR Locational Requirements
A. Residential Zones.

1. STRs may be permitted in the following residential zones:
a. Single dwelling unit zones
Very low Density Residential (R1-40)
Modified Low Density Residential (R1-14)
Low Density Residential (R1-10)
Low Density Residential-Beach (R1-10B)
Medium Density Single Family Residential (R1-5)
Medium Density Single Family Residential-Beach (R1-5B)
Carmel Valley Precise Plan (CVPP)
b. Multiple dwelling unit zones
Medium Density Single-Mixed Residential-East (RM-East)
Medium Density Mixed Residential-West (RM-West)
Medium Density Mixed Residential-Central (RM-Central)
Medium Density Mixed Residential-South (RM-South)
High Density Mixed Residential (R2)

2. New STRs that are not within a Primary Residence shall be prohibited.

3. STRs are a prohibited use within:
a. Multi-dwelling unit rental apartment development located in residential zones.
b. Any dwelling units that are subject to deed restrictions or affordable housing covenants that limit rental of the unit to housing for specific income-restricted households.
c. An Accessory Dwelling Unit located in residential zones. d. Non-dwelling units including, but not limited to, garages or vehicles or temporary shelters such as tents.

4. Except for Existing STRs with a valid STR Permit, the maximum number of STRs per lot shall be restricted to:
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a. Maximum of one (1) STR per lot developed with one dwelling unit, including lots developed with one primary dwelling unit and ADU development.
b. Maximum of one (1) STR per Owner on a lot that is developed with two dwelling units, including lots developed with two primary dwelling units and ADU development.
c. Maximum of ten percent (10%) of the total primary dwelling units on a lot developed with multi-unit condominium development (three or more units). Lots with condominium development must provide documentation of written consent to operate a STR by the homeowner’s association (HOA).

5. The total number of STRs permitted shall be further limited as follows to minimize the potential for overconcentration:
a. A maximum of sixty percent (60%) of the total number of STRs may be located in the North Beach neighborhood, which includes the R1- 5B, R1-10B, RM-East and RM-West zones.
b. A maximum of twenty-five percent (25%) of the total number of STRs may be located in the South Bluff neighborhood, which includes the R1-40, R2, RM-South, and RC zones.
c. A maximum of fifteen (15%) of the total number of STRs may be located in the Hills neighborhood, which includes the R1-5, R1-10, R1-14, R1-40, and RM-Central zones and the northerly R2 zone located north of 15th Street.

B. Commercial Zones.

1. STRs may be permitted within the following commercial zones:

Residential-Commercial (RC)
Central Commercial (CC)
North Commercial (NC)
Professional Commercial (PC)
Visitor Commercial (VC)
941 Camino del Mar Specific Plan (941SP)

2. STRs in commercial zones are subject to the requirements in Section

30.96.060(A)(2), (A)(4) and (A)(5) of this Chapter.
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3. STR use is permitted in an Accessory Dwelling Unit (ADU) subject to the regulations in Chapter 30.91 of this Municipal Code, only where the ADU is used as a Primary Residence.

4. STRs are a prohibited use within:
a. The Beach Commercial (BC), Public Facilities (PF), Public Parkland (PP), Railroad Right-of-Way (RR), and Floodway zones.
b. Any dwelling units that are subject to deed restrictions or affordable housing covenants that limit rental of the unit to housing for specific income-restricted households.
c. Non-dwelling units including, but not limited to, garages or vehicles (e.g., recreational vehicles, motor homes, travel trailers, truck campers, tent trailers), treehouses, or temporary shelters such as tents.

30.96.070 – Operating Requirements
STRs shall comply with all of the following operating requirements:

A. Owner shall ensure that STR occupants and guests comply with all federal, state, and local laws, rules, and regulations including local regulations specific to noise, trash disposal, parking, coastal resources, and disclosure, inclusive of the following:

1. Noise Control.
a. It shall be unlawful and shall constitute a public nuisance for any Owner of a STR to cause, allow or permit the emission or transmission of any loud noise from any sound-making equipment or sound-amplifying device to occur or be maintained at a STR, which may include, but is not limited to, the following: yelling, screaming, shouting, or other disturbing noises which unreasonably interfere with the peace and quiet of the nearby residents or members of the public. Owner shall ensure that STR occupants and guests comply with the noise provisions set forth in Del Mar Municipal Code Chapter 9.20 (Noise Regulations). DMMC Section

9.20.090 specifies that any noise that is plainly audible at a distance of fifty (50) feet between the hours of 10:00 p.m. and 8:00 a.m. is considered a prima facie violation.
b. STRs are for overnight lodging. Hosting of weddings, receptions, corporate events, commercial functions, bachelor or bachelorette 19 September 23, 2024 Item 06
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parties, and any other similar events or gatherings that have the potential to cause a public nuisance are strictly prohibited. c. Guest hours at STRs shall be limited from 8:00 a.m. to 10:00 p.m. daily.

2. Trash Disposal. Trash, organic waste and recycling shall not be left or stored within public view, except in the appropriate container at a location that is designated for collection from 4:00 p.m. on the day prior to trash pick-up until up to 12:00 p.m. on the day following the day designated for pick-up. All trash and recycling shall be in approved receptacles pursuant to Del Mar Municipal Code Chapter 11.20 (Management of Solid Waste).

3. Parking. Owner shall limit the number of vehicles at the STR to the number designated in the STR Permit, which shall be determined by the City at the time of permit issuance based on the number of available on-site parking spaces. All garage, driveway, and designated on-site parking spaces shall be made available for the vehicles of STR occupants and guests. Vehicles shall not impede access to sidewalks and neighboring properties or driveways.

4. Coastal Resource Protection. The coastal resource protections in the California Coastal Act Chapter 3, Article 6, Section 30240 (Cal. Pub. Res.

Code Section 30240) and the City’s certified Local Coastal Program are not to be superseded or lessened in any way through implementation of the Chapter 30.96 STR regulations. The Owner shall disclose if the property contains environmentally sensitive habitat areas, and shall identify STR operational requirements to avoid potential impacts to coastal resources.

5. Disclosure of Site-Specific STR Requirements and Contact Information. a. The primary STR occupant listed on the STR rental application and present at the STR during the STR rental period must be at least twenty-five (25) years of age, provide the Owner with a telephone number, and shall be accessible to the Owner or Local Designated Contact Person by telephone at all times during the STR rental period.
b. Interior Display of STR Permit. Owner shall affix the valid STR Permit provided by the City, which shall include reference to the City’s Good Neighbor Policy and Transient Occupancy Tax rate, for interior display on the inside of the main entry door of the STR. c. Exterior Display of STR Notice. Owner shall affix a sign on the exterior of the STR during operation, at a minimum size of 8.5 inches 20 September 23, 2024 Item 06
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by 11 inches, identifying the STR Permit number, name and contact information for the Designated Local Contact Person, the maximum number of occupants and guests permitted at the STR, and the maximum number of vehicles allowed at the property. The notice shall be located on-site in plain view of the general public and/or common areas and shall be maintained in good condition. d. Signs advertising availability of the STR for rent are not permitted on the property.

B. Minimum Night Stay. STRs shall have a minimum night stay of three (3) consecutive calendar nights.

C. Overnight Occupancy. Owner shall limit overnight STR occupancy to a specific number of occupants, not to exceed two (2) persons per Bedroom plus two (2) additional persons per dwelling unit. All other applicable occupancy laws shall apply.

D. Avoidance of Public Nuisance. Owner shall ensure that the STR occupants and/or guests do not create a public nuisance. Owner shall ensure that any unreasonable noise disturbances, unruly gatherings, disorderly conduct, or other violations are timely abated.

E. Prompt Response to Complaints. Owner and/or the Designated Local Contact Person must be available twenty-four (24) hours per day, seven (7) days per week, to respond to complaints. Complaints received from the City, the Sheriff’s Department, or a resident must be addressed within thirty (30) minutes of receipt of the complaint. It is not intended that an Owner or Designated Local Contact Person act as a peace officer or place themselves in an at-risk situation. In follow up, Owner shall provide documentation to the City on what steps were taken to mitigate the issue. Failure to timely respond to complaints is grounds for enforcement as set forth in Section 39.96.080 of this Chapter.

F. Safety Compliance.

1. The STR property must meet basic life safety requirements, including but not limited to, maintaining operable smoke alarms and carbon monoxide alarms, fire extinguishers, and first aid kits.

2. All Bedrooms within a STR shall meet all applicable California Building Code life safety requirements.

G. Advertisements. All STR advertisements, including those posted on or by web- or application-based hosting platform or third-party booking vendor websites, must include the STR Permit number provided by the City.
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H. Record Keeping, Audit. STR Owner shall maintain records related to use and occupancy of the STR for the purpose of inspection and/or audit to demonstrate compliance with Chapter 30.96.

I. Payment of Transient Occupancy Tax. Unless otherwise exempt under Section

30.96.025 of this Chapter, Owner shall comply with all provisions of Del Mar Municipal Code Chapter 3.12 concerning the collection and remittance of Transient Occupancy Tax (TOT) for STR rentals. The TOT calculation shall include cleaning fees, resort fees, and all other fees collected as part of the total rent charged for the STR. If the STR Owner uses a web- or application-based hosting platform or third-party booking vendor, the hosting platform or booking vendor shall be considered an agent of the STR Owner for purposes of collecting and remitting the TOT to the City.

30.96.080 – Enforcement
A. It shall be unlawful for any person to fail to comply with any of the requirements of this Chapter or with any standards/conditions of a STR Permit, or to operate a STR within the jurisdiction of the City contrary to or in violation of any of the provisions of this Chapter, any applicable provisions of this Municipal Code, or any other applicable laws, rules, and regulations.

B. Any person who violates any provision of this Chapter shall be subject to the fine amounts set forth in Government Code Section 36900(d), as that Section may be amended from time to time.

C. Violations of this Chapter may be enforced by any method allowed in Del Mar Municipal Code Title 1 (General Provisions), Title 30 (Zoning Regulations), or any other applicable enforcement mechanism available to the City.

D. Suspension or Revocation of STR Permit. In addition to any other remedy provided by this Chapter, a STR Permit may be suspended or revoked by the City Manager, or designee pursuant to this Section.

1. The decision shall be based on at least one of the following grounds:
a. A material misrepresentation, false or misleading information was included on the application or renewal application for a STR Permit. b. A violation of any applicable provision of the Del Mar Municipal Code or other applicable law relating to the operation of the STR. c. An authorized official has given notification of existing health or safety violations on the STR property, or non-compliance with 22 September 23, 2024 Item 06
Ordinance No. XXXX

applicable laws, rules or regulations relating to fire, building, health or safety on the STR property.
d. An applicant or STR Permit holder is delinquent in the payment of any outstanding fees, assessments or taxes owed to the City related to any property located in the City that is owned by the applicant, including, but not limited to, Transient Occupancy Taxes (TOT).

2. If a STR Permit is revoked, the Owner shall not operate a STR at the property for a period of twelve (12) months from the date of such revocation; and no STR Permit that is revoked may be transferred to any other person or entity to operate a STR at the property during such period of revocation.

3. The appeal procedures for the denial, suspension or revocation of a STR Permit are as follows:
a. A STR Permit applicant or STR Permit holder may request an administrative hearing to appeal the denial, suspension or revocation of a STR Permit by the City. The request for a hearing shall be submitted to the City Clerk within fifteen (15) days from the date the denial, suspension or revocation of the STR Permit is provided in writing.
b. The City Manager shall designate a fair and impartial administrative hearing officer to determine whether to uphold the City’s decision to deny, suspend or revoke the STR Permit. Compensation for the hearing officer, if any, shall be paid by the City.
c. An administrative hearing shall be set for a date that is not sooner than thirty (30) days and not more than sixty (60) days from the date the request for the hearing is filed with the City, unless extended in writing by the City and the appellant. The appellant shall be notified of the time and place set for the hearing at least fifteen (15) days prior to the date of the hearing, unless the hearing date has been expedited.
d. The City and the appellant shall each submit all documents relating to the denial, suspension or revocation of the STR Permit that the respective party intends to discuss during the administrative hearing to the hearing officer and the other party at least seven (7) days in advance of the hearing date.
e. At the administrative hearing, the hearing officer shall only consider evidence that is relevant to determine whether the denial, suspension or revocation of a STR Permit is warranted. Courtroom 23 September 23, 2024 Item 06
Ordinance No. XXXX

rules of evidence shall not apply. Relevant hearsay evidence and written reports may be admitted whether or not the speaker or author is present to testify, if the hearing officer determines that the evidence is reliable. Admission of evidence and the conduct of the hearing shall be controlled by the hearing officer in accordance with the fundamentals of due process. The hearing officer may limit the total length of the hearing to one (1) hour, at the hearing officer’s discretion, and shall allow the appellant at least as much time to present its case as is allowed the City.
f. The appellant shall be given the opportunity to testify and present witnesses and evidence concerning the denial, suspension or revocation of the STR Permit. The appellant may be represented by counsel. The City's case shall be presented by a Code Enforcement Officer or by any other authorized agent of the City. g. The hearing officer may continue the hearing and request additional information from the City or the appellant prior to issuing a written decision.
h. After considering all testimony and evidence submitted at the hearing, the hearing officer may announce a decision orally, but in any event, shall prepare a written decision. The decision shall be provided to the parties within ten (10) days of the hearing and shall either uphold the denial, suspension or revocation of the STR Permit or withdrawal the denial, suspension or revocation of the STR Permit. The decision shall briefly state the reason for the conclusion of the hearing officer. The City shall serve the decision on the appellant. The decision of the hearing officer shall be final and shall not be subject to further appeal to the City.
i. The failure of the appellant to appear at the administrative hearing shall result in the hearing officer issuing a final decision to uphold the City’s denial, suspension or revocation of the STR Permit and the appellant’s exhaustion of administrative remedies.

SECTION THREE:

This Ordinance is exempt from the California Environmental Quality Act (CEQA) pursuant to Section 15061(b)(3) (General Rule) because CEQA only applies to projects with the potential for causing a significant effect on the environment. There is no change in baseline environmental conditions or potential to cause a significant effect on the environment. On April 17, 2024, the City’s CEQA consultant, Interwest Group, completed an Initial Study evaluation, which concluded that no environmental factors would be potentially affected by the STR Regulations contemplated by the City Council. The subsequent revisions to the regulations also would not result in a change in baseline environmental conditions or potential to cause a significant effect on the environment. A 24 September 23, 2024 Item 06
Ordinance No. XXXX

Notice of Exemption will be prepared identifying that the activity is covered by the common-sense exemption that CEQA applies only to projects which have the potential for causing a significant effect on the environment.

SECTION FOUR:

This Ordinance establishes STR Regulations that will accommodate Existing STR owners operating in the City of Del Mar prior to adoption of the Ordinance where the STR owner timely registers the existing STR with the City by December 31, 2024, and submits a STR Permit application within sixty (60) days of the effective date of the Ordinance which will be the date the California Coastal Commission grants final certification of the Ordinance.

Applications for all STRs will be accepted following the date this Ordinance takes effect.

Permits for Existing STRs will be processed prior to applications for new STR Permits.

Prior to finalizing the Existing STR registry, the City will verify that the owner has provided proof of at least one of the approved documents listed on the City’s voluntary registry webpage. This document should be provided to the City (and verified by the City) prior to the December 31, 2024 deadline.

The list of acceptable documents includes provision of at least ONE supporting document to demonstrate that the STR was in operation within the past ten years. Just one of the options below will suffice for supporting documentation:

1. Fully executed rental agreement that identifies the STR address; or

2. A City of Del Mar business license indicating the short-term rental business at the subject property; or

3. A federal or state income tax return specifying a STR business operation at the subject property. Please be sure to redact all sensitive personal information such as social security number; or

4. Printed or online advertising, or contracts, indicating actively advertised STR operations at the subject property; or

5. Other evidence of STR operations at the subject property within the past ten years may be submitted for consideration.

SECTION FIVE:

This Ordinance was introduced by the City Council on September 9, 2024.

SECTION SIX:

The City Clerk is directed to prepare and have published a summary of this Ordinance no less than five days prior to the consideration of its adoption and again within 15 days following adoption indicating votes cast.

SECTION SEVEN:

If any section, subsection, sentence, clause, phrase or portion of this Ordinance is, for any reason, held invalid or unconstitutional, such decision shall not affect the validity of the remaining portions of this Ordinance.
25 September 23, 2024 Item 06
Ordinance No. XXXX

SECTION EIGHT:

Upon adoption, the Ordinance will be submitted to the California Coastal Commission for certification as a Local Coastal Program Amendment. The Ordinance will take effect and be in force on the date that the California Coastal Commission takes action to unconditionally certify the Local Coastal Program Amendment.

