Cities Index.
Agenda

Economic Development & Technology Committee
December 6, 2022

Document
Agenda
Meeting
December 6, 2022
Body
Economic Development & Technology Committee
Pages
6
Original file
41.9 MB
Text extracted from the city's file for reading and search. Open the original on www.cityofpasadena.net. That file is the official record.

AG
ENDA

ECONOMIC DEVELOPMENT AND TECHNOLOGY COMMITTEE

SPECIAL MEETING NOTICE
DECEMBER 6, 2022
PUBLIC MEETING 4:30 P.M.

ME
MBERS
Tyron Hampton, Chair District 1
Jessica Rivas, District 5
Steve Madison, District 6
Andy Wilson, District 7
S
TAFF
David Klug, Economic Development Director
Dion O’Connell, Assistant City Attorney
Garrett Stevenson, Recording Secretary
M

ISSION STATEMENT
The City of Pasadena is dedicated to delivering exemplary municipal services, responsive to our entire community and consistent
with our history, culture and unique character.

In compliance with the Americans with Disabilities Act of 1990, Assistive Listening Devices are available at all Pasadena City Council meetings. Assistive Listening headphones and neckloops can be checked out 20.20000 at the desk of the Sergeant-at-Arms, located inside the City Council Chambers.

Lang
uage translation services are available for this meeting by calling (626)744-4124 at least 24 hours in advance.

Habrá servicio de interpretación disponible para éstas juntas llamando al (626)744-4124 por lo menos con 24 horas de anticipación.

Meetings are broadcast live on cable Channel 3 and on the Internet at http://pasadena.granicus.com/mediaplayer.php?camera_id=2&publish_id=9 and https://www.pasadenamedia.org/watch/ (Click on Video Streamlining on the right side of the screen).

I
tems on the agenda may not be called in order listed. Agendas and supporting documents are available on the Internet at
https://www.cityofpasadena.net/commissions/city-council-economic-development-technology/ Mat
erials related to an item on this Agenda submitted to the Economic Development and Technology Committee after distribution of the agenda packet will be posted online.

THE ECONOMIC DEVELOPMENT AND TECHNOLOGY COMMITTEE SPECIAL MEETING FOR DECEMBER 6, 2022 AT 4:30 P.M. WILL TAKE PLACE SOLELY BY VIDEOCONFERENCE/TELECONFERENCE.

City Council Meeting Policy:
www.cityofpasadena.net/city-clerk/wp-content/uploads/sites/21/City-Council- Meeting-Policy.pdf
TO ACCESS THE MEETING:
http://pasadena.granicus.com/MediaPlayer.php?publish_id=9 AND
WWW.PASADENAMEDIA.ORG
In order to facilitate public participation at meetings held solely by electronic means, the City will accept public comment in the following manner:

1. During
the meeting, members of the public may provide live public comment by submitting a speaker card prior to the start of public comment on that item, at the following webpage:
www.cityofpasadena.net/commissions/public-comment
After submitting a public speaker card, join the virtual meeting at the published start time with a computer, other electronic device, or by telephone. The same name or telephone number on the Speaker Card must be used for the virtual meeting in order to locate and unmute the speaker.

Computer or electronic devices, join the meeting at:
https://us02web.zoom.us/j/161482446
Telephone only dial-in: 1-669-900-6833, Meeting ID: 161 482 446

2. Members of the public may submit correspondence of any length prior to the start of the meeting, at the following email address:
gstevenson
@cityofpasadena.net
Correspondenc
e will be forwarded to the legislative body prior to the start of the meeting.

3. If assistance is needed by phone, please call the City Clerk's Office at:
(626) 744-4124.

ECONOMIC DEVELOPMENT DIVISION
Off ice of th e Ctty Man age r

CITY OF PASADENA

NOTICE OF SPECIAL MEETING

OF THE ECONOMIC DEVELOPMENT AND TECHNOLOGY COMMITTEE
DECEMBER 6,
2022

PUBLIC MEETIN
G: 4:30 P.M.

Note to the Public: Cit y Hall is closed t o the public until further notice.

NOTICE IS HEREBY GIVEN that the special meeting of t he Economic Development and Technology Committee will be held by video conference on Tuesday, December 6, 2022 at 4 :30 p.m., to discuss matters on the attached agenda.

Tyron Hampton, Chair
Economic Development and Technology Committee
I HEREBY CERTIFY that this agenda in its entirety, was posted on the Internet at www.cityofpasadena.net/commissions/city-council-economic-development-technology/ and on the Council Chamber Bulletin Board, Room S249, and the Bulletin Board in the rotunda area; City Hall, 100 North Garfield Avenue, this 1st day of December 2
022 by 4 p.m. and that copies hereof were faxed, emailed or delivered to each member of the City Council and to each local newspaper of general circulation, radio or television station requesting notice in writing, all of which recipients are identified on the distribution herein below.

