AGENDA
ECONOMIC DEVELOPMENT AND TECHNOLOGY COMMITTEE
REGULAR MEETING NOTICE
MAY 16, 2023
PUBLIC MEETING 5:30 P.M.
MEMBERS
Tyron Hampton, Chair District 1
Jessica Rivas, District 5
Steve Madison, District 6
Jason Lyon, District 7
STAFF
David Klug, Economic Development Director
Dion O’Connell, Assistant City Attorney
Garrett Stevenson, Recording Secretary
MISSION STATEMENT
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with our history, culture and unique character.
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REGULAR MEETING
AGENDA
ECONOMIC DEVELOPMENT AND TECHNOLOGY COMMITTEE
MAY 16, 2023
Public Meeting: 5:30 P.M.
Council Chambers, Pasadena City Hall
100 North Garfield Avenue, Room S249
PUBLIC MEETING - 5:30 P.M.
ROLL CALL
PUBLIC COMMENT
APPROVAL OF MINUTES
• APRIL 18, 2023- CANCELED MEETING*
NEW BUSINESS
1. BUDGET WORKSHOP- FY2024 RECOMMENDED OPERATING BUDGET A. CITY MANAGER’S OFFICE - ECONOMIC DEVELOPMENT DIVISION (INCLUDES FOOTHILL WORKFORCE DEVELOPMENT BOARD)*
B. DEPARTMENT OF INFORMATION TECHNOLOGY*
2. ZONING CODE AMENDMENTS FOR RESTAURANTS*
INFORMATION ONLY
1. ECONOMIC DEVELOPMENT UPDATE- DAVID KLUG, ECONOMIC
DEVELOPMENT DIRECTOR, OFFICE OF THE CITY MANAGER*
ADJOURN
*Attachment
ECONOMIC DEVELOPMENT DIVISION
Off ice of th e Ctty Man age r
CITY OF PASADENA
NOTICE OF REGULAR MEETING
OF
THE ECONOMIC DEVELOPMENT AND TECHNOLOGY COMMITTEE
MAY 16
,2023
PUBLIC MEETING: 5 :30 P.M.
NOTICE IS HEREBY GIVEN that the regular meeting of the Economic Development and Technology Committee will be held in the Council Chambers on Tuesday, May 16, 2023 at 5:30 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 ent irety, was posted on the Internet at www.cityofpasadena.net/commissions/city-council-economic-development-technology/ and on th e Council Chamber Bulletin Board, Room S249, and the Bull etin Boar d in the rotunda area; City Hall, 100 North Garfield Avenue, this 11th day of May 202 3 by 4 p.m. and t hat copies hereof were faxed, emailed or delivered to each memb er of the City Council and to each local newspaper of general circulation, radio or television station requesti ng notice in writing, all of which recipi
ents 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 ad
vance notice.
Habra servicio de interpretacion disponible para es/as juntas 1lamando al (626) 744-4124 par lo menos con 24 horas de anticipación
100 North Garfield Avenue, 4th Floor · Pasadena, CA 91101 1726 (626) 744 4660 Fax (626) 744 4773 www cttyofpasadena net
04/18/2023
CITY OF PASADENA
ECONOMIC DEVELOPMENT AND TECHNOLOGY COMMITTEE MINUTES
PASADENA CITY HALL
100 NORTH GARFIELD AVENUE
COUNCIL CHAMBER – ROOM S249
APRIL 18, 2023
MEETING
The regular meeting of the Economic Development and Technology Committee, scheduled for Tuesday, April 18, 2023, at 5:30 p.m. was cancelled as ordered on April 14, 2023, and posted.
