Business Agenda Item 5a
STAFF REPORT
City Council Business Agenda Item
DATE: April 4, 2022
TO: Honorable Mayor and Council Members
FROM: Liz Shorey, Deputy Director of Community Development THROUGH: Merritt Perry, City Manager
SUBJECT: A Public Hearing to Consider Amendment of the Fortuna Municipal Code Regarding State-Mandated Procedures for SB 9 Urban Lot Splits and TwoUnit Projects By Amending Title 17 – Zoning Regulations of the Fortuna Municipal Code Chapter 17.09 – State Mandated Procedures, and Title 16 – Subdivisions Section 16.04.070—Urban Lot Splits. Ordinance 2022-752 STAFF RECOMMENDATION:
Repeal Urgency Ordinance 2022-751, and adopt standards to regulate SB 2 Urban Lot Splits and Two-Unit Projects, by adopting Ordinance 2022-752.
EXECUTIVE SUMMARY:
On January 1, 2022, Senate Bill (the California Housing Opportunity and More Efficiency (HOME) Act) went into effect. The bill allows housing developments containing two residential units on one lot within the residential zoning districts without discretionary review or a public hearing, subject to certain criteria. SB 9 also allows a lot split to create two lots from one lot in the residential zoning districts without discretionary review or a public hearing, subject to certain criteria. SB 9 allows cities to adopt local ordinances to implement the provisions of SB 9, and to adopt objective zoning standards, subdivision standards, and design review standards as long as they do not conflict with or prohibit the provisions of SB 9.
The City Council adopted Urgency Ordinance No. 2022-751 on January 18, 2022 in order to address public health and safety matters affected by the State’s enactment of SB 9. The Urgency Ordinance established local regulations for the subdivision and development of qualified SB 9 projects and amends Title 17, of the Fortuna Municipal Code to comply with SB 9. The City’s urgency ordinance addresses both “urban lot splits” – the term SB 9 uses for ministerial lot splits – and “two-unit projects” – referring to ministerially approved projects to either construct two primary residential dwelling units or to add an additional primary dwelling unit to a lot that already contains a primary residential dwelling unit. The ordinance added Chapter 17.09 to the City’s Zoning Regulations and added Section 16.04.070 to Title 16 (Subdivisions).
Business Agenda Item 5a
At a public hearing on February 8, 2022, the Planning Commission considered a nonurgency SB 2 ordinance, which would replace the urgency ordinance. The Planning Commission adopted Resolution P-2022-3080, recommending that the attached ordinance be adopted by the City Council. The majority of the standards that were included in the urgency ordinance are retained, making changes by including additional standards relating to lot coverage, parking, access driveways, and design standards, which are described below.
Proposed Amendments
The following are the additions and clarifications recommended by the Planning Commission, and have been incorporated into the attached draft ordinance (changes shown in bold).
17.09.020—SB 9—Urban Lot Splits
D.2. Lot Access. Each resulting lot must have direct access to the public right-ofway, which shall be shown on the tentative and final map. All accessways must meet the size and development standards of the Fortuna Municipal Code and Fortuna Improvement Standards and Specifications.
D.5. Setbacks and Building Coverage.
a. Subject to subsections (b) and (c) below, development on either or both of the resulting lots does must comply with all standard setbacks and building coverage for its location.
c. The front setback includes any property boundary that has frontage on a public or private street.
D.6. Parking. Subject to Government Code section 66411.7(e)(3)(A)-(B), each new primary dwelling unit that is built on a lot after the urban lotsplit must provide at least one off-street parking space per unit. This section does not preclude an applicant from complying with the City’s standard parking requirements. All other parking requirements of the Fortuna Municipal Code shall be required.
17.09.030—SB 9—Two-Unit Projects
D.6. Setbacks and Building Coverage.
a. Subject to subsections (b) and (c) below, development on either or both of the resulting lots does must comply with all standard setbacks and building coverage for its location.
c. The front setback includes any property boundary that has frontage on a public or private street.
7. Parking. Subject to Government Code section 65852.21(c)(1)(A)-(B), each new primary dwelling unit must provide at least one off-street parking space per unit. This section does not preclude an applicant from complying with the City’s Business Agenda Item 5a
standard parking requirements. All other parking requirements of the Fortuna Municipal Code shall be required.
10. Design. Additions or new construction shall comply with the following:. a. On a site already developed with an existing residential unit, the new unit shall be designed and constructed to match the existing paint color and exterior building materials, including but not limited to siding, windows, doors, roofing, light fixtures, hardware, and railings.
b. If residential development is proposed on a lot where no residential units currently exist, the units shall be constructed using the same architectural style, exterior building materials, colors, and finishes.
c. If a garage is converted to a new unit, the garage door opening shall be replaced with exterior wall coverings to match the existing exterior garage wall covering and detailing.
A range of other potential standards were considered by the Planning Commission but not included in the recommendation, and which are included here simply on an informational basis. Potential standards presented but not adopted include the following:
Floor Area Based on Zoning Standard Compliance: Allow an Increase in floor area greater than 800 square feet and/or a building height greater than 15 feet in certain situations (for example, allow up to 1,200 square feet floor area if the second unit is within the zoning district’s required setbacks, and building height up to the zoning district’s maximum if the second residence is attached to the main unit).
Floor Area Based on Lot Size: Allow increased floor area based on lot size (for example, allow a percentage increase in floor area for every certain percentage that a lot exceeds the minimum lot size for its zoning district).
