Agenda packet — Santa Cruz City Council, October 22, 2024 (part 2 of 3)

Section 3. Section 24.04.186 of Chapter 24.04 of the Santa Cruz Municipal Code regarding Appeals to Coastal Commission is hereby amended to read as follows:

24.04.186 APPEALS TO COASTAL COMMISSION.

1. Coastal permits fall into either of two categories: appealable or non-appealable to the Coastal Commission.

The determination of whether a project is appealable or non-appealable, or categorically exempt, shall be made by the zoning administrator at the time the application is filed. This

19.68 ORDINANCE NO. 2024-17
9 determination is appealable pursuant to the provision of California Coastal Commission Local Coastal Program Regulations Section 13569.

2. Coastal permits are only appealable after all city appeals are exhausted except for appeals by members of the Coastal Commission, who may appeal the permit directly to the California Coastal Commission. The following coastal permits have no local appeal process, and any appeal shall be made directly to the California Coastal Commission: coastal permits for small cell facilities in the public right-of-way and in the portion of the Coastal Zone Overlay zone district where city decisions can be appealed to the California Coastal Commission, and coastal permits for accessory dwelling units in the portion of the Coastal Zone Overlay zone district where decisions can be appealed to the California Coastal Commission. No fee shall be charged for coastal permit appeals.
a. Only the following coastal permit applications are appealable to the Coastal Commission:
(1) Any major public works project or facility. The phrase “major public works project or energy facility” is the same as used in Public Resources Code Section 30603(A)(5) and these regulations shall mean any proposed public works projects as defined by Coastal Commission Regulations Section 13012, or “energy facility” as defined by Public Resources Code Section 13012 of the Coastal Commission Regulations, or “energy facility” as defined by Public Resources Code Section 30107 and exceeding fifty thousand dollars in estimated cost of construction.
(2) Development approved between the sea and the first public road paralleling the sea or within three hundred feet of the inland extent of any beach or the mean high tide line of the sea where there is no beach, whichever is the greater distance. (3) Developments approved not included within subsection (2)(a)(2), located on tidelands, submerged lands, public trust lands, within one hundred feet of any wetland, estuary, stream, or within three hundred feet of the top of the seaward face of any coastal bluff. (a) Subsections (a)(2) and (a)(3) are shown as the SP-O Shoreline Protection Overlay zone on the zoning map.
(4) Developments approved that are located in a sensitive coastal resource area. b. An appeal may be filed only by the applicant, an aggrieved person as defined by this title, or any two members of the Coastal Commission. An appeal must be filed in accordance with the appeal procedures contained in this title, except that appeals by any two members of the Coastal Commission do not require exhaustion of local appeals and may be made following the decisions of the reviewing body, zoning administrator, zoning board or city council.

However, commissioner appeals taken prior to exhaustion of all local appeals shall be transmitted to the appropriate local appellate body and the appeal to the commission may be suspended pending a decision on the merits by that local appellate body. If the decision

19.69 ORDINANCE NO. 2024-17
10 of the local appellate body modifies or reverses the previous decision, the commissioners shall be required to file a new appeal from that decision. c. Grounds for appeal, pursuant to subsection (2)(a)(2), shall be limited to an allegation that the development does not conform to standards set forth in the certified Local Coastal Program or the Public Access Policies set forth in the California Coastal Act. d. The grounds for an appeal of a denial of a permit pursuant to subsection (2)(a)(1) shall be limited to an allegation that the development conforms to the standards set forth in the certified Local Coastal Program and the public access policies set forth in the California Coastal Act.
e. Appeals to the Coastal Commission pursuant to this section must be filed with the Coastal Commission on forms prescribed by and available from the Coastal Commission.

Section 4. Section 24.08.440 of Chapter 24.08 of the Santa Cruz Municipal Code regarding Standards for Substandard Residential Lot Development is hereby amended to read as follows:

24.08.440 STANDARDS FOR SUBSTANDARD RESIDENTIAL LOT DEVELOPMENT Whenever a project associated with a single-family residential use is proposed for a substandard residential lot, as defined in Section 24.22.520, applications for design review shall be approved if the findings set forth in Section 24.08.430 can be made and proposed buildings, structures, landscaping and other components of the site plan conform to the following additional criteria:

1. The maximum allowable lot coverage for structures shall be forty-five percent, except that lot coverage shall be waived to the extent that it physically precludes the construction of an accessory dwelling unit up to eight hundred square feet in floor area. The lot coverage of an accessory dwelling unit shall not be included in the calculation of all other structures’ maximum allowable lot coverage. Lot coverage shall include the footprints of the first floor, garage and other accessory buildings (attached and detached), decks and porches (greater than thirty inches in height and not cantilevered), and any second-story cantilevered projection (enclosed or open) beyond two and one-half feet. Decks under thirty inches in height or fully cantilevered with no vertical support posts do not count toward lot coverage for this purpose.

Second-story enclosed cantilevered areas that project less than thirty inches from the building wall do not count toward lot coverage. For such areas that project more than thirty inches from the building wall, only the floor area that projects more than thirty inches shall be counted toward lot coverage.

2. The floor area of a building’s second story shall be limited to one hundred percent of the floor area of the building’s first floor if the floor area of the building’s first story constitutes thirty percent or less of the net lot area.

3. The floor area of a building’s second story shall not exceed fifty percent of the floor area of the building’s first story if the building’s first story has greater than thirty percent lot coverage up to a maximum of forty-five percent lot coverage.

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11 4. The floor area of a building’s second story shall be limited to fifty percent of forty-five percent lot coverage if the building’s first story has greater than forty-five percent lot coverage.

5. New structures shall be consistent with the scale of structures on adjacent lots and generally be compatible with existing surrounding structures.

6. New structures shall be sited in ways which avoid causing substantial change in the pattern of existing building projections along streets. Continuous long, parallel abutting walls on narrow side yards shall be avoided.

7. Spacing of buildings and overall siting of structures shall maximize the potential for solar access to each lot.

8. Landscaping shall be required at least for front yard areas and shall be used to screen parking from street.

9. Structures shall incorporate methods to lessen the impact of garages on a street facade.

Section 5. Section 24.08.450 of Chapter 24.08 of the Santa Cruz Municipal Code regarding Guidelines for Large Homes in Single-Family Areas is hereby amended to read as follows:

24.08.450 GUIDELINES FOR LARGE HOMES IN SINGLE-FAMILY AREAS.

1. Purpose. The intent of the design permit findings for large-scale residential buildings is to protect existing neighborhood character and identity by development guidelines that promote a variable streetscape by requiring a variety of building massing and placements, and also by maintaining existing neighborhood patterns to limit obtrusive visual impacts on nearby properties.

2. Determination of Large Home. Single-family homes over four thousand square feet in R-1-10 zoning districts, three thousand five hundred square feet in R-1-7 zoning districts, and three thousand square feet in R-1-5 zoning districts are considered “large homes.” The square footage of the home shall be calculated based on the gross square footage of the main structure, including any attached and detached garages or other accessory structures, not including accessory dwelling units. For properties with detached garages in the rear one-half of the lot, a credit shall be given for the size of the garage up to four hundred twenty square feet, which shall not be counted toward the square footage of the home. Detached garage square footage over four hundred twenty square feet shall be included in the square footage of the home. The square footage of a junior accessory dwelling unit shall be counted as part of the home. The square footage of accessory dwelling units shall not be counted as part of the home.

3. Application Requirements. In addition to the standard requirements of the R-1 district, a survey of buildings within one hundred feet of the property on both sides of the street, which identifies front and side yard setbacks, building floor area, building heights, driveway widths, garage locations, and architectural style shall be submitted with the project application.

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12 4. Design Criteria. There is no particular architectural “style” required for residential structures, but the focus should be on the development of a high quality residential environment. In general, the architecture should consider compatibility with surrounding character, including harmonious building style, form, size, color, material, and roofline. Individual dwelling units should be distinguishable from one another. Also projects should comply with design standards established in relevant specific area plans such as the Western Drive Master Plan, Seabright Area Plan and the Moore Creek Access and Management Plan and others that apply. a. Facade and Roof Articulation. The articulation of facades and the massing of structures give them richness and scale. Long uninterrupted exterior walls shall be avoided on all structures. All structure walls shall have “relief” to create an interesting blend with landscaping, structures, and the casting of shadows. The integration of varied texture, relief, and design accents on building walls can enhance the architecture.

For sloped roofs, both vertical and horizontal articulation is encouraged. Roof lines should be representative of the design and scale of the units under them. Roof articulation may be achieved by changes in plane of no less than two feet six inches and/or the use of traditional roof forms such as gables, hips, and dormers. Flat roofs and A-frame type roofs are discouraged unless appropriate to the architectural style. b. Varied Structure Design.
(1) Design of structures shall be varied in tract developments to create variety and interest.

A significant difference in the massing and composition (not just finish materials) of each adjacent house should be accomplished. One design shall not be repeated more frequently than each fourth house.
(2) New development in existing neighborhoods should incorporate distinctive architectural characteristics of surrounding development, for example: window and door detailing, decoration, materials, roof style and pitch, building height, finishedfloor height, porches, bay windows, and the like. c. Scale.
(1) Form and scale should relate to the use of the structure as a single-family residence.

Also, the scale of structures shall be at a human scale so as not to overwhelm or dominate their surroundings. New structures shall be consistent with the scale of structures on adjacent lots and generally be compatible with existing surrounding structures.

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13 (2) New development should continue the functional site relationships of the surrounding neighborhoods. As an example, common patterns found in the surrounding neighborhoods should be repeated, such as single-story dwellings, entries facing the street, front porches and parking at the rear.
d. Setbacks.
(1) New projects shall provide variable front setbacks, with a minimum of five-foot differentiation provided between adjacent lots.
(2) New single-family development in existing neighborhoods shall be integrated with the housing units in the adjacent area. Site setbacks of infill residential projects shall be either:
(a) Equal to the average setback of all residences on both sides of public streets within one hundred feet of the property lines of the new project; or (b) Equal to the average of the two immediately adjacent residences.

In cases where averaging between two adjacent existing residences is chosen, the new residence may be averaged in a stepping pattern between the setbacks of adjacent residences, or the new residence’s entire frontage may be built on the average setback line. e. Garages.
(1) Unit design is encouraged to limit the visual impact of automobile parking by developing detached garages in the rear yard or significantly limiting the garage’s lineal frontage of a structure to forty percent of the structure’s overall width. (2) Garages should have a single-story mass if developed at the front of a structure and provide an architectural transition if there is two-story massing.

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14 f. Grading.
(1) Development should relate to the natural land forms and surroundings and minimize grading by following the natural contours as much as possible. Graded slopes should be rounded and contoured to blend with the existing terrain. Structures built on slopes or hills should be sensitively designed to minimize visual impact by stepping structures to match topography.
(2) Significant natural vegetation should be retained and incorporated into the project whenever possible. Landscaping shall be required for the front yard areas.

Section 6. Section 24.08.810(a) of Chapter 24.08 of the Santa Cruz Municipal Code regarding Procedure for Slope Development Permit (Applies In the Coastal Zone) is hereby amended to read as follows:

24.08.810(a) PROCEDURE.

Projects requiring an exception to slope standards established by Section 24.14.030(a) must apply for a slope modification permit except for approval of a statewide exemption accessory dwelling unit that waives the distance from slope standard pursuant to Section 24.16.141.11. This permit may be granted by the zoning administrator without a hearing if the project is no closer than ten feet from the top edge of a thirty percent slope and is consistent with the findings in Section

24.08.820(a), unless the slope modification permit is accompanied by an application which must be heard by a higher body. Should a project be closer than ten feet to a thirty percent slope, then it must be considered at a public hearing by the zoning board as a variance which must also be consistent with the findings in Section 24.08.820(a).

Section 7. Section 24.08.820(a) of Chapter 24.08 of the Santa Cruz Municipal Code regarding Findings Required for Slope Development Permit (Applies in the Coastal Zone) is hereby amended to read as follows:

24.08.820(a) FINDINGS REQUIRED
A slope modification permit may be granted when all of the following applicable conditions are found:

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15 1. Measures have been included within the design of the project to mitigate impacts on environmental constraint areas identified in the Environmental Quality Element of the General Plan and the Local Coastal Program.

2. Landscaping of an appropriate type, size and quality is proposed to mitigate any adverse environmental effect.

3. Usable open space is proposed in an amount equal to that normally required.

4. To conform with existing land forms and topography, streets, buildings, and other man-made structures have been designed by a registered civil engineer or other qualified professional.

5. Adequate fire safety measures as required by the city fire department have been incorporated into the design of the proposed development, when located in a designated fire hazard area.

6. The proposed project employs architectural and design elements which in total serve to reduce the mass and bulk of structures. Such elements may include:
a. Multiple floor levels which follow natural slopes;
b. Multiple roof lines;
c. Decks and balconies;
d. Foundation types such as poles, piles, or stepped levels which minimize cut and fill and need for retaining walls;
e. Fence lines, walls, and other features which blend with the terrain rather than strike off at an angle against it.

7. If a project proposed for construction is in a designated landslide area, before granting a modification to Section 24.14.030(a)(1)(d), findings must be made that mitigation measures necessary to fulfill the purpose of this part have been incorporated into project design, based on the project’s environmental review.

Section 8. Section 24.08.2140 of Chapter 24.08 of the Santa Cruz Municipal Code regarding Exemptions from Watercourse Development Permit is hereby amended to read as follows:

24.08.2140 EXEMPTIONS.

Certain types of projects that clearly would not impact riparian resources and support the goals of the City-Wide Creeks and Wetlands Management Plan are exempted from the watercourse development permit requirements (in the coastal zone, the following list of projects are exempt only if the criteria of Section 24.08.230.1 regarding coastal permit exemptions are met). Such projects should incorporate applicable best management practices in the project design. In

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16 situations where it is unclear whether a project is eligible for an exemption under this section, the determination would be made by the zoning administrator in accordance with the goals of the CityWide Creeks and Wetlands Management Plan. The following projects are eligible for an exemption:

1. Development and structural improvements to include the following:
a. Any development on parcels that have been identified within a Category “C” watercourse in the City-Wide Creeks and Wetlands Management Plan.
b. Development projects within a Category “B” watercourse located outside of the designated riparian corridor and development setback area (in the remaining management area). c. Any development adjacent to a closed culverted section of a watercourse. d. Any development on a parcel that either:
i. Has an established road right-of-way between the subject parcel and the watercourse (where the development would occur); or
ii. Has a separate parcel with legal development that is located between the subject parcel and the watercourse (where the development would occur). e. Interior remodeling of an existing legal structure within the existing structure footprint. f. Repair and maintenance of existing legal structures. g. Demolition of existing structures outside the riparian corridor, in accordance with city demolition regulations; provided, that no mechanized machinery is utilized and no disturbance occurs within the riparian corridor.
h. Reconstruction of a damaged nonconforming structure where nonconformance only relates to watercourse setbacks, provided applicable watercourse development standards are implemented.

2. Exterior improvements, to include the following:
a. Exterior treatments such as painting, roofing, surface treatments, window replacement, etc., that do not increase the density or intensity of land use, or increase surface coverage. b. Exterior safety lighting in the development setback area such as low-level walkway lighting, motion detector security lighting, driveway lighting, and entry lighting that is hooded and directed downward, away from the watercourse. Lighting shall be prohibited within the designated riparian corridor.

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17 c. Open-style fencing (e.g., wire strand or split rail) that permits the free passage of wildlife limited to the outer edge of the riparian corridor. Fencing must otherwise meet the regulations in Section 24.12.160.
d. Installation of pervious surfaces (outside of the riparian corridor), including at-grade decks, patios, and walkways, when the total square footage is less than twenty-five percent of the development setback area; provided, that the pervious surfaces meet those requirements specified in the Watercourse Development Standards. The total percentage allowed includes both existing and new surfaces.

3. Landscaping and vegetation, to include the following:
a. Landscaping with non-native vegetation using noninvasive species, within the development setback area, as recommended in the City-Wide Creeks and Wetlands Management Plan.
b. Minor vegetation removal as defined in Section 24.08.2110, except for mature eucalyptus trees in known monarch butterfly habitat areas.
c. Thinning of riparian vegetation within a flood or high fire hazard area, except for mature eucalyptus trees in known monarch butterfly habitat areas, when required by the fire department for public safety with review and approval of a fire-vegetation management plan or when required by the public works department for flood protection maintenance with review and approval of a maintenance plan.
d. Removal of tree(s) that are hazardous or likely to have an adverse effect upon the structural integrity of a building, utility, or public right-of-way, or a tree that has the physical condition of health such as disease or infestation which warrants alteration or removal, in accordance with Chapter 9.56 of this code and with a plan prepared by a qualified professional.
e. Removal of impervious surfaces outside of the riparian corridor. f. Mowing and grazing on public lands (outside of the riparian corridor in the Coastal Zone), consistent with an adopted parks or fire management plan.

4. Roads, public facilities and utilities, to include the following:
a. Road maintenance of existing legal public roads, private roads and driveways (no expansion or improvements).
b. Construction of public trails and bridges on public lands, consistent with an adopted parks master plan or management plan, including the location and siting of trails and bridges. c. Installation and improvements to non-structural BMPs within the development setback area.

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18 d. Repair, maintenance, or minor alteration of existing public utility, drainage, flood control, and water storage and provision facilities, including pumps and other appurtenant structures where there is no or negligible expansion of use.

5. Other projects, to include the following:
a. Projects that concurrently are reviewed and approved by another authorizing permitting agency (CDFG, NOAA, USFWS or ACOE) for maintenance, flood protection, restoration or enhancement of a natural resource where the regulatory process involves procedures for protection of the environment, provided proof of permit approval is submitted to the planning director.
b. Removal of fish passage barriers and installation of in-stream aquatic habitat enhancement structures, in accordance with a plan for said activities prepared by a qualified professional and approved by the planning director.
c. Interpretative signage designed to provide information about the value and protection of the resource that is limited to the outer edge of the riparian corridor, and must meet other city sign regulations.
d. Installation of new and maintenance of existing water flow gauges. e. Water quality testing.
f. Continued operation and maintenance of existing cemetery plots.

6. A statewide exemption accessory dwelling unit, as defined in Section 24.16.125.9, that is approved with a waiver of the required distance from a watercourse or wetland as described in Section 24.16.141.11. Despite the statement in section 24.08.2140 that exemptions do not apply to projects that are not exempt from coastal permit requirements, in the coastal zone, this exemption applies even if the statewide exemption accessory dwelling unit requires approval of a coastal permit; however, in this case, the statewide exemption accessory dwelling unit shall be consistent with the development standards of the Citywide Creeks and Wetlands Management Plan to the extent that it shall not be required to be moved.

Section 9. Section 24.08.2200 of Chapter 24.08 of the Santa Cruz Municipal Code regarding Purpose of Watercourse Variance is hereby amended to read as follows:

24.08.2200 PURPOSE.

The purpose of this part is to allow variation from the watercourse setbacks or development standards as outlined in Sections 24.08.2130 and 24.08.2180. A watercourse variance shall not be required for a statewide exemption accessory dwelling unit approved with a waiver of a watercourse setback pursuant to Section 24.16.141.11.

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19 Section 10. Section 24.10.250 of Chapter 24.10 of the Santa Cruz Municipal Code regarding District Regulations for the R-S Residential Suburban District is hereby amended to read as follows:

24.10.250 DISTRICT REGULATIONS.

1. General.

Classification or Type of Use
Provision Single-Family Residential
RS-10A RS-5A RS-2A RS-1A
a. Height of Buildings
(Maximum)
• Principal: (stories and feet) 2 & 30 2 & 30 2 & 30 2 & 30 • Accessory: (stories and feet) 1 & 20 1 & 20 1 & 20 1 & 20 b. Lot area (acre) 10 acres 5 acres 2 acres 1 acre
c. Lot width (feet) 250 200 150 100
d. Front yard (feet) 40* 40* 40* 40*
e. Rear yard (feet) 30 30 30 30
f. Side yards (feet) 25 20* 20* 15*
* For any attached or detached garage or carport with doors or entrances fronting on a front or exterior side property line, the setback shall be a minimum of twenty feet from said property line or the setback required for the district, whichever is greater.

2. Dwellings per Lot. Unless otherwise provided, there shall be only one dwelling per lot.

3. Design Guidelines. Development guidelines adopted by the city shall be used as applicable to provide site design standards to augment the general district regulations in the development of property in this district.

4. The minimum distance between buildings on the same lot shall be ten feet between main buildings; six feet between main buildings and accessory buildings; and six feet between accessory buildings; and the distance between accessory dwelling units and other buildings shall be consistent with standards set forth in Chapter 24.16, Part 2.

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20 Section 11. Section 24.10.350 of Chapter 24.10 of the Santa Cruz Municipal Code regarding District Regulations for the R-1 Single Family Residence District is hereby amended to read as follows:

24.10.350 DISTRICT REGULATIONS.

1. General.

Classification or Type of Use
Single-Family Residential
Provision R-1-10 R-1-7 R-1-5
a. Height of Buildings (Maximum)
• Principal: (stories and feet) 2 1/2 & 30 2 1/2 & 30 2 1/2 & 30 • Accessory: (stories and feet) 1 & 15 1 & 15 1 & 15
• Single-story structure 1 & 19 N/A N/A
b. Minimum lot area (net) (square
feet)
10,000 7,000 5,000
c. Minimum lot width (feet) 70 70 50
d. Front yard (feet) 25* 20* 20*
e. Rear yard (feet) 30 25 20
f. One side yard (feet) 10 7* 5*
g. Both side yards – total
• Interior lot (feet) 20 14 10
• Exterior lot (feet) 22 16 13
h. Exterior side yard or end (feet) 12* 9* 8*
i. Maximum building area without
design permit
4,000 (See Section 24.08.450
for findings)
3,500 3,000
* For any attached or detached garage or carport with doors or entrances fronting on a front or exterior side property line, the setback shall be a minimum of twenty feet from said property line or the setback required for the district, whichever is greater.

2. Dwellings per Lot. Unless otherwise provided, there shall be only one dwelling per lot.

3. The minimum distance between buildings on the same lot shall be ten feet between main buildings; six feet between main buildings and accessory buildings; six feet between accessory buildings; and the distance between accessory dwelling units and other buildings shall be consistent with standards set forth in Chapter 24.16, Part 2.

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21 4. Other Requirements. Other regulations which may be applicable to site design in this zone are set forth in General Site Design Standards, Chapter 24.12, Part 2, and Chapter 24.16, Part 2, Accessory Dwelling Units.

Section 12. Section 24.10.430 of Chapter 24.10 of the Santa Cruz Municipal Code regarding Use Permit Requirement for the R-L Multiple Residence – Low-Density District is hereby amended to read as follows:

24.10.430 USE PERMIT REQUIREMENT.

1. The following uses are subject to approval of an administrative use permit and may also require a design permit per Section 24.08.410:
a. Accessory buildings containing plumbing fixtures subject to the provisions of Section

24.12.140.
b. Temporary structures and uses.
c. Wireless telecommunications facilities, subject to the regulations in Chapter 24.12, Part

15. 2. The following uses are subject to approval of a special use permit and may also require a design permit per Section 24.08.410:
a. Bed-and-breakfast inns, subject to requirements in Chapter 24.12, Part 9. b. Community care facilities including daycare (except family daycare homes), retirement home, foster home, and nursing home (seven or more persons). c. Dormitories, fraternity/sorority residence halls, boardinghouses. d. Health facilities for inpatient and outpatient psychiatric care and treatment. e. Off-street parking facilities accessory to a contiguous commercial property not to exceed one hundred feet from the boundary of the site it is intended to serve. f. Noncommercial recreation areas, buildings, and facilities such as parks, country clubs, golf courses, and riding, swimming and tennis clubs.
g. Educational, religious, cultural, public utility or public service buildings and uses; but not including corporation yards, storage or repair yards, and warehouses. h. Social halls, lodges, fraternal organizations, and clubs, except those operated for a profit.

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22 Section 13. Section 24.10.450 of Chapter 24.10 of the Santa Cruz Municipal Code regarding District Regulations for the R-L Multiple Residence – Low-Density District is hereby amended to read as follows:

24.10.450 DISTRICT REGULATIONS.

1. General.

Dwelling Unit Type
Provision Single-Family
Detached 2 or More Units
a. Maximum height of buildings
• Principal (feet) 30 30
• Accessory (stories and feet) 1 and 15 1 and 15
b. Minimum lot area (net) (square feet) 5,000 5,500
c. Minimum lot area per dwelling unit
(net) (square feet)
2,200 (1,600 sq. ft. for 1-
bedroom/studios)
d. Minimum lot width (feet) 50 50
e. Usable open space per dwelling unit
(square feet)
– 400

2. Setback Requirements.
a. The minimum front yard setback shall be fifteen feet except that the front yard may be reduced to not less than ten feet for a portion not to exceed fifty percent of the building frontage, and providing that a total of fifteen square feet of front yard is provided for each lineal foot of total lot frontage.
b. The minimum rear yard setback shall be ten feet.
c. The minimum side yard setback shall be five feet, and five additional feet of setback for each story above the second story.

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23 (1) There shall be no side yard required for townhouses on interior lots, except there shall be a minimum side yard setback at the interior end of a townhouse group of five feet, or one foot of setback for each three feet of height, or portion thereof, of a structure, whichever is greater.
(2) The minimum exterior side yard setback shall be eight feet, and five additional feet of setback for each additional story above the second story. d. For any attached or detached garage or carport fronting on a front or exterior side property line, the setback shall be twenty feet from said property line. e. Minimum Distance Between Buildings on the Same Lot. Between main buildings, six feet or one foot of setback for each two feet of height of the tallest building, or portions thereof, whichever is greater; between main buildings and accessory buildings, six feet; between accessory buildings, six feet; distance between accessory dwelling units and other buildings shall be consistent with standards set forth in Chapter 24.16, Part 2. f. An existing accessory building built prior to July 1, 2014, with a valid building permit or which is a legal nonconforming structure, that has less than the required side or rear yard setback(s) may be converted into a dwelling unit to create a second unit or duplex on a property if all the requirements of the California Building Standards Code are met as well as the other development standards of the zoning district. The floor area for said second unit shall not exceed ten percent of the net lot area up to a maximum of eight hundred square feet. If additional units are allowed on the property, all such units shall meet development standards of the zoning district.

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24 3. Other Requirements. Other regulations which may be applicable to site design in this zone are set forth in General Site Design Standards, Chapter 24.12, Part 2, and Chapter 24.16, Part 2, Accessory Dwelling Units.

4. All new development adjacent to a “CON – Neighborhood Conservation District” Overlay Zone shall comply with Section 24.10.4060 standards for new construction on sites abutting overlay district boundaries, to ensure compatibility with the established district.

Section 14. Section 24.10.550 of Chapter 24.10 of the Santa Cruz Municipal Code regarding District Regulations for the R-M Multiple Residence – Medium-Density District is hereby amended to read as follows:

24.10.550 DISTRICT REGULATIONS.

1. General.

Dwelling Type Provision
Duplex 3 or More Units
Maximum Height of
Buildings
Principal (feet) 30 35
Accessory (stories and
feet)
1 and 15 1 and 15
Minimum lot area (net)
(square feet)
4,400 5,500
Minimum lot area (net)
per dwelling unit
(square feet)
2,200 1,450 (1,100 sq. ft. for 1-bedroom/studios)
Minimum lot width
(feet)
50 65
Usable open space per – 400
dwelling unit (square
feet) 200 (1-bedroom/studios)*
* Open space shall be attached or aggregated in a manner that provides usable open space for all units exclusive of setbacks and other small landscape areas less than 10 feet in width.
** Existing lots of 5,500 square feet or greater with a minimum lot width of 50 feet may have 3 or more units if all other RM development standards can be met.

2. Setback Requirements.

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25 a. The minimum front yard setback shall be fifteen feet, except that the front yard may be reduced to not less than six feet for a portion not to exceed fifty percent of the building frontage, providing that a total of ten square feet of front yard is provided for each lineal foot of total lot frontage. Such reduction of front yard depth shall not be permitted on a corner lot, within twelve feet of any side street lot line. b. The minimum rear setback shall be ten feet, and five additional feet of setback for each story above the second story.
c. The minimum side yard setback shall be five feet, and five additional feet of setback for each story above the second story.
d. There shall be no side yard required for townhouses, or interior lots, except there shall be a minimum side yard setback at the interior end of a townhouse group of five feet, or one foot of setback for each three feet of height, or portion thereof, of a structure, whichever is greater.
e. The minimum exterior side yard setback shall be eight feet, and five additional feet of setback for each additional story above the second story. f. Minimum Distance Between Buildings on the Same Lot. Between main buildings, six feet or one foot of setback for each two feet of height of the tallest building, or portions thereof, whichever is greater; between main buildings and accessory buildings, six feet; between accessory buildings, six feet; distance between accessory dwelling units and other buildings shall be consistent with standards set forth in Chapter 24.16, Part 2. g. For any attached or detached garage or carport fronting on a front or exterior side property line, the setback shall be twenty feet from said property line.

19.85 ORDINANCE NO. 2024-17
26 h. An existing accessory building built prior to July 1, 2014, with a valid building permit or which is a legal nonconforming structure, that has less than the required side or rear yard setback(s) may be converted into a dwelling unit to create a second unit or duplex on a property if all the requirements of the California Building Standards Code are met as well as the other development standards of the zoning district. The floor area for said second unit shall not exceed ten percent of the net lot area up to a maximum of eight hundred square feet. If additional units are allowed on the property, all such units shall meet development standards of the zoning district.

3. Other Requirements. Other regulations which may be applicable to site design in this zone are set forth in General Site Design Standards, Part 2, Chapter 24.12.

Section 15. Section 24.10.585 of Chapter 24.10 of the Santa Cruz Municipal Code regarding District Regulations for the R-H Multiple Residence – High-Density District is hereby amended to read as follows:

24.10.585 DISTRICT REGULATIONS.

1. General.

Dwelling Unit Type Provision
Duplex 3 or More Units
a. Maximum height of buildings
• Principal (feet) 30 48
• Accessory (stories and feet) 1 and 15 1 and 15
b. Minimum lot area (net) (sq. ft.) 4,000 5,000
c. Minimum lot area per dwelling unit (net) (sq.
ft.)
2,000 790
d. Minimum lot width (feet) 50 50
e. Usable open space per dwelling unit (sq. ft.) – 250
f. Lot coverage 45% 70%

19.86 ORDINANCE NO. 2024-17
27 lineal foot of total lot frontage. Such reduction of front yard depth shall not be permitted on a corner lot, within twelve feet of any side street lot line. Setback requirements may not be reduced for those portions of buildings that are three stories or taller. b. The minimum rear setback shall be ten feet, or one foot of setback for each three feet of height, or portion thereof, of structure, whichever is greater. c. The minimum side yard setback shall be five feet, or one foot of setback for each three feet of height, or portion thereof, of structure, whichever is greater. d. Where a parcel abuts a public right-of-way on opposite sides of the parcel, the front yard setback requirements shall apply to the major street and the rear yard setbacks shall apply to the secondary street; however, in the case of the rear yard setback, the setback shall not be less than the average of the two adjacent lots.
e. The minimum exterior side yard setback shall be eight feet, or one foot of setback for each three feet of height, or portion thereof, of a structure, whichever is greater. f. Minimum Distance Between Buildings on the Same Lot. Between main buildings, six feet or one foot of setback for each two feet of height of the tallest building, or portions thereof, whichever is greater; between main buildings and accessory buildings, six feet; between accessory buildings, six feet; distance between accessory dwelling units and other buildings shall be consistent with standards set forth in Chapter 24.16, Part 2. g. For any attached or detached garage or carport fronting on a front or exterior side property line, the setback shall be twenty feet from said property line. h. To preserve the view to Beach Hill down Front Street, the height of the first twenty-five feet of depth along Front Street shall be limited to twenty-four feet.

3. Design.
a. The site and building design shall conform to the General Site Design Standards, Part 2, Chapter 24.12, design guidelines of any applicable area plan, and Section 24.12.185, Objective design standards for multifamily development.

19.87 ORDINANCE NO. 2024-17
28 Section 16. Section 24.10.608 of Chapter 24.10 of the Santa Cruz Municipal Code regarding District Regulations for the R-T(A) Subdistrict A – Medium-Density Residential is hereby amended to read as follows:

24.10.608 DISTRICT REGULATIONS.

1. General.

Dwelling Unit Type
Provision 1-Family
Detached Duplex 3 or More Units
Other
Uses
a. Maximum height of buildings
• Principal buildings (feet) 30 30 36 36
• Accessory buildings (feet) 15 15 15 15
b. Minimum lot area (net) (square feet) 5,000 5,000 8,000 8,000 c. Minimum lot area (net) per dwelling unit
(square feet)
5,000 2,500 1,450 –
d. Minimum lot width (feet) 50 50 65 65
e. Usable open space per dwelling unit
(square feet)
– – 400 –

2. Setback Requirements.
a. The minimum front yard setback shall be fifteen feet or one foot of setback for each three feet of height, or portion thereof, of a structure, whichever is greater, except that the front yard may be reduced to not less than six feet for a portion not to exceed fifty percent of the building frontage, providing that a total of ten square feet of front yard is provided for each lineal foot of total lot frontage. Such reduction of front yard depth shall not be permitted on a corner lot, within twelve feet of any side street lot line. b. The minimum rear setback shall be ten feet, or one foot of setback for each three feet of height, or portion thereof, of structure, whichever is greater. c. The minimum side yard setback shall be five feet for the first story and one foot of setback for each three feet of height, or portion thereof, of structure, whichever is greater for the second story and above.
d. There shall be no side yard required for townhouses or interior lots except there shall be a minimum side yard setback at the interior end of a townhouse group of five feet or one foot of setback for each three feet of height, or portion thereof, of a structure, whichever is greater.

19.88 ORDINANCE NO. 2024-17
29 e. The minimum exterior side yard setback shall be eight feet, or one foot of setback for each three feet of height, or portion thereof, of a structure, whichever is greater. f. Minimum Distance Between Buildings on the Same Lot. Between main buildings, six feet or one foot of setback for each two feet of height of the tallest building, or portion thereof, whichever is greater; between main buildings and one-story accessory buildings, six feet; between accessory buildings, six feet; distance between accessory dwelling units and other buildings shall be consistent with standards set forth in Chapter 24.16, Part 2. g. For any attached garage or carport fronting on a front or exterior side property line, the setback shall be twenty feet from said property line.

3. Other Requirements. Other regulations which may be applicable to site design in this zone are set forth in General Site Design Standards, Chapter 24.12, Part 2, Chapter 24.16, Part 2, Accessory Dwelling Units, and the Design Guidelines of the Beach and South of Laurel Comprehensive Area Plan.

Section 17. Section 24.10.616 of Chapter 24.10 of the Santa Cruz Municipal Code regarding District Regulations for the R-T(B) Subdistrict B – Motel Residential is hereby amended to read as follows:

24.10.616 DISTRICT REGULATIONS

1. General.

Dwelling Unit Type Medium Density
Residential Provision 1-Family
Detached Duplex 3 or More Units
Other
Uses
a. Maximum height of buildings
• Principal buildings (feet) 30 30 36 36
• Accessory buildings (feet) 15 15 15 15
b. Minimum lot area (net) (square feet) 5,000 5,000 8,000 8,000 c. Minimum lot area (net) per dwelling unit
(square feet)
5,000 2,500 1,450 –
d. Minimum lot width (feet) 50 50 65 65
e. Usable open space per dwelling unit
(square feet)
– – 400 –

19.89 ORDINANCE NO. 2024-17
30 2. Setback Requirements.
a. The minimum front yard setback shall be fifteen feet or one foot of setback for each three feet of height, or portion thereof, of a structure, whichever is greater; except that the front yard may be reduced to not less than six feet for a portion not to exceed fifty percent of the building frontage, providing that a total of ten square feet of front yard is provided for each lineal foot of total lot frontage. Such reduction of front yard depth shall not be permitted on a corner lot, within twelve feet of any side street lot line. b. The minimum rear setback shall be ten feet, or one foot of setback for each three feet of height, or portion thereof, of a structure, whichever is greater. c. The minimum side yard setback shall be five feet for the first story and one foot of setback for each three feet of height, or portion thereof, of structure for the second story and above. d. There shall be no side yard required for townhouses on interior lots except there shall be a minimum side yard setback at the interior end of a townhouse group of five feet or one foot of setback for each three feet of height, or portion thereof, of a structure, whichever is greater.
e. The minimum exterior side yard setback shall be eight feet, or one foot of setback for each three feet of height, or portion thereof, of a structure, whichever is greater. f. Minimum Distance Between Buildings on the Same Lot. Between main buildings, six feet or one foot of setback for each two feet of height of the tallest building, or portion thereof, whichever is greater; between main buildings and one-story accessory buildings, six feet; between accessory buildings, six feet; distance between accessory dwelling units and other buildings shall be consistent with standards set forth in Chapter 24.16, Part 2. g. For any attached or detached garage or carport fronting on a front or exterior side property line, the setback shall be twenty feet from said property line.

3. Other Requirements. Other regulations which may be applicable to site design in this zone are set forth in General Site Design Standards, Chapter 24.12, Part 2, and the Design Guidelines of the Beach and South of Laurel Comprehensive Area Plan.

19.90 ORDINANCE NO. 2024-17
31 Section 18. Section 24.10.617.3 of Chapter 24.10 of the Santa Cruz Municipal Code regarding District Regulations for the R-T(B)/PER – Motel Residential Performance Overlay is hereby amended to read as follows:

24.10.617.3 DISTRICT REGULATIONS.

1. General.

2. Setback Requirements.
a. The minimum front yard setback shall be fifteen feet or one foot of setback for each three feet of height, or portion thereof, of a structure, whichever is greater; except that the front yard may be reduced to not less than six feet for a portion not to exceed fifty percent of the building frontage, providing that a total of ten square feet of front yard is provided for each lineal foot of total lot frontage. Such reduction of front yard depth shall not be permitted on a corner lot, within twelve feet of any side street lot line. b. The minimum rear setback shall be ten feet, or one foot of setback for each three feet of height, or portion thereof, of a structure, whichever is greater. c. The minimum side yard setback shall be five feet for the first story and one foot of setback for each three feet of height, or portion thereof, of structure, whichever is greater, for the second story and above.
d. There shall be no side yard required for townhouses on interior lots except there shall be a minimum side yard setback at the interior end of a townhouse group of five feet or one foot of setback for each three feet of height, or portion thereof, of a structure, whichever is greater.

19.91 ORDINANCE NO. 2024-17
32 e. The minimum exterior side yard setback shall be eight feet, or one foot of setback for each three feet of height, or portion thereof, of a structure, whichever is greater. f. Minimum Distance Between Buildings on the Same Lot. Between main buildings, six feet or one foot of setback for each two feet of height of the tallest building, or portion thereof, whichever is greater; between main buildings and one-story accessory buildings, six feet; between accessory buildings, six feet; distance between accessory dwelling units and other buildings shall be consistent with standards set forth in Chapter 24.16, Part 2. g. For any attached or detached garage or carport fronting on a front or exterior side property line, the setback shall be twenty feet from said property line.

3. Other Requirements. Other regulations which may be applicable to site design in this zone are set forth in General Site Design Standards, Part 2, Chapter 24.12, and the Design Guidelines of the Beach and South of Laurel Comprehensive Area Plan. In addition, development on sites located within the district which fronts on West Cliff Drive shall conform to design standards governing development on West Cliff.

4. Siting.
a. Development shall be designed to create plazas and pedestrian spaces featuring amenities such as shade, benches, outdoor dining, fountains, gardens and performance spaces. b. Building facades shall be articulated with wall offsets, recesses openings ornamentation, and appropriate colors and materials to add texture and detail to the streetscape. c. Any third story element of residential or support development shall be stepped back from the two story element by at least fifteen feet, from the property lines at the streets. d. Buildings design shall be encouraged to include significant building modulation and roof form articulation as specified within the design guidelines. e. All required front setback areas shall be landscaped in accordance with the standards or the design guidelines.

5. All new development adjacent to a “CON – Neighborhood Conservation District” overlay zone shall comply with Section 24.10.4060 standards for new construction on sites abutting overlay district boundaries, to ensure compatibility with the established district.

19.92 ORDINANCE NO. 2024-17
33 Section 19. Section 24.10.632 of Chapter 24.10 of the Santa Cruz Municipal Code regarding District Regulations for the R-T(D) Subdistrict D – Beach Residential is hereby amended to read as follows:

24.10.632 DISTRICT REGULATIONS.

1. General.

Dwelling Unit Type
Provision 1-Family
Detached Duplex Triplex 4 or More Units
Other
Uses
a. Height of buildings
• Principal (feet) 22 22 22 30 30
• Accessory (stories and feet) 1 and 15 1 and
15 1 and
15 1 and 15 1 and 15
b. Minimum lot area (net) (square
feet)
3,000 3,600 7,200 8,000 8,000
c. Minimum lot area (net) per
dwelling unit (square feet)
– 1,800 1,600 1,600 –
d. Minimum lot width (feet) 40 40 80 80 80
e. Usable open space per dwelling
unit (square feet)
– 400 400 400 –
Dwelling Units
First Story Second Story Other Uses
f. Front yard (feet) 5* 10* 10*
g. Rear yard (feet) 10 15 15
h. Side yard each side (feet) 4 4 4
or: one side (feet) 0 0 0
Total both sides (feet) 10 10 10
i. Exterior side yard (feet) 5* 5* 5*
* For any attached or detached garage or carport fronting on a front or exterior side property line, the setback shall be twenty feet from said property line.

2. Minimum Distance Between Buildings on the Same Lot. Between main buildings, six feet or one foot of setback for each two feet of height of the tallest building, or portions thereof, whichever is greater; between main buildings and one-story accessory buildings, six feet; between accessory buildings, six feet; distance between accessory dwelling units and other buildings shall be consistent with standards set forth in Chapter 24.16, Part 2.

19.93 ORDINANCE NO. 2024-17
34 3. Other Requirements/Standards.
a. Design. All development is subject to a design permit and must be in compliance with adopted design guidelines. Other regulations which may be applicable to site design in this zone are set forth in general site design standards, Part 2, Chapter 24.12 and the Design Guidelines of the Beach and South of Laurel Comprehensive Area Plan. (1) New buildings shall employ California Bungalow or Victorian architectural style as a basis for design.
(2) Buildings shall be similar in scale and form to existing structures and shall incorporate vernacular characteristics, such as pitched gabled roofs, proportionally large overhangs, exposed roof beams and rafter tails, vertically oriented multi-paned windows and front porches.
(3) Buildings shall be wood frame construction with horizontal wood siding. (4) Roof forms shall be typical of the Beach Flats with appropriate steeper pitches for Victorians and lesser pitches for California Bungalow style. (5) Roof materials shall be composition or wood shingle. b. Parking. All parking shall be located within the rear or at the rear of main structures, if possible. Private multi-residential parking lots shall be screened from the public right-ofway, and meet the requirements of Section 24.12.240, in addition to the following requirements:
(1) All garages and entrances to parking areas shall be set back at least five feet from the adjacent front building setback.
(2) On lots of forty feet or less in width of street frontage, parking access is limited to a maximum of twelve feet of width. On lots of forty feet to sixty-five feet in width, parking access is limited to a maximum of sixteen feet of width; and on lots with greater than sixty-five feet in street frontage, parking access is limited to a maximum of twenty feet.
(3) Driveways shall be minimized in order to maximize land use efficiency and the provision of landscaping and open space.
(4) City parking standard requirements may be reduced in the following manner: one parking space for a one bedroom unit; for two or more bedrooms, the parking requirement may be reduced fifty percent if the following provisions are met:
• At least fifty percent of new units are two bedrooms or more; • For units which meet the city’s definition of “affordable”; and • If development is deemed compatible with surrounding neighborhood.

19.94 ORDINANCE NO. 2024-17
35 c. Siting. All development shall be sited to create a harmonious street edge, and to blend into rather than dominate the street.
(1) Entries to individual units and groupings of units shall be located on the ground floor facing the street. These entries shall incorporate architectural and landscaping elements such as porches and arbors that visually reinforce the presence of entries. (2) Architectural elements, such as towers, balconies, stairs, decorative elements, etc., may be allowed to project up to fifty percent of the front yard setback requirement. d. Height. Multiple-story developments shall minimize scale through upper story setbacks, individual building elements, and other similar design techniques. (1) The height of buildings shall be minimized at the street, in the following manner:
• One-story elements of buildings (including porches) must be set back five feet, • Second-story elements of buildings must be set back ten feet. e. Landscaping, in compliance with the design standards, is required. Landscaping shall be maintained in an attractive condition.
(1) Landscaping shall be designed to enhance the architectural style. All front, rear and side yards shall be fully landscaped except for areas devoted to driveways, patios, walkways or porches.
(2) Permanent containers for flowering plants are encouraged for use in limited space areas at entries and in courtyards and plazas.
(3) Vines and climbing plants integrated with building design and used on walls and trellises are encouraged.
(4) Opaque garden walls are not permitted within the front yard setback to maintain the landscape continuity along the street. Fences limited to three feet in height are permitted as long as the fence is at least sixty percent open.

4. All new development adjacent to a “CON – Neighborhood Conservation District” Overlay Zone shall comply with Section 24.10.4060, standards for new construction on sites abutting overlay district boundaries, to ensure compatibility with the established district.

19.95 ORDINANCE NO. 2024-17
36 Section 20. Section 24.10.636 of Chapter 24.10 of the Santa Cruz Municipal Code regarding Principal Permitted Uses for the R-T(E) Subdistrict E – Beach Medium/High Density Residential is hereby amended to read as follows:

24.10.636 PRINCIPAL PERMITTED USES.

1. The following uses are permitted and may also require a design permit per Section 24.08.410 as well as other requirements of the municipal code:
a. Duplex dwellings.
b. Multiple dwellings, townhouse dwelling groups and condominiums. c. Small and large family daycare homes in residential units. d. Accessory Uses. Other uses and buildings customarily appurtenant to a permitted use, subject to the provisions of Section 24.12.140, Accessory buildings and structures. e. Accessory dwelling units subject to the provisions of Chapter 24.16, Part 2, except accessory dwelling units are not subject to approval of a design permit; Section 21. Section 24.10.710 of Chapter 24.10 of the Santa Cruz Municipal Code regarding Principal Permitted Uses for the C-C Community Commercial District is hereby amended to read as follows:

24.10.710 PRINCIPAL PERMITTED USES.

The following uses are allowed outright, subject to other requirements of the municipal code including the approval of a design permit for new structures when required by Section 24.08.410 (numerical references at the end of these categories reflect the general use classifications listed in the city’s land use codes. Subcategories of uses within these categories can be found in the land use codes, but they are not intended to be an exhaustive list of potential uses):

Uses for Active Frontage.
a. Acting/art/music/dance schools and studios (610);
b. Apparel and accessory stores (250);
c. Auto supply stores (260C);
d. Eating and drinking establishments (except bars, fast-food) subject to live entertainment and alcohol regulations of Chapter 24.12 (280);
e. Financial, insurance, real estate offices (420);
f. Financial services (320);

19.96 ORDINANCE NO. 2024-17
37 g. Food and beverage stores (except liquor and convenience stores) (240); h. General retail merchandise (drug and department stores) (230); i. Home furnishing stores (270);
j. Medical/health offices (except veterinarians and ambulance services) (410); k. Museums and art galleries (600);
l. Professional/personal service (except contractors’ yards and mortuaries) (310); m. Repairs, alterations and maintenance services for household items (except boat repair) (340);
n. Small preschool/childcare (twelve or fewer) (510A);
o. Specialty retail supply stores (290); except thrift stores (290m); p. Theaters (620);
q. Video rental (650).

Residential Uses.
r. Accessory dwelling units on parcels with an approved residential use, subject to the provisions of Chapter 24.16, Part 2, except accessory dwelling units are not subject to approval of a design permit;
s. Flexible density unit (FDU) housing;
t. Mixed residential and commercial/office developments involving allowed commercial uses, on the ground floor and multiple dwellings or condominiums either above the first floor or on the same lot;
u. Multiple dwellings or condominiums when ground-floor units are designed as live-work units consistent with Section 24.12.185(13) and subject to the minimum (net) land area per dwelling unit of the R-M District (830);
v. One or two multiple-family units when located above the first floor with no additional parking required (830);
w. Single-room occupancy (SRO) housing (860);
x. Small community care residential facilities;

19.97 ORDINANCE NO. 2024-17
38 y. Small and large family daycare homes in residential units.

Commercial Uses.
z. Off-site public/private parking facilities, five or fewer spaces (930); aa. Professional offices (400);
ab. Wireless telecommunications facilities, subject to the regulations in Part 15 of Chapter

24.12 requiring no public hearing.

Section 22. Section 24.10.910 of Chapter 24.10 of the Santa Cruz Municipal Code regarding Principal Permitted Uses for the C-T Thoroughfare Commercial district is hereby amended to read as follows:

24.10.910 PRINCIPAL PERMITTED USES.

Uses for Active Frontage.

1. Art galleries.

2. Branch banks.

3. Clothing and apparel shops.

4. Eating and drinking establishments, subject to live entertainment and alcohol regulations of Chapter 24.12.

5. Hotels, motels and bed-and-breakfast inns.

6. Medical and dental offices.

7. Professional, editorial, real estate, insurance and other general business offices.

Residential Uses.

8. Accessory dwelling units on parcels with an approved residential use, subject to the provisions of Chapter 24.16, Part 2, except accessory dwelling units are not subject to approval of a design permit;

9. Multiple dwellings and condominiums, when located either in the same lot or above first floor commercial development, subject to the minimum land area (net) per dwelling unit of the RM District (830).

19.98 ORDINANCE NO. 2024-17
39 10. Small and large family daycare homes in residential units.

Commercial Uses.

11. Carpenter shop; electrical, plumbing or heating shops; furniture upholstering shop.

12. Garages for the repair of automobiles, subject to performance standards as set forth in this title for principal permitted uses in the I-G District.

13. Handicraft shops and workshops.

14. Medical, optical, and dental clinics and laboratories, not including the manufacture of pharmaceuticals or other (similar) products for general sale or distribution.

15. Mobile home, trailer, boat, motorcycle sales and service.

16. New car sales and service.

17. Parking facilities of five or fewer spaces.

18. Plant nurseries and greenhouses.

19. Theaters.

20. Used car sales and service, auto parts and supply stores.

21. Wireless telecommunications facilities, subject to the regulations in Part 15 of Chapter 24.12 requiring no public hearing.

Section 23. Section 24.10.1010 of Chapter 24.10 of the Santa Cruz Municipal Code regarding Principal Permitted Uses for the C-N Neighborhood Commercial District is hereby amended to read as follows:

24.10.1010 PRINCIPAL PERMITTED USES.

1. The following uses are allowed outright, subject to other applicable requirements of the municipal code including the requirement for a design permit for new structures when required by Section 24.08.410 (numerical references at the end of these categories reflect the general use classifications listed in the city’s land use codes. Subcategories of uses within these use categories can be found in the land use codes, but they are not intended to be an exhaustive list of potential uses):

Uses for Active Frontage.
a. Eating and drinking establishments (except bars and fast food), subject to live entertainment and alcohol regulations of Chapter 24.12 (280);

19.99 ORDINANCE NO. 2024-17
40 b. Financial, insurance, real estate offices (420);
c. Food, beverage stores (except liquor and convenience stores) (240); d. Hardware stores (indoor sales only) (220A);
e. Medical/health offices (except veterinarians and twenty-four-hour clinics) (410); f. Professional/personal service (except contractors yards and mortuaries) (310); Residential Uses.
g. One or two multiple-family units when located above the first floor commercial use with no additional parking required (830);
h. Small and large family daycare homes in residential units; i. Multiple dwellings and condominiums, when located either in the same lot or above first floor commercial development, subject to the minimum land area (net) per dwelling unit of the R-L District (840);
j. Accessory dwelling units on parcels with an approved residential use, subject to the provisions of Chapter 24.16, Part 2, except accessory dwelling units are not subject to approval of a design permit;
Commercial Uses:
k. Financial services (320);
l. Off-site public/private parking facilities five or fewer spaces (930); m. Professional offices (400);
n. Wireless telecommunications facilities, subject to the regulations in Part 15 of Chapter

24.12 requiring no public hearing.

Section 24. Section 24.10.1110 of Chapter 24.10 of the Santa Cruz Municipal Code regarding Principal Permitted Uses for the C-B Beach Commercial District is hereby amended to read as follows:

24.10.1110 PRINCIPAL PERMITTED USES.

1. The following uses are allowed outright, subject to other applicable requirements of the municipal code (numerical references at the end of these categories reflect the general use classifications listed in the city’s land use codes. Subcategories of uses within these use categories can be found in the land use codes, but they are not intended to be an exhaustive list of potential uses):

19.100
ORDINANCE NO. 2024-17
41 Uses for Active Frontage.
a. Acting/art/music/dance schools and studios (610);
b. Apparel and accessory stores (250);
c. Eating and drinking establishments (except fast-food restaurants), subject to live entertainment and alcohol regulations of Chapter 24.12 (280); d. Food and beverage stores (except convenience/liquor stores) (240); e. General merchandise (drug and department stores) (230); f. Handicraft shops and workshops;
g. Museums and art galleries (600);
h. Personal/professional services (except contractors’ yards and mortuaries) (310); i. Specialty retail supply stores (290); except thrift stores (290m); Residential Uses.
j. One or two multiple-family units when located above the first floor with no additional parking required (830);
k. Small and large family daycare homes in residential units; l. Mixed residential and commercial development involving permitted or administrative uses on the ground floor and multiple dwellings or condominiums either on the same lot or above the first floor, subject to the minimum land area (net) per dwelling unit of the R-M District (830);
m. Accessory dwelling units on parcels with an approved residential use, subject to the provisions of Chapter 24.16, Part 2;
Commercial Uses.
n. Financial, insurance, real estate offices above first floor (420); o. Lodging (300);
p. Marine facilities (560E);
q. Mechanical contrivances for amusement purposes, such as Ferris wheels, and roller coasters, south and east of Beach Street only;
r. Off-site public/private parking facilities, five or fewer spaces (930);

19.101
ORDINANCE NO. 2024-17
42 s. Professional offices above first floor (400);
t. Sports and recreation facilities, subject to alcohol regulations in Part 12 of Chapter 24.12 (720);
u. Theaters (620);
v. Video rental (650);
w. Wireless telecommunications facilities, subject to the regulations in Part 15 of Chapter

24.12 requiring no public hearing.

Section 25. Section 24.10.1210 of Chapter 24.10 of the Santa Cruz Municipal Code regarding Principal Permitted Uses for the P-A Professional and Administrative Office District is hereby amended to read as follows:

24.10.1210 PRINCIPAL PERMITTED USES.

1. The following uses are allowed outright if a design permit is obtained for new structures (numerical references at the end of these categories reflect the general use classifications listed in the city’s land use codes. Further refinement of uses within these categories can be found in the land use codes, but they are not intended to be an exhaustive list of potential uses):

Uses for Active Frontage.
a. Financial, insurance, real estate offices (420);
b. Financial services (320);
c. Professional offices (400);
d. Professional/personal services (except contractors’ yards and mortuaries) (310); e. Medical/health offices (except veterinarians, medical marijuana provider association dispensaries, as defined in Section 24.22.539, ambulance services and emergency medical clinics open earlier than 7:00 a.m. and later than 9:00 p.m.) (410); f. Museums and art galleries (600);
Residential Uses.
g. Accessory dwelling units on parcels with an approved residential use, subject to the provisions of Chapter 24.16, Part 2, except accessory dwelling units are not subject to approval of a design permit;
h. Duplexes together with an allowed commercial use (820);

19.102
ORDINANCE NO. 2024-17
43 i. Multiple dwellings and condominiums, together with an allowed commercial use and subject to minimum land area requirements of R-M District (830); j. One to two units above ground floor office use with no additional parking required (810); k. Small and large family daycare homes in residential units; Commercial Uses.
l. Off-site parking fewer than five spaces (930);
m. Wireless telecommunications facilities, subject to the regulations in Part 15 of Chapter

24.12 requiring no public hearing.

Section 26. Section 24.10.1505 of Chapter 24.10 of the Santa Cruz Municipal Code regarding Principal Permitted Uses for the I-G General Industrial District is hereby amended to read as follows:

24.10.1505 PRINCIPAL PERMITTED USES.

1. The following uses are allowed outright, subject to other requirements of the municipal code (numerical references at the ends of these categories reflect the general use classifications listed in the city’s land use codes. Further refinement of uses within these categories can be found in the land use codes, but they are not intended to be an exhaustive list of potential uses):
a. Accessory dwelling units on parcels with an approved residential use, subject to the provisions of Chapter 24.16, Part 2;
b. Acting/art/music/dance schools and studios (610);
c. Building materials/garden supply stores (220) with less than forty thousand square feet including indoor floor area and outdoor storage, display, or sales area. For building materials/garden supply stores of which fifty percent or more of the square footage will occupy an existing building, this threshold will be seventy-five thousand square feet including indoor floor area and outdoor storage, display, or sales areas so long as vacant, available space in existing buildings in the IG Zone exceeds four hundred thousand square feet. When the vacant, available square footage is less than four hundred thousand square feet, the forty-thousand-square-foot threshold will apply; d. Financial, insurance, real estate offices (420);
e. Food and beverage preparation (100);
f. Furniture and fixtures (120);
g. Laboratories and related facilities for research, experimentation, testing, film processing, software development, including cannabis testing;

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ORDINANCE NO. 2024-17
44 h. Medical/health offices/laboratories (410);
i. Millwork textile products (105);
j. Printing and publishing or lithographic shops and plants; k. Professional offices (400);
l. Professional/personal service (except mortuaries) (310); m. Rental service (360);
n. Repair, alterations, maintenance (except boat repairs) (340); o. Small and large family daycare homes in residential units; p. Start-up fabrication assembly or packaging from light metals, prepared materials, or prefabricated parts, including electrical devices if operated in an area no greater than three thousand square feet, and no hazardous materials are used during the operation; q. Storage warehousing (330);
r. Wholesale trade durable goods (210);
s. Wholesale trade nondurable goods (200).

Section 27. Section 24.10.1605 of Chapter 24.10 of the Santa Cruz Municipal Code regarding Principal Permitted Uses for the I-G/PER-2 General Industrial District/Performance District is hereby amended to read as follows:

24.10.1605 PRINCIPAL PERMITTED USES.

1. The following uses are allowed outright, subject to other requirements of the municipal code (numerical references at the end of these categories reflect the general use classifications listed in the city’s land use codes. Further refinement of uses within these categories can be found in the land use codes, but they are not intended to be an exhaustive list of potential uses):
a. Accessory dwelling units on parcels with an approved residential use, subject to the provisions of Chapter 24.16, Part 2;
b. Acting/art/music/dance schools and studios (610);
c. Adult school/work force training (510F);
d. Building materials/garden supply stores (220) with less than forty thousand square feet including indoor floor area and outdoor storage, display, or sales area. For building materials/garden supply stores of which fifty percent or more of the square footage will

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ORDINANCE NO. 2024-17
45 occupy an existing building, this threshold will be seventy-five thousand square feet including indoor floor area and outdoor storage, display, or sales areas so long as vacant, available space in existing buildings in the IG Zone exceeds four hundred thousand square feet. When the vacant, available square footage is less than four hundred thousand square feet, the forty-thousand-square-foot threshold will apply; e. Communication and information services (550);
f. Financial, insurance, real estate offices (420);
g. Fabricated metal products (150);
h. Food and beverage preparation and production (100);
i. Furniture and fixtures (120);
j. Medical/health offices/laboratories, including cannabis testing (410); k. Millwork textile products (105);
l. Other manufacturing and processing industries (except bulk petroleum, scrap and waste materials) (155);
m. Primary metals and material subject to performance standards (145); n. Rubber, plastic, miscellaneous materials and products subject to performance standards (135);
o. Printing and publishing or lithographic shops and plants; p. Professional offices (400);
q. Professional/personal service (except mortuaries) (310); r. Rental service (360);
s. Repair, alterations, maintenance (including boat repairs) (340); t. Small and large family daycare homes in residential units; u. Start-up fabrication assembly or packaging from light metals, prepared materials, or prefabricated parts, including electrical devices;
v. Stone, clay, glass design and production (140);
w. Storage warehousing (330);

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ORDINANCE NO. 2024-17
46 x. Technology related research and development facilities and products; y. Wholesale trade durable goods (210);
z. Wholesale trade nondurable goods (200).