ATTEST:
____________________
Garrett Stevenson
Recording Secretary
_________________________________
Tyron Hampton, Chair
Economic Development and Technology Committee
City Manager Department
Economic Development Division
Foothill Workforce Development Board
FY 2024 Recommended
Operating Budget
Economic Development & Technology Committee
May 16, 2023
Economic Development Division
FY 2023 Accomplishments
• Refreshed Marketing Strategy Plan
> Launched Economic Development Newsletter. The newsletters keep Pasadena residents and business aware of new projects, tech news, business profiles, business assistance and City news
> “Authentically Yours, Pasadena” holiday shopping campaign • Coordinated with LAEDC to act as the host site for LAEDC’s Select LA Investment Summit welcome reception
> First time LAEDC has held the event outside of City of Los Angeles • Released a Request for Proposals for economic development strategic planning services to assist the division in developing a new strategic action plan
• Enhanced Pasadena’s technology cluster
> New leases and existing expansions include Miso Robotics, Motive Space Systems, Xencor, Innova Medical Group and General Motors Design Center
2 Economic Development Division
Appropriations by Section –
Economic Development
3 Economic Development Division
Significant Changes from FY 2023 Budget
4 • FY 2024 appropriation increase of 5.2% overall
• Personnel increase of $67k (5.1%) due to the
increase of citywide salary and benefits
• Internal Service charges increased 16.1%
> Citywide increase and increased desktop inventory
Economic Development Division
FY 2024 Priorities
• Continue building Pasadena’s life science industry
• Track available leasing opportunities
> Compile business data to establish a baseline of Citywide retail activity
> Develop a geo-located data capture system for accurate, on- the-ground vacancy surveying
> Collaborate with PBIDs and brokers to monitor district leasing opportunities and key incoming retailers
> Report Citywide leasing availability
• Increase developer/contractor participation within the First Source Hiring Program
• Host six “Valued Pasadena Partners” Breakfasts
• Examine the formation of PBID opportunities throughout the City
5 Economic Development Division
Appropriations by Section –
Foothill Workforce Development Board
6 Economic Development Division
Significant Changes from FY 2023 Budget -
Foothill Workforce Development Board
7 • Services and Supplies reduced by $52,599
namely due to reduction in contract
services
Economic Development Division
FY 2023 Accomplishments –
Foothill Workforce Development Board
• Served 4,816 individuals including job seekers or unemployed workers via the One Stop Career Centers
• Provided 18,637 services to individuals seeking workforce services, or
3.9 services per individual
• The FWDB created 4,845 internal job orders and provided 1,783 job referrals
• Provided 3,618 employer services including layoff assistance to businesses that experienced downsizing or closing due to the impact of the pandemic
• Held 12 Vocational Training and Job Fairs with 402 attendees • Presented 5 Rapid Response presentations regarding company layoffs/closures with 251 attendees
• Sponsored 3 workforce-related equity, diversity and inclusion training sessions for staff and local employers
8 Economic Development Division
FY 2024 Priorities –
Foothill Workforce Development Board
• Performance indicators and goals as determined by the State of California
9 Department of Information Technology
FY 2024 Recommended
Operating Budget
Economic Development & Technology Committee
May 16, 2023
Department of Information Technology
FY 2023 Accomplishments
• New Online Permits for Public Works & Planning
• Expansion of online services to support 24/7 access
> Online Appointments for Permit Center
> Online Appointments for Parks & Recreation
> Text to Tow Service from Transportation Parking Office • Geographic Information Association Award Winner
for Exemplary Use of GIS
> 2023 Homeless Count Survey App – Housing Department
> Lead Free Homes Program App – Public Health
• Jefferson Elementary Technology Implementation
> Network, Telecom, Wi-Fi, Security Cameras, Access Controls • Numerous technology service enhancements
supporting public services
2 Department of Information Technology
Appropriations by Category
3 Category
FY 2020
Actuals
FY 2021
Actuals
FY 2022
Actuals
FY 2023
Adopted
FY 2024
Recommended
%
Change
Personnel 12,408,083 11,318,090 9,226,374 12,896,281 13,976,804 8.4% Services & Supplies 4,763,703 5,177,104 5,353,264 5,792,273 6,079,967 5.0% Capital Outlay 1,148,757 1,197,513 478,994 0 0 0.0%
Internal Srvc Chrg 1,138,036 1,166,820 1,144,395 1,198,511 1,487,229 24.1% Operat Transfer Out 345,000 345,000 375,000 435,000 435,000 0.0% Operating Expense 1,856,249 3,259,845 3,413,616 1,302,000 1,270,000 -2.5% Grand Total 21,659,828 22,464,373 19,991,642 21,624,066 23,248,999 7.5% FTE 77.00 79.00 2.00
Department of Information Technology
Revenue Outlook
• Services include 24/7 service, monitoring, and
support for applications, systems, hardware, and
devices
• Primary source of revenue is through annual fixed
charges to departments for the services above
• Other external revenues from leases of City-
owned fiber and telecommunications facilities
• Service charges to departments up 7.1% for FY
2024 with overall combined revenue
recommended of $23.5 million reflecting a break-
even funding model
4 Department of Information Technology
Significant Changes from FY 2023 Budget
• FY 2024 total appropriation increase of 7.5%
• Personnel increase of 8.4%
> Normal update of personnel salaries and benefits
including medical, PERS, etc.
> Added 2.00 FTE positions to provide support for:
Virtual meetings & remote public comment
> Reclassified three existing vacant positions to higher classifications to support operational needs in the
infrastructure and applications areas
5 Department of Information Technology
Significant Changes from FY 2023 Budget
• Services & Supplies increase of 5.0%
> Reflects CPI adjustments to annual service
contracts and additional costs for:
Equipment and software licensing under the Desktop
Replacement Program
Additional vendor support services for Council
Chamber technology
> Insurance premium increase by $75k (55.3%)
6 Department of Information Technology
Significant Changes from FY 2023 Budget
• Internal Services increase of 24.1%
> Reflects increase of $231k (34.9%) to annual Cost
Allocation Plan (CAP) charges per a cost-of-
service study
> Net cost increase of $58k (10.9%) to Public Works
charges for building maintenance and fleet
services
• Operating Expense decrease of 2.5%
> Depreciation expense decreased in line with
current and forecasted capital purchases
7 Department of Information Technology
FY 2024 Priorities
• Provide greater and easier access to City
information and services while protecting
and safeguarding critical systems
> Continue to expand City services online 24/7
through web and mobile applications
> Launch Free Public Wi-Fi to 18 additional parks and
park facilities
> Continue to enhance the City website with
additional ADA and accessibility features
> Expand cybersecurity resiliency through enhanced
employee training programs and implementation
of new security technologies
8 Department of Information Technology
FY 2024 Priorities
• Increase and improve the quality of service
delivery through strategic IT investments
> Complete major IT projects:
Council Chamber Technology Replacement
Aging Telephone System Replacement
Support Central Library relocation efforts
Expansion of security cameras and access controls to parks and City facilities
Major Upgrade of the City Financial & HR System
Modernization of application portfolio and infrastructure leveraging cloud and hosted services
9 MEMORANDUM
Date: May 16, 2023
To: Economic Development & Technology Committee
From: David A. Klug, Economic Development Director
Subject: Economic Development Update
The Economic Development Division is committed to supporting a thriving local economy. This memo provides an update on market conditions and the Division’s efforts.