Affordability Standards: Require affordability levels for low to moderate income categories. Design Standards: Require detailed design standards for all new SB 9 units (for example, architectural style, design details, building colors, landscaping, etc.) ENVIRONMENTAL ASSESSMENT:
Pursuant to Government Code sections 66411.7(n) and 65852.21(j) an ordinance adopted to implement SB 9 is not considered a “ project” under the California Environmental Quality Act (CEQA). The draft Ordinance is therefore exempt from CEQA.
FISCAL IMPACT: No fiscal impact as a result of the Code amendments.
RECOMMENDED COUNCIL ACTION:
1. Receive staff presentation and review questions with staff
2. Open public comment
3. Close public comment
4. Motion to hold the first reading of Ordinance 2022-752, read by title only and continue the Public Hearing to Monday, April 18, 2022 for the second reading. Roll Call vote.
Business Agenda Item 5a
ATTACHMENTS:
Attachment 1— Ordinance 2022-752, An Ordinance of the City Council of the City of Fortuna Amending Chapter 17.09— State Mandated Procedures of Title 17 – Zoning Regulations of the Fortuna Municipal Code and by Amending Section 16.04.070– Urban Lot Splits of Title 16 – Subdivisions, and Determining the Ordinance to be Exempt from CEQA, and Repealing Urgency Ordinance No. 751
Business Agenda Item 5a
ORDINANCE NO. 2022-752
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF FORTUNA AMENDING CHAPTER 17.09— STATE MANDATED PROCEDURES OF TITLE 17 –
ZONING REGULATIONS OF THE FORTUNA MUNICIPAL CODE AND BY AMENDING SECTION 16.04.070– URBAN LOT SPLITS OF TITLE 16 –
SUBDIVISIONS, AND DETERMINING THE ORDINANCE TO BE EXEMPT FROM CEQA, AND REPEALING URGENCY ORDINANCE NO. 751
WHEREAS, the City of Fortuna, California (“City”) is a municipal corporation, duly organized under the constitution and laws of the State of California; and WHEREAS, in 2021, the California Legislature approved, and the Governor signed into law Senate Bill 9 (“SB 9”), which among other things, added Government Code sections 65852.21 and 66411.7 to impose new limits on local authority to regulate urban lot splits and two-unit projects; and
WHEREAS, SB 9 allows local agencies to adopt objective design, development, and subdivision standards for urban lot splits and two-unit projects; and WHEREAS, SB 9 became effective on January 1, 2022, and preempts any conflicting City ordinance; and
WHEREAS, the City desires to amend its local regulatory scheme to implement Government Code sections 66411.7 and 65852.21 in a manner that appropriately regulates projects under SB 9 in accordance with existing City standards and land use policies; and WHEREAS, by way of Urgency Ordinance No. 751, to protect the public safety, health, and welfare, the City Council adopted an urgency measure, in accordance with Government Code section 36937(b), adopting objective design, development, and subdivision standards for urban lot splits and two-unit projects in a manner that appropriately regulates projects under SB 9 in accordance with existing City standards and land use policies; and WHEREAS, following the adoption of Urgency Ordinance No. 751, the Planning Commission of the City of Fortuna reviewed and considered the regulations adopted by way of Urgency Ordinance No. 751 at a notice public hearing, held in accordance with law; and WHEREAS, by way of Resolution P-2022-3080, the Planning Commission has recommended that the City Council adopt, by ordinance, the proposed regulations included therewith and set forth herein; and
WHEREAS, on March 26, 2022, a notice was published in the Times Standard and notices were posted in conspicuous locations including City Hall and the City website, specifying the availability of the proposal, and the date, time, and location of the public hearing for this Ordinance; and
WHEREAS, the City Council has considered the staff report, supporting documents, public Business Agenda Item 5a
testimony, Planning Commission Resolution P-2022-3080, and all appropriate information that has been submitted with this Ordinance; and
WHEREAS, the City deems it necessary and appropriate to adopt standards and regulations implementing SB 9 within the City and to provide for the enforcement of these standards and regulations consistent with State requirements; and
WHEREAS, all legal prerequisites to the adoption of the Ordinance have occurred.
NOW THEREFORE, THE CITY COUNCIL OF THE CITY OF FORTUNA DOES ORDAIN AS FOLLOWS:
SECTION 1. Recitals. The above recitals are each incorporated by reference and adopted as findings by the City Council.
SECTION 2. CEQA. Under California Government Code sections 65852.21(j) and 66411.7(n), the adoption of an ordinance by a city or county implementing the provisions of Government Code sections 66411.7 and 65852.21 and regulating urban lot splits and two-unit projects is statutorily exempt from the requirements of the California Environmental Quality Act (“CEQA”). Therefore, adoption of this Ordinance is statutorily exempt from CEQA because it implements these new laws enacted by SB 9. The City Council hereby directs staff to prepare, execute, and file with the Humboldt County Clerk a notice of exemption within five working days of the adoption of this Ordinance.
SECTION 3. General Plan. Based on the entire record before the City Council, and all written and oral evidence presented, the City Council hereby finds that this Ordinance’s amendments to the Fortuna Municipal Code are consistent with the City’s adopted General Plan, except to the extent SB 9 precludes consistency, for the reasons set forth below:
1. Land Use Element Goals LU-1 and LU-4, and Policies LU-4.4 and LU-4.6, LU-5.1, provide that new development should be complementary to the existing character of the City. To an extent permitted under SB 9, this Ordinance imposes objective development standards on urban lot splits and two-unit projects. Such standards include regulations governing lot size, unit size, setbacks, parking, and utilities. Collectively, such standards are intended to align SB 9 projects with the City’s existing development standards—which will lessen the impact of SB 9 projects on the community’s existing character, surrounding neighborhoods, and natural features. For these reasons, this Ordinance is consistent with Goals LU-1 and LU-4, and Policies LU-4.4 and LU-4.6, LU5.1,.
