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SECTION 17. Section 17.62.030 is hereby amended as follows:
17.62.030 Architectural Review
A. Purpose. Architectural rReview is intended to improve the aesthetic appearance of open spaces and structures, especially those visible from public rights-of-way, and to establish design standards and policies promoting and enhancing good design.
B. Applicability. Architectural rReview shall be required for the following projects:
1. For nonresidential, multi-family residential, and mixed-use projects: all new construction and additions of 50 percent or greater to existing structures;
2. For single-family residential projects: all new construction, additions to existing structures that result in a height of greater than 18 feet, and all new second-story elements including decks, roofs, exterior staircases, roof decks, projections, etc.;
3. Landscape and irrigation plans for new construction of multi-family residential, commercial, and other nonresidential development;
4. Residential subdivisions resulting in two or more dwellings;
5. Publicly financed projects administered by the City;
46. Master sSign pPrograms and murals as required by Subsection 17.40.080.D, or signs proposed within the City that are determined by the Zoning Administrator not to be professionally rendered or in strict compliance with Chapter 17.40 (Signs) or an existing master sign program previously approved by the Board of Architectural Review; provided, that each sign complies with the requirements of Chapter 17.40 (Signs); and
57. Satellite dish antennas greater than one meter in diameter;
68. Any change(s) to projects that previously received Architectural Review approval from the Board of Architectural Review that cannot be approved by the Zoning Administrator in accordance with Section 17.64.090 (Changes to an Approved Project).
C. Review authority. Architectural review shall be conducted by the Board of Architectural Review which shall report its findings to the applicable project review authority. A project that requires Commission and/or Council approval shall obtain that approval prior to final design approval by the Board of Architectural Review. The Director may require what the Director determines to be a project of significant size or impact to receive conceptual design review by the Board of Architectural Review prior to final action by the Commission or Council. Project review, notice, and hearing. Each application shall be reviewed by the Zoning Administrator.
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1. The Zoning Administrator may administratively approve an Architectural Review if all of the following requirements are met:
a. The Zoning Administrator has made the following findings:
(1) The proposed structure will not adversely impact the character of the neighborhood; and
(2) The proposed structure will be compatible with the scale, bulk, height, and location of existing structures located on the neighboring block face; and (3) The project is exempt or is not a project under CEQA; and (4) A Notice of Intent to Approve has been mailed to all real property owners within 300 feet of the property and no protest has been received; and (5) The applicant has complied with the requirements of Section 17.62.030.D.
2. If the project does not meet the requirements specified in Section 17.62.030.C.1 above, then the application for Architectural Review shall be considered by the Planning Commission. Additionally, the Zoning Administrator may refer any Architectural Review application to the Planning Commission as deemed appropriate.
3. Projects approved by the Zoning Administrator pursuant to Section 17.62.030.C.1 may be appealed to the Planning Commission pursuant to Chapter 17.76. If the Zoning Administrator determines that the project should be denied, the item shall automatically be referred to the Planning Commission with no need for appeal.
D. Staking and flagging required. An applicant for Architectural Review shall do one of the following:
1. At least 14 days prior to the date of consideration for an Architectural Review application, staking and flagging shall be erected by the applicant or the applicant’s agent, for all proposed new commercial structure(s) (including new structures and additions), and residential new construction and addition(s) to existing structure(s) over 18 feet in height, to demonstrate the dimensions and heights of the ridge lines at the highest peak of each roof line and perimeter. Staking and flagging installation shall comply with the City’s standards on staking and flagging. The Zoning Administrator may require that the applicant provide evidence to verify that the staking and flagging has taken place and accurately represents the proposed development.