1. Business Development
a. N otable Business Openings & Successes
• On April 12th, Chronic Tacos, the California-based fast-casual restaurant chain, celebrated the grand opening of its new location at 345 S. Lake Ave.
• UCLA recently announced a revolutionary new treatment for depression, chronic pain, and other difficult-to-treat conditions involving the brain.
Transcranial Magnetic Stimulation (TMS) is a safe, non-invasive treatment method that applies gentle magnetic pulses to specific areas of the brain.
TMS and other services are available at UCLA’s new clinic at 630 S.
Raymond Ave., Suite 336.
• After an extensive remodel, the Ice House reopened at 24 N Mentor Ave., celebrating its 63rd year of operation in Pasadena. The Ice House has hosted countless iconic comedians, including Robin Williams, George Carlin, David Letterman, Steve Martin, Ellen DeGeneres, and Rosie O’Donnell. The iconic brick-clad comedy club features its main stage (“Legendary Room”), a secondary stage (“California Room”), and a VIP lounge.
• J. Crew recently opened at 46 W Colorado Blvd., relocating from 3 W Colorado Blvd., where Alo Yoga will open later this year. • In April, 2023 Arrowhead Pharmaceuticals Inc. announced significant milestone payments f rom licensing deals with major pharmaceutical companies. Payments totaled $70M, with $30M from U.K-based GSK plc
2 (formerly GlaxoSmithKline) and $40M from Japan-based Takeda Pharmaceuticals for drugs developed to treat liver conditions.
b. Business Retention & Outreach
As part of its effort to support existing businesses, staff researched, compiled, and distributed information on financial assistance programs from various state and local grant and incentive providers. Staff included information on these resources in its Economic Development Newsletter, which reaches 6,664 contacts, as well as discussed with businesses during outreach calls and visits (see below). These resources include:
• Economic Opportunity Grants
: The Los Angeles County Department of
Economic Opportunity (DEO) will disburse more than $54 million in grants to small businesses, microbusinesses, and non-profit agencies through their Economic Opportunity Grants program. Grantees may receive between $2,500 and $25,000 in the phased grant opportunity. • EmployABILITY Business Grant: The CA Department of Rehabilitation has earmarked over $5 million for the EmployABILITY Business Grant. This grant is meant to incentivize California small and medium-sized businesses to expand their organization while increasing disability- inclusive hiring. Grants can range from $20,000 to $200,000 per business. • California Competes Tax Credit (CCTC): The California Governor’s Office of Business and Economic Development’s (GO-Biz) CCTC is an income tax credit available to businesses that want to relocate to or stay and grow in California. Businesses of any industry, size, or location can compete for over $180 million available in tax credits by applying in one of the three application periods each year. Economic Development staff sent a targeted outreach email to nearly 200 local technology companies, sharing FAQs, application assistance webinar information, and offering follow up support for interested businesses to support their growth within Pasadena.
Additionally, Economic Development staff conduct ongoing outreach and high touch, one-on-one assistance. Metrics from the first four months of 2023 are as follows:
Outreach Type Jan Feb Mar Apr
Broker Outreach - Calls and/or meetings with brokers
offering insights on market conditions 13 10 8 10
Business Assistance - Permit assistance, site
assistance, general information (demographics,
psychographics, traffic info)
18 29 14 39
Business Outreach - Phone calls and visits to various
businesses 25 71 42 29
Business Visit - Prescheduled visits with CEO, CFO
of local businesses 7 0 3 2
Investment - Developers/Fund Managers looking at
Pasadena 0 0 0 19
3 Major Property Owner - Call and/or visits to major
commercial property owners 3 2 2 10
Marketing - Ad placement, retail recruitment, outreach
to potential relocation 0 1 0 0
Sales Tax - Calls and/or visits to large sales tax
producers 0 4 1 0
New Business Welcome Letters – Letters are sent to
every new business 37 29 20 42
Totals 103 146 90 151
2. Ecosystem Building & Strategic Partnerships
The Economic Development Division is committed to creating a supportive environment for businesses to thrive and grow in Pasadena. This commitment includes building an ecosystem of stakeholders, including entrepreneurs, investors, government entities, educational institutions, and support organizations. Strong ecosystems have a significant impact on local economies, creating jobs and driving economic growth, making ecosystem building an important aspect of economic development. The Division’s efforts to build the local ecosystem and strategic partnerships include:
• Joined the High Road Transition Collaborative (HRTC), led by Los Angeles Economic Development Corporation (LAEDC), as part of Phase II planning to compete for funding from the State’s California Community Economic Resilience Fund (CERF), which aims to build an equitable and sustainable economy and foster long-term economic resilience in the transition to a carbon-neutral economy.