2. Community Development Element Policies CD-1.1 and CD-5.5 provide that new development should, among other things, be compatible with the physical characteristics of the site and surrounding land uses. This Ordinance subjects SB 9 urban lot splits and two-unit projects to generally applicable and SB 9-specific objective development standards. Such standards will promote compatibility with the physical characteristics of the site and surrounding land uses by regulating, among other things, lot access, earthquake and fire safety, setbacks, unit quantity, unit size, and parking. For these reasons, this Ordinance is consistent with General Plan Community Business Agenda Item 5a
Development Policies CD-1.1 and CD-5.5.
3. Community Development Element Policies CD-1.7 and CD-4 provides that the City should identify, designate, and protect buildings, districts, and sites of historic importance in the City. In accordance with SB 9, this Ordinance exempts properties that are designated as historical or within a historical district. Exempting these properties will protect the City’s historical buildings, districts, and historic sites by ensuring that SB 9 lot splits and two- unit projects do not occur in these areas. Consequently, this Ordinance is consistent with General Plan Land Use Policies CD-1.7 and CD-4.
SECTION 4. Zoning Regulations Amendment. Chapter 17.09 – State Mandated Procedures of the Fortuna Zoning Regulations (Title 17 of the Municipal Code) is hereby amended and replaced as set forth in Exhibit “A,” attached hereto and incorporated herein by reference.Without modifying the substance, following approval of this Ordinance, the City Clerk shall cause the Zoning Regulations amendments to be consistent in form and style with the Zoning Regulations.
SECTION 5. Municipal Code Amendment. Section 16.04.070 of Title 16 - Subdivisions of the Fortuna Municipal Code is hereby amended and replaced, in full, as follows:
16.04.070 Urban Lot Splits
Urban lot splits, as authorized by Government Code section 66411.7, are subdivisions subject to this Title that shall be more specifically governed as set forth in Chapter 17.09 of Title 17 of the Fortuna Municipal Code.
SECTION 6. Effective Date. The effective date of this ordinance is thirty (30) days after its adoption by the City Council.
SECTION 7. Repeal of Ordinance No. 751. As of the effective date of this Ordinance, Urgency Ordinance No. 751 shall be deemed superseded, replaced, and repealed by this Ordinance.
SECTION 8. Severability. If any provision of this Ordinance or its application to any person or circumstance is held to be invalid, such invalidity has no effect on the other provisions or applications of the Ordinance that can be given effect without the invalid provision or application, and to this extent, the provisions of this resolution are severable. The City Council declares that it would have adopted this Ordinance irrespective of the invalidity of any portion thereof. ///
Business Agenda Item 5a
INTRODUCED and FIRST READING CONDUCTED at a regular meeting of the City Council of the City of Fortuna, California, on this 4th day of April 2022 by the following vote:
AYES:
NAYS:
ABSENT:
ABSTAIN:
___
Sue Long, Mayor
ATTEST:
___________________________
Buffy Gray, Deputy City Clerk
SECOND READING CONDUCTED, PASSED, and ADOPTED at a regular meeting of the City Council of the City of Fortuna, California, on this ____ day of ____________, 2022 by the following vote:
AYES:
NAYS:
ABSENT:
ABSTAIN:
Sue Long, Mayor
ATTEST:
___________________________
Siana L. Emmons, City Clerk
Business Agenda Item 5a
Exhibit “A”
Chapter 17.09
STATE MANDATED PROCEDURES
17.09.010 – SB 9--General
A. Purpose
The purpose of this Chapter is to implement the provisions of Senate Bill 9 and any other land use procedure that state law mandates on the City but that would otherwise be inconsistent with the City’s land use and development policies, procedures or regulations. The purpose of this Chapter is to implement all City land use and development policies, procedures or regulations to the maximum extent allowed under state law.
B. Applicability
This Chapter shall only apply to the extent that the City is required to ministerially approve applications for development actions under state law provisions. This Chapter shall not be construed to allow any greater rights to approval of a development application than the City is required to grant under state law. To the extent any statemandatedprocedure in this Chapteris repealed,determinedto be unlawful oris otherwise not mandatory upon the City, then this Chapter shall not allow for approval of any such applications. The provisions of this Chapter shall continue to apply to any development applications previously approved hereunder.
Specifically, this Chapter shall apply to:
1. Urban lot splits under Government Code section 66411.7.
2. Two-unit projects under Government Code section 65852.21.
C. Definitions
Terms defined in Chapter 17.08 of these Zoning Regulations shall have the same meanings in this Chapter, unless otherwise expressly defined in this Chapter. The following terms used in this Chapter shall be defined as follows:
1. “Individual property owner” means a natural person holding fee title individually or jointly in the person’s own name or a beneficiary of a trust that holds fee title. “Individual property owner” does not include any corporation or corporate person of any kind (partnership, LP, LLC, C corp, S corp, etc.) except for a community land trust Business Agenda Item 5a
(as defined by Revenue and Taxation Code section 402.1(a)(11)(C)(ii)) or a qualified nonprofit corporation (as defined by Revenue and Taxation Code section 214.15).
2. “Specific adverse impact” has the same meaning as in Government Code section 65589.5(d)(2), which is a significant, quantifiable, direct, and unavoidable impact, based on objective, identified written public health or safety standards, policies, or conditions as they existed on the date the application was deemed complete, and does not include (1) inconsistency with the zoning ordinance or general plan land use designation or (2) the eligibility to claim a welfare exemption under Revenue and Taxation Code section 214(g).