DISTRIBUTION:

City Council
City Manager
City Attorney
Public Infonnation Officer
Pasadena Weekly
Pasadena Independent
Los Angeles Times
Pasadena Journal
Pasadena Now
Pasadena Star News
La Opinion
Jacqueline Tatum, Posting Secretary
Economic Development and Technology Committee
In compliance with the Americans with Disabilities Act of 1990, listening assistive devices are available from the City Clerk's Office wit11 a 24-hour advance notice.

Please call (626) 744-4124 to request use ofa listening device. Language translation services may be requested with 24-hour advance notice.

Habra servicio de interpretacion disponible para es/as juntas 1lamando al (626) 744-4124 par lo menos con 24 horas de anticipaci6n
100 North Garfield Avenue, 4th Floor · Pasadena, CA 91101 1726 (626) 744 4660 Fax (626) 744 4773 www cttyofpasadena net

SPECIAL MEETING
AGENDA

ECONOMIC DEVELOPMENT AND TECHNOLOGY COMMITTEE
DECEMBER 6, 2022
Public Meeting: 4:30 P.M.

Council Chamber, Pasadena City Hall
100 North Garfield Avenue, Room S249
PUBLIC MEETING - 4:30 P .M.

ROLL CALL

PUBLIC COMMENT - LIMITED TO ITEMS ON THIS SPECIAL MEETING AGENDA

AND WILL BE HEARD AT THE TIME THE ITEM IS CONSIDERED

APPROVAL OF MINUTES
• MAY 17, 2022- REGULAR MEETING*
• JUNE 1, 2022- SPECIAL MEETING*
• JUNE 21, 2022- CANCELLED MEETING*
• JULY 19, 2022 - REGULAR MEETING*
• AUGUST 16, 2022- REGULAR MEETING*
• SEPTEMBER 20, 2022 - CANCELLED MEETING*
• OCTOBER 18, 2022 - CANCELLED MEETING*
• NOVEMBER 2, 2022 - CANCELLED MEETING*
• NOVEMBER 15, 2022 - CANCELLED MEETING*

NEW BUSINESS

1. PASADENA TOURISM BUSINESS IMPROVEMENT DISTRICT- MIKE ROSS, CEO PASADENA CENTER OPERATING COMPANY*

INFORMATION ONLY

1. ECONOMIC DEVELOPMENT UPDATE- DAVID KLUG, ECONOMIC
DEVELOPMENT DIRECTOR*

2. UPDATE ON SOUTHERN CALIFORNIA ASSOCIATE OF GOVERNMENT (SCAG) ACCESSORY DWELLING UNITS- SUSAN AMBROSINI (SCAG) AND SCOTT WILLIAMSON (AECOM)*

3. ADU UPDATE- GUILLE NUNEZ, SENIOR PLANNER, PLANNING AND COMMUNITY DEVELOPMENT*

4. UPDATE ON SHORT-TERM RENTAL ACTIVITY- GUILLE NUNEZ, SENIOR PLANNER, PLANNING AND COMMUNITY DEVELOPMENT*

5. PASADENA COMMUNITY ACCESS CORPORATION ANNUAL REPORT*

6. PASADENA CENTER OPERATING COMPANY FY22 ANNUAL REPORT*

ADJOURN
* Attachment

Pasadena Tourism
Business Improvement District
Economic Development and Technology Committee
December 6, 2022

2 What is a TBID?
• Self assessment, initiated by hotels
• Provides specific benefits to payors, hotels
• Funds the Pasadena Convention & Visitors
Bureau’s marketing and sales promotion
efforts
2 3
Pasadena TBID History
• Initially approved by City Council in 2003
under the Parking and Business
Improvement Area Law of 1989
• Approved by Pasadena City Council to fund
the destination and event marketing efforts
that were funded by revenues of the PCOC
and the PCOC share of the TOT
• Freed up those TOT funds to be used for
debt service on the new construction of the
convention center
3 4
Pasadena TBID History
• In 2018, TBID was converted from the '89 law to the
'94 law, which allows for a 5-year term as opposed to
annual renewal
• Three (3) other property-based districts
currently operate in Pasadena: Old Pasadena
Management District, the South Lake Avenue District
and Pasadena’s Playhouse District.
• TBID funds raised continue to be returned to the CVB
to manage and implement its sales and marketing
efforts.
• Raised 3.2 million in FY22 to promote Pasadena as a
tourist, meeting and event destination.
4 Pasadena Destination Comparison
5 Destination TBID
Budget
Explore San Diego $41,000,000
Discover Los
Angeles $23,285,000
Visit Anaheim $21,500,000
Greater Palm
Springs $17,325,000
Visit Sacramento $9,140,000
Visit West
Hollywood $6,800,000
Visit Santa Monica $5,000,000
Visit Long Beach $4,200,000
Greater Ontario
CVB $3,400,000
Pasadena $3,200,000
Current TBID is through June 30, 2023
6 In preparation for the TBID renewal process, a TBID Steering Committee, comprised of the PCOC Board Chair and hotel GMs, have proposed changes in the following categories:
• Boundaries
• Assessment Rate
• Budget
• Term
PCOC Board will continue to serve as Owners Association and is charged with managing funds and implementing programs.