PASSED, APPROVED AND ADOPTED at a regular meeting of the City Council held on the 23rd day of September 2024.
________________________________
Dave Druker, Mayor
City of Del Mar
APPROVED AS TO FORM:
________________________
Leslie E. Devaney, City Attorney
City of Del Mar
ATTEST AND CERTIFICATION:

STATE OF CALIFORNIA

COUNTY OF SAN DIEGO

CITY OF DEL MAR
I, SARAH KRIETOR, Administrative Services Manager/City Clerk of the City of Del Mar, California, DO HEREBY CERTIFY, that the foregoing is a true and correct copy of Ordinance No.____, which has been published pursuant to law, and adopted by the City Council of the City of Del Mar, California, at a Regular Meeting held the 23rd day of September, 2024, by the following vote:

AYES:

NOES:

RECUSE:

ABSENT:

ABSTAIN:
______________________________
Sarah Krietor, Administrative Services
Manager/City Clerk
City of Del Mar
26 September 23, 2024 Item 06
Attachment B
1 Strikeout Underline Copy
This strikeout underline copy reflects the changes that were read into the record on September 9, 2024, as part of the Item 8 Introduction of the Short-Term Rental Regulations Ordinance. Below is a brief description and the strikeout underline modifications that were incorporated into the Ordinance as introduced:

Citywide cap
Description: Modifications incorporated to set a hard cap at 129 STRs, which is equivalent to five percent (5%) of the total number of dwelling units located in the City based on the 2020 United States Census. The citywide cap includes the total number of Existing STRs and new STRs citywide. Qualifying Existing STRs will be accommodated above the citywide cap. Requires that any future increase in capacity for new STRs (beyond the Ordinance cap of 129 STRs) shall be subject to processing an amendment by Ordinance subject to approval by the City Council and the California Coastal Commission.

30.96.050 – Permit Issuance
B. The maximum number of STR Permits issued by the City shall be limited to not more than 129 STRs, which is equivalent to five percent (5%) of the total number of dwelling units located in the City based on the most current 2020 United States Census data. Any future increase in capacity for new STRs shall be subject to processing an amendment by Ordinance subject to approval by the City Council and the California Coastal Commission.

Exemption of Rentals for One Month
Description: Modification incorporated to clarify the exemption from the STR Regulations provided for rentals of a dwelling unit for one month or longer.

30.96.025 – Exemptions
A. The following uses are exempt from the provisions of this Chapter:

2. Long-Term Rentals, as that term is defined in Section 30.96.020, to include (i) rentals for a fixed-term (e.g., annual) or periodic tenancy (e.g., month-to-month) totaling more than thirty (30) consecutive calendar days; and (ii) rentals for a month, as described below.
27 September 23, 2024 Item 06
Attachment B
2 For purposes of this Section, a “rental for a month” must meet all of the following requirements to be considered exempt from the provisions of this Chapter:
a. The rental of the dwelling unit, or portion thereof, is rented for a month. This includes a rental period that starts at the beginning of a calendar month and goes through the end of the same calendar month, or a rental period that starts on a certain day within the calendar month and goes through the sameprior day of the subsequent calendar month;
Self-Certification of Compliance with Life Safety Requirements Description: Modifications incorporated to clarify the requirement for owners to provide a self-certification inspection form with each STR permit application to self-certify compliance with life safety requirements upon submittal of applications to the City for STR permits and permit renewal.

30.96.040 – Application Requirements
An application for a STR Permit, or renewal thereof, shall be filed on a form provided by the City, shall be signed by the applicant(s) under penalty of perjury, and must include all of the following information, which shall be updated when there is any change to ensure that the City has current information on file at all times relating to the STR:

E. STR Rental Agreement and Site-Specific Details.

5. Authorization for the City to conduct an inspection of the STR for safety compliance in accordance with Section 30.96.070(F).

The Owner shall allow the City to inspect the STR and property at any time prior to issuance of a STR Permit and/or during the operation of the STR for the purpose of making a reasonable inspection to observe and enforce compliance with applicable laws, rules and regulations of the STR, including the provisions of this Chapter. The City may, but is not required to, conduct an inspection of the STR and property pursuant to the
requirements of this Section. Prior to the issuance or renewal of a STR Permit, Owner shall complete and submit, a self28 September 23, 2024 Item 06 Attachment B
3 certification inspection form on a form provided by the City and signed by Owner under penalty of perjury, acknowledging that the STR and property comply with all applicable laws, rules and regulations of the STR relating to life safety, including the provisions of this Chapter.

30.96.070 – Operating Requirements
F. Safety Compliance.

3. Owner shall permit the City to inspect the STR prior to the issuance of a STR Permit and/or for the purpose of making a reasonable inspection to observe and enforce compliance with the provisions of Chapter 30.96.
29 September 23, 2024 Item 06
City of Del Mar
Agenda Report
________________________________________________________________________________________________________ City Council Action:

TO: Honorable Mayor and City Councilmembers
FROM: Sarah Krietor, Administrative Services Manager
Monica Molina, Finance Manager/Treasurer
Via Ashley Jones, City Manager
DATE: September 23, 2024
SUBJECT: 2024 Roy & Marian Holleman Foundation Grant Application & Acceptance of a Separate Donation for Fire Station Equipment
REQUESTED ACTION/RECOMMENDATION:

Staff recommends the City Council: 1) Approve submission of a grant application for $10,000 to the Roy & Marian Holleman Foundation for Fire Station equipment; 2) Accept a separate donation of two refrigerators for the Fire Station; and 3) Authorize the City Manager to execute the required grant and donation documents and accept the grant funds, if awarded.

BACKGROUND:

The mission of the Roy and Marian Holleman Foundation (Foundation) is to provide financial grants and annual support to organizations that qualify as exempt under Section 501(c)(3) of the Internal Revenue Code. A special emphasis is given to those organizations whose mission focuses on education, animals, the environment, and human services.

Marian Holleman held the Del Mar Fire Department (Fire Department) in very high regard and the Foundation has generously provided much needed funding in the past in support of the Fire Department, including funding for the Fire Station kitchen remodel and station furniture. Based on Marian Holleman’s relationship with the Fire Department, the City is identified by the Foundation as an organization that is eligible to submit grant-funding requests for Fire Department related purposes.

Annually, the Fire Department assesses their needs, identifies appropriate unfunded purchases, and applies to receive grant funds from the Foundation. This year the Fire Department also received an offer from a separate private donor to provide two new refrigerators for the Fire Station.
1 September 23, 2024 Item 07
City Council Agenda Report
2024 Roy & Marian Holleman Grant & Acceptance of Appliance Donation September 23, 2024

DISCUSSION/ANALYSIS:

If authorized by the Council, the Fire Department will submit a grant request for $10,000 to the Foundation before the September 30, 2024, deadline. Grant decisions are expected to be made by November 2024. Staff is also requesting Council’s authorization to accept the funds if awarded, and to complete any required progress or final reports.

The proposed purchases include First Arriving equipment (e.g., monitor and rack) which is a first responder digital dashboard, a commercial grade treadmill, gym matts and rubber flooring, rubber weight and plates, an exercise bike, kitchen equipment, and office chairs.

The approximate cost of the items to be purchased is as follows: gym equipment $5,750; kitchen equipment $1,750; office chairs $2,000; and First Arrival equipment $500.

The First Arriving system provides real time incident alerts to facilitate effective station communication and situational awareness. Gym, kitchen, and office equipment purchases will contribute to the overall health and fitness for duty of fire service employees who perform essential safety and first responder services for the City. Investing in wellness equipment and other modest station amenities improves morale, helps prevent workers’ compensation injuries, and ensures fire employees remain response ready.

The City Council is also being asked to accept a separate donation from a member of the public for two Frigidaire French door refrigerators valued at $4,000 combined. The refrigerators come with a one-year parts and labor warranty and are compatible with the existing fire station kitchen configuration. The current refrigerators have been at the station for over 15 years.

FISCAL IMPACT:

There is no fiscal impact to this item. If awarded, an amendment to the Operating and Capital Budget will be included in the Fiscal Year 2024-25 Mid-Year report. 2 September 23, 2024 Item 07
City of Del Mar
Agenda Report
________________________________________________________________________________________________________ City Council Action:

TO: City Councilmembers
FROM: Mayor Dave Druker and Councilmember Dwight Worden, Council Liaisons to the Finance Committee
Prepared by Denise Galvan, Management Analyst
DATE: September 23, 2024
SUBJECT: Finance Committee Appointment
REQUESTED ACTION/RECOMMENDATION:

The City Council Liaisons to the Finance Committee recommend that the City Council appoint Bret D’Vincent as a voting member to the Finance Committee to serve a full three-year term effective September 23, 2024, and ending on September 30, 2027.

DISCUSSION/ANALYSIS:

The Finance Committee (Committee) serves as an advisory committee to the City Council and provides recommendations on City finances including updates to the City’s operating and capital budgets, budget forecasts and trends in revenues, expenditures, project costs and cash flows; Annual Comprehensive Financial Report (ACFR); CalPERS Cost Sharing Pool Reports and the related annual contributions to the Pension Reserve Fund; City’s Pension Reserve Policy; City’s financial metrics; and other assignments from the Council, such as long-term planning, fee assessments, and sources of possible revenues. The Committee consists of seven members well versed in financial matters. At least eight of the Committee members must be residents of Del Mar.

There are currently two vacancies on the Committee due to the term expirations of Jas K Grewal and Laura Pierce on July 31, 2024. City staff advertised the vacancies, and one Citizen Interest Form was received during the recruitment period from Bret D’Vincent (Attachment A). The Council Liaisons to the Committee have reviewed the application and recommend that the City Council appoint Bret D’Vincent as a voting member for a full threeyear term starting on September 23, 2024, and ending on September 30, 2027.

If the recommended appointment is approved by the City Council, the Committee will have one remaining vacancy. A copy of the current Committee roster is included as Attachment B for Council’s reference.

ATTACHMENTS:

Attachment A – Citizen Interest Form
Attachment B – Finance Committee Roster
1 September 23, 2024 Item 08
2 September 23, 2024 Item 08
3 September 23, 2024 Item 08
4 September 23, 2024 Item 08
5 September 23, 2024 Item 08
6 September 23, 2024 Item 08
7 September 23, 2024 Item 08
City of Del Mar
Finance Committee
Appointing Authority City Council
Jeffrey G. Sturgis
3rd Term Nov 10, 2023 - May 30, 2025
Appointing Authority City Council
Position Chair
Laura S Demarco
1st Term May 02, 2022 - May 31, 2025
Appointing Authority City Council
Steven Allen Mcdowell
1st Term Aug 01, 2022 - Aug 31, 2025
Appointing Authority City Council
Michael Minter
1st Term Nov 14, 2022 - Nov 30, 2025
Appointing Authority City Council
Kenneth E Barrett
1st Term Sep 05, 2023 - Sep 30, 2026
Appointing Authority City Council
Position Secretary
Vacancy
Appointing Authority City Council
Vacancy
Board Roster
Finance Committee Page 1 of 1
8 September 23, 2024 Item 08
City of Del Mar
Agenda Report
________________________________________________________________________________________________________ City Council Action:

TO: Honorable Mayor and City Councilmembers
FROM: Kaitlyn Elliott-Norgrove, Special Projects & Programs Manager Via Ashley Jones, City Manager
DATE: September 23, 2024
SUBJECT: California Governor’s Office of Emergency Services Designation of Applicant’s Agent Resolution
REQUESTED ACTION/RECOMMENDATION:

Staff recommends the City Council: 1) Adopt a Resolution (Attachment A) designating the City of Del Mar’s authorized representatives (agents) to execute official documents with the California Governor’s Office of Emergency Services (Cal OES) and the Federal Emergency Management Agency (FEMA); and 2) Authorize staff to complete the updated form (Cal OES 130) required by Cal OES to be executed by the governing body of the jurisdiction requesting reimbursement (Attachment B).

BACKGROUND:

During a declared State and/or Federal disaster, the City of Del Mar is eligible to obtain Federal financial assistance available under Public Law 93-288, as amended by the Robert T. Stafford Disaster Relief and Emergency Assistance Act of 1988, and/or State financial assistance under the California Disaster Assistance Act. The City’s eligibility to receive reimbursements from FEMA and Cal OES requires that the City Council adopt a resolution designating agents for the signing of official documents.

DISCUSSION/ANALYSIS:

The attached resolution designates the City Manager, Assistant City Manager, Finance Manager/Treasurer, and Public Works Director as agents for the City of Del Mar for the purpose of signing official documents related to reimbursement by FEMA and Cal OES for disaster related expenses. A new resolution must be adopted and re-submitted to FEMA and Cal OES every three (3) years. In 2021, the City Council adopted Resolution 2021-44 designating representatives as agents for signing FEMA and Cal OES documents. The designated representatives are unchanged. In addition, a Cal OES Designation of Applicant’s Agent Resolution for Non-State Agencies is also required of all applicants to be eligible to receive funding.
1 September 23, 2024 Item 09
City Council Agenda Report
Designation of Applicant’s Agent Resolution for Cal OES and FEMA September 23, 2024

FISCAL IMPACT:

There is no fiscal impact or action to be taken by the City Council related to this agenda item.

ENVIRONMENTAL IMPACT:

The proposed City Council action does not constitute a “project” under the definition set forth in California Environmental Quality Act (CEQA) Guidelines Section 15378 because it will not have a potential to result in a direct or indirect physical change in the environment and is, therefore, not subject to CEQA. No further action under CEQA is required.

ATTACHMENTS:

Attachment A – Resolution 2024-XX
Attachment B – Designation of Applicant’s Agent Resolution for Non-State Agencies 2 September 23, 2024 Item 09

ATTACHMENT A
RESOLUTION NO. 2024-XX

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF DEL

MAR, CALIFORNIA, DESIGNATING REPRESENTATIVES TO
EXECUTE APPLICATIONS TO THE CALIFORNIA GOVERNOR’S

OFFICE OF EMERGENCY SERVICES FOR OBTAINING

CERTAIN FEDERAL FINANCIAL ASSISTANCE AND/OR STATE

FINANCIAL ASSISTANCE IN THE EVENT OF A DECLARED

DISASTER
WHEREAS, during declared state and federal disasters, the City of Del Mar may experience damage within the City and incur related expenses; and WHEREAS, in order to receive reimbursement for disaster-related expenses, the Federal Emergency Management Agency (FEMA) and the California Governor’s Office of Emergency Services (Cal OES) require the City of Del Mar to adopt a resolution designating official representatives (agents) for purposes of signing official documents.

NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Del Mar, California, that:

1. The above recitals are true and correct; and

2. The City Manager, Assistant City Manager, Finance Manager/Treasurer, and Public Works Director are hereby designated as agents for the City of Del Mar for the purpose of signing City of Del Mar documents related to reimbursement by FEMA and Cal OES for disaster-related expenses, and are hereby authorized to execute for and on behalf of the City of Del Mar, a public entity established under the laws of the State of California, this resolution and to file it with Cal OES for the purpose of obtaining certain federal financial assistance under Public Law 93-288 as amended by the Robert T. Stafford Disaster Relief and Emergency Assistance Act of 1988, and/or state financial assistance under the California Disaster Assistance Act.

PASSED, APPROVED, AND ADOPTED by the City Council of the City of Del Mar, California, at the Regular Meeting held this 23rd day of September, 2024. ________________________________
Dave Druker, Mayor
City of Del Mar
3 September 23, 2024 Item 09
Resolution No. 2024-XX

APPROVED AS TO FORM:
________________________________
Leslie E. Devaney, City Attorney
City of Del Mar
ATTEST AND CERTIFICATION:

STATE OF CALIFORNIA

COUNTY OF SAN DIEGO

CITY OF DEL MAR
I, SARAH KRIETOR, Administrative Services Manager/City Clerk of the City of Del Mar, California, DO HEREBY CERTIFY, that the foregoing is a true and correct copy of Resolution No. 2024-XX, adopted by the City Council of the City of Del Mar, California, at a Regular Meeting held the 23rd day of September, 2024, by the following vote:

AYES:

NOES:

RECUSE:

ABSENT:

ABSTAIN:

Sarah Krietor, Administrative Services
Manager/City Clerk
City of Del Mar
4 September 23, 2024 Item 09

DESIGNATION OF APPLICANT'S AGENT RESOLUTION FOR NON-STATE AGENCIES

BE IT RESOLVED BY THE OF THE
(Governing Body) (Name of Applicant)

THAT , OR
(Title of Authorized Agent)
, OR
(Title of Authorized Agent)
(Title of Authorized Agent)
is hereby authorized to execute for and on behalf of the , (Name of Applicant)
a public entity established under the laws of the State of California, this application and to file it with the California Governor’s Office of Emergency Services for the purpose of obtaining federal financial assistance for any existing or future grant program, including, but not limited to any of the following:
- Federally declared Disaster (DR), Fire Mitigation Assistance Grant (FMAG), California State Only Disaster (CDAA), Immediate Services Program (ISP), Hazard Mitigation Grant Program (HMGP), Building Resilient Infrastructure and Communities (BRIC), Legislative Pre-Disaster Mitigation Program (LPDM), under - Public Law 93-288 as amended by the Robert T. Stafford Disaster Relief and Emergency Assistance Act of 1988, and/or state financial assistance under the California Disaster Assistance Act.
- Flood Mitigation Assistance Program (FMA), under Section 1366 of the National Flood Insurance Act of 1968.
- National Earthquake Hazards Reduction Program (NEHRP) 42 U.S. Code 7704 (b) ((2) (A) (ix) and 42 U.S. Code 7704 (b) (2) (B) National Earthquake Hazards Reduction Program, and also The Consolidated Appropriations Act, 2018, Div. F, Department of Homeland Security Appropriations Act, 2018, Pub. L. No. 115-141 - California Early Earthquake Warning (CEEW) under CA Gov Code – Gov, Title 2, Div. 1, Chapter 7, Article 5, Sections 8587.8, 8587.11, 8587.12 That the , a public entity established under the
(Name of Applicant)
laws of the State of California, hereby authorizes its agent(s) to provide to the Governor’s Office of Emergency Services for all matters pertaining to such state disaster assistance the assurances and agreements required.