3. A “two-unit project” means the development of two primary dwelling units or, if there is already a primary dwelling unit on the lot, the development of a second primary dwelling unit on a legally subdivided lot in accordance with the requirements of this section.
4. “Urban lot split” means the subdivision of an existing, legally subdivided lot into two lots in accordance with the requirements of Government Code section 66411.7 and this Chapter pursuant to a ministerial approval process.
D — Approval Authority
1. Director. The Director shall have authority to approve or deny all applications that are subject to ministerial approval in accordance with this Chapter.
2. Appeal. The applicant may appeal a decision of the Director under this Chapter in accordance with Chapter 17.07. Review on appeal shall be ministerial and shall be limited to a determination as to whether the application meets all requirements for approval. The applicant shall have the burden of showing in all respects that the City must ministerially approve the application as presented. a. Specific Adverse Impacts. If the applicant contends that specific adverse impacts of the proposed project can be satisfactorily mitigated or avoided, then the appeal must set forth in detail how the applicant will mitigate or avoid such specific adverse impacts. If the applicant contends that there are no specific adverse impacts, the applicant shall submit all information to rebut the Director’s finding with the appeal.
17.09.020 – SB 9 – Urban Lot Splits
A — Applicants; Approval Authority
Business Agenda Item 5a
1. Owners/Lienholders. Only individual property owners may apply for an urban lot split. Any person with a security interest in, or other senior lien against, the lot to be split as an urban lot split must consent and subordinate to recordation of the restrictions resulting from the urban lot split against the title of the property.
2. Application. An application for an urban lot split must be submitted on a form approved by the Director and shall contain all information that the Director requires.
Only a complete application will be considered. The City’s application form shall, at a minimum, require the applicant to submit the following:
a. Evidence that the applicant is an individual property owner of the lot to be split.
b. If applicable, compliance with the consent and subordination requirements provided in subsection (A above.
c. A signed affidavit stating that the applicant intends to occupy one of the dwelling units on one of the resulting lots as the applicant's principal residence for a minimum of three years after the urban lot split is approved. d. A signed affidavit indicating that the applicant acknowledges and agrees that each lot created by the urban lot split will be used for residential purposes only and that the applicant intends to use the lots forthat purpose. e. A signed affidavit stating that there are no conditions, covenants or restrictions on the property that prohibit subdivision of the property, and if requested by city, any supporting documentation showing that there are no such conditions, covenants or restrictions on the property. f. If the lot would result in the demolition or alteration of existing housing, proof that no housing on the lot has been occupied by a tenant within the last three years.
g. Proof that none of the circumstances set forth in sub-subsection “6” (Prior Urban Lot Split) of sub-section “C” (Grounds for Denial) of this section are present.
h. Proof that none of the circumstances set forth in sub-subsection “5” (Historic Properties and Districts) of subsection “C”(Grounds for Denial) of this section and sub-subsection “7” (Impact on Protected Housing) of subsection “C” (Grounds for Denial) of this section are present.
Business Agenda Item 5a
i. Proof of any inspections required under sub-subsection "4" (Inspection) of subsection “C” (Grounds for Denial) of this section.
j. A title report, litigation guarantee or other documentation showing evidence of any senior security interests or liens against the property.
3. Application Fee. The City may establish a fee to recover its costs for adopting, implementing, and enforcing this Chapter, in accordance with applicable law. The City Council may establish and change the fee by resolution. The fee must be paid with the application. In absence of an established fee that is specific to an urban lot split, an applicant shall pay all fees related to processing a parcel map. The fee may be in the form of a deposit for the City’s actual costs incurred.
B — Development and Subdivision Standards
1. Objective Development Standards. An urban lot split, and any development of a parcel created from an urban lot split, shall comply with all requirements of this Chapter, all objective development standards set forth in this Code or otherwise established by the City, and all other City requirements that are not in conflict with Government Code section 66411.7.
2. Subdivision Standards. Except as otherwise expressly provided in this Chapter, an urban lot split must conform to all applicable objective requirements of the Subdivision Map Act (Government Code section 66410 et. seq.) and Title 16 of the Fortuna Municipal Code. The Director shall be the approval authority for both the tentative and final map.
a. Exception. No dedication of rights-of-way or construction of offsite improvements shall be required for an urban lot split. This exception shall only apply to the extent that Government Code section 66411.7 precludes the city from requiring dedications of rights-of-way or construction of offsite improvements. This section shall not preclude denial of an urban lot split if the project would have a specific adverse impact on either public health and safety or on the physical environment unless the applicant dedicates rights-of-way or constructs offsite improvements.
C — Grounds for Denial
The Director shall deny an application for an urban lot split if any of the following are true:
1. Development and Subdivision Standards. The lot to be split does not satisfy the requirements of subsection “B” (Development and Subdivision Standards) or subsection Business Agenda Item 5a
“D” (Standards Specific to Urban Lot Splits) of this section.
2. Zone. The lot to be split is not zoned for single family residential uses. If the lot is designated as a Specific Plan area, then it will be considered to be zoned for residential uses under this section if the lot is within a portion of the Specific Plan where a single family residence is a permitted use.
3. Statutory Exemptions. The lot to be split does not satisfy the requirements of Government Code section 65913.4(a)(6)(B)–(K). (See Government Code section 66411.7(a)(3)(C).)
