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Administrative Report

Redondo Beach City Council
October 15, 2024

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Administrative Report
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October 15, 2024
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Redondo Beach City Council
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7
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Text extracted from the city's file for reading and search. Open the original on redondo.legistar1.com. That file is the official record.

Administrative
Report
L.1., File # 24-1685 Meeting Date: 10/15/2024
To: CITY COUNCIL
From: MARC WIENER, COMMUNITY DEVELOPMENT DIRECTOR
TITLE

CONTINUED PUBLIC HEARING TO CONSIDER, DISCUSS, AND RECEIVE PUBLIC INPUT ON UPDATES TO FIVE (5) GENERAL PLAN ELEMENTS (LAND USE, OPEN SPACE & CONSERVATION, NOISE, AND SAFETY), ASSOCIATED AMENDMENTS TO THE CITY’S ZONING

ORDINANCES AND LOCAL COASTAL PROGRAM, AND CERTIFICATION OF THE

ENVIRONMENTAL IMPACT REPORT

DIRECT STAFF TO ANALYZE SETTING THE FLOOR AREA RATIO CAP FOR THE BEACH CITIES HEALTH DISTRICT PROPERTY AT 1.25 AS PART OF THE GENERAL PLAN RELATED EIR PROCEDURES:

1. Re-open the public hearing;

2. Take public testimony;

3. Give direction to staff; and

4. Continue the public hearing to October 29, 2024

EXECUTIVE SUMMARY
The City is in the process of updating the Land Use, Open Space and Conservation, Safety and Noise Elements of the General Plan, and Associated Zoning Ordinance amendments. The General Plan is composed of various state-required elements and provides long-term policy direction to guide the physical development, conservation, and sustainability of the City. The Zoning Ordinance is an implementation tool of the General Plan and is required to be consistent with its land-use designations and all of its policies.

On October 1, 2024, the City Council was provided with an overview of the proposed updates. The City Council continued the public hearing to October 15, 2024 with direction that staff research and provide information on several items. This administrative report outlines the remaining process, including adoption of the Housing Element implementation items, as well as certification of the Environmental Impact Report (EIR), and includes an analysis and response to the issues raised at the last hearing

BACKGROUND
Housing Element Implementation
The most significant Land Use Element and Zoning Ordinance updates are intended to implement the City’s 6th Cycle Housing Element. The State Department of Housing and Community Development (HCD) has provided the City with a deadline of February 12, 2025 to approve the

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Development (HCD) has provided the City with a deadline of February 12, 2025 to approve the Housing Element implementation updates. Because of the state-imposed deadline, staff recommends segmenting the General Plan/Zoning Ordinance approval process. Updates intended to implement the Housing Element will be recommended for adoption in late October/early November, while the remaining items will be considered for adoption at later dates. This will provide the City Council with additional time, if necessary, to make recommendations for the remaining balance of the General Plan, Zoning Ordinance, and Local Coastal Program (LCP) updates, where appropriate.

At the October 29, 2024 public hearing, the City Council will be considering amendments to the Land Use Element and Zoning Ordinance. The Zoning Ordinance is the primary implementation tool of the General Plan/Housing Element and creates Housing Overlay (AHO) Zones at the following locations:
· North Tech (C-4-RO)
· Kingsdale (C-4-RO & RH-RO)
· South of Transit Center (IF-RO)
· 190th Street (C-2-RO & I-2-RO)
· South Bay Marketplace (IF-RO)
· FedEx (MU-1-RO)
The AHO zones allows for residential uses at a density of 55 dwelling units per acre (du/ac) with a minimum density of 20 du/ac, which are necessary to meet the State mandated RHNA requirement of 2,490 residential units. Other housing-related amendments are based on programs in the Housing Element and are intended to reduce some of the barriers to the creation of affordable housing. A map is included depicting the areas that are being re-zoned for housing, and includes the up-zoned areas and down-zoned areas.