Section 28. Section 24.10.1810 of Chapter 24.10 of the Santa Cruz Municipal Code regarding Principal Permitted Uses for the E-A Exclusive Agricultural District is hereby amended to read as follows:

24.10.1810 PRINCIPAL PERMITTED USES.

1. Accessory dwelling units on parcels with an approved residential use, subject to the provisions of Chapter 24.16, Part 2;

2. Agriculture, as defined herein;

3. Animal farm;

4. Crop and tree farming;

5. Ranch and farm dwellings incidental to a principal agricultural use;

6. Stables, barns, silos, and windmills
Section 29. Section 24.10.2010 of Chapter 24.10 of the Santa Cruz Municipal Code regarding Principal Permitted Uses for the F-P Floodplain District is hereby amended to read as follows:

24.10.2010 PRINCIPAL PERMITTED USES.

1. Accessory dwelling units on parcels with an approved residential use, subject to the provisions of Chapter 24.16, Part 2;

2. Agriculture;

3. Crop and tree farming;

4. Nurseries.

Section 30. Section 24.10.2050 of Chapter 24.10 of the Santa Cruz Municipal Code regarding District Regulations for the F-P Floodplain District is hereby amended to read as follows:

24.10.2050 DISTRICT REGULATIONS.

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47 The following requirements will be observed in the F-P District for the type of use proposed; except as otherwise provided in this title.

1. General.

Provision
Classification
or Type of
Use All Uses
a. Lot Width (feet) 200
b. Minimum lot area (net)
(acres)
5 2. Other Requirements.
a. Maximum height of all buildings, principal and accessory, shall be two stories or thirtyfive feet. Yard distances and distance between buildings shall be established as part of use permit approval, except that distance between accessory dwelling units and other buildings shall not require approval of a use permit and shall be consistent with standards set forth in Chapter 24.16, Part 2.
b. Other regulations which may be applicable to site design in this zone are set forth in General Site Design Standards, Part 2, Chapter 24.12 and Floodplain Management, Part 4, Chapter 24.14.
c. The lowest habitable floor level of structure shall be above the flood profile level as established by the high-water mark of a one-hundred-year storm. d. Fill incidental to a principally permitted or conditional use must be accompanied by a plan showing the uses to which the fill land will be placed, final dimensions of proposed fill, and effects on the capacity of the floodway and flood heights. e. Environmental assessment shall be required of conditional uses to determine the requirements of the use permit that minimize hazards to public health and safety.

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48 Section 31. Section 24.10.2361 of Chapter 24.10 of the Santa Cruz Municipal Code regarding Principal Permitted Uses for the CBD Subdistrict E – Lower Pacific Avenue is hereby amended to read as follows:

24.10.2361 PRINCIPAL PERMITTED USES*
* Editor’s Note: This section was formerly numbered as Section 24.10.2360. Ord. 2000-18 § 10 renumbered it to be Section 24.10.2361, at which time a new Section 24.10.2360, entitled Purpose, was added.

1. The following uses are allowed outright in the Lower Pacific Avenue Subdistrict, subject to a design permit and other requirements of the Municipal Code (numerical references at the end of these categories reflect the general use classifications listed in the city’s Land Use Codes.

Further refinement of uses within these categories can be found in the Land Use Codes, but they are not intended to be an exhaustive list of potential uses):
a. Accessory dwelling units on parcels with an approved residential use, subject to the provisions of Chapter 24.16, Part 2, except accessory dwelling units are not subject to approval of a design permit;
b. Acting/art/music/dance school and studios (610);
c. Apparel and accessory stores (250);
d. Eating and drinking establishments (excepts bars, fast food), subject to live entertainment and alcohol regulations of Chapter 24.12 (280);
e. Educational facilities (public/private) (510);
f. Food and beverage stores (except liquor and convenience stores) (240); g. General retail merchandise (drug and department stores) (230); not exceeding 16,000 square feet per individual store;
h. Home furnishing stores (270);
i. Lodging (300);
j. Multiple dwellings or condominiums or mixed use residential and commercial developments when multiple dwelling or condominium units are located above the first floor of commercial uses, subject to the minimum land area (net) per dwelling unit of the R-M District (830, 840);
k. Museums and art galleries (600);
l. Repair, alterations, and maintenance services for household items (except boat repair) (340);

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ORDINANCE NO. 2024-17
49 m. Small community care residential facilities;
n. Small preschool/childcare (12 or fewer) (510A);
o. Specialty retail supply stores (290);
p. Theaters (620);
q. Video rental (360B).

Section 32. Section 24.12.120 of Chapter 24.12 of the Santa Cruz Municipal Code regarding Projections into Required Yard Areas, Setbacks and Easements is hereby amended to read as follows:

24.12.120 PROJECTIONS INTO REQUIRED YARD AREAS, SETBACKS AND

EASEMENTS

1. Projections Into Required Yard Areas. The following are permitted projections into required yard areas. Projections shall not be permitted in yards that are less than the minimum established by district regulations except as provided for in subsection (2), as allowed in certain areas under Section 24.12.185(12), or as allowed for accessory dwelling units under Part 2 of Chapter 24.16.
a. Architectural features such as cornices, canopies, eaves and sills shall be permitted to project into front, rear and side yards two and one-half feet; b. Steps serving the first floor, and bay windows, chimneys, decks, and porches serving the first floor and above may extend into front, rear and exterior side yards one-half of the required yard or six feet, whichever results in a greater setback. For interior side yards, maximum projection is one foot, eight inches unless the projection meets the requirements of subsection (1)(c). Bay window, deck, porch and step projections are permissible in interior side yards on the first floor only. In all cases, no projection or aggregate of projections listed in this subsection shall be more than one-third of the building wall along which it is located;
c. Unroofed decks, porches, patios and steps of pervious materials twenty inches or less above finished grade may extend into conforming interior side yards without restriction; d. Guardrails on decks and porches and handrails on stairs projecting into required yards on the first floor shall be considered fences and shall be governed by Section 24.12.160, with the exception of guardrails and/or handrails required for access to the first floor for the physically challenged;
e. Rain retention systems attached to the main residence may extend into side and rear yards one-half the required yard or six feet, whichever results in the greater setback. For interior

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50 side yards, the minimum setback shall be three feet. Such encroachment shall be no higher than six feet from finished grade.

2. Any structure necessary to provide access to the first floor for the physically challenged.

3. Projections Into Special Street Setbacks. The following uses are permitted within the special street setbacks established in Section 24.12.115:
a. Streetlights, traffic signs and signals and appurtenances necessary to the conduct or operation of a public utility, facility, or purpose;
b. Fences, walks, hedges, landscaping, outdoor merchandise display, platforms, landings, steps and signs, when constructed or installed so as to have a maximum height of two and one-half feet above curb grade, except as provided for in subsection (3)(d); c. Unenclosed porches, cornices, canopies, eaves, and similar architectural features and signs when constructed so that the clearance from curb grade to the lowest portion thereof, except supporting members, is at least eight feet; and further provided, that no supporting member shall have a cross-section of greater than eight inches, nor be located closer than six feet to another supporting member within the setback area;
d. Any structure necessary to provide access to the first floor for the physically challenged.

4. Projections Into Easements. No structure or projection thereof may extend into a public utility easement.

Section 33. Section 24.12.140 of Chapter 24.12 of the Santa Cruz Municipal Code regarding Accessory Buildings and Structures is hereby amended to read as follows:

24.12.140 ACCESSORY BUILDINGS AND STRUCTURES.

In addition to primary structures, it is often useful and convenient to have accessory buildings and structures to provide storage, allow additional usable indoor or sheltered space, or to perform some other function beyond what is included in the primary structure. These spaces can be provided in a building, defined for the purposes of this section as having a roof and walls, or by another accessory structure such as a pergola or a gazebo. Some spaces, such as children’s play equipment, can be classified as either a building (e.g., enclosed playhouse) or a structure (e.g., swing set). The defining characteristic of these buildings and structures is that they are accessory and subordinate to the primary structure and do not detract from the form and function of the primary structure and are complementary to its use.

1. Accessory Buildings. Accessory buildings are subject to the regulations and permit requirements of the zoning district in which they are located. a. No setback shall be required for an accessory building except as otherwise provided.

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51 b. No accessory building shall be located in a front or exterior side yard with the exception of buildings used as children’s play equipment that do not create traffic safety hazards, that are less than fifty square feet in plan area at grade, less than fourteen feet in height, and with minimum setbacks of three feet. Such buildings are exempt from the restrictions in this section. Children’s play structures are defined as structures that are designed, made for, and used by children. The vehicle entry side of a garage or other covered parking may not be located closer than twenty feet from front or exterior side yard lot lines; except that the vehicle entry side of a garage or other covered parking may be built to the front and exterior side yard lot lines where the slope of the front half of the lot is greater than one foot rise or fall in a distance of seven feet from the established street elevation at the property line, or where the elevation of the lot at the street line is five feet or more above or below the established street elevation.
c. Accessory buildings that are less than one hundred twenty square feet in floor area are not required to conform to the distance-between-buildings requirement set forth in the district regulations, Chapter 24.10; however, such structures are subject to all other standards, regulations, and requirements of this title and other state and local requirements including Title 18 and the California Building Standards Code.
d. Accessory buildings that are less than one hundred twenty square feet in floor area and less than fifteen feet in height are not subject to design permit approval when constructed on substandard lots or when constructed on lots within a residential zone district that requires design permit approval for new structures; however, such structures are subject to all other standards, regulations, and requirements of this title and other state and local requirements including Title 18 and the California Building Standards Code. e. Habitable accessory buildings, not including accessory dwelling units, shall not be located within the front yard nor closer than six feet to the nearest point of the principal building and shall conform to principal building rear and side yard requirements of the district in which they are located. No habitable accessory building shall be used as a separate dwelling unit except accessory dwelling units as described in Part 2 of Chapter 24.16. Guesthouses for nonpaying guests are allowed only if permitted in the zoning district in which they are located.
f. Accessory buildings may not cover an area in excess of thirty percent of any required yard setback area for the primary structure. The footprint of accessory dwelling units shall not count toward the maximum allowable lot coverage by accessory buildings in yard setback areas.
g. An accessory building attached to a main building by a breezeway is not part of the main building.
h. An accessory building may have one sink installed in it if a building permit is obtained. A property with multiple accessory buildings may have a sink in only one accessory building without approval of an administrative use permit. Any additional plumbing fixtures would

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ORDINANCE NO. 2024-17
52 require an administrative use permit subject to findings listed in subsection (1)(i) and a building permit for the approved improvements.
i. Accessory buildings may contain a full bathroom only when an administrative use permit is approved in accordance with district regulations and all of the following findings are made:
i. The structure and use are subordinate to the principal use; and ii. The purpose of the use is incidental to the principal use; and iii. The use is customarily or reasonably appurtenant to the permitted use; and iv. The structure will not be used as a dwelling unit; and v. A deed restriction will be recorded limiting the use of the structure to that approved under the permit unless otherwise authorized by the city.

2. Accessory Dwelling Units. Accessory dwelling units are separate and distinct from accessory buildings and are subject to the following regulations:
a. Accessory dwelling units are subject to the regulations in Part 2 of Chapter 24.16. b. Off-street parking shall be required in compliance with Section 24.12.240. c. In the Coastal Zone, accessory dwelling units are allowed in any zone that allows residential uses on lots of any size, in conjunction with a proposed or existing residential use. Accessory dwelling units that require approval of a coastal permit shall be sited and designed to avoid adverse impacts to coastal resources, including by conforming with all applicable LCP policies and standards, including those that govern wetlands, streams, environmentally sensitive habitat areas, public views, and coastal bluffs.

3. Accessory Structures. Accessory structures are subject to the regulations and permit requirements of the zoning district in which they are located. a. Accessory structures above eight feet in height shall not be located in a front or exterior side yard with the exception of entry features as described in Section 24.12.160(1). No accessory structure in the front or exterior side yard may be located within the clear corner triangle as defined in Section 24.22.202. Any accessory structures located in the front or exterior side yard must be open in nature and must provide and maintain a minimum of ninety percent visual permeability above the first foot in height. b. Accessory structures located in the rear or interior side yard that are less than one hundred twenty square feet in floor area and less than fifteen feet in height are not subject to design permit approval when constructed on substandard lots or when constructed on lots within a residential zone district that requires design permit approval for new structures; however,

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53 such structures are subject to all other standards, regulations, and requirements of this title and other state and local requirements including Title 18 and the California Building Standards Code. This includes fences within the West Cliff Drive Overlay District that conform to Section 24.12.160.
c. Children’s play structures that do not create traffic safety hazards, that are less than fifty square feet in plan area, less than fourteen feet in height, and with minimum front setbacks of three feet are exempt from the restrictions in this section. Children’s play structures are defined as structures that are designed for, made for, and used by children.

Section 34. Section 24.12.160 of Chapter 24.12 of the Santa Cruz Municipal Code regarding Fencing and Screening is hereby amended to read as follows:

24.12.160 FENCING AND SCREENING.

1. Fencing. Regulations governing the installation, construction and placement of fences and structures in the nature of fences, including hedges, which exceed height limitations contained herein are set forth in Chapter 24.08, Part 7, Conditional Fence Permit. a. Height Limitations. No person shall erect upon any private property in the city any fence, or structure in the nature of a fence, exceeding the following height limitations:
(1) Within the required front and exterior side yard setback areas established by (this title, Chapter 18.04, or other ordinances of the city, fences shall not exceed a height of three feet, six inches from finished grade, except as provided in Chapter 24.08, Part 7. (2) Within the exterior side yard setback established by this title, Chapter 18.04, or other ordinances of the city, fences outside of the front yard setback or in line with the main building frontage, whichever distance is greater, that are set back a minimum of three feet from the exterior side property line shall not exceed a height of six feet from finished grade, except as provided in Chapter 24.08, Part 7. Fences within the exterior side yard setback that are less than three feet from the side property line or within the front setback area shall not exceed a height of three feet, six inches from finished grade.

Any yard area between a fence and the sidewalk or property line shall be landscaped and permanently maintained. This landscaping shall not include hedges that are higher than three-and-one-half feet.
(3) On any portion of the property outside of the required front and exterior side yard setbacks, fences shall not exceed a height of eight feet from finished grade, with any portion of the fence above six feet consisting of lattice or other similar material that is at least fifty percent open except as provided in Chapter 24.08, Part 7, with any portion of the fence above six feet having an open architectural, decorative, or ornamental feature such as lattice or other similar design or material. “Open” means that no more than fifty percent of the design shall be opaque.

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54 (4) Any fence along a property line adjacent to a street, or in the adjacent required setback, except in the clear corner triangle, may include a gate, trellis or other entry feature exceeding the height limit stated in subsections (1)(a)(1) and (2). Such gate, trellis or entry feature shall be limited to ten feet in width and ten feet in height. Only one such gate, trellis or entry feature shall be permitted per street frontage except as provided in Chapter 24.08, Part 7.
b. Fire Hazard. The erection of any fence which constitutes a fire hazard either of itself or in connection with the existing structures in the vicinity, or which will interfere with access in case of fire, by the fire department to buildings in the vicinity or which will constitute a hazard to street traffic or to pedestrians shall not be permitted. c. Temporary Fences – Exceptions. Nothing contained in this title shall be deemed to interfere with the erection of temporary fences around construction works, erected or maintained pursuant to Chapter 18.04 and other ordinances of the city. d. Barbed-Wire Fencing. No barbed-wire fences may be constructed, electrified or otherwise, without a conditional fence permit.
e. Hedges. Hedges or dense planting in the nature of a hedge in excess of three feet, six inches in height shall not be grown or maintained within the required front or exterior side yard setbacks of the zoning district in which the property is located. f. Clear Corner Triangles and Clear Vision Areas. Fences or hedges shall not be greater than, nor allowed to exceed, three feet, six inches in height in the clear corner triangle and the clear vision area as defined in Sections 24.22.202 and 24.22.206. g. Fences Within Watercourse Setback Areas. Fencing within a designated riparian corridor or development setback area of a watercourse shall be consistent with requirements of the watercourse development permit, Section 24.08.2130.

2. Screening.
a. In any nonresidential district adjacent to any R-District, screening between districts shall be provided.
b. All areas of outdoor storage in any commercial or industrial district shall be permanently screened from view from any adjacent street, public way or adjacent private property.

Section 35. Section 24.12.250 of Chapter 24.12 of the Santa Cruz Municipal Code regarding Bike Parking Requirements is hereby amended to read as follows:

24.12.250 BIKE PARKING REQUIREMENTS.

1. Bicycle parking facilities shall be provided for any new building, addition or enlargement of an existing building, or for any change in the occupancy.

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55 2. Bike Spaces and Type Required. Bicycle parking facilities’ quantity and type shall be provided in accordance with the following schedule, with fractional quantity requirements for bike parking over one-half to be rounded up. Each bicycle parking space shall be no less than six feet long by two feet wide and shall have a bicycle rack system in compliance with the bike rack classifications listed in subsection (4).

Example
Number of
Bicycle Parking
Spaces Required
Classification
Class 1 = Long-Term
Class 2 = Short-Term
Industrial Warehousing,
manufacturing
1 per 7,500
square feet,
minimum 2
spaces
80% Class 1
20% Class 2
Office and financial
institutions
General office, medical,
clinic, research and
development, banks
1 per 1,500
square feet,
minimum 2
spaces
20% Class 1
80% Class 2
Retail/service or
other commercial
Grocery store, hardware
store, personal services,
handicraft
1 per 1,000
square feet,
minimum 2
spaces
20% Class 1
80% Class 2
Restaurant/bar Restaurant, deli, coffee
shop, bar/tasting rooms
1 per 500 square
feet, minimum 2
spaces
20% Class 1
80% Class 2
Multifamily
residential
(3 or more units)
Housing developments
with 3 or more units,
plus any associated
accessory dwelling units
See classification
column
Class 1 – 1 space per unit –
garages or secure accessible
indoor areas count
Class 2 – 1 space per 4
units, minimum 2 spaces
Commercial
recreation
Sports arenas, theaters See classification
column
Class 1 – 1 per 10,000
square feet
Class 2 – 1 per 40 seats,
minimum 10
Civic uses (civic,
cultural, public, and
religious assembly)
Library or museum,
places of public or
religious assembly
1 per 1,000
square feet
10% Class 1
90% Class 2
Schools 1 per 5 students 20% Class 1
80% Class 2*
*Must be in secure area
such as bike cage or within
gated school grounds,

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56 Example
Number of
Bicycle Parking
Spaces Required
Classification
Class 1 = Long-Term
Class 2 = Short-Term
preferably with weather
protection such as roof
Park-and-ride lots 1 per 10 auto
parking spaces,
minimum 2
spaces
100% Class 1
Transit centers See classification
column
30 Class 1 spaces
12 Class 2 spaces
Lodging Hotel, motel 1 per 5
rooms/units
10% Class 1
90% Class 2
Commercial parking 1 per 10 auto
parking spaces
100% Class 1
Parking District No.
1 – Residential uses
Multifamily housing,
including any accessory
dwelling units
See classification
column
1 Class 1 bicycle parking
space per unit
1 Class 2 bicycle parking
space per 15 units
Parking District No.
1 – Nonresidential
uses
Any nonresidential uses
in district
1 per 1,000
square feet
25% Class 1
75% Class 2
The Class 2 spaces shall be
publicly accessible, and the
style shall be inverted U.

Emergency shelters See Section 24.12.1610 1 per 3 occupants 25% Class 1 75% Class 2
The Class 2 spaces shall be
publicly accessible, and the
style shall be inverted U.

3. For projects requiring twenty or more bike parking spaces, a bike fix-it station is required. A fix-it station shall include at a minimum a bicycle pump; 2.5, 3, 4, 5, 6, and 8 mm Allen wrenches; 8, 9, 10, 11, 15, and 32 mm box wrenches; two tire levers; and a Phillips and flat head screwdriver. For projects requiring twenty or more bicycle parking spaces, a minimum of five percent of required bicycle parking spaces must have a larger footprint of three feet by ten feet, which must be provided in a horizontal, floor level rack. These spaces will be available for larger bicycles such as e-bikes, cargo bikes, bikes with trailers, and other larger bicycles.

4. Classification of Facilities.

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57 a. “Class 1 bicycle facility” means a locker, individually locked enclosure or supervised area within a building providing protection for each bicycle therein from theft, vandalism and weather. Class 1 facilities are intended for long-term storage. b. “Class 2 bicycle facility” means a stand or other device constructed so as to enable the user to secure by locking the frame and one wheel of each bicycle parked therein. Racks must provide two points of contact to bicycle frames, so that they are easily usable with both Ulocks and cable locks. Racks should support the bikes in a stable upright position so that a bike, if bumped, will not fall or roll down. The preferred Class 2 bike rack style is an inverted U, which meets code requirements. Racks that support a bike primarily by a wheel, such as standard “wire racks,” are damaging to wheels and thus are not acceptable. Class 2 facilities are intended for short-term storage.

5. Location and Design of Facilities.
a. Bicycle parking shall be located in well-lit locations within forty feet of the building’s entrance and clustered in lots not to exceed sixteen spaces each. b. Bicycle parking facilities shall provide two points of contact to bicycle frames to support bicycles in a stable position without damage to wheels, frame or other components. c. Bicycle parking facilities shall be located in highly visible, well-lit areas to minimize theft and vandalism.
d. Bicycle parking facilities shall be securely anchored to the lot surface so they cannot be easily removed and shall be of sufficient strength to resist vandalism and theft. e. Bicycle parking facilities shall not impede pedestrian or vehicular circulation, and should be harmonious with their environment both in color and design. Parking facilities should be incorporated whenever possible into building design or street furniture. f. Racks must not be placed close enough to a wall or other obstruction so as to make use difficult. There must be sufficient space (at least twenty-four inches) beside each parked bike that allows access. This access may be shared by adjacent bicycles. An aisle or other space shall be provided to bicycles to enter and leave the facility. This aisle shall have a width of at least six feet to the front or rear of a bike parked in the facility. g. Paving is not required, but the outside ground surface shall be finished or planted in a way that avoids mud and dust.
h. Bike parking facilities within auto parking areas shall be separated by a physical barrier to protect bicycles from damage by cars, such as curbs, wheel stops, poles or other similar features.
i. Any bicycle parking provided in double-decker bicycle racks shall have a lift-assist mechanism to aid the user in parking their bicycle on the upper rack.

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58 j. If vertical wall hanging bicycle racks are used for Class 2 bicycle parking, thirty percent of required Class 2 bicycle parking must be provided in racks that meet Class 2 requirements in subsection (4)(b) at ground level.
k. If required Class 2 bicycle parking is not clearly visible to bicyclists approaching from adjacent public roadways or paths, signs shall indicate the locations of the facilities on the exterior of the building at each major entrance and in other appropriate locations. Where necessary, additional directional signage to the bicycle parking area shall be provided.

6. Variation to Requirements.
a. Substitution of Car Parking With Bike Parking. New and preexisting developments may reduce up to ten percent of their parking requirement with the provision of unrequired additional bike parking, as long as the spaces are conveniently located within forty feet of a building entrance. This parking reduction must yield at least six bike parking spaces per converted auto space. These bike parking spaces shall be in addition to the bike parking facilities required by this section, and provided in the same ratio of Class 1 and Class 2.

The total available parking reduction granted shall be calculated in conformance with the city parking reduction worksheet in effect at the time a complete planning application is submitted.
b. Where the provision of bike parking is not feasible, the requirements may be waived or reduced to a feasible level by the zoning administrator in accordance with city bike parking standards.
c. Downtown Parking District – All Nonresidential Uses. Businesses and developments within Parking District No. 1 are not required to provide Class 2 bicycle parking on site if adequate on-site space is not available, as determined by the planning director. The city shall permit required bicycle parking within the public right-of-way for the downtown parking district area in locations and amounts determined by the director of public works.

Section 36. The City Council finds and determines that the adoption of this ordinance is considered a “project” under California Code of Regulations, Title 14, section 15378(a)(1) of the California Environmental Quality Act (CEQA) Guidelines, typically subject to environmental review. The City Council finds that these amendments fall within the analyzed development potential in the City’s existing 2030 General Plan EIR using the existing zoning and General Plan and, therefore, pursuant to Section 15183 of the CEQA Guidelines, no further environmental review under CEQA is required.

Section 37. If any section or portion of this ordinance is found to be invalid by a court of competent jurisdiction, such finding shall not affect the validity of the remainder of the ordinance, which shall continue in full force and effect.

Section 38. This ordinance shall take effect and be in full force thirty (30) days after final adoption outside of the Coastal Zone. Within the Coastal Zone, this ordinance shall take effect and

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59 be in full force after approval by the California Coastal Commission, but no earlier than thirty (30) days after final adoption.

PASSED FOR PUBLICATION this 8th day of October 2024, by the following vote:

AYES: Councilmembers Newsome, Watkins, Brunner; Mayor Keeley.

NOES: Councilmembers Brown, Kalantari-Johnson.

ABSENT: Vice Mayor Golder.

DISQUALIFIED: None.

APPROVED: ______________________________
Fred Keeley, Mayor
ATTEST: _________________________________
Bonnie Bush, City Clerk Administrator
PASSED FOR FINAL ADOPTION this 22nd day of October 2024 by the following vote:

AYES:

NOES:

ABSENT:

DISQUALIFIED:

APPROVED: ______________________________
Fred Keeley, Mayor
ATTEST: _________________________________
Bonnie Bush, City Clerk Administrator
This is to certify that the above and
foregoing document is the original
of Ordinance No. 2024-17 and that
it has been published or posted in
accordance with the Charter of the
City of Santa Cruz.
________________________________
Bonnie Bush, City Clerk Administrator

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ORDINANCE NO. 2024-

AN ORDINANCE OF THE CITY OF SANTA CRUZ AMENDING SANTA CRUZ MUNICIPAL CODE CHAPTERS 21.06 - RESIDENTIAL RENTAL DWELLING UNIT INSPECTION AND MAINTENANCE PROGRAM, 23.04 – SUBDIVISION ORDINANCE – GENERAL PROVISIONS, 23.12 – MAPS REQUIRED, 23.37 – COMMUNITY HOUSING PROJECTS, AND 24.08 - LAND USE PERMITS AND FINDINGS; AMENDING CHAPTER

24.16 PART 1 – INCLUSIONARY HOUSING REQUIREMENTS AND PART 2 – ACCESSORY DWELLING UNITS; ADDING NEW SECTION 24.16.165 RELATED TO

ACCESSORY DWELLING UNITS TO MAINTAIN CONSISTENCY WITH STATE

REGULATIONS, CLARIFY EXISTING STANDARDS, REMOVE OWNER-OCCUPANCY

REQUIREMENTS FOR EXISTING ACCESSORY DWELLING UNITS, AND TO REQUIRE

PROPERTIES WITH ACCESSORY DWELLING UNITS THAT ARE RENTED TO ENROLL

IN THE RESIDENTIAL RENTAL INSPECTION SERVICE, AND TO ALLOW FOR THE CONDOMINIUM MAPPING ; AND SEPARATE SALE OF ACCESSORY DWELLING UNITS AND THEIR ASSOCIATED PRIMARY DWELLINGS; AND RESCINDING ORDINANCE NOS. 2022-22 AND 2023-01. (CEQA: EXEMPT PURSUANT TO CEQA GUIDELINES SECTION 15183 AS A PROJECT CONSISTENT WITH THE GENERAL PLAN FOR WHICH AN EIR WAS CERTIFIED.)
WHEREAS, accessory dwelling units contribute needed housing to the community’s housing stock and provide housing for family members, students, the elderly, in-home health care providers, the disabled, and others within existing neighborhoods, and homeowners who create accessory dwelling units may benefit from added income and an increased sense of security; and WHEREAS, at its December 13, 2022 meeting, the City Council approved Urgency Ordinance 2022-22, amending accessory dwelling unit regulations in the Santa Cruz Municipal Code to comply with implementation deadlines set by state laws AB 2221 and SB 897; and WHEREAS, at its January 24, 2023 meeting, the City Council extended the urgency ordinance through the end of 2024 with Ordinance 2023-01; and
WHEREAS, amendments made by the urgency ordinance are now codified through a formal ordinance required to be approved prior to the end of 2024, thus rescinding the urgency ordinance; and
WHEREAS, in 2023, AB 976 (Ting) was signed into law, removing owner-occupancy requirements for properties with accessory dwelling units for any accessory dwelling unit created in 2025 and in perpetuity thereafter; and
WHEREAS, in 2023, AB 1033 (Ting) was signed into law, allowing local jurisdictions to create an ordinance to allow for the separate sale of accessory dwelling units and their associated primary dwellings as condominiums; and

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WHEREAS, on February 6, 2024, the California Department of Housing and Community Development (HCD) sent a letter to the Department of Planning and Community Development detailing a review of the City’s accessory dwelling unit regulations and requiring several corrections to ensure ongoing compliance with state law.

WHEREAS, additional clarifications are needed to the accessory dwelling unit regulations in the Santa Cruz Municipal Code; and
WHEREAS, on August 15, 2024, the Department of Planning and Community Development held a community meeting to present proposed modifications to local accessory dwelling unit regulations and solicited feedback from the public; and WHEREAS, at its September 5, 2024 meeting, the Santa Cruz Planning Commission reviewed the proposed additions and modifications to the Santa Cruz Municipal Code and found that the public necessity, and the general community welfare, and good zoning practice shall be served and furthered; and that the proposed amendments are in general conformance with the principles, policies and land use designations set forth in the General Plan, Local Coastal Plan and any adopted area or specific plan; and
WHEREAS, at its September 5, 2024 meeting, the Santa Cruz Planning Commission passed a motion that recommended the City Council approve the proposed additions and amendments as well as any additional changes needed to comply with state ADU law; and WHEREAS, the proposed amendments and additions to the Santa Cruz Municipal Code fall within the analyzed development potential in the City of Santa Cruz’s existing 2030 General Plan Environmental Impact Report using the existing zoning and General Plan and, therefore, pursuant to California Code of Regulations, Title 14, section 15183 of the California Environmental Quality Act (CEQA) Guidelines, no further environmental review under the CEQA is required.

BE IT ORDAINED By the City of Santa Cruz as follows:

Section 1. Section 21.06.030 of Chapter 21.06 of the Santa Cruz Municipal Code regarding Scope of Residential Rental Dwelling Unit Inspection and Maintenance Program is hereby amended to read as follows:

21.06.030 SCOPE.

A. The provisions of this chapter shall apply to all owners of one or more residential rental dwelling units located within the city of Santa Cruz.

B. The provisions of this chapter shall not apply to legal accessory dwelling units that are not rented, rooms rented to single individuals in an owner-occupied single-family residence, hotel or motel units subject to the transient occupancy tax ordinance codified at Chapter 3.28, units inspected by another governmental authority for housing and safety standards, newly constructed multiple dwelling units (including townhouse dwelling groups and condominium projects that

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are rented) for a period of five years from the issuance of certificate of occupancy, and mobile home parks.

Section 2. Section 23.04.050.1 of Chapter 23.04 of the Santa Cruz Municipal Code regarding Subdivision Principles – General is hereby amended to read as follows:

23.04.050.1 SUBDIVISION PRINCIPLES – GENERAL.

The necessity for tentative parcel maps and tentative subdivision maps, parcel maps, and final maps shall be governed by the provisions of the Map Act and this title. A tentative and final map shall be required for all subdivisions creating five or more parcels, including community housing projects, except where expressly excluded by the Map Act. The city council shall have final jurisdiction in the approval of tentative and final subdivision maps. A tentative parcel map and a final parcel map shall be required for all subdivisions referred to herein as minor land divisions, including community housing projects creating four or fewer parcels, except for creation of no more than four condominium parcels for accessory dwelling units and their associated primary dwellings pursuant to Section 24.16.165, in which case a tentative parcel map shall not be required, but a parcel map shall be required. The zoning administrator shall have final jurisdiction in the approval of such minor land divisions. A tentative subdivision map and a final map shall be required for all other subdivisions of land or other procedures provided in the Map Act, and the city council shall have final jurisdiction in the approval of such maps. Each subdivision or minor land division shall conform to the standards and principles set forth, or referred to, in this title unless modified for good cause by the city council, the zoning board, or the zoning administrator.

Section 3. Section 23.12.030.1 of Chapter 23.12 of the Santa Cruz Municipal Code regarding Division of Land – Fewer Than Five Parcels – Maps Required is hereby amended to read as follows:

23.12.030.1 DIVISION OF LAND – FEWER THAN FIVE PARCELS – MAPS REQUIRED A tentative parcel map and a parcel map shall be required for all divisions of land which create fewer than five parcels, except for:
(a) Divisions of land created by short-term leases (terminable by either party on not more than a thirty-day notice in writing) of a portion of an operating right-of-way of a railroad corporation defined as such by Section 230 of the Public Utilities Code; provided, however, that upon a showing made to the city engineer, based upon substantial evidence that public policy necessitates such a map, this exception shall not apply;
(b) Lot-line adjustments, provided:
(1) The parcels resulting from the lot line adjustment will conform to the general plan, any applicable specific plan, any applicable coastal plan, zoning and building ordinances; and (2) A greater number of parcels than originally existed are not created by the lot line adjustment; or

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(c) Creation of no more than four condominium parcels for accessory dwelling units and their associated primary dwellings pursuant to Section 24.16.165, in which case a tentative parcel map shall not be required, but a parcel map shall be required.

The zoning administrator shall review the application for a lot line adjustment and shall not impose conditions or exactions on approval except to conform to the general plan, any applicable specific plan or area plan, any applicable coastal plan, zoning or building ordinances, and except to facilitate the relocation of existing utilities, infrastructure, or easements.

No tentative map, parcel map, or final map shall be required as a condition of approval of a lot line adjustment. The lot line adjustment shall be reflected in a deed, which shall be recorded. No record of survey shall be required for a lot line adjustment unless required by Section 8792 of the state Business and Professions Code.

Section 4. Section 23.37.020.1 of Chapter 23.37 of the Santa Cruz Municipal Code regarding Provisions for Conversions of Existing Structures – Vacancy Requirements - Exceptions is hereby amended to read as follows:

23.37.020.1 PROVISIONS FOR CONVERSIONS OF EXISTING STRUCTURES – VACANCY REQUIREMENTS – EXCEPTIONS.
(1) An existing residential structure may be converted to a community housing project and be exempt from Section 23.37.020(a) if the structure is converted and sold to at least sixtyseven percent of the existing tenants. In such cases, proposals containing five or more units shall provide at least twenty percent of the total units for purchase by households of belowaverage income pursuant to Section 24.16.050 of the Zoning Ordinance. (2) An existing residential stock cooperative proposed for conversion to a condominium is exempt from Section 23.37.020.
(3) A building which is listed on the city historic building survey or which is a contributing building located in a city historic district.
(4) Creation of no more than four condominium parcels for existing accessory dwelling units and their associated primary dwellings pursuant to Section 24.16.165.

Section 5. Section 23.37.050 of Chapter 23.37 of the Santa Cruz Municipal Code regarding Provision for the Protection of Tenants is hereby amended to read as follows:

23.37.050 PROVISION FOR THE PROTECTION OF TENANTS.

Conversion of existing residential structures to community housing projects can be approved in accordance with Section 23.37.030 only if evidence is provided that the following provisions have been implemented:
(a) Each of the tenants of the proposed projects has or will have received all applicable notices and rights now or hereafter required by the State Subdivision Map Act, including written notice of intention to convert, at least sixty days prior to the filing of a tentative map, pursuant to

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Section 66452.9 of the Government Code; ten days’ written notification that an application for a public report will be available upon request, pursuant to Section 66427.1(a) of the Government Code; written notice of public hearing and the tenant’s right to appear and to be heard on the conversion, pursuant to Section 66451.3 of the Government Code; and copies of the staff report on the tentative map at least three days prior to any hearing or action on such map, pursuant to Section 66452.3 of the Government Code.
(b) Within ten days after the filing of the tentative subdivision map with the city, the subdivider shall cause the following notice to be delivered or mailed by certified or registered mail with return receipt requested to the occupant of each occupied apartment being converted to a condominium:

NOTICE TO PRESENT TENANT
This apartment is sought to be converted to a condominium unit and may be subject to future sale. The City of Santa Cruz will provide information about the City’s regulations regarding conversions of apartments to condominiums. (c) At the time of the issuance of the written notice of the intention to convert, the applicant has informed the tenants that a tenants’ association has the right to negotiate for the purpose of converting the structure as a cooperative.
(d) Within ten days of approval of a final map for the proposed conversion, each of the tenants of the proposed project will be given written notification of the approval. (e) Each of the tenants of the proposed project has been, or will be, given one hundred eighty days’ written notice of intention to convert prior to termination of tenancy due to the conversion or proposed conversion. Tenants aged sixty-two or older or handicapped or with minor children have been, or will be given an additional one hundred twenty days in which to find suitable replacement housing. A list of available rental units of similar price shall be provided to each tenant. The provisions hereof shall not alter or abridge the rights or obligations of the parties in performance of their covenants including, but not limited to, the provision of services, payment of rent, or the obligations imposed by Sections 1941, 1941.1 and 1941.2 of the California Civil Code. (f) Each of the tenants of the proposed project has, or will be given, the right to cancel any existing lease following receipt of the written notice of public hearing by providing thirty-day written notice to the landlord.
(g) Each of the tenants of the proposed project has been, or will be given, notice of an exclusive right to contract for the purchase of his or her respective unit or, in the case of a cooperative, the share controlling the dwelling unit then occupied by the tenant upon the same terms and conditions that such unit will be initially offered to the general public on terms more favorable to the tenant.

The right shall run for a period of not less than ninety days from the date of issuance of the subdivision public report, pursuant to Section 11018.2 of the Business and Professions Code, or approval of the application by city if a subdivision public report is not required, unless the tenant has given prior written notice of his or her intention not to exercise the right.

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(h) Each of the tenants of the proposed project who resided in the project at the time of the issuance of the notification of intention to convert has been, or will be, offered moving and relocation assistance amounting to one and one-half times the tenant’s monthly rent, except when the tenant has given notice of his or her intention to move prior to issuance of intention to convert.

However, for the conversion of no more than four units consisting of accessory dwelling units and their associated primary dwellings to condominiums pursuant to Section 24.16.165, relocation assistance shall be defined as four months’ rent for a person or family of low or moderate income who currently occupies or had occupied the dwelling unit within two years prior to the date of submission of the application for the conversion of the unit(s). (i) Rents will not be increased from the time of filing of the application for conversion until relocation takes place or until the application is denied or withdrawn. (j) No apartment in a building to be converted shall be leased to any person after the filing of an application with the city for such conversion unless a written notice shall have been delivered to the prospective lessee or tenant in substantially the following form:

NOTICE TO PROSPECTIVE TENANT
This apartment unit is sought to be converted to a condominium unit and may be subject to future sale.

A permanent record of such required notices shall be kept for a period of one year thereafter, such record to include:
(1) A copy of each notice showing the date on which it was delivered or mailed; and (2) Proof of the giving of the notice consisting of:
(A) If delivered, the signature of the person to whom it was delivered acknowledging such delivery; or
(B) If mailed, proof of mailing and return receipt if the receipt was returned to the recipient of the notice
Section 62. Section 24.08.800 of Chapter 24.08 of the Santa Cruz Municipal Code regarding Purpose for Slope Development Permit (Applies Outside the Coastal Zone) is hereby amended to read as follows:

24.08.800 PURPOSE.

Development on slopes presents opportunities and challenges. Construction on unstable slopes can lead to erosion, steep terrain can present wildfire and evacuation hazards, and buildings constructed on hilltops often have exceptional views while having the potential to adversely impact public views. Such development is therefore regulated by the provisions of Section 24.14.030, Slope regulations (outside the Coastal Zone), to ensure that risks to public and private property and adverse impacts to public views are minimized. “Public views” include scenic views of the ocean, beaches, and the Santa Cruz Mountains from public property, including from parks and public rights-of-way.

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Section 73. Section 24.08.810 of Chapter 24.08 of the Santa Cruz Municipal Code regarding Procedure for Slope Development Permit (Applies Outside the Coastal Zone) is hereby amended to read as follows:

24.08.810 PROCEDURE.

Projects on or within twenty feet of a slope of thirty percent or greater must apply for a slope development permit unless the project is exempted from the need for such a permit under Section 24.14.030(1)(g) or when approval of a statewide exemption accessory dwelling unit waives this standard pursuant to Section 24.16.141.11. This permit may be granted by the zoning administrator under Section 24.14.030(1)(c) without a hearing if the project is on or within twenty feet of a slope greater than or equal to thirty percent and less than fifty percent and is consistent with the findings in Section 24.08.820, unless the slope development permit is accompanied by an application that must be heard by a higher body. Projects on or within twenty feet of a slope of fifty percent or greater must be considered at a public hearing by the zoning administrator and must also be consistent with the findings in Section 24.08.820 unless the project is exempted from such a permit per Section 24.14.030(1)(g).

Section 84. Section 24.08.820 of Chapter 24.08 of the Santa Cruz Municipal Code regarding Findings Required for Slope Development Permit (Applies Outside the Coastal Zone) is hereby amended to read as follows:

24.08.820 FINDINGS REQUIRED.

A slope development permit may be granted when all of the following applicable conditions are found:

1. Measures have been included within the design of the project to mitigate impacts on environmental constraint areas identified in the Natural Resources and Conservation Element and the Safety Element of the General Plan and the Local Coastal Program.

2. Landscaping of an appropriate type, size, and quality is proposed to mitigate any adverse environmental effect.

3. Usable open space is proposed in an amount equal to that normally required.

4. A registered civil engineer or other qualified professional will design streets, buildings, and other man-made structures to conform with existing landforms and topography.

5. Adequate fire safety measures as required by the city fire department have been incorporated into the design of the proposed development, when located in a designated fire hazard area.

6. The proposed project employs architectural and design elements which in total serve to reduce the mass and bulk of structures to protect public views. Such elements may include:

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a. Multiple floor levels which follow natural slopes;
b. Multiple roof lines to provide visual interest and break up the visual impact of the building;
c. Decks and balconies to provide building articulation; d. Foundation types such as poles, piles, or stepped levels which minimize cut and fill and need for retaining walls;
e. Fence lines, walls, and other features which blend with the terrain rather than strike off at an angle against it.

7. If a project proposed for construction is in a landslide area identified in a site-specific geological report prepared pursuant to Section 24.14.030(1)(d), findings must be made that mitigation measures necessary to fulfill the purpose of this part have been incorporated into project design, based on the project’s environmental review and geotechnical reports.

Section 95. Section 21.08.1320 of Chapter 24.08 of the Santa Cruz Municipal Code regarding General Provisions of Residential, Demolition/Conversion Authorization Permits is hereby amended to read as follows:

24.08.1320 GENERAL PROVISIONS.

California State law includes strict standards for the demolition of housing in an effort to ensure that existing density is not reduced and that housing that is currently rented to lower income tenants is maintained as affordable housing within new development. Housing demolition and housing development projects must comply with the requirements of this section as well as those contained in California state law governing relocation assistance and replacement housing units, including but not limited to Government Code Sections 65589.5 and 66300, as amended. For each provision of the regulations, when both this code and the California Government Code apply, whichever requires the higher number of replacement units, bedrooms, and/or relocation assistance shall take precedence. A residential demolition/conversion authorization permit shall be required prior to issuance of a demolition permit for any residential dwelling unit, including any accessory dwelling unit or junior accessory dwelling unit, or single-room occupancy living unit. A residential unit that is replaced by a conversion accessory dwelling unit shall not be required to obtain a residential demolition authorization permit.

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Section 106. Section 21.08.1330 of Chapter 24.08 of the Santa Cruz Municipal Code regarding Demolition of Conversion of Single-Family Residence or Duplex Units is hereby amended to read as follows:

24.08.1330 DEMOLITION OR CONVERSION OF SINGLE-FAMILY RESIDENCE OR DUPLEX UNITS.

The zoning administrator may issue a demolition/conversion authorization permit for the demolition or conversion of a single-family residence, accessory dwelling unit, junior accessory dwelling unit, or duplex upon finding that:

1. The building is not subject to the provisions of Part 11 (regarding Historic Demolition Permits) of this chapter, or that the demolition or conversion has been approved pursuant to the procedures set forth in Part 11; and

2. The project which will replace the demolished or converted unit(s) has been approved by the city, and an appropriate building permit has been issued; unless no building permit is required or some other practical hardship can be documented rendering this finding inappropriate; and

3. The building is not in the coastal zone, or, if it is in the coastal zone, is being replaced by a residential use or a nonresidential coastal-dependent use as defined by Section 30101 of the Public Resources Code; and

4. Relocation assistance has been provided to eligible tenants consistent with Section 24.08.1350; or

5. The building which is in the coastal zone and is being replaced by a nonresidential use which is not coastal-dependent as defined in Section 30101 of the Public Resources Code, is located where residential use is no longer feasible, but will not be issued a demolition permit or building permit in connection with the conversion until the applicant has entered into an agreement to provide relocation assistance and replacement housing or in-lieu fees consistent with Section 24.08.1350 and the applicable portions of Sections 24.08.1360 and 24.08.1370.

Section 117. Section 24.16.020 of Chapter 24.16 of the Santa Cruz Municipal Code regarding Basic On-Site Inclusionary Housing Requirements is hereby amended to read as follows:

24.16.020 BASIC ON-SITE INCLUSIONARY HOUSING REQUIREMENTS.

1. Applicability.
a. The inclusionary housing requirements defined in this chapter are applicable to all residential developments that create two or more new and/or additional dwelling units or FDU or SRO units at one location by construction or alteration of structures, or would create two or more lots through approval of a parcel map or tentative map, except for exempt residential developments under subsection (2).

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b. Additional rent above and beyond affordable rent or affordable ownership cost may be permitted for the commercial/work space in a live/work unit at a rent that is determined to be affordable to qualifying households and is proportionate to the amount of commercial space provided. The amount of rent for the commercial portion of the live/work unit shall be agreed upon by the developer, the economic development director, and the planning and community development director. If no agreement can be reached, the city will retain an outside financial consultant to evaluate and determine the allowable affordable rent and establish a methodology for determining future commercial rent levels. The methodology for determining future commercial rent levels shall be defined in every affordable housing development agreement for residential developments that include at least one live/work unit.

2. The following residential developments are exempt from the requirements of this chapter:
a. Residential developments developed pursuant to the terms of a development agreement executed prior to the effective date of the ordinance codified in this chapter; provided, that such residential developments comply with any affordable housing requirements included in the development agreement or any predecessor inclusionary housing requirements in effect on the date the development agreement was executed.
b. Residential developments for which a complete application was filed with the city prior to the effective date of the ordinance codified in this chapter; provided, that such residential developments comply with any predecessor inclusionary housing requirements in effect on the date the application for the residential development was deemed complete. c. Residential developments if exempted by California Government Code Section 66474.2 or 66498.1; provided, that such residential developments comply with any predecessor inclusionary housing requirements in effect on the date the application for the residential development was deemed complete.
d. Residential developments replacing dwelling units that have been destroyed by fire, flood, earthquake, or other acts of nature, so long as no additional dwelling units are created by the residential development; and provided, that such residential developments comply with any inclusionary housing requirements previously applied to the dwelling units being replaced. e. Rental residential developments with two to four dwelling units.

3. Ownership Residential Developments with Two to Four Dwelling Units. For ownership residential developments that would create at least two but not more than four new or additional dwelling units and/or live/work units at one location, the applicant shall either: (a) make one inclusionary unit available for sale at an affordable ownership cost; (b) make one inclusionary unit available at an affordable rent for low income households; or (c) pay an in-lieu fee calculated pursuant to Section 24.16.030(6).

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Section 24.16.030(6). This subsection (4)(b) applies to the fractional unit only, and whole units shall be provided as required by subsection (4)(a).
c. Fractional Affordable Housing Requirement for Ownership Residential Developments – More Than 0.7 Units. If the number of dwelling units required under subsection (4)(a) results in a fractional requirement of greater than 0.7, then the applicant shall either: (i) make one inclusionary unit available for sale at an affordable ownership cost; or (ii) make one inclusionary unit available at an affordable rent for low income households. This subsection (4)(c) applies to the fractional unit only, and whole units shall be provided as required by subsection (4)(a). d. Rental Units in an Ownership Residential Development. i. In an ownership residential development where all dwelling units are initially offered for rent, an applicant may satisfy the inclusionary requirements by providing rental units as provided in subsection (5).
ii. The rent regulatory agreement required by Section 24.16.045 shall include provisions for sale of the inclusionary units at an affordable ownership cost to eligible households within ninety days from the issuance of the public report by the California Department of Real Estate permitting sale of the units or at termination of the tenant’s lease whichever is later and otherwise in compliance with state law; provided, however, that the sale of the entire ownership residential development from one entity to another shall not trigger the obligation to sell individual inclusionary units. To the extent relocation payments are required by law the applicant shall be wholly responsible for the cost of preparing a relocation plan and making required payments. Any tenant of an inclusionary unit at the time units are offered for sale that qualifies to purchase an inclusionary unit at an affordable ownership cost shall be offered a right of first refusal to purchase the inclusionary unit. At sale appropriate documents shall be recorded to ensure the continued affordability of the inclusionary units at an affordable ownership cost as required by Section 24.16.045.

5. Rental Residential Developments with Five or More Dwelling Units. For rental residential developments that would create five or more new or additional dwelling units and/or live/work units at one location, the applicant shall provide inclusionary units as follows:
a. Rental residential developments that would create five or more new or additional dwelling units or live/work units at one location shall provide twenty percent of the dwelling units as inclusionary units, which shall be made available for rent to low income households at an affordable rent.
b. SRO Developments. In a rental residential development comprised of SRO units, twenty percent of the single-room occupancy units shall be made available for rent to very low income households at an affordable rent.
c. Fractional Affordable Housing Requirement for Rental Residential Developments with More Than Five Dwelling Units. If the number of dwelling units required results in a fractional requirement of 0.7 or less, then there will be no inclusionary requirement for the fractional unit.

If the number of dwelling units required results in a fractional requirement of greater than 0.7, then the applicant shall make one inclusionary unit available at an affordable rent. This subsection (5)(c) applies to the fractional unit only, and whole units shall be provided as required by subsections (5)(a) and (b).

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a. By mutual agreement by the developer, the planning and community development director, and the economic development director, the percentage of inclusionary units may be increased in exchange for reduced parking and/or other development requirements. b. If the developer agrees to make at least forty percent of the residential project available for rent to low income households at a rental cost affordable to low income households, in addition to reduction of development requirements, by mutual agreement by the developer, the planning and community development director, and the economic development director, the city may also provide financial incentives to increase the number of inclusionary units in a project.

7. For the purposes of calculating the number and type of inclusionary units required by this section, rental accessory dwelling units that are not eligible for separate conveyance, constructed either as part of the initial development or anytime thereafter, shall be subject to the requirements of subsection (5), and ownership accessory dwelling units or rental accessory dwelling units that are mapped, created either as part of the initial development or anytime thereafter shall be subject to the requirements of subsections (3) and (4). The calculation shall be based on the total resulting number of accessory dwelling units on the original lot. The inclusionary requirement for accessory dwelling units constitutes a separate inclusionary requirement than that of the primary residential use, such that only accessory dwelling units shall count toward the inclusionary requirement calculation for the accessory dwelling units on the lot, and only the residential units comprising the primary residential use shall count toward the inclusionary requirement calculation for the primary residential use on the lot. The accessory dwelling unit inclusionary requirement shall be met with accessory dwelling units or as otherwise permitted under Section 24.16.030, including, but not limited to payment of the in-lieu fee.

8. For purposes of calculating the number of inclusionary units required by this section, any dwelling units authorized as a density bonus pursuant to Part 3 of this chapter shall not be counted as part of the residential development. However, if a developer receives a city rental housing bonus as authorized by Section 24.16.035(4), then all of the dwelling units in the project, including the dwelling units authorized as a density bonus, shall be counted as part of the residential development for purposes of calculating the inclusionary units required by this section.

Section 128. Section 24.16.100 of Chapter 24.16 of the Santa Cruz Municipal Code regarding Purpose of Accessory Dwelling Units is hereby amended to read as follows:

24.16.100 PURPOSE.

The ordinance codified in this part provides for accessory dwelling units in certain areas and on lots developed or proposed to be developed with single- or multifamily dwellings. Such accessory dwellings are allowed because they can contribute needed housing to the community’s housing stock. Accessory dwelling units provide housing for family members, students, the elderly, in-home health care providers, the disabled, and others within existing neighborhoods, and homeowners who create accessory dwelling units may benefit from added income and an increased sense of security.

In addition, the ordinance codified in this part provides a mechanism to grant legal status to existing illegally constructed accessory dwelling units in single-family neighborhoods. By encouraging legalization, safe dwellings may be added to the city’s existing housing supply.

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Accessory dwelling units and junior accessory dwelling units are considered dwelling units for the purposes of meeting the City's Regional Housing Needs Assessment allocation and for the purposes of replacement housing and relocation assistance requirements.

Thus, it is found that accessory dwelling units are a residential use that is consistent with the General Plan objectives and zoning regulations and that enhances housing opportunities throughout the city of Santa Cruz. To ensure that accessory dwelling units will conform to General Plan policy, the following regulations are established.

Section 139. Section 24.16.125 of Chapter 24.16 of the Santa Cruz Municipal Code regarding Definitions of Accessory Dwelling Units is hereby amended to read as follows:

24.16.125 DEFINITIONS
The following definitions shall apply to accessory dwelling units throughout the municipal code:

1. “Attached accessory dwelling unit” shall mean an accessory dwelling unit that is attached to the primary dwelling, including to an attached garage.

2. “Conversion accessory dwelling unit” shall mean any accessory dwelling unit created by the conversion of any one permitted, entitled, or legal nonconforming building, or portion of such a building. The conversion accessory dwelling unit may either be converted utilizing the existing structural components of the building or reconstructed within the existing threedimensional physical space occupied by the building. On property developed with multi-unit buildings, only areas that are not used as livable space, including, but not limited to, storage rooms, boiler rooms, passageways, attics, basements, or garages, shall be eligible to become conversion accessory dwelling units. The limitation on converting non-livable space shall not apply to a nonconforming duplex on a single-family zoned lot where one unit is converted to an accessory dwelling unit to result in a single-family home and accessory dwelling unit on the site.

Consistent with zoning standards, conversion accessory dwelling units shall be permitted to expand the existing footprint of the building by up to one hundred fifty square feet, and the existing height by up to two feet.

3. “Detached accessory dwelling unit” shall mean an accessory dwelling unit that is separated from any single- or multi-unit building.

4. “Multi-unit building” shall mean a building with two or more attached dwellings on a single lot, including apartment or condominium buildings that contain at least two units.

Accessory dwelling units do not count toward the number of units in this calculation.

5. “New construction accessory dwelling unit” shall mean any accessory dwelling unit that includes new construction and that does not meet the definition and requirements for a conversion accessory dwelling unit.

6. “Non-exempt accessory dwelling unit” shall mean an accessory dwelling unit that does not meet the definition of a statewide exemption accessory dwelling unit.

7. “Primary dwelling” shall mean the dwelling unit with which the accessory dwelling unit or junior accessory dwelling unit is associated.

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with one or more other dwellings that are not attached to the single-unit building. Accessory dwelling units do not count toward the number of units in this calculation.

9. “Statewide exemption accessory dwelling unit” shall mean any of the following:
a. One accessory dwelling unit and one junior accessory dwelling unit per lot with a proposed or existing single-unit building, including a single-family dwelling, townhome, or a detached residential condominium or apartment unit on a lot with multiple dwellings, if all of the following apply:
i. The accessory dwelling unit or junior accessory dwelling unit is within the proposed space of a single-unit building or it is within the existing space of a single-unit building or detached accessory building. This type of statewide exemption accessory dwelling unit does not include a building reconstructed within the three-dimensional space of an existing building to be demolished.
ii. If the accessory dwelling unit is within the space of an existing detached accessory building, the accessory dwelling unit may include an expansion of not more than 150 square feet beyond the same physical dimensions as the existing accessory building. An expansion beyond the physical dimensions of the existing building shall be limited to accommodating ingress and egress.
iii. The accessory dwelling unit has an exterior entrance separate from that of the primary dwelling unit.
iv. The side and rear setbacks are sufficient for fire and safety. v. The junior accessory dwelling unit complies with the requirements of Section 24.16.170 below.
b. One detached, new construction accessory dwelling unit that meets the following standards:
i. The accessory dwelling unit shall be located on a lot with a proposed or existing single-unit building, including a single-family dwelling, townhome, or a detached residential condominium or apartment unit on a site with multiple dwellings.
ii. The accessory dwelling unit size shall not exceed 800 square feet in floor area.
iii. Interior side yard and rear yard setbacks shall be at least four feet. iv. The accessory dwelling unit shall meet one of the following height limitations as measured to the roof peak:

1. A height of 16 feet; or

2. A height of 18 feet if the accessory dwelling unit is on a lot within one-half of one mile walking distance of a major transit stop or a high-quality transit corridor, as those terms are defined in Section 21155 of the Public Resources Code. This height can be increased an additional two feet to twenty feet to accommodate a roof pitch on the accessory dwelling unit that is aligned with the roof pitch of the primary dwelling unit.
v. The accessory dwelling unit may be combined with a junior accessory dwelling unit that meets the standards as described in Section 24.16.170.

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c. Multiple accessory dwelling units within the portions of existing multi-unit buildings, including a residential condominium or apartment building with two or more attached units, that are not used as livable space, including but not limited to storage rooms, boiler rooms, passageways, attics, basements, or garages, if each unit complies with state building standards for dwellings. The number of accessory dwelling units permitted is equivalent to up to twenty-five percent of the number of existing, legally permitted units in the multi-unit building, or one, whichever is greater. When the twenty-five percent limit results in a fraction of a unit, the total number of accessory dwelling units that may be added shall be determined by rounding the fraction up to the next whole number. d. Not more than two detached accessory dwelling units that are located on a lot that has an existing or proposed multi-unit building, including a residential condominium or apartment building with two or more attached units. Each accessory dwelling unit shall meet the following standards:
i. Rear and interior side yard setbacks shall be at least four feet. If the existing multi-unit building has a rear or interior side yard setback of less than four feet, the existing multi-unit building will not be required to be modified to meet this setback.
ii. The accessory dwelling units shall meet one of the following height limitations as measured to the roof peak:

1. A height of 16 feet; or

2. A height of 18 feet if the accessory dwelling unit is on a lot within one-half of one mile walking distance of a major transit stop or a high-quality transit corridor, as those terms are defined in Section 21155 of the Public Resources Code. This height can be increased an additional two feet to 20 feet to accommodate a roof pitch on the accessory dwelling unit that is aligned with the roof pitch of the primary dwelling unit; or

3. A height of 18 feet for a detached accessory dwelling unit on a lot with an existing or proposed multi-unit, multistory building.

Section 1410. Section 21.16.130 of Chapter 24.16 of the Santa Cruz Municipal Code regarding Permit Procedures is hereby amended to read as follows:

24.16.130 PERMIT PROCEDURES.

1. Accessory dwelling units shall be principally permitted uses within the zoning districts specified in Section 24.16.120 and subject to the development standards in Section 24.16.140 et seq.

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a. The permit application to create an accessory dwelling unit or junior accessory dwelling unit requires simultaneous approval of a discretionary or building permit associated with creating a new single-unit or multi-unit building on the same lot or parcel.

The City may delay approving or denying the building permit application for the accessory dwelling unit or the junior accessory dwelling unit until the City approves or denies the permit application to create the new single-unit or multi-unit building; or b. When the applicant seeks a delay for any reason, including but not limited to pursuit of a discretionary permit pursuant to Section 24.16.130.8. The period of the delay shall not count toward the sixty-day time period.

3. If the City denies an application to create an ADU or JADU, the City must provide the applicant with comments that include, among other things, a list of all defective or deficient items and a description of how the application may be remedied by the applicant. Notice of the denial and corresponding comments must be provided to the applicant in accordance with the 60- day time period set forth in Section 24.16.130 (4) above.

4. Construction of an accessory dwelling unit shall not constitute a Group R occupancy change under the local building code, except as specified under state law. Construction of an accessory dwelling unit shall not trigger a requirement for fire sprinklers to be installed in the existing single-unit or multi-unit building.

5. The City shall not require, as a condition for ministerial approval of a permit application for the creation of an accessory dwelling unit or a junior accessory dwelling unit, the correction of nonconforming zoning conditions, building code violations, or unpermitted structures unless they present a threat to public health and safety and are affected by the construction of the accessory dwelling unit.