• Continue with hosting bimonthly gatherings with local partners Old Pasadena Management District, Playhouse Village Association, South Lake Business Association, Pasadena Chamber of Commerce, and Pasadena Center Operating Company (PCOC) to discuss successes and challenges, share resources, and coordinate efforts on events and programming.
• Continue working with local partners, including Pasadena City College’s Economic and Workforce Development office, Biocom California, and Pasadena City College’s Small Business Development Center (SBDC). In addition, new discussions are underway with LISC LA, LA County Department of Economic Opportunity (DEO), and others about building relationships, discussing shared priorities, and opportunities for collaboration.
• Continue with attending industry conferences and panels, developing relationships with local and regional economic development organizations (EDOs), and building industry knowledge. Conferences forums attended to date include the LAEDC’s Economic Forecast 2023 and A Just Transition to a Green Economy forum, as well as the San Gabriel Valley Economic Partnership’s (SGEVP) 2023 Economic Forecast and Economic Development Committee convening.
4 3. Special Events & Marketing
Pasadena was chosen as the host city for the 2023 Select LA Investment Summit.
Led by the World Trade Center Los Angeles and the Los Angeles Economic Development Corporation, the summit empowers international businesses to explore the Los Angeles market by connecting with decision-makers and providing cutting- edge market intelligence. The 2023 summit focused on the future of advanced mobility, digital media, space, and biotech. This year was particularly notable, as the first year the event took place outside of the City of Los Angeles. The Economic Development Division was grateful to be among global investors and business and government leaders from around Southern California. Among the event’s key speakers were Pasadena Mayor Victor Gordo and Los Angeles Mayor Karen Bass.
The summit’s well-attended welcome reception was hosted in the City Hall Courtyard, with summit events and exhibitors, at the Pasadena Hilton.
Economic Development staff will attend the International Council of Shopping Centers (ICSC) 2023 Conference
, May 21-23. ICSC is an annual gathering of over
20,000 dealmakers and industry experts driving innovation and evolution in the marketplaces industry. Staff will meet with retailers, brokers, and other industry experts, sharing information on why Pasadena is a great place to do business.
Economic Development invested in
marketing the City and its support for
Black-owned businesses in the Los
Angeles Business Journal’s Black
Business Matters issue, February 20,
2023.
5 4. Real Estate Development & Reuse
The Pasadena Livery stable, a historic building located at 110 E. Holly St., recently sold for $6 million. The 6,612 square-foot building was originally built in 1904 for use as a 22-horse livery stable for a carriage business. In later years, following the advent of the automobile and the decline of horse-drawn carriages, the site was used for a variety of other purposes. It was at one time home to Josephina’s Restaurant, a Rose Parade construction shop, a Red Cross thrift store, and a furniture warehouse, among other tenants. The new owner intends to restore the building for creative office use.
5. 2023 Economic Forecasts
The start of a new year brings forecasts from various economic development organizations and economists to assess and predict key economic indicators.
Insights into 2023 and beyond look at economies of varying scales (national, state, regional, and local) moving away from the economic decline of 2020 brought by the COVID-19 pandemic, showing recovery and growth, but also significant uncertainty.
Highlights and analysis on current and predicted conditions include:
• Potential for Recession - Interest rate hikes by the Federal Reserve have ignited concerns that a policy overcorrection may lead the U.S. into a recession.
Some forecasters estimate that a recession is equally as likely to happen as not, and data suggests the likelihood of a recession within 12 months is growing. • Labor - Unemployment has reached near pre-pandemic levels, with LA County at 4.4%, the San Gabriel Valley at 3.9%, and Pasadena at 3.7%. Knowledge- based industries (professional and business services, etc.) demonstrated more robust growth beyond the recovery, while many service industries (accommodation, arts and entertainment, etc.) still fall short of pre-pandemic levels.
• Small Business - Though rising interest rates and high inflation threaten economic gains for small businesses, as of September 2022, monthly business applications exceeded pre-pandemic highs in every month since June 2020.
More people are seeing business ownership as a viable opportunity, but ongoing support is needed to ensure their success and growth.
• Investment - Federal and state governments are poised to make sizeable investments (Infrastructure Investment and Jobs Act, Road Repair and Accountability Act of 2017 (SB-1), Community Economic Resilience Fund (CERF) program, and more) in California and Los Angeles County that could transform the regional economy.
6. Strategic Planning
The Economic Development Division released a request for proposals (RFP) on February 28, 2023, seeking a qualified consultant to assist in developing a strategic action plan to guide the Division's priorities, programs, and services for the next five 6 years. The RFP closed on April 6, 2023, and the selected consultant(s) will, among other deliverables, work with Pasadena's Economic Development Division to convene and engage stakeholders and facilitate discussion around visioning, goal setting, prioritization, leveraging strengths, and proactively addressing challenges to foster a thriving local economy. With the economic instability brought on by the COVID-19 pandemic as well as changes in City leadership, this is a key time to update the Division's 2012 strategic plan to reflect Pasadena's economic strengths and challenges in 2023 and plan now for a resilient future.