Boundaries
Current Parameters Renewal Parameters
• All lodging businesses in the City
• Excludes STRs • Include Short Term Rentals
7 Short Term Rentals
Per City of Pasadena Planning Department there are approximately 300 short term rents in the city.

An estimated $300,000 per year will be generated by including STRs.

Assessment Rate
Current Parameters Renewal Parameters
• 2.89% of room rental
• Raise assessment rate by 2% (4.89% total) to fund Rose Bowl hotel room generating sales & marketing activities
• July 1, 2023: 1% increase to a total of 3.89%
• July 1, 2024: additional 1% increase to a total of 4.89% 8 Rose Bowl
Over the past several months the Rose Bowl has hosted several high profile and positive visitor impact events including several music festivals and an international soccer match with over 97,000 attendees.

A 2% increase to the TBID assessment will be used to continue to support the Rose Bowl sales and marketing efforts to attract events that drive room night revenue to Pasadena hotels and short-term rentals. A gradual increase in the TBID assessment ensures Pasadena is not placed at a competitive disadvantage.

Budget
Current Parameters Renewal Parameters
• Raises $3.2 – 3.8M
• Year 1: raises $4.3 – 5.1M
• Years 2 – 10: raises $5.4 – 6.4M
9 Rose Bowl Allocation
Each percentage increase over the current level of 2.89% would be allocated to the Rose Bowl.

July 1, 2023: 1% increase for a total of 3.89%
July 1, 2024: additional 1% increase for a total of 4.89% Term
Current Parameters Renewal Parameters
• 5 years • 10 years: July 2023 – June 2033
10 BID Law allows for a 10 year term, and based on the historic performance of the TBID, maximizing the allowable term is recommended.

Pasadena Destination Comparison
City Bed Tax Amount TBID Assessment Total Charge
Anaheim 15.00% 2.00% 17.00%
Pasadena 12.11% 4.89% 17.00%
Long Beach 13.00% 3.00% 16.00%
Los Angeles 14.00% 2.00% 16.00%
Santa Monica 14.00% $1.90 - $6.25 / night 14.00% + $1.50 - $6.25/night
West Hollywood 12.50% 3.00% 15.50%
Pasadena 12.11% 2.89% 15.00%
Sacramento 12.00% 2.00% - 4.00% 14.00% - 16.00%
Greater Palm
Springs 10.00% - 12.70% 3.00% 13.00% - 15.70%
Ontario 10.00% - 11.60% 2.00% 12.00% - 13.60%
San Diego 10.50% 2.00% 12.50%
11 2% TBID increase
Current
Recommendation
12 The PCOC respectfully requests that the EdTech Committee recommend approval of the PTBID renewal.

0 20
40 60
80 100
120
140
February March April May Oct Nov
Business Outreach
Broker Outreach/Business Outreach/Business Visits/Assistance Future Investors/Major Property Owners/Sales Tax Producers New Business Welcome Letters

Prototype Design Options Package
C. Regulatory Conditions
Table 1 identifies ADU development standards which can be found on the City's ADU webpage:
www.cityofpasadena.net/ ADU.

Table 1. ADU Development Standards
Standard Description
Zoning An ADU or JADU can be permitted if located on a lot zoned for residential use (including residential mixed-use) where only one residential dwelling unit exists or is proposed to be built on a lot.

ADUs in New Construction: Conversion:

Historic - ADUs must not be visible from the - ADUs and JADUs must not be Districts public right-of-way. visible from the public right-of-way. _ Windows and doors original to
structures on historic properties
(including opening and garage) must
be retained, unless this would
prevent creation of the ADU.

