Placentia Cit Council
TO: CITY COUNCIL
VIA: CITY ADMINISTRATOR
FROM: DIRECTOR OF DEVELOPMENT SERVICES
DATE: FEBRUARY 6, 2024
AGENDA REPORT
SUBJECT: PUBLIC HEARING REGARDING GENERAL PLAN AMENDMENT NO. GPA 2023-01, ZONE CHANGE NO. ZCA 2023-01, AND SUPPLEMENTAL INITIAL STUDY/MITIGATED NEGATIVE DECLARATION NO. EA 2023-01 EXPANDING
THE CITY'S EXISTING TRANSIT -ORIENTED DEVELOPMENT (TOD) PACKING
HOUSE DISTRICT ZONING AND LAND USE DESIGNATION TO INCLUDE APPROXIMATELY 11.5 ACRES LOCATED SOUTH OF CROWTHER AVENUE AND WEST OF SOUTH MELROSE STREET AND APPROXIMATELY THREE (3) ACRES
ALONG CAMERON STREET SOUTH OF CROWTHER AVENUE
FISCAL
IMPACT: Potential for significant increase in annual sustainable revenue (property tax, transient occupancy tax, sales tax) and approximately $8-$10 million in one-time revenue including development impact fees. Infrastructure costs associated with TOD District will be funded by impact fees and annual assessments. No General Fund dollars will be utilized for the proposed District.
SUMMARY:
On April 4, 2017, the City Council adopted General Plan Amendment 2017-01 and Zone Change 2017-01 creating the Transit -Oriented Development (TOD) Packing House District. The impetus and centerpiece of the TOD District is the planned Metrolink station located near Melrose Street and Crowther Avenue across from Old Town Placentia. The original TOD area included approximately 28 acres and included all new development standards and public realm standards, which have resulted in three entitled and two finished mixed-use and residential developments, with brand new streetscape and infrastructure, mainly along Crowther Avenue.
The TOD expansion General Plan Amendment 2023-01 and Zone Change 2023-01 will expand the TOD designation and zone by approximately 14.5 acres. On January 23, 2024, the Planning Commission unanimously recommended adoption of a Supplemental Initial Study/Mitigated Negative Declaration (EA 2023-01) and approval of the General Plan Amendment (GPA) and Zone Change (ZCA).
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Feb 06, 2024
City Council Agenda
February 6, 2024
RECOMMENDATION:
It is recommended that the City Council take the following actions:
1. Open the Public Hearing concerning General Plan Amendment No. GPA 2023-01 and Zone Change No. ZCA 2023-01; and
2. Receive the Staff Report and consider all Public Testimony; and
3. Close the Public Hearing; and
4. Adopt Resolution No. R-2024-07, a Resolution of the City Council of the City of Placentia, California, adopting Supplemental Initial Study/Mitigated Negative Declaration (EA 2023- 01) to a previously adopted Initial Study/Mitigated Negative Declaration of Environmental Impacts for GPA 2023-01 and ZCA 2023-01, prepared in full compliance with the California Environmental Quality Act ("CEQA"), California Public Resources Code §§ 21000, et seq., and the Environmental Guidelines of the City of Placentia; and adopting General Plan Amendment No. GPA 2023-01 to change the current land use designation from Industrial to Transit -Oriented Development (TOD) for the approximately 14.5 acre project area; and
5. Waive full reading, by title only, and introduce for first reading Ordinance No. 0-2024-01, an Ordinance of the City Council of the City of Placentia, California Approving Zone Change No. ZCA 2023-01, expanding the Transit -Oriented Development (TOD) Zone for the approximately 14.5 -acre project area.
STRATEGIC PLAN STATEMENT:
This item is consistent with the City Council approved 5 -Year Strategic Goal to achieve:
Implementation of Housing Element Strategies, Objective Number 3.10. This agenda item will specifically create opportunities for the development of more housing in the City, including a mix of housing at various price points.