STATE OF CALIFORNIA

CALIFORNIA GOVERNOR'S OFFICE OF EMERGENCY SERVICES

DESIGNATION OF APPLICANT'S AGENT RESOLUTION

NON-STATE AGENCIES
OES-FPD-130 (Rev. 10-2022)

RECOVERY DIRECTORATE

FINANCIAL PROCESSING DIVISION
Cal OES ID No: _____________
Rev. 10-2022 Page 1 of 4 OES-FPD-130 073-18506 CITY COUNCIL CITY OF DEL MAR CITY MANAGER ASSISTANT CITY MANAGER FINANCE MANAGER/TREASURE, OR PUBLIC WORKS DIRECTOR CITY OF DEL MAR CITY OF DEL MAR 5 September 23, 2024 Item 09
Please check the appropriate box below
This is a universal resolution and is effective for all open and future disasters/grants declared up to three (3) years following the date of approval.

This is a disaster/grant specific resolution and is effective for only disaster/grant number(s):

Passed and approved this __day of , 20
(Name and Title of Governing Body Representative)
(Name and Title of Governing Body Representative)
(Name and Title of Governing Body Representative)

CERTIFICATION
I, , duly appointed and of
(Name) (Title)
, do hereby certify that the above is a true and
(Name of Applicant)
correct copy of a resolution passed and approved by the (Governing Body)
of the on the day of , 20 .
(Name of Applicant)
(Signature) (Title)

STATE OF CALIFORNIA

CALIFORNIA GOVERNOR'S OFFICE OF EMERGENCY SERVICES

DESIGNATION OF APPLICANT'S AGENT RESOLUTION

NON-STATE AGENCIES
OES-FPD-130 (Rev. 10-2022)

RECOVERY DIRECTORATE

FINANCIAL PROCESSING DIVISION
Rev. 10-2022 Page 2 of 4 OES-FPD-130
✔
23 SEPTEMBER 24 DAVE DRUKER, MAYOR TERRY GAASTERLAND, DEPUTY MAYOR; DWIGHT WORDEN, COUNCILMEMBER DAN QUIRK, COUNCILMEMBER; TRACY MARTINEZ, COUNCILMEMBER SARAH KRIETOR CITY CLERK CITY OF DEL MAR CITY COUNCIL CITY OF DEL MAR 23 SEPTEMBER 24 CITY CLERK 6 September 23, 2024 Item 09
Cal OES Form 130 Instructions
A Designation of Applicant’s Agent Resolution for Non-State Agencies is required of all Applicants to be eligible to receive funding. A new resolution must be submitted if a previously submitted resolution is older than three (3) years from the last date of approval, is invalid, or has not been submitted.

When completing the Cal OES Form 130, Applicants should fill in the blanks on pages 1 and 2. The blanks are to be filled in as follows:

Resolution Section:

Governing Body: This is the group responsible for appointing and approving the Authorized Agents.

Examples include: Board of Directors, City Council, Board of Supervisors, Board of Education, etc.

Name of Applicant: The public entity established under the laws of the State of California.

Examples include: School District, Office of Education, City, County or Non-profit agency that has applied for the grant, such as: City of San Diego, Sacramento County, Burbank Unified School District, Napa County Office of Education, University Southern California.

Authorized Agent: These are the individuals that are authorized by the Governing Body to engage with the Federal Emergency Management Agency and the California Governor’s Office of Emergency Services regarding grants for which they have applied.

There are two ways of completing this section:

1. Titles Only: The titles of the Authorized Agents should be entered here, not their names. This allows the document to remain valid if an Authorized Agent leaves the position and is replaced by another individual. If “Titles Only” is the chosen method, this document must be accompanied by either a cover letter naming the Authorized Agents by name and title, or the Cal OES AA Names document. The supporting document can be completed by any authorized person within the Agency (e.g., administrative assistant, the Authorized Agent, secretary to the Director). It does not require the Governing Body’s signature.

2. Names and Titles: If the Governing Body so chooses, the names and titles of the Authorized Agents would be listed. A new Cal OES Form 130 will be required if any of the Authorized Agents are replaced, leave the position listed on the document, or their title changes.

STATE OF CALIFORNIA

CALIFORNIA GOVERNOR'S OFFICE OF EMERGENCY SERVICES

DESIGNATION OF APPLICANT'S AGENT RESOLUTION

NON-STATE AGENCIES
OES-FPD-130 (Rev. 10-2022)

RECOVERY DIRECTORATE

FINANCIAL PROCESSING DIVISION
Rev. 10-2022 OES-FPD-130 Page 3 of 4
7 September 23, 2024 Item 09
Checking Universal or Disaster-Specific Box: A Universal resolution is effective for all past disasters and for those declared up to three (3) years following the date of approval. Upon expiration it is no longer effective for new disasters, but it remains in effect for disasters declared prior to expiration. It remains effective until the disaster goes through closeout unless it is superseded by a newer resolution.

Governing Body Representative: These are the names and titles of the approving Board Members.

Examples include: Chairman of the Board, Director, Superintendent, etc. The names and titles cannot be one of the designated Authorized Agents. A minimum of three (3) approving board members must be listed. If less than three are present, meeting minutes must be attached in order to verify a quorum was met.

Certification Section:

Name and Title: This is the individual in attendance who recorded the creation and approval of this resolution.

Examples include: City Clerk, Secretary to the Board of Directors, County Clerk, etc. This person cannot be one of the designated Authorized Agents or Approving Board Member. If a person holds two positions (such as City Manager and Secretary to the Board) and the City Manager is to be listed as an Authorized Agent, then that person could sign the document as Secretary to the Board (not City Manager) to eliminate “Self-Certification.”

STATE OF CALIFORNIA

CALIFORNIA GOVERNOR'S OFFICE OF EMERGENCY SERVICES

DESIGNATION OF APPLICANT'S AGENT RESOLUTION

NON-STATE AGENCIES
OES-FPD-130 (Rev. 10-2022)

RECOVERY DIRECTORATE

FINANCIAL PROCESSING DIVISION
Rev. 10-2022 Page 4 of 4 OES-FPD-130
8 September 23, 2024 Item 09
City of Del Mar
Agenda Report
________________________________________________________________________________________________________ City Council Action:

TO: Honorable Mayor and City Council Members
FROM: Amanda Lee, Principal Planner
Karen Brindley, Planning and Community Development Director Via Ashley Jones, City Manager
DATE: September 23, 2024
SUBJECT: Introduction of Ordinances to Repeal and Replace Del Mar Municipal Code Chapters 24.21 and 24.40 Relating to Inclusionary Housing and Condominium Conversion Regulations and Amend the Municipal Code and Local Coastal Program to Make Minor Corrections to the North Commercial and Professional Commercial Zones for Consistency With the Citywide Inclusionary Housing Regulations
REQUESTED ACTION/RECOMMENDATION:

Staff recommends the City Council take the following actions to address City commitments in 6
th Cycle Housing Element (2021-2029) Programs 4D and 4E relating to inclusionary housing and condominium (condo) conversion regulations, which will apply consistently citywide, including discretionary review as applicable:
1) Confirm the environmental determination that the proposed Ordinances are not subject to the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines Section 15061(b)(3) because the activity is covered by the common-sense exemption that CEQA only applies to projects which have the potential for causing a significant effect on the environment.
2) Introduce an Ordinance (Attachment A) to repeal and replace the DMMC regulations in Chapter 24.21 (Inclusionary Housing) and regulations in Chapter 24.40 (Condo Conversions) by amending the DMMC (A24-001 and A24-002) to implement Housing Element Programs 4D and 4E; and
3) Introduce an Ordinance (Attachment B) to amend the Del Mar Municipal Code (DMMC) Section 30.24.070(A) North Commercial Zone Development Standards and Section 30.25.070(A) Professional Commercial Zone Development Standards in the City’s Municipal Code and certified Local Coastal Program (LCP) by amending the Municipal Code (ZA24-005) and LCP (LCPA24-004) to make minor corrections for consistency with the citywide Inclusionary Housing regulations. 1 September 23, 2024 Item 10
City Council Agenda Report
Inclusionary Housing/Condo Conversion Regulations
September 23, 2024

BACKGROUND:

The requested actions are needed to implement 6th Cycle Housing Element Programs 4D and 4E relating to the topics of inclusionary housing and condo conversions. During the 6th Cycle Housing Element update process, a comment letter was submitted to the California Department of Housing and Community Development (HCD) by a law firm (Allen Matkins) expressing concern that the City’s existing inclusionary housing requirements act as a barrier to affordable housing development. This resulted in HCD requesting that the City commit to amending the existing inclusionary housing and condo conversion regulations to remove barriers to the development of affordable housing as part of the City’s 6th Cycle Housing Element. Refer to Attachment C for summaries of the proposed inclusionary housing and condo conversion amendments.

Following is background information relating to additional factors to be considered:

RHNA Progress: For the 6th Cycle Housing Element, the City’s total housing unit obligation is 175 units. The 175-unit allocation consists of 31 above-moderate; 31 moderate; and 113 lower income units. City permit approvals are on track to produce more housing by the end of the housing cycle in 2029 than the total 175 RHNA units assigned to Del Mar. The inclusionary housing regulations and condo conversion regulations will require lower income units when multi-unit development is proposed (i.e., density bonus projects and condominium maps), which will help fulfill the remaining obligation for lower income units as shown in Table 1:

Table 1. Status of the City of Del Mar’s RHNA Progress
Income
Level
6th Cycle
RHNA
Obligation
6th Cycle
2020-
2024
941CDM /
Watermark
(building
permits
pending)
Total
Units
Approved
Remaining RHNA
Obligation
Plans to Address per
Certified Housing Element
Above
Moderate 31 units 41 units 46 units 87 units None (56 units above RHNA)
Multi-Unit Housing and
ADUs
Moderate
31 units 64 units - 64 units None (33 units above
RHNA)
ADUs
Low 76 units - 8 units 8 units 68 units Incentive Programs, Fairgrounds, City-owned
Properties, Density Bonus
Projects in Commercial
zones (NC, PC, CC zones), SB
9 projects
Very Low/
Extremely
Low 37 units - 4 units 4 units 33 units
TOTAL
175 units 105 units 58 units 163 units
Only 12 units short of
175 total RHNA unit
target by year 2029
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Inclusionary Housing/Condo Conversion Regulations
September 23, 2024

Household Income Levels: Tenants qualify for affordable housing units based on household income level. Currently, the Area Median Income (AMI) for the San Diego region, effective April 17, 2024, is $119,500. The gross income range for a low-income household is 50-80% of AMI, 30-50% for very low income, and 15-30% for extremely low income. This means a one-person household qualifies as lower income with an income that does not exceed $84,900. See Attachment D for the 2024 San Diego region AMI chart.

Condo Development - Potential Locations: The City has records of at least 65 subdivision maps processed since 1985 to create condos. Currently, the City has 17 multi-unit condo complexes with a combined total of 421 units and individual complexes that range in size between 5 units and 126 units. The remainder of the condo maps were processed for twounit development condo ownership projects in the R2 and RM zones. Historically in Del Mar, condo conversions have only been processed for two-unit projects. The City has 10 existing apartment complexes with a combined total of 374 units and individual complexes that range between 12 and 97 units, which provide rental housing options. See Attachment E for location details.

State Density Bonus Law (DBL) and Affordable Housing Feasibility: See Attachment F for a summary of State DBL. For details on prior analysis of feasibility studies conducted in 2022 and 2023 to assess feasibility of affordable housing development under various site scenarios refer to the following links:

Housing Element Appendix E – Feasibility of Public Sites:
https://www.delmar.ca.us/DocumentCenter/View/8627/Appendix-E---Phase-IStudies_FINAL Housing Element Appendix I – Feasibility of Privately-Owned Sites:
https://www.delmar.ca.us/DocumentCenter/View/8628/Appendix-I---Phase-IIStudies_FINAL Processing of the Ordinances has involved the following:
• Preparation of code amendment drafts that were posted on the City’s web page for public review.
• Notification to the public of availability of draft amendments for public review and notice of the Planning Commission hearing was provided electronically through the City’s weekly newsletter and formal public notice of the availability of drafts and the public hearing dates was posted at City Hall, published on the City website and in the newspaper, and mailed to interested persons.
• Completion of environmental analysis of the code amendments in accordance with the CEQA as necessary to demonstrate compliance with CEQA, the Coastal Act, and the City’s certified Local Coastal Program.
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Inclusionary Housing/Condo Conversion Regulations
September 23, 2024

• Recommendation by the Del Mar Planning Commission on July 9, 2024, in a noticed public hearing for adoption of the Ordinances as described below. • Notification of the City Council public hearing was posted at City Hall, published on the City website and in the newspaper, and mailed to interested persons.

On July 9, 2024, the Planning Commission considered the proposed inclusionary housing and condo conversion code amendments. The Planning Commission took action to unanimously confirm the staff determination that the project is exempt from CEQA and recommended approval to the City Council of the proposed code amendments per the staff recommendation with one recommended modification to the inclusionary housing requirement to require 15% inclusionary housing for projects with 20 or fewer units and maintain the existing 20% inclusionary requirement for projects with more than 20 units.

As discussed with the Planning Commission, the staff recommendation accounts for project size and maximizes the number of affordable units. To ensure feasibility is maintained for housing sites in the Housing Element sites inventory (consistent with the feasibility analysis referenced above), the threshold for 15% inclusionary was slightly modified in the Ordinance to apply to projects with less than 30 units and maintain the existing 20% inclusionary requirement for projects with 30 units or more.

For additional information on Housing Element implementation, refer to the City’s website:
https://www.delmar.ca.us/852/6th-Cycle-Housing-Element-Program-Implem DISCUSSION/ANALYSIS:

Inclusionary Housing
Inclusionary housing is a type of planning strategy imposed on residential development projects to produce affordable housing. The objective for these amendments is to modify the local inclusionary housing requirements to remove any impediments to the production of units to meet the City’s 113 lower income unit RHNA and establish consistency with applicable State laws, including State Density Bonus Law (DBL).

The proposed regulations would repeal and replace the existing inclusionary housing requirements set forth in DMMC Chapter 24.21 (see Attachment A for the proposed Ordinance and compare to the existing regulations in the link below):
https://library.municode.com/ca/del_mar/codes/municipal_code?nodeId=TIT24SU_CH24.21

DEAFHOMI
The proposed regulations identify the purpose, definitions, applicability, required mitigation and calculation methodology, and the required inclusionary housing agreement components and standards. The regulations also identify procedures for an applicant to request an exception to avoid a taking, enforcement procedures, and appeal procedures. 4 September 23, 2024 Item 10
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Inclusionary Housing/Condo Conversion Regulations
September 23, 2024

To ensure consistent citywide implementation, a set of companion amendments with minor corrections are also being processed to remove outdated references to inclusionary housing in the North Commercial Zone (DMMC Chapter 30.24) and Professional Commercial Zone (DMMC Chapter 30.25). See Attachment B for the Ordinance and strikeout-underline copy.

Currently, multi-unit housing development projects, including new condominiums and condo conversions, must set-aside at least one of the new units for rental at below market rate to a low-income household (projects with less than 10 units) or set-aside at least 20% of the new units for projects with 10 or more units. Existing DMMC Sections 24.21.025 and 24.21.030 provide alternative options for the developer to pay in-lieu fees or develop the affordable units off-site instead of constructing the affordable units on-site.

As proposed, multi-unit housing will require an affordable housing regulatory agreement and must provide a minimum 15% set-aside of lower income units. The existing alternative options for payment of in-lieu fees and off-site development would be removed, except for subdivision map projects that create new lots but do not propose units, which would still be required to pay one in-lieu fee per net-new lot that is created.

This meets the project objectives to reduce the inclusionary housing requirement for small sites (below existing 20% requirement) to improve project feasibility, achieve consistency with State DBL, and remove the in-lieu fee option to ensure lower income units are built on-site.

The proposal is generally consistent with the 15% lower income inclusionary housing standard in the cities of Solana Beach, Encinitas, and Poway; and the City of Encinitas requirement to build lower income units on-site. A comparison between Del Mar’s existing and proposed inclusionary housing regulations is provided in Table 2.

Table 2. Summary of Proposed Code Amendments
Existing Proposed Applicability
Mitigation for
Multi-Unit
Housing
Development
including
New Condos
Requires set-aside of at
least one unit for rental at
below market rate to a lowincome household
(projects with less than 10
units) or set-aside at least
20% of the units for rental
at specified lower income
household rental rates
(projects with 10 or more
units).

Multi-unit projects (less
than 30 net-new units)
require 15% set-aside of
lower income units (at
least one unit).

Large multi-unit projects
(30 net-new units or more)
require 20% set-aside of
lower income units.

Projects with 50 or more
units must reserve at least
20% of inclusionary units
Applies to multi-unit
projects with lower income
housing component (i.e.,
RM, NC, PC, CC zones)1.

Accounts for project size
and maximizes the
number of required
affordable units while
maintaining feasibility in
consideration of feasibility
studies prepared by
Stephen Dalton Architects
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Inclusionary Housing/Condo Conversion Regulations
September 23, 2024

Allows payment of in lieu
fee (projects with 5 or
fewer units).
for extremely low-income
households.

Eliminates the prior
alternative compliance
options for payment of inlieu fees or off-site
development.
and Keyser Marston
Associates January 2023.

Provides for creation of
extremely low-income
units in projects with 50 or
more units.

Mitigation for
Condo
Conversions
Requires set-aside of at
least one unit for rental at
below market rate to a lowincome household
(projects with less than 10
units) or set-aside at least
20 percent of the units for
rental at specified lower
income household rental
rates (projects with 10 or
more units).