6. The City shall not require, and the applicant shall not be otherwise required, to provide written notice or post a placard for the demolition of a detached garage that is to be replaced with an accessory dwelling unit, unless the property is located within an architecturally and historically significant historic district.

7. An accessory dwelling unit replacing a detached garage shall receive review and issuance of a demolition permit concurrently with the review and issuance of the permit for the accessory dwelling unit.

8. To promote flexibility in siting of accessory dwelling units, nothing in this Part shall prohibit an applicant from pursuing a discretionary permit to construct an accessory dwelling unit on a lot that has a buildable area of at least eight hundred square feet with at least four foot side and rear yard setbacks for an attached or detached accessory dwelling unit with application of all site development standards or waivers as provided in Section 24.16.141 but where the applicant

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chooses to place the accessory dwelling unit in a location that does not meet such standards or waivers.

Section 1511. Section 21.16.140 of Chapter 24.16 of the Santa Cruz Municipal Code regarding Development Standards is hereby renamed General Development Standards and amended to read as follows:

24.16.140 GENERAL DEVELOPMENT STANDARDS.

All accessory dwelling units, both new construction and conversion, shall conform to the following requirements:

1. Number of Accessory Dwelling Units per Parcel.
a. For parcels including a proposed or existing single-unit building, including a singlefamily home, townhome, or multiple detached dwellings, but not including any multifamily structures: One non-exempt accessory dwelling unit shall be allowed on each lot in addition to any statewide exemption accessory dwelling units. Each lot may also include a junior accessory dwelling unit conforming to the standards set forth in Section 24.16.170.
b. For lots developed with an existing or proposed multi-unit building, including an apartment or condominium building with two or more dwelling units: no non-exempt accessory dwelling units shall be allowed in addition to any statewide exemption dwelling units. The number of statewide exemption dwelling units allowed on each lot equals two new construction and at least one conversion accessory dwelling unit. Up to twenty-five percent of the number of existing dwellings in the multi-unit building may be added as conversion accessory dwelling units. When the twenty-five percent limit results in a fraction of a unit, the total number of accessory dwelling units that may be added shall be determined by rounding the fraction up to the next whole number.

2. Existing Development on Lot. One of the following conditions must be present in order to approve an application to create an accessory dwelling unit:
a. One or more single-unit buildings, as defined in Section 24.16.125.8, exists on the lot or will be constructed concurrently and in conjunction with the accessory dwelling unit; b. The lot contains an existing multi-unit building, as defined in Section 24.16.125.4, or a multi-unit building that will be constructed concurrently and in conjunction with the accessory dwelling unit.

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3. Building Code Requirements. The accessory dwelling unit shall meet the requirements of the California Building Standards Code, including the alternative means and methods section as prescribed therein.

4. Large Home Design Permit. The square footage of an accessory dwelling unit shall not be counted with the square footage of the single-family home in determining whether a large home design permit is required. The square footage of a junior accessory dwelling unit shall be counted with the square footage of the single-family home in determining whether a large home design permit is required.

5. Accessory dwelling units that require approval of a coastal permit shall conform to the standards in Section 24.12.140.2.

6. Accessory dwelling units shall meet the inclusionary requirements described under Section

24.16.020.8.

Section 1612. Section 21.16.141 of Chapter 24.16 of the Santa Cruz Municipal Code regarding New Construction Accessory Dwelling Unit Development Standards is hereby renamed Site Development Standards and amended to read as follows:

24.16.141 SITE DEVELOPMENT STANDARDS.

Despite any directly conflicting zone district site development standards, all accessory dwelling units shall comply with the following site development standards. All other zone district site development standards not listed here shall apply to accessory dwelling units.

1. General.

Development
Standard
Attached Conversion1,2 Detached
Maximum
Floor Area
(square feet)
3,4
Greatest of:
 850 for a studio or
one bedroom
 1,000 for a unit with
two or more
bedrooms.
 50% of the habitable
area of the primary
dwelling to which
the unit is attached
Footprint of existing
building. Can expand
footprint by 150.5,6
Greatest of:
 850 for a studio or
one bedroom
 1,000 for a unit
with two or more
bedrooms
 10% net lot area
and no more than
1,200 habitable
square feet.

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Maximum
Height (feet)7
Zone district standard
that applies to primary
dwelling.

Maintain existing, or
expand up to lesser of
2’ or standard for new
construction ADU.8
 16’ to roof peak if
less than 4’ from
side/rear property
line
 22’ to roof peak if
4’ or more from
side/rear property
line
Minimum
Front Setback
(feet)
Zone district standard
that applies to
primary dwelling.

Maintain existing.

Any expansion shall
meet new construction
standard.

Lesser of:
 Front wall line of
primary building,
excluding any
projections from
that line.
 Zone district
standard.

Minimum
Rear Setback
(feet)
4’ Maintain existing.

Any expansion shall
meet new construction
standard.
3’ for up to 16’
height.
4’ above 16’ height.

Minimum
Exterior Side
Yard Setback
Zone district standard
that applies to
primary dwelling.

Maintain existing.

Any expansion shall
meet new construction
standard.

Zone district
standard.

Minimum
Interior Side
Yard Setback
4’9 Maintain existing.

Any expansion shall
meet new
construction
standard.
3’ for up to 16’
height
4’ above 16’ height
Minimum
Distance
Between
Buildings
6’ Maintain existing. 6’
for any expansion
6’

1. Conversion accessory dwelling units may occupy the three-dimensional space, including setbacks, lot coverage, and height, of the building to be converted or reconstructed, regardless of conformance to current zoning standards.

2. A conversion accessory dwelling unit with any expansion in excess of the above thresholds shall be reviewed as a new construction accessory dwelling unit, including assessment of any required fees.

3. Accessory dwelling units that utilize alternative green construction methods that cause the exterior wall thickness to be greater than normal shall be accommodated by calculating the unit square footage size in a manner that accounts for the difference between the square footage of the proposed building and the square footage of a traditional frame house.

4. Stairways that provide access to accessory dwelling units do not count toward the floor area of an accessory dwelling unit when the stairs are not part of the conditioned space, the stairs do not include any other rooms or room-like areas that would function as habitable floor area for the ADU, and there is a fire-rated entry door at the top of the stairs at the entrance to the accessory dwelling unit.

5. An expansion of up to 150 square feet shall not enlarge the accessory dwelling unit beyond one thousand two hundred square feet unless necessary to accommodate ingress and egress to the accessory dwelling unit.

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6. Expansions detached from the primary dwelling shall meet height and setback requirements for a new construction detached accessory dwelling unit. Expansions attached to the primary dwelling shall meet height and setback requirements for new construction attached dwelling units. Expansions of either type on a substandard lot shall be consistent with substandard lot development standards described in Section

24.16.161.7.

7. If the design of the building in which the primary dwelling is located has special roof features that should be matched on the detached accessory dwelling unit to enhance design compatibility, the maximum allowed building height of the accessory dwelling unit may be exceeded in order to include such similar special roof features, subject to review and approval of the zoning administrator as part of the review of the building permit application.

8. Existing and resulting roof height are measured to the roof peak. Other portions of the roof may expand more than two feet if their resulting height is the same or lower than the resulting roof peak.

9. Any zone development standard for an additional setback based on building height or stories shall not apply to the portion of the building that contains the accessory dwelling unit.

2. Parking. No off-street parking shall be required for any accessory dwelling unit outside of the Coastal Zone. Any parking spaces, covered or uncovered, removed in order to create an accessory dwelling unit shall not be required to be replaced outside the Coastal Zone. For properties within the Coastal Zone, parking requirements are contained in Section 24.12.240.1.

3. Rear Yard Lot Coverage. In no case shall any accessory dwelling unit be limited in size based on rear yard lot coverage requirements contained in Section 24.12.140.1.f. In the application of Section 24.12.140.1.f., the footprint of accessory dwelling units shall not count toward the maximum allowable lot coverage by accessory buildings in yard setback areas.

4. Projections. An accessory dwelling unit that meets the standard zone district setbacks shall be permitted to include projections as described in Section 24.12.120.1. An accessory dwelling unit, or portion thereof, that does not meet standard zone district setbacks but meets standard setbacks for new construction accessory dwelling units shall be permitted to include architectural features such as cornices, canopies, eaves, and sills that project into the setback two and one-half feet. A conversion accessory dwelling unit, or portion thereof, that does not meet standard setbacks for new construction accessory dwelling units shall not contain any new projections beyond any already present on the existing wall.

5. If a new construction detached accessory dwelling unit is attached to a non-habitable accessory use within the same building, then the portion of the building containing the nonhabitable use shall meet the site development standards for non-habitable accessory buildings as described in Section 24.12.140. A garage may have interior access to an accessory dwelling unit, but no other non-habitable accessory use within the same building shall have interior access to the accessory dwelling unit.

6. Clear corner triangle and clear vision area. Any new construction accessory dwelling unit or expansion of a conversion accessory dwelling unit shall be located outside of the clear corner triangle, as defined in Section 24.22.202, and the clear vision area, as defined in Section

24.22.206.

7. Substandard Lots. When a new construction accessory dwelling unit is proposed on a substandard residential lot, as defined in Section 24.22.520, that contains a single-family residential use, the following design standards shall apply:
a. The maximum allowable lot coverage for all structures shall be forty-five percent, except that lot coverage shall be waived to the extent that it physically precludes the construction of the accessory dwelling unit up to eight hundred square feet in floor area. The lot coverage of the accessory dwelling unit shall not be included in the calculation of all

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other structures’ maximum allowable lot coverage. Lot coverage shall include the footprints of the first floor, garage and other accessory buildings (attached and detached), decks and porches (greater than thirty inches in height and not cantilevered), and any second-story cantilevered projection (enclosed or open) beyond two and one-half feet.

Decks under thirty inches in height or fully cantilevered with no vertical support posts do not count toward lot coverage for this purpose. Second-story enclosed cantilevered areas that project less than thirty inches from the building wall do not count toward lot coverage. For such areas that project more than thirty inches from the building wall, only the floor area that projects more than thirty inches shall be counted toward lot coverage. b. The floor area of a building’s second story shall be limited to one hundred percent of the floor area of the building’s first floor if the floor area of the building’s first story constitutes thirty percent or less of the net lot area. c. The floor area of a building’s second story shall not exceed fifty percent of the floor area of the building’s first story if the building’s first story has greater than thirty percent lot coverage up to a maximum of forty-five percent lot coverage. d. The floor area of a building’s second story shall be limited to fifty percent of forty-five percent lot coverage if the building’s first story has greater than forty-five percent lot coverage.

8. Archaeological Resources. The application shall be consistent with all objective standards relating to the preservation of archaeological resources pursuant to Section 24.12.430.

9. Distance from Natural Features. Any new construction accessory dwelling unit or expansion of a conversion accessory dwelling unit shall be consistent with the following standards for distance from natural features.
a. The accessory dwelling unit shall not be constructed within any watercourse setback designated within the City-Wide Creeks and Wetlands Management Plan that does not allow for construction of an accessory dwelling unit by right, as implemented by Section

24.08.2100 et seq.
b. If the site or an adjacent lot contains a wetland or potential wetland as shown in the Citywide Creeks and Wetlands Management Plan, the accessory dwelling unit shall be located at a distance from the wetland as recommend in a report prepared by a professional biologist with a background in wetland biology. c. The accessory dwelling unit shall not be constructed within 20 feet of a 30 percent or greater slope.
d. The accessory dwelling unit and any related construction and site work shall be located away from a heritage tree, or any street tree growing in the public right of way protected under municipal code chapter 13.30, the greatest distance of: 10 feet, or three times the diameter of the tree’s largest trunk at 54 inches above grade, or the dripline of the tree. e. When the project site includes an area mapped for sensitive habitat or vegetation under the general plan, the accessory dwelling unit and related site work shall be located at a distance from such habitat or vegetation area as determined in a report prepared pursuant to Section 24.14.080 by a professional biologist with a background in sensitive habitat biology.

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applicant only may waive any one or more of the following site development standards to the extent that it increases the buildable area to allow such an accessory dwelling unit:
a. Percentage of primary dwelling, and/or
b. Lot coverage, and/or
c. Floor area ratio, and/or
d. Open space, and/or
e. Front setbacks.

11. If waiver of all the standards listed in Section 24.16.141.10 results in a buildable area that physically precludes the creation of a statewide exemption accessory dwelling unit, then the following site development standards shall be waived only to the extent that the waiver increases the buildable area to allow construction of a statewide exemption accessory dwelling unit. Such waivers are limited to the following:
a. First, the applicant may waive any one or more of the following standards:
i. Exterior side yard setback, and/or
ii. Distance between buildings, and/or
iii. Second floor area of a structure on a substandard lot, and/or iv. Distance from 30 percent or greater slopes.
b. If waiver of all standards in Section 24.16.141.11.a. results in a buildable area that physically precludes the creation of a statewide exemption accessory dwelling unit, then the applicant may waive any one or more of the following standards:
i. The management and development setbacks of a watercourse, but not the riparian setback, when recommendations in a report prepared by a professional biologist with a background in riparian biology are followed and included on the building permit plans. The report recommendations shall not include a requirement to move the building; and/or
ii. The required distance from a heritage tree, or any street tree growing in the public right of way protected under Municipal Code Chapter 13.30, if a report prepared by a professional consulting arborist determines that the reduced distance does not require removal of the tree or any other action that would require approval of a heritage tree permit pursuant to Municipal Code Chapter 9.56 or street tree permit pursuant to Municipal Code Chapter 13.30 and when the building permit plans incorporate all recommendations from the report.
c. If waiver of all the standards in Section 24.16.141.11.b. results in a buildable area that physically precludes the creation of a statewide exemption accessory dwelling unit, then the applicant may waive any one or more of the following standards:
i. The required distance from a heritage tree or any street tree growing in the public right of way protected under Municipal Code Chapter 13.30, if a report prepared by a professional consulting arborist determines that the tree must be removed or that any other action must be taken that would otherwise require a heritage tree permit pursuant to Municipal Code Chapter 9.56 or street tree permit pursuant to Municipal Code Chapter 13.30. In this case, the statewide exemption dwelling unit is exempt from heritage tree permit and street tree permit requirements. Instead, the building permit plans shall include replacement tree(s) with a location and species specified in the arborist report, or the applicant shall pay an in-lieu fee, as described in the City's heritage tree regulations of Municipal Code Chapter 9.56, street tree regulations of

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Municipal Code Chapter 13.30, associated City Council resolutions, and associated implementing standards.
ii. The riparian setback of a watercourse, when recommendations in a report prepared by a professional biologist with a background in riparian biology are followed and included on the building permit plans. The report recommendations shall not include a requirement to move the building; and/or
iii. Distance from a wetland as determined pursuant to Section 24.16.141.9.b, when recommendations in a report prepared by a professional biologist with a background in wetland biology are followed and included on the building permit plans. The report recommendations shall not include a requirement to move the building; and/or iv. Distance from a sensitive habitat or vegetation area as determined pursuant to Section

24.16.141.9.e, when recommendations in a report prepared by a professional biologist with a background in sensitive habitat biology are followed and included on the building permit plans. The report shall not include a requirement to move the building; and/or
v. Distance from an archaeological resource recommended in a report prepared by a professional archaeologist. The applicant shall submit an additional review by the archaeologist with recommendations for archaeological resource protection based on the proposed location of the accessory dwelling unit. The additional review shall not include a requirement to move the building. The recommendations from the additional review shall be followed and included on the building permit plans. d. If waiver of all the standards in Section 24.16.141.11.c results in a buildable area that precludes creation of a statewide exemption accessory dwelling unit, then the applicant may waive the following standards in the following order:
i. Clear vision area
ii. Clear corner triangle
Section 1713. Section 21.16.142 of Chapter 24.16 of the Santa Cruz Municipal Code regarding Conversion Accessory Dwelling Unit Development Standards is hereby renamed Accessory Dwelling Unit Design Standards and amended to read as follows:

24.16.142 ACCESSORY DWELLING UNIT DESIGN STANDARDS
All accessory dwelling units, or the type of accessory dwelling unit if specified below, shall comply with the following design standards:

1. Municipal Code Requirements. All accessory dwelling units shall meet the objective design standards set forth in this Code, including landscape and tree removal and/or replacement requirements.

2. The following standards apply to accessory dwelling units that that do not meet one or more of the standard setbacks for the zone district in which they are proposed:
a. The entrance to the accessory dwelling unit, access stairs, and second story decks shall face the interior of the lot unless the accessory dwelling unit is adjacent to an alley or a public street.
b. When an accessory dwelling unit is adjacent to an alley or a public street, the accessory dwelling unit shall be oriented toward the alley or street with the front access door and windows facing the alley or street. The entry facing the alley or street shall

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include a minimum of 12 square feet of flat, unenclosed, covered area, which may be a projection from the building, or inset, or a combination of the two. c. Windows that do not meet the standard zone district side or rear setback and that face an adjoining residential property shall be designed to obscure views of that property by ADU occupants, including transom windows, translucent glass, or other methods; alternatively, fencing or landscaping shall be required to provide screening.

3. Connections Between Units. Accessory dwelling units shall not create access between units except a connection between the accessory dwelling unit and the primary dwelling via common access to a shared garage, laundry room, or storage area; provided, that each unit meets the definition of dwelling unit found in Section 24.22.320.

4. The application to construct an accessory dwelling unit on a property that is designated as a historic resource by the National Register of Historic Places, the State of California, or by the City, including any property that has been determined to be eligible for the City’s historic building survey list but the property owner has elected to not list the property (opt-out), shall show substantial compliance with the guidelines of the Secretary of the Interior for development on such properties as confirmed in a report prepared by a professional historic consultant who is listed on the Department of Planning and Community Development’s approved consultant list.

Section 1814. Section 21.16.150 of Chapter 24.16 of the Santa Cruz Municipal Code regarding Deed Restrictions is hereby renamed and amended to read as follows:

24.16.150 USE STANDARDS.

1. For any unit that is not approved for separate sale under the provisions of

24.16.165Government Code Sections 66340-66341: the accessory dwelling unit shall not be sold separately.

2. The unit shall not be altered from the approved size except by approval of a subsequent building permit where the resulting unit meets the accessory dwelling unit development standards described in this Part.

3. The use of the accessory dwelling unit shall be in effect only so long as the property is in compliance with the ordinance as codified.

4. Neither an accessory dwelling unit nor an associated primary dwelling shall be used on a transient occupancy basis or for short-term/vacation rental purposes with a term of 30 or fewer days.
a. Exception. A legal accessory dwelling unit property that had legal status prior to November 10, 2015, and was in use as a short-term/vacation rental prior to that date, and for which the owner remits transient occupancy tax in compliance with Chapter 3.28 in full in a timely manner for the use of the property as short-term/vacation rental purposes, may continue the use.

5. For properties with accessory dwelling units that are located in a permit parking program district, the primary dwelling and the accessory dwelling unit combined shall qualify only for the

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number of residential parking permits that would have been available to the primary dwelling.

No additional permits will be granted for the accessory dwelling unit. The property owner shall offer the tenant of an accessory dwelling unit a residential parking permit if requested by the tenant.

6. For properties developed with attached accessory dwelling units, any portion of the accessory dwelling unit that in the future is remodeled to become part of the primary dwelling shall meet the zone district development standards that apply the primary dwelling.

7. TheIf rented, the accessory dwelling unit and primary dwelling unit shall be registered with the residential rental dwelling unit inspection and maintenance program.

8. Occupancy.
a. For accessory dwelling units permitted on or after January 1, 2020, owner occupancy shall not be required and no land use agreement requiring owner occupancy shall be recorded or enforced on properties containing these units. b. For accessory dwelling units permitted on or before December 31, 2019, the property owner or an adult member of the property owner’s immediate family, limited to the property owner’s spouse, adult children, parents, or siblings, and subject to verification by the city, shall occupy either the primary or accessory dwelling as his or her principal place of residence except under circumstances as established by resolution by the city council that may allow the property owner or the executor or trustee of the property owner’s estate to apply to the city council for approval of a temporary change in use allowing both units to be rented for a period of no more than two years with a possible extension of one year by the planning director if circumstances warrant. Upon the expiration of the rental period, the property owner and/or the property owner’s immediate family member, as specified above, shall reoccupy the property, or the property owner shall cease renting one of the units, or shall demolish the accessory dwelling unit, or shall sell the property to a buyer who will reside on the property. A fee to cover the costs of processing such a request shall be in an amount established by resolution by the city council.
c. For purposes of this chapter, the property owner is the majority owner of the property as shown in the most recent Santa Cruz County assessor’s roll. d. If there is more than one property owner of record, the owner with the majority interest in the property shall be deemed the property owner for purposes of this chapter. Any property owner of record holding an equal share interest in the property may be deemed the majority property owner if no other property owner owns a greater interest. (For example, if the property is owned by two people, each with a fifty percent interest, either of the two owners may be deemed the property owner for purposes of the owner occupancy requirement. If three people own the property, each with a thirty-three and one-third percent interest, any one of the three may be deemed the property owner for purposes of the owner occupancy requirement.)

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Section 1915. Section 21.16.160 of Chapter 24.16 of the Santa Cruz Municipal Code regarding Zoning Incentives is hereby amended to read as follows:

24.16.160 ZONING INCENTIVES.

The following incentives are to encourage construction of accessory dwelling units:

1. Affordability Requirements for Fee Waivers. In addition to any inclusionary housing requirements as set forth under Section 24.16.010 et seq., accessory dwelling units proposed to be rented at affordable rents, as established by the city, may have development fees waived per Part 4 of this chapter. Existing dwelling units shall be relieved of the affordability requirement upon payment of fees in the amount previously waived plus the difference between that amount and the fees in effect at the time of repayment.

2. Front or Exterior Yard Parking. Three parking spaces may be provided in the front or exterior yard setback under this incentive with the parking design subject to approval of the zoning administrator. The maximum impervious surfaces devoted to the parking area shall be no greater than the existing driveway surfaces at time of application. Not more than fifty percent of the front yard width shall be allowed to be parking area.

3. Tandem Parking. For a parcel with a permitted accessory dwelling unit, required parking spaces for the primary single-family dwelling and the accessory dwelling unit may be provided in tandem on a driveway. A tandem arrangement consists of one car behind the other. No more than three total cars in tandem may be counted towards meeting the parking requirement.

Section 20. Section 21.16.165 of Chapter 24.16 of the Santa Cruz Municipal Code regarding Separate Sale of Accessory Dwelling Units is hereby amended to read as follows:

24.16.165 SEPARATE SALE OF ACCESSORY DWELLING UNITS

1. This section implements Government Code Section 66342, enacted by Assembly Bill 1033 (Ting). The purpose of this section is to apply objective local development standards for subdivisions covered by Government Code Section 66342 and is applicable only so long as Government Code Section 66342 is operative. Where this section or Government Code Section 66342 conflict with any other provisions of the municipal code, this section and Government Code Section 66342 shall control. Any development standard or requirement not specifically addressed by this section or Government Code Section 66342 must conform to all other provisions of the municipal code and all other objective policies and requirements governing subdivisions.

2. Condominium parcels for the separate conveyance of one or more accessory dwelling unit(s) and their associated primary dwelling unit may be created on lots with single-unit buildings, and condominium parcels for the separate conveyance of one or more accessory dwelling unit(s) may be created on lots with multi-unit buildings, and such condominium parcels shall be approved only as provided by this section.

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a. On sites with one single-family dwelling and one or more ADUs, the ADU(s) and the single-family dwelling shall each be mapped as condominiums. b. On sites with multiple unmapped rental dwelling units and one or more ADUs, the ADU(s) and any associated primary dwelling shall each be mapped as condominiums, and the remaining rental dwelling units shall be mapped under a single condominium parcel. c. On sites with multiple condominium units and one or more ADUs, the ADU(s) shall each be mapped as condominiums.

3. Creation of five of more condominium parcels under the provisions of this section shall require approval of a tentative map and final map consistent with the requirements of Title 23 of the Municipal Code.

4. Creation of four or fewer condominium parcels under the provisions of this section shall require approval of a parcel map consistent with the requirements of Title 23 of the Municipal Code.

5. Units mapped under the provisions of this section shall not be required to comply with the Community Housing Project Requirements under Section 24.12.180, except:
a. Each new construction accessory dwelling unit or new construction primary dwelling unit shall meet the open space requirement pursuant to Section 24.12.280.3 unless waived pursuant to Section 24.16.141.10.d, and
b. Each new construction accessory dwelling unit or new construction primary dwelling unit shall provide a minimum of two hundred cubic feet of enclosed storage space within the project capable of being secured by lock or other means for each unit, in addition to kitchen cupboards or clothes and linen closets, consistent with Section 24.12.180.4.

6. No off-street parking beyond that required by Section 24.16.141.2 shall be required for any accessory dwelling unit mapped as a condominium.

7. Accessory dwelling units and associated primary dwelling units mapped as condominiums pursuant to this section shall meet the inclusionary dwelling unit requirements under Section

24.16.020.

8. When no more than four condominium units are created from the conversion of existing accessory dwelling units and associated primary dwellings, the following shall apply:
a. The units may be converted to condominiums regardless of the multi-family housing vacancy rate consistent with Municipal Code Section 23.37.020.1. b. Tenants displaced shall retain a first right of refusal if the unit is offered to sale to the general public consistent with Municipal Code Section 23.37.050.g. c. Relocation assistance in the amount of four months’ rent shall be provided to tenants of low or moderate income who have resided in the unit within two years prior to the date of submission of the application for the conversion of the unit(s) consistent with Section

23.37.050.h.

9. Consistent with Government Code Section 66341, an accessory dwelling unit shall be approved with a condominium lot for separate conveyance pursuant to the following:

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a. The condominiums shall be created pursuant to the Davis-Stirling Common Interest Development Act (Part 5 (commencing with Section 4000) of Division 4 of the Civil Code).
b. The condominiums shall be created in conformance with all applicable objective requirements of the Subdivision Map Act (Division 2 (commencing with Section 66410)) and all applicable objective requirements of Title 23, the Subdivision Ordinance. c. Before recordation of the condominium plan, a safety inspection of the accessory dwelling unit shall be conducted as evidenced either through a certificate of occupancy from the City or a housing quality standards report from a building inspector certified by the United States Department of Housing and Urban Development.
d. Neither a subdivision map nor a condominium plan shall be recorded with the county recorder in the county where the real property is located without each lienholder’s consent.

The following shall apply to the consent of a lienholder:
i. A lienholder may refuse to give consent.
ii. A lienholder may consent provided that any terms and conditions required by the lienholder are satisfied.
e. Prior to recordation of the initial or any subsequent modifications to the condominium plan, written evidence of the lienholder’s consent shall be provided to the county recorder along with a signed statement from each lienholder that states as follows: “(Name of lienholder) hereby consents to the recording of this condominium plan in their sole and absolute discretion and the borrower has or will satisfy any additional terms and conditions the lienholder may have.”
f. The lienholder’s consent shall be included on the condominium plan or a separate form attached to the condominium plan that includes the following information:
i. The lienholder’s signature.
ii. The name of the record owner or ground lessee.
iii. The legal description of the real property.
iv. The identities of all parties with an interest in the real property as reflected in the real property records.
v. The lienholder’s consent shall be recorded in the office of the county recorder of the county in which the real property is located.
g. The City shall include the following notice to consumers on any accessory dwelling or junior accessory dwelling unit submittal checklist or public information issued describing requirements and permitting for accessory dwelling units, including as standard condition of any accessory dwelling unit building permit or condominium plan approval:
“NOTICE: If you are considering establishing your primary dwelling unit and accessory dwelling unit as a condominium, please ensure that your building permitting agency allows this practice. If you decide to establish your primary dwelling unit and accessory dwelling unit as a condominium, your condominium plan or any future modifications to the condominium plan must be recorded with the County Recorder. Prior to recordation or modification of your subdivision map and condominium plan, any lienholder with a lien on your title must provide a form of written consent either on the condominium plan, or on the lienholder’s consent form attached to the condominium plan, with text that clearly states that the lender approves recordation of the condominium plan and that you have satisfied their terms and conditions, if any.

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In order to secure lender consent, you may be required to follow additional lender requirements, which may include, but are not limited to, one or more of the following:
(a) Paying off your current lender. You may pay off your mortgage and any liens through a refinance or a new loan. Be aware that refinancing or using a new loan may result in changes to your interest rate or tax basis. Also, be aware that any subsequent modification to your subdivision map or condominium plan must also be consented to by your lender, which consent may be denied. (b) Securing your lender’s approval of a modification to their loan collateral due to the change of your current property legal description into one or more condominium parcels.
(c) Securing your lender’s consent to the details of any construction loan or ground lease. This may include a copy of the improvement contract entered in good faith with a licensed contractor, evidence that the record owner or ground lessee has the funds to complete the work, and a signed statement made by the record owner or ground lessor that the information in the consent above is true and correct.” h. If an accessory dwelling unit is established as a condominium, the homeowner shall notify providers of utilities, including water, sewer, gas, and electricity, of the condominium creation and separate conveyance.
i. The owner of a property or a separate interest within an existing planned development that has an existing association, as defined in Section 4080 of the Civil Code, shall not record a condominium plan to create a common interest development under Section 4100 of the Civil Code without the express written authorization by the existing association. For purposes of this section, written authorization by the existing association means approval by the board at a duly noticed board meeting, as defined in Section 4090 of the Civil Code, and if needed pursuant to the existing association’s governing documents, membership approval of the existing association.

10. Nothing in this section shall prohibit approval of an accessory dwelling with a condominium lot for separate conveyance pursuance to Government Code Section 66340-66341.

Section 16. Section 21.16.170 of Chapter 24.16 of the Santa Cruz Municipal Code regarding Junior Accessory Dwelling Units is hereby amended to read as follows:

24.16.170 JUNIOR ACCESSORY DWELLING UNITS.

1. Notwithstanding any other regulation or definition of this code, one junior accessory dwelling unit shall be permitted on lots in zones where single-family dwellings are an allowed use, including in the R-S, R-1, R-L, R-M, R-H, R-T(A), R-T(B), R-T(C), R-T(D), R-T(E), and PA zones; where one or more single-unit buildings, including a single-family home, townhome, or a detached condominium or apartment on a site with multiple units, exist or are proposed on the lot; and where the owner of the property occupies the property as their principal place of residence.

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2. For the purposes of this section, “junior accessory dwelling unit” shall have the same meaning as defined in Section 65852.22 of the California Government Code.

3. Junior accessory dwelling units shall be attached to a single-unit building and may be created in any part of an existing or proposed single-unit building, including in an attached garage. For purposes of this section, a proposed single-unit building shall mean the resulting building including the junior accessory dwelling unit, regardless of whether portions of the building already exist, and shall therefore include any new single-unit building or a single-unit building resulting from an addition to an existing single-unit building.

4. Junior accessory dwelling units shall be no larger than five hundred square feet in size.

5. Junior accessory dwelling units shall contain, at a minimum, the following features:
a. An exterior entrance separate from that of the primary dwelling. b. A cooking facility with appliances.
c. A food preparation counter and storage cabinets of reasonable size in relation to the size of the junior accessory dwelling unit.

6. Junior accessory dwelling units may include separate sanitation facilities or may share sanitation facilities with the primary dwelling. Where sanitation facilities are shared with the primary dwelling, the junior accessory dwelling unit shall have access to the primary dwelling through internal circulation and shall not be required to exit the building in order to reach the entrance to the primary dwelling.

7. The property owner shall occupy either the junior accessory dwelling unit or the primary dwelling to which the junior accessory dwelling unit is attached as his or her principal place of residence. Owner-occupancy shall not be required if the owner is another governmental agency, land trust, or housing organization.
a. For purposes of this section, the property owner is:
i. The majority owner(s) of the Property as shown in the most recent Santa Cruz County records.
ii. If there is more than one property owner of record, the owner with the majority or highest ownership interest in the Property shall be deemed the property owner. Any property owner(s) of record holding an equal share interest in the Property may be deemed the majority property owner(s) if no other property owner owns a greater interest.
iii. For property held by a corporation or business entity, a shareholder or officer of the corporation or business entity with the greatest shares or business interest as defined in the articles of incorporation, or other applicable business document.
iv. For property held in trust: a) the Trustor(s) or Settlor(s) who created the trust in which the Property is held; or any person(s) or entity deemed as

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the legal owner of the Property held in trust in accordance with the trust document, and b) who has/have the highest ownership interest in the Property.

8. Before obtaining a building permit for a junior accessory dwelling unit, the property owner shall file with the county recorder a declaration of restrictions containing a reference to the deed under which the property was acquired by the present owner and including:
a. A prohibition on the sale of the junior accessory dwelling unit separate from the sale of the single-unit building, including a statement that the deed restriction may be enforced against future purchasers.
b. A restriction on the size and attributes of the junior accessory dwelling unit that conforms with the standards in 24.16.170.

Section 2217. The City Council finds and determines that the adoption of this ordinance is considered a “project” under California Code of Regulations, Title 14, section 15378(a)(1) of the California Environmental Quality Act (CEQA) Guidelines, typically subject to environmental review. The City Council finds that these amendments fall within the analyzed development potential in the City’s existing 2030 General Plan EIR using the existing zoning and General Plan and, therefore, pursuant to Section 15183 of the CEQA Guidelines, no further environmental review under CEQA is required.

Section 2318. If any section or portion of this ordinance is found to be invalid by a court of competent jurisdiction, such finding shall not affect the validity of the remainder of the ordinance, which shall continue in full force and effect.

Section 24.19. Ordinances 2022-22 and 2023-01 shall be rescinded when this ordinance takes effect and be in full force.

Section 2520. This ordinance shall take effect and be in full force thirty (30) days after final adoption.

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PASSED FOR PUBLICATION this 8th day of October 2024, by the following vote:

AYES:

NOES:

ABSENT:

DISQUALIFIED:

APPROVED: __________________________
Fred Keeley, Mayor
ATTEST: ___________________________
City Clerk Administrator
PASSED FOR FINAL ADOPTION this 22nd day of October 2024 by the following vote:

AYES:

NOES:

ABSENT:

DISQUALIFIED:

APPROVED: ___________________________
Fred Keeley, Mayor
ATTEST: ___________________________
Bonnie Bush, City Clerk Administrator
This is to certify that the above
and foregoing document is the
original of Ordinance No. 2024-XX
and that it has been published or
posted in accordance with the
Charter of the City of Santa Cruz.
___________________________
City Clerk Administrator

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AN ORDINANCE OF THE CITY OF SANTA CRUZ AMENDING SANTA CRUZ MUNICIPAL CODE CHAPTERS 21.06 - RESIDENTIAL RENTAL DWELLING UNIT INSPECTION AND MAINTENANCE PROGRAM AND 24.08 - LAND USE PERMITS AND FINDINGS; AMENDING CHAPTER 24.16 PART 1 – INCLUSIONARY HOUSING REQUIREMENTS AND PART 2 – ACCESSORY DWELLING UNITS TO MAINTAIN

CONSISTENCY WITH STATE REGULATIONS, CLARIFY EXISTING STANDARDS, AND

TO REQUIRE PROPERTIES WITH ACCESSORY DWELLING UNITS THAT ARE RENTED TO ENROLL IN THE RESIDENTIAL RENTAL INSPECTION SERVICE; AND RESCINDING ORDINANCE NOS. 2022-22 AND 2023-01. (CEQA: EXEMPT PURSUANT TO CEQA GUIDELINES SECTION 15183 AS A PROJECT CONSISTENT WITH THE GENERAL PLAN FOR WHICH AN EIR WAS CERTIFIED.)
WHEREAS, accessory dwelling units contribute needed housing to the community’s housing stock and provide housing for family members, students, the elderly, in-home health care providers, the disabled, and others within existing neighborhoods, and homeowners who create accessory dwelling units may benefit from added income and an increased sense of security; and WHEREAS, at its December 13, 2022 meeting, the City Council approved Urgency Ordinance 2022-22, amending accessory dwelling unit regulations in the Santa Cruz Municipal Code to comply with implementation deadlines set by state laws AB 2221 and SB 897; and WHEREAS, at its January 24, 2023 meeting, the City Council extended the urgency ordinance through the end of 2024 with Ordinance 2023-01; and WHEREAS, amendments made by the urgency ordinance are now codified through a formal ordinance required to be approved prior to the end of 2024, thus rescinding the urgency ordinance; and
WHEREAS, in 2023, AB 976 (Ting) was signed into law, removing owner-occupancy requirements for properties with accessory dwelling units for any accessory dwelling unit created in 2025 and in perpetuity thereafter; and
WHEREAS, on February 6, 2024, the California Department of Housing and Community Development (HCD) sent a letter to the Department of Planning and Community Development detailing a review of the City’s accessory dwelling unit regulations and requiring several corrections to ensure ongoing compliance with state law.

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2 WHEREAS, at its September 5, 2024 meeting, the Santa Cruz Planning Commission reviewed the proposed additions and modifications to the Santa Cruz Municipal Code and found that the public necessity, and the general community welfare, and good zoning practice shall be served and furthered; and that the proposed amendments are in general conformance with the principles, policies and land use designations set forth in the General Plan, Local Coastal Plan and any adopted area or specific plan; and
WHEREAS, at its September 5, 2024 meeting, the Santa Cruz Planning Commission passed a motion that recommended the City Council approve the proposed additions and amendments as well as any additional changes needed to comply with state ADU law; and WHEREAS, the proposed amendments and additions to the Santa Cruz Municipal Code fall within the analyzed development potential in the City of Santa Cruz’s existing 2030 General Plan Environmental Impact Report using the existing zoning and General Plan and, therefore, pursuant to California Code of Regulations, Title 14, section 15183 of the California Environmental Quality Act (CEQA) Guidelines, no further environmental review under the CEQA is required.

BE IT ORDAINED By the City of Santa Cruz as follows:

21.06.030 SCOPE.

A. The provisions of this chapter shall apply to all owners of one or more residential rental dwelling units located within the city of Santa Cruz.

Section 2. Section 24.08.800 of Chapter 24.08 of the Santa Cruz Municipal Code regarding Purpose for Slope Development Permit (Applies Outside the Coastal Zone) is hereby amended to read as follows:

24.08.800 PURPOSE.

Development on slopes presents opportunities and challenges. Construction on unstable slopes can lead to erosion, steep terrain can present wildfire and evacuation hazards, and buildings

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3 constructed on hilltops often have exceptional views while having the potential to adversely impact public views. Such development is therefore regulated by the provisions of Section 24.14.030, Slope regulations (outside the Coastal Zone), to ensure that risks to public and private property and adverse impacts to public views are minimized. “Public views” include scenic views of the ocean, beaches, and the Santa Cruz Mountains from public property, including from parks and public rights-of-way.

Section 3. Section 24.08.810 of Chapter 24.08 of the Santa Cruz Municipal Code regarding Procedure for Slope Development Permit (Applies Outside the Coastal Zone) is hereby amended to read as follows:

24.08.810 PROCEDURE.

Projects on or within twenty feet of a slope of thirty percent or greater must apply for a slope development permit unless the project is exempted from the need for such a permit under Section

24.14.030(1)(g) or when approval of a statewide exemption accessory dwelling unit waives this standard pursuant to Section 24.16.141.11. This permit may be granted by the zoning administrator under Section 24.14.030(1)(c) without a hearing if the project is on or within twenty feet of a slope greater than or equal to thirty percent and less than fifty percent and is consistent with the findings in Section 24.08.820, unless the slope development permit is accompanied by an application that must be heard by a higher body. Projects on or within twenty feet of a slope of fifty percent or greater must be considered at a public hearing by the zoning administrator and must also be consistent with the findings in Section 24.08.820 unless the project is exempted from such a permit per Section 24.14.030(1)(g).

Section 4. Section 24.08.820 of Chapter 24.08 of the Santa Cruz Municipal Code regarding Findings Required for Slope Development Permit (Applies Outside the Coastal Zone) is hereby amended to read as follows:

24.08.820 FINDINGS REQUIRED.

A slope development permit may be granted when all of the following applicable conditions are found:

2. Landscaping of an appropriate type, size, and quality is proposed to mitigate any adverse environmental effect.

3. Usable open space is proposed in an amount equal to that normally required.

4. A registered civil engineer or other qualified professional will design streets, buildings, and other man-made structures to conform with existing landforms and topography.

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4 5. Adequate fire safety measures as required by the city fire department have been incorporated into the design of the proposed development, when located in a designated fire hazard area.

6. The proposed project employs architectural and design elements which in total serve to reduce the mass and bulk of structures to protect public views. Such elements may include:
a. Multiple floor levels which follow natural slopes;
b. Multiple roof lines to provide visual interest and break up the visual impact of the building;
c. Decks and balconies to provide building articulation; d. Foundation types such as poles, piles, or stepped levels which minimize cut and fill and need for retaining walls;
e. Fence lines, walls, and other features which blend with the terrain rather than strike off at an angle against it.

Section 5. Section 21.08.1320 of Chapter 24.08 of the Santa Cruz Municipal Code regarding General Provisions of Residential, Demolition/Conversion Authorization Permits is hereby amended to read as follows:

24.08.1320 GENERAL PROVISIONS.

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5 Section 6. Section 21.08.1330 of Chapter 24.08 of the Santa Cruz Municipal Code regarding Demolition of Conversion of Single-Family Residence or Duplex Units is hereby amended to read as follows:

24.08.1330 DEMOLITION OR CONVERSION OF SINGLE-FAMILY RESIDENCE OR DUPLEX UNITS.

4. Relocation assistance has been provided to eligible tenants consistent with Section

24.08.1350; or

24.08.1370.

Section 7. Section 24.16.020 of Chapter 24.16 of the Santa Cruz Municipal Code regarding Basic On-Site Inclusionary Housing Requirements is hereby amended to read as follows:

24.16.020 BASIC ON-SITE INCLUSIONARY HOUSING REQUIREMENTS.

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6 would create two or more lots through approval of a parcel map or tentative map, except for exempt residential developments under subsection (2). b. Additional rent above and beyond affordable rent or affordable ownership cost may be permitted for the commercial/work space in a live/work unit at a rent that is determined to be affordable to qualifying households and is proportionate to the amount of commercial space provided. The amount of rent for the commercial portion of the live/work unit shall be agreed upon by the developer, the economic development director, and the planning and community development director. If no agreement can be reached, the city will retain an outside financial consultant to evaluate and determine the allowable affordable rent and establish a methodology for determining future commercial rent levels. The methodology for determining future commercial rent levels shall be defined in every affordable housing development agreement for residential developments that include at least one live/work unit.

2. The following residential developments are exempt from the requirements of this chapter:
a. Residential developments developed pursuant to the terms of a development agreement executed prior to the effective date of the ordinance codified in this chapter; provided, that such residential developments comply with any affordable housing requirements included in the development agreement or any predecessor inclusionary housing requirements in effect on the date the development agreement was executed. b. Residential developments for which a complete application was filed with the city prior to the effective date of the ordinance codified in this chapter; provided, that such residential developments comply with any predecessor inclusionary housing requirements in effect on the date the application for the residential development was deemed complete.
c. Residential developments if exempted by California Government Code Section 66474.2 or 66498.1; provided, that such residential developments comply with any predecessor inclusionary housing requirements in effect on the date the application for the residential development was deemed complete.
d. Residential developments replacing dwelling units that have been destroyed by fire, flood, earthquake, or other acts of nature, so long as no additional dwelling units are created by the residential development; and provided, that such residential developments comply with any inclusionary housing requirements previously applied to the dwelling units being replaced.
e. Rental residential developments with two to four dwelling units.

3. Ownership Residential Developments with Two to Four Dwelling Units. For ownership residential developments that would create at least two but not more than four new or additional dwelling units and/or live/work units at one location, the applicant shall either:
(a) make one inclusionary unit available for sale at an affordable ownership cost; (b) make

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7 one inclusionary unit available at an affordable rent for low income households; or (c) pay an in-lieu fee calculated pursuant to Section 24.16.030(6).

4. Ownership Residential Developments with Five or More Dwelling Units. For ownership residential developments that would create five or more new or additional dwelling units and/or live/work units at one location, the applicant shall provide inclusionary units as follows:
a. Affordable Housing Requirement for Ownership Residential Developments. In an ownership residential or live/work development, twenty percent of the dwelling units shall be made available for sale to low and moderate income households at an affordable ownership cost.
b. Fractional Affordable Housing Requirement for Ownership Residential Developments – 0.7 Units or Less. If the number of dwelling units required under subsection (4)(a) results in a fractional requirement of 0.7 or less, then the applicant shall either: (i) make one inclusionary unit available for sale at an affordable ownership cost; (ii) make one inclusionary unit available at an affordable rent for low income households; or (iii) pay an in-lieu fee calculated pursuant to Section 24.16.030(6). This subsection (4)(b) applies to the fractional unit only, and whole units shall be provided as required by subsection (4)(a).
c. Fractional Affordable Housing Requirement for Ownership Residential Developments – More Than 0.7 Units. If the number of dwelling units required under subsection (4)(a) results in a fractional requirement of greater than 0.7, then the applicant shall either: (i) make one inclusionary unit available for sale at an affordable ownership cost; or (ii) make one inclusionary unit available at an affordable rent for low income households.

This subsection (4)(c) applies to the fractional unit only, and whole units shall be provided as required by subsection (4)(a).
d. Rental Units in an Ownership Residential Development. i. In an ownership residential development where all dwelling units are initially offered for rent, an applicant may satisfy the inclusionary requirements by providing rental units as provided in subsection (5).
ii. The rent regulatory agreement required by Section 24.16.045 shall include provisions for sale of the inclusionary units at an affordable ownership cost to eligible households within ninety days from the issuance of the public report by the California Department of Real Estate permitting sale of the units or at termination of the tenant’s lease whichever is later and otherwise in compliance with state law; provided, however, that the sale of the entire ownership residential development from one entity to another shall not trigger the obligation to sell individual inclusionary units. To the extent relocation payments are required by law the applicant shall be wholly responsible for the cost of preparing a relocation plan and making required payments. Any tenant of an inclusionary unit at the time units are

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8 offered for sale that qualifies to purchase an inclusionary unit at an affordable ownership cost shall be offered a right of first refusal to purchase the inclusionary unit. At sale appropriate documents shall be recorded to ensure the continued affordability of the inclusionary units at an affordable ownership cost as required by Section 24.16.045.

6. The requirements of subsections (3) through (5) are minimum requirements and shall not preclude a residential development from providing additional affordable units or affordable units with lower rents or sales prices than required.
a. By mutual agreement by the developer, the planning and community development director, and the economic development director, the percentage of inclusionary units may be increased in exchange for reduced parking and/or other development requirements.
b. If the developer agrees to make at least forty percent of the residential project available for rent to low income households at a rental cost affordable to low income households, in addition to reduction of development requirements, by mutual agreement by the developer, the planning and community development director, and the economic development director, the city may also provide financial incentives to increase the number of inclusionary units in a project.

7. For the purposes of calculating the number and type of inclusionary units required by this section, rental accessory dwelling units constructed either as part of the initial development or anytime thereafter, shall be subject to the requirements of subsection (5). The

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9 inclusionary requirement for accessory dwelling units constitutes a separate inclusionary requirement than that of the primary residential use, such that only accessory dwelling units shall count toward the inclusionary requirement calculation for the accessory dwelling units on the lot, and only the residential units comprising the primary residential use shall count toward the inclusionary requirement calculation for the primary residential use on the lot. The accessory dwelling unit inclusionary requirement shall be met with accessory dwelling units or as otherwise permitted under Section 24.16.030, including, but not limited to payment of the in-lieu fee.

Section 8. Section 24.16.100 of Chapter 24.16 of the Santa Cruz Municipal Code regarding Purpose of Accessory Dwelling Units is hereby amended to read as follows:

24.16.100 PURPOSE.

The ordinance codified in this part provides for accessory dwelling units in certain areas and on lots developed or proposed to be developed with single- or multifamily dwellings. Such accessory dwellings are allowed because they can contribute needed housing to the community’s housing stock. Accessory dwelling units provide housing for family members, students, the elderly, inhome health care providers, the disabled, and others within existing neighborhoods, and homeowners who create accessory dwelling units may benefit from added income and an increased sense of security.

Accessory dwelling units and junior accessory dwelling units are considered dwelling units for the purposes of meeting the City's Regional Housing Needs Assessment allocation and for the purposes of replacement housing and relocation assistance requirements.

Section 9. Section 24.16.125 of Chapter 24.16 of the Santa Cruz Municipal Code regarding Definitions of Accessory Dwelling Units is hereby amended to read as follows:

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10 24.16.125 DEFINITIONS
The following definitions shall apply to accessory dwelling units throughout the municipal code:

1. “Attached accessory dwelling unit” shall mean an accessory dwelling unit that is attached to the primary dwelling, including to an attached garage.

2. “Conversion accessory dwelling unit” shall mean any accessory dwelling unit created by the conversion of any one permitted, entitled, or legal nonconforming building, or portion of such a building. The conversion accessory dwelling unit may either be converted utilizing the existing structural components of the building or reconstructed within the existing three-dimensional physical space occupied by the building. On property developed with multi-unit buildings, only areas that are not used as livable space, including, but not limited to, storage rooms, boiler rooms, passageways, attics, basements, or garages, shall be eligible to become conversion accessory dwelling units. The limitation on converting non-livable space shall not apply to a nonconforming duplex on a single-family zoned lot where one unit is converted to an accessory dwelling unit to result in a single-family home and accessory dwelling unit on the site. Consistent with zoning standards, conversion accessory dwelling units shall be permitted to expand the existing footprint of the building by up to one hundred fifty square feet, and the existing height by up to two feet.

3. “Detached accessory dwelling unit” shall mean an accessory dwelling unit that is separated from any single- or multi-unit building.

4. “Multi-unit building” shall mean a building with two or more attached dwellings on a single lot, including apartment or condominium buildings that contain at least two units.

Accessory dwelling units do not count toward the number of units in this calculation.

6. “Non-exempt accessory dwelling unit” shall mean an accessory dwelling unit that does not meet the definition of a statewide exemption accessory dwelling unit.

7. “Primary dwelling” shall mean the dwelling unit with which the accessory dwelling unit or junior accessory dwelling unit is associated.

8. “Single-unit building” shall mean a structurally independent building that contains one dwelling unit. A single-unit building may be the only building on the lot, such as a singlefamily home or a townhome, or it may be a detached residential condominium or apartment unit on a lot with one or more other dwellings that are not attached to the single-unit building. Accessory dwelling units do not count toward the number of units in this calculation.

9. “Statewide exemption accessory dwelling unit” shall mean any of the following:

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11 a. One accessory dwelling unit and one junior accessory dwelling unit per lot with a proposed or existing single-unit building, including a single-family dwelling, townhome, or a detached residential condominium or apartment unit on a lot with multiple dwellings, if all of the following apply:
i. The accessory dwelling unit or junior accessory dwelling unit is within the proposed space of a single-unit building or it is within the existing space of a singleunit building or detached accessory building. This type of statewide exemption accessory dwelling unit does not include a building reconstructed within the threedimensional space of an existing building to be demolished. ii. If the accessory dwelling unit is within the space of an existing detached accessory building, the accessory dwelling unit may include an expansion of not more than 150 square feet beyond the same physical dimensions as the existing accessory building. An expansion beyond the physical dimensions of the existing building shall be limited to accommodating ingress and egress.
iii. The accessory dwelling unit has an exterior entrance separate from that of the primary dwelling unit.
iv. The side and rear setbacks are sufficient for fire and safety. v. The junior accessory dwelling unit complies with the requirements of Section

24.16.170 below.
b. One detached, new construction accessory dwelling unit that meets the following standards:
i. The accessory dwelling unit shall be located on a lot with a proposed or existing single-unit building, including a single-family dwelling, townhome, or a detached residential condominium or apartment unit on a site with multiple dwellings. ii. The accessory dwelling unit size shall not exceed 800 square feet in floor area. iii. Interior side yard and rear yard setbacks shall be at least four feet. iv. The accessory dwelling unit shall meet one of the following height limitations as measured to the roof peak:

1. A height of 16 feet; or

19.162
ORDINANCE NO. 2024-18
12 accommodate a roof pitch on the accessory dwelling unit that is aligned with the roof pitch of the primary dwelling unit.
v. The accessory dwelling unit may be combined with a junior accessory dwelling unit that meets the standards as described in Section 24.16.170. c. Multiple accessory dwelling units within the portions of existing multi-unit buildings, including a residential condominium or apartment building with two or more attached units, that are not used as livable space, including but not limited to storage rooms, boiler rooms, passageways, attics, basements, or garages, if each unit complies with state building standards for dwellings. The number of accessory dwelling units permitted is equivalent to up to twenty-five percent of the number of existing, legally permitted units in the multi-unit building, or one, whichever is greater. When the twenty-five percent limit results in a fraction of a unit, the total number of accessory dwelling units that may be added shall be determined by rounding the fraction up to the next whole number.
d. Not more than two detached accessory dwelling units that are located on a lot that has an existing or proposed multi-unit building, including a residential condominium or apartment building with two or more attached units. Each accessory dwelling unit shall meet the following standards:
i. Rear and interior side yard setbacks shall be at least four feet. If the existing multiunit building has a rear or interior side yard setback of less than four feet, the existing multi-unit building will not be required to be modified to meet this setback. ii. The accessory dwelling units shall meet one of the following height limitations as measured to the roof peak:

1. A height of 16 feet; or

2. A height of 18 feet if the accessory dwelling unit is on a lot within one-half of one mile walking distance of a major transit stop or a high-quality transit corridor, as those terms are defined in Section 21155 of the Public Resources Code. This height can be increased an additional two feet to 20 feet to accommodate a roof pitch on the accessory dwelling unit that is aligned with the roof pitch of the primary dwelling unit; or

3. A height of 18 feet for a detached accessory dwelling unit on a lot with an existing or proposed multi-unit, multistory building.

19.163
ORDINANCE NO. 2024-18
13 Section 10. Section 21.16.130 of Chapter 24.16 of the Santa Cruz Municipal Code regarding Permit Procedures is hereby amended to read as follows:

24.16.130 PERMIT PROCEDURES.

1. Accessory dwelling units shall be principally permitted uses within the zoning districts specified in Section 24.16.120 and subject to the development standards in Section

24.16.140 et seq.

2. City shall issue a ministerial building permit for an accessory dwelling unit or junior accessory dwelling unit without discretionary review or a hearing, consistent with the provisions of this chapter and state law, within sixty days of submittal of a complete building permit application, unless provided otherwise. The sixty-day review period shall not apply when:
a. The permit application to create an accessory dwelling unit or junior accessory dwelling unit requires simultaneous approval of a discretionary or building permit associated with creating a new single-unit or multi-unit building on the same lot or parcel. The City may delay approving or denying the building permit application for the accessory dwelling unit or the junior accessory dwelling unit until the City approves or denies the permit application to create the new single-unit or multi-unit building; or b. When the applicant seeks a delay for any reason, including but not limited to pursuit of a discretionary permit pursuant to Section 24.16.130.8. The period of the delay shall not count toward the sixty-day time period.

3. If the City denies an application to create an ADU or JADU, the City must provide the applicant with comments that include, among other things, a list of all defective or deficient items and a description of how the application may be remedied by the applicant. Notice of the denial and corresponding comments must be provided to the applicant in accordance with the 60-day time period set forth in Section 24.16.130 (4) above.

6. The City shall not require, and the applicant shall not be otherwise required, to provide written notice or post a placard for the demolition of a detached garage that is to be replaced

19.164
ORDINANCE NO. 2024-18
14 with an accessory dwelling unit, unless the property is located within an architecturally and historically significant historic district.

24.16.141 but where the applicant chooses to place the accessory dwelling unit in a location that does not meet such standards or waivers.

Section 11. Section 21.16.140 of Chapter 24.16 of the Santa Cruz Municipal Code regarding Development Standards is hereby renamed General Development Standards and amended to read as follows:

24.16.140 GENERAL DEVELOPMENT STANDARDS.

All accessory dwelling units, both new construction and conversion, shall conform to the following requirements:

2. Existing Development on Lot. One of the following conditions must be present in order to approve an application to create an accessory dwelling unit:

19.165
ORDINANCE NO. 2024-18
15 a. One or more single-unit buildings, as defined in Section 24.16.125.8, exists on the lot or will be constructed concurrently and in conjunction with the accessory dwelling unit; b. The lot contains an existing multi-unit building, as defined in Section 24.16.125.4, or a multi-unit building that will be constructed concurrently and in conjunction with the accessory dwelling unit.

5. Accessory dwelling units that require approval of a coastal permit shall conform to the standards in Section 24.12.140.2.

6. Accessory dwelling units shall meet the inclusionary requirements described under Section

24.16.020.8.

Section 12. Section 21.16.141 of Chapter 24.16 of the Santa Cruz Municipal Code regarding New Construction Accessory Dwelling Unit Development Standards is hereby renamed Site Development Standards and amended to read as follows:

24.16.141 SITE DEVELOPMENT STANDARDS.

1. General.

Development
Standard
Attached Conversion1,2 Detached
Maximum
Floor Area
(square feet)
3,4
Greatest of:
 850 for a studio or
one bedroom
 1,000 for a unit with
two or more
bedrooms.
 50% of the habitable
area of the primary
Footprint of existing
building. Can expand
footprint by 150.5,6
Greatest of:
 850 for a studio or
one bedroom
 1,000 for a unit
with two or more
bedrooms
 10% net lot area
and no more than

19.166
ORDINANCE NO. 2024-18
16 Development
Standard
Attached Conversion1,2 Detached
dwelling to which
the unit is attached
1,200 habitable
square feet.

Maximum
Height (feet)7
Zone district standard
that applies to primary
dwelling.

Maintain existing.

Any expansion shall
meet new construction
standard.

Lesser of:
 Front wall line of
primary building,
excluding any
projections from
that line.
 Zone district
standard.

Minimum
Rear Setback
(feet)
4’ Maintain existing.

Any expansion shall
meet new construction
standard.
3’ for up to 16’
height.
4’ above 16’ height.

Minimum
Exterior Side
Yard Setback
Zone district standard
that applies to
primary dwelling.

Maintain existing.

Any expansion shall
meet new construction
standard.

Zone district standard.

Minimum
Interior Side
Yard Setback
4’9 Maintain existing.

Any expansion shall
meet new
construction standard.
3’ for up to 16’ height
4’ above 16’ height
Minimum
Distance
Between
Buildings
6’ Maintain existing. 6’
for any expansion
6’

19.167
ORDINANCE NO. 2024-18
17 Development
Standard
Attached Conversion1,2 Detached
room-like areas that would function as habitable floor area for the ADU, and there is a fire-rated entry door at the top of the stairs at the entrance to the accessory dwelling unit.

24.16.161.7.

9. Any zone development standard for an additional setback based on building height or stories shall not apply to the portion of the building that contains the accessory dwelling unit.

For properties within the Coastal Zone, parking requirements are contained in Section

24.12.240.1.

3. Rear Yard Lot Coverage. In no case shall any accessory dwelling unit be limited in size based on rear yard lot coverage requirements contained in Section 24.12.140.1(f) In the application of Section 24.12.140.1(f), the footprint of accessory dwelling units shall not count toward the maximum allowable lot coverage by accessory buildings in yard setback areas.

19.168
ORDINANCE NO. 2024-18
18 6. Clear corner triangle and clear vision area. Any new construction accessory dwelling unit or expansion of a conversion accessory dwelling unit shall be located outside of the clear corner triangle, as defined in Section 24.22.202, and the clear vision area, as defined in Section 24.22.206.

The lot coverage of the accessory dwelling unit shall not be included in the calculation of all other structures’ maximum allowable lot coverage. Lot coverage shall include the footprints of the first floor, garage and other accessory buildings (attached and detached), decks and porches (greater than thirty inches in height and not cantilevered), and any second-story cantilevered projection (enclosed or open) beyond two and onehalf feet. Decks under thirty inches in height or fully cantilevered with no vertical support posts do not count toward lot coverage for this purpose. Second-story enclosed cantilevered areas that project less than thirty inches from the building wall do not count toward lot coverage. For such areas that project more than thirty inches from the building wall, only the floor area that projects more than thirty inches shall be counted toward lot coverage.
b. The floor area of a building’s second story shall be limited to one hundred percent of the floor area of the building’s first floor if the floor area of the building’s first story constitutes thirty percent or less of the net lot area. c. The floor area of a building’s second story shall not exceed fifty percent of the floor area of the building’s first story if the building’s first story has greater than thirty percent lot coverage up to a maximum of forty-five percent lot coverage. d. The floor area of a building’s second story shall be limited to fifty percent of forty-five percent lot coverage if the building’s first story has greater than forty-five percent lot coverage.