D
ate:
T
o:
Fr
om:
Subject:
MEMORANDUM
May 16, 2023
Economic Development & Technology Committee
David A. Klug, Economic Development Director
Jennifer Paige, AICP, Director of Planning & Community
Development
Zoning Code Amendments for Restaurants
T
his memorandum proposes three Zoning Code Amendments that support existing and new restaurants. Specifically, it is proposed to create a process to allow parking lot dining, as well as the administrative review of Conditional Use Permits for alcohol sales.
Also proposed is the removal of the Conditional Use Permit requirement for walk-up windows at restaurants.
BACKGROUND
I
n March 2020, the City Council ratified a declaration of a local emergency to allow the City of Pasadena to address the emerging COVID-19 pandemic. Through this and several supplemental declarations, the City Council authorized the City Manager to undertake various temporary measures to lessen the resulting negative impact on Pasadena businesses.
R
esolution #9788 (attached) included a set of temporary measures aimed specifically at new and existing restaurants, whereby certain Zoning Code-mandated review processes would be expedited and some Zoning Code regulations would be waived, all in an attempt to provide flexibility to restaurant operators. These measures are summarized below:
• A
llow restaurant dining in parking lots, without requiring the occupied parking be provided elsewhere;
• Allow restaurants with approved Conditional Use Permits for alcohol sales to expand where alcohol can be served to new sidewalk, private property, and/or alley dining areas;
• Tolling the 12-month expiration of a Conditional Use Permit for alcohol sales starting March 16, 2020;
2 • Creation of an administrative approval process for restaurants seeking new or modified Conditional Use Permits for alcohol sales;
• Allow a walk-up window at a restaurant without a Conditional Use Permit, if otherwise required;
• Suspending temporary signage regulations for restaurants; and • Creation of an expedited Design Review process for retail uses and restaurants.
Due to the success of several of these measures, staff intends to recommend a set of Zoning Code Amendments. Specifically, staff will recommend the codification of:
• Parking lot dining for restaurants, without requiring replacement parking; • Administrative Conditional Use Permit for alcohol sales at restaurants; and • Walk-up window at a restaurant without a Conditional Use Permit.
PROPOSED ZONING CODE AMENDMENTS
Parking Lot Dining for Restaurants
Existing
Resolution #9788 allowed parking lot dining without requiring the replacement of occupied parking. The entire parking lot could be used as a dining area if the restaurateur chose to use the space. Since June 2020, the City has issued approximately 45 permits to restaurants for parking lot dining. Application materials were submitted to the Planning & Community Development Department (Planning) via the ‘COVID-19 Reopening Permits’ online portal
(www.cityofpasadena.net/planning/permit-center/covid-19-reopening/ ) and were
reviewed by City staff.
Proposed
Staff proposes the maximum size of the occupied parking lot be limited to 50 percent of the restaurant’s indoor dining area, including any bar area. While this would allow for some outdoor dining, it would prevent the complete occupation of a parking lot.
Finally, for those restaurants that currently have parking lot dining, they would have six (6) months from the effective date of the Zoning Code Amendment to obtain the necessary permit or remove the parking lot dining furniture. The existing online permitting system can be used to issue a permanent outdoor dining permit.
Administrative Conditional Use Permit for Alcohol Sales at Restaurants
Existing
Since June 2020, the City has approved or modified approximately 40 administrative Conditional Use Permits (CUPs) for on-site sales of alcohol at restaurants. These include new restaurants, existing restaurants adding alcohol sales, and existing restaurants upgrading alcohol sales from beer and wine to beer, wine, and distilled spirits. Application materials were submitted to Planning via the online portal noted earlier and staff reviewed the application materials for compliance with the relevant
3 regulations, prior to issuing an approval. Most applications were able to be processed in a matter of days or weeks, as opposed to several months. Restaurateurs were grateful to have their applications processed quickly, thereby lessening some of their unease as they were navigating the uncertainty associated with most businesses, particularly during COVID. It is staff’s opinion that the overall process was met with great success.
Proposed
Staff proposes a Zoning Code Amendment to continue the administrative process for CUPs for alcohol sales at new or existing restaurants. These applications would continue to be appealable to the Board of Zoning Appeals, just like a typical CUP process should there be a concern over a particular application.
Allow Walk-Up Window at Restaurant Without a Conditional Use Permit
Existing
Since June 2020, the City has issued less than ten permits to restaurants to install a temporary walk-up window. Application materials were submitted to Planning for review by staff through the Zoning Permit process.
Absent the flexibility allowed by Resolution #9788, in some areas of Pasadena the inclusion of a walk-up window at a restaurant for ordering and/or receiving food would require the approval of a CUP. Prior to this requirement, there had been a few problems with existing restaurants where queuing for a walk-up window was on a public sidewalk, thus creating an obstruction and an inconvenience.
