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2.A SAFF REPORT

Placentia City Council
January 18, 2022

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2.A SAFF REPORT
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January 18, 2022
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TO:

VIA:

FROM:

DATE:

Placentia Cit Council

CITY COUNCIL

CITY ADMINISTRATOR

DIRECTOR OF DEVELOPMENT SERVICES
JANUARY 18, 2022

AGENDA REPORT
SUBJECT: CONSIDERATION OF AN URGENCY ORDINANCE OF THE CITY OF PLACENTIA, CALIFORNIA, AMENDING TITLE 22 (SUBDIVISIONS) TO CREATE AN URBAN LOT SPLIT AND AMENDING TITLE 23 (ZONING) OF THE PLACENTIA MUNICIPAL CODE TO CREATE TWO (2) RESIDENTIAL UNITS PER LOT PURSUANT TO THE IMPLEMENTATION OF SENATE BILL 9 FISCAL
IMPACT: NONE
SUMMARY:

Senate Bill 9 (SB 9) was approved by Governor Gavin Newson on September 16, 2021. It was effective starting on January 1, 2022 and provides for the ministerial approval of urban lot splits and housing development containing no more than two (2) residential units on a lot in single family residential zones. The purpose of this Urgency Ordinance is to incorporate standards reflective of the City of Placentia into the review process concurrent with the effectiveness of the state law.

RECOMMENDATION:

It is recommended that the City Council take the following actions:

1. Open the Public Hearing concerning Ordinance No. 0-2022-01; and

2. Receive the Staff Report, consider all Public Testimony, ask any questions of Staff; and

3. Close the Public Hearing; and

4. Find that adoption of Urgency Ordinance No. 0-2022-01 is not a project under the California Environmental Quality Act pursuant to SB 9, and it can be seen with certainty that there is no possibility that the activity in question may have a significant effect upon the environment; and

5. Adopt as an urgency measure by 4/5 votes, Urgency Ordinance No. 0-2022-01, an Urgency Ordinance of the City of Placentia, California, amending Title 22 (Subdivisions) to create an urban lot split and amending Title 23 (Zoning) of the Placentia Municipal Code to create two (2) residential units per lot pursuant to the implementation of Senate Bill 9; and

2. a.

Jan. 18, 2022

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6. Direct Staff to return to the Planning Commission no later than March 2022 to consider the possible recommendation to the City Council of a non -urgency version of an ordinance designed to comply with Senate Bill 9.

BACKGROUND:

On September 16, 2021, Governor Newsom signed SB 9 into law which adds two (2) new sections to the Government Code creating urban lot splits and the development of two (2) units on a single- family residential lot. New Government Code Section 66411.7 requires a local agency to ministerially approve a parcel map for a lot split in the single-family zone when the map meets all the listed requirements of that section. Similarly, new Government Code Section 65852.21 requires a local agency to ministerially approve a housing development of no more than two (2) residential units (either 2 new or 1 new in addition to an existing unit) within a single-family residential zone without discretionary review nor a hearing when the proposed development meets all the listed requirements of that section. The cumulative effect of SB 9 is to allow up to four (4) units on a lot where there once was only one (1) unit permitted within single-family residential zones.

DISCUSSION:

SB 9 was approved by Governor Gavin Newson on September 16, 2021. It went into effect on January 1, 2022 and will have two (2) main impacts. First, SB 9 adds Government Code section 66411.7 to the Subdivision Map Act to require cities to ministerially approve a parcel map for an "urban lot split" into two (2) Tots if the existing lot meets specified requirements, such as the requirement that the lot is within a single-family residential zone. The City may impose standards for that urban lot split but those standards for ministerial approval must be objective standards.