8. Archaeological Resources. The application shall be consistent with all objective standards relating to the preservation of archaeological resources pursuant to Section 24.12.430.

19.169
ORDINANCE NO. 2024-18
19 allow for construction of an accessory dwelling unit by right, as implemented by Section 24.08.2100 et seq.
b. If the site or an adjacent lot contains a wetland or potential wetland as shown in the Citywide Creeks and Wetlands Management Plan, the accessory dwelling unit shall be located at a distance from the wetland as recommend in a report prepared by a professional biologist with a background in wetland biology. c. The accessory dwelling unit shall not be constructed within 20 feet of a 30 percent or greater slope.
d. The accessory dwelling unit and any related construction and site work shall be located away from a heritage tree, or any street tree growing in the public right of way protected under municipal code chapter 13.30, the greatest distance of: 10 feet, or three times the diameter of the tree’s largest trunk at 54 inches above grade, or the dripline of the tree. e. When the project site includes an area mapped for sensitive habitat or vegetation under the general plan, the accessory dwelling unit and related site work shall be located at a distance from such habitat or vegetation area as determined in a report prepared pursuant to Section 24.14.080 by a professional biologist with a background in sensitive habitat biology.

10. If the application of all site development standards results in a buildable area that physically precludes the creation of any attached or detached accessory dwelling unit of up to 800 square feet with at least four foot interior side and rear yard setbacks, including both statewide exemption accessory dwelling units and non-exempt accessory dwelling units, then the applicant only may waive any one or more of the following site development standards to the extent that it increases the buildable area to allow such an accessory dwelling unit:
a. Percentage of primary dwelling, and/or
b. Lot coverage, and/or
c. Floor area ratio, and/or
d. Open space, and/or
e. Front setbacks.

19.170
ORDINANCE NO. 2024-18
20 a. First, the applicant may waive any one or more of the following standards:
i. Exterior side yard setback, and/or
ii. Distance between buildings, and/or
iii. Second floor area of a structure on a substandard lot, and/or iv. Distance from 30 percent or greater slopes.
b. If waiver of all standards in Section 24.16.141.11(a) results in a buildable area that physically precludes the creation of a statewide exemption accessory dwelling unit, then the applicant may waive any one or more of the following standards:
i. The management and development setbacks of a watercourse, but not the riparian setback, when recommendations in a report prepared by a professional biologist with a background in riparian biology are followed and included on the building permit plans. The report recommendations shall not include a requirement to move the building; and/or
ii. The required distance from a heritage tree, or any street tree growing in the public right of way protected under Municipal Code Chapter 13.30, if a report prepared by a professional consulting arborist determines that the reduced distance does not require removal of the tree or any other action that would require approval of a heritage tree permit pursuant to Municipal Code Chapter 9.56 or street tree permit pursuant to Municipal Code Chapter 13.30 and when the building permit plans incorporate all recommendations from the report.
c. If waiver of all the standards in Section 24.16.141.11(b) results in a buildable area that physically precludes the creation of a statewide exemption accessory dwelling unit, then the applicant may waive any one or more of the following standards:
i. The required distance from a heritage tree or any street tree growing in the public right of way protected under Municipal Code Chapter 13.30, if a report prepared by a professional consulting arborist determines that the tree must be removed or that any other action must be taken that would otherwise require a heritage tree permit pursuant to Municipal Code Chapter 9.56 or street tree permit pursuant to Municipal Code Chapter 13.30. In this case, the statewide exemption dwelling unit is exempt from heritage tree permit and street tree permit requirements. Instead, the building permit plans shall include replacement tree(s) with a location and species specified in the arborist report, or the applicant shall pay an in-lieu fee, as described in the City's heritage tree regulations of Municipal Code Chapter 9.56, street tree regulations of Municipal Code Chapter 13.30, associated City Council resolutions, and associated implementing standards.

19.171
ORDINANCE NO. 2024-18
21 ii. The riparian setback of a watercourse, when recommendations in a report prepared by a professional biologist with a background in riparian biology are followed and included on the building permit plans. The report recommendations shall not include a requirement to move the building; and/or
iii. Distance from a wetland as determined pursuant to Section 24.16.141.9(b), when recommendations in a report prepared by a professional biologist with a background in wetland biology are followed and included on the building permit plans. The report recommendations shall not include a requirement to move the building; and/or
iv. Distance from a sensitive habitat or vegetation area as determined pursuant to Section 24.16.141.9(e), when recommendations in a report prepared by a professional biologist with a background in sensitive habitat biology are followed and included on the building permit plans. The report shall not include a requirement to move the building; and/or
v. Distance from an archaeological resource recommended in a report prepared by a professional archaeologist. The applicant shall submit an additional review by the archaeologist with recommendations for archaeological resource protection based on the proposed location of the accessory dwelling unit. The additional review shall not include a requirement to move the building. The recommendations from the additional review shall be followed and included on the building permit plans. d. If waiver of all the standards in Section 24.16.141.11(c) results in a buildable area that precludes creation of a statewide exemption accessory dwelling unit, then the applicant may waive the following standards in the following order:
i. Clear vision area
ii. Clear corner triangle
Section 13. Section 21.16.142 of Chapter 24.16 of the Santa Cruz Municipal Code regarding Conversion Accessory Dwelling Unit Development Standards is hereby renamed Accessory Dwelling Unit Design Standards and amended to read as follows:

24.16.142 ACCESSORY DWELLING UNIT DESIGN STANDARDS
All accessory dwelling units, or the type of accessory dwelling unit if specified below, shall comply with the following design standards:

1. Municipal Code Requirements. All accessory dwelling units shall meet the objective design standards set forth in this Code, including landscape and tree removal and/or replacement requirements.

19.172
ORDINANCE NO. 2024-18
22 2. The following standards apply to accessory dwelling units that that do not meet one or more of the standard setbacks for the zone district in which they are proposed:
a. The entrance to the accessory dwelling unit, access stairs, and second story decks shall face the interior of the lot unless the accessory dwelling unit is adjacent to an alley or a public street.
b. When an accessory dwelling unit is adjacent to an alley or a public street, the accessory dwelling unit shall be oriented toward the alley or street with the front access door and windows facing the alley or street. The entry facing the alley or street shall include a minimum of 12 square feet of flat, unenclosed, covered area, which may be a projection from the building, or inset, or a combination of the two. c. Windows that do not meet the standard zone district side or rear setback and that face an adjoining residential property shall be designed to obscure views of that property by ADU occupants, including transom windows, translucent glass, or other methods; alternatively, fencing or landscaping shall be required to provide screening.

4. The application to construct an accessory dwelling unit on a property that is designated as a historic resource by the National Register of Historic Places, the State of California, or by the City, including any property that has been determined to be eligible for the City’s historic building survey list but the property owner has elected to not list the property (optout), shall show substantial compliance with the guidelines of the Secretary of the Interior for development on such properties as confirmed in a report prepared by a professional historic consultant who is listed on the Department of Planning and Community Development’s approved consultant list.

Section 14. Section 21.16.150 of Chapter 24.16 of the Santa Cruz Municipal Code regarding Deed Restrictions is hereby renamed and amended to read as follows:

24.16.150 USE STANDARDS.

1. For any unit that is not approved for separate sale under the provisions of Government Code Sections 66340-66341: the accessory dwelling unit shall not be sold separately.

3. The use of the accessory dwelling unit shall be in effect only so long as the property is in compliance with the ordinance as codified.

19.173
ORDINANCE NO. 2024-18
23 4. Neither an accessory dwelling unit nor an associated primary dwelling shall be used on a transient occupancy basis or for short-term/vacation rental purposes with a term of 30 or fewer days.
a. Exception. A legal accessory dwelling unit property that had legal status prior to November 10, 2015, and was in use as a short-term/vacation rental prior to that date, and for which the owner remits transient occupancy tax in compliance with Chapter

3.28 in full in a timely manner for the use of the property as short-term/vacation rental purposes, may continue the use.

5. For properties with accessory dwelling units that are located in a permit parking program district, the primary dwelling and the accessory dwelling unit combined shall qualify only for the number of residential parking permits that would have been available to the primary dwelling. No additional permits will be granted for the accessory dwelling unit. The property owner shall offer the tenant of an accessory dwelling unit a residential parking permit if requested by the tenant.

7. If rented, the accessory dwelling unit and primary dwelling unit shall be registered with the residential rental dwelling unit inspection and maintenance program.

19.174
ORDINANCE NO. 2024-18
24 fee to cover the costs of processing such a request shall be in an amount established by resolution by the city council.
c. For purposes of this chapter, the property owner is the majority owner of the property as shown in the most recent Santa Cruz County assessor’s roll. d. If there is more than one property owner of record, the owner with the majority interest in the property shall be deemed the property owner for purposes of this chapter. Any property owner of record holding an equal share interest in the property may be deemed the majority property owner if no other property owner owns a greater interest. (For example, if the property is owned by two people, each with a fifty percent interest, either of the two owners may be deemed the property owner for purposes of the owner occupancy requirement. If three people own the property, each with a thirty-three and one-third percent interest, any one of the three may be deemed the property owner for purposes of the owner occupancy requirement.)
Section 15. Section 21.16.160 of Chapter 24.16 of the Santa Cruz Municipal Code regarding Zoning Incentives is hereby amended to read as follows:

24.16.160 ZONING INCENTIVES.

The following incentives are to encourage construction of accessory dwelling units:

19.175
ORDINANCE NO. 2024-18
25 Section 16. Section 21.16.170 of Chapter 24.16 of the Santa Cruz Municipal Code regarding Junior Accessory Dwelling Units is hereby amended to read as follows:

24.16.170 JUNIOR ACCESSORY DWELLING UNITS.

1. Notwithstanding any other regulation or definition of this code, one junior accessory dwelling unit shall be permitted on lots in zones where single-family dwellings are an allowed use, including in the R-S, R-1, R-L, R-M, R-H, R-T(A), R-T(B), R-T(C), R-T(D), R-T(E), and P-A zones; where one or more single-unit buildings, including a single-family home, townhome, or a detached condominium or apartment on a site with multiple units, exist or are proposed on the lot; and where the owner of the property occupies the property as their principal place of residence.

2. For the purposes of this section, “junior accessory dwelling unit” shall have the same meaning as defined in Section 65852.22 of the California Government Code.

4. Junior accessory dwelling units shall be no larger than five hundred square feet in size.

19.176
ORDINANCE NO. 2024-18
26 a. For purposes of this section, the property owner is:
i. The majority owner(s) of the Property as shown in the most recent Santa Cruz County records.
ii. If there is more than one property owner of record, the owner with the majority or highest ownership interest in the Property shall be deemed the property owner. Any property owner(s) of record holding an equal share interest in the Property may be deemed the majority property owner(s) if no other property owner owns a greater interest.
iii. For property held by a corporation or business entity, a shareholder or officer of the corporation or business entity with the greatest shares or business interest as defined in the articles of incorporation, or other applicable business document. iv. For property held in trust: a) the Trustor(s) or Settlor(s) who created the trust in which the Property is held; or any person(s) or entity deemed as the legal owner of the Property held in trust in accordance with the trust document, and b) who has/have the highest ownership interest in the Property.

Section 17. The City Council finds and determines that the adoption of this ordinance is considered a “project” under California Code of Regulations, Title 14, section 15378(a)(1) of the California Environmental Quality Act (CEQA) Guidelines, typically subject to environmental review. The City Council finds that these amendments fall within the analyzed development potential in the City’s existing 2030 General Plan EIR using the existing zoning and General Plan and, therefore, pursuant to Section 15183 of the CEQA Guidelines, no further environmental review under CEQA is required.

Section 18. If any section or portion of this ordinance is found to be invalid by a court of competent jurisdiction, such finding shall not affect the validity of the remainder of the ordinance, which shall continue in full force and effect.

Section 19. Ordinances 2022-22 and 2023-01 shall be rescinded when this ordinance takes effect and be in full force.

19.177
ORDINANCE NO. 2024-18
27 Section 20. This ordinance shall take effect and be in full force thirty (30) days after final adoption.

PASSED FOR PUBLICATION this 8th day of October 2024, by the following vote:

AYES: Councilmembers Newsome, Watkins, Brunner; Mayor Keeley.

NOES: Councilmembers Brown, Kalantari-Johnson.

ABSENT: Vice Mayor Golder.

DISQUALIFIED: None.

AYES:

NOES:

ABSENT:

DISQUALIFIED:

APPROVED: ______________________________
Fred Keeley, Mayor
ATTEST: _________________________________
Bonnie Bush, City Clerk Administrator
This is to certify that the above and
foregoing document is the original
of Ordinance No. 2024-18 and that
it has been published or posted in
accordance with the Charter of the
City of Santa Cruz.
________________________________
Bonnie Bush, City Clerk Administrator

19.178
RESOLUTION NO. NS-30,XXX

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA CRUZ AUTHORIZING

AND DIRECTING THE CITY MANAGER TO SUBMIT THE PROPOSED AMENDMENTS TO TITLE 24, THE ZONING ORDINANCE OF THE CITY OF SANTA CRUZ MUNICIPAL CODE,

AS LOCAL COASTAL IMPLEMENTATION PLAN AMENDMENTS TO THE CALIFORNIA

COASTAL COMMISSION FOR FINAL CERTIFICATION
WHEREAS, accessory dwelling units contribute needed housing to the community’s housing stock and provide housing for family members, students, the elderly, in-home health care providers, the disabled, and others within existing neighborhoods, and homeowners who create accessory dwelling units may benefit from added income and an increased sense of security; and WHEREAS, at its December 13, 2022 meeting, the City Council approved Urgency Ordinance 2022-22, amending accessory dwelling unit regulations in the Santa Cruz Municipal Code to comply with implementation deadlines set by state laws AB 2221 and SB 897; and WHEREAS, at its January 24, 2023 meeting, the City Council extended the urgency ordinance through the end of 2024 with Ordinance 2023-01; and WHEREAS, amendments made by the urgency ordinance are now codified through a formal ordinance required to be approved prior to the end of 2024, thus rescinding the urgency ordinance; and
WHEREAS, in 2023, AB 976 (Ting) was signed into law, removing owner-occupancy requirements for properties with accessory dwelling units for any accessory dwelling unit created in 2025 and in perpetuity thereafter; and
WHEREAS, on February 6, 2024, the California Department of Housing and Community Development (HCD) sent a letter to the Department of Planning and Community Development detailing a review of the City’s accessory dwelling unit regulations and requiring several corrections to ensure ongoing compliance with state law.

19.179
RESOLUTION NO. NS-30,XXX
WHEREAS, at its September 5, 2024 meeting, the Santa Cruz Planning Commission considered the additions and modifications to the Santa Cruz Municipal Code as modifications to the Local Coastal Program and found that (1) the proposed amendment is deemed to be in the public interest; (2) the proposed General Plan and/or Local Coastal Program amendment is consistent and compatible with the rest of the General Plan and LCP and any implementation programs that may be affected; (3) the potential impacts of the proposed amendment have been assessed and have been determined not to be detrimental to the public health, safety, or welfare; and (4) the proposed amendment has been processed in accordance with the applicable provisions of the California Government Code and the California Environmental Quality Act (CEQA); and WHEREAS, at its September 5, 2024 meeting, the Santa Cruz Planning Commission passed a motion that recommended the City Council approve the proposed additions and amendments as well as any additional changes needed to comply with state ADU law; and WHEREAS, the proposed amendments and additions to the Santa Cruz Municipal Code fall within the analyzed development potential in the City of Santa Cruz’s existing 2030 General Plan Environmental Impact Report using the existing zoning and General Plan and, therefore, pursuant to California Code of Regulations, Title 14, section 15183 of the California Environmental Quality Act (CEQA) Guidelines, no further environmental review under the CEQA is required.

WHEREAS, on October 8, 2024, the City Council held a public hearing at which the proposed amendments to the Municipal Code were introduced for publication; and WHEREAS, on August 22, 2024, the City Council held a public hearing where the proposed amendments to the Municipal Code were approved; and WHEREAS, the City Council directs the City Manager to submit the amendments to Title 24 of the Municipal Code as Local Coastal Implementation Plan Amendments to the California Coastal Commission for final certification; and
WHEREAS, the City Council now finds:

1. The proposed amendments to Title 24 are in the public interest as they ensure compliance with state law and provide additional clarity regarding accessory dwelling unit requirements to the public.

2. The proposed amendments to Title 24 are consistent and compatible with the General Plan and any implementation programs that may be affected.

3. The proposed amendments to Title 24 are intended to be carried out in a manner fully in conformity with the Coastal Act (CA Section 30510).

NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Santa Cruz that it hereby approves the amendments to Title 24 of the City of Santa Cruz Municipal Code and Local Coastal Program, attached hereto and made a part hereof.

19.180
RESOLUTION NO. NS-30,XXX
BE IT FURTHER RESOLVED, that amendments to the Local Coastal Implementation Plan will become effective inside the Coastal Zone upon final certification by the California Coastal Commission.

PASSED AND ADOPTED this 22nd day of October 2024, by the following vote:

AYES:

NOES:

ABSENT:

DISQUALIFIED:

APPROVED: _________________________
Fred Keeley, Mayor
ATTEST: ___________________________
Bonnie Bush, City Clerk Administrator

19.181
Matrix Responding To 10/10/2024 Letter From California Housing Defense Fund California Housing Defense Fund comment City Response
SCC Section 24.16.141(1) imposes front yard
setbacks on detached ADUs. However, for
ADUs that meet the requirements of
Government Code Section 66323, subd. (a), the
City may not impose any front setback
requirement at all.

To address new state law effective 1/1/25,
this will be addressed in a subsequent
ordinance.

SCC Section 24.16.141(1) imposes the exterior
side yard setback standard of the underlying
zoning district on detached ADUs. However,
the City may only impose four foot side yard
setbacks on ADUs. (Gov. Code, § 66314, subd.
(d)(7).) In addition, ADUs “constructed in the
same location and to the same dimensions as an
existing structure” are entirely exempt from any
setback requirements. (Ibid.)
Exterior side yard setbacks are distinct from
side yard setbacks in that they are specific to
corner lots where both a front and a side of
the lot front on a street. The City’s ADU
regulations are consistent with the state law,
and more lenient, in that the City requires
only a minimum three-foot side yard setback
for detached new construction ADUs.

The municipal code already waives setbacks
for ADUs reconstructed within the same
footprint as an existing structure to be
demolished (24.16.141.1, footnote 1).

SCC Section 24.16.141(1) requires a buildingto-building separation of six feet for ADUs.

However, for ADUs that meet the requirements
of Government Code Section 66323, subd. (a),
the City may not impose any building to
building separation requirement at all.

To address new state law effective 1/1/25,
this will be addressed in a subsequent
ordinance.

SCC Section 24.16.141(1), Note 5 states “An
expansion of up to 150 square feet shall not
enlarge the accessory dwelling unit beyond one
thousand two hundred square feet unless
necessary to accommodate ingress and egress to
the accessory dwelling unit.” However, for
ADUs that meet the requirements of
Government Code Section 66323, subd.
(a)(1)(A), the City may not disallow a 150
square foot expansion so long as that expansion
HCD reviewed this language in 2024 as part
of a full review of the City’s existing ADU
regulations and did not take issue with the
language as written.

19.182
is only for accommodating ingress and egress,
regardless of whether a plan reviewer considers
it “necessary.”
SCC Section 24.16.141(6) requires a “Clear
corner triangle and clear vision area” for ADUs.

However, for ADUs that meet the requirements
of Government Code Section 66323, subd. (a),
the City may not impose any such standards.

To address new state law effective 1/1/25,
this will be addressed in a subsequent
ordinance.

SCC Section 24.16.141(7) imposes lot coverage
and second story standards on ADUs. However,
for ADUs that meet the requirements of
Government Code Section 66323, subd. (a), the
City may not impose any such standards.

To address new state law effective 1/1/25,
this will be addressed in a subsequent
ordinance.

SCC Section 24.16.141(8) imposes
archaeological controls on ADUs. However, for
ADUs that meet the requirements of
Government Code Section 66323, subd. (a), the
City may not impose any such standards.

To address new state law effective 1/1/25,
this will be addressed in a subsequent
ordinance.

SCC Section 24.16.141(9) imposes minimum
distances from certain natural features.

However, for ADUs that meet the requirements
of Government Code Section 66323, subd. (a),
the City may not impose any such standards.

To address new state law effective 1/1/25,
this will be addressed in a subsequent
ordinance.

SCC Sections 24.16.141(10) and (11) create a
multiple-step waiver process to ensure that an
ADU of 800 square feet can be created.

However, this process is not allowed by state
law. As stated above, ADUs that meet the
requirements of Government Code Section
66323, subd. (a) may not be subject to any
standard other than four foot side and rear
setbacks (or the setbacks of the existing,
converted structure) and the height limitations
outlined Government Code Section 66321,
subd. (b)(4). State law does not allow cities to
impose such requirements and only remove
To address new state law effective 1/1/25,
this will be addressed in a subsequent
ordinance.

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them if reviewing officials can be convinced
that they must be waived.

SCC Section 24.16.142(1) imposes all the
objective design standards of the entire City
code on ADUs. This is clearly impermissible.

Firstly, only standards listed in Government
Code Section 66314 may be imposed on ADUs,
not all design standards. Secondly, only basic
height and setback requirements may be
imposed on ADUs that meet the requirements
of Government Code Section 66323, subd. (a),
as discussed above.

Section 66314(b)(1) allows local
jurisdictions to impose objective standards
that "include, but are not limited to…" In
staff communication with HCD, HCD has
consistently confirmed that this language
means the City can impose objective
standards beyond those specifically listed in
66314(b)(1).

Regarding ADUs that meet the requirements
of Government Code Section 66323
(statewide exemption ADUs), to address a
new state law effective 1/1/25, staff will
bring forward proposed revisions on this
topic in a subsequent ordinance.

SCC Section 24.16.142(2) creates requirements
for ADU entrances, fenestration, and
landscaping. Against, none of these
requirements may be imposed on ADUs that
meet the requirements of Government Code
Section 66323, subd. (a), as discussed above.

To address new state law effective 1/1/25,
this will be addressed in a subsequent
ordinance.

SCC Section 24.16.142(3) forbids connections
between an ADU and the primary unit. This
requirement may not be imposed on an ADU
proposed to be converted from an existing
accessory structure under Gov. Code, § 66323,
if the accessory structure has a pre-existing
connection to the primary unit.

To address new state law effective 1/1/25,
this will be addressed in a subsequent
ordinance.

SCC Section 24.16.1429(4) regulates ADU
development on properties listed by the
“National Register of Historic Places, the State
of California, or by the City, including any
property that has been determined to be eligible
for the City’s historic building survey list but
the property owner has elected to not list the
property (opt-out) …” However, Government
While Government Code Section
66314(b)(1) allows imposition of historic
standards on state listed historic properties,
Section 66314(b)(1) allows the City to apply
its own objective standards to ADUs. Staff
has communicated with HCD on this specific
question, and HCD has confirmed that the
City can regulate nationally and locally listed

19.184
Code Section 66314, subd. (b) only allows the
imposition of historic standards on ADU
development on state register sites, not
properties listed on the National Register or
local landmarks/surveys but not the state
register. Furthermore, no such standards may be
imposed on ADUs that meet the requirements
of Government Code Section 66323, subd. (a),
as discussed above.
historic sites as an additional objective
standard as allowed by 66314(b)(1).

SCC Section 24.12.250 imposes bicycle parking
requirements on ADUs. However, no such
standards may be imposed on ADUs that meet
the requirements of Government Code Section
66323, subd. (a), as discussed above.

To address new state law effective 1/1/25,
this will be addressed in a subsequent
ordinance.

SCC Section 24.16.150 both disallows an ADU
applicant additional on-street parking permits
and also forces that applicant to provide an onstreet parking permit to the ADU occupant.

This policy is impermissible for ADUs eligible
for the protections of Government Code, §
66323, which strictly limits what standards can
be applied to such ADUs. Furthermore, this
discourages ADU development and contravenes
Housing Element Policy H-1.4, Accessory
Dwelling Units.

To address new state law effective 1/1/25,
this will be addressed in a subsequent
ordinance.

While it is laudable that the City proposes to
waive impact fees for ADUs rented at
affordable rents pursuant to proposed SCC
Section 24.16.160(1), the City is also obligated
to waive all impact fees for ADUs less than 750
square feet in size pursuant to Government
Code, section 66324, subdivision (c)(1). Neither
the proposed code nor the City’s fee schedule
includes this legally required exemption.

The City follows this requirement and will
work to ensure it is noted properly on the
City’s fee schedule.

Section 24.16.020(7) places an inclusionary
housing requirement on ADU development.

However, Government Code Section 66315
states, “No additional standards, other than
While Government Code Section
66314(b)(1) allows the City to create its own
objective standards for ADUs, the City
acknowledges that SB 1211 would prohibit

19.185
those provided in Section 66314, shall be used
or imposed, including an owner-occupant
requirement, except that a local agency may
require that the property may be used for rentals
of terms 30 days or longer.” Given that
Government Code section 66314 does not allow
for inclusionary requirements, the City may not
apply inclusionary housing requirements on
ADUs. Given that the City is already assuming
in its Housing Element that a certain percentage
of ADUs are naturally affordable, it is illogical
to also require an inclusionary requirement if
the ADUs are already naturally affordable.

Furthermore, this directly discourages the
creation of additional ADUs in multifamily
buildings. In fact, this is the only ADU
ordinance that CalHDF has encountered in its
statewide enforcement work that applies an
inclusionary housing ordinance against ADUs.
the application of such a standard on
statewide exemption ADUs. A non-exempt
ADU by itself would not reach the threshold
to apply the inclusionary requirements, so
staff will bring forward a proposed removal
of this requirement in a subsequent
ordinance.

SCC Section 24.16.150(4) forbids the short
term rental of an associated primary dwelling
after an ADU has been developed on the
property. Unless the City forbids the short term
rental of all primary dwellings in the City, it
may not specifically forbid the short term rental
of primary dwelling units where an ADU has
been developed. This will likely have a chilling
effect on ADU production, as it punishes the
applicant for developing an ADU. The City is
planning on building 584 ADUs during its
current Housing Element Cycle, but this would
mean that the City is imposing an additional
standard on ADU development not specifically
mentioned in state law. And as discussed above,
Government Code Section 66315 states, “No
additional standards, other than those provided
in Section 66314, shall be used or imposed,
including an owner-occupant requirement,
except that a local agency may require that the
property may be used for rentals of terms 30
days or longer.” A restriction on the short term
In the state’s review of the City’s ADU
regulations in 2024, HCD did not take issue
with this requirement. In addition, Section
66315 specifically states that the local
agency may require “that the property may
be used for rentals of terms 30 days or
longer.”
Santa Cruz Municipal Code Section

24.16.150.4 is consistent with this
Government Code section 66315, stating that
“Neither an accessory dwelling unit nor an
associated primary dwelling shall be used on
a transient occupancy basis or for shortterm/vacation rental purposes with a term of 30 or fewer days.”

19.186
rental of the primary unit is an “additional
standard” and thus cannot be imposed.

SCC Section 24.16.150(7) imposes a rental
inspection regime on all primary dwelling units
and accessory dwelling units. As discussed
above, Government Code Section 66315 states,
“No additional standards, other than those
provided in Section 66314, shall be used or
imposed, including an owner-occupant
requirement, except that a local agency may
require that the property may be used for rentals
of terms 30 days or longer.” An imposition of
an inspection requirement on both the primary
unit and the ADU is an “additional standard”
and thus cannot be imposed.

All rentals in the City of Santa Cruz are
subject to the City’s rental inspection
program, unless they are otherwise
exempted, for example through inspection by
the Housing Authority due to tenants using
Housing Choice Vouchers. The prior draft
ordinance contemplated a registration
requirement for ADUs that were not current
rentals, but the Council rejected that
proposal. It is unclear if the CalHDF letter
objects to the proposed Municipal Code as it
was directed to be amended by the Council
on 10/8/2024. It is also worth noting that
Government Code Section 66314 states that
cities may “Impose objective standards on
accessory dwelling units that include, but are
not limited to” parking, height, etc.

SCC Section 24.16.130(8) allows for a
discretionary process for the approval of ADUs
that do not meet the standards in the code.

However, Government Code Section 66316
only allows for ministerial approvals: “... an
accessory dwelling ordinance adopted by a
local agency shall provide an approval process
that includes only ministerial provisions for the
approval of accessory dwelling units and shall
not include any discretionary processes,
provisions, or requirements for those units… ”
Additionally, if the City amends its ordinance to
comply with state law, then there will be no
need for such a process.

The code section in question allows an
applicant to pursue a discretionary permit if
they can construct an ADU meeting
objective standards but choose instead to do
it in a different way (e.g., on a steep slope
that would require a Slope Development
Permit when they have plenty of flat land
that could accommodate an ADU without
requiring the discretionary permit). HCD has
confirmed with the City that this type of
flexibility is allowed, and this is also stated
in HCD’s ADU handbook (p. 11-12).

At its October 8, 2024 meeting, the City
Council amended the proposed ordinance to
retain owner occupancy requirements for ADUs
constructed prior to January 1, 2020. This is a
clear violation of state law. Government Code,
§ 66315, states the following (emphasis added):

Government Code Section 66315 provides
that “Section 66314 establishes the
maximum standards that a local agency shall
use to evaluate a proposed accessory
dwelling unit on a lot that includes a
proposed or existing single-family dwelling.”

19.187
Section 66314 establishes the maximum
standards that a local agency shall use to
evaluate a proposed accessory dwelling unit on
a lot that includes a proposed or existing singlefamily dwelling. No additional standards, other than those provided in Section 66314, shall be
used or imposed, including an owner-occupant
requirement, except that a local agency may
require that the property may be used for rentals
of terms 30 days or longer. 5 of 6 As you can
see, this does not include any provision for
cities to retain owner occupancy requirements
on previously constructed ADUs.

Given the specific reference to “proposed”
ADUs, this Section appears to be
inapplicable to ADUs built before 2020.

Further, statutes generally operate
prospectively only, unless the statute
expressly states it applies retroactively.
(Myers v. Philip Morris Companies, Inc.
(2002) 28 Cal.4th 828.). Nothing in
Government Code section 66315 or the
legislative history of the statute impose
retroactive removal of owner occupancy
requirements for ADUs constructed prior to
2020. In addition, staff has sought input from
HCD on this issue, and staff is aware of
conflicting guidance that HCD has offered
regarding this issue. Staff continues to seek
clarity from HCD regarding their position
and will, at the Council meeting, share any
updated information received from HCD on
this issue.

19.188
Proof of Publication
(2015 C.C.P.)
I, the undersigned, declare:

That I caused the attached legal
notice/advertisement to be published in
the Santa Cruz Good Times, a weekly
newspaper published and circulated in
the County of Santa Cruz, and adjudged
a newspaper of general circulation by the
Superior Court of California in and for the
County of Santa Cruz, under Proceeding
No. 68833; and that the legal
notice/advertisement was published in
the above-named newspaper on the
following date(s), to wit:

October 16, 2024
I declare under penalty of perjury that the
foregoing is true and correct to the best
of my knowledge.

This 16th day of October, 2024, Santa
Cruz, California
__________________________
Julia Wood
Deputy City Clerk Administrator

19.189

DECLARATION OF POSTING

STATE OF CALIFORNIA )
) SS.

COUNTY OF SANTA CRUZ )
On the 11th day of October, 2024, I posted conspicuously in three public places within the City of Santa Cruz, Ordinance No. 2024-18, to wit:

1. City Hall: 809 Center Street: Bulletin Board outside Room 9/10

2. City Hall: Bulletin Board outside Council Chambers

3. The City of Santa Cruz website
The document, posted in its entirety, consists of pages 1—27.

I declare under penalty of perjury that the foregoing is true and correct. Executed this 11th day of October, 2024, in Santa Cruz, California.
_______________________________
Julia Wood
Deputy City Clerk Administrator

19.190
Proof of Publication
(2015 C.C.P.)
I, the undersigned, declare:

That I caused the attached legal
notice/advertisement to be published in the Santa
Cruz Good Times, a weekly newspaper published
and circulated in the County of Santa Cruz, and
adjudged a newspaper of general circulation by the
Superior Court of California in and for the County of
Santa Cruz, under Proceeding No. 68833; and that
the legal notice/advertisement was published in the
above-named newspaper on the following date(s),
to wit:

October 16, 2024
I declare under penalty of perjury that the foregoing
is true and correct to the best of my knowledge.

This 16th day of October, 2024, Santa Cruz,
California
__________________________
Julia Wood
Deputy City Clerk Administrator

19.191

DECLARATION OF POSTING

STATE OF CALIFORNIA )
) SS.

COUNTY OF SANTA CRUZ )
On the 11th day of October, 2024, I posted conspicuously in three public places within the City of Santa Cruz, Ordinance No. 2024-18, to wit:

1. City Hall: 809 Center Street: Bulletin Board outside Room 9/10

2. City Hall: Bulletin Board outside Council Chambers

3. The City of Santa Cruz website
The document, posted in its entirety, consists of pages 1—27.

19.192
From: Malka Nagel
To: Sandy Brown; Martine Watkins; City Council
Subject: ADU ruling. Letter from Senator Lairds office
Date: Thursday, October 17, 2024 4:08:41 PM
>
> Hello
> I am very disappointed to learn that you did NOT agree with your planning department’s recommendation to remove owner occupancy requirements for units built before 2020. Your logic makes no sense. But my main issue, is that you are putting us homeowners with an undue disadvantage. My home has a deed restriction, but my neighbors home does not. So when he goes to sell he may get a higher home price because my house is burdened with a deed restriction. Do you think this is fair ? I don’t. >
> We are also supported by the state. And we are ready to fight this matter further. The city has a deed which is unenforceable. So, please just change the ordinance per the planning department’s recommendation. >
> Begin forwarded message:
>
>>
>>
>> Good morning,
>>
>>
>>
>> Thank you for reaching out to Senator Laird with your concerns about having deed restrictions removed for homeowners who have built ADUs, pursuant to AB 976.
>>
>>
>>
>> We reached out to the authors of AB 976, who confirmed their understanding that owner-occupancy requirements are not allowed, and have not been allowed for some time. So it might be that if there are deed restrictions, they are already unenforceable.
>>
>>
>>
>> With that said, we also reached out to the City of Santa Cruz Planning Dept., who provided us with the following information.
>>
>>
>>
>> The prohibition on owner occupancy requirements for newly constructed ADUs kicked in on 1/1/20 and is now extended indefinitely. The City sought to have last year’s state bill (that extended the 1/1/25 deadline indefinitely) to clearly apply retroactively as well, but it did not. As such, City staff needs to go back to City Council to have them formally allow for the removal of those pre-2020 deed restrictions. It’s a discretionary action on the Council’s part; staff will recommend that pre-2020 ADU property owner occupancy deed restrictions be allowed to be removed.
>>
>>
>>
>> Unfortunately, there isn’t a simple fix to it, where a Council action would just erase the restrictions. Instead, any interested property owner would need to have an updated document recorded on title. Assuming Council approves this approach (which staff expects to happen, based on equity between pre-and post-2020 requirements), staff will aim to put together a streamlined process to make the updates easy. >>

19.193
>>
>>
>> The City has to update their ADU regulations by the end of the year at the latest, and this will be presented as part of that package. In the interim, as they sometimes do when there are potential upcoming law changes, they have paused enforcement of the ADU owner occupancy requirement. Should you have further questions about Santa Cruz ADU regulations, Senior City Planner Sarah Neuse is happy to speak with you at 831-420-5092. >>
>>
>>
>> Again, thank you for contacting Senator Laird.
>>
>>
>>
>> Be well,
>>
>>
>>
>> Eileen Cross
>>
>>
>>
>> image001.png
>>
>> Eileen Cross
>> Senior District Representative
>>
>> Santa Cruz County
>> State Senator John Laird (SD-17)
>> District Office: 831-425-0401
>> Email: [email protected]
>>
>>
>>

19.194
From: Peter Jones
To: City Council
Subject: #19, ADU Ordinances, Remove Owner Occupancy
Date: Thursday, October 17, 2024 10:27:24 PM
Dear Mayor Keeley and City Council Members:

I request that you remove the owner occupancy deed restrictions from my ADU.

We built our ADU in 2016, complying with all of the requirements at the time. Conditions have evolved and we all see the
relaxing of rules pertaining to these ADU’s. I want to ask, if it has now been determined that owner occupancy of ADU’s
is no longer in the interest of the community, why are we the owners needing to plead our case to have this requirement removed. You, who have the power to remove this requirement, need to justify to us why it is in the interest of the community to just have our ADU’s subject to this burden. Should the requirement not be removed, during the next election we will be looking for candidates who will advocate for us. Separately, if there is some justification for not removing it immediately, please consider reducing the requirement to 10 years as opposed to a lifetime. At least it will be on the horizon for most of us.

It is unfair to penalize those people who built legal ADUs before 2020, at a time when the city had many more expensive requirements and regulations, such as fire sprinklers, covered parking, size restrictions, setbacks, energy restrictions, deed restrictions, and many layers of oversight and bureaucracy that added many thousands of dollars to the cost of construction.

ADUs built currently have no such requirements. We believe that current legislation requires you to remove owner occupancy restrictions for all ADUs.

Maintaining owner occupancy requirements limits what homeowners can do with their ADUs. For example, people needing to move to assisted living cannot fulfill the owner occupancy requirement and therefore cannot rent out their ADUs, reducing rentals in the community while limiting income for seniors who might need it to pay for assisted living costs. People who travel extensively also cannot rent out their ADUs, limiting community rentals. One of the original goals expressed for creating ADUs was to increase community rentals; requiring owner occupancy is counterproductive.

Limiting the use of ADUs by owner occupancy deed restrictions makes our properties worth less and less desirable to potential buyers, who will also face these same rental limitations.

The lack of flexibility of use for ADUs creates unintended consequences resulting in real issues for tenants, who will be forced to move if the owner has to leave for an extended time for any reason.

Please remove the owner occupancy deed restrictions to be fair to those who built legal ADUs as early adopters. Increase rentals by removing restrictions. Provide flexibility to those who need rental income to provide for their own assisted living expenses.

Remove the owner occupancy deed restrictions that only penalize early adopters who went to the time, trouble and significant expense to follow the rules.

Thank you for addressing this inequity.

Peter Jones

19.195
From: Cindy Firenzi
To: City Council
Subject: #19, ADU Ordinances, Remove Owner Occupancy
Date: Thursday, October 17, 2024 11:26:00 PM
Dear Mayor Keeley, and Council Members Watkins, Newsome, and Brown, Thank you all for your hard work to help our community.

Please reconsider your vote on maintaining the owner-occupancy requirement for pre2020 ADUs. It seems that you strongly support the deed restriction, given that some of you likely consulted with attorneys in order to challenge HCD’s statement that the City is prohibited from imposing an owner-occupancy requirement on ADUs (per its 2/6/24 letter) . You must realize that pre-2020 ADU owners are being treated inequitably compared to newer ADU owners. Yet, despite the planning department’s recommendation—for the first time—that you remove the restriction on the basis of fairness, and despite your colleagues’ concerns about inequity, the three of you that explained your support of the deed restriction never acknowledged the inequity. Instead, you cited reasons to limit and control ADU properties in general.

Therefore, unless HCD or some other state agency steps in, I think it's unlikely that you will be swayed. But could you please at least acknowledge that you are supporting inequitable treatment under the law of one set of your constituents—of pre-2020 ADU owners vs. newer owners? Could you please clarify that your opposition to ADU properties as a whole (e.g., investors can buy them up) justifies this inequity? You can’t discourage investors from buying ADU properties that were permitted after 2019. And you can’t stop them from buying single-family residences and building multiple ADUs that are larger and closer to their neighbors. So, if you can’t stem the tide, then why uphold the inequity? Opposing ADUs is everyone’s right. But equity is at the core of this issue, and it always matters, even if you oppose ADUs.

Had we built an illegal ADU originally and then applied for a permit after 2019, we would have avoided a deed restriction that substantially impacts our property value and housing options. Also, we had no idea when we agreed to the restriction that we would end up in a subset of relatively undesirable ADU properties—a subset that will become a shrinking minority of all ADU properties over time. Clearly, buyers that are looking for an ADU property will prefer those without a deed restriction. And when we got our permit, short-term rentals were allowed for ADUs. We were not grandfathered into that substantial advantage when it was rescinded by the council in 2015, but now we are grandfathered into a substantial disadvantage. Consistency matters.

It is my hope that our local lawmakers will make regulations that are equitable, consistent, and do not punish those of us that chose to go the legal route, those of us that built smaller ADUs with larger setbacks, and those of us that are most likely to remain on

19.196
our properties because we were originally required to do so. Please consider changing your vote or explaining why equitable and consistent regulations don’t apply in our case.

Thank you again,
Cindy Firenzi

19.197
From: max schultz
To: City Council
Subject: ADU Deed Restrictions
Date: Friday, October 18, 2024 5:46:07 AM
Dear Mayor Keeley and City Council Members:

I request that you remove the owner occupancy deed restrictions from my ADU.

ADUs built currently have no such requirements. We believe that current legislation requires you to remove owner occupancy restrictions for all ADUs.

Limiting the use of ADUs by owner occupancy deed restrictions makes our properties worth less and less desirable to potential buyers, who will also face these same rental limitations.

The lack of flexibility of use for ADUs creates unintended consequences resulting in real issues for tenants, who will be forced to move if the owner has to leave for an extended time for any reason.

Remove the owner occupancy deed restrictions that only penalize early adopters who went to the time, trouble and significant expense to follow the rules. Thank you for addressing this inequity.

Thank you
Max Schultz
--
Max Schultz
Schultz Construction Inc.
831 423 3140
www.schultzbuildz.com

19.198
From: Philip Boutelle
To: City Council
Subject: ADU Ordinance: Revise + Resubmit
Date: Friday, October 18, 2024 12:05:22 PM
Mayor Keeley, Councilmembers:

I'm writing that you consider rejecting the revised ADU ordinance at the second reading on Tuesday. Based on the letter from CA-HDF, and on the staff response matrix, it appears that the ordinance still won't comply with state laws that go into effect on 1/1/2025, so another ordinance will be needed no matter what. Instead, don't pass the one in front of you now, and focus on a revised ordinance that is legal.

When you do reconsider ADUs, please align the new/revised ordinance with the original staff recommendation. Specifically, our city should remove the owner occupancy requirement from all ADUs, not just the ones built before 2020.

During the deliberations on the ordinance passed on 10/8, I was both surprised and disappointed that Council pushed so hard against removing owner-occupancy requirements across all ADUs. Two councilmembers repeated falsehoods about the market effects of removing ADU owner occupancy, saying it would somehow increase demand and lead to less housing availability, and generally increase the price of rental housing. But most concerning was that terms like Neighborhood Character and Protecting the Neighborhood were used by councilmembers as a justification during discussion, implying that someone the people that rent ADUs won't be a good fit for our existing single family home neighborhoods.

As the City's own Planning Staff has pointed out, existing exclusive single family zoning has reinforced structural racism and resulted in segregated neighborhoods across our City. Council has been consistent in recent years about positively supporting infill housing, even going after a Pro-Housing designation & grant pursuit, plus the previous REAP 2.0 grant application to study how to increase density and different housing typologies in SFH zones. The 10/8 ADU ordinance changes don't align with this recent voting history and Council direction.

I welcome the gentle density and diversity that ADUs add to my single family home neighborhood, whether or not the property owner lives on site. I'm asking you to reconsider this ordinance completely, replacing it with something that frames ADUs as a net neighborhood benefit, and at the same time doesn't expose the City to lawsuits or pushback from HCD.

Thank you for your consideration,
-Phil Boutelle
Santa Cruz

19.199
From: David Mintz
To: City Council
Cc: David Mintz; [email protected]; Evan Morrison
Subject: Occupancy Rates
Date: Friday, October 18, 2024 3:13:28 PM
Hello
I support building new units, even in my neighborhood. I have written my approval to city planners. I have volunteered for the last 7 years around homelessness and helping people get housing.

I have been asking for an occupancy list for all new buildings so as to hold the builders and the city to account for who is in the buildings. I realize different buildings have different goals and expectations. But for each new building that has been built with any expectation goals including Section8 vouchers or similar, low income, low-low income, percent that is for local workers there should be easy to find accurate, up to date listing of the data to say the building is in compliance with the rules when it was built.

I realize you have questions about the Civil Grand Jury report and possibly Stephen Kessler (sp?) but today I looked for a Dash Board of the data and there is nothing I could find. And though I am an old retired guy I can search, but there is nothing I could find about occupancy rates or anything that was a scoreboard of how the new units are occupied.

I also know you all usually don’t reply to email. I realize you all have other jobs and serving our city is in itself pretty much full time at very little pay. I realize you don’t have much help.

I spent a year volunteering with a council member so I get it.

But this is a huge issue and you can proactively bring down the temperature on folks by having a clear, up-to-date listing by unit built. As a public school teacher and principal I had to publish regular, up to date data on our goals. Sports teams do it all the time. You probably asked your kids for info on their goals or promises. I trust you wanted a report card to know your standing. Unless you are hiding something or the units are not meeting goals, then I see no reason this info cannot be ready by November 15, 2024 I would be more than happy to volunteer to help get the info and keep it up to date regularly if that would help.

Thanks for actions that make the world a better place .....

David Mintz
319 Younglove Ave. Santa Cruz, CA. 95060
714 351 3836
originally inhabited by the Uypi people, yet today the Amah Mutsun Tribal Band have graciously accepted stewardship responsibility of the land that we reside on.

19.200
From: Bruce Dykaar
To: City Council
Subject: #19, ADU Ordinances, Remove Owner Occupancy
Date: Friday, October 18, 2024 3:44:09 PM
Dear Mayor Keeley and City Council Members:

I request that you remove the owner occupancy deed restriction from pre 2020 ADUs. I have a pre 2020 ADU and I want the deed restriction removed primarily because,

1. It limits what I can do with my property, if say, I want to travel extensively or need to move for some other reason and need the rental income.

2. It makes my property worth less than similar post 2020 properties that don’t have the deed restriction.

I think that current state law AB 976 makes local owner occupancy requirements invalid for all ADUs. I asked for the opinion of the bill’s author/sponsor Assemblymember Phil Ting and his Legislative Director, Josh Wright told me he believes that because the bill prohibited local govs from imposing these requirements entirely, it would apply to ADUs of any age.

Please remove the owner occupancy deed restrictions so Santa Cruz does not have a patchwork of ADU properties with deed restrictions and give all ADU property owners the same flexibility to rent their properties as they may need.

Thank you,
Bruce Dykaar

19.201
From: Polhamus
To: City Council
Subject: Item #19 - ADU ordinance second reading - Please remove the owner occupancy requirements Date: Friday, October 18, 2024 9:20:23 PM
Dear Mayor Keeley, Vice Mayor Golder, and City Council Members:

I spoke at the last city council meeting regarding the owner occupancy requirements for ADUs built pre-2020, and thanked the Planning staff and Council for proposing removing the deed restrictions and owner occupancy requirements from ADUs built before 2020, after a three-year wait for this to be agendized. To my surprise, the owner occupancy requirements were maintained. I think many people were blindsided by this unexpected decision.

Santa Cruz was one of the first cities in the state to adopt ADU guidelines in the early 2000s in the hope of creating much-needed rental housing at no cost to the city. Other cities looked to us for guidance since we were one of the early adopters of this idea, and Santa Cruz even published a guide for people to follow. I built my ADU in 2004 to house my elderly parents at a time when the requirements were onerous and expensive to comply with.

Fire sprinklers, off street/covered parking, setback requirements, size restrictions, design fees, building permits, all added many thousands of dollars to the cost of building an ADU. My 490 sq.ft. ADU cost over $185,000 to build in 2004, and is ADA compliant.

As the city hoped, the ADU idea has really caught on, so important because it adds much needed housing to our communities at no cost to the city because the homeowner pays for it.

Even though this is a second reading of the ordinance, I am asking you to take another look at removing the owner occupancy requirements and deed restrictions for the following reasons:

Originally owner occupancy may have made sense, as people were just getting comfortable with the idea of ADUs in single family residential neighborhoods and owner oversight increased that comfort level. However, the requirement has not aged well in the ensuing 20 years because people's life circumstances change, especially true for older people who would have been the ones who were able to build ADUs when they were first allowed. ADUs were originally conceived

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and permitted as a source of much needed rental housing in the city, but continuing to require owner occupancy has resulted in a decrease in the use of ADUs as rental housing, because people who are not able to comply with the owner occupancy requirement cannot rent out their ADUs, so they remain empty or are repurposed.

Some reasons for not being able to comply with the owner occupancy requirement include ill health (needing to move to assisted living or hospital), moving to be able to be closer to family for care (but still keeping their house), moving for work, and traveling.

Tenants in existing ADU rental units may be displaced if the owner cannot satisfy the owner occupancy requirement.

Maintaining required owner occupancy limits the ADU owner financially. People who need to rent out both their ADU and their home to help pay for assisted living are limited by this requirement.

The value of homes with ADUs with deed restrictions are worth less than neighboring homes without such restrictions. People are reluctant to sell a home with a deed restriction because it is worth less, and people are reluctant to buy a home with a deed restriction because of the limitations it presents.

Owner occupancy deed restrictions are inherently unfair if unequally applied. Anyone who built an ADU after 2020 has no such restriction, creating a second class of ADU owners. This is not equitable. I heard the concern that removing the owner occupancy might result in an uptick of "out of area investors" buying up all the ADU's, but I ask you to consider, has that happened with the 350 ADUs that have been built since the owner occupancy restriction was removed? Have these 350 unrestricted ADUs been bought up by investors? I believe this fear is not based in fact.

It is unfair to penalize those people who built legal, permitted ADUs before 2020 by maintaining their deed restrictions for owner occupancy. People who went to the time, trouble and considerable expense of building their ADUs in the early adoption phase should not be treated differently from those currently building ADUs under new state regulations. I am asking you to please be fair and remove the deed restriction.

Thank you for listening, and thank you for your service to the city.

Yours,

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Carol Polhamus

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From: royce fincher
To: City Council
Subject: ADU Deed Restriction
Date: Saturday, October 19, 2024 7:12:01 AM
Dear Mayor Keeley and City Council Members:

I request that you remove the owner occupancy deed restrictions from my ADU, 431 Dufour St, Santa Cruz. .

ADUs built currently have no such requirements. We believe that current legislation requires you to remove owner occupancy restrictions for all ADUs.

Limiting the use of ADUs by owner occupancy deed restrictions makes our properties worth less and less desirable to potential buyers, who will also face these same rental limitations.

The lack of flexibility of use for ADUs creates unintended consequences resulting in real issues for tenants, who will be forced to move if the owner has to leave for an extended time for any reason.

Remove the owner occupancy deed restrictions that only penalize early adopters who went to the time, trouble and significant expense to follow the rules. Thank you for addressing this inequity.

Regards, Royce Fincher

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From: Lena Blackburn
To: City Council
Subject: ADU Deed Restrictions
Date: Saturday, October 19, 2024 8:31:29 AM
Dear Mayor Keeley and City Council Members:

I request that you remove the owner occupancy deed restrictions from my ADU.

Limiting the use of ADUs by owner occupancy deed restrictions makes our properties worth less and less desirable to potential buyers, who will also face these same rental limitations.

The lack of flexibility of use for ADUs creates unintended consequences resulting in real issues for tenants, who will be forced to move if the owner has to leave for an extended time for any reason.

Remove the owner occupancy deed restrictions that only penalize early adopters who went to the time, trouble and significant expense to follow the rules. Thank you for addressing this inequity.

Sincerely,

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Lena Blackburn
136 Woodcrest Place
Sent from my iPad

19.207
From: Janine
To: City Council
Subject: Reject the ADU Ordinance, #19 on Oct 22 agenda Date: Saturday, October 19, 2024 9:37:02 AM
Mayor, Vice Mayor and Council members,
I’m writing to ask that you reject the ADU ordinance, item #19, on your October 22, 2024 agenda.

As mentioned in letters from CalHDF, the ordinance as it stands doesn’t comply with state law, especially with the changes effective January 2025. The staff matrix suggests that further revisions will be necessary to address much of what was highlighted by CalHDF. Instead of passing something that will soon need fixing, it's a better use of time to start fresh with an ordinance that gets it right from the beginning.

One big concern is the owner-occupancy requirement for ADUs built before 2020. State law prohibits this requirement for any ADU, but the ordinance only partially removes it. Keeping this restriction is inequitable to the early builders of ADUs, and it limits the flexibility and potential of these ADUs to serve as much-needed housing.

This also feels like a missed opportunity to address the bigger picture. Our city has a significant amount of exclusionary single-family zoning, which has historically limited who can live in certain neighborhoods. My neighborhood includes a mix of single-family homes, ADUs, duplexes, triplexes, etc and I believe this "missing middle" housing makes our community stronger and more vibrant. That’s something we should all be supporting.

Council members Brown and Newsome worry that removing the owner-occupancy rule could open the door to more investment properties. But the real issue we’re facing in Santa Cruz is the lack of housing. When ADUs are rented out or sold, they help ease the housing crunch by increasing the supply.

Santa Cruz has been working hard to promote more infill housing and earn the Pro-Housing designation, but this ordinance doesn’t reflect those positive efforts. The city’s Housing Element outlines a goal of 73 ADUs per year, which are key to increasing housing options and promoting affordability. Holding onto outdated requirements like owner-occupancy for pre2020 ADUs goes against these goals.

I ask that you reject this ordinance and instead focus on drafting a version that fully complies with state law including no owner-occupancy requirement at all.

Thank you,
Janine Roeth

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From: Germaine Akin
To: City Council
Subject: ADU Ordinances, Owner Restrictions
Date: Saturday, October 19, 2024 9:54:51 AM
Dear Mayor Keeley and City Council Members:

I request that you remove the owner occupancy deed restrictions from my ADU.

ADUs built currently have no such requirements. We believe that current legislation requires you to remove owner occupancy restrictions for all ADUs.

Limiting the use of ADUs by owner occupancy deed restrictions makes our properties worth less and less desirable to potential
We believe that current legislation requires you to remove owner occupancy restrictions for all ADUs.

Limiting the use of ADUs by owner occupancy deed restrictions makes our properties worth less and less desirable to potential buyers, who will also face these same rental limitations.

The lack of flexibility of use for ADUs creates unintended consequences resulting in real issues for tenants, who will be forced to move if the owner has to leave for an extended time for any reason.

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Remove the owner occupancy deed restrictions that only penalize early adopters who went to the time, trouble and significant expense to follow the rules. Thank you for addressing this inequity.

Germaine Akin
Yahoo Mail: Search, Organize, Conquer

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From: Irene Garner
To: City Council
Subject: ADU owner occupancy restriction
Date: Saturday, October 19, 2024 1:49:06 PM
Dear Mayor Keeley and City Council Members:

I request that you remove the owner occupancy deed restrictions from my ADU.

ADUs built currently have no such requirements. We believe that current legislation requires you to remove owner occupancy restrictions for all ADUs.

In the last vote, you were piggybacking the right to sell an ADU with this restriction which does not make sense. They are two completely different issues.

Limiting the use of ADUs by owner occupancy deed restrictions makes our properties worth less and less desirable to potential buyers, who will also face these same rental limitations.

The lack of flexibility of use for ADUs creates unintended consequences resulting in real issues for tenants, who will be forced to move if the owner has to leave for an extended time for any reason.

Remove the owner occupancy deed restrictions that only penalize early adopters who went to the time, trouble and significant expense to follow the rules. Thank you for addressing this inequity.

19.211
From: Maria Luis
To: City Council
Subject: Fwd: ADU older construction
Date: Saturday, October 19, 2024 3:22:16 PM
Sent from my iPhone
Begin forwarded message:

From: Maria Luis <[email protected]>
Date: October 19, 2024 at 3:18:47 PM PDT
To: [email protected]
Subject: ADU older construction
Good afternoon,
My name is Maria Luis,
I have been a resident of Santa Cruz for almost 50 years. We built an ADU in 2006 and had to get through lots of requirements in order to built it. It is small and my son lives there.

Today all the restrictions have been taken away for everyone building, but have not been taken away for those of us who have been following the rules for many years.

I should be able to have the same freedom as someone who does not even have designated parking and their renters come and park in front of my home . I was required to have designated parking when I built.

Please I ask you all to consider those of us who for many years have been following your rules. I hope that you please consider fairness for everyone and make it equal by taking away the current requirements of providing prove of owner occupancy. I also would wish that my property is not affected in a negative way should I ever wish to sell it. Yes, two properties for sale in the neighborhood one with ADU restrictions and the other with none, which one would sell faster do you think?
Fairness should be your goal.

Thanks for your attention in this matter.

Sincerely
Maria and Fernando Luis
Sent from my iPhone

19.212
From: Randy James
To: City Council
Subject: #19, ADU Ordinances, Remove Owner Occupancy
Date: Saturday, October 19, 2024 4:01:18 PM
Dear City Board Members,
As owners with an ADU on our property that has offered economical housing for young couples, seniors and students in our neighborhood for many years, I request your support in removing the occupancy requirement.

At this point in time we can see no justification for retaining owner occupation requirements for ADU's. It is especially unfair to those who built ADU's when very expensive additional requirements were in place such as fire sprinklers for the ADU when even the main house required none. We should have uniform requirements for ADU owners.

ADU's have been a boon in continuing mixed income housing and the more that can be built the better. The benefits are to the
homeowners/landlords and the tenants.

Thank you for your consideration.

Regards,
Randy James/Ann McCrow
503 Caledonia St.

SC 95062
--
This email has been checked for viruses by Avast antivirus software. www.avast.com

19.213
From: [email protected]
To: Renee Golder; Shebreh Kalantari-Johnson; Sandy Brown; [email protected]; Sonja Brunner; Fred Keeley; City Council
Subject: #19, ADU Ordinances, Remove Owner Occupancy
Date: Saturday, October 19, 2024 4:57:13 PM
Dear Santa Cruz City Council,
Please remove the owner occupancy restriction for all ADU's.

It is unfair to penalize those people who built legal ADUs before 2020, at a time when the city had many more expensive
requirements and regulations, such as fire sprinklers, covered parking, size restrictions, setbacks, energy restrictions, deed restrictions, and many layers of oversight and bureaucracy that added many thousands of dollars to the cost of construction.

ADUs built currently have no such requirements. I believe that currenlegislation requires you to remove owner occupancy restrictions for all ADUs.

People who travel extensively also cannot rent out their ADUs, limiting community rentals. One of the original goals expressed for creating ADUs was to increase community rentals; requiring owner occupancy is counterproductive.

Limiting the use of ADUs by owner occupancy deed restrictions makes our properties worth less and less desirable to potential buyers, who will also face these same rental limitations.

The lack of flexibility of use for ADUs creates unintended consequences resulting in real issues for tenants, who will be forced to move if the owner has to leave for an extended time for any reason.

Please remove the owner occupancy deed restrictions that only penalize early adopters who went to the time, trouble and significant expense to follow the rules.