Allows in-lieu fee (projects
with 5 or fewer units); or
donation of an equivalent
off-site unit(s).

Requires two-unit condo
conversions to provide one
low-income unit on-site.

Conversions with more
than two units shall
provide at least 15%
inclusionary units for
projects with less than 30
units and at least 20% for
projects with 30 or more
units.

Applies to conversions
two-unit development or
apartments in the RM1/R22
zones. Apartment
conversions are expected
to be less likely based on
project feasibility.

Ensures at least one low
income unit is produced
on-site as mitigation.

Allows owners to use onsite Accessory Dwelling
Units (ADUs) to meet the
inclusionary requirement.

Mitigation for
Creation of
New Lots
Requires payment of one
in-lieu fee for each netnew lot created as part of
the subdivision (currently
$27,350 per lot per the
2024-2025 fee schedule)
No change
Applies to proposed
subdivisions to create new
lots via Tentative Parcel
Map (minor subdivision) or
Tentative Map (major
subdivision).
1Medium Density Mixed Residential (RM); North Commercial (NC); Professional Commercial (PC); Central Commercial (CC) Zones; 2High Density Mixed Residential (R2) Zone In accordance with State Density Bonus law (DBL), projects with five or more units are eligible to process a density bonus project application. To ensure consistency with the 2013 Napa court case standard, local jurisdictions must allow the same set of affordable units to fulfill both the State DBL and inclusionary housing requirements for the number of affordable units and level of affordability.

For implementation purposes, the number of affordable units required in a project per State DBL is calculated using the base zone density (pre-density bonus), but inclusionary housing mitigation is calculated based on the total net-new units in the project. The proposed inclusionary housing regulations are consistent with State DBL and the local Density Bonus Ordinance (DMMC Chapter 30.90) adopted by the City Council on May 6, 2024:
https://www.delmar.ca.us/DocumentCenter/View/9481/Ord-1007 To account for project size and feasibility, staff recommends retaining the existing 20% inclusionary requirement for projects with 30 or more units and that a 15% inclusionary 6 September 23, 2024 Item 10
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Inclusionary Housing/Condo Conversion Regulations
September 23, 2024

requirement apply to projects with less than 30 units. The proposed approach would improve feasibility for the City’s smaller sites that are relied upon in the Housing Element sites inventory as adequate sites for lower income housing; and maintains the comparatively higher feasibility for larger sites that can develop projects with 30 or more units.

As shown in Table 3, at least five sites analyzed in the Housing Element have future potential for affordable housing projects with at least 30 units. The table identifies a maximum density bonus scenario for each site based on the existing NC Zone density of 20 du/ac and as applicable to potential future site capacity (North Bluff/South Stratford) if rezoned to allow 20 du/ac density:

Table 3. Sites With Future Potential for Affordable Housing (30 Units or More) APN/Address Ownership Gross Acreage/
Zone
Unit Potential for DBL Project if
Zone Allows 20 du/ac Density
301-010-01
301-010-02
300-321-14
(Stratford Ct)
Torrey Pacific Group
Staver

4.94 acres
R1-40 zone
Would require zone amendment:
• 99 units base density
• 149 unit-DBL project with 30
lower income units to meet 20%
inclusionary
929 Border Ave
298-241-06
Stensrud Lazier Holding
Trust

5.42 acres
R1-40
Would require zone amendment:
• 109 units base density
• 164 unit-DBL project with 33
lower income units to meet 20%
inclusionary
298-241-29
298-241-34
298-241-35
298-241-36
Delfina Mar Development
Whalen

5.54 acres
R1-14
R1-40
Would require zone amendment:
• 111 units base density
• 167 unit-DBL project with 34
lower income units to meet 20%
inclusionary
2002 Jimmy
Durante Blvd1
Tradewinds Village Retail
Hinds Investments LP

1.42 acres
NC Zone
• 29 units base density
• 44 unit-DBL project with 9 lower
income units to meet 20%
inclusionary
2010 Jimmy
Durante Blvd1
Bungalows Del Mar LLC 2.12 acres
NC Zone
• 43 units base density
• 65 unit-DBL project with 13
lower income units to meet 20%
inclusionary
1As proposed, projects with 50 or more net-new dwelling units must provide 20% of the inclusionary units for occupancy by extremely low income (ELI) households. As such, the projects listed above would require at least 6 ELI out of 30 inclusionary (Staver), at least 7 ELI out of 33 inclusionary (Lazier), at least 7 ELI out of 34 inclusionary (Whalen), at least 2 ELI out of 9 inclusionary (2002 JDB), and at least 3 ELI out of 13 inclusionary (2010 JDB). 2The KMA economic analysis (January 2023) identifies that a 43-unit mixed use/mixed income project at 2010 Jimmy Durante Blvd could be highly feasible if the owner is allowed to keep existing office space and add residential, which is similar to a potential mixed use/mixed income scenario for 2002 Jimmy Durante Blvd. 7 September 23, 2024 Item 10
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September 23, 2024

Imposition of 20% inclusionary on smaller sites (less than 30 units or less than one acre) can significantly lower feasibility for production of lower income units. Per the KMA 2023 economic analysis, 20% inclusionary can cause low feasibility for smaller sites compared to moderate or high feasibility at 15% inclusionary. This is why 30-units is the proposed threshold because a 20-unit threshold for 20% inclusionary could impact feasibility of potential sites, including sites not in the Housing Element sites inventory and the following Housing Element sites:
• 2120 Jimmy Durante Blvd (.9 acre) - 18 units base density, 27 unit-DBL project • 2148/2236 Jimmy Durante Blvd (.8 acre) - 16 units base density, 24 unit-DBL project Condominium Conversions
Under California Civil Code §1351(f), a condo is “an estate in real property that consists of an undivided interest in common in a portion of real property coupled with a separate interest in a space called a unit”. Condo conversions are a type of subdivision that requires processing a subdivision map to convert rental units to individual ownership per the Subdivision Map Act and DMMC Chapter 24.40. The proposed regulations (Attachment A) would repeal and replace the existing condo conversion regulations in DMMC Chapter 24.40 - see link below:
https://library.municode.com/ca/del_mar/codes/municipal_code?nodeId=TIT24SU_CH24.40 COREPR
Condo conversions can adversely impact the availability of existing older rental housing stock, which is an important source of comparatively more affordable, lower rent housing in Del Mar.

The existing condominium conversion regulations (DMMC Chapter 24.40) have not changed much over time, which has resulted in some inconsistencies between newer State laws and the local condo conversion regulations. The proposed amendments will help to modernize the City’s regulations and establish consistency with the citywide inclusionary housing requirement.

The proposed condo conversion regulations are consistent with the Subdivision Map Act, require disclosure of the existing property conditions to prospective buyers, and include measures to preserve existing rental units as necessary to meet Housing Element goals.

Where a proposed change to condo ownership is appropriate, it requires dedication of units for lower income households on-site consistent with the inclusionary housing regulations.

The most significant change is that conversion of two rental units to condo ownership units will have to provide one unit on site that is income restricted for a low-income household for 55 years with no option to pay an in-lieu fee. The owner would be able to use an on-site Accessory Dwelling Unit (ADU) (existing or proposed) to meet that requirement. A new ADU would be processed though the City’s typical administrative ADU permit approval process.

Consistent with the State limitations on rent for income restricted units, owners would be required to rent low-income units to a household that earns no more than eighty percent (80%) of the area median income (AMI) with rent restricted to a maximum of thirty percent (30%) of the gross income for a low-income household based on current AMI. 8 September 23, 2024 Item 10
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September 23, 2024

Staff recommends the City Council introduce the proposed Ordinances to address the Housing Element commitments and continue to process condo map applications consistent with the citywide requirements for inclusionary housing and condo conversions, which is supported by the following findings:

1. Ensures that condominium conversion projects require discretional approval of a subdivision map consistent with the Subdivision Map Act (State law) and the Del Mar Municipal Code. No applications requesting approval of a condominium conversion may be approved through a ministerial “by right” process.

2. Any income-restricted affordable units within proposed condo conversion projects must be retained and subject to the same income restrictions and affordability levels.

3. Ensures there is no net loss of housing stock and imposes mitigation on condominium conversion projects to ensure that at least one income-restricted affordable dwelling unit will be provided onsite within each project to minimize the potential effects of the change in ownership from rental units to ownership units.

4. Requires inclusionary housing mitigation as follows:
a. Condominium conversion projects that create no net-new units must set-aside at least one income-restricted low-income unit onsite.
b. Projects that create less than 30 net-new units must set-aside at least 15% of the net-new units for lower income households on-site as the project’s inclusionary units instead of the existing 20% requirement.
c. Projects that create 30 or more net-new units must set-aside at least 20% of the net-new units for lower income households on-site as project’s inclusionary units. d. Projects that create 50 or more net-new units must reserve at least 20% of the inclusionary units for extremely low-income households. e. Continues to require payment of one in-lieu fee for each net-new lot created as part of a subdivision.

HOUSING IMPACT: The proposed amendments would bring the DMMC into compliance with State law, remove potential impediments to the production of lower income units, remove options for in-lieu fees and off-site development, ensure lower income units including extremely low income units will be incorporated on-site in future projects with 50 or more units, and require findings for approval of condo conversions as a means to preserve existing older apartments that are not income-restricted and provide needed lower cost rental options. 9 September 23, 2024 Item 10
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September 23, 2024

FISCAL IMPACT: There is no fiscal action to be taken by the Council for this agenda item.

ENVIRONMENTAL IMPACT: The requested action is not subject to the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines Section 15061(b)(3) because the activity is covered by the common-sense exemption that CEQA only applies to projects which have the potential for causing a significant effect on the environment. There would be no change to the existing development potential and no change to the existing map and permit processes currently in place. The proposed Ordinances have been analyzed and it has been determined that they would not result in significant effects on the environment.

NEXUS TO CITY COUNCIL GOALS AND PRIORITIES:

Implementation of the code amendment commitments in the City’s 6th Cycle Housing Element is a Tier 1 (Highest) City Council priority work plan.

ATTACHMENTS:

Attachment A – Ordinance Inclusionary Housing and Condo Conversion Regulations Attachment B – Ordinance to Amend NC and PC Zones with Minor Corrections Attachment C – Summaries of the Proposed Amendments
Attachment D – 2024 AMI Chart for San Diego Region
Attachment E – Locations of Potential Condominium Development Attachment F – Summary of State Density Bonus Law
10 September 23, 2024 Item 10

ATTACHMENT A
ORDINANCE NO. XXXX

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF

DEL MAR, CALIFORNIA, TO REPEAL AND REPLACE THE
DEL MAR MUNICIPAL CODE (DMMC) CHAPTER 24.21

INCLUSIONARY HOUSING REQUIREMENTS AND
CHAPTER 24.40 CONDOMINIUM CONVERSION
REGULATIONS TO IMPLEMENT THE 6TH CYCLE
HOUSING ELEMENT PROGRAMS 4D AND 4E THROUGH
MUNICIPAL CODE AMENDMENTS (A24-001 AND A24-002)
WHEREAS, the City of Del Mar is a charter city and State housing law applies to all general law and charter cities in the State of California; and WHEREAS, the State legislature declared that “housing is a statewide concern”, that California faces a housing crisis, and local jurisdictions are mandated to comply with applicable State housing laws; and
WHEREAS, the City of Del Mar Community Plan is the General Plan for the City and has an overall goal to “preserve and enhance the special character of Del Mar”, which includes maintaining the “village-like community of substantially single family residential character, a picturesque and rugged site, and a beautiful beach” as well as preserving and enhancing “Del Mar’s special residential character and small town atmosphere with its harmonious blending of buildings and landscape in proximity to a beautiful shoreline”; and
WHEREAS, the City’s certified Housing Element is one of many required components that is part of the Del Mar Community Plan consistent with State laws applicable to General Plans; and
WHEREAS, the certified Housing Element identifies programs and resources required for the preservation, improvement, and production of housing to meet the existing and projected needs of its population which requires the creation of additional affordable housing stock at a range of income levels; and WHEREAS, the certified Housing Element for the 6th Cycle (2021-2029) requires the City to accommodate a regional housing need allocation (RHNA) of 163 housing units, comprised of 37 very-low income units, 64 low-income units, 31 moderate-income units, and 31 above moderate-income units, and an additional 12 low income unit “carryover” from the 5th Cycle planning period (2013-2021) for a total obligation of 175 units, including 113 lower income units as well as 100 additional opportunities for moderate income households, lower income households, and special needs households; and WHEREAS, the City has made and continues to make progress toward its housing programs and housing production targets in its certified Housing Element and relies on the inclusionary housing regulations as a means to require dedication of lower income units that would not otherwise be produced through private development projects; and 11 September 23, 2024 Item 10
Ordinance No. XXXX

WHEREAS, the City is required to implement Housing Element Programs 4D and 4E to update the City’s inclusionary housing regulations and condominium (condo) conversion regulations to remove impediments to production of lower income housing in the existing code regulations; and
WHEREAS, the existing inclusionary housing regulations (DMMC Chapter 24.21) are being repealed and replaced to facilitate the production of housing including lower income units and remove impediments to the development of small projects with less than 30 dwelling units; and
WHEREAS, the inclusionary regulations require condo conversions to provide at least one lower income unit on-site and require multi-unit projects creating less than 30 net-new units to set-aside at least 15% of the net-new units for lower income households on-site as the project’s inclusionary units instead of the existing 20% requirement; and WHEREAS, the inclusionary regulations require multi-unit projects creating 30 or more net-new units to set-aside at least 20% of the net-new units for lower income households on-site as project’s inclusionary units and require projects creating 50 or more net-new units to reserve at least 20% of the inclusionary units for extremely low-income households on-site; and
WHEREAS, the existing condo conversion regulations (DMMC Chapter 24.40) are being repealed and replaced to modernize the City’s regulations to establish consistency with State law and the citywide inclusionary housing regulations; and WHEREAS, ordinance provisions to modify the inclusionary housing threshold for development of net-new dwelling units and condo conversions that better account for project size and remove prior options to locate units off-site or pay an in-lieu fee are expected to remove potential impediments and result in production of lower income units to meet RHNA for the 6th Cycle and future housing cycles; and WHEREAS, the Municipal Code Chapters 24.21 and 24.40 being amended are not a part of the City’s certified Local Coastal Program (LCP), which means the Ordinance is not subject to certification by the Coastal Commission; and WHEREAS, the City of Del Mar is located entirely within the “Coastal Zone” boundary and all proposed coastal development, including future multi-unit development and subdivisions subject to inclusionary housing, will be subject to permit review and processing in compliance with the City’s certified LCP, which means there is no potential for a significant effect on the environment as a result of this Ordinance; and WHEREAS, the Notice of Planning Commission public hearing was posted in the Coast News and at City Hall and mailed to interested persons on June 21, 2024; and WHEREAS, on July 9, 2024, the Planning Commission unanimously recommended approval to the City Council with a recommended modification to ensure 12 September 23, 2024 Item 10
Ordinance No. XXXX

the inclusionary housing regulations account for project size and maximize the number of affordable units developed; and
WHEREAS, on August 22, 2024, the notice of City Council public hearing was published in the Del Mar Times and mailed to interested persons; and WHEREAS, consideration of the Ordinance in a noticed public hearing will satisfy a commitment in the settlement agreement for withdrawal of the Referendum against City Ordinance 973 related to allowable 20 dwelling unit per acre density in the North Commercial Zone; and
WHEREAS, adoption of this Ordinance will satisfy the City commitments set forth in the certified 6th Cycle Housing Element Programs 4D and 4E.

NOW THEREFORE, the City Council of the City of Del Mar, California hereby ordains as follows:

SECTION ONE: That the City Council of the City of Del Mar, California, based on substantial evidence in the whole of the administrative record, hereby finds and declares that the above stated Recitals and the following findings are true and correct and are incorporated by reference into this action:

1. This Ordinance ensures that condominium conversion projects require discretional approval of a subdivision map consistent with the Subdivision Map Act (State law) and the Del Mar Municipal Code. No applications requesting approval of a condominium conversion may be approved through a ministerial “by right” process.

2. This Ordinance requires that any income-restricted affordable units within proposed condo conversion projects be retained and subject to the same income restrictions and affordability levels.

3. This Ordinance ensures there is no net loss of housing stock and imposes mitigation on condominium conversion projects to ensure that at least one income-restricted affordable dwelling unit will be provided onsite within each project to minimize the potential effects of the change in ownership from rental units to ownership units.

4. This Ordinance requires inclusionary housing mitigation as follows:
a. Condominium conversion projects that create no net-new units must set-aside at least one income-restricted low income unit onsite. b. Projects that create less than 30 net-new units must set-aside at least 15% of the net-new units for lower income households on-site as the project’s inclusionary units instead of the existing 20% requirement.
13 September 23, 2024 Item 10
Ordinance No. XXXX

c. Projects that create 30 or more net-new units must set-aside at least 20% of the net-new units for lower income households on-site as project’s inclusionary units.
d. Projects that create 50 or more net-new units must reserve at least 20% of the inclusionary units for extremely low-income households. e. Continues to require payment of one in-lieu fee for each net-new lot created as part of a subdivision.