Second, SB 9, along with the ministerial approval of a proposed urban lot split, new Government Code Section 65852.21 requires the ministerial approval of a housing development containing no more than two (2) residential units on a lot, without discretionary review nor a hearing, if the proposal meets certain objective requirements. For both new sections, there are certain requirements that must be met to utilize those new sections. These include:
• located in a single-family residential zone
• not a historic landmark or located in a historic district • not located in a very high fire hazard severity zone
• not located in a flood zone or on land identified for habitat conservation • proposal would not demolish more than 25 percent of existing exterior structural walls Further, the newly created parcels shall be no smaller than 1,200 square feet and one (1) of the parcels created cannot be smaller than 40% of the lot area of the original parcel. The lot cannot have been previously subdivided pursuant to these urban lot split standards. Neither the owner of the parcel being subdivided nor anyone acting in concert with that owner has previously subdivided an adjacent parcel using the urban lot split standards.

A local agency may impose objective zoning, subdivision, and design standards. "Objective" standards involve no personal or subjective judgement and are uniformly verifiable by reference to an external and uniform benchmark or criteria available and knowable by both the developer

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and the local agency, so long as those standards do not conflict with SB 9. Objective standards may not physically preclude the construction of two (2) residential units on either of the resulting parcels or physically preclude either of the two (2) units from being at least 800 square feet in floor area.

Cities do have some very limited discretion in what to include in an SB 9 ordinance. Here are some examples that are included in the proposed ordinance:
• Demolition. The proposed ordinance prohibits housing developments that would demolish more than 25% of the existing structural walls on a lot where a tenant had resided in the last three (3) years. A city may opt to allow such demolition, per Government Code § 65852.21(a)(5).
• Access. Government Code 66411.7(e) requires cities to include "a requirement that the parcels have access to, provide access to, or adjoin the public right of way." The proposed ordinance adds language to clarify what is sufficient to meet this requirement. • Percolation. The city is allowed to require residential units connected to an onsite wastewater treatment system (septic tank) to have completed a percolation test in the last five (5) years, or if the percolation test has been recertified, within the last 10 years, which shows that the system meets acceptable infiltration rates. • Parking. Cities are sometimes allowed, but not required, to allow up to one (1) off street parking space per unit. The proposed ordinance would require parking be provided at the maximum permissible rate. However, the city cannot require off street parking if the parcel is located within one-half mile walking distance of a high-quality transit corridor or a major transit stop, or there is a car share vehicle located within one (1) block of the parcel. • Additional Unit. Due to the fact that the second unit on an existing lot or newly created lot is very similar in nature to an accessory dwelling unit (ADU), the proposed ordinance requires that the same standards, conditions, and requirements for accessory dwelling units be followed, unless those standards, conditions and requirements conflict with the proposed ordinance or state law, in which case, the proposed ordinance and state law would apply.

Urgency:

The proposed amendments to the Placentia Municipal Code will implement SB 9 to reflect the objective standards for Placentia. Without an Urgency Ordinance (or permanent regulations) in place, proposals for urban lot splits and two -unit residential developments would be subject to only the standards in SB 9. Once adopted, the Urgency Ordinance will remain in effect until amended or repealed by the City Council. The next steps after adoption would be to have Planning Commission review the ordinance and make any recommended changes for City Council consideration.

Fees:

There are existing fees related to accessory dwelling units and for Tentative Parcel Map applications. However, the City's standard Tentative Parcel Map fee includes staff time spent preparing for and conducting a public hearing. Urban lot splits and/or two (2) units per lot cannot include a public hearing pursuant to SB9. Therefore, as part of the Citywide User Fee Study, a

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unique fee for Urban lot splits may be considered by City Council and a fee specific to reviewing two (2) residential units on one (1) lot may be considered by City Council. In the interim, Staff will utilize the same fee structure for cost recovery that is currently utilized for the review and entitlement of ADU's as advised by the City Attorney's office.

CEQA:

One of the Staff recommendations is for City Council to find that adoption of Urgency Ordinance No. 0-2022-01 is nota project under the requirements of the California Environmental Quality Act (CEQA), and that there is no possibility that the activity in question may have a significant effect upon the environment. Pursuant to SB 9, adoption of regulations related to SB 9 is not considered a "project" and therefore, the Urgency Ordinance is not subject to CEQA review.

Prepared by: Reviewed and approved:

Jo
Dir
M. Lrfbert Damien R. Arrula
r of Development Services City Administrator
Attachment:

Urgency Ordinance No. 0-2022-01- Implementing SB 9

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