Jason Glickman
424 Western Drive

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Santa Cruz, CA 95060

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From: Sue Haines
To: City Council
Subject: Owner occupied ADU
Date: Saturday, October 19, 2024 10:01:21 PM
Hi City Council
2015 i completed my ADU; at that time I spend $35000 to trenched a dedicated line for fire sprinkler system and had to paid a specialist plumber to install the plumbing for the sprinkler ONLY TO FIND OUT THIS REQUIREMENT OF SPRINKLER HAD BEEN REMOVED 9 months later!!!
This unfair burden of excess cost had been troubling to me, a senior citizens with limited funds!
I am 76 and had been diagnosed with congested heart failure! One day I hope not too soon I will in need of assisted living near my son in New York or my daughter in London or the nearest son in Sacramento; I will not be able to OWNER OCCUPY THE ADU! The property IS in a trust!! How do you handle an owner who’s deceased and the property is in a LIVING TRUST! I don’t City council know enough law and had think thing through putting such restrictions to owners no matter the years ADU were built! What is the
Legal ramifications, the consequences or implications of a legal action to the unfair treatment to some owners and not other!!! This is causing undue stress to me and no doubt many others! I will be there Tuesday at the meeting!
See you at the meeting!
Sue Haines
541-799-4244

19.216
From: [email protected]
To: City Council; City Council
Cc: Renee Golder; Fred Keeley; Sandy Brown; Sonja Brunner; Martine Watkins; Shebreh Kalantari-Johnson; Scott Newsome
Subject: #19, ADU Ordinances, Remove Owner Occupancy
Date: Saturday, October 19, 2024 11:05:17 PM
Dear City Council members,
I am an owner of an ADU built pre-2020. It has come to my attention that the Owner Occupancy deed restriction for original ADUs has not been removed to be in accordance with ADUs built after 2020 despite the fact that this restriction is considered illegal and not allowed by current state law and is thereby unenforceable, and that the City’s Planning Department proposed rescinding the restriction but city council voted against all of this. Can any of you please clarify how ADU owners, pre and post 2020, can be categorized separately in this manner?
I’m sure by now you have become familiar with the legion of reasons why this restriction, while both unfair and apparently illegal, is also counter productive to the assertion -- repeatedly claimed by city council-- to want to use ADUs (built by and financed by the homeowners) to increase the housing stock at no cost to the city. With the OA deed restriction in place the unintended consequences are that both the primary residence AND the ADU can be taken off the market and left empty in order to comply if the owner is not residing on site. There are multiple reasons that an owner may not reside on site: health, family needs elsewhere, travel, work. Should an owner be required to evict an ADU renter if they must be away? When there is a need to rent both units why would a deed restriction remain in force to reduce the potential habitation to zero? With a deed restriction around our necks the loss of economic opportunity with regards to renting and limited property value in comparison to other post 2020 ADU properties is a less than satisfying way to be thanked by the city for the owners’ expense of building an accessory dwelling unit. It is not a well-thought-out law and never was. Removal of the deed restriction seems an obvious and simple fix to all the above.

Please officially remove the Owner Occupancy Deed Restriction for ADUs built pre 2020.

Thank you for your time and attention.

Robin Cunningham

19.217
From: [email protected]
To: City Council
Subject: ADU Ordinance Restriction
Date: Sunday, October 20, 2024 7:27:43 AM
> Dear Mayor Keeley and City Council Members:
>
> I request that you remove the owner occupancy deed restrictions from my ADU. >
> It is unfair to penalize those people who built legal ADUs before 2020, at a time when the city had many more expensive requirements. We believe that current legislation requires you to remove owner occupancy restrictions for all ADUs.
>
> Maintaining owner occupancy requirements limits what homeowners can do with their ADUs. For example, people needing to move to assisted living cannot fulfill the owner occupancy requirement and therefore cannot rent out their ADUs, reducing rentals in the community while limiting income for seniors who might need it to pay for assisted living costs. People who travel extensively also cannot rent out their ADUs, limiting community rentals.

One of the original goals expressed for creating ADUs was to increase community rentals; requiring owner occupancy is counterproductive.
> Limiting the use of ADUs by owner occupancy deed restrictions makes our properties worth less and less desirable to potential buyers, who will also face these same rental limitations. >
> The lack of flexibility of use for ADUs creates unintended consequences resulting in real issues for tenants, who will be forced to move if the owner has to leave for an extended time for any reason. >
> Please remove the owner occupancy deed restrictions to be fair to those who built legal ADUs as early adopters.

Increase rentals by removing restrictions. Provide flexibility to those who need rental income to provide for their own assisted living expenses.
> Remove the owner occupancy deed restrictions that only penalize early adopters who went to the time, trouble and significant expense to follow the rules. Thank you for addressing this inequity.

Sincerely,
Jana Vargas
>
>
Sent from my iPhone

19.218
From: Maya Powis
To: City Council
Subject: ADU Restrictions
Date: Sunday, October 20, 2024 8:31:21 AM
Dear Mayor Keeley and City Council Members:

I request that you remove the owner occupancy deed restrictions from my ADU.

ADUs built currently have no such requirements. It is unfair to impose different restrictions for those who built legal ADUs before 2020.

Limiting the use of ADUs by owner occupancy deed restrictions makes our properties worth less and less desirable to potential buyers, who will also face these same rental limitations.

The lack of flexibility of use for ADUs creates unintended consequences resulting in real issues for tenants, who will be forced to move if the owner has to leave for an extended time for any reason.

Remove the owner occupancy deed restrictions that only penalize early adopters who went to the time, trouble and significant expense to follow the rules. Thank you for addressing this inequity.

Maya Powis
Sent from my iPhone

19.219
From: [email protected]
To: City Council
Subject: ADU restrictions
Date: Sunday, October 20, 2024 8:49:09 AM
Dear Mayor Keeley and City Council Members:

I request that you remove the owner occupancy deed restrictions from my ADU.

One of the original goals expressed for creating ADUs was to increase community rentals; requiring owner occupancy is counterproductive.

Limiting the use of ADUs by owner occupancy deed restrictions makes our properties worth less and less desirable to potential buyers, who will also face these same rental limitations.

The lack of flexibility of use for ADUs creates unintended consequences resulting in real issues for tenants, who will be forced to move if the owner has to leave for an extended time for any reason.

Please remove the owner occupancy deed restrictions to be fair to those who built legal ADUs as early adopters.

Increase rentals by removing restrictions. Provide flexibility to those who need rental income to provide for their own assisted living expenses.

Remove the owner occupancy deed restrictions that only penalize early adopters who went to the time, trouble and significant expense to follow the rules. Thank you for addressing this inequity, Andre Fonseca

19.220
From: Frank Vargas
To: City Council
Subject: #19 ADU Ordinances, remove Owner Occupancy
Date: Sunday, October 20, 2024 8:51:58 AM
>> Dear Mayor Keeley and City Council Members:
>>
>> I request that you remove the owner occupancy deed restrictions from my ADU. >>
>> It is unfair to penalize those people who built legal ADUs before 2020, at a time when the city had many more expensive requirements and regulations, such as fire sprinklers, covered parking, size restrictions, setbacks, energy restrictions, deed restrictions, and many layers of oversight and bureaucracy that added many thousands of dollars to the cost of construction. ADUs built currently have no such requirements. We believe that current legislation requires you to remove owner occupancy restrictions for all ADUs. >>
>> Maintaining owner occupancy requirements limits what homeowners can do with their ADUs. For example, people needing to move to assisted living cannot fulfill the owner occupancy requirement and therefore cannot rent out their ADUs, reducing rentals in the community while limiting income for seniors who might need it to pay for assisted living costs. People who travel extensively also cannot rent out their ADUs, limiting community rentals.

One of the original goals expressed for creating ADUs was to increase community rentals; requiring owner occupancy is counterproductive.
>> Limiting the use of ADUs by owner occupancy deed restrictions makes our properties worth less and less desirable to potential buyers, who will also face these same rental limitations. >>
>> The lack of flexibility of use for ADUs creates unintended consequences resulting in real issues for tenants, who will be forced to move if the owner has to leave for an extended time for any reason. >>
>> Please remove the owner occupancy deed restrictions to be fair to those who built legal ADUs as early adopters.

Increase rentals by removing restrictions. Provide flexibility to those who need rental income to provide for their own assisted living expenses.
>> Remove the owner occupancy deed restrictions that only penalize early adopters who went to the time, trouble and significant expense to follow the rules. Thank you for addressing this inequity.

Frank Vargas
Sent from my iPhone

19.221
From: Kathleen Pruett
To: City Council
Subject: #19, ADU Ordinances, Remove Owner Occupancy
Date: Sunday, October 20, 2024 9:11:04 AM
Dear Mayor Keeley and City Council Members:

I request that you remove the owner occupancy deed restrictions from my ADU.

It is not equitable to penalize those people who built legal ADUs before 2020. I built my ADU in 2013 when the city had many more expensive requirements and regulations, such as fire sprinklers (which required me to upgrade my water main to service the sprinkler system), size restrictions, setbacks, energy restrictions, deed restrictions, alley pavement (which had to be freeway grade for garbage collection and now the city no longer will pick up in the alley), and many layers of oversight and bureaucracy that added many thousands of dollars to the cost of construction. ADUs built currently have no such requirements. We believe that current legislation requires you to remove owner occupancy restrictions for all ADUs.

Limiting the use of ADUs by owner occupancy deed restrictions makes our properties worth less and less desirable to potential buyers, who will also face these same rental limitations.

The lack of flexibility of use for ADUs creates unintended consequences resulting in real issues for tenants, who will be forced to move if the owner has to leave for an extended time for any reason.

Remove the owner occupancy deed restrictions that only penalize early adopters who went to the time, trouble and significant expense to follow the rules. Thank you for addressing this inequity.

Thank you,
Kathleen Pruett

19.222
From: Alesia Haas
To: City Council
Subject: #19 ADU Ordinances, Remove Owner Occupancy
Date: Sunday, October 20, 2024 10:03:07 AM
Dear Mayor Keeley and City Council Members:

I am writing to request that City Council remove the owner occupancy deed restrictions from my ADU to be fair to those of us who built legal ADUs as early adopters. Removing this restriction will benefit Santa Cruz in the following ways:

Increase rental units by removing restrictions
Provide flexibility to those who need rental income to provide for other expenses, including those we need to move into assisted living Increase valuation parity between properties built with ADUs at different times. Limiting the use of ADUs by owner occupancy deed restrictions makes some properties worth less and less desirable to potential buyers, who will also face these rental limitations.

Protect tenants from being forced to move if the ADU owner has to leave for an extended time for any reason.

Remove the owner occupancy deed restrictions that penalize early adopters who went to the time, trouble and significant expense to follow the rules. Thank you for addressing this inequity and your careful consideration of this matter.

Alesia Haas

19.223
From: Sharon Strelitz
To: City Council
Subject: #19, ADU Ordinances, Remove Owner Occupancy
Date: Sunday, October 20, 2024 10:42:39 AM
My name is Sharon Strelitz. I have an ADU in my backyard that I rent out. I now have 2 granddaughters that live in London. Both their mother and father work full time. I have been spending about 5 months a year helping them out in London and away from my property in Santa Cruz. This is particularly helpful when the children are young and both parents work. I did not have that kind of support. With the current older ADU Owner Occupancy requirement, I do not have the choice to help them out year round! The goal of the State is to provide more housing. If an owner needs to be away for more than 6 months a year, they are not able to. If they could, they would be able to rent out that space and provide more housing.

Furthermore, the value of the property is reduced by the simple fact that a new owner must live on this property. This means that new owners who would plan to rent out all spaces on the property cannot buy it. The reduces the number of people that will want to buy an older ADU and thus has reduced the value of the property.

This penalizing of older ADUs is causing real financial impact and housing impact. Why are you continuing to perpetuate this situation particularly in light of the fact that this owner occupancy requirement has been removed for newer ADUs?
Sharon Strelitz
511 Caledonia Street
Santa Cruz, CA 95062

19.224
From: Paul Gallagher
To: City Council
Subject: Owner requirement for ADU is counterproductive. It will actually reduce rental housing.

Date: Sunday, October 20, 2024 11:44:41 AM
Many of us with ADUs in Santa Cruz are retired folks. I live on the property, but feel it unfair that my neighbor across the street who built an ADU recently does not have this requirement.

In the future,
when my daughter inherits the house, she won't be able to live on the property and it will be sold. Being in a desirable location and seeing what's going on with other properties, there is a good chance the house
will be knocked down and “remodeled" into a giant home. The result is the loss of 2 rental units. We would like to keep this property in the family for decades, but this unfair owner requirement will dash these hopes.

Please think this through and alter your decision.

Thank You
"May you give and receive many blessings on your journey” @gallagher.paul
http://www.soulfulimage.com

19.225
From: Zumwalt, Rosemary
To: City Council
Subject: Regarding vote on ADU restrictions.

Date: Sunday, October 20, 2024 12:06:03 PM
Dear Mayor Keeley and City Council Members:

I request that you remove the owner occupancy deed restrictions from my ADU.

It makes no sense to treat similarly situated people differently. In other words, new construction would benefit the people doing it and pre-2020 construction punishes people unfairly.

The lack of flexibility of use for ADUs creates unintended consequences resulting in real issues for tenants, who will be forced to move if the owner has to leave for an extended time for any reason.

Sincerely,
Rosemary Lévy Zumwalt
Dean of the College Emerita
Professor Emerita of Anthropology
Agnes Scott College
115 Ladera Drive
Santa Cruz, CA 95060
706 867-5359

19.226
From: Matt Ammann
To: City Council; Shebreh Kalantari-Johnson; Sandy Brown Subject: I support removal of Owner Occupancy for ADU
Date: Sunday, October 20, 2024 2:17:33 PM
Hello City Council, Shebreh, Sandy,
I am writing to support removal of the Owner Occupancy requirements for older ADUs.

I own a home with an ADU. It has an owner occupancy requirement, as well as a maximum rent stipulation.

I believe that the owner occupancy requirement should be lifted for the following reasons.

1. It is a disincentive to rent out the ADU. We currently have my wife's parents living with us.

At some point in the future we will be in a position to put the unit back out to rent. The owner occupancy could be a disincentive to do that, as we may wish to partially relocate in retirement. If we were to do that, we would rent out our main house, but need to leave the ADU un occupied. This would result in less units available to rent and not help the housing shortage.

2. It is unfair that older ADUs have different regulations from newer ones. The restriction depresses our property value.

3. The enforcement requirement is unwieldy, causing burden to home owners and to the city staff.
thank you for your consideration.

Matt

19.227
From: Anina Van Alstine
To: City Council
Subject: Please KEEP the restrictions on ADUs!
Date: Sunday, October 20, 2024 2:40:57 PM
Hello!
I am writing to ask that you please keep the restrictions for ADUs that the property owner MUST live on the property in one of the two units AND do not allow people to condominiumize their units and sell them off.

I live on the same property as my ADU and have to file an audit every year verifying that this is my home. Because I live here, in close proximity, I can and must be aware of what happens in that unit. I have friends who live near unmonitored ADUs ( as a result of the little clemency blip) and they are miserable. Air BNB combined with no monitoring is hell for neighborhoods.

Less intense about not allowing the condominiumization of ADUs, but I think it will push property prices EVEN higher.

Thank you for your attention.!
Anina Van Alsitne
--
831-818-0735
"Hope and fear cannot occupy the same space. Invite one to stay."Maya Angelou. and fear cannot occupy the same space. Invite on— Maya
Angelou

19.228
From: Carl Klem
To: City Council
Subject: Pre 2022 ADU owner statement
Date: Sunday, October 20, 2024 4:54:12 PM
As a 40+ year home owner and resident, I am dismayed that we are being singled out on the owner occupied ruling! We have a legal ADU that is rented out under contract. I am 78 years old, and my wife has been diagnosed with Alzheimer's Disease. We have no intention of selling our home. But, at this time we want to be able to be closer to our grandchildren and family that live out of state. To financially be able to do this, our only option is to rent out our house.

Why are we as a group of "early on" additional housing providers being treated like this? p.s.

I would like to be at the council meeting to read this, but as a care provider I have other responsibilities. I would appreciate having it read by someone. And for obvious reasons I would like my identity to NOT be disclosed.

Thank you,
Carl Klem

19.229
From: Peter Cook
To: City Council
Subject: Remove Discriminatory Anti-Tenant Deed Restrictions Date: Monday, October 21, 2024 10:49:01 AM
Dear Councilmembers,
I’m deeply disappointed that a “progressive” council would vote to preserve an owner-occupied restriction on certain properties in our city. Please imagine if there was a restriction requiring a Christian, or a white person or a straight person to live onsite; clearly you would vote to have these deed restrictions removed immediately (likely with a lot of political theatre and grandstanding). It appears that the evil investor boogeyman has clouded your judgement. Please correct the matter at your earliest convenience, discriminating against tenants is not moral or progressive.

Sincerely,
PS condo ADUs will be a beneficial opportunity for first time home buyers. We are dramatically under producing housing for would be buyers.

I am requesting that the owner occupancy deed restrictions be removed from the ADU Ordinance:

In 2015-2017 I went thru the rigors of the City’s ADU conversion ordinance at a time when the City was not able to provide clear guidelines or a path to obtaining the necessary permits and the order in which each permit should be obtained. The lack of planning, education and useful information caused unnecessary delays at extraordinary costs. My front & back yards were torn up and muddy for 9 months because I was told I needed to have fire suppression installed and permitted before SCMU would install and permit the new water meter to accept the dedicated 2” water line for the sprinkler systems. The Fire Department would not schedule an inspection of my sprinkler system until a building permit was opened, and the building dept would not open my building permit until SCMU permitted the new water meter…each city agency was pointing at the other; we followed the ‘circular’ guidance that was provided to us, to the letter…unacceptable. During a visit to building dept, the program directed asked me about my experience and kindly let her know what problems and issues needed to be clarified. Since then, we saw AB 881 and major

19.231
softening of the ADU requirements and increase in the availability of useful info and guidance. The ADU program was cleaned up at the expense of residents like me.

The problem lies in the fact the City has refused to reconcile with the early ADU conversion’iers.

I speak alongside a large group of Santa Cruz residents/ADU permit holders, who played by the city’s rules at great cost, headache, and time. The fact that the City has not reconciled with us for the cost of fire suppression, covered parking and other former requirements appears disrespectful at this point. The owner occupancy requirement, covered parking, size restrictions, excessive setbacks, T24 energy saving requirements and bureaucracy is just insult to injury when we look at all the regulatory red tape and restrictions that now encumber our properties – How are we supposed to settle that fact that ADUs built now are not subject to the same restrictions? What needs to happen is the City needs to reimburse us for the cost of all construction/restriction that not currently required or bilaterally remove the appropriate restrictions, so all ADU owners are on the same page. The legislative intent behind AB 881 was to facilitate the affordability of ADU construction. AB 976 was passed in the Senate 22-9 vote on 9/6/2023, signed into law by the Governor on 10/11/2023 – as you know it extended the provisions of AB 881.

Since this bill expressly prohibited local agency from imposing owner-occupancy requirements of ADUs, the City needs to comment on why it rejected a proposal to remove the owner-occupancy requirement with a 4-2 vote? If the City intends on keeping these requirements and restrictions on us, the City needs to consider reimbursing us for permitting on construction that is no longer required. As a matter of law, the owner occupancy requirements need to be removed immediately.

Sincerely,
Adam Evans
Director of Operations, Evans Management Services
[email protected]
Main 831.475.0335 | Direct 831.318.2045 | Fax 831.267.2008

19.232
From: Susanne Millar
To: City Council
Subject: ADU Owner Occupancy Restrictions
Date: Monday, October 21, 2024 11:17:33 AM
To the City Council of Santa Cruz,
I have owned a home in Santa Cruz since 1996. I’m writing to you about the ADU requirements for owner occupancy. I’m aware that there are many others who’ve been writing to you about the same topic and I wanted to voice my concerns as well.

I’ve rented to USCS Students for 12 years and not only was I an excellent landlord, but I’m friends with many of my former renters who’ve gotten married, had babies, and returned for visits in our home. We are good neighbors and good landlords - just the kind Santa Cruz needs more of, not less.

I complied for many years with the Rental Inspection program with the City of Santa Cruz. I think that’s an excellent way to make sure rentals are safe for renters. I’m much more willing to comply with that kind of inspection program regarding rentals than having restrictions filed on my property which limit my rights and income as a homeowner.

I’m asking that you remove the Owner Occupancy requirements in order to free up rental units without the unfair burden placed by the City on our deeds.

I want to thank the City Council for your willingness to look into this situation for those of us unlucky enough to have completed our ADUs before 2020 (we missed the magic window by mere months). I hope you can assist in eliminating this unfair inequity.

Thank you for your time and I do hope that the City aligns their decision to meet the State's ADU requirements.

19.233
From: Philip Mekis
To: City Council
Subject: ADU owners who built before 2000
Date: Monday, October 21, 2024 12:40:32 PM
Council members,
It appears in the letter from the Senators office below that it was expected of council to eliminate owner occupied deed restrictions, "As such, City staff needs to go back to City Council to have them formally allow for the removal of those pre-2020 deed restrictions." Are you aware of this correspondence from the state? It seems strange to me that those of us that were early adopters continue to be treated unfairly in a city that is often concerned with equity.

It also appears based on the letter that there are feelings from the states office that the current deed restrictions are unenforceable? I would ask that you reconsider the decision made at the prior meeting and read the letter from the Senators office below. If there is concern of outside investors at a corporate level why not limit their ability to purchase in our town, the corporations, rather than taking unfair action against your residents? "Good morning, Thank you for reaching out to Senator Laird with your concerns about having deed restrictions removed for homeowners who have built ADUs, pursuant to AB 976. We reached out to the authors of AB 976, who confirmed their understanding that owneroccupancy requirements are not allowed, and have not been allowed for some time. So it might be that if there are deed restrictions, they are already unenforceable. With that said, we also reached out to the City of Santa Cruz Planning Dept., who provided us with the following information. The prohibition on owner occupancy requirements for newly constructed ADUs kicked in on 1/1/20 and is now extended indefinitely. The City sought to have last year’s state bill (that extended the 1/1/25 deadline indefinitely) to clearly apply retroactively as well, but it did not. As such, City staff needs to go back to City Council to have them formally allow for the removal of those pre-2020 deed restrictions. It’s a discretionary action on the Council’s part; staff will recommend that pre-2020 ADU property owner occupancy deed restrictions be allowed to be removed. Unfortunately, there isn’t a simple fix to it, where a Council action would just erase the restrictions. Instead, any interested property owner would need to have an updated document recorded on title. Assuming Council approves this approach (which staff expects to happen, based on equity between pre-and post-2020 requirements), staff will aim to put together a streamlined process to make the updates easy. The City has to update their ADU regulations by the end of the year at the latest, and this will be presented as part of that package. In the interim, as they sometimes do when there are potential upcoming law changes, they have paused enforcement of the ADU owner occupancy requirement. Should you have further questions about Santa Cruz ADU regulations, Senior City Planner Sarah Neuse is happy to speak with you at
831-420-5092
. Again, thank you for contacting Senator Laird. Be well, Eileen Cross image001.png Eileen Cross Senior District Representative Santa Cruz County State Senator John Laird (SD-17) District Office:
831-425-0401
Email: [email protected]"
Thank you,
Philip Mekis

19.234
From: Patty Liu
To: City Council
Cc: Paul Lind; Carol Polhamus
Subject: #19, ADU Ordinances, Remove Owner Occupancy
Date: Monday, October 21, 2024 12:41:34 PM
Dear Mayor Keeley and City Council Members:

I request that you remove the owner occupancy deed
restrictions from my ADU.

It is unfair to penalize those people who built legal
ADUs before 2020, at a time when the city had many
more expensive requirements and regulations, such as
fire sprinklers, covered parking, size restrictions,
setbacks, energy restrictions, deed restrictions, and
many layers of oversight and bureaucracy that added
many thousands of dollars to the cost of construction.

ADUs built currently have no such requirements. We
believe that current legislation requires you to remove owner occupancy restrictions for all ADUs.

Maintaining owner occupancy requirements limits what
homeowners can do with their ADUs. For example,
people needing to move to assisted living cannot fulfill the owner occupancy requirement and therefore cannot
rent out their ADUs, reducing rentals in the community
while limiting income for seniors who might need it to
pay for assisted living costs. People who travel
extensively also cannot rent out their ADUs, limiting
community rentals. One of the original goals expressed
for creating ADUs was to increase community rentals;
requiring owner occupancy is counterproductive.

Limiting the use of ADUs by owner occupancy deed
restrictions makes our properties worth less and less
desirable to potential buyers, who will also face these same rental limitations.

The lack of flexibility of use for ADUs creates
unintended consequences resulting in real issues for

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tenants, who will be forced to move if the owner has to leave for an extended time for any reason.

Please remove the owner occupancy deed restrictions
to be fair to those who built legal ADUs as early
adopters. Increase rentals by removing restrictions.

Provide flexibility to those who need rental income to
provide for their own assisted living expenses.

Remove the owner occupancy deed restrictions that
only penalize early adopters who went to the time,
trouble and significant expense to follow the rules.

Thank you for addressing this inequity.

Respectfully,
Patricia Liu & Paul Lind
Sent from my iPhone

19.236
From: [email protected]
To: City Council
Subject: ADU Live-in Requirement
Date: Monday, October 21, 2024 2:27:14 PM
****CAUTION: This email originated from outside of the organization. Do not click links or open attachments unless you recognize the sender and know the content is safe.**** Dear Friends,
Please eliminate the requirement that those of us with older ADUs must live on the property. We followed the rules, got the permits, created additional housein, etc. We should not have additional requirements that do not apply to those who built ADUs after us. Thank you.

Nancy Purvis
Resident at 404 Pacheco Avenue

19.237
From: Francine Tyler
To: City Council
Subject: 19, ADU Ordinances, Remove Owner Occupancy
Date: Monday, October 21, 2024 4:51:26 PM
****CAUTION: This email originated from outside of the organization. Do not click links or open attachments unless you recognize the sender and know the content is safe.**** Dear city council: We are writing to you your ask that you lift the owner occupancy requirements for the older ADUs. We request this change for several reasons. The main one is simple equity: if landlords can now build ADUs legally on their rentals, why should we have to forever live with ours? What if we need to move away to care for aging family members or into care ourselves and wish to rent out our house? What if we’d like to travel for a year or two and live elsewhere?
It makes no sense to leave two classes of ADUs in the city - those that require owners in residence and those that do not.

Thank you - Michael and Francine Tyler, 50 Alta Vista

19.238
Santa Cruz City Council
October 22, 2024
Accessory Dwelling
Unit Ordinance
Amendments

19.239
2 • Removes owner occupancy requirement for any newly
permitted ADU in 2020 and beyond
• Retains owner-occupancy requirement for ADUs
constructed before 2020
Owner-Occupancy: approved at 1st
reading

19.240
3 Section 66314 establishes the maximum standards that
a local agency shall use to evaluate a proposed
accessory dwelling unit on a lot that includes a proposed or existing single-family dwelling. No additional
standards, other than those provided in Section 66314,
shall be used or imposed, including an owner-occupant
requirement, except that a local agency may require
that the property may be used for rentals of terms 30
days or longer.

Government Code Section 66315

19.241
4 • Today: Approve Second Reading
• December meeting: Response to state laws going into
effect in 2025
Next Steps

19.242
City Council

AGENDA REPORT
DATE: 10/04/2024
AGENDA OF: 10/22/2024
DEPARTMENT: Planning and Community Development
SUBJECT: Review and Adopt Revised Citywide Fee Update for User Fees – Phase Two for the Departments of Planning and Community Development – Building and Safety Division, Economic Development and Housing, Public Works – Engineering Division, Fire – Marine Safety Division and Prevention Division Schedule. Location: Citywide. CEQA: Exempt 15061(b)(3) (PL/FN)
RECOMMENDATION: Motion to:
1) Adopt a resolution:
a) Revising the title of the fee schedule to “Citywide Fee Schedule,” adding all approved Phase Two user fees effective January 1, 2025, confirming annual October Consumer Price Index (CPI) increases and new fees go into effect annually in January, and acknowledging the California Environmental Quality Act exemption for this item; b) Amending Resolution No. NS-29,231 “A Resolution of the City Council of Adopting the Phase One Fee Increases and the Master Fee Schedule For Fire And Police Departments and the Planning, Public Works Engineering and Special Events Division Fees” with updates to the fees for service for the Planning and Community Development Department – Building and Safety Division, Economic Development and Housing Department, Public Works Department – Engineering Division, Fire Department – Marine Safety Division and Prevention are shown in track changes on Exhibit A to the resolution, “Proposed Changes to Fees for Service”, which reduces, increases, eliminates, or adds fees for service, and these proposed fees do not exceed the cost of providing the services specified;
c) Amending Resolution No. NS-30,161 "Resolution of the City Council of the City of Santa Cruz rescinding Resolution No. NS-27,559, Expanding the Application of a Six Percent (6%) Technology Surcharge to Certain Fees Charged by the Planning and Community Development, Finance, Public Works, Water, Fire, and Parks and Recreation Departments, and Directing Staff to Take Related Implementing Actions” for the Technology Surcharge of 6% to be imposed for departments and programs utilizing the land management software and incorporate said increase to applicable service fees into the Citywide Fee Schedule, with a footnote that the annual Consumer Price Index increase does not apply to the Technology Surcharge;

20.1 d) Amend Resolution No. NS-29,798 “Resolution of the City Council of the City of Santa Cruz Revising Code Compliance Related Fees to Flat Rates; Revising the Unified Master Fee Schedule (UMFS) for Planning, Building, Code, and Rental Divisions; and Changing Any Reference to Consumer Price Index Adjustments Occurring Annually in July to Occur in January and Referencing All Fees as Part of the UMFS and Rescinding Resolution No. NS-29,793” to update the Fee Schedule to include the changes set forth in Exhibit A to the resolution, as it relates to the Building and Safety Division, including increasing fees that in 2025 will be under 100 percent cost recovery, increasing to 100 percent cost recovery by 2027 as specified in Exhibit A; e) Amend Resolution No. NS-28,085 “Resolution of the City Council of the City of Santa Cruz Adopting a New Inclusionary Housing Program Administrative Fee” to update the Citywide Fee Schedule to include the changes as set forth in Exhibit A to the resolution as it relates to the Inclusionary Housing Program; and
f) Amend Resolution No. NS-30,069 “Resolution of the City Council of the City of Santa Cruz Adopting a Fee Schedule for the Regulation of Parklets to Be Placed in the Public Right of Way” to update the Citywide Fee Schedule to include the changes as set forth in Exhibit A to the resolution as it relates to the Parklet Fee Schedule; and 2) Authorize the City Manager to approve budgetary adjustments for the Phase Two fee amendments.

BACKGROUND: A user fee study is conducted to evaluate the full cost of providing feerelated services and the recovery levels of those fees. State law generally provides that fees for services cannot exceed the reasonable actual costs for providing services. In California, user fees are limited to the “estimated reasonable cost of providing a service” by the Mitigation Fee Act, the California Constitution, and other supplementary legislation. In implementing this provision, the City has adopted the goal of comprehensively analyzing service costs at least every five years, with adjustments annually based on changes in the Consumer Price Index (CPI). In October 2023, the City contracted with MGT Impact Solutions (MGT) to review and update user fees across various departments. This includes fees for permits and services from:
• Planning and Community Development – Building and Safety Division; • Economic Development and Housing; and
• Public Works – Engineering Division;
• Fire Department – Marine Safety and Prevention Schedule Divisions.

The goals of working with the departments were to ensure accurate calculations of total costs to provide fee-related services and identify potential fee adjustments based on the full cost of services. As a result, the primary reasons for fee changes were: 1) staffing level changes, 2) time allocation updates, 3) current costs to perform the service or program, and 4) percentage of cost recovery. It is important to note that fee revenue is influenced not only by fee amounts but also by service usage. Consequently, these projections are estimates subject to changes in user demand due to external factors. Beyond fee adjustments, this study identifies opportunities to introduce new fees, eliminate obsolete ones, and improve fee structures for clarity and transparency.

20.2 To align with the City Council’s current strategic goal of “Financial Stability and Transparency,”1 and to support the City’s 12.3 Budgetary Policy2, staff is recommending a multiyear strategy to increase user fees to reach full cost recovery.

Phase One Completed in 2017 and Previous Policy Direction The last comprehensive study and update was approved at the April 25, 2017, City Council meeting3, and the Phase One Citywide User fees were effective July 1, 2017. The City contracted with NBS to prepare a citywide Cost Allocation Plan (CAP) and a comprehensive fee study analysis. This fee study was completed in 2016 and resulted in a three-phase implementation plan in compliance with all State laws. The initial phase targeted fees directly affecting service delivery without imposing significant costs on the community.

In 2017, Council directed staff on a Phase Two fee schedule to review:
• Planning and Community Development Department – Building and Safety Division; and
• Parks and Recreation Department related to affordable/work-force housing and to consider City Council goals and priorities and social equity criteria, to report back with options for Resident and Non-Resident Fees, and options to bill insurance companies for cost recovery.

City’s Ability to Impose Fees and Charges
California propositions 13, 218, and 26 have placed both substantive and procedural limits on the City’s ability to impose fees and charges. These constitutional amendments protect citizens from taxes imposed without a public vote. Proposition 26 specifically articulates the cost of service principle and includes a requirement that the local government bear the burden of proof that “a levy, charge, or other exaction is not a tax, that the amount is no more than necessary to recover the reasonable costs of the government activity, and that the manner in which those costs are allocated to a payer bear a fair or reasonable relationship to the payer’s burden on, or benefits received from, the governmental activity.” It is important to note that rental charges for rooms or facilities, fines, penalties, and late charges are not user fees, and are not subject to the cost-based requirements. These types of charges are generally governed by market rates, reasonability, and other policy factors.

MGT’s Analysis
During this study, MGT collaborated with the departments to develop recommendations for full cost recovery of user fees. The MGT fee study is attached as User Fee Report. The fee analysis, based on industry best practices, calculated the labor costs associated with specific services, such as permit processing. Indirect expenses were then added to recover costs for departmental administrative support, citywide support department costs, and compensated absences. MGT used the fully burdened hourly rates provided by Willdan Financial Services, as part of the central service allocation plan update, to complete the fee study and apply to the hourly personnel rates. The analysis of the fully burdened hourly rates is attached as “Willdan Financial Services – Fully Burdened Hourly Rates Report.” The Indirect Percentage Rate of 22.3% comes 1 https://www.cityofsantacruz.com/government/city-council/city-council-strategic-goals 2 https://www.cityofsantacruz.com/home/showpublisheddocument/74357/636802240931170000 3 https://ecm.cityofsantacruz.com/OnBaseAgendaOnline/Meetings/ViewMeeting?id=649&doctype=1

20.3 from the Central Service Allocation Plan, which is the percentage attributed to the operating departments. The Direct Percentage Rate of 23.7% is the relation between the administrative/operating expenditures and salary/benefits of that department.

MGT conducted a comprehensive analysis of the full cost associated with providing services.

The analysis revealed a revenue shortfall due to insufficient fee recovery. While some fees may decrease or remain unchanged, most will increase. Updating user fees is projected to increase annual revenue by $1.08 million. This represents a 48% increase over the amounts currently being collected for these activities by the City on an annualized basis. Specific recommendations, including new fee proposals and suggested deletions, are detailed in the following sections. The attached proposed Citywide Fee Schedule as “Resolution – Exhibit A” presents the results of the fee study review for the City Council’s consideration. It includes a list of City user fees by department, with the current and proposed rates. Approval of the resolution will authorize the proposed revisions to the Citywide Fee Schedule.

Staff also conducted outreach to inform stakeholders and the public about the proposed fee changes and solicit feedback. The proposed fee information was posted on the City’s website, www.cityofsantacruz.com/feestudy, in early August. The public also had opportunities to provide input through two virtual meetings and an online comment form.

DISCUSSION:

SUMMARY OF FEE FINDINGS AND RECOMMENDATIONS
MGT's fee study methodology is discussed in detail within the MGT report and related departmental discussions. A redlined fee schedule comparing current fees to staff recommended levels is included in the attached resolution. The following Table 1 summarizes the key findings from the MGT report for each service area studied:

Table 1: Annualized Costs and Revenues of Year 1 for City’s User Fees in Phase Two

CURRENT RECOMMENDED
User
Categories
(A)
Full Cost
User Fee
Services
(B)
Current Revenue
(C)
Current Subsidy
(D)
Cost Recovery Policy
(E)
Increased
Revenue
(F)
% Increase
Planning and
Community
Development –
Building &
Safety*
$2,093,568 $945,065 45% $1,148,503 55% $1,433,311 68%* $488,246 52% Economic
Development &
Housing
$45,765 $37,300 82% $8,465 18% $45,075 98% $7,775 21%
Public Works –
Engineering
$1,250,719 $913,040 73% $337,679 27% $1,250,719 100% $337,679 37% Fire –
Marine Safety
$26,589 $21,187 80% $5,402 20% $24,481 92% $3,295 16%
Fire –
Prevention
$598,828 $354,271 59% $244,557 41% $598,828 100% $244,557 69% Totals $4,015,469 $2,270,862 57% $1,744,607 43% $3,352,414 83% $1,081,552 48% * Building and Safety Division is recommending a three-year phase in until 100% cost recovery is achieved. Details found in the Building and Safety Division section.

20.4 KEY CHANGES AND RECOMMENDATIONS BY DEPARTMENT
A detailed breakdown of fee adjustments for the departments is included in the attached “Summary of New and Proposed Fees by Department.”
A. Department: Finance
Recommendation: Update the title, content, and structure changes of Citywide Fee Schedule.

The fee schedule will be referred to as the “Citywide Fee Schedule” going forward, all webpages and documentation will be updated to remove reference to the word “master” when denoting the Citywide Fee Schedule. The fee schedule was initially intended to be a one stop shop listing fees charged by the City. However, most taxes and fees charged for property related services such as water, wastewater, and refuse are adopted separately with different mechanisms for increases.

Thus, these charges will not be included in the fee schedule. Instead, relevant webpages will be linked for reference, where available by department, in order to continue to provide ease of access of information from a Citywide perspective. Additionally, the fee schedule will be moving towards one update annually in January as opposed to the current semi-annual process, where July’s update would account for any cost recovery increase. Given that this fee study will propose recommendations for full cost recovery for certain services and a phased in structure for others, the ongoing semi-annual update in July is no longer necessary. The annual January update will continue to incorporate the the annual CPI adjustments, unless otherwise noted.

The changes effective January 1, 2025 are:
• “Citywide Fee Schedule” or “Fee Schedule” for short;
• Information on non-user fees such as taxes and property related rates and service charges will be linked in the fee schedule; and
• Fee schedule updates will move from semi-annual to an annual update in January.

B. Department: Planning and Community Development – Building and Safety Division The Building and Safety Division is responsible for ensuring public safety by enforcing state and local building codes. This involves reviewing plans, issuing permits, and conducting inspections.

Recommendation: The fee update includes 157 adjustments across various permit categories, resulting in estimated revenue increases:
• Year 1 – Total revenue projections of $1,433,311 or 68%. • Year 2 – Total revenue projections of $1,758,726 or 84%. • Year 3 – Total revenue projections of $2,093,568 or 100%.

The Building and Safety Division calculates fees using two primary methods:
• Fixed fees, such as electrical, plumbing permits, and demolition permits; and • Valuation-based fees that have an additional increment fee schedule, such as roofing permits, residential repairs, new single-family residence, new mixed-use, tenant improvements, new accessory dwelling unit (ADUs) or single-family alterations, signs, and photovoltaic solar. The valuation-based fees are calculated from: a) cost per square foot, b) contract bid amount, or c) architectural construction estimate.

20.5 Recommendation: Staff propose updating 157 fees across the following 13 categories:
• Administration
• Building Permit Application Fees
• Table 3A Building Permit Fees
• Table 3B Electrical Permit Fees
• Table 3C Mechanical Permit Fees
• Table 3D Plumbing Permit Fees
• Table 3E Elevator Permit Fees
• Table 3F Elevator Annual Certificate of Inspection Fees • Table 3G Grading Plan Review Fees
• Grading Permit Fees
• Special and Miscellaneous Fees
• Additional Inspection and Plan Check Fees
• Swimming Pool and Spas
These 157 fees will be updated as follows:
• Adding 17 new fees at 100% cost recovery;
• Deleting 17 fees;
• Maintaining 2 fees (no change);
• Increasing 81 current fees less than 60% cost recovery to 60% cost recovery in Year 1 in 1/1/25. These fees will increase to 80% in 1/1/26 and to 100% in 1/1/27; • Increasing 6 current fees greater than 60% cost recovery but less than 80% cost recovery to 80% cost recovery in Year 1 in 1/1/25. These fees will increase to 100% in 1/1/26;
• Increasing 34 current fees greater than 80% but less than 100% cost recovery to 100% cost recovery in Year 1 in 1/1/25; and
• Adding annual increases effective January 1 by the Consumer Price Index. • Note that the Green Building Program was not included in this analysis, and the time spent reviewing applications related to the Green Building Fee was not factored into the cost calculations for the purposes of this evaluation.

The phased in implementation the fees included in this analysis are summarized in Table 2.

Table 2: Building and Safety Division – Projected Phased-In Increase

BUILDING AND
SAFETY

CORRESPONDING

REVENUE FOR FEES IN

ANALYSIS - AVERAGE
(FY 2022 – FY 2024)
YEAR 1

PROJECTED
REVENUES AT 60%
(FY 2025)
YEAR 2

PROJECTED
REVENUES AT 80%
(FY 2026)
YEAR 3

PROJECTED
REVENUES AT 100%
(FY 2027)
Projected Revenues
Based on 3-year
average volumes
$975 K
Only includes revenue
included in this fee study
$1.433 M
(68%)
$1.758 M
(84%)
$2.093 M
(100%)
The Building and Safety’s Division’s average expenditure for the past three years (FY22 – FY24) was approximately $1.97 million. However, this figure only reflects direct costs within the Division’s General Fund Activity 2301. Salaries for the Administration Division, Department Assistant Director, and Director are not directly captured in Activity 2301, all of whom directly support the Building and Safety Division. Collectively, that staff time amounts to at least one full-time staff member in the Administration Division, plus regular time spent by the Director, Assistant Director, and Principal Management Analyst. As such, while the Division’s expected annual revenue by 2027 exceeds the Division’s average annual costs of $1.97 million, the cost of

20.6 management and support staff (and their allocated costs) increase the Division’s direct annual costs.

A comparison of the cost differences is included in Table 3, which provides selected examples of project fees based on various sizes.

Table 3: Building and Safety – Examples by Projects of Various Sizes*

BUILDING
AND SAFETY CURRENT PROPOSED AS OF 1/1/25
Plan
Review Permit Fee Total Plan Review Permit Fee Total Change $ Change % New Single-Family Residence
1,600 ft2 $1,563 $2,405 $3,968 $1,824 $2,806 $4,629 +$661 16.66% 2,500 ft2 $2,256 $3,471 $5,728 $2,205 $3,392 $5,596 -$131 -2.29% New Mixed Use
40,000 ft2 $24,704 $38,006 $62,710 $30,504 $46,929 $77,434 +$14,724 23% 150,000 ft2 $90,484 $139,206 $229,690 $95,563 $147,020 $242,584 +$12,894 6% Alteration Single Family
300 ft2 $307 $472 $779 $666 $1,025 $1,691 +$912 117%
1,000 ft2 $682 $1,050 $1,732 $1,336 $2,055 $3,391 +$1,659 96% New ADU/Single Family Addition
450 ft2 $641 $987 $1,628 $1,090 $1,677 $2,768 +$1,140 70% 750 ft2 $883 $1,358 $2,239 $1,447 $2,226 $3,673 +$1,434 64% Alteration Commercial
1,500 ft2 $806 $1,240 $2,046 $1,404 $2,160 $3,563 +$1,517 74% *Rounded to the nearest dollar
Table 4 provides an overview of the phased-in increases:

Table 4: Building and Safety – Examples by Projects of Various Sizes from 2025 to 2027*

BUILDING
AND SAFETY CURRENT PROPOSED AS OF 1/1/25

PROPOSED AS OF
1/1/26
Assumes 3% annual
CPI increases

PROPOSED AS OF
1/1/27
Assumes 3% annual
CPI increases
New Single-Family Residence
1,600 ft2 $3,968 $4,629 $5,915 $7,062
2,500 ft2 $5,728 $5,596 $7,349 $9,109
New Mixed Use
40,000 ft2 $62,710 $77,434 $88,191 $96,626
150,000 ft2 $229,690 $242,584 $258,296 $266,730
Alteration Single Family
300 ft2 $779 $1,691 $2,323 $2,903
1,000 ft2 $1,732 $3,391 $4,640 $5,787
New ADU/Single Family Addition
450 ft2 $1,628 $2,768 $3,801 $4,752
750 ft2 $2,239 $3,673 $4,930 $6,076
Alteration Commercial
1,500 ft2 $2,046 $3,563 $4,817 $5,964
*Rounded to the nearest dollar
Table 5 provides examples of additional permit fees, highlighting the difference between current and proposed fees. To incentivize property owners to obtain required permits for projects like water heater replacements, electrical rewiring, wall heater replacement, private sewage disposal systems, and plumbing pipe replacement, those permit fees have been subsidized and are not full cost recovery.

20.7 Table 5: Building and Safety – Additional Permit Fee Examples*

BUILDING

AND SAFETY
CURRENT**
Average cost of each type of
permit based on average
from January 2022 to August
2024

PROPOSED AS
OF 1/1/25
CHANGE $ CHANGE %
Fixed Fees
Water Heater $84 $127 +$42 +50%
Electrical Service Upgrade - 200 AMP $104 $142 +$39 +37% Residential Photovoltaic System $148 $387 +$240 +162%
Valuation
Re-Roof Residential
Based on average valuation over 3-year period $332 $681 +$348 +105% Stucco/Siding (Per Building)
Based on average valuation over 3-year period $513 $1,145 +$632 +123% Window Retrofit (Non-Structural)
Includes all window retrofits for the building of a given project. Based on average valuation over 3-year period
$362 $709 +$347 +96%
Wall Sign
Based on average permit cost over 3-year period $557 $612 +$56 +10% *Rounded to the nearest dollar
C. Department: Public Works – Engineering Division

The Public Works Department provides the City with engineering design, traffic engineering and maintenance, storm water management, street maintenance, resource recover management, waste reduction programs, wastewater management, flood control, and parking control services.

Recommendation: The proposed 81 fee updates across the following categories would be expected to generate an additional $337,679 in revenue, representing a 27% increase. • Hourly Rates,
• Street Opening Permits,
• Concrete Construction Permits,
• Subdivision Permits,
• Development Plan Review and Inspection,
• Storm Water Plan Review, and
• Encroachment Permits, and
The fee updates include reducing six fees to 100% cost recovery, removing seven fees, and introducing 12 new fees for street opening permits, development plan reviews, and stormwater plan reviews. Table 6 illustrates the change in fees with the updated fees using selected examples.

Table 6: Public Works Department – Examples of Proposed Fee Updates

ENGINEERING CURRENT PROPOSED CHANGE
Type of Fee
PW
Current
Fee Total
PW
New
Fee Total
$  %
Street Opening Permit and Inspection (per 2,000 ft2) $486 $514 +$28 +5.6% Sanitary Sewer Terminal C/O $498 $658 +$160 +27.6%
Trash Enclosure $665 $866 +$201 +26.3%
Driveway Approach $498 $532 +$34 +6.6%
ADA Ramp $498 $532 +$34 +6.6%
PCC Patch Paving $169 $213 +$44 +23%
Stormwater Building Plan Re-Review – Commercial and
Multifamily Residential, Small (Tier 1)
$889 $972 +$83 +8.9%

20.8 Stormwater Building Plan Re-Review – Commercial and Multifamily Residential, Large (Tiers 2-4)
$1,612 $1,657 +$45 +2.7%
Encroachment Permit – Temporary with traffic control noise $451 $538 +$87 +17.6% D. Department: Economic Development and Housing
The Economic Development and Housing Department fosters economic growth and supports local business by providing guidance on permits and regulations, helping new business thrive in the City.

Recommendation: There are 10 fee updates across the following categories, projected to generate an additional $7,775 (21% increase). This includes:
• Updating eight fees to 100% cost recovery with annual adjustments with CPI increases for the following programs and services: Inclusionary Housing, Annual Monitoring, parklet, and land use agreement. Currently, although the fees have been previously approved, none of these fees are included in the Citywide Fee Schedule. Staff recommends adding all of these fees to the schedule, along with an annual adjustment of CPI increases; and
• Subsidizing “Parklet Application Fee – preapproved and retrofitted parklet” to allow businesses to more easily pursue parklets in order to generate additional revenue, create a more vibrant City, and increase tax revenues; and
• Adding one new fee to execute or amend Land Use Agreements (LUA) or respond to owners’ requests to repay City-provided fee waivers associated with Accessory Dwelling Units (ADUs). These fees will cover staff time to review and research requests to update or alter the terms of existing LUA, repay fee waivers to remove affordability restrictions, and other modifications. An affordable ADU (built after 2017) owner can request a review of the existing LUA for a fee waiver repayment to remove the affordability restriction, subject to department approval.

To reflect the proposed fee changes, Resolution Nos. NS-28,085 (Inclusionary Fees and hourly bill rate) and NS-30,069 (Parklet Fees) will be amended. Table 7 outlines selected fee updates.

Table 7: Economic Development and Housing Department – Examples of Proposed Fee Updates

ECONOMIC DEVELOPMENT AND HOUSING CURRENT PROPOSED CHANGE Type of Fee
ED&H
Current
Fee Total
ED&H
New
Fee Total
$  %
Inclusionary Housing Admin Fee (Sale) –
Individual
$8,095 $10,455 +$2,360 +29%
Parklet Application Fee – Preapproved and
Retrofitted Parklet
$2,500 $2,875 +$375 +15%
Inclusionary Housing Modification Fee – New
and Existing Developments
$16,497 $20,340 +$3,843 +23%

20.9 E. Department: Fire – Marine Safety Division and Prevention Schedule Division The Fire Department provides public safety for the community through emergency services including structure fire suppression, wildland fire suppression, fire prevention, marine safety, and emergency medical services.

Recommendations: For this fee update, staff recommends:
• Updating a total of 13 fees for the Marine Safety Division; • Updating a total of 103 fees for the Prevention Division Schedule.

For the Special Events – Marine Safety Division, the following fees will be updated for the categories of: City Lifeguard Vehicles, Personal Water Craft, Staffing Hourly Rates, and Conditions of Use.
• Updating 9 fees to 100% cost recovery and
• Subsidizing 4 fees for non-profits.

The new expected revenue increase is approximately $3,295 annually or 16% increase.

For the Prevention Schedule, the following fees will be updated for the categories of:

Administration, Building Permit Fire Review and Inspections, Fire Permit Inspections, and Hourly Rates.
• Updating 49 fees to 100% cost recovery,
• Reducing 7 fees to 100% cost recovery,
• Adding 19 new fees,
• Removing 24 fees, and
• Updating 4 fees for penalties/exact costs.

The new expected revenue increase is approximately $244,557 annually or 69% increase. To reflect the proposed fee changes, Resolution No. NS-29,231 will be amended. Table 8 outlines selected fee updates.

Table 8: Fire Department – Examples of Proposed Fee Updates

FIRE DEPARTMENT CURRENT PROPOSED CHANGE
Type of Fee
Fire
Current
Fee Total
Fire
New
Fee Total
$  %
Fire Project Design Review – Per Hour $132 $176 +$44 +33% Fire Sprinkler Commercial Aboveground <5,000 ft2 $376 $619 +$243 +65% Fire Alarm System (Communicator Replacement) $376 $206 -$170 -45%

OTHER RECOMMENDATIONS
F. Expanding the Technology Surcharge of 6% to certain Phase Two Fees The City of Santa Cruz charges fees for a wide variety of planning and building permits and other cost recovery. The Technology Surcharge is designed so as not to exceed the estimated cost to provide the service for which the Technology Surcharge is levied. Expanding the Technology Surcharge to additional departments and programs using the land management software will more equitably distribute annual software license costs and address the anticipated deficit. In

20.10 addition to services already subject to the Technology Surcharge, staff recommends the Technology Surcharge include certain Phase Two Fees and programs currently using the existing land management software but that were not included in the Resolution No. NS-30,161 expanding the Technology Surcharge at the June 13, 2023 City Council meeting.

G. Planning and Community Development Department – Current Planning Division fee adjustments and description updates to the Citywide Fee Schedule The Current Planning Division oversees and implements City’s land use and development policies. To achieve full cost recovery for providing these services, Staff proposes increasing five fees within this Division. This adjustment aligns with the 2017 Citywide Fee Study, which recommended 100% cost recovery and annual increases until full cost is reached. These increases for this Division were capped at 20% per year for July increases and adjusted annually based on the CPI in January.

The proposed changes would increase fees for intake and document management fees. For applications without public hearings, fees would increase by $27 to $34, depending on the application type (going from $164 to $191 (for the document fee) and $220 to $254 (for the intake fee)). Applications involving public hearings would have an increase of $139 (going from $306 to $445(for the document fee)). Slope Modification fees would increase by $1,069 (going from $1,474 to $2,543), and Watercourse Development Permits would increase by $1,223 (going from $1,193 to $2,416). The Division will continue to subsidize the Historic Alteration Permit at $1,474, with annual adjustments, to maintain a lower cost to encourage compliance with the permit process and protect historic buildings. Furthermore, staff proposes fee description updates in the Citywide Fee Schedule, which is included in attached resolution.

H. Additional Studies as Phase Two
There are additional studies currently being developed by staff and MGT for consideration in December 2024 for the following analysis:
• Finance – Incorporating recommendations from the Long Range Finance Plan by creating a Citywide merchant fee pass through program;
• Fire and Police Department – Update Public Safety Impact Fee, including evaluation of charges for affordable housing projects, per prior Council direction; • Fire Department – Develop First Responder Fee;
• Public Works Department – Review and analyze “sidewalk in lieu” fees and “ariel undergrounding” fees; and
• Parks and Recreation Department – Analyze excise tax on new residential developments and in-lieu fees.

Additionally, while not part of further MGT analysis, per Council direction, staff will also provide analysis regarding the charging of the Childcare Impact Fee to affordable housing projects.

CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA) DETERMINATION: This has no impact on the natural environment, because it does not create any physical change to the environment. Therefore, it is not considered a project under CEQA. However, if it were considered a project, it would be exempt from review under the CEQA Guidelines Section

20.11 15061(b)(3) (known as the “Common Sense” exemption) in that it would not reasonably be seen to create a significant impact on the environment.

HEALTH IN ALL POLICIES (HiAP): The goal of Health in All Policies (HiAP) is to ensure that decision-makers are informed about the impacts on the three HiAP pillars of health, equity, and sustainability when reviewing projects and policy options. Recommending fees increase to full cost recovery will help ensure the City’s ability to effectively provide the services being requested in a timely manner. Many of the services promote health and sustainability, such as those provided in the Building and Safety Division and Fire Department. Some of the Economic Development and Housing fees, such as those related to affordable housing, promote equity by helping ensure the City has the resources to process affordable housing requirements in a timely manner, thereby promoting the expansion of affordable housing. Expansion of the Technology Surcharge meets the pillar of equity and promotes fiscal sustainability by more evenly distributing the fee across all users of the land management software in a way that attains cost recovery. From an environmental sustainability standpoint, the Technology Surcharge is intended to pay for software licenses that will enable users to electronically submit plans and pay fees, thereby reducing paper plans and vehicle trips necessary to complete business transactions.

FISCAL IMPACT: The proposed Citywide Fee Schedule revisions and additions will generate an estimated annual increase of $1.08 million in General Fund revenue. All fees will be adjusted annually in January based on the Consumer Price Index. The goal will be to reduce the current estimated $1.74 million General Fund subsidy and support future service and cost level increases through FY 2025. The revised fees will become effective on January 1, 2025, which falls in correlation with the fee schedule update, and that timing is no sooner than 60 days after the City Council’s approval, consistent with state law. Additionally, revenue budget adjustments for FY 2025 will be incorporated at Mid-Year Adjustments and FY 2026 budget adoption process.

Prepared By:

Viviane Pearson
Principal Management
Analyst
Marisol Gomez
Assistant Finance Director
Submitted By:

Lee Butler
Planning and Community
Development Director
Elizabeth Cabell
Finance Director
Approved By:

Matt Huffaker
City Manager
ATTACHMENTS:

1. RESOLUTION.DOCX

2. RESOLUTION EXHIBIT A.DOCX

3. WILLDAN FINANCIAL SERVICES – FULLY BURDENED HOURLY RATES REPORT.PDF

4. MGT IMPACT SOLUTIONS, LLC – USER FEE REPORT.PDF

5. SUMMARY OF NEW AND PROPOSED FEES BY DEPARTMENT.PDF

20.12 RESOLUTION NO. NS-XX,XXX

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA CRUZ REVISING THE TITLE OF THE FEE SCHEDULE TO “CITYWIDE FEE SCHEDULE AND AMENDING

THE SCHEDULE WITH UPDATED USER FEES BASED ON THE FEE STUDY PREPARED BY MGT IMPACT SOLUTIONS, LLC, AND AMENDING RESOLUTION NOS. NS-29,231, NS-30,161, NS-29,798, NS-28,085, AND NS-30,069 (AND ANY SUBSEQUENT

RESOLUTIONS THAT MADE AMENDMENTS THERETO) PERTAINING TO ADOPTING

PHASE TWO FEE INCREASES
WHEREAS, it is the City Council’s current strategic goal of “Financial Stability and Transparency,” and to support the City’s 12.3 Budgetary Policy, to reevaluate and update service charges approximately every five years ensure that fees reflect changes in cost of living and service levels; and
WHEREAS, the City Council last updated the comprehensive fee schedule on April 25, 2017 to revise cost of services fees for Phase 1 and move towards a unified Citywide Fee Schedule, which at the time was named the Master Fee Schedule, to provide a centralized record of fees for improved public transparency and adopted Resolution No. NS-29,231 “A Resolution of the City Council of Adopting the Phase One Fee Increases and the Master Fee Schedule For Fire And Police Departments and the Planning, Public Works Engineering and Special Events Division Fees” to establish a unified Citywide Fee Schedule for the Fire Department, Police Department, Planning and Community Development Department, and Public Works Department – Engineering and Special Events Division, which included General Plan Maintenance Fee; and WHEREAS, a study was prepared by MGT Impact Solutions, LLC (MGT) determined that the City is only recovering 53% of fees for services analyzed within the Planning and Community Development Department – Building and Safety Division, Economic Development and Housing Department, Public Works Department – Engineering Division, Fire Department – Marine Safety Division and Prevention Division Schedule; and
WHEREAS, public outreach efforts were conducted throughout August to September 2024, which included multiple engagement meetings and notice of the public hearing was published in the Sentinel newspaper. Additionally, the proposed revisions to the Citywide Fee Schedule and the documentation supporting the fees for service were made available for public review on October 11, 2024, which is at least 10 days prior to the public hearing, as required by State Law; and
WHEREAS the proposed changes to the fees for service for the Planning and Community Development Department – Building and Safety Division, Economic Development and Housing Department, Public Works Department – Engineering Division, Fire Department – Marine Safety Division and Prevention are shown in redline on Exhibit A, “Proposed Changes to Fees for Service,” which reduces, increases, eliminates, or adds fees for service, and these proposed fees do not exceed the cost of providing the services specified; and

20.13 RESOLUTION NO. NS-XX,XXX
2 WHEREAS, the proposed changes to the Citywide Fee Schedule, attached hereto as Exhibit A, is scheduled to become effective on January 1, 2025, and this schedule has been prepared and reviewed by all relevant City departments and is not considered a project under the California Environmental Quality Act (CEQA), and if it were considered a project, it would be exempt from review under CEQA Guidelines Section 15061(b)(3) (known as the “Common Sense” exemption) in that it would not reasonably be seen to create a significant impact on the environment; and
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Santa Cruz as follows:

BE IT RESOLVED that that the foregoing recitations are true and correct, and are included herein by reference as findings; and
BE IT FURTHER RESOLVED that the City Council determines that the proposed fees each are not a tax and do not exceed the actual costs of providing the service and hereby adopts the proposed Citywide Fee Schedule attached as Exhibit A to this Resolution to recover up to the full cost of service for the aforementioned departments; if, however, the fees or service charge create revenue in excess or the actual costs, those revenues shall be used to reduce the fee or service charge creating the excess; and
BE IT FURTHER RESOLVED that Resolution No. NS-29,231 is hereby amended to change only the fees specified on Exhibit A, including subsequent amendment Resolution NS29,484 “Resolution of the City Council of the City of Santa Cruz Amending Resolution No. NS29,231 Pertaining to the Master Fee Schedule and Adopting a New General Plan Maintenance Fee Provision Specifically for Accessory Dwelling Unit Permits”; and BE IT FURTHER RESOLVED that the Resolution No. NS-30,161 "Resolution of the City Council of the City of Santa Cruz rescinding Resolution No. NS-27,559, Expanding the Application of a Six Percent (6%) Technology Surcharge to Certain Fees Charged by the Planning and Community Development, Finance, Public Works, Water, Fire, and Parks and Recreation Departments, and Directing Staff to Take Related Implementing Actions” is hereby amended for the Technology Surcharge of 6% to be imposed for departments and programs utilizing the land management software and incorporate said increase to applicable service fees into the Citywide Fee Schedule, with a footnote that the annual Consumer Price Index increase does not apply to the Technology Surcharge; and
BE IT FURTHER RESOLVED that Resolution No. NS-29,798 “Resolution of the City Council of the City of Santa Cruz Revising Code Compliance Related Fees to Flat Rates; Revising the Unified Master Fee Schedule (UMFS) for Planning, Building, Code, and Rental Divisions; and Changing Any Reference to CPI Adjustments Occurring Annually in July to Occur in January and Referencing All Fees as Part of the UMFS and Rescinding Resolution No. NS-29,793” is hereby amended, including subsequent amendments Resolution NS-29,963 “Resolution of the City Council of the City of Santa Cruz Increasing the Green Building Educational Resource Fund” and NS-29,977 “Resolution of the City Council of the City of Santa Cruz Establishing Sidewalk Vending Impoundment Fees” to update the Fee Schedule to include the changes set forth in Exhibit

20.14 RESOLUTION NO. NS-XX,XXX
3 A, hereto, as it relates to the Building and Safety Division, including increasing fees that in 2025 will be under 100 percent cost recovery, increasing to 100 percent cost recovery by 2027 as specified by footnotes PL80% and PL100%; and
BE IT FURTHER RESOLVED that Resolution No. NS-28,085 “Resolution of the City Council of the City of Santa Cruz Adopting a New Inclusionary Housing Program Administrative Fee” is hereby amended to update the Citywide Fee Schedule to include the changes as set forth in Exhibit A, hereto, as it relates to the Inclusionary Housing Program; and BE IT FURTHER RESOLVED that Resolution No. NS-30,069 “Resolution of the City Council of the City of Santa Cruz Adopting a Fee Schedule for the Regulation of Parklets to Be placed in the Public Right of Way” is hereby amended to update the Citywide Fee Schedule to include the changes as set forth in Exhibit A, hereto, as it relates to the Parklet Fee Schedule; and BE IT FURTHER RESOLVED that until such a time as a new cost of services study has been completed, the City Council authorizes that each fee’s cost basis of providing the service within the Citywide Fee Schedule shall be increased, to the nearest whole dollar, annually, on January 1st, by the percentage specified in the Consumer Price Index for all urban consumers for the San Francisco/Oakland Bay Area (all items), or successor CPI index, provided by the U.S.