4. Inspection.
a. Very High Fire Hazard Severity Zone. For lots within a very high fire hazard severity zone, the application does not include proof of an inspection by the City’s building official or other City designee confirming full compliance all existing fire and building code standards. b. Earthquake Fault Zone. For lots within a delineated earthquake fault zone, the application does not include proof of an inspection by the City’s building official or other City designee confirming full compliance with applicable seismic protection building code standards. Such inspection shall include all standard City requirements for development within an earthquake fault zone.
5. Historic Properties and Districts. The lot to be split is a historic property or within a historic district that is included on the State Historic Resources Inventory or the lot to be split is within a site that is designated by ordinance as a city landmark or as a historic property or within a historic district.
6. Prior Urban Lot Split. The lot to be split was established through a prior urban lot split, or the lot to be split is adjacent to a lot that was established through a prior urban lot split by the owner of the lot to be split or by any person acting in concert with the owner.
7. Impact on Protected Housing. The urban lot split requires or includes the demolition or alteration of any of the following types of housing:
a. Housing that is income-restricted for households of moderate, low, or very low income.
Business Agenda Item 5a
b. Housing that is subject to any form of rent or price control through a public entity’s valid exercise of its police power.
c. Housing, or a lot that used to have housing, that has been withdrawn from rental or lease under the Ellis Act (Government Code sections 7060–7060.7) at any time in the 15 years prior to submission of the urban lot split application.
d. Housing that has been occupied by a tenant in the last three years.
8. Lot Size.
a. The lot to be split is smaller than 2,400 square feet. b. Either resulting lot is less than 1,200 square feet. c. Either resulting lot is more than 60 percent or less than 40 percent of the original lot area.
9. Unit Count. Either or both of the resulting lots will have more than two units. For purposes of this section, a “unit” is any type of dwelling, including but not limited to an ADU or JADU, except to the extent such definition is determined to be inconsistent with Government Code section 66411.7.
10. Easements. The applicant does not convey all easements required for the provision of public services and facilities.
11. Specific Adverse Impacts. If the Director makes a written finding, based on a preponderance of the evidence, that the project would have a “specific, adverse impact” on either public health and safety or on the physical environment and for which there is no feasible method to satisfactorily mitigate or avoid the specific adverse impact. a. A specific adverse impact includes, but is not limited to, the following:
i. The subdivision or development within an Environmentally Sensitive Habitat Area, which is based on specific and defined environmental impacts on protected species and habitat as established by Federal, State, or local codes and regulations, as well as established procedures for mitigating and avoiding such impacts Business Agenda Item 5a
as set forth in the Fortuna General Plan.
ii. Any lot split which results in a driveway or other vehicular access that does not provide safe access into traffic or onto the lot from traffic.
b. Because Government Code section 66411.7 precludes the City from requiring any dedication of rights-of-way or construction of offsite improvements, the Director shall deny any application where either dedication of rights-of-way and/or construction of offsite improvements is necessary to satisfactorily mitigate a specific adverse impact, including but not limited to where a subdivision or development of property would otherwise require a dedication for sidewalk, parkways, curbs, gutters, street and road improvements or other traffic improvements. c. The City Council may establish additional guidelines that set forth circumstances where a project will have a specific adverse impact on either the public health and safety or on the physical environment. Nothing herein shall hinder or constrain the Director’s discretion to make written findings, based on a preponderance of the evidence, that a project would have a specific adverse impact on either public health and safety or on the physical environment and for which there is no feasible method to satisfactorily mitigate or avoid the specific adverse impact.
12. Not Feasible For Residential Use. If either resulting lot is not feasible for residential use.
13. No Legal Requirement. If for any reason, including but not limited to repeal of Government Code section 66411.7, initiative or referendum, court decision or any circumstance in which section 66411.7 does not obligate the ministerial approval of an urban lot split, or if for any reason the Directoris not required to ministerially approve an urban lot split.
D — Standards Specific to Urban Lot Splits
1. Applicability. The following development standards shall apply to urban lot splits subject to approval under this Chapter. This section shall govern in the event of a conflict between this section and any other development standard contained outside of Chapter 17.09.
2. Lot Access. Each resulting lot must have direct access to the public right-of-way, Business Agenda Item 5a
which shall be shown on the tentative and final map. All accessways must meet the size and development standards of the Fortuna Municipal Code and Fortuna Improvement Standards and Specifications.
3. Unit Quantity. No more than two units of any kind are permitted on any lot created by an urban lot split. For purposes of this paragraph, “unit” means any dwelling unit, including, but not limited to, a primary dwelling unit, a unit created under Chapter
17.09.030 (SB 9 Two-Unit Projects), an ADU or a JADU.
4. Unit Size. Notwithstanding any other provisions of the Zoning Regulation, a unit other than an ADU or JADU on any lot resulting from an urban lot split shall be limited as follows:
a. The total floor area of each residential unit developed on a lot to be split must be less than or equal to 800 square feet and more than 500 square feet. b. A primary dwelling that was legally established prior to the urban lot split and that is larger than 800 square feet in floor area is limited to the lawful floor area and structural footprint at the time of the urban lot split. It may not be expanded.
c. A primary dwelling that was legally established prior to the urban lot split and that is smaller than 800 square feet in floor area may be expanded to 800 square feet in floor area after the urban lot split.
5. Setbacks and Building Coverage.
a. Subject to subsections (b) and (c) below, development on either or both of the resulting lots does must comply with all standard setbacks and building coverage for its location.
b. Only to the extent necessary to avoid a conflict with Government Code section 66411.7, no setback is required for an existing legally established structure or for a new structure that is constructed in the same location and to the same dimensions as an existing legally established structure. c. A unit may encroach into the side or rear setback only if strict application of the setback standard would have the effect of physically precluding the construction of two units of up to 800 square feet on a resulting parcel, in which case the encroachment into the setback shall be only as necessary to Business Agenda Item 5a
enable construction of the unit or units at a maximum size of 800 square feet. However, in no event may any unit be constructed without at least providing a four-foot setback from the side and rear lot lines. The front setback includes any property boundary that has frontage on a public or private street.