5. Prior to adoption of this Ordinance, processing of the Ordinance involved the following:
a. Preparation of code amendment drafts that were posted on the City’s web page for public review.
b. Notification to the public of availability of draft amendments for public review where public notice was provided electronically through the City’s weekly newsletter and formal public notice of the availability of drafts and the public hearing dates was posted at City Hall, published in the newspaper, and mailed to interested persons. c. Completion of environmental analysis of the code amendments in accordance with the California Environmental Quality Act (CEQA) and the California Coastal Act as necessary to demonstrate compliance with CEQA, the Coastal Act, and the City’s certified Local Coastal Program.
d. Conduction of a noticed public hearing of the Del Mar Planning Commission on July 9, 2024, where the Planning Commission provided a recommendation to the City to adopt the amendments with specified revisions.
e. Conduction of a noticed public hearing to introduce the Ordinance during a meeting of the Del Mar City Council on September 9, 2024.

SECTION TWO: That existing DMMC Chapter 24.21 Inclusionary Housing Requirements shall be repealed and replaced in its entirety as follows:
14 September 23, 2024 Item 10
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Chapter 24.21 INCLUSIONARY HOUSING

24.21.010 Purpose and Intent.

Local governments have a responsibility to exercise their powers to facilitate the development of housing to adequately provide for the housing needs of all economic segments of the community, as stated in Government Code Section 65580. The City’s Housing Element identifies that the City of Del Mar faces a shortage of affordable dwelling units and calls for the continued implementation of an inclusionary housing program as an affordable housing mitigation strategy to produce affordable housing at low-, very low-, and extremely low-income levels.

The purpose of this Chapter is to ensure that the limited remaining developable land in the City is utilized in a manner consistent with the City’s housing polices and needs. The provisions of this Chapter advance a legitimate State interest by establishing standards and procedures to facilitate the development of housing that is affordable to a range of households with varying income levels. The intent of this Chapter is to materially reduce cost impacts and increase the financial feasibility of affordable housing production to ensure that the addition of affordable dwelling units is in proportion with the overall increase in new dwelling units, and that the same affordable dwelling units are counted towards both the inclusionary housing and density bonus law provisions under this Code, consistent with State law and case law authority.

24.21.020 Definitions.

For purposes of implementing the provisions of this Chapter, the following words and phrases shall have the meaning as assigned below.

Affordable housing shall mean housing for which the total housing cost paid by a qualifying household, including utilities, does not exceed a specified percentage of the local area median income (AMI), as published and periodically updated by the State of California Department of Housing and Community Development (HCD) in accordance with Section 50093 of the California Health and Safety Code. The following household income categories meet the State law criteria for lower income affordable housing:

1. Low-income household shall mean a lower income household whose gross income is in the range of 50 to 80 percent of AMI, adjusted for household size.

2. Very low-income household shall mean a lower income household whose gross income is in the range of 30 to 50 percent of AMI, adjusted for household size.

3. Extremely low-income household shall mean a lower income household whose gross income is in the range of 15 to 30 percent of AMI, adjusted for household size.
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Household shall mean one person living alone or two or more persons sharing a dwelling unit.

Inclusionary unit shall mean a dwelling unit, offered for sale or rent, at affordable housing rates to low-, very low-, or extremely low-income households.

Market-rate unit shall mean a dwelling unit, offered for sale or rent, on the open market at the prevailing market rate.

Ownership unit shall mean a dwelling unit designed and intended to be sold.

Primary Residence means a dwelling unit owned and occupied as the owner’s principal place of residence, where the owner lives more than six (6) months per year. For purposes of this Chapter, an owner can only have one primary residence at any given time.

Rental unit shall mean a dwelling unit designed and intended to be rented.

24.21.030 Applicability.

A. This Chapter shall apply to residential development projects, where the dwelling units will be offered for sale or rent, resulting in:

1. The development of two (2) or more dwelling units, including, but not limited to, mixed income projects, and mixed-use projects; or

2. The conversion of two (2) or more dwelling units to condominiums in accordance with Chapter 24.40 of this Code.

B. This Chapter shall apply to the creation of lots through a subdivision map.

C. This Chapter shall not apply to the following:

1. Projects that are not a residential development project or that do not include a residential development component.

2. Projects for which the City enters into a development agreement in accordance with Government Code Sections 65864 et seq. before the effective date of this Chapter, provided that the project complies with the inclusionary requirements set forth in such development agreement or any preceding inclusionary housing ordinance in effect on the date the development agreement was executed.

3. Construction, alteration, improvement, expansion, or extension of existing dwelling units, provided that the number of dwelling units is not increased, 16 September 23, 2024 Item 10
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except that this Chapter shall apply to the subdivision of land for the conversion of apartments to condominiums.

4. Reconstruction, restoration, or rebuilding of dwelling units to replace previously existing dwelling units on the same lot that were involuntarily damaged or destroyed within two (2) years prior to the application for a building permit for the new dwelling units, provided that the number of dwelling units is not increased.

5. Construction of accessory dwelling units in accordance with Chapter 30.91 of this Code.

6. Construction of homeless shelters, supportive housing, transitional housing, residential care facilities, and health care facilities.

7. Conversion of mobile home parks in accordance with Chapter 24.44 of this Code.

24.21.040 Required Mitigation and Calculation Methodology.

A. Inclusionary Units.

1. All residential development projects subject to this Chapter that result in the creation of net-new dwelling units shall reserve a portion of the units on-site as inclusionary units for occupancy by low-, very low-, or extremely low-income households as follows:
a. Projects with less than 30 net-new dwelling units shall provide at least fifteen percent (15%) of the dwelling units as inclusionary units for occupancy by low-, very low-, or extremely low-income households. The inclusionary housing calculation shall be taken from the total number of net-new units.
b. Projects with 30 net-new dwelling units or more shall provide at least twenty percent (20%) of the dwelling units as inclusionary units for occupancy by low-, very low-, or extremely low-income households.

The inclusionary housing calculation shall be taken from the total number of net-new units.
c. Projects with 50 net-new units or more, shall comply with Section

24.21.040(A)(1)(b) for the total number of inclusionary units and at least twenty percent (20%) of the inclusionary units provided shall be reserved for occupancy by extremely low-income households. 17 September 23, 2024 Item 10
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2. Condominium conversion projects subject to this Chapter shall provide inclusionary units on-site for occupancy by low-, very low-, or extremely low-income households as follows:
a. Two-unit condominium conversion projects shall provide one lowincome unit on-site. b. Condominium conversion projects with more than two units shall provide at least fifteen percent (15%) of the dwelling units as inclusionary units for projects with less than 30 dwelling units and shall provide at least twenty percent (20%) of the dwelling units as inclusionary units for projects with 30 or more units. The inclusionary housing calculation shall be taken from the total number of converted units.
c. Accessory dwelling unit (ADU) development in accordance DMMC Chapter 30.91 (ADU Regulations) may be utilized to satisfy the inclusionary housing requirement.

3. As a condition of approval of any Tentative Map or Tentative Parcel Map that proposes the creation of residential lots, the subdivider shall pay one in-lieu fee for each net-new lot to be created as part of the subdivision. a. The rate of the in-lieu fee shall be as established or amended by Resolution of the City Council.
b. The condition shall specify that all in-lieu fees required by this Section are to be paid to the City prior to approval of the subdivision’s Final Parcel Map at the rate of the in-lieu fee in existence at the time of payment.
c. Any in-lieu fees collected shall be deposited in the Del Mar Housing Assistance Fund, which is an existing housing trust fund that is administered in accordance with Section 24.21.080.

B. Fractional Units. When calculating the number of inclusionary units, a number that results in a fraction of a whole number shall be rounded up to the nearest whole number.

C. Compliance with Density Bonus Law.

1. An applicant that seeks to construct affordable housing to qualify for a density bonus in accordance with State law and Chapter 30.90 of this Code, may count those dwelling units that qualify for a density bonus towards satisfying the inclusionary housing requirements of this Chapter. 18 September 23, 2024 Item 10
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2. In such cases, the required affordable units for the density bonus project per DMMC Chapter 30.90 shall be calculated based on the number of units allowed pre-density bonus; and the total number of required inclusionary units shall be calculated based on the total number of net-new units proposed in the project, including the density bonus units.

3. The lower income units used to qualify the project for a density bonus shall count towards satisfaction of the total number of required inclusionary units. Therefore, the total number of required inclusionary units minus the required number of lower income units for the density bonus project identifies the remaining number of inclusionary units that must be provided to satisfy the lower income inclusionary housing requirement for the project.

D. No Alternative Means of Compliance. All qualifying residential development projects under Section 24.21.030(A) must comply with the inclusionary housing requirements of this Chapter. No alternative means of compliance may be provided to satisfy compliance with the inclusionary housing requirements of this Chapter.

24.21.050 Inclusionary Housing Plan and Agreement
A. The applicant of a residential development project subject to this Chapter shall comply with the following requirements:

1. Inclusionary Housing Plan. The applicant shall submit an inclusionary housing plan, on a form approved by the City, detailing how the provisions of this Chapter will be implemented for the proposed residential development project. The inclusionary housing plan shall be processed concurrently with all other permits required for the residential development project and shall be subject to the approval of the Planning and Community Development Director, with the option of review and approval by the City Council. The inclusionary housing plan shall include, at a minimum, the following:
a. The location, tenure (ownership units or rental units), and size of the market-rate, commercial space and/or inclusionary units; b. The basis for calculating the number of inclusionary units; c. A floor or site plan depicting the location of the inclusionary units; d. The household income categories to be accommodated by the residential development;
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e. A description of the mechanisms that will be used to ensure that the inclusionary units remain affordable for the required duration; f. A schedule for production of the inclusionary units; g. For phased development projects, a phasing plan that provides for the timely development of the number of inclusionary units proportionate to each proposed phase of the project and a schedule for completion;
h. Any proposed density bonus, concessions or incentives, waivers or modifications of development standards, reduced parking ratios, or other regulatory incentives requested in accordance with Chapter

30.09 of this Code; and
i. Any additional information or documentation that may be required by the City.

2. Inclusionary Housing Agreement. The applicant shall enter into an inclusionary housing agreement with the City, on a form approved by the City, to ensure that all requirements of this Chapter are satisfied. a. The inclusionary housing agreement shall include, at a minimum, the following:
i. A description of the residential development;
ii. The number of units approved for the residential
development, including the number of ownership units or rental units, household income categories, and tenure of affordability of the inclusionary units (55 year minimum); iii. The location, unit size(s) (square footage), and number of bedrooms of the inclusionary units;
iv. Where applicable, tenure and conditions governing the initial sale of the inclusionary units or establishing rules and procedures for qualifying tenants, setting rental rates, filling vacancies, and operating and maintaining inclusionary units; v. Documents identifying the rental restrictions, resale restrictions, and provisions for changes in title that will be used to secure the continued affordability of the inclusionary units for the required duration, including, but not limited to, deeds of trust, rights of first refusal, procedures for rent and sales price increases, required disclosure of deed restrictions 20 September 23, 2024 Item 10
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affecting the re-sale of for-sale units and the City’s first right of refusal to buy the unit(s) to provide affordable housing or other documents; and
vi. The standards and process that will be used to determine household income and certify qualifying households for the rental or ownership units within the project as applicable. This may include consideration of records such as tax returns and annual occupancy verification forms to demonstrate due
diligence in verification of income.
vii. A provision for annual monitoring to ensure implementation of the ongoing maintenance obligations.
viii. Compliance with State and Federal laws;
ix. Prohibition against discrimination;
x. Indemnification of City;
xi. City’s right to inspect units and documents;
xii. Remedies for applicant’s breach of agreement; and
xiii. Any additional information or documentation that may be required by the City.
b. Following execution of the agreement by all parties, the completed agreement shall be recorded as a deed restriction on the property designated for the location of inclusionary units. The agreement shall run with the land and be binding on all future owners and successors in interest of the property.

B. City Approvals.

1. Development Permit Approvals. No Development Permit approval shall be issued until the applicant has submitted the inclusionary housing plan to the City. This shall include all Development Permits that are required to be issued for the project irrespective of whether the permit issuance is required through a discretionary or ministerial process.

2. Map or Building Permit. No tentative map, parcel map, final map shall be approved, or, where a map is not being processed, no building permit shall be issued unless the City has approved the inclusionary housing plan and the inclusionary housing agreement has been recorded against the property.
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3. Certificate of Occupancy. No certificate of occupancy shall be issued unless the approved inclusionary housing plan has been fully implemented.

24.21.060 Standards for Inclusionary Units.

A. Design. Inclusionary units constructed in accordance with this Chapter shall be:

1. Reasonably dispersed throughout the residential development so as not to create a concentration of inclusionary units on one floor or to an area on a specific floor;

2. Proportional, in terms of the number and size of bedrooms to the marketrate units in the residential development;

3. Comparable, in terms of size, design, materials, finished quality, and appearance, to the market-rate units in the residential development, and be consistent with the City’s design review objective standards. Interior finishes and amenities may differ from those provided in the market-rate units, but neither the workmanship nor the products may be of substandard or inferior quality; and

4. Permitted the same access to common entrances, common areas, parking, amenities, and recreational facilities as the occupants of the market-rate units in the residential development.

B. Timing of Construction. The inclusionary units shall be constructed concurrently with the market-rate units. If the City approves a phased project, a proportional share of the inclusionary units shall be constructed within each phase of the residential development project. Building permits and final inspections or certificates of occupancy shall be issued concurrently for the inclusionary units and the market-rate units.

C. Continued Affordability.

1. Ownership Unit. Inclusionary ownership units shall remain restricted at an affordable sales price to the designated household income category at which the inclusionary ownership unit was first purchased. The unit shall remain restricted from the date of purchase/close of escrow for a period of at least fifty-five (55) years, unless a longer term is required in accordance with State law or financing requirements.
a. Transfer. Renewed restrictions will be entered into on each change of ownership, up to the fifty-five (55) year affordability term, upon transfer of an inclusionary ownership unit prior to the expiration of the 55-year affordability period.
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b. Resale. The resale price of an inclusionary ownership unit shall be limited to the lesser of (1) the fair market value of the unit, or (2) the seller’s lawful purchase price, increased by the rate of increase of AMI during the seller’s ownership. To the extent authorized in any resale restrictions or operative Inclusionary Housing Agreement, the seller may recover at time of sale the market value of capital improvements made by the seller and may authorize an increase in the maximum allowable sales price to achieve such recovery. The resale restrictions shall allow the City a right of first refusal to purchase any inclusionary ownership unit at the maximum price that could be charged to an income-eligible household at any time the owner proposes sale of the inclusionary ownership unit.

2. Rental Unit. Inclusionary rental units shall remain restricted at an affordable rental price to the designated household income category at which the inclusionary rental unit was first rented for a period of at least fifty-five (55) years, or a longer period of time if required in accordance with State law or by the construction or mortgage financing assistance program, mortgage insurance program, or rental subsidy program.

3. Required Documentation. The City may require, in a form approved by the City, the provision of documents, such as rental restrictions, resale restrictions, or a regulatory agreement to secure the continued affordability of the inclusionary units, establish standards for determining household income, provide ongoing maintenance obligations, define procedures for rent and sales price increases, and other requirements.

4. Income Certification.
a. Ownership Unit. The applicant and any subsequent owner of an inclusionary ownership unit offered for sale shall certify, on a form approved by the City, the income of the purchaser.
b. Rental Unit. The owner of an inclusionary rental unit offered for rent shall certify, on a form approved by the City, the income of the tenant at the time of the initial rental of the inclusionary unit and annually thereafter.

D. Primary Residence.

1. The owner or lessee of an inclusionary unit shall reside in the unit as their primary residence, unless otherwise approved in writing by the City for rental to a third-party eligible household for a limited period of time due to household hardship.
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2. No owner or lessee of an inclusionary unit shall lease or sublease, as applicable, an inclusionary unit without the prior written permission of the City.

E. General Prohibitions.

1. No person shall sell or rent an inclusionary unit at a price or rent in excess of the applicable affordable housing cost placed on the unit in accordance with this Chapter.

2. No person shall sell or rent an inclusionary unit to person(s) that do not meet the income restrictions under this Chapter.

3. No person shall provide false or materially incomplete information to the City or to a seller or lessor of an inclusionary unit to obtain occupancy of housing for which that person is not eligible.

4. No person shall sublease or rent an inclusionary unit for any use other than affordable housing. Use of an inclusionary unit as a short-term rental for dwelling, lodging, or sleeping purposes for 30 consecutive days or less is prohibited.

F. No Conflict of Interest. Officials, employees, or consultants of the City, members of City boards and commissions, and the applicant shall comply with all applicable laws, regulations, and policies relating to conflicts of interest as to their eligibility to develop, construct, sell, rent, lease, occupy, or purchase an inclusionary unit.

24.21.070 Exception in Case of Hardship to Avoid a Taking.

A. An applicant may request an exception to the requirements of this Chapter subject to approval by the City Council as necessary to avoid a taking.

B. Any request for an exception pursuant to this Section shall be submitted to the City concurrently with the inclusionary housing plan and shall set forth in detail the factual and legal basis for the claim. The request shall be reviewed and considered in the same manner and at the same time as the inclusionary housing plan.

C. The applicant shall bear the burden of presenting substantial evidence to the City supporting the request for an exception to avoid a taking. The City may assume each of the following, when applicable:

1. The applicant will provide the most economical inclusionary units feasible, while still meeting the requirements of this Chapter; and 24 September 23, 2024 Item 10
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2. The applicant will benefit from the incentives of residential development as described in this Chapter and elsewhere in this Code.

D. Notwithstanding any other provision of this Section, the City Council may grant an exception based upon a finding that applying the requirements of this Chapter would result in an unconstitutional taking of property or would result in any other unconstitutional result.