In recent years, restaurants have trended towards including walk-up windows. One of these is the ‘Handel’s Ice Cream’ in East Pasadena, whose business model is based on having a walk-up window. The ‘Chipotle’ on East Colorado included a walk-up window adjacent to their outdoor dining area that is used to provide food to those who had pre- ordered via an online app. In none of these cases was queuing occurring near a public sidewalk, hence there were no resulting obstructions or problems.
Proposed
Staff proposes that walk-up windows at restaurants be allowed without a CUP, provided the location of the window does not necessitate queuing on a public sidewalk.
Next Steps:
Staff intends to hold a study session with the Planning Commission (Commission) to present the proposed amendments. This would be followed by a formal public hearing with the Commission where staff would seek the Commission’s recommendation to the City Council, followed by a public hearing before the City Council.
Attachment: (1)
Attachment A – Resolution #9788
RESOLUTION NO. 9788
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PASADENA
RATIFYING THE FIFTH SUPPLEMENT TO DECLARATION
OF LOCAL EMERGENCY AUTHORIZING CERTAIN ACTIONS
RELATED TO RESTAURANTS AND RETAIL BUSINESSES
WHEREAS, on May 28, 2020, the City Manager issued a Fifth Supplement to the Declaration of a Local Emergency, a signed version of which is attached to this resolution as Exhibit A, and the City Council has received a report on the conditions described therein; and
WHEREAS, Pasadena Municipal Code Section 2.370.080 requires the City Council to ratify the proclamation within seven days thereafter, or the proclamation shall have no further force or effect.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Pasadena as follows:
1. That the Fifth Supplement to the Declaration of a Local Emergency is hereby ratified and confirmed by the City Council; and
2. That said local emergency shall be deemed to continue to exist until its termination is proclaimed by the City Council of the City of Pasadena. 1 Adopted at the special meeting of the City Council on the ''°1'day of June, 2020, by the following vote:
AYES: Councilmembers Gordo, Kennedy, Madison, Masuda, McAustin, Wilson, Vice Mayor Hampton, Mayor Tornek
NOES: None
ABSENT: None
ABSTAIN: None
APPROVEOAS TO FORM:
^<n4sl. Rad
'Chief Assistant City Attorney
MaCpk'Jomj^y, CMC
City Clerh
0000161708C031
2 Exhibit A
1 15
FIFTH SUPPLEMENT TO DECLARATION OF LOCAL EMERGENCY
AUTHORIZING CERTAIN ACTIONS
RELATED TO RESTAURANTS AND RETAIL BUSINESSES
By virtue of the authority vested in me as Director of Disaster Emergency Services, and pursuant to Chapter 2.370 of the Pasadena Municipal Code, specifically Section
2.370.080,1 hereby find that:
International, national, state, and local health and governmental authorities are responding to an outbreak of respiratory disease caused by a novel coronavirus named "SARS-CoV-2," and the disease it causes has been named "coronavirus disease 2019,' abbreviated COVID-19, ("COVID-19");
On March 4, 2020, the Health Officer declared the existence of a local health emergency in Pasadena, and on March 9, 2020, the City Council adopted a resolution ratifying the Health Officer's declaration;
On March 4, 2020, the Los Angeles County Board of Supervisors and Department of Public Health declared a local emergency and local public health emergency to aid the regional healthcare and governmental community in responding to COVID-19; On March 4, 2020, the Governor of the State of California declared a state of emergency to make additional resources available, formalize emergency actions already underway across multiple state agencies and departments, and help the state prepare for broader spread of COVID-19;
On March 13, 2020, the President of the United States of America declared a national emergency and announced that the federal government would make emergency funding available to assist state and local governments in preventing the spread of and addressing the effects of COVID-19;
On March 17, 2020, the City Council ratified the declaration of a local emergency to allow the City of Pasadena to address the COVID-19 pandemic; On March 19, 2020, the Governor issued Executive Order N-33-20, directing all California residents to stay at home indefinitely except for workings in the 16 critical infrastructure sectors identified by the Department of Homeland Security Cybersecurtiy and Infrastructure Security (CISA) who are required to maintain continuity of operations for these vital systems and facilities;
On March 19, 2020, the Health Officer issued a Safer at Home Order for Control of COVID-19, which has since been revised from time to time, most recently, on May 26, 2020;
The Centers for Disease Control and Prevention, the California Department of Health, and the Los Angeles County Department of Public Health have all issued recommendations including but not limited to social distancing, staying home if sick, 1 canceling or postponing large group events, working from home, and other precautions to protect public health and prevent transmission of this communicable virus; The California Public Health Officer has articulated a four-stage framework for re- opening - which includes provisions for the re-opening of lower-risk businesses and spaces ("Stage Two"), to be followed by the re-opening of higher-risk businesses and spaces ("Stage Three") - to allow Californians to gradually resume various activities while continuing to preserve public health in the face ofCOVID-19; The threat posed by COVID-19 is dynamic and ever-changing, and the City of Pasadena's response to COVID-19 should likewise retain the ability to be dynamic and flexible;
It is essential that the spread ofCOVID-19 be slowed to protect the ability of public and private health care providers to handle the influx of new patients and safeguard public health and safety;
As restaurants and retail businesses seek to expand, re-open, or open for the first time, they face challenges of complying with a variety of new health precautions and constraints, such as social distancing, in order to prevent the spread ofCOVID-19; Government Code Section 8634 empowers the City to promulgate orders and regulations necessary to provide for the protection of life and property during a local emergency; In the interest of public health and safety, as affected by the emergency caused by the COVID-19 pandemic, it is necessary to exercise my authority to issue this regulation related to the protection of life and property;
NOW THEREFORE, I HEREBY ISSUE the following Fifth Supplement to the declaration of a local emergency to become effective immediately, subject to ratification as soon as practicable by the City Council.