State Law requires that the Zoning Ordinance be consistent with the General Plan. In order to achieve this, staff will propose an update to the current Land Use Element (circa 1992) so that it is consistent with the Zoning Ordinance. The new Land Use Element policies and directives related to commercial districts, economic development, environmental sustainability and historic preservation, will be adopted at a later date with the remaining Open Space and Conservation, Safety, and Noise Elements of the General Plan.

Environmental Impact Report (EIR)
The Draft EIR was released for a 47-day public comment period which started August 1, 2024 and ended on September 16, 2024. While the Draft EIR is available on the City website for review, the Final EIR, inclusive of all comments received and responses to the comments, will be presented to the City Council for certification on October 29, 2024. The overall purpose of this EIR is to inform the City, responsible agencies, decision makers, and the public about the potential environmental effects resulting from full implementation of the proposed Redondo Beach General Plan Update, and the associated Zoning Ordinance, and Local Coastal Program amendments that are required by state law for consistency purposes. Included as an appendix to the program Environmental Impact Report is a document that explains the buildout assumptions and methodologies utilized for projecting the potential growth in the City over the next 25 years.

Although City Council will only be considering adoption of amendments related to Housing Element implementation, the EIR for the entire project will be recommended for certification at the October 29,

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implementation, the EIR for the entire project will be recommended for certification at the October 29, 2024 public hearing. The certified EIR does not commit the City to any future policy decisions, but will cover the pending adoption of the remaining General Plan, Zoning Ordinance, and LCP Amendments. If the City Council chooses to make additional amendments to the General Plan, Zoning Ordinance, or LCP, the EIR may be updated accordingly, potentially through an Addendum, which is required when there have been changes to the project, but the changes do not meet the conditions necessary to trigger a subsequent or supplemental EIR. It is used for changes or additions to the adopted EIR that would not significantly alter any of the project's impacts. Staff anticipates that there will be latitude for the City Council to make changes, which can be addressed through the Addendum process. The Addendum does not need to be recirculated, would take approximately 1-2 months to complete, and would require City Council approval. Alternatively, a “Supplemental EIR” would be required for more substantial amendments that would significantly alter the project’s impact. A Supplemental EIR would need to be recirculated and would take approximately 6-12 months to process and would need to be certified.

Article XXVII Major Changes in Allowable Land Use
Article XXVII requires that major changes in allowable land use shall be put to a vote of the people, only if first approved by the City Council. A recent court decision determined that the Article XXVII is pre-empted by state housing law. Additionally, Measure RB has been placed on the November 5, 2024 Ballot, which would amend Article XXVII to reflect the recent court determination and provide deference to implementation of the Housing Element. Nonetheless, an Article XXVII analysis was prepared for the Housing Element implementation items and was posted on the City website on September 30, 2024. Staff notes that some of the remaining non-housing amendments, such as the FAR increase on Artesia from 0.6 to 1.5, constitutes a major change in allowable land use and is subject to a vote pursuant to Article XXVII. The required analysis will be prepared and posted prior to the City Council taking action on the remainder of the General Plan, Zoning Ordinance, and LCP amendments.

RESPONSES TO QUESTIONS
On October 1, 2024, the City Council was presented with an overview of the proposed updates and directed staff to research and report back on several items. Below is staff analysis and response to the questions raised by the City Council.

Public Institutional FAR
The floor area ratio (FAR) dictates how much floor area (enclosed space) can be constructed based on the size of the lot. For example, a 4,000 square-foot lot with a FAR of 0.5 would be allowed to construct a 2,000 square-foot building. The General Plan and Zoning Ordinance currently do not place a cap on the FAR for most of the PI zones, with the exception of City Hall and the Annex located on the northeast corner of PCH and Vincent Street, which have a FAR of 1.25. State Law requires the establishment of FAR limits in the General Plan, and as such, the Land Use Element as drafted includes maintaining the 1.25 FAR at City Hall and the Annex, and placing a .75 FAR cap on the remaining PI designations.