6. Parking. Subject to Government Code section 66411.7(e)(3)(A)-(B), each new primary dwelling unit that is built on a lot after the urban lot split must provide at least one off-street parking space per unit. All other parking requirements of the Fortuna Municipal Code shall be required.
7. Utilities. Each dwelling unit on the resulting lots must have its own direct utility connection to the utility service provider.
a. For each dwelling unit on the resulting lots that is or that is proposed to be connected to an onsite wastewatertreatment system, the applicant must: (1) demonstrate that each primary dwelling unit will have its own septic tank and leach line; (2) submit a percolation test completed within the last five years or, if the percolation test has been recertified, within the last 10 years.
This section shall not be interpreted to allow an onsite water treatment system where a sewer connection is available or where the property is required to connect to sewer.
E — Separate Conveyance
1. Within Resulting Lots. Within a resulting lot:
a. Dwelling units on a single lot that is created by an urban lot split may not be owned or conveyed separately from each other.
b. Condominium airspace divisions and common interest developments are not permitted on a lot that is created by an urban lot split. c. All fee interest in a lot must be held equally and undivided by all individual property owners.
2. Between Resulting Lots. Between resulting lots. Separate conveyance of the resulting lots is permitted. If dwellings or other structures (such as garages) on different lots are adjacent or attached to each other, the urban lot split boundary may separate them for conveyance purposes if the structures meet building code safety standards and Business Agenda Item 5a
are sufficient to allow separate conveyance. If any attached structures span or will span the new lot line, the owner must record appropriate conditions, covenant, restrictions, easements or other documentation that is necessary to allocate risk and responsibility between the owners of the two lots.
F — Restriction of Uses
1. Residential-only. No non-residential use is permitted on any lot created by an urban lot split.
2. No Short-Term Rentals. No dwelling unit on a lot that is created by an urban lot split may be rented for a period of less than 30 days.
3. Owner Occupancy. The applicant for an urban lot split must sign an affidavit stating that the applicant intends to occupy one of the dwelling units on one of the resulting lots as the applicant's principal residence for a minimum of three years after the urban lot split is approved.
G — Deed Restriction
1. Required Provisions. An urban lot split shall not become effective unless the owner records a deed restriction with senior-lien priority for the benefit of the City, in a form acceptable to the Director and the City Attorney, that provides constructive notice of the restrictions resulting from an urban lot split and does each of the following:
a. Gives notice that the parcel was created through an urban lot split. b. Gives notice of any site limitations resulting from the urban lot split, including but not limited to the size of units on the parcel and the allowable uses for the parcel.
c. Expressly prohibits any development or construction on the parcel that would be inconsistent with this Chapter.
d. Expressly prohibits any rental of any dwelling on the property for a period of less than 30 days.
e. Expressly prohibits any non-residential use of the lots created by the urban lot split.
f. Expressly prohibits any separate conveyance of a primary dwelling on the Business Agenda Item 5a
property, any separate fee interest, and any common interest development within the lot.
g. Identifies the City as an intended third-party beneficiary with the right, but not the obligation, to enforce its terms and provisions.
2. Mortgagee Consent and Subordination.
a. The owner shall obtain the consent of any person holding a security interest in the lot, or any other senior lienholder, to subordinate such interest to the deed restriction, and the subordination agreement shall be recorded together with the deed restriction.
b. The Director may require the owner to submit a title report, litigation guarantee or similar document in order to show proof that the deed restriction will be in senior position.
3. Recordation. The deed restriction and any subordination agreement shall be recorded concurrently with the final map. Submitting a final map for approval shall be deemed to be the applicant’s consent to the City to record the deed restriction with the final map.
4. Building Permit. The Director shall not issue a building permit for development on any lot created through an urban lot split unless the applicant provides a recorded copy of a deed restriction and any applicable subordination agreement that satisfies the provisions set forth in subsections “1” – “3” above.
H — Review for Parcel Merger or Reversion to Acreage
1. Grounds. For any lot created by an urban lot split, the City Council may initiate proceedings to effectuate a reversion to acreage or a lot merger in accordance with the Subdivision Map Act and any applicable City procedures. City staff shall review whether a reversion to acreage or parcel merger is warranted if any of the following have occurred:
a. If more than one year has elapsed since the lot was created and a building permit for residential development thereon has not been issued; b. The holder of a building permit does not commence construction within 18 months of the date the permit was issued; or
Business Agenda Item 5a
c. The lot is otherwise subject to a reversion to acreage or a lot merger.
17.09.030 – SB 9 – Two-Unit Projects
A — Applicants; Approving Authority
1. Owners/Lienholders. Only individual property owners may apply for a two-unit project. Any person with a security interest in, or other senior lien against, the lot to be developed with a two-unit project must consent and subordinate to recordation of the restrictions resulting from the two-unit project against the title of the property.