24.21.080 Administration and Enforcement.

A. Del Mar Housing Assistance Fund. The City Council may, by resolution, establish fees for the ongoing administration, monitoring and enforcement of this Chapter, which fees may be updated as necessary. Any fees collected by the City in accordance with this Chapter shall be deposited into the Del Mar Housing Assistance Fund, which is an existing housing trust fund. The City will continue to make these funds available for rental subsidy and/or other affordable housingrelated programs such as the acquisition of land and construction of affordable units designated for low-, very low-, or extremely low-income households in the City and/or for costs and expenses related to administration of the housing trust fund.

B. Required Compliance. Failure of any official or agency to fulfill the requirements of this Chapter shall not excuse any developer or owner from the requirements of this Chapter. No permit, license, map, or other approval or entitlement for a residential development project shall be issued, including, without limitation, a final inspection or certificate of occupancy, until all applicable requirements of this Chapter have been satisfied.

C. Enforcement. The regulations of this Chapter, including the terms of any inclusionary housing agreement or document prepared to administer the affordability and eligibility requirements of an inclusionary unit, shall be enforced according to the provisions in Chapter 1.08 of this Code.

D. Forfeiture.

1. Ownership Unit. If an inclusionary unit for sale is sold for an amount in excess of the resale price controls required by this Chapter, the buyer and seller shall be jointly and severally liable to the City for the entire purchase price of the unit. Recovered funds shall be deposited into the affordable housing trust fund. Notwithstanding the foregoing, upon written request for time to cure any violation given to the City by the buyer and/or seller, it shall be within the discretion of the City to allow the buyer and seller 180 days to cure any violation of the resale price controls.
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2. Rental Unit. Any lessor who leases an inclusionary unit in violation of this Chapter shall be required to forfeit to the City all money so obtained.

Recovered funds shall be deposited into the affordable housing trust fund.

E. Remedies Not Exclusive. The remedies provided for herein shall be cumulative and not exclusive and shall not preclude the City from any other remedy or relief to which it otherwise would be entitled under law or equity including but not limited to, taking action to revoke, deny or suspend any permit issued to the residential development, including a building permit, certificate of occupancy, or discretionary approval.

24.21.090 Appeal Process.

An appeal by an applicant or interested person seeking City Council review of a determination made pursuant to this Chapter shall be filed in accordance with Chapter

1.12 of this Code.

24.21.100 Severability.

Should a court of competent jurisdiction determine that these regulations are void or if certain terms or provisions are voided, then those regulations shall either become void in their entirety, or, where the courts have determined that certain terms or provisions are void by operation of the law, then those terms and provisions shall have no force or effect.

SECTION THREE: That existing DMMC Chapter 24.40 (Conversion of Residential Property to Condominiums) shall be repealed and replaced in its entirety as follows:

Chapter 24.40 CONDOMINIUM CONVERSIONS

24.40.010 Purpose.

A. The conversion of residential rental units to ownership housing through common interest subdivision projects can have an adverse impact on the supply and availability of rental housing and result in the displacement of residents, who may be required to move from Del Mar due to the lack of opportunities for affordable replacement housing within the community. The State has determined that providing affordable housing is a “Statewide” concern resulting in numerous legislative attempts to protect affordable housing and to increase available housing opportunities for households at all income levels.

Measures are needed to preserve the City’s existing supply of older dwelling units and apartments, which are an important source of comparatively more affordable, lower rent housing. When properly regulated, condominium conversions can create affordable housing units for lower income households through requirements for a portion of the units to be reserved as rent-restricted affordable units. In order to stem the loss of rental housing and maintain housing 26 September 23, 2024 Item 10
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opportunities for a range of income levels, including moderate-, low-, very low-, and extremely low-income households, the City finds it is necessary to reasonably regulate condominium conversions.

B. The purpose of this Chapter is to establish criteria for the conversion of existing dwelling units to condominiums in common interest subdivision projects to:

1. Provide reasonable protection and mitigation for those persons renting dwelling units, who would be displaced by the conversion of such dwelling units to a condominium or similar form of ownership.

2. Reduce the impact of such conversions by providing notification of the proposed conversion, disclosure of the physical conditions of the structure that is offered for purchase, an opportunity to purchase the unit, and adequate time and assistance for relocation where applicable.

3. Ensure that converted housing achieves a high degree of appearance, quality, and safety, and is consistent with the goals of the City.

4. Achieve the affordable housing goals set forth in the Housing Element component of the Del Mar Community Plan.

24.40.020 Applicability and Process for Approval.

A. The proposed conversion of existing dwelling units to condominiums is subject to the procedures and requirements of the California Subdivision Map Act (Government Code §§66410 et seq., as those sections may be amended from time to time), including obtaining either:

1. A Tentative Map in accordance with Chapter 24.50 subject to Planning Commission recommendation and City Council approval and a Final Map in accordance with Chapter 24.54 subject to City Council approval for a major subdivision into five or more parcels; or

2. A Tentative Parcel Map in accordance with Chapter 24.60 subject to Planning Commission recommendation and City Council approval and a Final Map in accordance with Chapter 24.54 subject to City Council approval or a Parcel Map Waiver in accordance with Chapter 24.64 subject to Planning Commission approval for a minor subdivision into four or fewer parcels.

B. The provisions of this Chapter shall apply to the conversion of any existing units to a condominium, community apartment project, or other similar tenancy-incommon form of ownership.

24.40.030 Definitions
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For purposes of implementing the provisions of this Chapter, the following words and phrases shall have the meaning assigned below:

Common interest subdivision shall mean a form of ownership in which the owner has exclusive ownership of a particular lot or unit combined with common ownership or beneficial use of certain areas and facilities that are owned jointly with other owners.

Community apartments shall mean a residential project that is a type of common interest subdivision with areas that are shared in common and where each apartment “tenant” has an ownership interest in the overall apartment complex in addition to having an exclusive right to occupancy of an apartment unit within the development. This definition applies only to community apartment projects of five or more units/interests that are processed in accordance with the Subdivision Map Act and this Chapter and does not apply to the leasing of traditional apartments where one entity owns the land and building(s) and rents out apartment units under leases where the tenant has the exclusive right to occupancy of an apartment but has no ownership interest in the property.

Condominium conversion shall mean a residential project that is a type of common interest subdivision with areas that are shared in common and where each condominium owner is entitled to exclusively occupy a unit within the development after conversion from a residential rental unit to an ownership unit in accordance with the Subdivision Map Act and this Chapter.

Tenancy-in-common shall mean an undivided form of ownership interest shared in common in accordance with the Subdivision Map Act and this Chapter.

24.40.040 Submittal Requirements and Disclosure of Submitted Reports.

In compliance with the procedures and requirements for obtaining either a Tentative Map or Tentative Parcel Map in accordance with Chapters 24.50 and 24.60, the subdivider shall provide the following submittal requirements:

A. A complete application form and fees in accordance with the adopted City’s Fee Schedule to cover processing of the application and mailed notification to the occupant of each unit to be converted providing notice of the scheduled public hearings at which the application will be reviewed.

B. The accompanying plat that depicts the lot lines and includes the provisions for permanent monumentation and other features deemed necessary by the City Engineer.

C. The approved Coastal Development Permit, Design Review Board Permit, and other documentation where applicable to demonstrate that the proposed subdivision complies with the requirements established by the State and the City. 28 September 23, 2024 Item 10
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D. A Physical Element Report to disclose the structural condition of all elements of the property including but not limited to foundations, electrical, plumbing, utilities, walls, frames, ceiling, windows, appliances, mechanical equipment, stone and brickwork, fireplaces, exterior lighting, recreational facilities, refuse/recycling/compost disposal facilities, sound transmission of each building, and parking facilities.

1. Regarding each such element, the report shall state, to the best knowledge or estimate of the applicant, when such element was built or installed; the condition of each element; the approximate date upon which such element will require replacement and/or when said element was replaced; the approximate condition of each element; and the approximate date upon which said application for conversion was filed and accepted by the City.

2. The report shall identify any known defect or unsafe elements and set forth the proposed corrective measures to be employed.

3. The report shall identify for each element any variation of the physical condition from the current zoning code and building code in effect on the date of application.

E. A Pest Control Report from a licensed structural termite and pest control specialist certifying whether or not all attached or detached structures are free of infestation and structural damage caused by pests and dry rot.

F. Within the Coastal Bluff Overlay Zone or Bluff, Slope, and Canyon Overlay Zone, a Geotechnical Report prepared by a licensed engineer to disclose any known soil and geological conditions regarding soil deposits, rock formations, faults, groundwater and landslides in the vicinity of the project, and a statement regarding any known evidence of soils problems relating to the structures.

Reference shall be made to any previous geotechnical reports or soils reports for the site and copies of said reports shall be submitted.

G. A Paint Assessment Report by a licensed painting contractor verifying the condition of the painting throughout the project, including building interior and exterior surfaces and an estimate of the remaining life of the paint or similar stained design.

H. A Roof Assessment Report by a licensed roofing contractor verifying the condition of the roofs of all structures and an estimate of the remaining physical life of the roofs.

I. A Common Area Assessment Report on the condition of the common area improvements, including landscaping, lighting, utilities and streets. 29 September 23, 2024 Item 10
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J. A Water and Sewer Assessment Report that provides documentation proving that the existing water and sewer lateral sizes meet the building’s needs without compromising flow capacity or compliance with public infrastructure standards.

K. A statement of how the development meets the required findings for approval in Section 24.40.070, including an explanation of how the development complies with the required standards in Section 24.40.050, including any repairs or improvements the subdivider intends to make to demonstrate the project will achieve a high degree of appearance, quality, and safety.

L. The covenants, conditions and restrictions (CC&Rs) and homeowners association (HOA) rules and regulations that would apply to all owners of condominium units within the project, which shall include, at a minimum: the conveyance of units; assignment of parking and storage areas; an agreement for common area maintenance; provision of common area access to the street frontage of the development; and an estimate of any initial assessment fees anticipated for such maintenance. The fee estimate shall identify the anticipated water and sewer fees.

M. Specific information concerning the demographic and financial characteristics of the project (e.g., square footage and number of rooms in each unit; rental rate history; monthly vacancy rate; number of tenants and tenant households in the project; etc.)
N. Any other information which, in the opinion of the Director, will assist in determining whether the proposed project will be consistent with the purposes of this Chapter.

O. The final form of the required reports and documents identified above shall be subject to approval by the City. The reports in their accepted form shall remain on file with the Planning and Community Development Department for review by any interested persons.

P. The subdivider shall provide prospective buyers with a copy of all final reports prior to executing any purchase agreement or other contract to purchase a unit in the project. The seller shall give the purchaser sufficient time to review said reports. Copies of the reports shall be made available at all times at the sales office and shall be posted at various locations, as approved by the City, at the project site.

24.40.050 Standards for Condominium Conversions.

A. All condominium conversions shall conform to the Municipal Code in effect at the time of Tentative Map approval, including, but not limited to, the provisions of Chapter 24.21 (Inclusionary Housing), except as otherwise provided in this Chapter.
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1. Legal non-conforming structures, parking, and density may be maintained in accordance with Section 24.40.050(C).

2. Any code violations must be corrected prior to the approval.

B. Building Regulations. The project shall conform to the applicable provisions of the Building Codes in effect at the time of application submittal.

C. Zoning Regulations. The project shall conform to the applicable standards of Del Mar Municipal Code Title 30 in effect at the time of application submittal except as herein provided. Legal nonconforming structures may be converted, including property that is nonconforming with the underlying zoning designation's maximum density development standards. However, to achieve a high degree of appearance, quality, and safety, the City may require abatement of any legal nonconformity if such abatement is determined to be reasonably feasible, financially or structurally.

D. Fire Prevention

1. Smoke Detectors. Each dwelling unit shall be provided smoke detectors that comply with the latest California Building Code standards, which shall be mounted in each bedroom and outside each bedroom in the immediate vicinity of the bedrooms, and on each story of the dwelling unit.

2. Carbon Monoxide Detectors. Carbon monoxide detectors shall be provided in dwelling units that contain a fuel-burning appliance or fuel-burning fireplace or an attached garage, which shall be located outside each bedroom or in the immediate vicinity of the bedrooms, on each level of the dwelling unit, and in each bedroom where a fuel-burning appliance of fireplace is located within the bedroom.

3. Maintenance of Fire Protection Systems. All fire hydrants, fire alarm systems, portable fire extinguishers and other fire protection equipment shall be retained in an operable condition at all times and in compliance with applicable codes and standards.

E. Sound Transmission.

1. Shock Mounting of Mechanical Equipment. All permanent mechanical equipment such as motors, compressors, pumps, and compactors which is determined by the Planning and Community Development Department to be a source of structural vibration or structure-borne noise shall be shock mounted with inertia blocks or bases and/or vibration isolators in a manner approved by the Planning and Community Development Department. 31 September 23, 2024 Item 10
Ordinance No. XXXX

2. Noise Standards. Each dwelling unit shall conform to all interior and exterior sound transmission standards of the California Building Code. In such cases where present standards cannot reasonably be met, the City Council may require the applicant to notify potential buyers of the noise deficiency currently existing within these units.

F. Utility Metering. Each dwelling unit shall be separately metered for gas and electricity. A plan for equitable sharing of common area utilities shall be developed prior to final map approval and included in the covenants, conditions and restrictions (CC&Rs). In such cases where the subdivider can demonstrate that this standard cannot or should not reasonably be met, this standard may be modified by the City Council.

G. Water and Sewer. The condominium conversion shall comply with the following water and sewer requirements:

1. Water Laterals and Water Meters
a. The converted condominium structure may utilize a single water lateral for potable water supply.
b. The applicant's designer must verify and ensure that the existing water lateral pipe size has the adequate capacity to provide the necessary water flow to all proposed fixtures within the condominium conversion. If not, then an appropriately sized water lateral and meter shall be installed.
c. A separate water lateral and meter shall be required for landscape irrigation.

2. Sewer Laterals
a. The converted condominium structure may use a single sewer lateral for sewage needs.
b. The applicant’s designer must ensure that the sewer lateral has the capacity to effectively convey the effluent per the standard requirements specified by the Public Works Department.

H. Private Storage Space. Each dwelling unit shall have a private storage space with a minimum volume of at least 200 cubic feet of enclosed weather-proofed and lockable private storage in addition to guest, linen, pantry, and clothes storage spaces customarily provided. Such space may be provided in any location approved by the Planning and Community Development Department but shall not be divided into two or more locations. In such cases where the subdivider can 32 September 23, 2024 Item 10
Ordinance No. XXXX

demonstrate that this standard cannot or should not reasonably be met, this standard may be modified by the City Council.

I. Laundry Facilities. A laundry area shall be provided in each unit. In such cases where the subdivider can demonstrate that this standard cannot or should not reasonably be met, this standard may be modified by the City Council.

J. Landscape Maintenance. All landscaping shall be restored as necessary and maintained to achieve a high degree of appearance and quality, especially following remodeling or construction efforts associated with conversion of the property to condominium ownership.

K. Condition of Equipment and Appliances. The developer shall provide written certification to the buyer of each unit at the close of escrow that any dishwashers, garbage disposals, stoves, refrigerators, hot water tanks, and air conditioners that are provided are in operable working condition as of the close of escrow. When the homeowners' association takes over management of the development, the developer shall provide written certification to the association that any pool and pool equipment (filter, pumps, chlorinator) and any appliances and mechanical equipment to be owned in common by the association is in operable working condition.

24.40.060 Tenant Notification, First Right of Refusal to Purchase Units, and Relocation Assistance.

A. Applications for conversion of residential real property into a condominium project, a community apartment project, or a project with similar tenancy-in-common form of ownership shall comply with all of the findings set forth in Section 66427.1 of the Subdivision Map Act, as that section may be amended from time to time, and provisions in this Section relating to tenant notification, offers to tenants for first right of refusal to purchase a unit, and tenant relocation assistance.

B. Tenant Notification

1. The subdivider shall provide notice to prospective tenants in accordance with Sections 66452.17 and 66452.18 of the Subdivision Map Act, as those sections may be amended from time to time, and shall provide evidence of receipt of each tenant of the notices required herein.

2. The subdivider shall post a notice of application on the property and provide a notice of application to the occupant of each unit to be converted.

3. Mailed notice of any public hearing of the Planning Commission and/or City Council at which the application for the Final Map or Map Waiver will be reviewed shall be provided to the occupant of each unit to be converted. 33 September 23, 2024 Item 10
Ordinance No. XXXX

C. Tenant First Right of Refusal to Purchase Converted Units

1. Prior to offering a converted dwelling unit for sale to the general public, the tenant(s) of a dwelling unit approved for condominium conversion shall be afforded the first right of refusal to purchase one of the converted dwelling units. The offer shall be provided to each tenant for a period of 90 calendar days from the date of issuance of the final City approval unless the tenant gives prior written notice of his or her intention not to exercise the right. The offer to tenants shall provide the same or more favorable terms and conditions than the dwelling unit will initially be offered to the general public.

2. If the number of displaced tenants desiring to purchase one of the converted units is greater than the number of units available, a lottery system shall be used to determine a priority ranking.

D. Tenant Relocation Assistance

1. As a condition of approval of any application for a condominium conversion, the subdivider shall provide a Tenant Relocation Payment to the tenants of the rental units who would be displaced as a result of the condominium conversion and who meet the criteria of either a "Qualified Tenant" or an "Eligible Tenant," as specified in this Section.