IT IS HEREBY ORDERED THAT:
1. Sidewalk/Alley Dining
a. Pasadena Municipal Code Section 12.13.055 (Notice and public hearing), subdivisions (A) through (E) are suspended, such that the director's decision as described in subdivision (F) shall issue within 10 working days of receipt of a complete application.
b. Pasadena Municipal Code Section 12.13.065 (Sidewalk dining occupancy permit standards), subdivisions (I), (M), (P), and (R) are suspended.
i. In lieu of subdivision (M), the following regulation is imposed:
"There shall be no covering over any part of the sidewalk dining area except for awnings attached to the abutting property, and approved pursuant to all city requirements, including, but without limitation, all requirements of Title 17 2 of this code, and except for individual table umbrellas with a minimum seven-foot vertical clearance."
c. Pasadena Municipal Code Section 12.13.065 (Additional standards for serving alcohol), subdivisions (A), (E), (F), (G), and (H) are suspended.
i. In lieu of subdivision (A), the following regulation is imposed:
"Prior to serving alcohol in a sidewalk dining area, the abutting property must possess both a valid on-sale alcoholic beverage license pursuant to Division 9, commencing with Section 23000, of the California Business and Professions Code of Type 41 (on-sale beer and wine eating place) or of Type 47 (on-sale general eating place), or of their successor types.
Alcohol service shall be in compliance with all applicable regulations and guidance issued by the California Department of Alcoholic Beverage Control at all times."
d. Any kind of outdoor dining, where permitted, shall not be considered an obstmction of public alleys pursuant to all applicable provisions of the Pasadena Municipal Code, including, but not limited to, Pasadena Municipal Code, Chapter 12.12 (Obstructing Streets and Sidewalks).
2. Parking Requirements for Restaurants. The minimum off-street parking requirements for restaurants of Pasadena Municipal Code Section
17.46.040 are suspended, so long as such existing parking spaces (to comply with the Municipal Code) are converted to dining areas.
3. Alcohol Service
a. Restaurants with Approved CUPs: For restaurants with approved conditional use permits, any restrictions and/or conditions of approval that limit expansion of the area where alcohol may be served to include new sidewalk, private, or alley dining are suspended, so long as the use in those areas complies with applicable relief measures provided by the California Department of Alcoholic Beverage Control, including, but not limited to, the Fourth Notice of Regulatory Relief. b. Tolling of Limitation Period for Discontinuance of CUPs. The mnning of the 12-month limitation period for discontinuance of conditional use permits for the on-site sale and consumption of alcohol pursuant to Pasadena Municipal Code Section 17.64.080
(Discontinuance) is tolled from March 16, 2020, the date of the City Manager's declaration of local emergency, until the City Council's termination of the COVID-19 local emergency.
c. Restaurants Seeking New CUPs. For restaurants seeking a new conditional use permit to serve alcohol, any requirements to (a) have an application first considered by a Hearing Officer; and/or (b) impose pre-hearing notice requirements are suspended. In its place, the City Manager may establish a process to allow for administrative approval of conditional use permits for alcohol sales, with such decisions appealable to the Board of Zoning Appeals, as provided in Paragraph 8, below.
d. Expansion of ABC-Licensed Footprint. Pasadena Municipal Code Sections 12.13.066 (Additional standards for serving alcohol), 3 subdivision (A) and 12.13.061 (No serving of alcohol without expanded license) are suspended, so long as the use complies with applicable relief measures provided by the California Department of Alcoholic Beverage Control, including, but not limited to, the Fourth Notice of Regulatory Relief.
4. Restaurants with Walk-Up Windows. The notation for any and all Zoning Districts that list Restaurants with Walk-Up Window as any type of a Conditional use, including, but not limited to, Pasadena Municipal Code Sections 17.30.030, Table 3-1 (Allowed Uses for CD Zoning District), 17.31.040, Table 3-3 (Allowed Uses for ECSP Zoning District),
17.32.050, Table 3-5 (Allowed Uses for EPSP Zoning District), 17.33.040, Table 3-13 (Allowed Uses for FGSP Zoning District), 17.36.050, Table 3- 16 (WGSP Zoning Districts) (for WGSP-1C only), and 17.37.040, Table 3-18 (Allowed Uses LASP Zoning Districts), is suspended, and the following regulation is imposed: Where Restaurants with Walk-Up Window are a listed as a conditional use, they shall, instead, be a temporary Permitted use, Code Compliance Certificate required, following Pasadena Municipal Code Section 17.61.020, and any permit for such temporary Permitted use shall expire no later than six months following the City Council's termination of the COVID-19 local emergency.