2. Application. An application for a two-unit project must be submitted on the City’s approved form. Only a complete application will be considered. The City’s application form shall, at a minimum, require the applicant to submit the following:
a. Evidence that the applicant is an individual property owner. b. If applicable, compliance with the consent and subordination requirements provided in subsection (A above.
c. Proof that none of the circumstances set forth in sub-subsection “6” (Historic Properties and Districts) of subsection “C”(Grounds for Denial) of this section and sub-subsection “7” (Impact on Protected Housing) of subsection “C” (Grounds for Denial) of this section are present. d. A signed affidavit indicating that the applicant acknowledges and agrees that the lot will be used for residential purposes only. e. Proof of any inspections required under sub-subsection “5” (Inspection) of Subsection “C” (Ground for Denial) of this section.
f. Proof that the requirements of sub-subsection 4(d) (Demolition Cap) of subsection “D” (Standards Specific to Two-Unit Projects) are satisfied. g. If the lot would result in the demolition or alteration of existing housing, proof that no housing on the lot has been occupied by a tenant within the last three years.
h. A title report, litigation guarantee or other documentation showing evidence of any senior security interests or liens against the property.
3. Application Fee. The City may establish a fee to recover its costs for adopting, Business Agenda Item 5a
implementing, and enforcing this Chapter, in accordance with applicable law. The City Council may establish and change the fee by resolution. The fee must be paid with the application. In the absence of a fee specific to two-unit projects, the applicant shall pay the fee related to site plan review. The fee may be in the form of a deposit for the City’s actual costs incurred. Nothing in this section shall limit the requirements to pay any other City fees, including building permit processing fees.
B — Objective Development Standards
A two-unit project shall comply with all requirements of this Chapter, all objective development standards set forth in this Code or otherwise established by the City, and all other requirements that are not in conflict with Government Code section 65852.21.
C — Grounds for Denial
The Director shall deny an application for a two-unit project if any of the following are true:
1. Development Standards. The two-unit project does not satisfy the requirements of subsection “B” (Objective Development Standards) or subsection “D” ( Standards Specific to Two-Unit Projects) of this section.
2. Lawful Subdivision. The lot was not legally subdivided.
3. Zone. The lot is not zoned for single-family residential uses. If the lot is designated as a Specific Plan area, then it will be considered to be zoned for residential uses under this section if the lot is within a portion of the Specific Plan where a single family residence is a permitted use.
4. Statutory Exemptions. The lot does not satisfy the requirements of Government Code section 65913.4(a)(6)(B)–(K). (See Government Code section 66411.7(a)(3)(C).)
5. Inspection.
a. Very High Fire Hazard Severity Zone. For lots within a high fire hazard severity zone, the application does not include proof of an inspection by the City’s building official or other City designee confirming full compliance with all existing fire and building code standards.
b. Earthquake Fault Zone. For lots within a delineated earthquake fault zone, the application does not include proof of an inspection by the City’s building official or other City designee confirming full compliance with Business Agenda Item 5a
applicable seismic protection building code standards. Such inspection shall include all standard City requirements for development within an earthquake fault zone.
6. Historic Properties and Districts. The lot is a historic property or within a historic district that is included on the State Historic Resources Inventory or is within a site that is designated by ordinance as a city landmark or as a historic property or within a historic district.
7. Impact on Protected Housing. The two-unit project requires or includes the demolition or alteration of any of the following types of housing:
a. Housing that is income-restricted for households of moderate, low, or very low income.
b. Housing that is subject to any form of rent or price control through a public entity’s valid exercise of its police power.
c. Housing, or a lot that used to have housing, that has been withdrawn from rental or lease under the Ellis Act (Government Code sections 7060–7060.7) at any time in the 15 years prior to submission of the urban lot split application.
d. Housing that has been occupied by a tenant in the last three years.
8. Unit Count. The applicant proposes to construct more than two units, to add a unit to a lot that already contains two or more units, to add two or more units to a lot with at least one existing unit, or the lot violates sub-section “2” (No Multifamily Dwellings) of subsection “D” ( Standards Specific to Two-Unit Projects) of this section.
9. Specific Adverse Impacts. If the Director makes a written finding, based on a preponderance of the evidence, that the project would have a “specific, adverse impact” on either public health and safety or on the physical environment and for which there is no feasible method to satisfactorily mitigate or avoid the specific adverse impact. a. A specific adverse impact includes, but is not limited to, the two-unit project would result in a driveway or other vehicular access that does not provide safe access into traffic or onto the lot from traffic.
b. The subdivision or development within an Environmentally Sensitive Habitat Area, which is based on specific and defined environmental impacts on protected species and habitat as established by Federal, State, or local Business Agenda Item 5a
codes and regulations, as well as established procedures for mitigating and avoiding such impacts as set forth in the Fortuna General Plan. c. The City Council may adopt, by resolution or ordinance, guidelines that set forth additional circumstances that create a rebuttable presumption that a project will have a specific adverse impact on either the public health and safety or on the physical environment. Nothing herein shall hinder or constrain the Director’s discretion to make written findings, based on a preponderance of the evidence, that a project would have a specific adverse impact on either public health and safety or on the physical environment and for which there is no feasible method to satisfactorily mitigate or avoid the specific adverse impact.
10. No Legal Requirement. If for any reason, including but not limited to repeal of Government Code section 65852.21, initiative or referendum, court decision or any circumstance in which section 65852.21 does not obligate the ministerial approval of a two-unit project, or if for any reason the Director is not required to ministerially approve a two-unit project.
D — Standards Specific to Two-Unit Projects
1. Applicability. The following development standards shall apply to two-unit projects approved under this Chapter. This section shall govern in the event of a conflict between this section and any other development standard contained outside of Chapter
17.09. 2. No Multifamily Dwellings. A two-unit project shall not result in the creation of a multifamily dwelling. “Multifamily dwelling” or “multifamily lot” means a property that has two (2) or more permitted attached dwellings on a single lot. Two-unit projects shall only consist of two detached dwellings on a single lot.