For purposes of Chapter 24.40, the following terms shall apply:
a. Qualified Tenant shall mean a tenant who has resided in the rental unit to be converted for at least 90 days prior to date at which provision of a notice of intent of a condominium conversion is issued pursuant to the requirements of this Chapter and who, as of the date of the City's authorization of the condominium conversion, meets one or more of the following criteria:
i. Is 62 years of age or older;
ii. Has a disability, as defined by criteria set forth by the Social Security Administration (SSA); or
iii. Has one or more minor dependent children who has lived with the tenant for at least 300 days of the current or previous calendar year.
b. Eligible Tenant shall mean a person, 18 years of age or older, who has resided at the property for at least 90 days prior to date at which provision of a notice of intent of a condominium conversion is issued pursuant to the requirements of this Chapter but who does not meet the criteria of a Qualified Tenant, as specified in this Section. 34 September 23, 2024 Item 10
Ordinance No. XXXX

2. Rate of the Tenant Relocation Payment. All residents who reside within a unit being converted shall be entitled to relocation assistance in the amount of three months rent based on the Fair Market Rent for apartment size for the San Diego region as determined on an annual basis by the United States Department of Housing and Urban Development (HUD).

3. The payment of the Tenant Relocation Payment shall be paid as follows:
a. If the rental unit is occupied solely by a single Qualified or Eligible Tenant, they shall be paid the full amount of the Tenant Relocation Payment.
b. If a rental unit is occupied by two or more persons, each shall be paid a pro-rata share of the Tenant Relocation Fee based on their qualification as either a Qualified or Eligible Tenant.

4. The disbursement of Tenant Relocation Payments shall be paid by cashier's check, sent by registered mail a minimum of 60 days prior to the date at which the Qualified or Eligible Tenants are required to relocate from the premises.

5. A minimum of 20 calendar days prior to dispersing Tenant Relocation Payments, the Subdivider shall provide the Planning Director with a summary of the Tenant Relocation Payments to be made.

24.40.070 Required Findings for Approval.

The City Council shall not approve an application for conversion unless the City Council finds that:

A. All provisions of this Chapter are met;
B. The proposed conversion is consistent with the City of Del Mar Community Plan (General Plan), including the Housing Element and the certified Local Coastal Program;
C. The proposed conversion will conform to the Municipal Code in effect at the time of Tentative Map approval except as otherwise provided in this Chapter; D. The overall design and physical condition of the conversion achieves a high degree of appearance, quality and safety; and
E. The conversion would not result in displacement of lower income and moderate income households without the subdivider providing for adequate relocation compensation or mitigation.
35 September 23, 2024 Item 10
Ordinance No. XXXX

24.40.080 Enforcement.

The regulations of this Chapter shall be enforced according to the provisions in Chapter

1.08. 24.40.090 Severability.

Should a court of competent jurisdiction determine that these regulations are void or if certain terms or provisions are voided, then those regulations shall either become void in their entirety, or, where the courts have determined that certain terms or provisions are void by operation of the law, then those terms and provisions shall have no force or effect.

SECTION FOUR:

Pursuant to the California Environmental Quality Act (CEQA), the proposed action is not subject to CEQA pursuant to CEQA Guidelines Section 15061(b)(3) because the activity is covered by the common-sense exemption that CEQA only applies to projects which have the potential for causing a significant effect on the environment. The proposed code amendments have been analyzed and it has been determined that they would not result in significant effects on the environment.

SECTION FIVE:

This Ordinance was introduced by the City Council on September 23, 2024.

SECTION SIX:

The City Clerk is directed to prepare and have published a summary of this Ordinance no less than five days prior to the consideration of its adoption and again within 15 days following adoption indicating votes cast.

SECTION SEVEN:

If any section, subsection, sentence, clause, phrase or portion of this Ordinance is, for any reason, held invalid or unconstitutional, such decision shall not affect the validity of the remaining portions of this Ordinance.

SECTION EIGHT:

The Ordinance will take effect and be in force 30 days from the date that the City Council takes action to adopt the Ordinance.

PASSED, APPROVED AND ADOPTED at a regular meeting of the City Council held on the 7th day of October 2024.
________________________________
Dave Druker, Mayor
City of Del Mar
36 September 23, 2024 Item 10
Ordinance No. XXXX

APPROVED AS TO FORM:
______________________________
Leslie E. Devaney, City Attorney
City of Del Mar
ATTEST AND CERTIFICATION:

STATE OF CALIFORNIA

COUNTY OF SAN DIEGO

CITY OF DEL MAR
I, SARAH KRIETOR, Administrative Services Manager/City Clerk of the City of Del Mar, California, DO HEREBY CERTIFY, that the foregoing is a true and correct copy of Ordinance No.____, which has been published pursuant to law, and adopted by the City Council of the City of Del Mar, California, at a Regular Meeting held the 7 th day of
October, 2024, by the following vote:

AYES:

NOES:

RECUSE:

ABSENT:

ABSTAIN:
______________________________
Sarah Krietor, Administrative Services
Manager/City Clerk
City of Del Mar
37 September 23, 2024 Item 10

ATTACHMENT B
ORDINANCE NO. XXXX

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF

DEL MAR, CALIFORNIA, TO AMEND DEL MAR MUNICIPAL
CODE SECTIONS 30.24.070 AND 30.25.070 AMENDING

THE DEL MAR ZONING CODE AND LOCAL COASTAL

PROGRAM TO MAKE MINOR CORRECTIONS TO THE

NORTH COMMERCIAL ZONE AND PROFESSIONAL

COMMERCIAL ZONE DEVELOPMENT STANDARDS

RELATING TO INCLUSIONARY HOUSING AS AMENED BY

A SEPARATE ORDINANCE FOR IMPLEMENTATION OF
6TH CYCLE HOUSING ELEMENT PROGRAMS 4D
(INCLUSIONARY HOUSING REGULATIONS) AND 4E
(CONDOMINIMUM COVERSION REGULATIONS)
WHEREAS, the City of Del Mar is a charter city and State housing law applies to all general law and charter cities in the State of California; and WHEREAS, the City’s certified Housing Element for the 6th Cycle (2021-2029) requires the City to implement Program 4D to update its local inclusionary housing requirements that require proposed multi-unit projects seeking to create two or more dwelling units or create two or more lots to provide affordable housing mitigation; and WHEREAS, Housing Element Program 4E requires the City to update its condominium conversion requirements applicable to multi-unit projects seeking to convert rental housing units to ownership units, which are subject to affordable housing mitigation in accordance with the City’s inclusionary housing regulations; and WHEREAS, the City of Del Mar is located entirely within the “Coastal Zone” boundary and is therefore subject to full compliance with the California Coastal Act, which at the local level is implemented by the City’s certified Local Coastal Program (LCP); and WHEREAS, the City’s existing inclusionary housing regulations are located in Del Mar Municipal Code (DMMC) Chapter 24.21 together with other subdivision-related regulations, including the condominium conversions regulations in DMMC Chapter 24.40, which are not a part of the City’s certified Local Coastal Program (LCP); and WHEREAS, the City’s inclusionary housing regulations (DMMC Chapter 24.21) are being amended by a separate ordinance that does not amend the City’s LCP and is therefore not subject to Coastal Commission certification action; and WHEREAS, this ordinance is necessary to make minor corrections to Section

30.24.070 (North Commercial Zone) and Section 20.25.070 (Professional Commercial Zone) for consistency with the citywide inclusionary housing regulations; and WHEREAS, the City effectively implements applicable State housing laws, which involves harmonization of the Coastal Act and the City’s LCP policies and regulations with the State’s housing laws to ensure protection of sensitive coastal habitats and resources, 38 September 23, 2024 Item 10
Ordinance No. XXXX

public scenic coastal views, parking for public access to the shoreline, and public health and safety; and
WHEREAS, at the project level, multi-unit projects seeking to create two or more dwelling units or create two or more lots must provide inclusionary housing as affordable housing mitigation per DMMC Chapter 24.41 and are subject to processing of a Coastal Development Permit in accordance with the certified LCP, which ensures implementation consistent with the Coastal Act and the certified LCP;
WHEREAS, the Notice of Planning Commission public hearing/Notice of Availability for the proposed LCP amendment was posted in the Coast News and at City Hall and mailed to interested persons on June 21, 2024; and WHEREAS, on July 9, 2024, the Planning Commission unanimously recommended approval to the City Council with a recommended modification to ensure the inclusionary housing regulations account for project size and maximize the number of affordable units developed; and
WHEREAS, on August 22, 2024, the notice of City Council public hearing was published in the Del Mar Times; and
WHEREAS, adoption of this Ordinance will ensure consistent citywide implementation of the City’s inclusionary housing regulations and condominium conversion regulations and establish consistency between the certified LCP and the subdivision regulations in DMMC Chapters 24.21 and 24.40.

NOW THEREFORE, the City Council of the City of Del Mar, California hereby ordains as follows:

SECTION ONE: That the City Council of the City of Del Mar, California, based on substantial evidence in the whole of the administrative record, hereby finds and declares that the above stated Recitals are true and correct and are incorporated by reference into this action.

SECTION TWO: That the existing DMMC Section 30.24.070 North Commercial Zone development standards be amended as follows for consistency with the citywide inclusionary housing requirements in DMMC Chapter 24.21:

30.24.070 - Development Standards.

In the NC Zone, the following development standards apply:

A. Density: Up to a maximum of 20 dwelling units per acre All residential development or condominium conversions shall provide affordable housing in accordance with the City’s inclusionary housing regulations under Chapter 24.21 of this Code.
39 September 23, 2024 Item 10
Ordinance No. XXXX

[No changes to Sections B. (Lot Dimensions) through C. (Construction Standards).] SECTION THREE: That the existing DMMC Section 30.25.070 Professional Commercial Zone development standards be amended as follows for consistency with the citywide inclusionary housing requirements in DMMC Chapter 24.21:

30.25.070 - Development Standards.

In the PC Zone, the following development standards apply:

A. Density: Up to a maximum of 20 dwelling units per acre All residential development or condominium conversions shall provide affordable housing in accordance with the City’s inclusionary housing regulations under Chapter 24.21 of this Code.
[No changes to Section B Lot Dimensions through Section C. Construction Standards.] SECTION FOUR:

Pursuant to the California Environmental Quality Act (CEQA), the proposed action is not subject to CEQA pursuant to CEQA Guidelines Section 15061(b)(3) because the activity is covered by the common-sense exemption that CEQA only applies to projects which have the potential for causing a significant effect on the environment. The proposed code amendments have been analyzed and it has been determined that they would not result in significant effects on the environment.

SECTION FIVE:

This Ordinance was introduced by the City Council on September 23, 2024.

SECTION SIX:

The City Clerk is directed to prepare and have published a summary of this Ordinance no less than five days prior to the consideration of its adoption and again within 15 days following adoption indicating votes cast.

SECTION SEVEN:

If any section, subsection, sentence, clause, phrase or portion of this Ordinance is, for any reason, held invalid or unconstitutional, such decision shall not affect the validity of the remaining portions of this Ordinance.

SECTION EIGHT:

Upon adoption, the Ordinance will be submitted to the California Coastal Commission for certification as a Local Coastal Program Amendment. The Ordinance will take effect and be in force on the date that the Coastal Commission takes action to unconditionally certify the Local Coastal Program Amendment.
40 September 23, 2024 Item 10
Ordinance No. XXXX

PASSED, APPROVED AND ADOPTED at a regular meeting of the City Council held on the 7
th day of October 2024.
________________________________
Dave Druker, Mayor
City of Del Mar
APPROVED AS TO FORM:
______________________________
Leslie E. Devaney, City Attorney
City of Del Mar
ATTEST AND CERTIFICATION:

STATE OF CALIFORNIA

COUNTY OF SAN DIEGO

CITY OF DEL MAR
I, SARAH KRIETOR, Administrative Services Manager/City Clerk of the City of Del Mar, California, DO HEREBY CERTIFY, that the foregoing is a true and correct copy of Ordinance No.____, which has been published pursuant to law, and adopted by the City Council of the City of Del Mar, California, at a Regular Meeting held the 7 th day of
October, 2024, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:
______________________________
Sarah Krietor, Administrative Services
Manager/City Clerk
City of Del Mar
41 September 23, 2024 Item 10
Attachment B

Strikeout-Underline: Companion Amendments to Zoning Code and Local Coastal Program DMMC Chapter 24.21 is not part of the City’s certified Local Coastal Program (LCP). This companion set of amendments to DMMC Chapter 30.24 (North Commercial Zone) and Chapter 20.25 (Professional Commercial Zone) is needed and is limited only to the changes necessary to ensure consistent Citywide implementation of Inclusionary Housing.

North Commercial Zone:

30.24.070 - Development Standards.

In the NC Zone, the following development standards apply:

A. Density: Up to a maximum of 20 dwelling units per acre

1. All residential development or condominium conversions shall provide affordable housing in accordance with the City’s inclusionary housing regulations under Chapter 24.21 of this Code.

2. Notwithstanding Section 24.21.030, residential development or conversions of two, three, four or five units on one lot shall set-aside one unit for rental at below market rate to a low income household or donate one off-site unit, within the City's jurisdiction, of a like size and condition to the City or a City approved organization to be reserved for use as Affordable Housing. The option for payment of the In-Lieu Housing Mitigation Fee shall not be allowed.
[No changes to Sections B. (Lot Dimensions) through C. (Construction Standards).] Professional Commercial Zone:

30.25.070 - Development Standards.

In the PC Zone, the following development standards apply:

A. Density: Up to a maximum of 20 dwelling units per acre

1. All residential development or condominium conversions shall provide affordable housing in accordance with the City’s inclusionary housing regulations under Chapter 24.21 of this Code.

2. Notwithstanding Section 24.21.030, residential development or conversions of two, three, four or five units on one lot shall set-aside one unit for rental at below market rate to a low income household or donate one off-site unit, within the City's jurisdiction, of a like size and condition to the City or a City approved organization to be reserved for use as Affordable Housing. The option for payment of the In-Lieu Housing Mitigation Fee shall not be allowed.
[No changes to Section B Lot Dimensions through Section C. Construction Standards.] 42 September 23, 2024 Item 10
9/18/2024
Matrix for Inclusionary Housing
Code Section Description
1 Purpose

24.21.010
Purpose is to produce lower income affordable housing consistent with housing needs identified in the Housing Element; ensure the affordable units are in proportion to overall increase in new units. 2 Definitions

24.21.020
Creates definitions for the following terms: Affordable Housing (including income categories), Household, Inclusionary Unit, Market Rate Unit, Ownership Unit, Primary Residence, and Rental Unit. 3 Applicability

24.21.030
Applies to residential development of two or more units; and to the creation of lots through a subdivision map. It does not apply to nonresidential development, modifications to existing units with no increase in the number of units, replacement of involuntarily damaged or destroyed units within two years, ADUs, homeless shelters, supportive housing, transitional housing, residential care facilities, health care facilities, or conversion of mobile home parks. 4 Required Mitigation and
Calculation Methodology

24.21.040
Requires development of two or more units to reserve at least 15% of the units as lower income units for projects with less than 30 units and to reserve 20% for projects with 30 or more units. The same set of affordable units count to meet inclusionary and State DBL requirements. For projects developing units there is no option to pay an in-lieu fee or to build the units off-site. The inclusionary housing calculation is rounded up to the nearest whole number.

Existing in-lieu fees per Council-adopted 2024=2025 Fee Schedule:
• In-Lieu fee for Subdivisions: $27,350 per net-new lot created • In-lieu fee payment option ($35 per sf of habitable area) for new Condos and Condo Conversions would be removed
In lieu fees collected for creation of net-new lots will be deposited in Housing Assistance Fund for use to implement lower income units. 5 Inclusionary Housing
Plan and Agreement

24.21.050
Applicant must submit plan for processing concurrently with all other permits for the project. Applicant must enter into agreement with the City and record as deed restriction on property to run with the land and be binding on future owners and successors of interest. 6 Standards

24.21.060
The affordable and market rate units must be constructed concurrently, must be comparable in terms of size, design, materials, quality, appearance, and must be dispersed throughout the project.

Ownership and rental units must be affordable for 55 years. Owner must certify the income of the tenant or purchaser. Affordable units must be occupied as the principal residence of the tenant. 7 Exception to Avoid
Taking 24.21.070
Provides a process to accommodate Owners who demonstrate economic hardship and a need for exception to avoid a taking. 8 Enforcement 24.21.080 Enforcement is consistent with DMMC Chapter 1.08. 9 Appeal Process

24.21.090
Provides for an appeal to City Council.
10 Severability 24.21.100 Identifies a severability clause in case certain terms or provisions become void by law or court decision.
11 NC and PC Zone Density

30.24.070 and 30.25.070
Removes provision in the existing Zoning Code and certified LCP that is in conflict with the proposed inclusionary housing regulations.

ATTACHMENT C
43 September 23, 2024 Item 10
9/18/24
Matrix for Condo Conversions
Proposed Code Section Description
1 Purpose

24.40.010
The purpose is to regulate common interest subdivisions to preserve the City’s existing supply of apartments because conversion to condos can adversely impact this source of more affordable units. 2 Applicability & Process
for Approval

24.40.020
The Ordinance applies to the conversion of existing dwelling units to condos, community apartment projects, or tenancy in common form of ownership. Removes all code references to stock cooperatives. 3 Definitions

24.40.030
Added definitions for common interest subdivisions, community apartments, condominium conversions, and tenancy in common. 4 Submittal Requirements
and Disclosure of
Reports

24.40.040
Clarifies the requirement for disclosure of the physical condition of the units, structure, and property to potential buyers, which involves submittal of multiple reports and documents that must identify the deficiencies in the physical conditions and what must be improved. 5 Standards for Condo
Conversions

24.40.050
All condo conversions must comply with the DMMC in effect at the time of TM approval, except as otherwise provided. Allows residential with legal non-conforming structure, non-conforming parking, and/or non-conforming density to be converted to condos.