5. Signage. The requirements of Pasadena Municipal Code Section
17.48.120 (Standards for Temporary Signs), as it applies to restaurants, is suspended. In its place, the following regulation is imposed for restaurants: For any folding, A-frame, sidewalk, and/or similar signs, restaurants shall ensure compliance with applicable access rules, including, but not limited to the Americans with Disabilities Act.
6. Design Review. In lieu of any existing design review requirements in the Pasadena Municipal Code, the City Manager may establish a process to allow for administrative approval and/or expedited design review for qualified and retail and restaurant land use permit applications, as provided in Paragraph 8, below.
7. Fee Waivers. The City Manager may waive certain City-imposed fees imposed on such businesses, including, but not limited to, fees for sidewalk dining, business license, banners/temporary sign permits, fire inspection, food sanitation inspections and other restaurant permits, environmental health plan check and inspection fees for restaurants, zoning parking credit program fee (Old Pasadena and South Lake), as provided in Paragraph 8, below.
8. Each action by the City Manager to grant relief under the Municipal Code and/or to establish an order or regulation under this Fifth Supplement (new restaurant CUPs, design review, and fee waivers), where authorized above, shall be in writing, shall explicitly state the relief granted or order or regulation established, including appeal process, if applicable, and shall become effective when filed with the City Clerk. Such actions shall be posted within five (5) business days on the City's webpage where all actions under this Fifth Supplement can be found, to the extent feasible.
9. This Fifth Supplement shall become effective immediately. 4 10. If any provision of this Fifth Supplement is found to be unconstitutional or otherwise invalid by any court of competent jurisdiction, that invalidity shall not affect the remaining provisions of this chapter which can be implemented without the invalid provisions, and to this end, the provisions of this chapter are declared to be severable. This declaration would have been adopted and each provision thereof irrespective of whether any one or more provisions are found invalid, unconstitutional or otherwise unenforceable.
11. This supplements and does not supersede any prior local emergencies or local public health emergencies related to COVID-19.
I FURTHER DIRECT that this Fifth Supplement shall take effect immediately and that widespread publicity and notice shall be given of said declaration through the most feasible and adequate means of disseminating such notice throughout the City.
Dated: May 2.^', 2020, at Pasadena, California.
By:^-2-^
Steve Mermell
City Manager
Director of Disaster Emergency Services
Attest:
ky, CMC
City Clerk
5 City Manager – Economic Development Division
Zoning Code Amendments for
Restaurants
Economic Development & Technology Committee
May 16, 2023
City Manager – Economic Development Division
Zoning Code Amendments:
Restaurants
• Background
> June 2020: Resolution #9788 adopted with
temporary measures to assist new/existing
restaurants due to COVID-19 pandemic.
> Measures included allowing dining in parking lots,
alcohol sales, walk-up windows, and temporary
signage.
2 City Manager – Economic Development Division
Zoning Code Amendments:
Restaurants
• Proposed Zoning Code Amendments
> Allow parking lot dining for restaurants, without
requiring replacement parking;
> Create an Administrative Conditional Use Permit
process for alcohol sales at restaurants; and
> Allow walk-up window at restaurants without
Conditional Use Permit.
3 City Manager – Economic Development Division
Zoning Code Amendments:
Restaurants
• Parking lot dining for restaurants
> Res. #9788 allowed use of parking lot dining
without requiring replacement of occupied
parking area, without size limit.
~45 permits have been issued.
• Proposed Amendment
> Allow parking lot dining without replacement
parking, but limited in size to 50% of existing indoor
dining area, including bar area.
> For existing permits, six months from effective date
of amendment to get permit or remove.
4 City Manager – Economic Development Division
Zoning Code Amendments:
Restaurants
• Administrative CUP for Alcohol Sales
> Res. #9788 allowed administrative process for
new/modified CUPs.
No public hearing – decision letters distributed to City Council, City Council District Liaisons, and Planning
Commission.
Appealable to Board of Zoning Appeals.
~40 new/modified CUPs have been approved, none
appealed.
• Proposed Amendment
> Administrative process for new/modified alcohol
CUPs.
Appealable to Board of Zoning Appeals.5
City Manager – Economic Development Division
Zoning Code Amendments:
Restaurants
• Walk-up window at restaurant without CUP
> Res. #9788 allowed walk-up window at restaurant
without CUP.
Zoning Code currently requires CUP for walk-up window at restaurant.
» Response to instances where queuing was on public
sidewalk, creating obstruction.
Less than ten permits issued for walk-up windows.
• Proposed Amendment
> Allow walk-up window at restaurant without CUP
provided no queuing on public sidewalk.
6 City Manager – Economic Development Division
Zoning Code Amendments:
Restaurants
• Next steps
> Planning Commission Study Session
> Planning Commission Public Hearing
> City Council Public Hearing
7 City Manager – Economic Development Division
Zoning Code Amendments for
Restaurants
Economic Development & Technology Committee
May 16, 2023