3. Dedications/Offsite Improvements. The applicant shall dedicate right-of-way and impose offsite improvements as would be required for any subdivision dividing the property into two lots or as otherwise would be required under any City law, regulation or policy, including but not limited to the dedication of right- of-way for, and/or improvement of, sidewalks, curb, gutter, streets, or stormwater facilities.
4. Unit Size. A unit developed under this Chapter shall be limited as follows:
a. The total floor area of each unit that is developed under this Chapter must be: (1) less than or equal to 800 square feet and (2) more than 500 square Business Agenda Item 5a
feet.
b. A unit that was legally established on the lot prior to the two-unit project and that is larger than 800 square feet in floor area is limited to the lawful floor area and structural footprint at the time of the two-unit project. The unit may not be expanded.
c. A unit that was legally established prior to the two-unit project and that is smaller than 800 square feet in floor area may be expanded to 800 square feet in floor area after or as part of the two-unit project.
5. Demolition Cap. The two-unit project may not involve the demolition of more than 25 percent of the existing exterior walls of an existing dwelling unless the site has not been occupied by a tenant in the last three years.
6. Setbacks and Building Coverage.
a. Subject to subsections “b” and “c” below, all setbacks and building coverage must comply with the standard setbacks for its location. b. Only to the extent necessary to comply with Government Code section 65852.21, no setback is required for an existing legally established structure or for a new structure that is constructed in the same location and to the same dimensions as an existing legally established structure. c. A unit may encroach into the side or rear setback only if strict application of the setback standard would have the effect of physically precluding the construction of up to two units on the lot or that would result in a unit size of less than 800 square feet in floor area, in which case the encroachment into the setback shall be only as necessary to enable construction of the unit or units at a maximum size of 800 square feet in floor area. However, in no event may any unit be constructed without at least providing a four foot setback from the side and rear lot lines. The front setback includes any property boundary that has frontage on a public or private street.
7. Parking. Subject to Government Code section 65852.21(c)(1)(A)-(B), each new primary dwelling unit must provide at least one off-street parking space per unit. All other parking requirements of the Fortuna Municipal Code shall be required.
8. Nonconforming Conditions. A two-unit project may only be approved if all nonconforming zoning conditions are corrected.
Business Agenda Item 5a
9. Utilities. Each dwelling unit on the lot must have its own direct utility connection to the utility service provider.
a. Each dwelling unit on the lot that is or that is proposed to be connected to an onsite wastewatertreatment system, the applicant must: (1) demonstrate that each primary dwelling unit will have its own septic tank and leach line; (2) submit a percolation test completed within the last five years or, if the percolation test has been recertified, within the last 10 years. This section shall not be interpreted to allow an onsite water treatment system where a sewer connection is available or required.
10. Design. Additions or new construction shall comply with the following:. a. On a site already developed with an existing residential unit, the new unit shall be designed and constructed to match the existing paint color and exterior building materials, including but not limited to siding, windows, doors, roofing, light fixtures, hardware, and railings. b. If residential development is proposed on a lot where no residential units currently exist, the units shall be constructed using the same architectural style, exterior building materials, colors, and finishes. c. If a garage is converted to a new unit, the garage door opening shall be replaced with exterior wall coverings to match the existing exterior garage wall covering and detailing.
E — Separate Conveyance
1. Separate Ownership or Conveyance. Primary dwelling units on the lot may not be owned or conveyed separately from each other.
2. Condominiums. Condominium airspace divisions and common interest developments are not permitted within the lot.
3. Fee Interests. All fee interest in the lot and all the dwellings must be held equally and undivided by all individual property owners.
F — Restriction of Uses
1. Residential-only. No non-residential use is permitted on the lot.
2. No Short-Term Rentals. No dwelling unit on the lot may be rented for a period of Business Agenda Item 5a
less than 30 days.
3. Owner Occupancy. Unless the lot was formed by an urban lot split, the individual property owners of a lot with a two-unit project must occupy one of the dwellings on the lot as the owners’ principal residence and legal domicile.
G — Deed Restriction
1. Required Provisions. The owner must record a deed restriction with senior priority for the benefit of the City, in a form acceptable to the Director and the City Attorney that provides constructive notice of the restrictions resulting from the two-unit project and does each of the following:
a. Gives notice that the two-unit project was created pursuant to this Chapter. b. Gives notice of any site limitations resulting from the two-unit project, including but not limited to restrictions on off-street parking, the size of units on the parcel and on the ability to obtain a standards modification for the parcel.
c. Expressly prohibits any development or construction on the parcel that would be inconsistent with this Chapter.
d. Expressly prohibits any rental of any dwelling on the property for a period of less than 30 days.
e. Expressly prohibits any non-residential use of the lot. f. Expressly prohibits any separate conveyance of a primary dwelling on the property, any separate fee interest, and any common interest development within the lot.
g. Expressly requires the individual property owners to live in one of the dwelling units on the lot as the owners’ primary residence and legal domicile.
h. Identifies the City as an intended third-party beneficiary with the right, but not the obligation, to enforce its terms and provisions.
2. Mortgagee Consent and Subordination.
Business Agenda Item 5a
a. The owner shall obtain the consent of any person holding a security interest in the lot, or any other senior lienholder, to subordinate such interest to the deed restriction, and the subordination agreement shall be recorded together with the deed restriction.
b. The Director may require the owner to submit a title report, litigation guarantee or similar document in order to show proof that the deed restriction will be in senior position.
3. Building Permit. The Director shall not issue a building permit for any two-unit project unless the applicant provides a recorded copy of a deed restriction and applicable subordination agreement that satisfies the provisions set forth in subsections 1 – 2 of this subsection “G”.