ADUs in New Construction: Not permitted Conversion: Only converted ADUs are Individually permitted
Designated
Historic
Properties
Tree Measures for protection for specific trees shall apply pursuant to PMC 8.52 Protection
Height New Construction: Conversion: none
- Detached ADU: one-story, not to
exceed 16 feet(') to the top plate
and 17' to the highest ridge-line
- Attached ADU: May be two stories
if the primary residence is two
stories in height
Prepared for: City of Pasadena
Prototype Design Options Package
Standard Description
Unit Size New Construction: Conversion:
- Minimum: 150 square feet (sf) _ Minimum: none
- Maximum detached: _ Maximum: none
_ 850 sf for studios and one-
bedrooms
_ 1,000 sf for two+ bedrooms on
parcels <10,000 sf and 1,200
sf on parcels ;:::: 10,000 sf
- Maximum attached: no more than
50% of the main dwelling size or
800 sf, whichever is greater
Setbacks New Construction: Conversion:
_ ADU :o: 800 sf: 4' side and 4' rear _ Setbacks: none
yard setbacks _ Building Separation: none
_ ADU > 800 sf: side is 1 0% of lot
width (between 5' - 1 0') and rear is
1 0'
_ ADU on top of an attached garage:
5' side and rear yard setbacks
- Building Separation: Minimum 6'
eave to eave separation between
ADU and primary residence
Access& New Construction: ADU must be Conversion: Must provide separate Locations located behind the rear building line exterior access from the primary of the primary residence, and be residence on a different fac;:ade as the clearly subordinate by location and primary residence entry door, unless size, unless this would prevent this would prevent creation of the ADU creation of an ADU :o:800 sf in size
Prepared for: City of Pasadena

Update on Short-Term Rental Activity
December 6, 2022

Page 3 of 6 ends

pictures in the listing with images from Google Streetview and other online sources, identifying the exact address of a unit within in a condominium complex or apartment building is often not possible. For this reason, it is challenging to identify with certainty the exact number of STRs that do not have a short-term rental permit.

The compliance status shown in Figure 3 below reflects information based on address identification for 73 percent of all STR listings in September 2022; the remaining 27 percent are likely multi-family units or new listings where the address has not been identified. As of September 2022, approximately one-third of all short-term rental units have obtained a Short-Term Rental permit. Forty percent have not obtained the required permit, and the remaining 27 percent are properties where the address has not been identified therefore their compliance status is 'unknown'. If we omit the listings where the addresses have not yet been determined, compliance ranges between 40-50%.

Figure 3: Compliance Status as of September 2022
Minimum Night Stay
Compliance Status
■ Compliant STR ■ Non-compliant STR Not yet determined STR Short-term rentals can have stays of as few as one night and up to 30 nights. As of September 2022, the active STR listings overwhelmingly have a minimum night stay of 1-7 nights (92.9%).

Very few listings (7.1 %) require a minimum stay of 8 or more days.

Figure 4: Minimum Nights Stay for Active Listings as of September 2022 Minimum Nights Stay

2.3% 2.7% 2.1%
1- 7 Nights 8 • 14 Nights 15 - 21 Nights 22 · 29 Nights Room Type

Update on Short-Term Rental Activity
December 6, 2022

Page 6 of 6 ends

More recently, from July 2020 through June 2022, out of 174 code cases involving short-term rentals, only two involved parking concerns and one involved loud parties. The remaining 171 cases involved non-permitted short-term rentals.

CONCLUSION
The City's Short-Term Rental program has been in operation for over three years and has been relatively unproblematic. Prior to the adoption of the short-term rental ordinance, those opposed to allowing short-term renting in Pasadena expressed concern with STRs potentially resulting in the commercialization of single-family neighborhoods as well as nuisance concerns such as noise, parking impacts and trash. However, the City has received very few complaints about these rentals with approximately 98% of the 700 cases to date stemming from proactive enforcement. The pandemic did impact the industry, but current numbers indicate that the activity is increasing to pre­ pandemic levels.

Attachment 1: Ordinance 7317 for Short-Term Rentals

TO: CITY COUNCIL
FROM: PASADENA COMMUNITY ACCESS CORPORATION
DATE: OCTOBER 31, 2022
SUBJECT: ANNUAL REPORT FOR JULY 2021 THROUGH JUNE 2022
and WORK PLAN FOR 2022 - 2023
RECOMMENDATION:

This Report is submitted for information purposes only.

Attached are the following:
• Report of Work Plan Performance for July 1, 2021 through June 30, 2022 • Proposed Work Plan for July 1, 2022 through June 30, 2023 • Report of Attendance for July 1, 2021 through June 30, 2022 Prepared by Chris Miller, Chief Operating Officer
Res7"cttully submitted,
.t.LJ.·. ( tt_9: __
George Falardeau
Executive Director CEO, Pasadena Community Access Corporation

MEMBERS

TYRON HAMPTON

ARCHIE PURVIS

JOE TITIZIAN

PAUL LECLERC

WILLIAM CHU

EMINA DARAKJY

ERIC DUYSHART

DAVID EADS

KIM FERREIRA

PHILLIP HOSP

ELEANOR LEE

JEFF MICHAEL

SIAMAK NASSIRPOUR

MIKE OWEN

BLAIR SALISBURY

SCOTT BOONE

DAVE KLUG
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17 67
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83 83
67 100
83 33
so
67 100
100

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