2. For situations where staking and flagging for a structure over 25 feet in height is infeasible due to verified logistical or safety concerns, the Zoning Administrator may allow the applicant to perform the following alternative means of compliance for staking and flagging:
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a. In addition to public notices required pursuant to 17.78.020, a copy of the public hearing notice shall be sent to the occupant of every physical address located within 300 feet at least 10 days prior to the hearing; and
b. The applicant shall cause to have prepared by a licensed architect, surveyor, engineer, or other licensed professional deemed qualified by the Zoning Administrator, architectural renderings accurately showing the building as it would be viewed from multiple locations, including nearby streets, adjacent properties, and other views that may be significantly impacted; and
c. At least 14 days prior to the hearing, the applicant shall post in a conspicuous place along each road frontage abutting the property a sign, not less than three feet by five feet in size, providing a description of the project. A minimum of 40% of the area of the sign shall be occupied by an architectural rendering approved by the Zoning Administrator, and the sign shall also include a description of the project, the time, place, and hearing body for any public hearing,
The applicant shall be responsible for any and all costs for staking and flagging or alternative means of compliance.
E. Review considerations. Architectural Rreview approval shall require that the Board of Architectural Reviewreview authority shall first evaluate the following aspects of each project:
1. Architectural considerations. Architectural considerations, including the character, quality, and scale of the design, architectural relationship with the site and other structures, building materials, colors, fencing, trash enclosure and walkway improvements, exterior lighting and signs, and the screening of exterior appurtenances.
2. Landscape considerations. Landscape considerations, including the color, coverage, location, size, texture, and type of plant materials, provisions for irrigation, maintenance, and the protection of landscaped areas, and similar elements. The Board of Architectural Reviewreview authority shall encourage the planting of native and/or drought-tolerant landscaping in compliance with Section 17.30.040 (Landscaping Standards).
3. Lighting considerations. Proposed outdoor lighting, including the proposed placement of fixtures, type of fixtures, and illumination levels.
F. Conditions of approval. In making its decisions, the Board of Architectural Reviewreview authority may impose the conditions as it deems reasonable and necessary to protect the best interests of the surrounding area, as well as to further the public health, safety, and general welfare of the community.
G. Review and approval of minor changes. The Board of Architectural Review review authority may adopt, by resolution, subject to ratification by the Commission, measures Packet Page 251
to streamline the review and approval of minor changes not specifically listed in Section
17.64.090 (Changes to an Approved Project).
SECTION 18. Section 17.62.040 is hereby amended as follows:
17.62.040 Limited Term Permit
A. Purpose. This section establishes procedures and standards for the review of Limited Term Permits for short-term activities that may not comply with standards of the applicable zone, but may otherwise be acceptable because of their temporary nature.
B. Review authority. A Limited Term Permit may be reviewed, and approved or disapproved administratively by the Zoning Administrator, in compliance with this section.
C. Applicability. A Limited Term Permit may be granted only for the activities listed in Subsection E of this section.
D. Exempt short-term activities. The following short-term activities are allowed without a Limited Term Permit. A short-term activity that is not within the following categories shall comply with Subsection E or F of this section:
1. Construction yard – On-site. An on-site contractors’ construction yard for an approved construction project. The yard shall be removed from the site immediately upon completion of the project, or the expiration of the Building Permit authorizing construction, whichever occurs first.
2. Emergency activity. Emergency public health and safety activities, as determined by the City Manager or Council.
3. Event on site approved for public assembly. An event on the site of, or within, a public or private meeting facility, school, theater, or similar facility designed and approved by the City for public assembly, and occurring during daylight hours and with no amplified outdoor sound.
4. Event or activities on public property. Parades on public streets, events in public parks, golf courses, or on other publicly owned property, and approved by the City’s Special Events Committee.
5. Fundraising event. A temporary fundraising event within a nonresidential zone or on the site of an established nonresidential use within a residential zone, limited to a maximum of one two events of no more than three consecutive days, per organization, per month per site. A Limited Term Permit may allow an organization to conduct a fundraising event up to six times per year. Sponsorship shall be limited to educational, fraternal, religious, or service organizations directly engaged in civic or charitable efforts, or an organization that is tax exempt in compliance with U.S. Internal Revenue Code Section 501(c).