BACKGROUND:
The City of Placentia's sixth cycle 2021-2029 Housing Element was approved by City Council in March 2022 and is proposed to be amended minimally to achieve State certification no later than end of February 2024. The revised draft Housing Element estimates a shortfall of approximately 1,137 potential housing units compared to the new Regional Housing Needs Assessment (RHNA) requirement based on current zoning. In order to bridge the shortfall, the Housing Element identified land use strategies and potential sites that could be rezoned to meet the new RHNA requirement. As such, City Council directed staff to include the rezoning strategy of expanding the TOD zone in areas mapped in Figure 2. The TOD zoning district currently allows up to 95 units/acre, and the current boundaries are reflected below in Figure 1:
City Council Agenda
February 6, 2024
t
N
�. O TOD Boundary
Several Housing Element Programs direct the City to expand the TOD District to meet the new RHNA requirement. Under the Housing Element Program HE -1.2: Locate Housing Near Transportation, Employment and Services, the program states that the City will encourage housing near transportation, employment, and services through Program HE -1.15: Transit - Oriented Development, and that the City will further expand opportunities for housing near high- quality public transportation by expanding the TOD zone per Program 1.8. Program HE -1.8 states that in order to ensure the availability of adequate sites to accommodate this assigned need (RHNA), the City shall identify and rezone at least 14 acres of land with allowable densities of at least 30 units/acre to accommodate the shortfall of lower-income sites compared to the RHNA allocation as identified in Appendix B (Attachment 1 - Exhibit A). Program HE -1.15 of the Housing Element further states that in order to expand housing opportunities, an amendment to the TOD zone will be processed to extend the district as described in Program 1.8 and Attachment 1A.
As such, the area encompassing Project Area, TOD zone expansion, is highlighted in yellow on the following map (Figure 2):
Figure 2
TOD Boundary
TOD Expansion Area
TOD Expansion Area
City Council Agenda
February 6, 2024
The expansion of the TOD district will require a General Plan amendment and map change, expanding the TOD land use designation, and a Zoning Code Amendment/Zone Change to expand the zoning designation and the development standards of the TOD district to the area identified in Figure 2.
The ZCA and GPA will further the direction of City Council from the March 15, 2022 City Council meeting in which the City Council adopted General Plan Amendment (GPA 2021-02) updating the Housing Element of the General Plan, which included direction to expand the TOD district and to amend the Zoning Code to be in compliance with the State housing laws. It should be noted that the Housing Element will be amended minimally to achieve State certification no later than end of February 2024 under a separate agenda item.
DISCUSSION:
The City proposes a ZCA and GPA to expand the TOD Zoning Designation and to expand the TOD Land Use designation of the General Plan Land Use Element as shown on Figure 2. This will result in the amendment to the Land Use Element (Attachment 1 — Exhibit B). The GPA will also amend the General Plan Land Use and Zoning maps to indicate the expanded TOD Land Use District as shown in Attachment 1 - Exhibit C.
General Plan Land Use Element and Land Use Map Amendment:
In accordance with Government Code Section 65350, a city may amend their respective General Plan from time to time. Such amendments shall be made pursuant to Government Code Section 65860 when making a zoning designation of properties consistent with the General Plan. As previously mentioned, to further the direction of City Council, the Project Area includes a General Plan Amendment to expand the existing TOD land use designation as mapped in Figure 2 for approximately 14.5 acres. A General Plan Amendment is also necessary to amend language to the land use element related to the expansion, related to the acreage of the expansion area.
Furthermore, the zoning map will also indicate the expansion of the TOD district as reflected in Figure 2 consistent with City Council direction from March 15, 2022.
Zone Change:
Per Government Code Section 65860, a city shall bring its zoning ordinance and zoning map into consistency with its General Plan. The Project Area includes a General Plan amendment as well as a Zone Change/Zoning Map Amendment to expand the TOD land use designation for the approximately 14.5 -acre project area (Attachment 2 — Exhibit A). As previously stated, the recommended General Plan amendment and Zoning actions will be consistent with the General Plan Amendment described above and will be consistent with the Housing Element Programs previously adopted by City Council.
Development Standards:
Chapter 23.111 of the Placentia Municipal Code (PMC) codifies the TOD development standards adopted by City Council in April 2017 via Ordinance No. 0-2017-04. The same development standards will apply to the TOD expansion project area. In general, the standards follow current planning practice for zoning for transit -oriented development. Many of these include minimum and maximum standards, unlike many existing zoning codes. These minimum/maximum standards
City Council Agenda
February 6, 2024
help further the tenets of TOD type development and encourage developers to not "over park" their projects, but rather park their residential and commercial developments appropriately utilizing TOD examples. Some of the other highlights of the development standards include:
• Mixed -Use development (residential and non-residential uses in same building) • Higher Density residential development (min 65 du/ac; max 95 du/ac) • Greater height for buildings (up to 68')
• Refined list of land uses: active commercial and multi -family (commercial uses that would complement residential areas)
• Fewer parking spaces required, including a "maximum number" • Public art and plazas encouraged
• Improved signage and "special" signage
Other Citv Actions Related to the TOD Zone
When the original TOD Zone and Land Use designation were created in April 2017, City Council also adopted the following documents (via Resolution R-2017-15) in order to implement the vision of the TOD District:
1. Adopted a TOD Streetscape Master Plan; and
2. Adopted TOD Packing House District and Old Town Placentia District Public Realm Design Standards.
In addition to the preceding, the following City Council actions have also contributed to the realization of the TOD District:
1. Adopted a TOD specific Development Impact Fee Program; and
2. Ensured Orange County Transportation Authority (OCTA) Bus Routes service the TOD and Old Town Placentia areas; and
3. Completed a Wayfinding Signage Program with TOD-District specific sign design.
All of the aforementioned plans and programs including TOD Development Impact Fees will apply to the TOD expansion area. However, the aforementioned programs may require further action and amendment by City Council to specifically address the properties in the expansion area. In addition, Government Code §65583.2(h) requires jurisdictions to permit owner -occupied and rental multi -family residential uses by -right for developments in which at least 20 percent of the units are affordable to lower-income households. Future development in the TOD Zone (and TOD expansion area) must comply with Government Code §65583.2(h) for any development in which at least 20 percent of the units are affordable to lower-income households. This applies to residentially zoned sites that are capable of being developed at a higher density citywide (throughout the State).
Amortization
The amortization language previously adopted in Chapter 23.111 of the PMC preserves private property rights in existence at the time of this zone change. If the Zone Change for the TOD Expansion Area is adopted, all legal uses, buildings or structures may continue to operate as a legal non -conforming use, building or structure. Additionally, for the five-year period after the zone
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February 6, 2024
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change is adopted, these same legal non -conforming uses may be transferred or assigned. After this five-year period has elapsed, legal non -conforming uses can continue if the business is transferred to a child or parent of the owner or to the owner's employees. After that time, the businesses may not be modified or expanded; however secondary uses are permitted to change.
Due to its historic nature, the existing Packing House continues to be exempt from the amortization clause altogether.
PLANNING COMMISSION RECOMMENDATION:
On January 23, 2024, the Planning Commission conducted a public hearing concerning General Plan Amendment No. GPA 2023-01, Zone Change No. ZCA 2023-01, and Supplemental Initial Study/Mitigated Negative Declaration No. EA 2023-01. The Planning Commission concluded the public hearing and unanimously adopted Resolution PC 2024-03 recommending that City Council approve GPA No. 2023-01 and ZCA No. 2023-01 and recommending adoption of Supplemental Mitigated Negative Declaration No. EA 2023-01 for the project.
CEQA COMPLIANCE:
In accordance with the California Environmental Quality Act (CEQA) and State Environmental Guidelines, a Supplemental Initial Study/Mitigated Negative Declaration (No. EA 2023-01) to a previously adopted Initial Study/Mitigated Negative Declaration of Environmental Impacts was prepared for the project which concluded that no new or more severe significant environmental effects than identified in previous environmental documents would occur under the proposed project. The Supplemental Initial Study/Mitigated Negative Declaration is provided as an attachment to this report and as stated, the Planning Commission recommended that City Council adopt the Supplemental Mitigated Negative Declaration (Attachment 4).
CONCLUSION:
The proposed expansion of the TOD Packing House District will further the direction of the City Council from the March 15, 2022 meeting. At that time, the City Council adopted the earlier version of the Housing Element which included direction to expand the TOD District. Several Housing Element Programs also directly relate to the TOD District expansion to meet the new RHNA requirement. The Housing Element also requires location of housing near transportation, employment, and services. City Council also directed staff to amend the Zoning Code to be in compliance with the State housing Iaws.by providing opportunities for additional housing and those goals provide justification for the General Plan Amendment and related Zone Change. It also fulfills several goals of the City's Economic Development Plan, including providing more opportunities for retail sales to stay within the City, and allows for sales tax producing mixed-use development. The TOD District has proven to be an effective tool to attract and enable new development within the District while creating high-quality public and private improvements surrounding the forthcoming Metrolink Station.
City Council Agenda
February 6, 2024
Prepared by:
Joseph -M. Lambert
Director of Development Services
Reviewed and approved:
Damien R. Arrula
City Administrator
Attachments:
1. Resolution No. R-2024-07
Exhibit A: Appendix B of the Housing Element
Exhibit B: Amendments to the General Plan Land Use Element Exhibit C: Amended General Plan Land Use Map
2. Ordinance No. 0-2024-01
Exhibit A: Amendment to the Official Zoning Map
3. Correspondence Received
4. Supplemental Initial Study/Mitigated Negative Declaration for the Project Area, appendices available here: https://www.placentia.orq/776/Environmental-Documents