The City has received numerous public comments, both for and against, limiting the FAR in the PI zones. The Beach Cities Health District (BCHD) is planning a project that purportedly requires a 1.00 -1.25 FAR, which would exceed the cap of .75 included in the draft Land Use Element. To better understand the implications of setting the FAR at either intensity, staff has prepared a table identifying the current building square-footage on the PI sites throughout the City. The table also shows how

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the current building square-footage on the PI sites throughout the City. The table also shows how much square-footage would be allowed in the PI zones under both the .75 and 1.25 scenarios. The table has been updated since the October 1, 2024, and now provides a more accurate assessment of building size based on permit records.

Based on current build-out, it appears a FAR of .75 for PI sites, and 1.25 for City Hall and the Annex, should be sufficient to meet future City needs. However, the City Council is being asked to consider an appropriate FAR for the BCHD site, with their future development project in mind. Staff notes that while the FAR limit is a maximum that could potentially be built, the City would have discretion over the design through the Conditional Use Permit and associated Environmental Review process. The EIR buildout methodology currently provides coverage for a range of .85-1.0 FAR at the BCHD site.

It is recommended that the City Council direct staff to prepare an analysis to evaluate the process of potentially updating the EIR to cover a 1.25 FAR at the BCHD site. The process needs to be evaluated and may either include preparing an Addendum, which could be completed around the time of EIR certification, or may require a Supplemental EIR, which would take much longer and be a more extensive process. The Council may also direct staff to study the process to consider increasing the FAR at the remaining PI sites, which would trail the effort of evaluating the BCHD site.

BCHD/Housing Element
At the October 1, 2024 public hearing, a question was raised by the City Council regarding the reference made about BCHD in the City’s Housing Element. Page 7 states that “the City has a history developing Assisted Living facilities. The City of Redondo Beach has an inventory of 156 assisted living units (total number of residents of 250), with up to an additional 150 units being considered by Beach Cities Health District, which would bring the total number to 400 assisted living units. Assisted living is permanent housing for most who live in this type of facility, offering the ability to remain in the community yet access the services associated with assisted living.” Staff has investigated the matter and determined that BCHD is not identified as a site needed to meet the RHNA. However, because it is recognized in the Housing Element, the City Council should be considerate of actions that would affect the viability of potentially constructing 150 assisted living units at the BCHD site or elsewhere.

Artesia and Aviation Height/Rooftop Dining
The Artesia and Aviation Corridor Area Plan (AACAP) was informed by a Citywide market study (2017) and an AACAP development feasibility study (2019). The feasibility study concluded that the shallow lot depths and high land values along Artesia Boulevard significantly limited near-term redevelopment of the AACAP area unless the development standards allowed for additional height, reduced setbacks, relaxed parking requirements, and increases in the allowable floor area ratio (FAR). In response to this recommendation, the City relaxed the parking standards and increased the FAR from .5 to .6. within the AACAP.

The proposed General Plan and Zoning Ordinance updates would further increase the FAR to 1.5.

The majority of Artesia Boulevard is located in the C-2 Zoning District and has a maximum allowed height of 30 feet and two stories. At this time, new changes are proposed to the maximum allowed building height, and number of stories, that coincide with the increased FAR. Staff recommends deferring this decision until design standards can be developed, which would account for on-site parking, and would protect the overall scale and character of Artesia Boulevard.

Figure 1 below depicts building size as a factor of FAR and site coverage allowances (note: the City does not have coverage standards, but does have setback requirements that have a similar effect). Page 4 of 7 L.1., File # 24-1685 Meeting Date: 10/15/2024
does not have coverage standards, but does have setback requirements that have a similar effect).

Based on this graphic, three-stories would most likely be the minimum needed to accommodate the

1.5 FAR. Staff intends to return with draft Zoning Code language that would include special design standards for three or more stories and would make the process discretionary and subject to a Conditional Use Permit. The EIR accounts for the 1.5 FAR increase and covers the associated increase to building height and number of stories.