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6. Garage sales. Garage sales, not to exceed four per year and two consecutive days, in compliance with Section 17.52.110 (Garage Sales).
7. Public property or public right-of-way work. Construction and maintenance activities conducted on public property that is authorized by an encroachment permit.
E. Allowed short-term activities. The following short-term limited activities may be allowed with a Limited Term Permit, in compliance with this section. A Limited Term Permit may authorize an activity for the time specified by this section, but in no event for more than 12 months. Other short-term activities that are not within the following categories shall instead comply with the planning permit requirements and standards that otherwise apply to the site:
1. Caretaker unit. See definition under Chapter 17.98 (Definitions).
2. Construction yard – Off-site. An off-site contractors’ construction yard for an approved construction project. The yard shall be removed immediately upon completion of the project, or the expiration of the Building Permit authorizing construction, whichever occurs first.
3. Events. Art and craft exhibits, carnivals, circuses, concerts, fairs, farmers markets, festivals, flea markets, food events, open air sales, outdoor entertainment/sporting events, religious revivals, rummage sales, secondhand sales, sidewalk sales, swap meets, and other special events, for up to five consecutive days, or four two-day weekends, within a 12-month period, on private, nonresidentially zoned property.
4. Fundraising event. A temporary fundraising event within a residential zone on a site that is vacant or contains an established residential use, limited to a maximum of one event of no more than three consecutive days, per organization, per month, per site, may be allowed with the issuance of a Longer Term Limited Term Permit per Subsection F of this section. A longer term Limited Term Permit may also allow an organization to conduct a fundraising events on sites within a nonresidential zone or on the site of an established residential use within a residential zone for more events during a year than would be exempt pursuant to Section 17.62.040.D.5 up to six times per year. Sponsorship shall be limited to educational, fraternal, religious, or service organizations directly engaged in civic or charitable efforts, or an organization that is tax exempt in compliance with U.S. Internal Revenue Code Section 501(c).
5. Location filming. The temporary use of a site for location filming for commercials, movies, videos, etc., for the time specified by the Zoning Administrator, but not to exceed 12 months.
6. Model homes. A model home or model home complex may be authorized in compliance with the following standards, and other requirements deemed necessary by the Zoning Administrator:
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a. The sales office and any off-street parking shall be converted back to residential use and/or removed before final building inspection, or within 14 days from the sale of the last parcel in the subdivision, whichever first occurs. b. The model home complex shall be used only to sell units within the subdivision where the complex is located.
c. Model homes may be open to the public only after final building inspection, and after all subdivision improvements are completed and accepted by the City.
7. Seasonal sales lots. Seasonal product sales (e.g., for Halloween, Thanksgiving, Christmas) including a temporary security trailer, on private property in a nonresidential zone or at an established institutional use within a residential zone, for up to 30 days.
8. Temporary facilities during construction. One or more temporary structures may be used during the construction of an approved development as offices, or for the storage of equipment and/or tools.
a. Conditions of approval. Permit approval shall include conditions regarding the following matters:
(1) Requirements for adequate site ingress and egress;
(2) A prohibition on the use of the facility for any work other than that on the same site; (3) Requirements for the temporary storage of construction debris (e.g., asphalt, concrete, dirt) at designated on-site locations; provided, that the applicant shall furnish a schedule, acceptable to the Zoning Administrator, for the periodic disposal or recycling of the materials; and
(4) Requirements designed to minimize potential conflicts between the work on site and adjacent land uses.
b. Permit time limit. The permit may be approved for up to 12 months following the issuance of a companion Building Permit, or upon completion of the project, whichever occurs first:
(1) The permit may be extended by the Zoning Administrator for an additional 12 months if a written request for extension is submitted at least 14 days before permit expiration, and the applicant provides justification for the request that is determined by the Zoning Administrator to be reasonable (e.g., the delay was caused by reasons beyond the applicant’s control).