Must comply only with applicable provisions of Building Code in effect at time of application. Violations must be corrected prior to Final Map approval. Clarification of standards was added relating to fire protection, smoke/carbon monoxide detectors, sound transmission, utility meters, water/sewer laterals, irrigation meters, private storage space, laundry facilities, landscape maintenance, and the condition of equipment and appliances in each dwelling unit.

Projects must conform as necessary to reasonably ensure the structure achieves a high degree of appearance, quality, and safety.

Requires dedication of lower income inclusionary units consistent with prospective amendments to DMMC Chapter 24.21.
6 Notice to Tenants, First
Right of Refusal to
Purchase, and Tenant
Relocation Assistance

24.40.060
Requires the subdivider to give notice to prospective tenants per SMA law; and provide notice of public hearings for the project.

Tenants shall be afforded first right of refusal within 90 days of final approval for the tenant to purchase a unit prior to offering the unit for sale to the general public. Requires a relocation payment to qualifying tenants who would be displaced. The payment would be three months rent based on HUD’s annual Fair Market Rent specific to the San Diego region for apartment size. Qualifying tenant must be 62 years of age, disabled, or have dependent children living in the unit at least 30 days per year. Eligible tenant must have resided at least 90 days prior to the date the notice of application for condo conversion is issued.
7 Findings for Approval

24.40.070
States the required findings for approval.
8 Enforcement

24.40.080
The regulations shall be enforced in accordance with Chapter 1.08. 9 Severability

24.40.090
Adds a severability section in case regulations, in whole or in part, are determined to be void.
44 September 23, 2024 Item 10
Housing & Community Development Services
blank-white
Income Limits AMI Chart
San Diego County
Area Median Income (AMI) and Income Limits
2024 Area Median Income (AMI)
for San Diego County is
$119,500
San Diego County Income Limits
Effective April 17, 2024
Family Size 30% of AMI
Extremely Low Income
50% of AMI
Very Low Income
80% of AMI
Low Income
1 31,850 53,050 84,900
2 36,400 60,600 97,000
3 40,950 68,200 109,150
4 45,450 75,750 121,250
5 49,100 81,850 130,950
6 52,750 87,900 140,650
7 56,400 93,950 150,350
8 60,000 100,000 160,050
FAQs
Housing Directory
Areas Served
Fair Housing
Forms
6/27/24, 12:19 PM Income Limits AMI Chart
https://www.sandiegocounty.gov/content/sdc/sdhcd/rental-assistance/income-limits-ami.html 1/2

ATTACHMENT D
45 September 23, 2024 Item 10

ATTACHMENT E
Multi-Unit Condos in Residential Zones # of Units Zone
1 Del Mar Woods Condos 126 RM-South
2 212 4th Street Condos 18 RM-South
3 424 Stratford Court Condos 38 RM-South
4 515 Stratford Court Condos 10 RM-South
5 519 Stratford Court Condos 18 RM-South
6 460 Camino del Mar Condos 18 RM-South
7 Sea Cliff Way Condos (Stratford Ct/Sea Cliff) 5 RM-South 8 155 15th Street Condos 28 R2
9 1552 Camino del Mar Condos 24 R2
10 1558 Camino del Mar Condos 20 R2
11 1562 Camino del Mar Condos 36 R2
12 1844 Camino del Mar (Del Mar Villas Condos) 24 R2
13 1735 Coast Blvd Condos 5 RM-West
14 1757 Coast Blvd Condos 10 RM-West
15 1750 Ocean Front Condos 5 RM-West
16 Costa Del Rey Condos (2719 Camino del Mar) 16 RM-East 17 Sandy Pointe Condos (CDM and 29th Street) 20 RM-East 421 units
total
Apartment Properties in Residential Zones # of Units Zone 1 Los Arboles Apartments (201 4th Street) 97 RM-South
2 167 4th Street Apartments 12 RM-South
3 425 Stratford Court Apartments 18 RM-South
4 510 Stratford Court Apartments 48 RM-South
5 703 Stratford Court Apartments 12 RM-South
6 Ocean Village Apartments (1425 Ocean Avenue) 22 R2
7 El Adobe Apartments (2135 Coast Blvd) 12 RM-West
8 2515 Camino del Mar Apartments 14 RM-East
9 Beach Colony Apartments (2801 Camino del Mar) 86 RM-East 321 units
total
Apartments in Commercial Zones # of Units Zone
1 Terraces at Del Mar Apartments (526 Camino del Mar) 53 VC 2 941 CDM Multi-Unit – building permit pending
Includes 2 deed-restricted affordable units
8 941 CDM
SP
3 Watermark Multi-Unit – building permit pending
Includes 10 deed-restricted affordable units
50 NC
111 units
total
Two-unit condominium ownership lots exist throughout the R2 zone and RM zones 46 September 23, 2024 Item 10
North Beach and North Commercial Zone Multi-Unit Properties North Beach Multi Unit Properties
47 September 23, 2024 Item 10
City Center Multi-Unit Properties
48 September 23, 2024 Item 10
South Stratford Multi-Unit Properties
49 September 23, 2024 Item 10

ATTACHMENT F
1 SUMMARY OF DENSITY BONUS LAW
Background on State Density Bonus Law (DBL) - Government Code § 65915 Allows housing or mixed-use development at a density above maximum set in the General Plan (Del Mar Community Plan) and Zoning Code. In exchange for increased density, a certain number of the units must be income-restricted and reserved for very-low income, low-income, or moderate-income households. The Coastal Act and policies of the certified Local Coastal Program apply to DBL projects. DBL provides three types of benefits that qualifying applicants may request from the City to facilitate affordable housing development:
1) Incentives or concessions that provide project cost reductions; 2) Waivers and reductions of development standards that would physically preclude project development at the density permitted per DBL and with incentives granted per DBL; and 3) Reductions in parking requirements per Government Code § 65915(p).

Project Eligibility and Location
Any housing development that proposes five or more dwelling units and incorporates at least one of the housing-related requirements below is eligible for a density bonus:

Density Bonus awarded per Project Type per State Density Bonus Law Projects with 5% “Very Low Income”, 10% “Low Income”, or 20% “Moderate Income” rental units restricted for at least 55 years 20% density
bonus
Projects with 10% “Very Low Income” units for transitional foster youth, disabled veterans, or homeless restricted at least 55 years Senior housing projects that limit age of tenants, not the income (Civil Code § 51.3 and 51.12)
Projects with 15% “Very Low Income”, 24% “Low Income”, or 44% “Moderate Income” rental units restricted for at least 55 years 50% density
Projects with 100% affordable units (excluding manager unit) with max bonus 20% moderate units
Projects that donate land (at least one acre) for very low-income (Gov Code § 65915(g))
15% to 35%
density bonus
Projects that provide a child care facility
(Gov Code §65915(h))
Equivalent
square footage
of child care
facility for bonus
units
Potential DBL project locations include the North Commercial and Professional Commercial Zones and will include the Central Commercial Zone (Ordinance pending per Housing Element). 50 September 23, 2024 Item 10
2 Maximum Density Bonus
Opportunities for a project density bonus are set on a sliding scale based on percentage of units in the project that will be set aside as income-restricted; and number of units in specified household income categories (very low, low, or moderate). The maximum density bonus that can be awarded is 50% of the base units (pre-density bonus), which applies to projects that include at least 44% moderate-income units or 24% low-income units or 15% very low-income units. The density bonus calculation is based on the allowable density of the base zone. No additional density will be awarded beyond the 50% density bonus.

Incentives/Concessions and Determination of Economic Infeasibility An applicant may request incentives/concessions to reduce costs to build a DBL project with affordable units. Incentives and concessions have the same meaning under DBL. Typically, development projects must comply with design standards and development regulations (i.e., height, floor area ratio, lot coverage, and setbacks). DBL allows projects to deviate from design standards and development regulations if the standard regulations would make the project economically infeasible to build. Requested incentives or concessions must result in identifiable and actual cost reductions for affordable housing development. An applicant shall provide reasonable documentation to explain how the request will reduce costs to build the project. The City may deny an incentive or concession if it finds it would be contrary to state or federal law, or would have a specific, adverse and unavoidable impact on public health, safety or on a listed historic property.

DBL allows up to five “incentives” to be requested based on the number of income-restricted units:

Income
Category % of Reserved Units
Very Low 5% 10% 15% 16% 100% lower
income
(up to 20%
moderate
income)
Low 10% 17% 24% N/A
Moderate 10%
for sale
20%
for sale
30%
for sale
45%
for sale
Senior N/A N/A 100% N/A N/A
Maximum
Incentives 1 2 3 4 5
Waivers and Determination of Physical Infeasibility
A waiver is a reduction or modification of “development standards” and other regulations when those requirements would make project construction physically infeasible without waiver approval. “Development standards” includes a site or construction condition, including, but not limited to, height, setbacks, floor area, open space requirements or parking. The determination of physical infeasibility considers the density permitted per DBL and scenarios with project incentive(s) granted. There is no limit to the number of waivers an applicant can request.

However, waiver requests must be accompanied by reasonable documentation that explains the request and visually demonstrates in exhibits that the existing development standard, if not waived or reduced, would physically preclude development of the project. The City may deny a waiver if it finds it would be contrary to state or federal law, or would have a specific, adverse and unavoidable impact on public health, safety or on a listed historic property. 51 September 23, 2024 Item 10
City of Del Mar
Agenda Report
________________________________________________________________________________________________________ City Council Action:

TO: Honorable Mayor and City Councilmembers
FROM: Matt Bator, AICP, Principal Planner
Karen Brindley, Planning and Community Development Director Via Ashley Jones, City Manager
DATE: September 23, 2024
SUBJECT: Adoption of an Ordinance Establishing Multi-Unit and Mixed-Use Objective Design Standards for “By-Right” Housing Development Projects REQUESTED ACTION/RECOMMENDATION:

Staff recommends that the City Council adopt an Ordinance (Attachment A) to amend Del Mar Municipal Code (DMMC) Title 23 and establish a new Chapter 23.06 to approve and implement Multi-Unit and Mixed-Use Objective Design Standards for “by-right” housing development projects and implement Housing Element Program 6G.

DISCUSSION AND ANALYSIS:

On August 26, 2024, the City Council introduced an Ordinance to establish new Chapter

23.06 of the DMMC for approval and implementation of Multi-Unit and Mixed-Use Objective Design Standards (ODS) for “by-right” housing development projects. The Ordinance is required to implement the City’s 6th Cycle Housing Element (2021-2029) Program 6G, the creation of new ODS that provide "measurable and verifiable" criteria that can be applied to development projects where the City's discretionary land use processes have been abrogated by recent changes to State housing law. The ODS are intended to apply to any lawfully entitled by-right/ministerially processed multi-unit and mixed-use housing development projects that include an affordable housing component.

Prior to and during the August 26, 2024, public hearing to introduce the ODS Ordinance, several questions were posed to staff and the City’s consultant (Ascent) by Councilmembers regarding the language of the draft Ordinance and specific standards and sections of the draft Objective Design Standards Manual. Staff’s responses resulted in several non-substantive edits and associated clarifications/clean-ups to the proposed Ordinance and ODS Manual. Those edits were discussed and read into the record while others, such as four (4) specific revisions to the ODS that were forwarded to the City Council from the Planning Commission for consideration, were included with the introduction of the Ordinance by reference.
1 September 23, 2024 Item 11
City Council Agenda Report
Adoption of Objective Design Standards
September 23, 2024

Below are brief summaries of the questions and issues raised by the City Council at the August 26, 2024, meeting and how each item has been addressed in the ODS Manual:
• Request to reference the City’s Community Plan in Sections A.2 and A.5 of the ODS Manual where other regulatory documents are cited. In response to the request, “Del Mar Community Plan” has been added to the respective sections of the Manual. See pages 4, 6, and 7 of Attachment B.
• Request to address height maximums for chimneys. The ODS Manual has been updated to indicate that fireplace chimneys may not exceed a height of three (3) feet above the lowest adjacent roof structure. See page 22 of Attachment B. • Request to address visual massing and noise concerns that could result when multiple heating, ventilation, and air conditioning (HVAC) condensers are placed on the roof of a multi-story, multi-unit building. To address this issue, additional language has been added to the ODS Manual reaffirming that rooftop equipment cannot extend above the maximum allowed building height for the development and that all exterior mechanical equipment must comply with the maximum noise levels prescribed in DMMC Chapter 9.20 (Noise Regulations).

See pages 23-24 of Attachment B.
• Concern with Standard C.6.11 (Lighting Design Standards), in that the proposed calculation could allow for adverse lighting impacts to adjacent properties. Upon further review of the issue, staff determined that C.6.11 is not needed, as other proposed standards would not allow for such lighting to be placed adjacent to common property boundaries. Therefore, C.6.11 has been removed from the ODS Manual.
• Request to clarify if there would be a size limit for roof eaves. The ODS Manual has been updated to indicate that all eaves, overhangs, and other architectural projections would be limited to projecting no more than two feet (2’) from the surface of the building. See page 20 of Attachment B.

Attachment B includes an itemized list of the edits made to the proposed ODS Manual that address City Council and Planning Commission concerns and recommendations, and a redline exhibit of those revised standards is also included within the attachment. A “clean” final version of the ODS Manual has been included as Attachment C.

FISCAL IMPACT:

There is no fiscal action to be taken by the Council related to this agenda item. 2 September 23, 2024 Item 11
City Council Agenda Report
Adoption of Objective Design Standards
September 23, 2024

ENVIRONMENTAL IMPACT:

The 6th Cycle Housing Element Final Program Environmental Impact Report (PEIR) and associated Mitigation, Monitoring, and Reporting Program was certified by the City Council on October 5, 2020 (State Clearinghouse (SCH) No. 2020029064). The Final PEIR is available at: www.delmar.ca.us/DocumentCenter/View/7171/Final-PEIR-91020.

The proposed amendments have been analyzed and it has been determined that they would not result in significant effects on the environment or an increase in the severity of effects on the environment as previously analyzed and identified in the Final PEIR.

Pursuant to CEQA Guidelines Section 15162, no further environmental documentation is necessary. Individual development projects will be analyzed for potential impacts on the environment pursuant to the CEQA Guidelines at the time of their application and processing.

HOUSING IMPACT:

Consistent with the City’s adopted 6th Cycle Housing Element and State housing laws, the proposed action will create new ODS that will apply to proposed “by right” housing projects, as defined and required by State law.

NEXUS TO CITY COUNCIL GOALS AND PRIORITIES:

Creation of objective design standards for multi-unit and mixed-use housing development projects is a Tier 1 priority City Council special project that is included in the City’s Housing Element.

ATTACHMENTS:

Attachment A – Ordinance to Create Multi-Unit and Mixed-Use Objective Design Standards for By-Right Housing Development Projects
Attachment B – List of Edits and Redline Exhibit of ODS Revisions Attachment C – ODS Manual (Final Version)
3 September 23, 2024 Item 11

ATTACHMENT A
ORDINANCE NO. XXXX

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF DEL
MAR, CALIFORNIA, ADDING NEW CHAPTER 23.06 TO THE
CITY OF DEL MAR MUNICIPAL CODE, ESTABLISHING MULTIUNIT AND MIXED-USE OBJECTIVE DESIGN STANDARDS FOR LAWFULLY REQUIRED “BY-RIGHT” HOUSING DEVELOPMENT
WHEREAS, the City of Del Mar is a charter city and certain constitutionally enacted State Housing laws apply to general law and charter cities in the State of California; and WHEREAS, the State legislature declared that “Housing is a matter of statewide concern” considering that California faces a housing crisis, and that local jurisdictions were therefore mandated to comply with applicable State housing laws; and WHEREAS, the City of Del Mar Community Plan is the General Plan for the City of Del Mar and has an overall goal to “preserve and enhance the special character of Del Mar,” this includes maintaining the “village-like community of substantially single family residential character, a picturesque and rugged site, and a beautiful beach” as well as preserving and enhancing “Del Mar’s special residential character and small town atmosphere with its harmonious blending of buildings and landscape in proximity to a beautiful shoreline;” and
WHEREAS, the City’s certified Housing Element is one of many required components that is part of the Del Mar Community Plan which requires consistency with State laws applicable to General Plans; and
WHEREAS, the certified Housing Element identifies programs and resources required for the preservation, improvement, and production of housing to meet the existing and projected needs of its population and it requires the creation of additional affordable housing stock; and
WHEREAS, the certified Housing Element for the 6th Cycle years 2021-2029 requires the City to accommodate a Regional Housing Need Allocation (RHNA) of 163 housing units, comprised of 37 very-low income units, 64 low-income units, 31 moderateincome units, and 31 above moderate-income units and an additional 12 low income unit “carryover” from the 5th Cycle planning period (2013-2021) for a total obligation of 175 units including 113 lower income units as well as 100 additional opportunities for moderate income households, lower income households, and special needs households; and
WHEREAS, the proposed amendment to the Del Mar Municipal Code (DMMC) is required per State law to implement the City’s 6th Cycle Housing Element commitment identified in Program 6G (Objective Design Standards) in order to maintain compliance with State law and avoid decertification of the Housing Element; and WHEREAS, the City has made and continues to make progress toward its housing programs and housing production targets in its certified Housing Element; and 4 September 23, 2024 Item 11
Ordinance No. XXXX