Figure 1
The City Council has also expressed a desire, and included in its Strategic Plan, a goal to develop a process that would allow for rooftop dining along Artesia Boulevard. Staff proposes to develop draft Zoning Code amendments that would create and process standards for rooftop dining.

Historic Preservation
Goal LU-7 (Historic Preservation) of the Land Use Element includes several policies related to historic preservation (see Attachment 4). Policy LU-7.1 and Implementation Measure IM-LU-66 are shown below, with added language recommended by the Planning Commission (see underline). The Planning Commission recommendation strengthening the City’s ability to designate properties as historic resources.

Policy LU-7.1
“Encourage the voluntary designation of potentially historic resources as landmarks or historic districts. Strengthen the City’s objective identification of potentially historic buildings, resources,

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landmarks or historic districts in residential, commercial, public/institutional, and industrial zones.” IM-LU-66
Historic preservation ordinance. Update and periodically review the historic preservation ordinance to incorporate findings of the updated Historic Resources Survey. Develop the City processes and ordinances to objectively designate historic buildings, resources, landmarks, and historic districts.

Develop the City processes and ordinances required to protect and preserve historic buildings, resources, landmarks, and historic districts that have been designated as historic.

The Policy states to encourage voluntary designation, while the Implementation Measure, as modified by the Planning Commission, provides direction to develop a process or ordinance providing the City with more authority to non-voluntarily designate properties. Staff intends to place a standalone item on a future City Council meeting to discuss the pending historic survey and policies associated with historic designation. At this time, staff is seeking preliminary input on the Planning Commission’s policy recommendations. If the City Council wishes to develop a process for designating historic resources, then the language in the Implementation Measure should be incorporated into the Policy.

Value Capture Zoning
At the October 1, 2024 hearing, the City Council requested staff report back with information on value capture zoning. Value capture zoning is a tool used by governments to generate revenue and community benefit in exchange for increased zoning incentives for developers, such density, building height, parking reduction, etc. For example, the City of Buellton, CA, uses a system in which there is a limited “bank” of density allowance that may be sold to developers, within its downtown specific plan area, in exchange for amenities, community benefits, infrastructure, or a, in lieu fee payment.

The concept is that it would give the City more control over how density is allocated, while increasing its value to the properties receiving it. Furthermore, some of the added value gained by the property owner through zoning incentives could be captured by the City and re-distributed to the public.

The Value Capture Zoning strategy is primarily applied to housing density and associated developments. The City’s higher-density Affordable Housing Overlay (AHO) zones have already been designated by the Housing Element, with a February 2025 deadline for implementation. In staff’s opinion, there is not sufficient time to incorporate this as part of this General Plan/Zoning Ordinance update. However, it could be considered for a future update. The City Council may direct staff to coordinate a presentation by an outside expert to receive more information on this topic.

Planning Commission Transcript
At the October 1, 2024, the City Council requested a transcript of the September 19, 2024 Planning Commission meeting. Staff has contacted Granicus, as well as other transcription services, and is awaiting a quote for the requested service.

COORDINATION
The City Attorney’s Office was consulted on matters related to the implementation of the Housing Element including the Zoning Ordinance, Local Coastal Program Amendments, and the preparation of the Draft Environmental Impact Report.

FISCAL IMPACT
The total cost of the Agreement with PlaceWorks, and associated subconsultants, for the General

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The total cost of the Agreement with PlaceWorks, and associated subconsultants, for the General Plan, Zoning Ordinance, and Local Coastal Program Updates is $2,272,372. Except for the initial General Fund expenditure of $676,900, the costs to fund this work have been paid from the General Plan Maintenance Fund and Local Early Action Planning (LEAP) Grant reimbursement funds awarded by the State.

APPROVED BY:

Mike Witzansky, City Manager

ATTACHMENTS
· Map - October 2024 Proposed general Plan Land Use (Areas of Change) · Information - DEIR Link
· Table - Public Institutional (PI) FAR Analysis
· Summary - Land Use Element Goal LU-7-Historic Preservation

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