Bureau of Labor Statistics as indexed from a base year that commences from October to October.

Specifically, this CPI based increase applies to the Building and Safety Division fees scheduled to rise in 2026 and 2027, as outlined in Exhibit A.

PASSED AND ADOPTED this 22nd day of October, 2024 by the following vote:

AYES:

NOES:

ABSENT:

DISQUALIFIED:

APPROVED: __________________________
Fred Keeley, Mayor
ATTEST: _________________________________
Bonnie Bush, City Clerk Administrator

20.15 \EXHIBIT A
Citywide
Fee
Schedule
City of Santa Cruz
Effective January 1, 2025

20.16 City of Santa Cruz | Citywide Fee Schedule | Effective January 1, 2025 Page 2 of 58 Introduction
The City of Santa Cruz Citywide Fee Schedule, or “Fee Schedule,” is a comprehensive list of fees charged for City services.

It is organized by department and fees are updated by the method indicated.

20.17 City of Santa Cruz | Citywide Fee Schedule | Effective January 1, 2025 Page 3 of 58 Table of Contents
Department Page Number
Economic Development and Housing 4
Fire 5
Finance 12
Parks and Recreation 13
Planning and Community Development 14
Police 39
Public Works 42
Water 47

20.18 City of Santa Cruz | Citywide Fee Schedule | Effective January 1, 2025 Page 4 of 58 Economic Development and Housing

ECONOMIC DEVELOPMENT AND

HOUSING
FEE

EFFECTIVE
7/1/24

FEE UPDATES
FOR

PHASE TWO

FEE NOT

CHANGED,

CPI INCREASE TO BE

ADDED LATER

NOTES FOOT
NOTE
TECH SURCHARGE
6%
Department Page: https://www.choosesantacruz.com

INCLUSIONARY HOUSING
EDH1 Inclusionary Housing Admin
Fee (Sale) - Individual
$1,619.00 $2,089.00 Flat Fee
100% Cost Recovery
Existing Fee, Adding to
Cityside Fee Schedule
EDH2 Inclusionary Housing Admin
Fee (Refinance) Individual
$1,295.00 $1,690.00 Flat Fee
100% Cost Recovery
Existing Fee, Adding to
Cityside Fee Schedule
EDH3 Inclusionary Housing Admin
Fee (Development
Agreement or In-Lieu Fee) -
Developer
$2,428.00 $2,841.00 Flat Fee
100% Cost Recovery
Existing Fee, Adding to
Cityside Fee Schedule
EDH4 Inclusionary Housing
Modification Fee – New and
Existing Developments
$5,499.00 $6,780.00 Flat Fee
100% Cost Recovery
Existing Fee, Adding to
Cityside Fee Schedule

ANNUAL MONITORING
EDH5
Hourly Billing including
Annual Monitoring Non
Compliance
(10 units or more)
$162.00 $199.00 Hourly
100% Cost Recovery
Existing Fee, Adding to
Cityside Fee Schedule

PARKLET
EDH6 Parklet Application Fee –
preapproved and retrofitted
parklet
$500.00 $575.00 Flat Fee
62% Cost Recovery
[EDHA] ✔
EDH7 Parklet Application Fee –
custom designed parklet
$500.00 $1,386.00 Flat Fee
100% Cost Recovery
✔
EDH8 Parklet Annual Inspection
Fee
$250.00 $210.00 Flat Fee
Reduced to
100% Cost Recovery
✔
EDH9 Parklet Appeal Fee $519.00 $590.00 Flat Fee
100% Cost Recovery

LAND USE AGREEMENTS
EDH10 Evaluate Land Use
Agreements (LUA) or repay
fee waivers associated with
Accessory Dwelling Units
(ADU) affordability
restriction, or some other
New Fee $199.00 New Fee
100% Cost Recovery
[EDHB]
[EDHB]

20.19 City of Santa Cruz | Citywide Fee Schedule | Effective January 1, 2025 Page 5 of 58 Economic Development and Housing Footnotes
[EDHA] Department recommends a subsidy to this fee to allow businesses to more easily pursue parklets in order to generate additional revenue, create a more vibrant City and increase tax revenues
[EDHB] Grandfather year of 2017. An affordable ADU (built after 2017) owner can request a review of the existing LUA for a fee waiver repayment to remove the affordability restriction, (subject to department approval) modification

20.20 City of Santa Cruz | Citywide Fee Schedule | Effective January 1, 2025 Page 6 of 58 Fire | Prevention Schedule

FIRE FEE

EFFECTIVE
7/1/24

FEE UPDATES
FOR

PHASE TWO

FEE NOT

CHANGED,

CPI INCREASE TO BE

ADDED LATER

NOTES FOOT
NOTE
TECH SURCHARGE
6%
Department Page: https://www.cityofsantacruz.com/government/city-departments/fire-department/fire-prevention-life-safety

ADMINISTRATIVE
FIRE-PVT1 FALSE ALARMS- 1st
Response
$521.00 $250.00 Penalty
FIRE-PVT2 FALSE ALARMS- 2nd
Response Total
$652.00 $500.00 Penalty
FIRE-PVT3 FALSE ALARMS- All
Subsequent Incidents Total
$671.00 $750.00 Penalty
Faulty Alarm Inspection $260.00 Remove Remove
FIRE-PVT4 Fire Plan Check &
Administrative Fee - Per
Hour
New Fee

$149.00 New Fee - Hourly
100% Cost Recovery
Contract Fire Plan Check &
Administrative Fee - Per
Hour
$132.00 Remove Remove
City Staff Fire Plan Check &
Administrative Fee - Per
Hour
$132.00 Remove Remove
FIRE-PVT5 Fire Project Design Review
- Per Hour
$132.00 $176.00 Hourly
FIRE-PVT6 State Plan Review –
Per Hour
$132.00 $149.00 100% Cost Recovery
FIRE-PVT7 Consultation Fee –
Per Hour
$132.00 $149.00 100% Cost Recovery
FIRE-PVT8 Fire Inspection Fee –
Per Hour
$132.00 $181.00 100% Cost Recovery
FIRE-PVT 9 Inspection
Failed/Cancellation Fee
$132.00 $181.00 100% Cost Recovery
FIRE-PVT10 Unauthorized Work 2x the
Permit Fee
2x the
Permit Fee
Penalty

20.21 City of Santa Cruz | Citywide Fee Schedule | Effective January 1, 2025 Page 7 of 58

20.22 City of Santa Cruz | Citywide Fee Schedule | Effective January 1, 2025 Page 8 of 58 Fire | Prevention Schedule

FIRE FEE

EFFECTIVE
7/1/24

FEE UPDATES
FOR

PHASE TWO

FEE NOT

CHANGED,

CPI INCREASE TO BE

ADDED LATER

NOTES FOOT
NOTE
TECH SURCHARGE
6%

BUILDING PERMIT FIRE REVIEW & INSPECTIONS
Building Permit Fire Review
Minimum fee based on minimum hours required for review per square foot range. If exceeded, additional fees will be charged at ‘Fire Plan Check & Administrative Fee - Per Hour’ rate listed in Administrative category.

Fire-PVT11 < 5,000 ft2 New Fee $149.00 New Fee – Flat
100% Cost Recovery
Fire-PVT12 5,000-15,000 ft2 New Fee $287.00 New Fee – Flat 100% Cost Recovery
Fire-PVT13 15,000-45,000 ft2 New Fee $427.00 New Fee – Flat 100% Cost Recovery
Fire-PVT14 45,000-100,000 ft2 New Fee $708.00 New Fee – Flat 100% Cost Recovery
Fire-PVT15 100,000-200,000 ft2 New Fee $988.00 New Fee – Flat 100% Cost Recovery
Fire-PVT16 > 200,000 ft2 New Fee $1,409.00 New Fee – Flat 100% Cost Recovery

BUILDING PERMIT FIRE REVIEW & INSPECTIONS
Building Permit Fire Inspections
Minimum fee based on minimum inspections required per square foot range. If exceeded, additional fees will be charged at ‘Fire Inspection Fee - Per Hour’ rate listed in Administrative category
Fire-PVT17 < 5,000 ft2 New Fee $174.00 New Fee – Flat
100% Cost Recovery
Fire-PVT18 5,000-15,000 ft2 New Fee $349.00 New Fee – Flat 100% Cost Recovery
Fire-PVT19 15,000-45,000 ft2 New Fee $523.00 New Fee – Flat 100% Cost Recovery
Fire-PVT20 45,000-100,000 ft2 New Fee $871.00 New Fee – Flat 100% Cost Recovery
Fire-PVT21 100,000-200,000 ft2 New Fee $1,220.00 New Fee – Flat 100% Cost Recovery
Fire-PVT22 > 200,000 ft2 New Fee $1,743.00 New Fee – Flat 100% Cost Recovery
Commercial Uses –
Structural Ft2 Up to: 500 –
50,000+
Remove Remove Remove
Multifamily Residential
Uses – Ft2 Up to: 1,000 –
100,000+
Remove Remove Remove
Attached and detached
accessory and utility uses:

Ft2 up to: 200 – 1,500+
Remove Remove Remove
Shell Buildings for All
Commercial Uses: Ft2 Up
to: 500 – 100,000+
Remove Remove Remove
Commercial Tenant
Improvement: Ft2 Up to:
500 – 25,000+
Remove Remove Remove
One and Two Family
Dwellings: Ft2 up to: 1,000
– 6,000+
Remove Remove Remove
Structural Residential
Remodels and Additions:

Ft2 up to: 200 – 1,500+
Remove Remove Remove

20.23 City of Santa Cruz | Citywide Fee Schedule | Effective January 1, 2025 Page 9 of 58 Fire | Prevention Schedule
Non-Structural Residential
Remodels: Ft2 up to: 200 –
1,500+
Remove Remove Remove
Fire Plan Review (per hour) Remove Remove Remove

FIRE FEE

EFFECTIVE
7/1/24

FEE UPDATES
FOR

PHASE TWO

FEE NOT

CHANGED,

CPI INCREASE TO BE

ADDED LATER

NOTES FOOT
NOTE
TECH SURCHARGE
6%

FIRE PERMIT INSPECTIONS
Fire Protection Systems
Minimum fee based on minimum inspections required per square foot range. If exceeded, additional fees will be charged at ‘Fire Inspection Fee - Per Hour’ rate listed in Administrative category.

FIRE-PVT23 Fire Sprinkler Tenant
Improvement - 4 heads or
less
$264.00 $349.00 Flat Fee
100% Cost Recovery
✔
FIRE-PVT24 Fire Sprinkler Commercial
Aboveground < 5,000 ft2
$376.00 $619.00 Flat Fee
100% Cost Recovery
✔
FIRE-PVT25 Fire Sprinkler Commercial
Aboveground
5,000-15,000 ft2
$583.00 $883.00 Flat Fee
100% Cost Recovery
✔
FIRE-PVT26 Fire Sprinkler Commercial
Aboveground
15,000 - 45,000 ft2
$801.00 $1,577.00 Flat Fee
100% Cost Recovery
✔
FIRE-PVT27

Fire Sprinkler Commercial
Aboveground
45,000-100,000 ft2
New Fee $2,849.00 New Fee – Flat
100% Cost Recovery
✔
FIRE-PVT28 Fire Sprinkler Commercial
Aboveground
100,000-200,000 ft2
New Fee $4,440.00 New Fee – Flat
100% Cost Recovery
✔
FIRE-PVT29
Fire Sprinkler Commercial
Aboveground > 200,000
ft2
New Fee $5,185.00
New Fee – Flat
100% Cost Recovery
✔
FIRE-PVT30 Fire Sprinkler Commercial
Underground
$360.00 $619.00 Flat Fee
100% Cost Recovery
✔

20.24 City of Santa Cruz | Citywide Fee Schedule | Effective January 1, 2025 Page 10 of 58 Fire | Prevention Schedule

FIRE FEE

EFFECTIVE
7/1/24

FEE UPDATES
FOR

PHASE TWO

FEE NOT

CHANGED,

CPI INCREASE TO BE

ADDED LATER

NOTES FOOT
NOTE
TECH SURCHARGE
6%

FIRE-PVT31 Fire Sprinkler Residential
Aboveground
< 5,000 ft2
$260.00 $470.00 Flat Fee
100% Cost Recovery
✔
FIRE-PVT32 Fire Sprinkler Residential
Aboveground
> 5,000 ft2
$480.00 $619.00 Flat Fee
100% Cost Recovery
✔
FIRE-PVT33 Fire Sprinkler Residential
Underground
$242.00 $619.00 Flat Fee
100% Cost Recovery
✔
FIRE-PVT34 Fire Sprinkler Residential
Combo
< 5,000 ft2
$514.00 $1,066.00 Flat Fee
100% Cost Recovery
✔
FIRE-PVT35 Fire Sprinkler Residential
Combo
> 5,000 ft2
$717.00 $1,066.00 Flat Fee
100% Cost Recovery
✔
FIRE-PVT36 Fire Extinguishing System
Installation (incl hood,
duct, agents)
$360.00 $321.00 Flat Fee
Reduced to
100% Cost Recovery
FIRE-PVT37 Fire Alarm System
(Commercial/Residential)
< 5,000 ft2
$376.00 $358.00 Flat Fee
Reduced to
100% Cost Recovery
✔
FIRE-PVT38 Fire Alarm System
(Commercial/Residential)
5,000-15,000 ft2
$583.00 $734.00 Flat Fee
100% Cost Recovery
✔
FIRE-PVT39 Fire Alarm System
(Commercial/Residential)
15,000 - 45,000 ft2
$801.00 $1,428.00 Flat Fee
100% Cost Recovery
✔
FIRE-PVT40 Fire Alarm System
(Commercial/Residential)
45,000-100,000 ft2
New Fee

$2,849.00 New Fee – Flat
100% Cost Recovery
✔
FIRE-PVT41 Fire Alarm System
(Commercial/Residential)
100,000-200,000 ft2
New Fee

$4,440.00 New Fee – Flat
100% Cost Recovery
✔
FIRE-PVT42 Fire Alarm System
(Commercial/Residential)
> 200,000 ft2
New Fee

$6,133.00 New Fee – Flat
100% Cost Recovery
✔
FIRE-PVT43 Fire Alarm System
(Communicator
Replacement)
$376.00 $206.00 Flat Fee
Reduced to
100% Cost Recovery
FIRE-PVT44 Emergency Responder
Communication
Enhancement System
(ERCES)
$801.00 $670.00 Reduced to
100% Cost Recovery
FIRE-PVT45 Two-Way Radio System $376.00 $520.00 100% Cost Recovery FIRE-PVT46 Fire Department response
to any hazardous material
related incident regulated
under Chapter 27 of the
International Fire Code.

Actual Cost Actual Cost Actual Cost
Annual / Hazardous $260.00 Remove Remove

20.25 City of Santa Cruz | Citywide Fee Schedule | Effective January 1, 2025 Page 11 of 58 Materials Inspection Permit
Fees

20.26 City of Santa Cruz | Citywide Fee Schedule | Effective January 1, 2025 Page 12 of 58 Fire | Prevention Schedule

FIRE FEE

EFFECTIVE
7/1/24

FEE UPDATES
FOR

PHASE TWO

FEE NOT

CHANGED,

CPI INCREASE TO BE

ADDED LATER

NOTES FOOT
NOTE
TECH SURCHARGE
6%

FIRE PERMIT INSPECTIONS
Occupancy Inspections
Request for fire inspection
in conjunction with a new
business or change of use
within a structure. - Done
by prevention
$132.00 Remove Remove
Request for fire inspection
in conjunction with a new
business or change of use
within a structure. - Done
by operations (3 man rig)
$132.00 Remove Remove
FIRE-PVT47 Annual Business Fire Safety
Inspections
$132.00 $201.00 Flat Fee
100% Cost Recovery
Annual Business Fire Safety
Inspections - Suppression
$178.00 Remove Remove

BOARD AND CARE FACILITIES
FIRE-PVT48 Nursery, hospital,
sanitarium, nursing home
or similar use for full- time
patient care: 7-50
occupants (per year)
$233.00 $255.00 Flat Fee
100% Cost Recovery
FIRE-PVT49 Nursery, hospital,
sanitarium, nursing home
or similar use for full- time
patient care: >50
occupants (per year)
$687.00 $330.00 Flat Fee
Reduced to 100% Cost
Recovery
FIRE-PVT50 Daycare facility for more
than six children (statemandated
inspections) (per year)
$132.00 $181.00 Flat Fee
100% Cost Recovery

PENALTY CHARGES
Re-inspections (Failure to
comply with Fire
Department requirements
after one reinspection).

Whichever is greater of the
following fees:

Remove Remove
Flat fee for each
reinspection or Actual Cost
$132.00 Remove Remove
INSPECTIONS (added to
the original permit fees for
failure to call for
required inspections on
fire system installations).
$65.00 Remove Remove

UNAUTHORIZED
OCCUPANCY (failing to call
for a Fire Department final
inspection and occupying a
structure prior to final
approval). Plus Permit
processing and inspection.
$187.00 Remove Remove

20.27 City of Santa Cruz | Citywide Fee Schedule | Effective January 1, 2025 Page 13 of 58

20.28 City of Santa Cruz | Citywide Fee Schedule | Effective January 1, 2025 Page 14 of 58 Fire | Prevention Schedule

FIRE FEE

EFFECTIVE
7/1/24

FEE UPDATES
FOR

PHASE TWO

FEE NOT

CHANGED,

CPI INCREASE TO BE

ADDED LATER

NOTES FOOT
NOTE
TECH SURCHARGE
6%
FIRE PERMIT INSPECTIONS: Special Events
FIRE-PVT51 Fire Dancing, Generator,
Gas-fired cooking, Tent,
Air-supported structure or
temporary structure
covering an area in excess
of 400 ft2 for tent and 700
ft2 for canopy, unless such
structures are used
exclusively for camping
$260.00 $298.00 Flat Fee
100% Cost Recovery
FIRE-PVT52 Fireworks $687.00 $2,029.00 Flat Fee
100% Cost Recovery
FIRE PERMIT INSPECTIONS: Weeds and/or Other Combustible Vegetation FIRE-PVT53 Notice to abate where City
weed abatement
contractor performs work.

Flat Fee ✘ Flat Fee
Fees collected through
property taxes.

FIRE-PVT54
Administrative fee (plus
actual costs for
abatement.)
$100.00
✘
Flat Fee
Fees collected through
property taxes.

FIRE-PVT55 Notice to abate where
more than one reinspection is required to
gain compliance.

Flat Fee ✘ See ‘Inspection
Failed/Cancellation Fee’ in
Administrative Category
Re-Inspection (after initial
and first reinspection or if
contractor not ready) (Per
hour/1 hour minimum)
$132.00 Remove Remove
FIRE-PVT56 Open Burning Annual
Permit
$50.00 ✘ Flat Fee

HOURLY RATES
FIRE-PVT57 Fire Prevention Rate $132.00 $225.00 Hourly
100% Cost Recovery
FIRE-PVT58 Fire Suppression Hourly
Rate
$183.00 $192.00 Hourly
100% Cost Recovery
Fire Blended Hourly Rate
(prevention/suppression)
$181.00 Remove Remove
FIRE-PVT59 Engine Company - Hourly
Rate
$543.00 $576.00 Hourly
100% Cost Recovery
FIRE-PVT60 Truck Company - Hourly
Rate
$543.00 $710.00 Hourly
100% Cost Recovery
Per event $252.00 Remove Remove
FIRE-PVT61 Electronic Data Record
Request ( cost of digital
media & any mailing costs)
Actual Cost Actual Cost ✘
FIRE-PVT62 Electronic Data Record
Request (non-existing disk
- cost of producing disk
and any mailing costs)
Actual Cost Actual Cost ✘
HOURLY RATES: Subpoena Stand-By
FIRE-PVT63 Prevention $514.00 $225.00 Hourly

20.29 City of Santa Cruz | Citywide Fee Schedule | Effective January 1, 2025 Page 15 of 58 (Per Hour/4 hour
minimum)
Reduced to
100% Cost Recovery
FIRE-PVT64
Suppression
(Per Hour/4 hour
minimum)
$722.00 $192.00 Hourly
Reduced to
100% Cost Recovery
FIRE-PVT65 Document Hard Copy
Request - Subpoenaed
$15.00 ✘ Flat Fee

20.30 City of Santa Cruz | Citywide Fee Schedule | Effective January 1, 2025 Page 16 of 58 Fire | Marine Safety

FIRE FEE

EFFECTIVE
7/1/24

FEE UPDATES
FOR

PHASE TWO

FEE NOT

CHANGED,

CPI INCREASE TO BE

ADDED LATER

NOTES FOOT
NOTE
TECH SURCHARGE
6%
Department Page: https://www.cityofsantacruz.com/government/city-departments/fire-department/marine-safety-division

CITY LIFEGUARD VEHICLES
FIRE-MAR1 City Lifeguard Vehicles:

Non-profit
4 hours or less (does not
include vehicle staff)
$50.00 $50.00 Subsidized at
50% Cost Recovery
FIRE-MAR2 City Lifeguard Vehicles:

Non-profit
More than 4 hours (does
not include vehicle staff*)
(additional fee/ hour)
$13.00 $25.00 100% Cost Recovery
FIRE-MAR3 City Lifeguard Vehicles:

Standard
4 hours or less (does not
include vehicle staff*)
$100.00 $100.00 No change,
100% Cost Recovery
FIRE-MAR4 City Lifeguard Vehicles:

Standard
More than 4 hours (does
not include vehicle
staff*)(additional fee/ hour)
$25.00 $25.00 No change,
100% Cost Recovery

PERSONAL WATER CRAFT
FIRE-MAR5 Personal Water Craft:

Non-profit
4 hours or less
(does not include PWC
staff)
$200.00 $200.00 Subsidized at
50% Cost Recovery
FIRE-MAR6 Personal Water Craft:

Standard
4 hours or less (does not
include PWC staff)
$400.00 $400.00 No change,
100% Cost Recovery

STAFFING HOURLY RATES
FIRE-MAR7 City Lifeguard on season
(June 1 - Aug 30) 3 hours
minimum (fee/hour)
$37.00 $42.00 100% Cost Recovery
FIRE-MAR8 City Lifeguard off season
(Aug 31 - May 31) 4 hours
minimum (fee/hour)
$37.00 $42.00 100% Cost Recovery
FIRE-MAR9 Overhead Staffing on
season (June 1 - Aug 30) 3
hours minimum (fee/hour)
$70.00 $133.00 100% Cost Recovery
FIRE-MAR10 Overhead Staffing off
season (Aug 31 - May 31) 4
hours minimum (fee/hour)
$70.00 $133.00 100% Cost Recovery

CONDITIONS OF USE
FIRE-MAR11 Conditions of Use Review:

Non-profit
$25.00 $25.00 Subsidized at
30% Cost Recovery
FIRE-MAR12 Conditions of Use Review:

Standard
$50.00 $50.00 Subsidized at
59% Cost Recovery
FIRE-MAR13 Conditions of Use Review:

All other service not
previously listed billed at
the position's hourly rate
(4 hour minimum)
$0.00 $0.00 100% Cost Recovery

20.31 City of Santa Cruz | Citywide Fee Schedule | Effective January 1, 2025 Page 17 of 58 Finance Department
Finance Footnotes
[FNA] Adopted 1/9/18 by Council Resolution NS-29,343. Accessibility Compliance is state mandated (AB1379).

FINANCE FEE

EFFECTIVE
7/1/24

FEE UPDATES
FOR

PHASE TWO

FEE NOT

CHANGED,

CPI INCREASE TO BE

ADDED LATER

NOTES FOOT
NOTE
TECH SURCHARGE
6%
Department Page https://www.cityofsantacruz.com/government/city-departments/finance/licenses-fees-and-taxes Business License Tax Fee Schedule https://www.cityofsantacruz.com/government/city-departments/finance/licenses-fees-and-taxes/businesslicenses-and-permits/business-license-tax-fee-schedule

BUSINESS LICENSE REGISTRATION
FN1 New Application $33.00 ✘ [FNA] ✔
FN2 Accessibility Compliance $4.00 ✘ [FNA]
FN3 Annual Renewal $14.00 ✘ [FNA] ✔
FN4 Non-Sufficient Funds (NSF) $25.00 ✘

20.32 City of Santa Cruz | Citywide Fee Schedule | Effective January 1, 2025 Page 18 of 58 Parks and Recreation Department
Parks and Recreation Footnotes

PARKS AND RECREATION FEE

EFFECTIVE
7/1/24

FEE UPDATES
FOR

PHASE TWO

FEE NOT

CHANGED,

CPI INCREASE TO BE

ADDED LATER

NOTES FOOT
NOTE
TECH SURCHARGE
6%
Department Page: https://www.cityofsantacruz.com/home/showpublisheddocument/84804/638457730027970000

STREET TREE REPLACEMENT PERMITS
Department Page: https://www.cityofsantacruz.com/government/city-departments/parks-recreation/urban-forestry/tree-permits PR1 Street Tree Replacement InLieu Fee
(Per Tree; Less Than or Equal
To 7 Inches In Diameter)
$1,646.00 ✘ [PRA]
PR2 Street Tree Replacement InLieu Fee
(Per Tree; Greater Than 7
Inches in Diameter)
$1,859.00 ✘ [PRA]

SPECIAL EVENTS
Department Page: https://www.cityofsantacruz.com/government/city-departments/parks-recreation/event-permits/public-major-special-events PR3 Public Major Special Events
Permit Application Fee
(Complex)
$720.00 ✘ Type A Complex Events:

Large festivals, Sporting
events (TRIATHALONS),
Parades, PD Staffing
required. Task force &/or
3+ meetings required pre
and post event, City Staff
required at event, Street
or Lot Closures (4-8 hrs).

Alcohol, Multiple dates
(3+), Multiple Locations,
New &/or significant
increase of event.
[PRB]
PR4 Public Major Special Events
Permit Application Fee
(Simple)
$360.00 ✘ No task force neededMinimal check-in
meeting/conversation,
Minor street/lot closures
with little/no traffic
mgmt., established event
for more than 5 years.
[PRB]
PR5 Film Permits (Complex)
Application Fee
$737.00 ✘ [PRB]
PR6 Film Permits (Simple)
Application Fee
$305.00 ✘
PR7 Film Permits (Simple)
Application Fee - Students

-
✘ [PRB]
PR8 Block Party Application Fee $140.00 ✘
PR9 Alcohol Processing Fee $67.00 ✘ [PRB]
PR10 Street Closure Processing
Fee - Per Day
$257.00 ✘ Simple: 1 Street
Complex: Multiple Streets
[PRB]

20.33 City of Santa Cruz | Citywide Fee Schedule | Effective January 1, 2025 Page 19 of 58 [PRA] Adopted 11/15/22 by Council Resolution NS-30,071 with first CPI increase 1/1/23 [PRB] Adopted 8/8/17 by Council
Planning and Community
Development Department

PLANNING AND COMMUNITY

DEVELOPMENT
FEE

EFFECTIVE
7/1/24

FEE UPDATES
FOR

PHASE TWO

FEE NOT

CHANGED,

CPI INCREASE TO BE

ADDED LATER

NOTES FOOT
NOTE
TECH SURCHARGE
6%
Department Page: https://www.cityofsantacruz.com/government/city-departments/planning-and-community-development/fee-schedule-make-apayment Development Impact Fees
Childcare Impact Fee
Annual cost inflation increases are based on the 20-City Construction Index every January. Impact Fee Rates include a 2% Administrative Fee. As of 7/1/23, Childcare per dwelling unit (bedroom) max for single family residential should be used for any projects with a bedroom(s) greater than 614 ft2.

Pl-CIF1 Single-Family Residential
(cost per ft2)
$0.607 ✘ 614 ft2 max at $373
per dwelling unit
[PLA]
PL-CIF2 Multi-Family Residential
(cost per ft2)
$0.455 ✘ [PLA]
PL-CIF3 Retail
(cost per ft2)
$1.657 ✘ [PLA]
PL-CIF4 Office
(cost per ft2)
$1.928 ✘ [PLA]
PL-CIF5 Industrial
(cost per ft2)
$0.769 ✘ [PLA]
PL-CIF6 Hotel
(cost per ft2)
$0.585 ✘ [PLA]

CURRENT PLANNING DIVISION
Administration Fees
PL-CP1 Hourly Billing Rate –
Current Planning
$164.00 ✘ Hourly ✔
PL-CP2 Technology Surcharge 6% of all
service fees/
charges
✘ [PLB] ✔
PL-CP3 Application Intake: Public
Hearing Cases
$284.00 ✘ [PLC] ✔
PL-CP4 Application Intake:

Non-Public Hearing Cases
$220.00 $254.00 Additional
recommendation to align
with 2017 Citywide Fee
Study to bring fee to
100% cost recovery
[PLC] ✔
PL-CP5 Document Fee:

Public Hearing Cases
$306.00 $445.00 Additional
recommendation to align
with 2017 Citywide Fee
Study to bring fee to
100% cost recovery
✔

20.34 City of Santa Cruz | Citywide Fee Schedule | Effective January 1, 2025 Page 20 of 58 PL-CP6 Document Fee:

Non-Public Hearing Cases
$164.00 $191.00 Additional
recommendation to align
with 2017 Citywide Fee
Study to bring fee to
100% cost recovery
[PLC] ✔
PL-CP8 Public Notice $324.00 ✘ Flat Fee ✔
PL-CP9 Duplication, per page $0.10 ✘ CA Gov Code §6253
PL-CP10 Police Review Fee $398.00 ✘
PL-CP11 Fire Review Fee $132.00 ✘

20.35 City of Santa Cruz | Citywide Fee Schedule | Effective January 1, 2025 Page 21 of 58 PCD | Current Planning

PLANNING AND COMMUNITY

DEVELOPMENT
FEE

EFFECTIVE
7/1/24

FEE UPDATES
FOR

PHASE TWO

FEE NOT

CHANGED,

CPI INCREASE TO BE

ADDED LATER

NOTES FOOT
NOTE
TECH SURCHARGE
6%

CURRENT PLANNING DIVISION
Permit Applications
PL-CP12 Abandonment $8,392.00 ✘ Flat ✔
PL-CP13 Address $164.00 ✘ Hourly ✔
PL-CP14 Appeals $762.00 ✘ Flat [PLD]
PL-CP15 Annexation $6707.00 ✘ Deposit [PLE]
PL-CP16 Boundary Adjustment $1,774.00 ✘ Flat ✔
PL-CP17 Cannabis License Fee 1,967.00 ✘ ✔
PL-CP18 Certificate of Compliance $1,931.00 ✘ May include actual cost for additional outside
consulting or analysis as
the City deems necessary.

PL-CP19 Coastal Permit $2,288.00 ✘ Flat ✔
PL-CP20 Coastal Permit Exclusion $159.00 ✘ Flat ✔
PL-CP21 Conditional Driveway Permit $2,038.00 ✘ Flat ✔
PL-CP22 Conditional Fence Permit: No
Public Hearing
$1,870.00 ✘ ✔
PL-CP23 Conditional Fence Permit: Public
Hearing
$2,447.00 ✘ ✔
PL-CP24 Condition/Mitigation
Monitoring: Major (Deposit)
$6,222.00 ✘ Deposit [PLE]
PL-CP25 Condition/Mitigation
Monitoring: Minor (Deposit)
$500.00 ✘ Deposit [PLE]
PL-CP26 Demolition Authorization
Permit: Residential
$1,940.00 ✘ ✔
PL-CP27 Demolition Authorization
Permit: Nonresidential
$1,940.00 ✘ ✔
PL-CP28 Design Permits: Large
House/Substandard Lot (Public
Hearing)
$3,493.00 ✘ This application may
require the use of expert
outside analysis. Any
consultant costs and/or
additional staff time will
be charged to and
recovered from applicant.
✔
PL-CP29 Design Permits: Remodel/Site
Alteration
(No Public Hearing)
$2,416.00 ✘ This application may
require the use of expert
outside analysis. Any
consultant costs and/or
additional staff time will
be charged to and
recovered from applicant.
✔
PL-CP30 Design Permits:

New NonResidential/Residential
$486.00/
1,000 ft2
✘ This application may
require the use of expert
outside analysis. Any
consultant costs and/or
additional staff time will
be charged to and
recovered from applicant.
✔

20.36 City of Santa Cruz | Citywide Fee Schedule | Effective January 1, 2025 Page 22 of 58 PCD | Current Planning

PLANNING AND COMMUNITY

DEVELOPMENT
FEE

EFFECTIVE
7/1/24

FEE UPDATES
FOR

PHASE TWO

FEE NOT

CHANGED,

CPI INCREASE TO BE

ADDED LATER

NOTES FOOT
NOTE
TECH SURCHARGE
6%

CURRENT PLANNING DIVISION
Permit Applications
PL-CP31 Development Agreements $5,993.00 ✘ This application may require the use of expert
outside analysis. Any
consultant costs and/or
additional staff time will
be charged to and
recovered from applicant.
✔
PL-CP32 Development Agreement -
Annual Review
$1,288.00 ✘ ✔
PL-CP33 Extension Area Revocable $3,382.00 ✘ Flat ✔
PL-CP34 Final Map Amendment $3,316.00 ✘ ✔
PL-CP35 Final Subdivision Map $1,528.00 ✘ ✔
PL-CP36 General Plan/Zoning Map
Amendment (Deposit)
$6,222.00 Deposit
This application may
require the use of expert
outside analysis. Any
consultant costs and/or
additional staff time will
be charged to and
recovered from applicant.
[PLE]
PL-CP33 General Plan Maintenance Fee:

Non-ADU

1.22% of
building
permit
valuation
(charged at
building
permit -
$250K max)
✘
PL-CP34 General Plan Maintenance Fee:

ADU

0.61% of
building
permit
valuation
(charged at
building
permit -
$250K max)
✘
PL-CP35 Historic Alteration Permit $580.00 ✘ ✔
PL-CP36 Historic Building Survey
Deletion
$5,842.00 ✘ ✔
PL-CP37 Historic Building Survey
Addition
$6,003.00 ✘ ✔
PL-CP38 Local Coastal Plan Amendment
(Deposit)
$3,974.00 ✘ Deposit [PLE]

20.37 City of Santa Cruz | Citywide Fee Schedule | Effective January 1, 2025 Page 23 of 58 PCD | Current Planning
PL-CP39 Modification to Approved Plans:

Minor
$2,416.00 ✘ Flat Fee ✔
PL-CP40 Modification to Approved Plans:

Major
$3,327.00 ✘ Flat Fee ✔
PL-CP41 Zoning Clearance:

New Business/Change of Use
$324.00 ✘ Flat Fee ✔
PL-CP42 Zoning Clearance:

Home Occupation
$164.00 ✘ Flat Fee ✔
PL-CP43 Zoning Clearance:

New Occupancy, Same use
$84.00 ✘ Flat Fee ✔

PLANNING AND COMMUNITY

DEVELOPMENT
FEE

EFFECTIVE
7/1/24

FEE UPDATES
FOR

PHASE TWO

FEE NOT

CHANGED,

CPI INCREASE TO BE

ADDED LATER

NOTES FOOT
NOTE
TECH SURCHARGE
6%

CURRENT PLANNING DIVISION
Permit Applications
PL-CP43 Plan Check: Planning $381.00 ✘ ✔
PL-CP44 Plan Check: Planning plus,
per $1,000 valuation charged at
Building Permit
$3.80 ✘ ✔
PL-CP45 Planned Development $9,493.00 ✘ This application may require the use of expert
outside analysis. Any
consultant costs and/or
additional staff time will
be charged to and
recovered from applicant.

PL-CP46 Pre-Application Review:

Planning Only (Deposit)
$692.00 ✘ Deposit [PLE]
PL-CP47 Pre-Application Review:

All Departments (Deposit)
$3,495.00 ✘ Deposit
Up to $1,000 of this fee
may be deducted from
the application fee upon
submittal within one year
of completed review.
[PLE]
PL-CP48 Reconstruction Permit $3,493.00 ✘ ✔
PL-CP49 Relocation of Structure Permit $3,306.00 ✘ Flat Fee ✔ PL-CP50 Residential Short-Term Rental
Permit
$325.00 ✘ [PLF] ✔
PL-CP51 Revised Project Deposit Fee $5,583.00 ✘ Deposit Revised Project Deposit
Fee to be in an amount
up to the cost of a new
entitlement application.

Any unused funds will be
returned at completion of
application.
[PLE]
PL-CP53 Sign Permit $397.00 ✘ Flat Fee ✔
PL-CP54 Slope Modification: Minor $1,474.00 $2,543.00 Flat Fee Additional
recommendation to align
with 2017 Citywide Fee
Study to bring fee to
✔

20.38 City of Santa Cruz | Citywide Fee Schedule | Effective January 1, 2025 Page 24 of 58 PCD | Current Planning
100% cost recovery
PL-CP55 Slope Modification: Major $3,638.00 ✘ Flat Fee ✔ PL-CP56 Special Report Fee $785.00 ✘ This application may require the use of expert
outside analysis. Any
consultant costs and/or
additional staff time will
be charged to and
recovered from applicant.

PL-CP57 Specific Plan (Deposit) $6,622.00 ✘ This application may require the use of expert
outside analysis. Any
consultant costs and/or
additional staff time will
be charged to and
recovered from applicant.
[PLE]

PLANNING AND COMMUNITY

DEVELOPMENT
FEE

EFFECTIVE
7/1/24

FEE UPDATES
FOR

PHASE TWO

FEE NOT

CHANGED,

CPI INCREASE TO BE

ADDED LATER

NOTES FOOT
NOTE
TECH SURCHARGE
6%

CURRENT PLANNING DIVISION
Permit Applications
PL-CP58 Sphere of Influence (Deposit) $6,622.00 ✘ Deposit [PLE] PL-CP59 Subdivision (Includes Condo
Conversions): 4 Lots or Less
$9,718.00 ✘ This application may require
the use of expert outside
analysis. Any consultant costs
and/or additional staff time
will be charged to and
recovered from applicant.
✔
PL-CP60 Subdivision (Includes Condo
Conversions): 5 Lots or More
$19,510.00 ✘ This application may require
the use of expert outside
analysis. Any consultant costs
and/or additional staff time
will be charged to and
recovered from applicant.
✔
PL-CP61 Subdivision (Includes Condo
Conversions): Plus per Lot
$486.00 This application may require
the use of expert outside
analysis. Any consultant costs
and/or additional staff time
will be charged to and
recovered from applicant.
✔
PL-CP62 Time Extension $2,158.00 ✘ Flat Fee ✔
PL-CP60 Use Permit:

Administrative Use
$3,442.00 ✘ ✔
PL-CP61 Use Permit: Special Use $3,884.00 ✘ ✔
PL-CP62 Use Permit: Temporary,
Seasonal, non-Profit
$2,092.00 ✘ ✔
PL-CP63 Variance $3,493.00 ✘
PL-CP64 Watercourse Development
Permit
$1,193.00 $2,416.00 Flat Fee
Additional recommendation
to align with 2017 Citywide
Fee Study to bring fee to
100% cost recovery
✔
PL-CP65 Watercourse Variance $3,564.00 ✘ This application may require the use of expert outside
analysis. Any consultant costs
and/or additional staff time

20.39 City of Santa Cruz | Citywide Fee Schedule | Effective January 1, 2025 Page 25 of 58 PCD | Code Compliance
will be charged to and
recovered from applicant.

Environmental Review
PL-CP66 Arborist Review $695.00 ✘ ✔
PL-CP67 Archeological Review $84.00 ✘ Flat Fee ✔
PL-CP68 Biotic Review $164.00 ✘ ✔
PL-CP69 Categorical Exception $159.00 ✘ ✔
PL-CP70 EIR Review 25% of
consultant's
contract
✘
PL-CP71 Negative Declaration/Initial
Study
$5,694.00 ✘ This application may require
the use of expert outside
analysis. Any consultant costs
and/or additional staff time
will be charged to and
recovered from applicant.

PL-CP72 Statutory Exemption $6,079.00 ✘

PLANNING AND COMMUNITY

DEVELOPMENT
FEE

EFFECTIVE
7/1/24

FEE UPDATES
FOR

PHASE TWO

FEE NOT

CHANGED,

CPI INCREASE TO

BE ADDED LATER

NOTES FOOT
NOTE
TECH SURCHARGE
6%

CODE COMPLIANCE DIVISION
PL-CODE1 Administrative Hearing $500.00
✘
Flat Fee
Does not increase
annually from $500.

Can be waived or
returned via hearing
officer.

Exempt from
Technology Surcharge.
[PLC]
PL-CODE2 Administrative Abatement
Appeal Fee
$500.00
✘
Flat Fee
Does not increase
annually from $500.

Can be waived or
returned via hearing
officer.

Exempt from
Technology Surcharge.
[PLC]
PL-CODE3 Appeal
✘
Flat Fee
Does not increase
annually from $500.

Can be waived or
returned via hearing
officer.

Exempt from
Technology Surcharge.
[PLC]
PL-CODE4 Attorney Fees Actual Cost ✘ Actual Cost [PLC]

20.40 City of Santa Cruz | Citywide Fee Schedule | Effective January 1, 2025 Page 26 of 58 PCD | Code Compliance
Rate per most current
city contract for legal
services.

Exempt from
Technology Surcharge.

PL-CODE5 Citation Appeal Fee $50-$300 ✘Can be waived or returned via hearing
officer
Does not increase
annually from $50-
$300
[PLC]
PL-CODE6 Code Plan Check of Building
and Planning Permits
$120.00 ✘ [PLC] ✔
PL-CODE7 Expungement/Release of Notice
of Violation
$155.00 ✘ [PLC] ✔
PL-CODE8 Initial Inspection/Notice of
Violation
$239.00 ✘ [PLC] ✔
PL-CODE9 Inspection Warrant $488.00 ✘ [PLC] ✔
PL-CODE10 Non-Compliance Assessment $194.00 ✘Can be waived based on continued progress
or hearing officer
decision
[PLC] ✔
PL-CODE11 Notice of Administrative
Abatement
$359 + Actual
Cost of
Abatement
✘ Vendor used for
abatement services
[PLC]

PLANNING AND COMMUNITY DEVELOPMENT FEE

EFFECTIVE
7/1/24

FEE UPDATES
FOR

PHASE TWO

FEE NOT

CHANGED,

CPI INCREASE TO

BE ADDED LATER

NOTES FOOT
NOTE
TECH SURCHARGE
6%

CODE COMPLIANCE DIVISION
PL-CODE12 Notice of Civil Penalty $181 + Daily
Amount of
Civil
Penalties Per
Violation (up
to $2,500 per
day/per
violation)
✘ [PLC]
PL-CODE13 Notice of Civil Penalty Appeal Fee $500.00 ✘ Flat Fee Does not increase
annually from $500.

Can be waived or
returned via hearing
officer.

Exempt from
Technology Surcharge.
[PLC]
PL-CODE14 Posting - Dangerous Building $176.00 ✘ [PLC]
PL-CODE15 Posting - Stop Work Order $176.00 ✘ [PLC]
PL-CODE16 Posting - Vacate Order and
Tenant Relocation (If Applicable)
$336.00 ✘ [PLC]
PL-CODE17 Recordation of Notice of
Violation
$155.00 ✘ [PLC]
PL-CODE18 Re-Inspection(S) (Per Inspection) $80.00- ✘ Range based on the [PLC] ✔

20.41 City of Santa Cruz | Citywide Fee Schedule | Effective January 1, 2025 Page 27 of 58 PCD | Rental Program
PCD | Sidewalk Vending Program
265.00
Maximum
number of staff
required coupled with
the type and number of
violations
PL-CODE19 Technology Surcharge 6% of all
service fees/
charges
✘ [PLB] ✔

PLANNING AND COMMUNITY DEVELOPMENT FEE

EFFECTIVE
7/1/24

FEE UPDATES
FOR

PHASE TWO

FEE NOT

CHANGED,

CPI INCREASE TO

BE ADDED LATER

NOTES FOOT
NOTE
TECH SURCHARGE
6%

RENTAL PROGRAM
PL-RP1 Annual Registration Fee $62.00 ✘ [PLH] ✔
PL-RP2 Annual Self-Certification Fee -
20% of the units, per unit up to 5
units
$28.00 ✘ Any fraction will be
rounded up to the
nearest whole number
[PLH] ✔
PL-RP3 Annual Inspection Fee, per unit $28.00 ✘ [PLH] ✔ PL-RP4 Penalties Assessed for
each month
annual fees
not
submitted
(max of 50%
of total fees)
✘
PL-RP4 Reinspection Fee, per hour $142.00 ✘ [PLC] ✔
PL-RP5 Technology Surcharge 6% of all
service fees/
charges
✘ [PLB] ✔

PLANNING AND COMMUNITY DEVELOPMENT FEE

EFFECTIVE
7/1/24

FEE UPDATES
FOR

PHASE TWO

FEE NOT

CHANGED,

CPI INCREASE TO

BE ADDED LATER

NOTES FOOT
NOTE
TECH SURCHARGE
6%

SIDEWALK VENDING PROGRAM
PL-SV1 Sidewalk Vending Base
Application
$33.00
✘
Increases annually by
CPI
Exempt from
Technology Surcharge
[PLI]
[PLj]
PL-SV1 All Impoundments: Base Fee $137.00 ✘ Increases annually by CPI
Exempt from
Technology Surcharge
[PLI]
[PLj]
PL-SV2 Initial Collection Cost
(Smaller Items)
$109.00 ✘ Exempt from
Technology Surcharge
[PLI]
PL-SV3 Cost for Overnight Storage at City
Facilities (Per Night)
$55.00 ✘ Exempt from
Technology Surcharge
[PLI]
PL-SV4 Private Tow Service
(Larger Items)
Actual
charges
levied by tow
company
✘ Exempt from
Technology Surcharge
[PLI]

20.42 City of Santa Cruz | Citywide Fee Schedule | Effective January 1, 2025 Page 28 of 58

20.43 City of Santa Cruz | Citywide Fee Schedule | Effective January 1, 2025 Page 29 of 58 PCD | Building & Safety

PLANNING AND COMMUNITY

DEVELOPMENT
FEE

EFFECTIVE
7/1/24

FEE UPDATES
FOR

PHASE TWO

FEE NOT

CHANGED,

CPI INCREASE TO BE

ADDED LATER

NOTES FOOT
NOTE
TECH SURCHARGE
6%

BUILDING AND SAFETY DIVISION

ADMINISTRATION
PL-BLD1 Hourly Billing Rate – Building $142.00 $148.23 100% Cost Recovery ✔ PL-BLD2 Technology Surcharge 6% of all
service fees/
charges
✘ [PLB] ✔

GREEN BUILDING PROGRAM
PL-BLD3 Green Building Program
Management
1% of project
valuation,
$50,000 max

✘ Green Building Fund was
created on 10/25/2005
per Ordinance 2005-29
and updated on April 26,
2022 per Ordinance 2022-

04. Cap set by Resolution
NS-27,559 on 6/26/2006,
and fee updated by
Resolution NS-29, 962 on
April 12, 2022. Annual
Consumer Price Index
increases do not apply to
the fee.

PL-BLD5 Green Building Program -
Hourly Billing Rate e.g.

Consultation
New Fee $148.23 New Fee
100% Cost Recovery
✔
TABLE 3A - BUILDING PERMIT FEES
PL-BLD5 $1.00 to $500.00 $23.50 $128.52 Valuation - Base Fee 60% Cost Recovery
PL80%%
PL100%
✔
PL-BLD6 $23.50 for the first $500.00 plus
$3.05 for each additional
$100.00, or fraction thereof, to
and including $2,000.00
$23.50 $196.22 Valuation - Base Fee
60% Cost Recovery
PL80%%
PL100%
✔
PL-BLD7 $69.25 for the first $2,000.00
plus $14.00 for each additional
$1,000.00, Or fraction thereof, to
and including $25,000.00
$69.25 $399.35 Valuation - Base Fee
60% Cost Recovery
PL80%%
PL100%
✔
PL-BLD8 $391.25 for the first $25,000.00
plus $10.10 for each additional
$1,000.00, or fraction thereof, to
and including $50,000.00
$391.25 $873.30 Valuation - Base Fee
60% Cost Recovery
PL80%%
PL100%
✔
PL-BLD9 $643.75 for the first $50,000.00
plus $7.00 for each additional
$1,000.00, or fraction thereof, to
and including $100,000.00
$643.75 $1,279.55 Valuation - Base Fee
60% Cost Recovery
PL80%%
PL100%
✔
PL-BLD10 $993.75 for the first $100,000.00
plus $5.60 for each additional
$1,000.00, or fraction thereof, to
and including $500,000.00
$993.75 $2,024.24 Valuation - Base Fee
60% Cost Recovery
PL80%%
PL100%
✔
PL-BLD11 $3,233.75 for the first
$500,000.00 plus $4.75 for each
additional $1,000.00, or fraction
thereof, to and including
$1,000,000.00
$3,233.75 $3,233.75 Valuation - Base Fee
62% Cost Recovery
PL80%%
PL100%
✔

20.44 City of Santa Cruz | Citywide Fee Schedule | Effective January 1, 2025 Page 30 of 58 PCD | Building & Safety
PL-BLD12 $5,608.75 for the first
$1,000,000.00 plus $3.65 for
each additional $1,000.00, or
fraction thereof
$5,608.75 $14,888.25 Valuation - Base Fee
60% Cost Recovery
PL80%%
PL100%
✔

PLANNING AND COMMUNITY

DEVELOPMENT
FEE

EFFECTIVE
7/1/24

FEE UPDATES
FOR

PHASE TWO

FEE NOT

CHANGED,

CPI INCREASE TO

BE ADDED LATER

NOTES FOOT
NOTE
TECH SURCHARGE
6%
TABLE 3A - BUILDING PERMIT FEES
Other Inspections And Fees
PL-BLD13 Inspection outside normal
business hours
$142.00 $222.34 Per hour, min 2 hour
100% Cost Recovery
✔
PL-BLD14 Reinspection fees assessed under
the provisions of Section 305.8
(UAC)
$142.00 $148.23 Per hour, min 1 hour
100% Cost Recovery
✔
PL-BLD15 Inspections for which no fee is
specifically indicated
$142.00 $148.23 Per hour, min 1 hour
100% Cost Recovery
✔
PL-BLD16 Additional Plan Review
Required by changes, additions
on revision to plans or to plans
for which an initial review
completed
$142.00 $148.23 Per hour, min 1 hour
100% Cost Recovery
✔
PL-BLD17 For use of outside consultants for
plan checking & inspections, or
both
Actual Cost ✘ Actual Cost ✔
TABLE 3B – ELECTRICAL PERMIT FEES
PL-BLD18 For the issuance of each electrical
permit
$60.51 $60.51 Flat Fee
83% Cost Recovery
PL100% ✔
PL-BLD19 Each supplemental permit w/
original permit not expired,
cancelled, or finaled.
$25.00 $44.30 Flat Fee
60% Cost Recovery
PL80%%
PL100%
✔
TABLE 3B – SYSTEM FEE SCHEDULE

1. New Residential Building
The following fees shall include all wiring and electrical equipment in or on each building or other electrical equipment on the same premises constructed at the same time Multifamily. For new multifamily
buildings (apartments and
condominiums) having three or
more dwelling units constructed
at the same time, I not including
the area of garages, carports and
accessory buildings, per square
foot (0.09 m2)
$0.05 Remove Remove
PL-BLD20 Electrical Multifamily. For new
multifamily buildings (apartments
and condominiums) having three
or more dwelling units
constructed at the same time, I
not including the area of garages,
carports and accessory buildings,
per ft2 (0.09 m2)
New Fee

20% of Building
Permit
New Fee
100% Cost Recovery
✔
Single- and two-family. For new
single- and two-family residential
buildings constructed at the same
time and not including the area
of garages, carports and
accessory buildings, per square
foot (0.09 m2)
$0.06 Remove Remove
PL-BLD21 Electrical (new fee) New Fee 17% of Building New Fee ✔

20.45 City of Santa Cruz | Citywide Fee Schedule | Effective January 1, 2025 Page 31 of 58 PCD | Building & Safety
Single- and two-family. For new
single- and two-family residential
buildings constructed at the same
time and not including the area
of garages, carports and
accessory buildings, per ft2 (0.09
m2)
Permit

100% Cost Recovery

PLANNING AND COMMUNITY DEVELOPMENT FEE

EFFECTIVE
7/1/24

FEE UPDATES
FOR

PHASE TWO

FEE NOT

CHANGED,

CPI INCREASE TO

BE ADDED LATER

NOTES FOOT
NOTE
TECH SURCHARGE
6%

BUILDING AND SAFETY DIVISION
TABLE 3B – SYSTEM FEE SCHEDULE

2. Private Swimming Pools
For new private, in-ground
swimming pools for single-family
and multifamily occupancies,
including a complete system of
necessary branch circuit wiring,
bonding, grounding, underwater
lighting, water pumping and other
similar electrical equipment
directly related to the operation of
a swimming pool, each pool
$49.50 Remove

Remove
TABLE 3B – SYSTEM FEE SCHEDULE

2. Carnivals and Circuses
PL-BLD22 Carnivals, circuses, or other
traveling shows or exhibitions
utilizing transportable-type rides,
booths, displays and attractions. I
For electrical generators and
electrically driven rides, each
$23.50 $66.45 Flat Fee
60% Cost Recovery
PL80%%
PL100%
✔
PL-BLD23 For mechanically driven rides and
walk-through attractions or
displays having electric lighting,
each
$7.25 $14.88 Flat Fee
60% Cost Recovery
PL80%%
PL100%
✔
PL-BLD24 For a system of area & booth
lighting, each
$7.25 $14.88 Flat Fee
60% Cost Recovery
PL80%%
PL100%
✔
TABLE 3B – SYSTEM FEE SCHEDULE

3. Temporary Power Service
PL-BLD25 For a temporary service pole or
pedestal, including all pole or
pedestal-mounted receptacle
outlets and appurtenances, each
$23.50 $66.45 Flat Fee
60% Cost Recovery
PL80%%
PL100%
✔
PL-BLD26 For temporary distribution system
& temporary lighting & receptacle
outlets for construction sites,
decorative lights, Christmas tree
sales lots, fireworks stands, each
$12.30 $14.88 Flat Fee
60% Cost Recovery
PL80%%
PL100%
✔
TABLE 3B – UNIT FEE SCHEDULE

1. Receptacle, Switch, and Light Outlets
For receptacle, switch, light, or other outlets at which current is used or controlled, except services, feeders, and meters

20.46 City of Santa Cruz | Citywide Fee Schedule | Effective January 1, 2025 Page 32 of 58 PCD | Building & Safety
PL-BLD27 First 20 fixtures, each $1.10 $2.84 Flat Fee
60% Cost Recovery
PL80%%
PL100%
✔
PL-BLD28 Additional fixtures, each $0.73 $2.84 Flat Fee 60% Cost Recovery
PL80%%
PL100%
✔
TABLE 3B – UNIT FEE SCHEDULE

2. Lighting Fixtures
For lighting fixtures, sockets, or other lamp holding devices PL-BLD29 First 20 fixtures, each $1.10 $2.84 Flat Fee
60% Cost Recovery
PL80%%
PL100
✔
PL-BLD30 Additional fixtures, each $0.73 $2.84 Flat Fee 60% Cost Recovery
PL80%%
PL100%
✔
PL-BLD31 For pole or platform-mounted
lighting fixtures, each
$1.10 $7.27 Flat Fee
60% Cost Recovery
PL80%%
PL100%
✔
PL-BLD32 For theatrical-type lighting fixtures
or assemblies, each
$1.10 $7.27 Flat Fee
60% Cost Recovery
PL80%%
PL100%
✔

PLANNING AND COMMUNITY DEVELOPMENT FEE

EFFECTIVE
7/1/24

FEE UPDATES
FOR

PHASE TWO

FEE NOT

CHANGED,

CPI INCREASE TO

BE ADDED LATER

NOTES FOOT
NOTE
TECH SURCHARGE
6%

BUILDING AND SAFETY DIVISION
TABLE 3B – UNIT FEE SCHEDULE

3. Residential Appliances
PL-BLD33 For fixed residential appliances or
receptacle outlets for same,
including wall-mounted electric
ovens; counter-mounted cooking
tops; electric ranges; selfcontained room, console or
through-wall air conditioners;
space heaters; food waste grinders;
dishwashers; washing machines;
water heaters; clothes dryers; or
other motor-operated appliances
not exceeding 1 horsepower (HP)
(746 W) in rating, each
$4.75 $7.27 Flat Fee
60% Cost Recovery
PL80%%
PL100%
✔
TABLE 3B – UNIT FEE SCHEDULE

4. Nonresidential Appliances
PL-BLD34 For nonresidential appliances and
self-contained factory-wired,
nonresidential appliances not
exceeding 1 horsepower (HP),
kilowatt (kW) or kilovolt-ampere
(kVA), in rating, including medical
and dental devices; food, beverage
and ice cream cabinets; illuminated
show cases; drinking fountains;
vending machines; laundry
machines; or other similar types of
equipment, each
$4.75 $14.88 Flat Fee
60% Cost Recovery
PL80%%
PL100%
✔

20.47 City of Santa Cruz | Citywide Fee Schedule | Effective January 1, 2025 Page 33 of 58 TABLE 3B – UNIT FEE SCHEDULE

5. Apparatus (For motors, generators, transformers, rectifiers, synchronous converters, capacitors, industrial heating, air conditioners and heat pumps, cooking or baking equipment and other apparatus, as follows:

Rating in horsepower (HP), kilowatts (kW), kilovolt-amperes (kVA) or kilovolt-amperes-reactive (kVAR) PL-BLD35 Up to and including 1, each $4.75 $8.86 Flat Fee 60% Cost Recovery
PL80%%
PL100%
✔
PL-BLD36 Over 1 and not over 10, each $12.30 $17.72 Flat Fee 60% Cost Recovery
PL80%%
PL100%
✔
PL-BLD37 Over 10 and not over 50, each $24.60 $27.08 Flat Fee 60% Cost Recovery
PL80%%
PL100%
✔
PL-BLD38 Over 50 and not over 100, each $49.50 $49.50 Flat Fee 82% Cost Recovery
PL100% ✔
PL-BLD39 Over 100, each $74.50 $74.50 Flat Fee
88% Cost Recovery
PL100% ✔

20.48 City of Santa Cruz | Citywide Fee Schedule | Effective January 1, 2025 Page 34 of 58 PCD | Building & Safety

PLANNING AND COMMUNITY DEVELOPMENT FEE

EFFECTIVE
7/1/24

FEE UPDATES
FOR

PHASE TWO

FEE NOT

CHANGED,

CPI INCREASE TO

BE ADDED LATER

NOTES FOOT
NOTE
TECH SURCHARGE
6%

BUILDING AND SAFETY DIVISION
TABLE 3B – UNIT FEE SCHEDULE

6. Busways
PL-BLD40 For trolley and plug-in-type
busways, each 100 feet (30 480
mm) or fraction thereof
$7.25 $14.88 Flat Fee
60% Cost Recovery
PL80%%
PL100%
✔
TABLE 3B – UNIT FEE SCHEDULE

7. Signs, Outline Lighting, and Marquees
PL-BLD41 For signs, outline lighting systems
or marquees supplied from one
branch circuit, each
$24.60 $72.72 Flat Fee
60% Cost Recovery
PL80%%
PL100%
✔
PL-BLD42 For additional branch circuits
within the same sign, outline
lighting system or marquee, each
$4.75 $7.27 Flat Fee
60% Cost Recovery
PL80%%
PL100%
✔
TABLE 3B – UNIT FEE SCHEDULE

8. Services
PL-BLD43 For services of 600 volts or less
and not over 200 amperes in
rating, each
$30.50 $66.45 Flat Fee
60% Cost Recovery
PL80%%
PL100%
✔
PL-BLD44 For services of 600 volts or less
and over 200 amperes to 1,000
amperes, each
$62.15 $90.28 Flat Fee
60% Cost Recovery
PL80%%
PL100%
✔
PL-BLD45 For services over 600 volts or over
1,000 amperes in rating, each
$124.30 $132.91 Flat Fee
60% Cost Recovery
PL80%%
PL100%
✔
TABLE 3B – UNIT FEE SCHEDULE

9. Miscellaneous Apparatus, Conduits and Conductors
PL-BLD46 For electrical apparatus, conduits
and conductors for which a permit
is required but for which no fee is
herein set forth
$18.20 $22.15 Flat Fee
60% Cost Recovery
PL80%%
PL100%
✔

20.49 City of Santa Cruz | Citywide Fee Schedule | Effective January 1, 2025 Page 35 of 58 PCD | Building & Safety

PLANNING AND COMMUNITY DEVELOPMENT FEE

EFFECTIVE
7/1/24

FEE UPDATES
FOR

PHASE TWO

FEE NOT

CHANGED,

CPI INCREASE TO

BE ADDED LATER

NOTES FOOT
NOTE
TECH SURCHARGE
6%

BUILDING AND SAFETY DIVISION
TABLE 3B – UNIT FEE SCHEDULE
Other Inspections and Fees
PL-BLD47 Inspection outside normal business
hours
$142.00 $222.34 Per hour, min 2 hour
100% Cost Recovery
✔
PL-BLD48 Reinspection fees assessed under
the provisions of Section 305.8
(UAC)
$142.00 $148.23 Per hour, min 1 hour
100% Cost Recovery
✔
PL-BLD49 Inspections for which no fee is
specifically indicated
$142.00 $148.23 Per hour, min 1 hour
100% Cost Recovery
✔
PL-BLD50 Additional Plan Review
Required by changes, additions on
revision to plans or to plans for
which an initial review has been
completed.
$142.00 $148.23 Per hour, min 1 hour
100% Cost Recovery
✔
TABLE 3C – MECHANICAL PERMITS
PL-BLD51 For issuance of each mechanical
permit
$60.51 $60.35 Flat Fee
96% Cost Recovery
PL100% ✔
PL-BLD52 For each supplemental permit for
which the original permit has not
expired, cancelled, or finaled
$25.00 $44.30 Flat Fee
60% Cost Recovery
PL80%%
PL100%
✔
TABLE 3C – MECHANICAL PERMITS
System Fee schedule
New Residential Buildings
PL-BLD53 Multifamily. For new multifamily
buildings (apartments and
condominiums) having three or
more dwelling units constructed at
the same time, not including the
area of garages, carports and
accessory buildings
New Fee New Fee –
10% of building
permit
New Fee
100% Cost Recovery
✔
PL-BLD54 Single- and two-family. For new
single- and two-family residential
buildings constructed at the same
time and not including the area of
garages, carports and accessory
buildings
New Fee New Fee –
7% of building permit
New Fee
100% Cost Recovery
✔

20.50 City of Santa Cruz | Citywide Fee Schedule | Effective January 1, 2025 Page 36 of 58 PCD | Building & Safety

PLANNING AND COMMUNITY DEVELOPMENT FEE

EFFECTIVE
7/1/24

FEE UPDATES
FOR

PHASE TWO

FEE NOT

CHANGED,

CPI INCREASE TO

BE ADDED LATER

NOTES FOOT
NOTE
TECH SURCHARGE
6%

BUILDING AND SAFETY DIVISION
TABLE 3C – MECHANICAL PERMITS
Unit Fee Schedule

1. Furnaces
PL-BLD55 For the installation or relocation of
each forced-air or gravity-type
furnace or burner, including ducts
and vents attached to such
appliance, up to and including
100,000 Btu/h (29.3 kW)
$14.80 $66.45 Flat Fee
60% Cost Recovery
PL80%%
PL100%
✔
PL-BLD56 For the installation or relocation of
each forced-air or gravity-type
furnace or burner, including ducts
and vents attached to such
appliance over 100,000 Btu/h (29.3
kW)
$18.20 $66.45 Flat Fee
60% Cost Recovery
PL80%%
PL100%
✔
PL-BLD57 For the installation or relocation of
each floor furnace, including vent
$14.80 $66.45 Flat Fee
60% Cost Recovery
PL80%%
PL100%
✔
PL-BLD58 For the installation or relocation of
each suspended heater, recessed
wall heater or floor-mounted unit
heater
$14.80 $66.45 Flat Fee
60% Cost Recovery
PL80%%
PL100%
✔
TABLE 3C – MECHANICAL PERMITS

2. Appliance Vents
PL-BLD59 For the installation, relocation or
replacement of each appliance
vent installed and not included in
an appliance permit
$7.25 $14.21 Flat Fee
60% Cost Recovery
PL80%%
PL100%
✔
TABLE 3C – MECHANICAL PERMITS

3. Repairs or Additions
PL-BLD60 For the repair of, alteration of, or
addition to each heating appliance,
refrigeration unit, cooling unit,
absorption unit, or each heating,
cooling, absorption or evaporative
cooling system, including
installation of controls regulated
by the Mechanical Code
$13.70 $22.15 Flat Fee
60% Cost Recovery
PL80%%
PL100%
✔

20.51 City of Santa Cruz | Citywide Fee Schedule | Effective January 1, 2025 Page 37 of 58 PCD | Building & Safety

PLANNING AND COMMUNITY DEVELOPMENT FEE

EFFECTIVE
7/1/24

FEE UPDATES
FOR

PHASE TWO

FEE NOT

CHANGED,

CPI INCREASE TO

BE ADDED LATER

NOTES FOOT
NOTE
TECH SURCHARGE
6%

BUILDING AND SAFETY DIVISION
TABLE 3C – MECHANICAL PERMITS
Unit Fee Schedule

4. Boilers, Compressors, and Absorption Systems
PL-BLD61 For the installation or relocation of
each boiler or compressor to and
including 3 horsepower (J0.6 kW),
or each absorption system to and
including 100,000 Btu/b (29.3 kW)
$14.70 $66.45 Flat Fee
60% Cost Recovery
PL80%%
PL100%
✔
PL-BLD62 For the installation or relocation of
each boiler or compressor over 3
horsepower (10.6 kW) to and
including 15 horsepower (52.7
kW), or each absorption system
over 100,000 Btu/h-(29.3 kW) to
and including 500,000 Btu/h (146.6
kW)
$27.15 $80.66 Flat Fee
60% Cost Recovery
PL80%%
PL100%
✔
PL-BLD63 For the installation or relocation of
each boiler or compressor over 15
horsepower (52.7 kW) to and
including 30 horsepower (105.5
kW), or each absorption system
over 500,000 Btu/b (146.6 kW) to
and including 1,000,000 Btu/h
(293.1 kW)
$37.25 $94.87 Flat Fee
60% Cost Recovery
PL80%%
PL100%
✔
PL-BLD64 For the installation or relocation of
each boiler or compressor over 30
horsepower (105.SkW) to and
including 50 horsepower (176 kW),
or each absorption system over
1,000,000 Btu/h (293.1 kW) to and
including 1,750,000 Btu/h (512.9
kW)
$55.45 $109.09 Flat Fee
60% Cost Recovery
PL80%%
PL100%
✔
PL-BLD65 For the installation or relocation of
each boiler or compressor over 50
horsepower (176 kW), or each
absorption system over 1,750,000
Btu/h (512.9 kW)
$92.65 $123.30 Flat Fee
60% Cost Recovery
PL80%%
PL100%
✔
TABLE 3C – MECHANICAL PERMITS

5. Air Handlers
PL-BLD66 For each air-handling unit to and
including 10,000 cubic feet per
minute (cfm) (47 19 L/s), including
ducts attached thereto
$10.65 $36.36 Flat Fee
60% Cost Recovery
PL80%%
PL100%
✔
PL-BLD67 For each air-handling unit over
10,000 cfm (4719 L/s)
$18.10 $36.36 Flat Fee
60% Cost Recovery
PL80%%
PL100%
✔

20.52 City of Santa Cruz | Citywide Fee Schedule | Effective January 1, 2025 Page 38 of 58 PCD | Building & Safety

PLANNING AND COMMUNITY DEVELOPMENT FEE

EFFECTIVE
7/1/24

FEE UPDATES
FOR

PHASE TWO

FEE NOT

CHANGED,

CPI INCREASE TO

BE ADDED LATER

NOTES FOOT
NOTE
TECH SURCHARGE
6%

BUILDING AND SAFETY DIVISION
TABLE 3C – MECHANICAL PERMITS
Unit Fee Schedule

6. Evaporative Coolers
PL-BLD68 For each evaporative cooler other
than portable type
$7.25 $14.88 Flat Fee
60% Cost Recovery
PL80%%
PL100%
✔
TABLE 3C – MECHANICAL PERMITS
Unit Fee Schedule

7. Ventilation and Exhaust
PL-BLD69 For each ventilation fan connected
to a single duct
$7.25 $15.00 Flat Fee
60% Cost Recovery
PL80%%
PL100%
✔
PL-BLD70 For each ventilation system which
is not a portion of any heating or
air-conditioning system authorized
by a permit
$10.65 $30.09 Flat Fee
60% Cost Recovery
PL80%%
PL100%
✔
PL-BLD71 For the installation of each hood
which is served by mechanical
exhaust, including the ducts for
such hood
$10.65 $66.45 Flat Fee
60% Cost Recovery
PL80%%
PL100%
✔
TABLE 3C – MECHANICAL PERMITS
Unit Fee Schedule

8. Incinerators
For the installation or relocation of
each domestic-type incinerator
$18.20 Remove Remove
For the installation or relocation of
each commercial or industrial-type
incinerator
$14.50 Remove
Remove
TABLE 3C – MECHANICAL PERMITS
Unit Fee Schedule

9. 8 Miscellaneous
PL-BLD72 For each appliance or piece of
equipment regulated by the
Mechanical Code but not classed
in other appliance categories, or
for which the fee is listed in the
table
$10.65 $44.30 Flat Fee
60% Cost Recovery
PL80%%
PL100%
✔
TABLE 3C – MECHANICAL PERMITS
Unit Fee Schedule
Other Inspection Times and Fees
PL-BLD73 Inspection outside normal business
hours
$142.00 $222.34 Per hour, min 2 hour
100% Cost Recovery
✔
PL-BLD74 Reinspection fees assessed under $142.00 $148.23 Per hour, min 1 hour ✔

20.53 City of Santa Cruz | Citywide Fee Schedule | Effective January 1, 2025 Page 39 of 58 PCD | Building & Safety
the provisions of Section 305.8
(UAC)
100% Cost Recovery
PL-BLD75 Inspections for which no fee is
specifically indicated
$142.00 $148.23 Per hour, min 1 hour
100% Cost Recovery
✔
PL-BLD76 Additional Plan Review
Required by changes, additions on
revision to plans or to plans for
which an initial review has been
completed.
$142.00 $148.23 Per hour, min 1 hour
100% Cost Recovery
✔

PLANNING AND COMMUNITY

DEVELOPMENT
FEE

EFFECTIVE
7/1/24

FEE UPDATES
FOR

PHASE TWO

FEE NOT

CHANGED,

CPI INCREASE TO

BE ADDED LATER

NOTES FOOT
NOTE
TECH SURCHARGE
6%

BUILDING AND SAFETY DIVISION
TABLE 3D – PLUMBING PERMIT FEES
System Schedule
New Residential Buildings
PL-BLD77 Multifamily. For new multifamily
buildings (apartments and
condominiums) having three or
more dwelling units constructed
at the same time, not including
the area of garages, carports and
accessory buildings
New Fee 20% of
Building Permit
New Fee
100% Cost Recovery
✔
PL-BLD78 Single- and two-family. For new
single- and two-family residential
buildings constructed at the same
time and not including the area
of garages, carports and
accessory buildings
New Fee 16 % of
Building Permit
New Fee
100% Cost Recovery
✔
PL-BLD79 Issuance of each plumbing permit $60.51 $60.51 Flat Fee 96% Cost Recovery
PL100% ✔
PL-BLD80 Each supplemental permit for
which the original permit has not
expired, cancelled, or finaled.
$25.00 $44.30 Flat Fee
60% Cost Recovery
PL80%%
PL100%
✔
TABLE 3D – PLUMBING PERMIT FEES
Unit Fee Schedule

1. Fixtures and Vents
PL-BLD81 For each plumbing fixture or trap
or set of fixtures on one trap
(including water, drainage piping
and backflow protection thereof)
$9.80 $9.80 Flat Fee
81% Cost Recovery
PL100% ✔
PL-BLD82 For repair or alteration of
drainage or vent piping, each
fixture
$4.75 $7.27 Flat Fee
60% Cost Recovery
PL80%%
PL100%
✔
TABLE 3D – PLUMBING PERMIT FEES
Unit Fee Schedule

2. Sewers, Disposal Systems, and Interceptors
PL-BLD83 For each building sewer and each $24.65 $66.45 Flat Fee PL80%% ✔

20.54 City of Santa Cruz | Citywide Fee Schedule | Effective January 1, 2025 Page 40 of 58 trailer park sewer 60% Cost Recovery PL100%
PL-BLD84 For each cesspool $37.25 $60.18 Flat Fee
60% Cost Recovery
PL80%%
PL100%
✔
PL-BLD85 For each private sewage disposal
system
$74.50 $74.50 Flat Fee
67% Cost Recovery
PL80%%
PL100%
✔
PL-BLD86 For each industrial waste
pretreatment interceptor,
including its trap and vent,
excepting kitchen-type grease
interceptors functioning as fixture
traps
$19.90 $66.45 Flat Fee
60% Cost Recovery
PL80%%
PL100%
✔
PL-BLD87 Rainwater system-per drain
(inside building)
$9.80 $22.15 Flat Fee
60% Cost Recovery
PL80%%
PL100%
✔
TABLE 3D – PLUMBING PERMIT FEES
Unit Fee Schedule

3. Water Piping and Water Heaters
PL-BLD88 For installation, alteration, or
repair of water piping or watertreating equipment, or both, each $4.75 $4.75 Flat Fee
64% Cost Recovery
PL80%%
PL100%
✔
PL-BLD89 For each water heater including
vent
$12.30 $52.24 Flat Fee
60% Cost Recovery
PL80%%
PL100%
✔

20.55 City of Santa Cruz | Citywide Fee Schedule | Effective January 1, 2025 Page 41 of 58 PCD | Building & Safety

PLANNING AND COMMUNITY

DEVELOPMENT
FEE

EFFECTIVE
7/1/24

FEE UPDATES
FOR

PHASE TWO

FEE NOT

CHANGED,

CPI INCREASE TO

BE ADDED LATER

NOTES FOOT
NOTE
TECH SURCHARGE
6%

BUILDING AND SAFETY DIVISION
TABLE 3D – PLUMBING PERMIT FEES
Unit Fee Schedule

4. Gas Piping Systems
PL-BLD90 For each gas piping system of
one to five outlets
$6.15 $44.30 Flat Fee
60% Cost Recovery
PL80%%
PL100%
✔
PL-BLD91 For each additional outlet over
five, each
$1.10 $8.86 Flat Fee
60% Cost Recovery
PL80%%
PL100%
✔
TABLE 3D – PLUMBING PERMIT FEES
Unit Fee Schedule

5. Lawn Sprinklers, Vacuum Breakers, and Backflow Protection Devices PL-BLD92 For each lawn sprinkler system on
any one meter, including
backflow protection devices
thereof
$14.80 $22.15 Flat Fee
60% Cost Recovery
PL80%%
PL100%
✔
TABLE 3D – PLUMBING PERMIT FEES
Unit Fee Schedule

5. Lawn Sprinklers, Vacuum Breakers, and Backflow Protection Devices For atmospheric-type vacuum breakers or backflow protection devices not included in Item 1:

PL-BLD93 1 to 5 devices $12.30 $44.30 Flat Fee
60% Cost Recovery
PL80%%
PL100%
✔
PL-BLD94 Over 5 devices, each $2.25 $8.86 Flat Fee
60% Cost Recovery
PL80%%
PL100%
✔
TABLE 3D – PLUMBING PERMIT FEES
Unit Fee Schedule

5. Lawn Sprinklers, Vacuum Breakers, and Backflow Protection Devices For each backflow-protection device other than atmospheric-type vacuum breakers PL-BLD95 2 inches (50.8 mm) and smaller $12.30 $44.30 Flat Fee 60% Cost Recovery
PL80%%
PL100%
✔
PL-BLD96 Over 2 inches (50.8 mm) $24.65 $60.18 Flat Fee 60% Cost Recovery
PL80%%
PL100%
✔
TABLE 3D – PLUMBING PERMIT FEES
Unit Fee Schedule

6. Swimming Pools
For each swimming pool or spa
Public pool $91.25 Remove Remove
Public spa $60.75 Remove Remove
Private pool $60.75 Remove Remove
Private spa $30.25 Remove Remove
TABLE 3D – PLUMBING PERMIT FEES
Unit Fee Schedule

6. Miscellaneous
PL-BLD97 For each appliance or piece of
equipment regulated by the
Plumbing Code but not classed in
other appliance categories, or for
which no other fee is listed in this
code
$9.80 $44.00 Flat Fee
60% Cost Recovery
PL80%%
PL100%
✔

20.56 City of Santa Cruz | Citywide Fee Schedule | Effective January 1, 2025 Page 42 of 58 PCD | Building & Safety

PLANNING AND COMMUNITY DEVELOPMENT FEE

EFFECTIVE
7/1/24

FEE UPDATES
FOR

PHASE TWO

FEE NOT

CHANGED,

CPI INCREASE TO

BE ADDED LATER

NOTES FOOT
NOTE
TECH SURCHARGE
6%

BUILDING AND SAFETY DIVISION
TABLE 3D – PLUMBING PERMIT FEES
Unit Fee Schedule
Other Inspections and Fees
PL-BLD98 Inspection outside normal
business hours
$142.00 $222.34 Per hour, min 2 hour
100% Cost Recovery
✔
PL-BLD99 Reinspection fees assessed under
the provisions of Section 305.8
(UAC)
$142.00 $148.23 Per hour, min 1 hour
100% Cost Recovery
✔
PL-BLD100 Inspections for which no fee is
specifically indicated
$142.00 $148.23 Per hour, min 1 hour
100% Cost Recovery
✔
PL-BLD101 Additional Plan Review $142.00 $148.23 Per hour, min 1 hour 100% Cost Recovery
✔
TABLE 3E – ELEVATOR PERMIT FEES
New Installations
Passenger or freight elevator, escalator, moving walk (commercial) Up to and including $40,000.00 of
valuation $89.00 Remove Remove
Over $40,000.00 of valuation-
$1.65 for each $1,000.00 or
fraction thereof over $40,000.00
$1.65
Remove Remove
TABLE 3E – ELEVATOR PERMIT FEES
Private Dumbwaiter or Residence Elevator
Passenger or freight elevator, escalator, moving walk (commercial) PL-BLD102 Up to and including $20,000 of
valuation
$25.00 $1,054.90 Base Fee
60% Cost Recovery
PL80%%
PL100%
✔
PL-BLD103 Over $20,000.00 of valuation-
$1.65 for each $1,000.00 or
fraction thereof over $20,000.00
$1.65 $42.20 Per $1K valuation
60% Cost Recovery
PL80%%
PL100%
✔
TABLE 3E – ELEVATOR PERMIT FEES
Major Alterations
PL-BLD104 Fees for major alterations shall be
as set forth in Table 3-A.

Installation fees include charges
for the first year's annual
inspection fee and charges for
electrical equipment on the
conveyance side of the
disconnect switch.

Valuation Valuation Valuation
100% Cost Recovery
✔
TABLE 3F – ELEVATOR ANNUAL CERTIFICATE OF INSPECTION FEES For each elevator $41.50 Remove Remove
For each escalator OT moving
walk $24.65 Remove Remove
For each commercial dumbwaiter $16.75 Remove Remove

20.57 City of Santa Cruz | Citywide Fee Schedule | Effective January 1, 2025 Page 43 of 58 PCD | Building & Safety

PLANNING AND COMMUNITY DEVELOPMENT FEE

EFFECTIVE
7/1/24

FEE UPDATES
FOR

PHASE TWO

FEE NOT

CHANGED,

CPI INCREASE TO

BE ADDED LATER

NOTES FOOT
NOTE
TECH SURCHARGE
6%

BUILDING AND SAFETY DIVISION
TABLE 3G – GRADING PLAN REVIEW FEES
PL-BLD105 50 cubic yards (38.2 m3) or less No Fee ✘ No Fee PL-BLD106 51 to 1,000 cubic yards $60.51 $162.16 Flat Fee 60% Cost Recovery
PL80%%
PL100%
✔
PL-BLD107 1,001 to 10,000 cubic yards $90.77 $201.40 Flat Fee 60% Cost Recovery
PL80%%
PL100%
✔
PL-BLD108 10,001 to 100,000 cubic yards $121.03 $240.64 Flat Fee 60% Cost Recovery
PL80%%
PL100%
✔
PL-BLD109 Plus $24.50 for each additional
$10,000 cubic yards or fraction
thereof
$24.50 $60.16 Per 10k cy
60% Cost Recovery
PL80%%
PL100%
✔
PL-BLD110 100,001 to 200,000 cubic yards $341.53 $341.53 Flat Fee 73% Cost Recovery
PL80%%
PL100%
✔
PL-BLD111 Plus $13.25 for each additional
10,000 cubic yards or fraction
thereof
$13.25 $27.99 Per 10k cy
60% Cost Recovery
PL80%%
PL100%
✔
PL-BLD112 200,001 cubic yards or more $460.00 $460.00 Flat Fee 86% Cost Recovery
PL100% ✔
PL-BLD113 Plus $7.25 for each additional
10,000 cubic yards or fraction
thereof
$7.25 $15.96 Per 10k cy
60% Cost Recovery
PL80%%
PL100%
✔
TABLE 3G – GRADING PLAN REVIEW FEES
Grading Permit Fees
PL-BLD114 50 cubic yards (38.2 m3) or less $23.50 $33.23 Flat Fee 60% Cost Recovery
PL80%%
PL100%
✔
PL-BLD115 50 to 100 cubic yards $58.86 $66.45 Flat Fee
60% Cost Recovery
PL80%%
PL100%
✔
PL-BLD116 101 to 1,000 cubic yards $53.50 $109.09 Flat Fee 60% Cost Recovery
PL80%%
PL100%
✔
PL-BLD117 Plus $17.25 for each additional
100 cubic yards or fraction
thereof
$17.25 $36.36 Per 100 cy
60% Cost Recovery
PL80%%
PL100%
✔
PL-BLD118 1,001 to 10,000 cubic yards $208.75 $208.75 Flat Fee 83% Cost Recovery
PL100% ✔
PL-BLD119 Plus $14.50 for each additional
1,000 cubic yards or fraction
thereof
$14.50 $15.17 Per 1,000 cy
60% Cost Recovery
PL80%%
PL100%
✔
PL-BLD120 10,001 to 100,000 cubic yards $339.25 $339.25 Flat Fee 93% Cost Recovery
PL100% ✔

20.58 City of Santa Cruz | Citywide Fee Schedule | Effective January 1, 2025 Page 44 of 58 PCD | Building & Safety
PL-BLD121 Plus $66.00 for each additional
10,000 cubic yards or fraction
thereof
$66.00 $66.00 Per 10,000 cy
87% Cost Recovery
PL100% ✔
PL-BLD122 100,001 cubic yards or more $460.78 $460.78 Flat Fee 86% Cost Recovery
PL100% ✔
PL-BLD123 Plus $36.50 for each additional
10,000 cubic yards or fraction
thereof
$36.50 $36.50 Per 10,000 cy
70% Cost Recovery
PL80%%
PL100%
✔

SPECIAL AND MISCELLANEOUS FEES
Demolition Permit $141.00 Remove Remove
PL-BLD124 Demolition Permit for Residential New Fee $171.36 New Fee 60% Cost Recovery
✔
PL-BLD125 Demolition Permit for
Commercial
New Fee $506.46 New Fee
60% Cost Recovery
✔

PLANNING AND COMMUNITY DEVELOPMENT FEE

EFFECTIVE
7/1/24

FEE UPDATES
FOR

PHASE TWO

FEE NOT

CHANGED,

CPI INCREASE TO

BE ADDED LATER

NOTES FOOT
NOTE
TECH SURCHARGE
6%

BUILDING AND SAFETY DIVISION

SPECIAL AND MISCELLANEOUS FEES
Energy T-24
 Residential Projects: New SFD'S, ADU'S, and additions are a one time fee and should be collected at intake; revisions after permit issuance or projects requiring multiple reviews or corrections may be assessed additional fees.  Commercial Projects -New Projects, Alterations, or Tenant Improvements - Projects are reviewed at a one time fee and should be collected at intake; revisions after permit issuance or projects requiring multiple reviews or corrections may be assessed additional fees.

PL-BLD126 Energy T-24 $142.00 $148.00 Min + Per Hour
100% Cost Recovery
✔

SPECIAL AND MISCELLANEOUS FEES
Digital Recording Fees
Fees to be assigned for permit issuance
PL-BLD127 1. Small Projects: less than 20
sheets
$10.00 $10.00 Base Fee
100% Cost Recovery
PL-BLD128 2. Medium Projects: more than 20
sheets $25.00 $25.00 Base Fee100% Cost Recovery
PL-BLD129 3. Large projects: more than 30
sheets
$50.00 $50.00 Base Fee
100% Cost Recovery
PL-BLD130 3. Large projects: per large sheet
(18x24) if maximum (from base) is
exceeded
$1.00 $1.00 Per Sheet
100% Cost Recovery
PL-BLD131 3. Large projects: per regular
sheet (8 ½ x 11), if sheet
maximum (from base) is
exceeded
$0.25 $0.25 Per Sheet
100% Cost Recovery
PL-BLD132 Signs: Illuminated signs where
more than one trade is involved,
base fees on the valuation plus
electrical fees. Example: an
illuminated pole sign which
involves a caisson footing,
welded steel pole and frame and
conduit/electrical runs for the
lighting
Valuation

✘
Valuation

20.59 City of Santa Cruz | Citywide Fee Schedule | Effective January 1, 2025 Page 45 of 58 PCD | Building & Safety
PL-BLD133 Non-illuminated signs by
valuation only (example wall
mount block letter signs)
Valuation

✘ Valuation

SPECIAL AND MISCELLANEOUS FEES
RDA Signs
PL-BLD134 RDA Signs Valuation ✘ Valuation ✔

PLANNING AND COMMUNITY DEVELOPMENT FEE

EFFECTIVE
7/1/24

FEE UPDATES
FOR

PHASE TWO

FEE NOT

CHANGED,

CPI INCREASE TO

BE ADDED LATER

NOTES FOOT
NOTE
TECH SURCHARGE
6%

BUILDING AND SAFETY DIVISION

SPECIAL AND MISCELLANEOUS FEES
Solar Permits
Fees for Photo Voltaic Arrays and
Hot Water. Heating Systems:
$125.00 for the first $25,000 in
valuation , include $3 .00 BIT and
$8.00 for micro fiche/document
handling. Issue P.V. Arrays as
Electrical Permits and Solar Hot
Water Systems as Plumbing
Permits.
$125.00 Remove Remove
Plus an additional $5.00 for each
$2,000 in valuation or fraction
thereof after the first $25,000
$5.00 Remove Remove
PL-BLD135 Residential System up to 15KW New Fee $351.00 New Fee 100% Cost Recovery
✔
PL-BLD136 Each kw above 15kw New Fee $23.17 New Fee
100% Cost Recovery
✔
PL-BLD137 Commercial systems up to 50kw New Fee $841.45 New Fee 100% Cost Recovery
✔
PL-BLD138 Each kw between 51-250 New Fee $11.42 New Fee 100% Cost Recovery
✔
PL-BLD139 Each kw above 251 New Fee $9.10 New Fee
100% Cost Recovery
✔

SPECIAL AND MISCELLANEOUS FEES
Special Inspection Fees

20.60 City of Santa Cruz | Citywide Fee Schedule | Effective January 1, 2025 Page 46 of 58 PCD | Building & Safety
PL-BLD140 1. Determination if Dwelling
Can Be Moved:
$142 + $3.00 BIT total $145.00
Note: Results of inspection may or
may not waive advertisement
requirements, may or may not allow
building to be moved, does not
authorize demolition.
$145.00 $361.38 Fee + BIT
100% Cost Recovery
PL-BLD141 2. Special Inspection to Final
Lapsed Permit: $142.00 + $3.00
BIT total $145.00
Note: This inspection is for permits
that are over 180 days between
inspections and applies only to
projects that have successfully passed
all (rough) inspections up to and
including sheetrock. The permit holder
is entitled to (2 inspections) 1
preliminary for final and 1 follow-up to
verify completion of work (final); If the
second inspection is not successfully
passed re-inspection fees will be again
charged as above.
$145.00 $432.43 Fee + BIT
100% Cost Recovery
PL-BLD142 3. Expired Permits:

For permits over 180 days but less
than 1 year between inspection (and
do not qualify per item 2 above) 1/2
of permit fees (bldg. elect. mech. &
plbg.) will be charged for permit
renewal, if the permit has gone over 1
year between inspections it will be
considered void and a new permit
must be applied for. Note the Building
Official may consider extensions and
waivers on a case by case basis.

Late Fee

✘
Late Fee

PLANNING AND COMMUNITY DEVELOPMENT FEE

EFFECTIVE
7/1/24

FEE UPDATES
FOR

PHASE TWO

FEE NOT

CHANGED,

CPI INCREASE TO

BE ADDED LATER

NOTES FOOT
NOTE
TECH SURCHARGE
6%

BUILDING AND SAFETY DIVISION

ADDITIONAL INSPECTION AND PLAN CHECK FEES
PL-BLD143 Inspection outside normal
business hours
$142.00 $222.34 Per hour, min 2 hour
100% Cost Recovery
✔
PL-BLD144 Reinspection fees assessed under
the provisions of Section 305.8
(UAC)
$142.00 $148.23 Per hour, min 1 hour
100% Cost Recovery
✔
PL-BLD145 Inspections for which no fee is
specifically indicated
$142.00 $148.23 Per hour, min 1 hour
100% Cost Recovery
✔
PL-BLD146 Additional Plan Review
Required by changes, additions
on revision to plans or to plans
for when initial review completed.
$142.00 $148.23 Per hour, min 1 hour
100% Cost Recovery
✔
PL-BLD147 Overtime Inspection – Building New Fee $222.34 New Fee - Per Hour 100% Cost Recovery

SWIMMING POOL AND SPAS

1. Private Swimming Pools / Spas
PL-BLD148 For new private, in-ground
swimming pool for single-family
and multifamily occupancies. This
New Fee $953.53 New Fee -
Valuation + Trade
Permits
✔

20.61 City of Santa Cruz | Citywide Fee Schedule | Effective January 1, 2025 Page 47 of 58 PCD | Building & Safety
fee is inclusive of the building
valuation from T-3A, a complete
system of necessary branch
circuit wiring, bonding,
grounding, underwater lighting,
water pumping and other similar
electrical equipment directly
related to the operation of a
swimming pool from T-3B and
plumbing fees from T-3D as
amended from the 1997 Uniform
Administrative Code.
100% Cost Recovery

SWIMMING POOL AND SPAS

2. Public Swimming Pools / Spas
PL-BLD149 For new public, in-ground
swimming pools for commercial
use occupancies. This fee is
inclusive of building valuation
from T-3A, a complete system of
necessary branch circuit wiring,
bonding, grounding, underwater
lighting, water pumping and
other similar electrical equipment
directly related to the operation
of a swimming pool from T-3B
and plumbing fees from T-3D as
amended in the 1997 Uniform
Administrative Code.

New Fee

$1,203.74 New Fee –
Valuation + Trade
Permits
100% Cost Recovery
✔
PL-BLD150 $23.50 for the first $500.00 plus
$3.05 for each additional $100.00,
or fraction thereof, to and
including $2,000.00
$3.05 $4.51 Valuation -
Incremental Fee
60% Cost Recovery
PL80%%
PL100%
✔
PL-BLD151 $69.25 for the first $2,000.00 plus
$14.00 for each additional
$1,000.00, Or fraction thereof, to
and including $25,000.00
$13.98 $13.98 Valuation -
Incremental Fee
95% Cost Recovery
PL100% ✔
PL-BLD152 $391.25 for the first $25,000.00
plus $10.10 for each additional
$1,000.00, or fraction thereof, to
and including $50,000.00
$10.10 $18.96 Valuation -
Incremental Fee
60% Cost Recovery
PL80%%
PL100%
✔

PLANNING AND COMMUNITY DEVELOPMENT FEE

EFFECTIVE
7/1/24

FEE UPDATES
FOR

PHASE TWO

FEE NOT

CHANGED,

CPI INCREASE TO

BE ADDED LATER

NOTES FOOT
NOTE
TECH SURCHARGE
6%

SWIMMING POOL AND SPAS

2. Public Swimming Pools / Spas
PL-BLD153 $643.75 for the first $50,000.00
plus $7.00 for each additional
$1,000.00, or fraction thereof, to
and including $100,000.00
$7.00 $8.12 Valuation –
Incremental Fee
60% Cost Recovery
PL80%%
PL100%
✔
PL-BLD154 $993.75 for the first $100,000.00
plus $5.60 for each additional
$1,000.00, or fraction thereof, to
and including $500,000.00
$5.60 $3.10 Valuation –
Incremental Fee
Reduced to
100% Cost Recovery
✔
PL-BLD155 $3,233.75 for the first $500,000.00
plus $4.75 for each additional
$1,000.00, or fraction thereof, to
and including $1,000,000.00
$4.75 $3.61 Valuation –
Incremental Fee
Reduced to
100% Cost Recovery
✔

20.62 City of Santa Cruz | Citywide Fee Schedule | Effective January 1, 2025 Page 48 of 58 Planning and Community Development Footnotes
[PLA] Adopted 4/27/21 by Council Resolution NS-29,812. Fees effective 6/28/21. See SCMC 18.48. [PLB] Adopted 6/13/23 by Council Resolution NS-30,161. Fees effective 8/12/23. Rate increased from 5% to 6%. Applied to all fees and charges, except for impact fees, inclusionary housing in-lieu fees, and General Plan Maintenance Fee. [PLC] Adopted 4/13/21 by Council Resolution NS-29,798.
[PLD] City Council modified the cost recovery formula for appeals to be exempt from any future cost recovery increases and only adjust to annual changes in the Consumer Price Index.
[PLE] For deposits, CPI and cost recovery do not apply. [PLF] Adopted 5/8/18 by Council Resolution NS-29,401.
[PLG] Adopted 3/23/21 by Council Resolution NS-29,793.
[PLH] Penalties for late registration/annual renewals start at 20% of the original fee (if one month delinquent) and are assessed an additional 10% each month the license is delinquent (up to 50% maximum). [PLI] Adopted 5/10/22 by Council Resolution NS-29,798.
[PLJ] Updated to reflect CPI adjustments for 1/1/23 and 1/1/24. [PL80% ] Phased in increases to 80% cost recovery, without CPI adjustments. [PL100%] Phased in increases to 100% cost recovery, without CPI adjustments.

PL-BLD156 $5,608.75 for the first
$1,000,000.00 plus $3.65 for each
additional $1,000.00, or fraction
thereof
$3.65 $3.61 Valuation –
Incremental Fee
Reduced to
100% Cost Recovery
✔

20.63 City of Santa Cruz | Citywide Fee Schedule | Effective January 1, 2025 Page 49 of 58 Police

POLICE FEE

EFFECTIVE
7/1/24

FEE UPDATES
FOR

PHASE TWO

FEE NOT

CHANGED,

CPI INCREASE TO

BE ADDED LATER

NOTES FOOT
NOTE
TECH SURCHARGE
6%
ALARM
POLICE1 Alarm Registration - Initial
Registration
$51.00 ✘
POLICE2 Alarm Registration - Annual
Renewal
$36.00 ✘
POLICE3 Total -False Alarm Response 1st in
calendar year (2 Officers)
$0.00 ✘[PDA]
POLICE4 Total -False Alarm Response 2nd in
calendar year (2 Officers)
$384.00 ✘
POLICE5 Total -False Alarm Response 3rd in
calendar year (2 Officers)
$427.00 ✘
POLICE6 Total -False Alarm Response 4th
and subsequent in calendar year
(2 Officers)
$481.00
✘
POLICE7 Unregistered Alarm $320.00 ✘

CITATION SIGN OFF
POLICE8 Citation Sign-Off: Resident $48.00 ✘
POLICE9 Citation Sign-Off: Non-Resident
Only
$48.00 ✘

MISCELLANEOUS FEES
POLICE10 Civil Subpoenas: PD Employee
(4 hour minimum)
$275.00 ✘CA GC Section 68097
(actual cost) [PDB
]
POLICE11 Haz Mat, DUI Arrest, or Other
Incident Response
Actual Cost ✘ CA GC Section 53150-
53159 (DUI $12K
Maximum)
POLICE12 2nd Response / Noise Disturbance Actual Cost ✘ POLICE13 Total-Court order
Weapons Surrender Release
$154.00 ✘

PERMITS
POLICE14 Total-ABC Use/One Day $183.00 ✘
POLICE15 Total-Bingo-New $193.00 ✘ CA Penal Code 326
POLICE16 Total-Bingo-Renewal $72.00 ✘
POLICE17 Total-Card Room-New $481.00 ✘
POLICE18 Total-Card Room-Renewal $334.00 ✘
POLICE19 Total-Concealed Weapon-New $1,059.00 ✘
POLICE20 Total-Concealed Weapon-Renewal $414.00 ✘
POLICE21 Total-Entertainment-New $956.00 ✘ [PDC]
POLICE22 Total-Entertainment-Renewal $619.00 ✘ [PDC]
POLICE23 Firearm Dealer- New $427.00 ✘
POLICE24 Firearm Dealer- Renewal $208.00 ✘
POLICE25 Total-Metaphysical Science-New $333.00 ✘
POLICE26 Total-Metaphysical ScienceRenewal$178.00 ✘
POLICE27 Total-Second-Hand Dealer-New $140.00 ✘
POLICE28 Total-Second-Hand Dealer-Annual
Renewal
$140.00 ✘
POLICE29 Total-Sound Amplification $183.00 ✘
POLICE30 Mobile Food Vendor Permit-New $71.00 ✘ [PDA]
POLICE31 Mobile Food Vendor PermitRenewal$54.00 ✘[PDA] POLICE32 Total -Taxi Driver-New $417.96 ✘
POLICE33 Total -Taxi Driver-Annual Renewal $292.57 ✘
POLICE34 Total -Massage Parlor Permit-New $150.00 ✘ [PDA ]

20.64 City of Santa Cruz | Citywide Fee Schedule | Effective January 1, 2025 Page 50 of 58 Police
[PDD]
POLICE35 Total -Massage Parlor PermitRenewal$150.00 [PDA] [PDD]

POLICE FEE

EFFECTIVE
7/1/24

FEE UPDATES
FOR

PHASE TWO

FEE NOT

CHANGED,

CPI INCREASE TO

BE ADDED LATER

NOTES FOOT
NOTE
TECH SURCHARGE
6%

PERMIT REPLACEMENT
POLICE36 COPIES - All Reports, per page $0.25 ✘
POLICE37 COPIES - Double Sided, per sheet $0.50 ✘
POLICE38 COPIES - Ledger-sized, per page $0.50 ✘
POLICE39 COPIES - Double Sided Ledgersized, per sheet$1.00 ✘ POLICE40 COPIES - Color Copies, per page $1.00 ✘
POLICE41 COPIES - Citation Copy, per page $0.25 ✘
POLICE42 COPIES - CAD Printout, per page $0.25 ✘
POLICE43 Disc (CD-RW), each $1.00 ✘
POLICE44 100 MB Diskette (ZIP), each $5.00 ✘
POLICE45 Electronic Data Record Request
(CD/DVD copy)
✘
POLICE46 Electronic Data Record Request
(copy of existing disk; cost of disk
and any mailing costs)
$2.00 ✘ CA Penal Code 326
POLICE47 Electronic Data Record Request
(non-existing disk - cost of
producing disk & any mailing
costs)
$27.00 ✘
POLICE48 Prints (+ Tax) Actual Cost ✘

VEHICLE RELEASE
POLICE49 Total -Impound $257.00 ✘
POLICE50 Total -Post Storage Hearing $242.00 ✘ [PDA]
POLICE51 Repossession $15.00 ✘ [PDE]
POLICE52 Private Property 0.00 ✘
POLICE53 Impound $51.00 ✘

COMMUNITY ROOM RENTAL
POLICE54 Community Room Rental -
Refundable Deposit (returned after
2 weeks)
$100.00 ✘ [PDE]
POLICE55 Community Room Rental -
Refundable Deposit - With Kitchen
Access
$250.00 ✘ [PDE]
POLICE56 Community Room Rental (NonProfit) - 2 hour rental$72.00 ✘ [PDE] POLICE57 Community Room Rental (NonProfit) - Per hour - each additional hour
$22.00 ✘ [PDE]
POLICE58 Community Room Rental (NonProfit) - 6 hour flat rate$141.00 ✘ [PDE] POLICE59 Community Room Rental (other) –
2 hour rental
$131.00 ✘ [PDE]
POLICE60 Community Room Rental (other) –
Per hour - each additional hour
$35.00 ✘ [PDE]
POLICE61 Community Room Rental (other) –
6 hour flat rate
$257.00 ✘ [PDE]

DEVELOPMENT IMPACT FEES
Adopted 4/27/21 by Resolution NS-29,813. Fee effective 6/28/21. Annual cost inflation increases are based on the 20-City Construction Cost Index POLICE62 Single-Family Residential $0.57 ✘

20.65 City of Santa Cruz | Citywide Fee Schedule | Effective January 1, 2025 Page 51 of 58 Police Footnotes
[PDA] Fee amendments approved by Council 8/8/17
[PDB] Per the PD, "This is a flat fee set by the State. We have not billed for actual costs in the past. The PD can look into how we can better capture the total amount of time officers accrue on these types of cases." [PDC] On 11/24/20, Council approved extension of 2020 fees through calendar year 2021. [PDD] Per the PD, "The second draft of the Massage Ordinance went to Council and passed with the clear communication that the city’s fee would match the state permitting fee and that we (the PD) would not charge more than the State. The State has not increased their fee, and the PD will not increase the fee as presented to Council during the passage of ordinance 5.78." [PDE] Fee is set by the State. Amendment approved by Council 8/8/17. PD recommends that the rate not be increased above the government code rate since that is the industry standard.
[PDF] Facility Rentals - Market Sensitive, not cost based (Prop 26). (cost per ft2)
POLICE63 Multi-Family Residential
(cost per ft2)
$0.99 ✘
POLICE64 Retail (cost per ft2) $0.56 ✘
POLICE65 Office (cost per ft2) $0.65 ✘
POLICE66 Industrial (cost per ft2) $0.26 ✘
POLICE67 Hotel (cost per ft2) $0.20 ✘

20.66 City of Santa Cruz | Citywide Fee Schedule | Effective January 1, 2025 Page 52 of 58 Public Works | Engineering Division

PUBLIC WORKS FEE

EFFECTIVE
7/1/24

FEE UPDATES
FOR

PHASE TWO

FEE NOT

CHANGED,

CPI INCREASE TO BE ADDED
LATER

NOTES FOOT
NOTE
TECH SURCHARGE
6%
Department Page: https://www.cityofsantacruz.com/government/city-departments/public-works/engineering

HOURLY RATES
PW-ENG1 Engineering Hourly Rate
(With Overhead)
$169.00 $208.00 Hourly
100% Cost Recovery

STREET OPENING PERMIT
PW-ENG2 Permit and Inspection $486.00 $507.00 Hourly
100% Cost Recovery
✔
PW-ENG3 Sewer Repair Permit –
New Development Only
New Fee $570.00 New Fee
100% Cost Recovery
✔

CONCRETE CONSTRUCTION PERMIT
PW-ENG4 Permit and Inspection $415.00 $507.00 Flat Fee
100% Cost Recovery
✔
PW-ENG5 Urban Forester Inspection
for Sidewalk Damage
$169.00 $177.00 Flat Fee
100% Cost Recovery
✔

MAPS, PRINTS, AND COPIES
PW-ENG6 COPIES-Large Format- b&w
(includes 8.5 x 14, 11 x 17)
$10.00
✘
Flat Fee
Excluded From Study
PW-ENG7 COPIES-Large Format- color
(includes 8.5 x 14, 11 x 17)
$10.00
✘
Flat Fee
Excluded From Study
PW-ENG8 COPIES - City Base Map -
b&w
$10.00
✘
Flat Fee
Excluded From Study
PW-ENG9 COPIES - City Base Map -
color
$10.00
✘
Flat Fee
Excluded From Study
PW-ENG10 COPIES - (8.5x11), per page
- b&w
$0.25
✘
Flat Fee
Excluded From Study
PW-ENG11 COPIES - (8.5x11), per page
- color
$0.25 ✘ Flat Fee
Excluded From Study
PW-ENG12 Request for Electronic Copy
(CD/DVD)
(Existing File)
$9.15 ✘ Flat Fee
Excluded From Study
PW-ENG13 Request for Electronic Copy
(CD/DVD)
(Non-Existing File)
$37.92 ✘ Flat Fee
Excluded From Study

20.67 City of Santa Cruz | Citywide Fee Schedule | Effective January 1, 2025 Page 53 of 58 Public Works | Engineering Division

PUBLIC WORKS FEE

EFFECTIVE
7/1/24

FEE UPDATES
FOR

PHASE TWO

FEE NOT

CHANGED,

CPI INCREASE TO BE

ADDED LATER

NOTES FOOT
NOTE
TECH SURCHARGE
6%

SUBDIVISION FEES
PW-ENG14 Parcel Map Re-review
(beyond paid reviews)
$967.00 $1,680.00 Parcel Map Re-review
(beyond paid reviews)
100% Cost Recovery
✔
PW-ENG15 Subdivision Map Re-review
(beyond paid reviews)
$1,213.00 $2,119.00 Subdivision Map
Re-review
(beyond paid reviews)
100% Cost Recovery
✔
PW-ENG16 Lot Line Adjustment
(includes 2 Reviews)
$1,296.00 $1,905.00 Lot Line Adjustment
(includes 2 Reviews)
100% Cost Recovery
✔
PW-ENG17 Final Parcel Map Processing
Fee (1-4 lots) includes
tentative map process with 4
reviews
$1,976.00 $2,782.00 Final Parcel Map
Processing Fee
(1-4 lots) includes
tentative map process
with 4 reviews
100% Cost Recovery
✔
PW-ENG18 Final Subdivision Map
Processing Fee (includes
tentative map process with 4
reviews)
$3,296.00 $3,658.00 Final Subdivision Map
Processing Fee
(includes tentative map
process with 4 reviews)
100% Cost Recovery
✔

DEVELOPMENT PLAN REVIEW AND INSPECTION
Development Plan Reviews
PW-ENG19 Major Commercial
(1,000 ft2 or greater)
or Multi-Family residential
(per sheet; includes 2 checks
+ 1 recheck)
$1,449.00 $3,293.00 Flat Fee
100% Cost Recovery
Minor Commercial (per
sheet; includes 2 checks + 1
re-check)
$617.00 Remove Remove
PW-ENG20 Single-Family Residential,
ADU, Home Addition, or
minor commercial (less than
1,000 ft2 ) (per sheet;
includes 2 checks + 1 recheck) - Building Review
$617.00 $829.00 Flat Fee
100% Cost Recovery
PW-ENG21 Major Commercial Planning
Review Fee
(1,000 ft2 or greater)
New Fee $4,778.00 New Fee
100% Cost Recovery
PW-ENG22 Single Family Residential
Planning Review Fee
New Fee $829.00 New Fee
100% Cost Recovery
PW-ENG23 Each Hour of Additional Plan
Check
$169.00 $239.00 Hourly
100% Cost Recovery
Development Special
Exception Review Fee
$312.00 Remove Remove

20.68 City of Santa Cruz | Citywide Fee Schedule | Effective January 1, 2025 Page 54 of 58 Public Works | Engineering Division
R-O-W Improvement Basic
Plan Check (includes
erosion, sediment control
and grading plan check as
applicable up to two hours).
$336.00 Remove Remove
R-O-W Improvement Basic
Plan Check (includes
erosion, sediment control
and grading plan check).

Each hour beyond two hours
$169.00 Remove Remove

PUBLIC WORKS FEE

EFFECTIVE
7/1/24

FEE UPDATES
FOR

PHASE TWO

FEE NOT

CHANGED,

CPI INCREASE TO BE

ADDED LATER

NOTES FOOT
NOTE
TECH SURCHARGE
6%

DEVELOPMENT PLAN REVIEW & INSPECTION
On-site or Off-site Public Improvements Inspection
(Public Works Engineer’s estimate costs of improvements) PW-ENG24 Sanitary Sewer Manhole $747.00 $785.00 Flat Fee 100% Cost Recovery
PW-ENG25 Storm Water Manhole $665.00 $785.00 Flat Fee
100% Cost Recovery
PW-ENG26 Sanitary Sewer Clean Out $336.00 $338.00 Flat Fee 100% Cost Recovery
PW-ENG27 Sanitary Sewer Lateral $336.00 $338.00 Flat Fee 100% Cost Recovery
PW-ENG28 Sanitary Sewer Connection $415.00 $464.00 Flat Fee 100% Cost Recovery
PW-ENG29 Sanitary Sewer Abandon $169.00 $338.00 Flat Fee 100% Cost Recovery
PW-ENG30 Sanitary Sewer Video
Inspection
$336.00 $464.00 Flat Fee
100% Cost Recovery
PW-ENG31 Sanitary Sewer Terminal C/O
$498.00
$485.00 Flat Fee
Reduced to
100% Cost Recovery
PW-ENG22 Storm Catch Basin $581.00 $660.00 Flat Fee
100% Cost Recovery
PW-ENG33 Oil and Sediment Trap $498.00 $677.00 Flat Fee 100% Cost Recovery
PW-ENG34 Thru Curb Drain $169.00 $338.00 Flat Fee
100% Cost Recovery
PW-ENG35 Street Light $665.00 $785.00 Flat Fee
100% Cost Recovery
PW-ENG36 Street Sign $85.00 $125.00 Flat Fee
100% Cost Recovery
PW-ENG37 Parking Meter $85.00 $125.00 Flat Fee
100% Cost Recovery
PW-ENG38 Street Tree $336.00 $464.00 Flat Fee
100% Cost Recovery
PW-ENG39 Street Tree with Grate $415.00 $589.00 Flat Fee 100% Cost Recovery
PW-ENG40 Joint Trench Utilities $498.00 $589.00 Flat Fee 100% Cost Recovery
PW-ENG41 Trash Enclosure $665.00 $1,229.00 Flat Fee
100% Cost Recovery
PW-ENG42 Grease Trap $336.00 $338.00 Flat Fee
100% Cost Recovery

20.69 City of Santa Cruz | Citywide Fee Schedule | Effective January 1, 2025 Page 55 of 58 Public Works | Engineering Division
PW-ENG43 Traffic Bulb-Out $581.00 $660.00 Flat Fee
100% Cost Recovery
PW-ENG44 Traffic Signal $665.00 $856.00 Flat Fee
100% Cost Recovery
PW-ENG45 Driveway Approach $498.00 $464.00 Flat Fee
Reduced to
100% Cost Recovery
PW-ENG46 ADA Ramp $498.00 $464.00 Flat Fee
Reduced to
100% Cost Recovery
PW-ENG47 Pipe Installation Per 25 LF $336.00 Inspection Time Varies

Flat Fee
Updated to
Inspection Time Varies
PW-ENG48 Sidewalk Per 100 ft2 $169.00 Inspection Time
Varies

Flat Fee
Updated to
Inspection Time Varies

PUBLIC WORKS FEE

EFFECTIVE
7/1/24

FEE UPDATES
FOR

PHASE TWO

FEE NOT

CHANGED,

CPI INCREASE TO BE

ADDED LATER

NOTES FOOT
NOTE
TECH SURCHARGE
6%

DEVELOPMENT PLAN REVIEW & INSPECTION
On-site or Off-site Public Improvements Inspection
(Public Works Engineer’s estimate costs of improvements) PW-ENG49 Curb & Gutter Per 25 LF $169.00 Inspection Time Varies
Updated to
Inspection Time Varies
PW-ENG50 PCC Patch Paving $169.00 $125.00 Flat Fee
Reduced to
100% Cost Recovery
PW-ENG51 AC Patch Paving Per Ton $169.00 Inspection Time Varies
Updated to
Inspection Time Varies
PW-ENG52 General Inspection Misc. $169.00 $232.00 Updated to Inspection Time Varies
PW-ENG53 Re-Inspection
(If inspection is called for
and contractor is not ready)
$169.00 $232.00 Flat Fee
100% Cost Recovery
PW-ENG54 Re-Inspection $336.00 $401.00 Flat Fee
100% Cost Recovery

STORMWATER PLAN REVIEW
PW-ENG55 Residential $415.00 $603.00 Flat Fee
100% Cost Recovery
PW-ENG56 Commercial and Multifamily
Residential, Small (Tier 1)
$889.00 $806.00 Flat Fee
Reduced to
100% Cost Recovery
PW-ENG57 Commercial and Multifamily
Residential, Large (Tiers 2-4)
$1,711.00 $2,409.00 Flat Fee
100% Cost Recovery
PW-ENG58 Residential New Fee $603.00 New Fee
100% Cost Recovery
PW-ENG59 Commercial and Multifamily
Residential, Small (Tier 1)
New Fee

$2,812.00 New Fee
100% Cost Recovery
PW-ENG60 Commercial and Multifamily
Residential, Large (Tiers 2-4)
New Fee

$3,615.00 New Fee
100% Cost Recovery
PW-ENG61 Re-Review – Residential New Fee

$201.00 New Fee
100% Cost Recovery
PW-ENG62 Stormwater Building Plan
Re-Review - Commercial
New Fee $403.00 New Fee
100% Cost Recovery

20.70 City of Santa Cruz | Citywide Fee Schedule | Effective January 1, 2025 Page 56 of 58 and Multifamily Residential,
Small (Tier 1)
PW-ENG63 Stormwater Building Plan
Re-Review - Commercial
and Multifamily Residential,
Large (Tiers 2-4)
New Fee

$604.00 New Fee
100% Cost Recovery
PW-ENG64 Stormwater Planning ReReview - Residential New Fee

$201.00 New Fee
100% Cost Recovery
PW-ENG65 Stormwater Planning ReReview - Commercial and Multifamily Residential,
Small (Tier 1)
New Fee

$806.00 New Fee
100% Cost Recovery
PW-ENG66 Stormwater Planning ReReview - Commercial and Multifamily Residential,
Large (Tiers 2-4)
New Fee

$1,007.00 New Fee
100% Cost Recovery
PW-ENG67 Commercial and Multifamily
Residential Erosion Control
& LID Inspection Fee (tier 1)
$252.00 $403.00 Flat Fee
100% Cost Recovery
PW-ENG68 Commercial and Multifamily
Residential Erosion Control
& LID Inspection Fee (tiers 2
through 4)
$1,657.00 $1,612.00 Flat Fee
Reduced to
100% Cost Recovery

20.71 City of Santa Cruz | Citywide Fee Schedule | Effective January 1, 2025 Page 57 of 58 Public Works | Engineering Division

PUBLIC WORKS FEE

EFFECTIVE
7/1/24

FEE UPDATES
FOR

PHASE TWO

FEE NOT

CHANGED,

CPI INCREASE TO BE

ADDED LATER

NOTES FOOT
NOTE
TECH SURCHARGE
6%

STORMWATER PLAN REVIEW
PW-ENG69 Sewer Studies $498.00 $498.00 ✘ Flat Fee, Remained Same 100% Cost Recovery
PW-ENG70 Stormwater Additional
Review time (Hourly rate
with overhead)
$169.00 $302.00 Hourly
100% Cost Recovery
PW-ENG71
Stormwater Consultant
Commercial Plan Review
(Hourly rate)
$215.00 Hourly

Hourly
Updated to Consultant
Commercial Plan Review
Time Varies

ENCROACHMENT PERMITS
PW-ENG72 Regular $1,076.00 $1,464.00 Flat Fee ✔
Temporary $325.00 Remove Remove
PW-ENG73 Temporary w/ Traffic Control
Review
$451.00 $486.00 Flat Fee ✔
Fee For Beginning Work
Prior To Obtainment Of
Permit
2x permit
fee, penalty

Remove

Remove
PW-ENG74 Request For Parking Zone
Designation (Incl No
Parking, Loading, Disabled,
Etc)
$325.00 $1,436.00 Flat Fee
PW-ENG75 Request For Parking Zone
Designation Requiring City
Council Approval
$665.00 $3,142.00 Flat Fee
PW-ENG76 Temporary “No Parking”
Sign - Base Fee
$75.00 $319.00 Flat Fee ✔
PW-ENG77 Temporary “No Parking”
Sign - Each Sign
$9.00 ✘ Per Sign
PW-ENG78 Oversize Load Permits - Per
Trip
$16.00 $125.00
Per Trip
Encroachment Permit -
Oversize Load Permits –
Annual
$90.00 Remove Remove

SMALL CELL WIRELESS FACILITIES
Adopted 6/25/19 by Council Resolution NS-29,555. Annual license fee per pole is subject to CPI increases.

PW-ENG79 Small Cell Wireless
Facilities - Annual License
Fee Per Pole
✘ Excluded from study
Per Pole
PW-ENG80 Small Cell Wireless
Facilities - Master License
Administration
✘ Excluded from study
Flat Fee
PW-ENG81 Small Cell Wireless Facilities
- Permit Application Fee
✘ Excluded from study
Minimum of $5,000 for 35
hours of staff time

20.72 City of Santa Cruz | Citywide Fee Schedule | Effective January 1, 2025 Page 58 of 58 Water Department

WATER DEPARTMENT
Department Page: https://www.cityofsantacruz.com/government/city-departments/water/rates WATER1 Water Service Rates https://www.cityofsantacruz.com/home/showpublisheddocument/86358/637684192352030000 WATER2 Garbage Service Rates https://www.cityofsantacruz.com/home/showpublisheddocument/95811/638301146414170000 WATER3 Sewer Rate Table https://www.cityofsantacruz.com/home/showpublisheddocument/82256/637412355936000000

20.73 CITY OF SANTA CRUZ, CA
User Fee Study Report
April 2019
Fully Burdened Hourly Rates
January 2024

20.74 1 Fully Burdened Hourly Rates
Executive Summary
The City of Santa Cruz has engaged Willdan Financial Services (Willdan) to update its calculations for Fully Burdened Hourly Rates (FBHR) of positions with the City, based on new personnel and salary data. The FBHR calculations determined in this study may be used to determine charges associated with the City’s user fee schedule.

This task included the following steps:
 Adjustment of existing allocation bases based on updated data, and  Incorporation of the latest budget and staffing schedule inputs.

Willdan has updated the fully burdened hourly rates model to incorporate any recent changes in the provision of City services and to fully allocate central service costs. It allows for adjustments to direct and overhead costs and also has the ability to be modified to adapt to changes in personnel, staffing or structure. The model can be easily updated for future changes in personnel rates or inflation of costs.

The end result of the model update is that it will generate overhead cost rates and fully burdened hourly personnel rates. These rates will be suitable for a variety of uses, including incorporation into user fees and billing to CIP projects. These results are included as Appendix A (Total Allowable Costs to be Recovered) and Appendix B (Fully Burdened Hourly Rates) to this report.

The following report details the methodology and calculations used to arrive at these conclusions.

20.75 2 Fully Burdened Hourly Rates
Fully Burdened Hourly Rates
Fully Burdened Hourly Rates (FBHRs) are rates that cities use to estimate the full cost of an employee’s time. If employers were to use a simple hourly pay rate to charge for services associated with an employee, the reimbursement would not cover any of the other expenses associated with that work. These FBHR calculations include not only personnel salary and benefits, but also any costs that are reasonably attributable to the worker. The cost elements that are included in the calculation of fully burdened rates are as follows:
 Salary and benefits of the worker;
 Operating costs applicable to the person’s duties;
 Indirect City-wide overhead costs calculated through the Central Service Allocation Plan.

These combined amounts reflect the actual cost associated with an hour of each worker’s time. The factors determined in the course of this study are shown in Appendix A.

An important factor in determining the fully burdened rate is in the calculation of productive hours for personnel. This calculation takes the available workable hours in a year of 2,080 and adjusts this figure to account for calculated or anticipated hours’ employees are involved in non-billable activities such as paid vacation, sick leave, emergency leave, holidays, and other considerations as necessary to arrive at an estimated number of productive hours per year. The estimate used for this study is 1,650 productive hours.

Dividing the full cost by the number of productive hours provides the FBHR. The FBHRs calculated in this study are shown in Appendix B.

The FBHRs are then used in conjunction with time estimates, when appropriate, to calculate a fee’s cost based on the personnel and the amount of their time that is involved in providing each service.

20.76 3 Fully Burdened Hourly Rates
Appendix A – Total Allowable Cost to be Recovered
The table below shows the personnel-related expenditures and overhead factors attributable to each department and fund.

It should be noted that the amounts listed below will not reconcile to City budgets, as costs that should not be included in overhead for personnel were excluded. Examples of such costs are capital, debt, monetary transfers, passthrough contract costs, and any other costs that may be charged directly to the service requestor.

Department
Salary and
Benefits
Department
Operations &
Administration
Direct
Overhead %
Indirect
Allocation %
101: City Clerk 492,455 238,753 48.5% 0.0%
101: City Manager 1,761,196 1,252,206 71.1% 0.0%
101: Climate Action Plan 174,534 69,141 39.6% 0.0%
101: Communications Team 869,382 - 0.0% 0.0%
101: Economic Development 1,947,710 1,684,386 86.5% 26.5% 101: Facilities Services 613,125 611,907 99.8% 0.0%
101: Finance 3,492,343 899,158 25.7% 0.0%
101: Fire 21,149,109 3,469,400 16.4% 8.6%
101: Homelessness Response 803,927 563,868 70.1% 17.9%
101: Human Resources 1,228,609 591,505 48.1% 0.0%
101: Information Technology 3,607,151 2,474,454 68.6% 0.0% 101: Parks and Recreation 9,551,592 7,920,168 82.9% 14.3% 101: Planning and Community Development 5,062,368 2,996,140 59.2% 21.7% 101: Police 23,985,872 9,330,702 38.9% 11.0%
101: Public Works 5,340,649 4,537,500 85.0% 20.0%
103: Code Enforcement/Civil Penalties 70,741 16,712 23.6% 5.6% 104: Municipal Wharf 3,187,292 1,432,607 44.9% 9.0%
108: Green Bldg Educational Resource Fund 827,373 83,306 10.1% 5.8% 711: Water 17,930,284 16,009,449 89.3% 10.8%
721: Wastewater 10,178,763 9,215,529 90.5% 7.1%
731: Refuse 12,141,529 11,497,219 94.7% 7.8%
741: Parking 3,667,337 2,526,732 68.9% 7.9%
751: Storm Water 88,483 77,841 88.0% 9.3%
752: Storm Water Overlay 129,828 18,552 14.3% 5.1%
951: Library Joint Powers Authority 13,444,105 5,937,794 44.2% 6.1%

20.77 4 Fully Burdened Hourly Rates
Appendix B – Fully Burdened Hourly Rates
Below are fully burdened hourly rates for each staff position. These rates include the salary and benefit costs for each position, as well as all applicable overhead amounts. For positions in central service departments, such as the City Clerk and Finance, only the department overhead and salary and benefit rate is used, since the indirect overhead of central service departments only applies to operating departments.

When a central service department position works on a fee or project in the purview of an operating department, the overhead rates of the operating department (shown in Appendix A) will be applied to that central service positions’ salary and benefit rate for full cost recovery.

20.78 5 Fully Burdened Hourly Rates
City of Santa Cruz - Fully Burdended Hourly Rates
Fully Burdened Hourly Rate Calculation
Department Position
Fully Burdened
Hourly Rate
Position Rates
101: Planning and Community Development CD - ADMINISTRATIVE ASSISTANT II $104.33 101: Planning and Community Development CD - ADMINISTRATIVE ASSISTANT III $122.39 101: Planning and Community Development CD - ASSOCIATE PLANNER I $158.54 101: Planning and Community Development CD - ASSOCIATE PLANNER II $195.91 101: Planning and Community Development CD - ASST DIR PLAN AND COMM DEVELOP $332.28 101: Planning and Community Development CD - BUILDING INSPECTOR $190.79 101: Planning and Community Development CD - CHIEF BUILDING OFFICIAL $285.89 101: Planning and Community Development CD - CODE COMPLIANCE MANAGER $266.77 101: Planning and Community Development CD - CODE COMPLIANCE SPECIALIST $199.35 101: Planning and Community Development CD - CODE COMPLIANCE SUPERVISOR $172.91 101: Planning and Community Development CD - DEPUTY BUILDING OFFICAL $225.33 101: Planning and Community Development CD - DIR OF PLANNG/COMM DEVELOPMENT $394.27 101: Planning and Community Development CD - GREEN BLDG ENVIRO SPECIALIST $148.58 101: Planning and Community Development CD - MANAGEMENT ANALYST $209.57 101: Planning and Community Development CD - PLANNING & COMM DEVEL TECH $165.69 101: Planning and Community Development CD - PLANNING & COMMUNITY DEVELOPMENT TECHNICIAN $132.77 101: Planning and Community Development CD - PRINCIPAL MGMT ANALYST $208.47 101: Planning and Community Development CD - PRINCIPAL PLANNER $275.77 101: Planning and Community Development CD - RECORDS COORDINATOR $160.43 101: Planning and Community Development CD - SENIOR BUILDING INSPECTOR $218.42 101: Planning and Community Development CD - SENIOR PLANNER $266.29 101: Planning and Community Development CD - SENIOR PLANS EXAMINER $202.80 101: Planning and Community Development CD - SUPERVISING BUILDING INSPECTOR $186.67 101: Planning and Community Development CD - SUPERVISING PLANS EXAMINER $188.96 101: Planning and Community Development CD - URBAN FORESTER $212.94 101: City Clerk Clerk - ADMINISTRATIVE ASSISTANT II $91.66 101: City Clerk Clerk - CITY CLERK ADMINISTRATOR $180.05 101: City Clerk Clerk - DEPUTY CITY CLERK ADMINISTRATOR $147.44 101: City Clerk Clerk - RECORDS COORDINATOR $93.01
101: Climate Action Plan Climate - SUSTAINABILITY AND CLIMATE ACTION MGR $174.71 101: City Manager CM - ADMINISTRATIVE ASSISTANT III $110.46 101: City Manager CM - ASSISTANT CITY MANAGER $366.04
101: City Manager CM - CITY MANAGER $404.70
101: City Manager CM - DEPUTY CITY MANAGER I $357.91
101: City Manager CM - EXECUTIVE ASSISTANT TO THE CM $144.14 101: City Manager CM - MANAGEMENT ANALYST $183.80
101: City Manager CM - PRINCIPAL MGMT ANALYST $178.69
101: Communications Team Communications - COMMUNICATIONS MANAGER $120.18 101: Communications Team Communications - COMMUNITY RELATIONS SPECIALIST $118.13 101: City Council Council - COUNCILMEMBER $45.46
101: City Council Council - MAYOR $62.31
101: Economic Development ED - ADMINISTRATIVE ASSISTANT II $157.28 101: Economic Development ED - ADMINISTRATIVE ASSISTANT III $150.45 101: Economic Development ED - BUSINESS LIAISON $267.00 101: Economic Development ED - DEVELOPMENT MANAGER $286.71 101: Economic Development ED - ECONOMIC DEVEL CORD I $289.77 101: Economic Development ED - ECONOMIC DEVELOPMENT MANAGER $309.66 101: Economic Development ED - HOUSING & COMMUNITY DEVELOPMENT MGR $317.01 101: Economic Development ED - HOUSING PROGRAMS SPECIALIST $190.44 101: Economic Development ED - MANAGEMENT ANALYST $240.39 101: Economic Development ED - PRINCIPAL MGMT ANALYST $251.20

20.79 6 Fully Burdened Hourly Rates
City of Santa Cruz - Fully Burdended Hourly Rates
Fully Burdened Hourly Rate Calculation
Department Position
Fully Burdened
Hourly Rate
Position Rates
101: Economic Development ED - REDEVELOPMENT DIRECTOR $472.80 101: Facilities Services Facilities - BUILDING MAINTENANCE WORKER II $146.27 101: Facilities Services Facilities - DIRECTOR OF PUBLIC WORKS $414.93 101: Facilities Services Facilities - FACILITIES MAINT SUPERVISOR $216.81 101: Facilities Services Facilities - PUBLIC WORKS OPERATIONS MGR $262.81 101: Facilities Services Facilities - SERVICE FIELD CREW LEADER $189.53 101: Finance Finance - ACCOUNTANT I $110.89
101: Finance Finance - ACCOUNTANT II $118.34
101: Finance Finance - ACCOUNTING ASSISTANT II $66.53
101: Finance Finance - ACCOUNTING SERVICES SUPERVISOR $97.50 101: Finance Finance - ACCOUNTING TECHNICIAN $90.72
101: Finance Finance - ADMINISTRATIVE ASSISTANT III $80.90 101: Finance Finance - ASST DIR OF FINANCE $197.53
101: Finance Finance - BUYER I $65.83
101: Finance Finance - BUYER II $95.67
101: Finance Finance - DIRECTOR OF FINANCE $220.88
101: Finance Finance - FINANCE MANAGER $167.13
101: Finance Finance - MANAGEMENT ANALYST $105.99
101: Finance Finance - PAYROLL TECHNICIAN $91.67
101: Finance Finance - PRINCIPAL MGMT ANALYST $158.55
101: Finance Finance - PURCHASING MANAGER $174.61
101: Finance Finance - REVENUE COLLECTIONS SPECIALIST $101.91 101: Finance Finance - SENIOR ACCOUNTANT $148.20
101: Fire Fire - ADMINISTRATIVE ASSISTANT II $93.53
101: Fire Fire - ADMINISTRATIVE ASSISTANT III $91.58
101: Fire Fire - CHIEF OF FIRE DEPARTMENT $414.15
101: Fire Fire - DEPUTY FIRE MARSHAL $210.78
101: Fire Fire - FIRE BATTALION CHIEF $401.09
101: Fire Fire - FIRE BATTALION CHIEF -40/HR $355.09
101: Fire Fire - FIRE CAPTAIN $286.83
101: Fire Fire - FIRE DIVISION CHIEF $313.58
101: Fire Fire - FIRE ENGINEER $240.54
101: Fire Fire - FIRE PREVENTION INSPECTOR II $177.33
101: Fire Fire - FIRE PREVENTION TECHNICIAN $108.78
101: Fire Fire - FIREFIGHTER $143.76
101: Fire Fire - PRINCIPAL MGMT ANALYST $127.98
101: Homelessness Response Homelessness - HOMELESSNESS RESPONSE MANAGER $317.70 101: Homelessness Response Homelessness - HOMELESSNESS RESPONSE SHELTER & OUTREACH SPECIALIST II $168.76 101: Homelessness Response Homelessness - HOMELESSNESS SERVICES COORDINATOR $200.25 101: Homelessness Response Homelessness - PRINCIPAL MGMT ANALYST $210.60 101: Human Resources HR - ADMINISTRATIVE ASSISTANT III $111.36 101: Human Resources HR - CHIEF PEOPLE OFFICER $296.18
101: Human Resources HR - HUMAN RESOURCES ANALYST I $120.20 101: Human Resources HR - HUMAN RESOURCES ANALYST II $153.81 101: Human Resources HR - HUMAN RESOURCES TECHNICIAN $94.65 101: Human Resources HR - OPERATIONAL DEVELOPMENT AND TRAINING COORDINATOR $124.87 101: Human Resources HR - PRINCIPAL HR ANALYST $170.58
101: Information Technology IT - ADMINISTRATIVE ASSISTANT III $108.79 101: Information Technology IT - ASSISTANT DIRECTOR OF IT $247.62 101: Information Technology IT - DIRECTOR OF IT $324.49 101: Information Technology IT - INFORMATION TECH SPECIALIST II $116.05

20.80 7 Fully Burdened Hourly Rates
City of Santa Cruz - Fully Burdended Hourly Rates
Fully Burdened Hourly Rate Calculation
Department Position
Fully Burdened
Hourly Rate
Position Rates
101: Information Technology IT - IT BUSINESS SYSTEM ANALYST III $202.04 101: Information Technology IT - IT BUSINESS SYSTEMS ANALYST II $190.03 101: Information Technology IT - IT MANAGER $259.51
101: Information Technology IT - IT SPECIALIST III $161.62 101: Information Technology IT - NETWORK & SYSTEMS ADMINISTRATOR $217.06 101: Information Technology IT - PROGRAMMER ANALYST I/II $190.03 101: Information Technology IT - PROGRAMMER ANALYST II $187.24 101: Information Technology IT - PROJECT MGR/TRAIN COORDINATOR $232.65 101: Information Technology IT - SYSTEMS COORDINATOR $239.84 101: Parks and Recreation Parks - ADMINISTRATIVE ASSISTANT II $128.96 101: Parks and Recreation Parks - ADMINISTRATIVE ASSISTANT III $171.49 101: Parks and Recreation Parks - ADMINISTRATIVE SERVICES SUPERVISOR $192.53 101: Parks and Recreation Parks - ASSOCIATE PLANNER II $256.00 101: Parks and Recreation Parks - BOX OFFICE REPRESENTATIVE $91.56 101: Parks and Recreation Parks - BUILDING MAINTENANCE WORKER I $132.90 101: Parks and Recreation Parks - CUSTODIAN $145.81
101: Parks and Recreation Parks - DIRECTOR OF PARKS & RECREATION $411.99 101: Parks and Recreation Parks - FACILITY ATTENDANT $122.35 101: Parks and Recreation Parks - FIELD SUPERVISOR $221.88 101: Parks and Recreation Parks - GOLF COURSE SUPERINTENDENT $250.23 101: Parks and Recreation Parks - LIGHT EQUIPMENT MECHANIC $157.14 101: Parks and Recreation Parks - LNCC ADMINISTRATIVE ASSISTANT II $148.96 101: Parks and Recreation Parks - PARKS FIELD CREW LEADER $169.02 101: Parks and Recreation Parks - PARKS MAINTENANCE WORKER $131.09 101: Parks and Recreation Parks - PRINCIPAL MGMT ANALYST $285.32 101: Parks and Recreation Parks - RECREATION COORDINATOR $162.09 101: Parks and Recreation Parks - RECREATION SUPERINTENDENT $276.10 101: Parks and Recreation Parks - RECREATION SUPERVISOR $165.10 101: Parks and Recreation Parks - SERVICE FIELD CREW LEADER $171.99 101: Parks and Recreation Parks - SPECIAL EVENTS COORDINATOR $179.39 101: Parks and Recreation Parks - SR PARKS MAINTENANCE WKR $164.45 101: Parks and Recreation Parks - SUPERINTENDENT OF PARKS $297.36 101: Parks and Recreation Parks - URBAN FORESTER $229.80 101: Police Police - ADMINISTRATIVE ASSISTANT II $84.06 101: Police Police - ADMINISTRATIVE ASSISTANT III $102.20 101: Police Police - CHIEF OF POLICE $583.87
101: Police Police - COMMUNITY SERVICE OFFICER I $100.48 101: Police Police - DEPUTY POLICE CHIEF $499.08
101: Police Police - POLICE LIEUTENANT $357.76
101: Police Police - POLICE OFFICER $162.16
101: Police Police - POLICE OFFICER TRAINEE $109.43
101: Police Police - POLICE PROPERTY & EVIDENCE SPECIALIST $88.28 101: Police Police - POLICE RECORDS MANAGER $197.63
101: Police Police - POLICE RECORDS TECHNICIAN $96.19
101: Police Police - POLICE SERGEANT $299.08
101: Police Police - PRINCIPAL MGMT ANALYST $159.85
101: Police Police - SENIOR POLICE RECORDS TECHNICIAN $121.65 101: Police Police - SR POLICE PROPERTY & EVIDENCE SPECIALIST $130.37 101: Police Police - VICTIM ADVOCATE $118.51
101: Public Works PW - ADMINISTRATIVE ASSISTANT II $125.63 101: Public Works PW - ADMINISTRATIVE SERVICES SUPERVISOR $178.33

20.81 8 Fully Burdened Hourly Rates
City of Santa Cruz - Fully Burdended Hourly Rates
Fully Burdened Hourly Rate Calculation
Department Position
Fully Burdened
Hourly Rate
Position Rates
101: Public Works PW - ASSISTANT ENGINEER I $189.29
101: Public Works PW - ASSOCIATE PROFESSIONAL ENGINEER $239.85 101: Public Works PW - ASST DIRECTOR PW/CITY ENGINEER $393.16 101: Public Works PW - DIRECTOR OF PUBLIC WORKS $461.15 101: Public Works PW - ENGINEERING ASSOCIATE $284.89
101: Public Works PW - ENGINEERING TECHNICIAN $211.25
101: Public Works PW - FAC MAINT/ENERGY PROJ COORD. $197.04 101: Public Works PW - FIELD SUPERVISOR $242.29
101: Public Works PW - HOMELESSNESS RESPONSE FIELD WKR $171.81 101: Public Works PW - MANAGEMENT ANALYST $180.75
101: Public Works PW - PARKING CONTROL MAINT WKR $169.47 101: Public Works PW - PARKING ENFORCEMENT OFFICER $154.97 101: Public Works PW - PARKING OFFICE REPRESENTATIVE $160.22 101: Public Works PW - PARKING OFFICE SUPERVISOR $182.94 101: Public Works PW - PARKING PROGRAM MANAGER $308.18
101: Public Works PW - PARKING SERVICES SUPERVISOR $226.59 101: Public Works PW - PRINCIPAL MGMT ANALYST $292.57
101: Public Works PW - PUBLIC WORKS OPERATIONS MGR $292.05 101: Public Works PW - SENIOR HOMELESSNESS RESPONSE FLD WKR $144.90 101: Public Works PW - SENIOR PARKING SERVICES WORKER $194.56 101: Public Works PW - SENIOR PROFESSIONAL ENGINEER $339.83 101: Public Works PW - SERVICE FIELD CREW LEADER $213.55 101: Public Works PW - SERVICE MAINTENANCE WORKER $127.07 101: Public Works PW - SR SERVICE MAINTENANCE WKR $157.44 101: Public Works PW - SUPT OF PARKING SERVICES $263.95 101: Public Works PW - TRANSPORTATION COORDINATOR $174.36 101: Public Works PW - TRANSPORTATION MANAGER $339.37
101: Public Works PW - TRANSPORTATION PLANNER II $307.12 103: Code Enforcement/Civil Penalties 103 - CODE COMPLIANCE MANAGER $179.67 103: Code Enforcement/Civil Penalties 103 - CODE COMPLIANCE SPECIALIST $140.39 104: Municipal Wharf 104 - ADMINISTRATIVE ASSISTANT II $96.97 104: Municipal Wharf 104 - ADMINISTRATIVE SERVICES SUPERVISOR $136.16 104: Municipal Wharf 104 - BUILDING MAINTENANCE WORKER I $91.73 104: Municipal Wharf 104 - CUSTODIAN $105.15
104: Municipal Wharf 104 - FIRE CAPTAIN - 40/HR $283.69 104: Municipal Wharf 104 - MARINE SAFETY OFFICER $102.26 104: Municipal Wharf 104 - MARINE SAFETY OFFICER 40/HR $133.18 104: Municipal Wharf 104 - PARKING ATTENDANT $83.82
104: Municipal Wharf 104 - PARKING CONTROL MAINT WKR $123.03 104: Municipal Wharf 104 - PARKING SERVICES SUPERVISOR $155.05 104: Municipal Wharf 104 - PARKS MAINTENANCE WORKER $94.18 104: Municipal Wharf 104 - RECREATION COORDINATOR $80.92 104: Municipal Wharf 104 - SENIOR PARKING SERVICES WORKER $116.85 104: Municipal Wharf 104 - SERVICE FIELD CREW LEADER $129.22 104: Municipal Wharf 104 - SR PARKS MAINTENANCE WKR $131.77 104: Municipal Wharf 104 - SUPERINTENDENT OF PARKS $224.63 104: Municipal Wharf 104 - SUPT OF PARKING SERVICES $187.78 104: Municipal Wharf 104 - WHARF CONSTRUCTION CREW LDR $158.06 104: Municipal Wharf 104 - WHARF CONSTRUCTION WORKER $107.19 104: Municipal Wharf 104 - WHARF SUPERVISOR $174.33
711: Water 711 - ADMINISTRATIVE ASSISTANT II $102.95

20.82 9 Fully Burdened Hourly Rates
City of Santa Cruz - Fully Burdended Hourly Rates
Fully Burdened Hourly Rate Calculation
Department Position
Fully Burdened
Hourly Rate
Position Rates
711: Water 711 - ADMINISTRATIVE ASSISTANT III $134.63
711: Water 711 - ASSISTANT ENGINEER I $171.07
711: Water 711 - ASSISTANT ENGINEER II $231.03
711: Water 711 - ASSOCIATE PLANNER II $251.35
711: Water 711 - ASSOCIATE PROFESSIONAL ENGINEER $282.04 711: Water 711 - CHIEF RANGER $225.02
711: Water 711 - CUSTOMER SERVICE MANAGER $305.71
711: Water 711 - DEPUTY WATER DIR/ENGINEER MGR $337.39
711: Water 711 - DEPUTY WATER DIR/OPER MGR $370.02
711: Water 711 - DIRECTOR OF WATER DEPARTMENT $403.05
711: Water 711 - ENGINEERING ASSOCIATE $223.02
711: Water 711 - ENGINEERING TECHNICIAN $154.29
711: Water 711 - ENVIRONMENTAL MICROBIO II $212.66
711: Water 711 - ENVIRONMENTAL MICROBIO III $221.07
711: Water 711 - ENVIRONMENTAL PROGRAMS ANALYST II $221.07 711: Water 711 - IT BUSINESS SYSTEM ANALYST III $238.49 711: Water 711 - LABORATORY TECHNICIAN $129.45
711: Water 711 - MANAGEMENT ANALYST $223.33
711: Water 711 - NETWORK AND SYSTEMS ADMIN $282.38
711: Water 711 - PRINCIPAL MGMT ANALYST $254.02
711: Water 711 - PRINCIPAL PLANNER $287.99
711: Water 711 - RANGER ASSISTANT $103.33
711: Water 711 - RANGER II $162.29
711: Water 711 - SCADA ANALYST $261.12
711: Water 711 - SENIOR ELECTRICIAN $198.84
711: Water 711 - SENIOR PROFESSIONAL ENGINEER $292.94
711: Water 711 - SENIOR RANGER $172.81
711: Water 711 - SR WATER DISTRIBUTION OP $201.71
711: Water 711 - SUPT OF WATER DISTRIBUTION $328.00
711: Water 711 - SUPT OF WATER TREATMENT & PROD $352.75 711: Water 711 - UTILITY ACCOUNT SPECIALIST $168.67
711: Water 711 - UTILITY MAINTENANCE TECH $175.67
711: Water 711 - UTILITY MAINTENANCE TRAINEE $146.56
711: Water 711 - UTILITY SERVICE FIELD TECH II $144.76
711: Water 711 - UTILITY SERVICE REP I $125.72
711: Water 711 - UTILITY SERVICE REP II $150.36
711: Water 711 - UTILITY SUPERVISOR $199.37
711: Water 711 - WATER CHIEF FINANCIAL OFFICER $351.68
711: Water 711 - WATER DIST CREW LEADER III $219.31
711: Water 711 - WATER DIST CREW LEADER IV $219.33
711: Water 711 - WATER DISTRIBUTION III $145.58
711: Water 711 - WATER DISTRIBUTION O.I.T $136.48
711: Water 711 - WATER DISTRIBUTION OIT $143.16
711: Water 711 - WATER DISTRIBUTION OP II $153.59
711: Water 711 - WATER DISTRIBUTION OP III $159.95
711: Water 711 - WATER DISTRIBUTION OPER II $136.48
711: Water 711 - WATER DISTRIBUTION OPERATOR II $114.41 711: Water 711 - WATER DISTRIBUTION OPERATOR III $167.78 711: Water 711 - WATER DISTRIBUTION SUPV- V-CDO $260.92 711: Water 711 - WATER FAC ELEC/INSTR TECH II $142.50
711: Water 711 - WATER FAC MECH TECH II $178.70

20.83 10 Fully Burdened Hourly Rates
City of Santa Cruz - Fully Burdended Hourly Rates
Fully Burdened Hourly Rate Calculation
Department Position
Fully Burdened
Hourly Rate
Position Rates
711: Water 711 - WATER FAC MECH TECH III $221.56
711: Water 711 - WATER FACILITIES FIELD SUPV $278.12
711: Water 711 - WATER FACILITIES MECHANICAL SUPERVISOR $216.31 711: Water 711 - WATER METER SPECIALIST $147.74
711: Water 711 - WATER METER SPECIALIST LEAD $132.99
711: Water 711 - WATER METER SUPERVISOR $211.60
711: Water 711 - WATER METER TECHNICIAN $120.34
711: Water 711 - WATER QUALITY CHEMIST I $168.82
711: Water 711 - WATER QUALITY CHEMIST III $207.93
711: Water 711 - WATER QUALITY MANAGER $306.83
711: Water 711 - WATER RESOURCES ANALYST $159.35
711: Water 711 - WATER RESOURCES SUPERVISOR $233.96
711: Water 711 - WATER TREAT SUPV-V $271.96
711: Water 711 - WATER TREATMENT IV $204.14
711: Water 711 - WATER TREATMENT OP III $189.90
711: Water 711 - WATER TREATMENT OP IV $228.72
711: Water 711 - WATER TREATMENT OPERATOR IV $180.47
711: Water 711 - WATERSHED COMPLIANCE MANAGER $299.51
721: Wastewater 721 - ADMINISTRATIVE ASSISTANT II $104.03 721: Wastewater 721 - ADMINISTRATIVE SERVICES SUPERVISOR $163.91 721: Wastewater 721 - ASSISTANT ENGINEER I $163.10
721: Wastewater 721 - ASSISTANT ENGINEER II $169.80
721: Wastewater 721 - ASSOCIATE PROFESSIONAL ENGINEER $236.63 721: Wastewater 721 - ASST DIRECTOR PW/CITY ENGINEER $361.35 721: Wastewater 721 - CHEMIST II $221.95
721: Wastewater 721 - DIRECTOR OF PUBLIC WORKS $423.84
721: Wastewater 721 - ENGINEERING TECHNICIAN $133.45
721: Wastewater 721 - ENVIRONMENTAL COMPLIANCE INSP. $186.56 721: Wastewater 721 - ENVIRONMENTAL MICROBIOLOGIST I $153.29 721: Wastewater 721 - ENVIRONMENTAL MICROBIOLOGIST III $229.07 721: Wastewater 721 - ENVIRONMENTAL PROGRAMS ANALYST II $196.85 721: Wastewater 721 - FIELD SUPERVISOR $195.68
721: Wastewater 721 - MANAGEMENT ANALYST $166.13
721: Wastewater 721 - PARKS FIELD CREW LEADER $160.42
721: Wastewater 721 - PARKS MAINTENANCE WORKER $149.85
721: Wastewater 721 - PLANT MAINT MECH I $158.25
721: Wastewater 721 - PLANT MAINT MECH II $194.82
721: Wastewater 721 - PRINCIPAL MGMT ANALYST $268.90
721: Wastewater 721 - PUBLIC WORKS OPERATIONS MGR $268.42 721: Wastewater 721 - QA/QC LABORATORY CHEMIST $195.59
721: Wastewater 721 - SCADA SYSTEM NETWORK ADMINISTRATOR $262.50 721: Wastewater 721 - SENIOR PROFESSIONAL ENGINEER $318.10 721: Wastewater 721 - SR ENVIR COMPLIANCE INSPECTOR $209.21 721: Wastewater 721 - SR WASTEWATER PLANT OPERATOR III $221.30 721: Wastewater 721 - SR WASTEWATER PLANT OPERATOR IV $225.11 721: Wastewater 721 - SR WW COLLECTION MAINT TECH $188.58 721: Wastewater 721 - SUPERINTENDENT OF PARKS $290.20
721: Wastewater 721 - URBAN FORESTER $224.27
721: Wastewater 721 - WASTEWATER SYSTEMS MANAGER $331.39 721: Wastewater 721 - WW COLLECTION FIELD CREW LDR $216.41 721: Wastewater 721 - WW COLLECTION MAINT TECH I $140.69

20.84 11 Fully Burdened Hourly Rates
City of Santa Cruz - Fully Burdended Hourly Rates
Fully Burdened Hourly Rate Calculation
Department Position
Fully Burdened
Hourly Rate
Position Rates
721: Wastewater 721 - WW COLLECTION MAINT TECH II $185.52 721: Wastewater 721 - WW COLLECTION MANAGER $331.61
721: Wastewater 721 - WW COLLECTION MECH TECH II $158.82 721: Wastewater 721 - WW FAC ELEC/INSTR SUPV $253.63
721: Wastewater 721 - WW FAC ELEC/INSTR TECH II $176.86 721: Wastewater 721 - WW FAC LEAD MECH TECH $227.32
721: Wastewater 721 - WW FAC MECH TECH II $182.44
721: Wastewater 721 - WW FACILITIES MECH SUPERVISOR $214.38 721: Wastewater 721 - WW FACILITIES MECH TECH II $180.92 721: Wastewater 721 - WW LAB/ENVIRONMENTAL COMPL MGR $308.37 721: Wastewater 721 - WW PLANT OIT $161.81
721: Wastewater 721 - WW PLANT OPER II $144.63
721: Wastewater 721 - WW PLANT OPERATOR II $160.38
721: Wastewater 721 - WW PLANT OPERATOR III $195.54
721: Wastewater 721 - WW TREATMENT FACIL OPER MGR $329.20 721: Wastewater 721 - WW TREATMENT OPER SUPERVISOR $285.84 731: Refuse 731 - ADMINISTRATIVE ASSISTANT II $102.06
731: Refuse 731 - ADMINISTRATIVE SERVICES SUPERVISOR $168.52 731: Refuse 731 - ASSISTANT ENGINEER II $206.57
731: Refuse 731 - ASSOCIATE PROFESSIONAL ENGINEER $278.79 731: Refuse 731 - ASST DIRECTOR PW/CITY ENGINEER $371.53 731: Refuse 731 - CONSTRUCTION SPECIALIST $170.10
731: Refuse 731 - CUSTODIAN $151.06
731: Refuse 731 - DIRECTOR OF PUBLIC WORKS $435.77
731: Refuse 731 - ENVIRONMENTAL PROGRAMS ANALYST II $202.33 731: Refuse 731 - EQUIPMENT MECHANIC II $187.29
731: Refuse 731 - EQUIPMENT SERVICE WORKER $150.53
731: Refuse 731 - LANDFILL GATE ATTENDANT $126.63
731: Refuse 731 - MANAGEMENT ANALYST $210.91
731: Refuse 731 - PRINCIPAL MGMT ANALYST $276.47
731: Refuse 731 - PUBLIC WORKS OPERATIONS MGR $298.78
731: Refuse 731 - RECYCLE CENTER MAINT MECHAN $163.25
731: Refuse 731 - REFUSE LEAD EQUIPMENT MECHANIC $171.52 731: Refuse 731 - RESOURCE RECOVERY EQUIP OPERAT $156.49 731: Refuse 731 - RESOURCE RECOVERY SUPERVISOR $183.52
731: Refuse 731 - RESOURCE RECOVERY WORKER I $118.05
731: Refuse 731 - RESOURCE RECOVERY WORKER II $117.93
731: Refuse 731 - SENIOR PROFESSIONAL ENGINEER $327.07
731: Refuse 731 - SERVICE FIELD CREW LEADER $178.31
731: Refuse 731 - SOLID WASTE WORKER $152.85
731: Refuse 731 - SR RESOURCE RECOVERY WORKER $133.17
731: Refuse 731 - SUPT OF R R COLLECT- SWEEPING $247.87 731: Refuse 731 - SUPT OF R R PROCESS - DISPOSAL $270.70 731: Refuse 731 - URBAN FORESTER $230.63
731: Refuse 731 - WASTE REDUCTION ASSISTANT $118.52
741: Parking 741 - ADMINISTRATIVE ASSISTANT II $100.81
741: Parking 741 - ADMINISTRATIVE SERVICES SUPERVISOR $146.43 741: Parking 741 - ASSISTANT ENGINEER I $184.41
741: Parking 741 - ASST DIRECTOR PW/CITY ENGINEER $322.81 741: Parking 741 - DIRECTOR OF PUBLIC WORKS $378.63
741: Parking 741 - ENGINEERING TECHNICIAN $178.70

20.85 12 Fully Burdened Hourly Rates
City of Santa Cruz - Fully Burdended Hourly Rates
Fully Burdened Hourly Rate Calculation
Department Position
Fully Burdened
Hourly Rate
Position Rates
741: Parking 741 - FIELD SUPERVISOR $222.27
741: Parking 741 - PARKING ATTENDANT $101.92
741: Parking 741 - PARKING CONTROL MAINT WKR $139.14
741: Parking 741 - PARKING FACILITY MAINT ASST $105.13
741: Parking 741 - PARKING OFFICE REPRESENTATIVE $134.23 741: Parking 741 - PARKING OFFICE SUPERVISOR $150.21
741: Parking 741 - PARKING PROGRAM MANAGER $253.03
741: Parking 741 - PARKING SERVICES SUPERVISOR $181.49
741: Parking 741 - PRINCIPAL MGMT ANALYST $240.23
741: Parking 741 - SENIOR PARKING SERVICES WORKER $134.85 741: Parking 741 - SERVICE FIELD CREW LEADER $170.34
741: Parking 741 - SUPT OF PARKING SERVICES $216.71
741: Parking 741 - TRANSPORTATION COORDINATOR $143.17
741: Parking 741 - TRANSPORTATION MANAGER $278.64
741: Parking 741 - TRANSPORTATION PLANNER II $252.17
741: Parking 741 - URBAN FORESTER $200.38
751: Storm Water 751 - ADMINISTRATIVE ASSISTANT II $94.64 751: Storm Water 751 - ASST DIRECTOR PW/CITY ENGINEER $363.75 751: Storm Water 751 - MANAGEMENT ANALYST $167.22
751: Storm Water 751 - PRINCIPAL MGMT ANALYST $270.67
751: Storm Water 751 - PUBLIC WORKS OPERATIONS MGR $270.20 751: Storm Water 751 - URBAN FORESTER $225.75
752: Storm Water Overlay 752 - ASST DIRECTOR PW/CITY ENGINEER $212.79 752: Storm Water Overlay 752 - DIRECTOR OF PUBLIC WORKS $249.55 752: Storm Water Overlay 752 - MANAGEMENT ANALYST $97.82 752: Storm Water Overlay 752 - PRINCIPAL MGMT ANALYST $158.32 752: Storm Water Overlay 752 - SUSTAINABILITY AND CLIMATE ACTION MGR $150.36 951: Library Joint Powers Authority 951 - ACCOUNTING ASSISTANT I $83.71 951: Library Joint Powers Authority 951 - ADMINISTRATIVE ASSISTANT II $95.05 951: Library Joint Powers Authority 951 - ASSISTANT DIRECTOR OF LIBRARIES $256.50 951: Library Joint Powers Authority 951 - BOOKMOBILE LIBRARY ASSISTANT $99.49 951: Library Joint Powers Authority 951 - BUILDING MAINTENANCE WORKER II $122.69 951: Library Joint Powers Authority 951 - DIRECTOR OF LIBRARIES $274.65 951: Library Joint Powers Authority 951 - INFORMATION TECH SPECIALIST I $105.44 951: Library Joint Powers Authority 951 - IT MANAGER $212.63 951: Library Joint Powers Authority 951 - IT SPECIALIST III $115.78 951: Library Joint Powers Authority 951 - LIBRARIAN I $129.00 951: Library Joint Powers Authority 951 - LIBRARIAN II $129.16 951: Library Joint Powers Authority 951 - LIBRARIAN III $182.58 951: Library Joint Powers Authority 951 - LIBRARY ASSISTANT II $89.80 951: Library Joint Powers Authority 951 - LIBRARY ASSISTANT III $102.10 951: Library Joint Powers Authority 951 - LIBRARY ASSISTANT IV $112.65 951: Library Joint Powers Authority 951 - LIBRARY INFORMATION SPECIALIST $109.66 951: Library Joint Powers Authority 951 - LIBRARY SPECIALIST $99.43 951: Library Joint Powers Authority 951 - MANAGEMENT ANALYST $128.10 951: Library Joint Powers Authority 951 - NETWORK & SYSTEMS ADMINISTRATOR $166.08 951: Library Joint Powers Authority 951 - PRINCIPAL MGMT ANALYST $166.43 951: Library Joint Powers Authority 951 - PROGRAMMER ANALYST II $111.92 951: Library Joint Powers Authority 951 - SERVICE FIELD CREW LEADER $135.84 951: Library Joint Powers Authority 951 - SYSTEMS COORDINATOR $198.83 951: Library Joint Powers Authority 951 - VOLUNTEER COORDINATOR ASSISTANT $89.65

20.86 27368 Via Industria, Suite 200
Temecula, California 92590-4856
800.755.6864 | Fax: 888.326.6864
951.587.3500 | Fax: 951.587.3510
www.willdan.com

20.87 Comprehensive Fee Study
Draft Report of Findings
City of Santa Cruz, CA
OCTOBER 3, 2024
MGT.us

20.88 CITY OF SANTA CRUZ

COMPREHENSIVE FEE STUDY
OCTOBER 3, 2024

TABLE OF CONTENTS
EXECUTIVE SUMMARY ................................................................................................ 1 SUMMARY OF FINDINGS ............................................................................................. 2 User Fee Financial Overview.................................................................................................................... 2 Methodology ........................................................................................................................................... 3 Hourly Rates ..................................................................................................................................................... 3 Time Spent ....................................................................................................................................................... 3 Fee Calculations and Revenue Projections .................................................................................................... 3 Legal, Economic & Policy Considerations................................................................................................ 4 ANALYSIS HIGHLIGHTS............................................................................................... 5 Planning and Community Development – Building and Safety Division ................................................... 5 Fee Updates ..................................................................................................................................................... 6 Public Works – Engineering Division ....................................................................................................... 8 Economic Development and Housing ...................................................................................................... 9 Fire.......................................................................................................................................................... 9 Marine Safety ................................................................................................................................................... 9 Prevention ...................................................................................................................................................... 10 Peer Comparisons................................................................................................................................. 10 RECOMMENDATIONS ................................................................................................ 11 APPENDIX A – USER FEE RESULTS ........................................................................... 12 Planning and Community Development – Building and Safety Division .................................................13 Public Works –Engineering Division......................................................................................................22 Economic Development and Housing ....................................................................................................25 Fire – Marine Safety.............................................................................................................................. 26 Fire – Prevention................................................................................................................................... 27 APPENDIX B – PEER COMPARISON ........................................................................... 32

20.89 PAGE 1
Executive Summary
Introduction
MGT is pleased to present the City of Santa Cruz (City) with this summary of findings for the recently completed fee study.

The City contracted with MGT to perform a comprehensive fee study using fiscal year 2023-2024 budgeted expenditures, staffing costs, and operational information. The City’s current fees represent the fees being charged at the beginning of this study.

This report is the culmination of an extensive study conducted by MGT in collaboration with the city’s management and staff. MGT would like to take this opportunity to gratefully acknowledge all management and staff who participated in this project for their efforts and coordination.

Study Scope and Objectives
The study included a review of fee for service activities within the following departments:
 Planning and Community Development – Building and Safety Division  Public Works – Engineering Division
 Economic Development and Housing
 Fire
Note that the following scope items are not included in this report and will be presented at a later date:
 Parks and Recreation – analysis of excise tax and in-lieu fees  Public Works – analysis of in-lieu fees
 Fire – analysis of Public Safety Impact and First Responder fees  Finance – analysis of credit card merchant fees and recommendations on implementing a credit card service or convenience fee program The primary goals of the study were to:
 Determine the City's costs to provide specific fee-related services.  Determine whether there are any opportunities to implement new fees.  Identify service areas where the City might adjust fees to better reflect the full cost of services or to subsidize fees with general fund revenue to reflect other economic or policy considerations.
 Develop fiscal projections based on recommended increases (or decreases) to fees.  Provide comparative data for what neighboring cities are charging for similar services.

The information summarized in this report addresses each of these issues and provides the City with the tools necessary to make informed decisions about any proposed fee adjustments and the resulting impact on restricted and general fund revenues.

20.90 PAGE 2
Summary of Findings
User Fee Financial Overview
The study's primary objective was to provide the City's decision-makers with the basic data needed to make informed pricing decisions. This report details the full cost of services and presents recommended proposed fees and fiscal projections based on recommended cost recovery levels. The fee analysis adheres to Proposition 26 which mandates that user fees be based on the "estimated reasonable cost of providing a service". Recommendations are based on careful consideration of the results of the cost analysis, historical cost recovery levels, and market comparisons.

The chart below shows the annualized costs and revenues of Year 1 for the City’s user fees that were part of this analysis. It is difficult to predict future revenues due to the fluctuation in the volumes and economic conditions. MGT based the annual cost on the individual full cost for each fee analyzed multiplied by the annual volume statistics.  Column A, User Fee Costs – This column represents what the actual cost is for each of the departments to provide annual user fee services based on the annual volume statistics. In total, this study evaluated $4,015,469 in costs to provide user fee services. It is this amount that was the focus of this study and represents the total potential for user fee-related revenues for the City.
 Column B, Current Revenues – This column represents what the City is currently recovering in revenue for these same services based on the annual volume statistics.

Based on current fee recovery levels, the city receives fee-related cost recovery in the amount equal to $ 2,270,862 and is experiencing an overall 57% cost recovery level.  Column C, Current Subsidy – Current fee levels recover 57% of full cost, leaving 43%, or $1,744,607, to be funded by other sources. This subsidy represents an opportunity for an updated and more focused cost recovery effort by the City for fee-related services.
 Column D, Recommended Recovery – It is estimated that adoption of the recommended fees would increase cost recovery to $3,352,414. This would bring the overall cost recovery level up to 83%.

20.91 PAGE 3
 Columns E & F, Increased Revenue and Percentage Increase – Assuming activity levels remain relatively static, approximately $1,081,552 in additional cost recovery could be received by the City. This would represent a 48% increase over the amounts currently being collected for these activities by the City on an annualized basis.

Revenue increase percentages are shown for each department in Column G.

Methodology
A cost-of-service study is comprised of two basic elements:
 Hourly rates of staff providing the service.
 Time spent providing the service.

The product of the hourly rate calculation multiplied by the time spent yields the cost of providing the service.

Hourly Rates
The hourly rate methodology used in this study builds indirect costs into city staff hourly salary and benefit rates to arrive at fully burdened hourly rates. Fully burdened hourly rates are a mechanism used to calculate the total cost of providing services. Total cost is generally recognized as the sum of the direct cost together with a proportionate share of allowable indirect costs. The proper identification of all costs (including labor, operating expense, department administration and citywide support) as “direct” or “indirect” is crucial to the determination of the total cost of providing services.

Direct costs are typically defined as those that can be identified specifically to a particular function or activity, including the labor of persons working directly on the specific service for which the fee is charged, and possibly materials or supplies those people use for the task.

Indirect costs are those that support more than one program area and are not easily identifiable to specific activities. Examples of indirect costs are: 1) departmental administrative and support staff, 2) training and education time, 3) public counter and telephone time, 4) some service and supply costs, and 5) citywide overhead costs from outside of the department as identified in the City’s cost allocation plan.

The fully burdened hourly rates used in this study were developed by applying a departmental overhead rate that applies a percentage of the department’s indirect personnel and operating cost to staff that work directly on fee-related services; and a citywide overhead rate that applies a percentage of the City’s central support services cost to the same staff.

Time Spent
The next step in the process was to identify staff time spent directly on each of the user fee activities. Each staff person involved in the user fee services identified time spent to complete each task associated with all user fee services. Annual volume statistics were also gathered in order to develop total annual workload information. This information is provided in detailed user fee workbooks which were provided to the City upon completion of the study.

Fee Calculations and Revenue Projections
Given this information, MGT was able to calculate the cost of providing each service, both on a per-unit and total annual basis (per-unit cost multiplied by annual volume equals total annual

20.92 PAGE 4
cost). As mentioned above, costs were calculated by multiplying per-unit time estimates by the hourly labor rates; additional operating expenses directly associated with certain services were also added in. Finally, if other departments or divisions provided support into certain user fee activities, this time was accounted for and added into the analysis as a crossover support activity.

Full costs are then compared to current fees/revenues collected, and subsidies (or overrecoveries) are identified.

User fee summaries by department may be seen in the next section of this report.

Legal, Economic & Policy Considerations
Calculating the true cost of providing city services is a critical step in the process of establishing user fees and corresponding cost recovery levels. Although it is an important factor, other factors must also be given consideration. City decision makers must also consider the effects that establishing fees for services will have on the individuals purchasing those services, as well as the community.

The following legal, economic and policy issues help illustrate these considerations.  Legal Restrictions – In California, user fees are limited to the "estimated reasonable cost of providing a service" by Government Code section 66014(a) and other supplementary legislation. California voters approved Proposition 26 in November of 2010, which defined “taxes” as “any levy, charge, or exaction of any kind imposed by a local government” subject to seven exceptions. Most of the exceptions require that the City charge a fee which does not exceed the reasonable cost to the City to provide the service for which the fee is charged. Thus, if the fee exceeds the reasonable cost of service, it may be considered a “tax” which must be approved by the voters. We have calculated each fee to recover no more than the reasonable cost of each service so that none of the fee adjustments recommended herein will be considered taxes under Proposition 26. Additionally, it should be noted that some fees (e.g., certain animal control fees or oversize permit fees) may be capped by state law and may not change, regardless of any cost analysis performed.
 Economic Barriers – It may be a desired policy to establish fees at a level that permits lower income groups to use services that they might not otherwise be able to afford.  Community Benefit – The Council may wish to subsidize some user fees in order to reflect policy considerations which supersede cost recovery. For example, many Community Services fees have very moderate cost recovery levels. Some programs are provided free of charge or for a minimal fee regardless of cost. Youth and senior programs tend to have the lowest recovery levels. Miscellaneous classes tend to have a moderate cost recovery level and adult sports programs typically have a higher cost recovery level.
 Private Benefit – If a user fee primarily benefits the fee payer, we recommend the fee be set at, or close to, 100% full cost recovery. Development-related fees generally fall into this category; however, exceptions are sometimes made for services such as appeal fees or fees charged exclusively to residential applicants.  Service Driver – In conjunction with the third point above, the issue of who is the service recipient versus the service driver should also be considered.  Managing Demand – For those fees which are not subject to pure cost recovery limitations, other market considerations may inform recommended fee levels.

20.93 PAGE 5
Elasticity of demand is a factor in pricing certain city services; increasing the price of some services results in a reduction of demand for those services, and vice versa.  Competition – Certain services, such as recreation classes, may be provided by neighboring communities or the private sector, and therefore demand for these services can be highly dependent on what else may be available at lower prices.

Furthermore, if the City's fees are too low, demand enjoyed by private-sector competitors could be adversely affected.
 Incentives – Fees can be set low to encourage participation in a service, such as a youth sports program or the issuance of a water heater permit.

Analysis Highlights
Below is a brief discussion of the findings for each department/division’s analysis. Please see the user fee summary sheets in Appendix A of this report for the details on each fee calculation and cost analysis.

Fees are charged in a variety of ways including:
 Flat (or fixed) fees – the fee is always the same, regardless of size or complexity of the service provided in each instance.
 Per square foot – the fee is calculated based on the size of the project under review.  Hourly (or time‐and‐materials) – City staff track time and materials expense, and fees are calculated to recover actual costs.
 Actual cost – this fee is charged to recover consultant costs as billed to the City, or time and materials of staff.
 Percentage of permits – the fee is calculated as a percentage of the original permit fee.
 Other increments – fees are calculated based on increments such as number of sheets or number of set ups/take downs.

Planning and Community Development – Building and Safety Division The Building and Safety division of the Planning and Community Development Department administers the California Building Standards Codes as adopted and amended by local ordinance.

These codes safeguard life, health, and the safety of our community in the built environment. This is accomplished through the issuance of construction permits and the performance of associated plan reviews and construction inspections.

Building permits and plan checks benefit individuals and the development community and are therefore eligible for cost recovery. Because these fees primarily benefit the fee payer, the fees are set at or close to 100% of the cost of recovery.

Within the Building and Safety division, current fees recover 45% or $945,065, with actual costs at $2,093,568 which is a difference of $1,148,503 or 55%. If staff recommendations are adopted, cost recovery would increase to $2,093,568 by Year 3. The City is recommending a three year

20.94 PAGE 6
phase in period. The information below illustrates how fees will increase each year until accomplishing 100% cost recovery.
 Year 1 – Increase any fees less than 60% cost recovery to 60% cost recovery in Year 1 in 1/1/25. These fees will increase to 80% in 1/1/26 and to 100% in 1/1/27. This will result in revenue projections of $1,433,311 or 68%.  Year 2 – Increase any fees greater than 60% cost recovery but less than 80% cost recovery to 80% cost recovery in Year 1 in 1/1/25. These fees will increase to 100% in 1/1/26. This will result in revenue projections of $1,758,726 or 84%.  Year 3 – Increase any fees greater than 80% but less than 100% cost recovery to 100% cost recovery in Year 1 in 1/1/25. This will result in revenue projections of $2,093,568 or 100%.

In keeping with State law, the target cost recovery percentage must not exceed 100%. Assuming no loss in demand or change in volume, fee adjustments result in a 100% overall recovery rate by year three of the phase in period. We are proposing fee reductions on some permits and fee increases on others to keep the cost aligned with the level of effort to provide the services and to keep within State cost recovery limits.

Fee Updates
Updating fees for:
 Administration
 Building Permit Application Fees
 Table 3A Building Permit Fees
 Table 3B Electrical Permit Fees
 Table 3C Mechanical Permit Fees
 Table 3D Plumbing Permit Fees
 Table 3E Elevator Permit Fees
 Table 3F Elevator Annual Certificates of Inspection Fees  Table 3G Grading Plan Reviews
 Grading Permit Fees
 Special and Miscellaneous Fees
 Additional Inspection and Plan Check Fees
 Swimming Pool and Spas

20.95 PAGE 7
Two (2) fees will remain as is – no changes recommended:
 Technology Surcharge
 Green Building Program Management
Seventeen (17) fees are recommended for removal, either because they are obsolete, no longer charged, duplicates, or were consolidated with another current fee.  Private Swimming Pools - new private, in-ground swimming pools for single-family and multifamily occupancies, including a complete system of necessary branch circuit wiring, bonding, grounding, underwater lighting, water pumping and other similar electrical equipment related to the operation of a swimming pool, each pool  Swimming Pools/Spas – Public Pool
 Swimming Pools/Spas – Public Spa
 Swimming Pools/Spas – Private Pool
 Swimming Pools/Spas – Private Spa
 Incinerators – For the installation or relocation of each domestic-type incinerator  Incinerators – For the installation or relocation of each commercial or industrial-type incinerator
 Elevator Permit – Up to and including $40,000 of valuation  Elevator Permit – Over $40,000 of valuation
 Elevator Annual Certificate of Inspection – Each elevator  Elevator Annual Certificate of Inspection – For each escalator OT moving walk  Elevator Annual Certificate of Inspection – For each commercial dumbwaiter  Demolition Permit
 Solar Permit – Fees for Photo Voltaic Arrays and Hot Water. Heating Systems: $125.00 for the first $25,000 in valuation, including $3.00 BIT and $8.00 for micro fiche/document handling. Issue P.V. Arrays as Electrical Permits and Solar Hot Water Systems as Plumbing Permits.
 Solar Permit – Plus an additional $5.00 for each $2,000 in valuation or fraction thereof after the first $25,000
Seventeen (17) new fees were added.
 Green Building – Hourly Billing Rate e.g., Consultation  Electrical – New Residential Building – Multi-Family - Electrical 20% of building permit  Electrical – New Residential Building – Single and Two Family – Electrical 17% of building permit
 Mechanical – New Residential Building – Multi-Family - Mechanical 10% of building permit
 Mechanical – New Residential Building – Single and Two Family – Mechanical 7% of building permit
 Plumbing – New Residential Building – Single and Two Family – Plumbing 20% of building permit

20.96 PAGE 8
 Plumbing – New Residential Building – Single and Two Family – Plumbing 16% of building permit
 Demolition Permit Residential
 Demolition Permit Commercial
 Solar Permit – Residential System up to 15Kw
 Solar Permit – Each Kw above 15Kw
 Solar Permit – Commercial System up to 50Kw
 Solar Permit – Each Kw between 51-250Kw
 Solar Permit – Each Kw above 250Kw
 Private Swimming Pools/Spas – Valuation
 Public Swimming Pools/Spas – Valuation
The City’s Green Building Program was not costed out as part of this analysis. The time spent reviewing applications related to the Green Building Fee was not factored into the cost calculations for the purposes of this evaluation. The City will analyze these costs separately at a later time.

Public Works – Engineering Division
Public Works – Engineering division provides engineering design services and construction supervision, city surveying, maintenance of maps and records, special assessment district administration, and all other basic engineering inspections and services.

MGT’s analysis found that current fees are recovering 73% of the cost to provide services. In addition to Engineering, staff from Transportation, Refuse, Planning, Fire, and Parks and Recreation also participate in the fee process, and their costs were included accordingly.

Department management is recommending 100% cost recovery for all fees. Some fees will be reduced since they were found to be recovering over 100% cost, while most fees will be increased.

Assuming demand remands consistent, recommended fee adjustments will result in an additional $337,679 in annual revenue.

Seven (7) fees are recommended for removal, either because they are obsolete and no longer charged, or because they are duplicates and already appear on the schedule. Twelve (12) new fee proposals are being added:
 Sewer Repair Permit – New Development Only
 Major Commercial Planning Review
 Single Family Residential Planning Review
 Stormwater Plan Review – Residential
 Stormwater Plan Review – Commercial and Multifamily Residential, Small (Tier 1)  Stormwater Plan Review – Commercial and Multifamily Residential, Large (Tiers 2-4)  Stormwater Building Plan Re-Review – Residential
 Stormwater Building Plan Re-Review – Commercial and Multifamily Residential, Small (Tier 1)

20.97 PAGE 9
 Stormwater Building Plan Re-Review – Commercial and Multifamily Residential, Large (Tiers 2-4)
 Stormwater Planning Re-Review – Residential
 Stormwater Planning Re-Review – Commercial and Multifamily Residential, Small (Tier 1)
 Stormwater Planning Re-Review – Commercial and Multifamily Residential, Large (Tiers 2-4)
Economic Development and Housing
The Economic Development and Housing (ED&H) Department provides guidance to businesses in the community as well as housing assistance and resources. The fees included in this study pertain to Inclusionary Housing administration, Parklets, and Land Use Agreements.

MGT’s analysis found the department is currently recovering 82% of its cost to provide fee-related services. In addition to ED&H, staff from Public Works, Fire, and Police also participate in the fee process for parklets, and their cost was included accordingly.

Department management is recommending 100% cost recovery for all fees except for the Parklet Application fee for preapproved and retrofitted parklets. The full cost of this fee is $920, and the recommendation is that it be increased from $500 to $575, which will increase the cost recovery from 54% to 62%. The subsidy for this fee is recommended to allow businesses to pursue parklets more easily in order to generate additional revenue, create a more vibrant City, and increase tax revenues.

ED&H is recommending one new fee proposal to be charged at the department’s hourly rate:
 Evaluate Land Use Agreements (LUA) or repay fee waivers associated with Accessory Dwelling Units (ADUs) affordability restriction, or some other modification Fire
The Fire Department has two divisions that provide fees for service: the Marine Safety division and the Prevention division.

Marine Safety
The Marine Safety division provides lifeguard services. MGT analyzed the cost of the services they provide for special events, including lifeguard vehicles, rental of personal watercraft, lifeguard staffing, and review of conditions of use for special events.

The analysis found the division is recovering 80% of its costs. Department management is recommending Marine Safety fees be increased to recover 100% of cost, except for lifeguard vehicle and personal watercraft fees for non-profits and Conditions of Use Review fees. If department recommendations are adopted and demand remains consistent, cost recovery will be 92% and annual revenue will increase by $3,295.

20.98 PAGE 10
Prevention
The Fire Prevention and Life Safety division reviews plans and issues permits for new construction in addition to providing permits and inspections for all specialized fire detection and suppression systems, as well as tent permits, fire dancing permits, and other special event permits.

The analysis found that Fire Prevention is currently recovering 59% of its cost through fees.

Department management is recommending 100% cost recovery for all fees. If recommended fee adjustments are adopted and demand remains consistent, annual revenue will increase by $224,557.

The Prevention division’s inspection fees for new construction currently mirror the Building division’s, with tiered fees structured by types of occupancies. The division is recommending simplifying their fee schedule by removing these fees and replacing them with one set of tiered inspection fees by size only, regardless of type of occupancy. They are also proposing adding tiered plan review fees by size of building.

In addition to the above, the following new fees are also recommended:
 State Plan Review – hourly
 Consultation Fee – hourly
 Fire Inspection Fee – hourly
 Inspection Failed/Cancellation Fee – hourly
 Fire Sprinkler Commercial Aboveground 45,000-100,000 sf  Fire Sprinkler Commercial Aboveground 100,000-200,000 sf  Fire Sprinkler Commercial Aboveground > 200,000 sf
 Fire Alarm System (Commercial/Residential) 45,000-100,000 sf  Fire Alarm System (Commercial/Residential) 100,000-200,000 sf  Fire Alarm System (Commercial/Residential) > 200,000 sf In addition to the construction inspection fees described above, twenty-four (24) other fees are recommended for removal, either because they are redundant or because they are obsolete and not charged.

Peer Comparisons
MGT conducted a comparison of fees for the Planning and Community Development – Building and Safety division for its building prototypes with five neighboring agencies. Those agencies were City of Watsonville, City of San Jose, City of San Luis Obispo, and County of Santa Cruz The prototypes compared were:
 Residential Combo, Addition – ADU
 Residential Combo, New
 Non-Residential (Mixed-Use) New
Survey details and results can be found in Appendix B.

20.99 PAGE 11
Recommendations
MGT recommends that the City build on its investment in this cost‐of‐service analysis by continuing to analyze its fees and charges, whether this is done by staff or outside consultants.

Once the commitment is made to understand the full cost of providing services, it is important to review and update the analysis to keep pace with changes in service delivery, staffing changes, and demand levels.

Most agencies ask us at the conclusion of the study: how often should this type of study be undertaken? Our advice is to perform this detailed analysis at least every three but not more than five years, with minor adjustments in the non‐study years (to keep pace with economic impacts).

MGT recommends the City apply an inflation adjustment to fees annually, based on CPI or COLA, to keep pace with inflation. The industry best practice is to apply this index once per year as part of the City’s annual budget process. This is particularly helpful once an agency has chosen to adopt a cost recovery policy – whether 100% of the cost or something less – in order to keep fees at the desired level.

Santa Cruz City CouncilOctober 22, 2024

Santa Cruz City Council
October 22, 2024