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(2) A permit for temporary construction facilities may be extended by the Zoning Administrator as needed; provided, that all construction facilities and equipment shall be removed from the site prior to the approval of a Certificate of Occupancy. c. Condition of site following completion. Each temporary structure and related improvements shall be completely removed from the site following the expiration of the Limited Term Permit, or within 30 days of completion of the development project, whichever occurs first.
9. Temporary real estate sales office. A temporary real estate sales office may be approved within an approved subdivision, solely for the first sale of homes within the subdivision. The sales office shall be completely removed from the site prior to issuance of a Certificate of Occupancy.
10. Temporary business office or private school classroom. A trailer or mobile home may be allowed as a temporary work site for employees of a business in advance of the completion of a permanent facility, or as a temporary classroom for a school; provided, that:
a. The permanent use has obtained all necessary zoning approvals/permitsbeen granted Use Permit approval by the Commission, and a Building Permit ishas been obtained for the trailer or mobile home, ands well as the permanent structure; b. The use is appropriate because:
(1) The trailer or mobile home will be in place during construction or remodeling of a permanent commercial, industrial, or classroom structure for a maximum of 1224 months, or upon expiration of the Building Permit for the permanent structure, whichever first occurs; or
(2) The applicant has demonstrated that the temporary work site is a short-term necessity for a maximum of 1224 months, while a permanent work site is being obtained; and
c. The trailer or mobile home is removed before final building inspection or the issuance of a Certificate of Occupancy for the permanent structure. (1) A temporary business office or school classroom may be allowed for up to 24 months, and the Commission Zoning Administrator may grant one extension of up to 12 months.
11. Similar temporary activities. A temporary activity that the Zoning Administrator determines is similar to the other activities listed in this subsection, and compatible with the applicable zoning and surrounding land uses.
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F. Longer-term limited activities subject to a Use Permit. The Commission City may authorize a temporary land use that would occur for a longer period than allowed shortterm land uses listed under this section by Use Permit approval, in compliance with Section 17.62.070 (Use Permit and Minor Use Permit), in lieu of a Limited Term Permit.
The Commission review authority may determine that a proposed temporary land use is similar to and compatible with a listed use and may be allowed, only after first making all of the following findings with the determination:
1. The characteristics of, and activities associated with, the use are similar to one or more of the listed allowed short-term uses under Subsection E of this section and will not involve a greater intensity than the uses listed in the zone;
2. The use will be consistent with the intents and purposes of the applicable zone;
3. The use is consistent with the General Plan and any applicable specific plans;
4. The use is compatible with the other uses allowed in the zone; and
5. The use is not listed as allowable in any other zone.
A determination that a use qualifies as a similar and compatible use, with the findings supporting the determination, shall be made in writing upon Use Permit approval.
G. Development standards. The Zoning Administrator shall establish the following standards based on the type of short-term activity, using the requirements of the applicable zone, and Articles 3 (Site Planning, Design, and Operational Standards) and 4 (Standards for Specific Land Uses) for guidance:
1. Access, floor areas, heights, landscaping, off-street parking, setbacks, signs, utilities, and other structure and property development improvements and features;
2. Measures for removal of the activity and site restoration, to ensure that no changes to the site would limit the range of possible future land uses otherwise allowed by this Zoning Ordinance; and
3. Limitation on the duration of any approved “temporary structure,” to a maximum of 12 months, so that it shall not become a permanent or long-term structure.
H. Application filing and processing. An application for a Limited Term Permit shall be filed and processed in compliance with Chapter 17.60 (Permit Application Filing and Processing). The application shall be accompanied by detailed and fully dimensioned plans, architectural drawings and sketches, and data/materials identified in the Department handout for Limited Term Permits, and any applicable fees. An application for a Limited Term Permit shall be submitted at least four working days prior to the proposed event date in order for staff to review the request.
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I. Project review, notice, and hearing.
1. Zoning Administrator review. Each application shall be reviewed by the Zoning Administrator to ensure that the proposal complies with all applicable requirements of this Zoning Ordinance.
2. Public notice and hearing requirements. No public notice or hearing is required prior to a Zoning Administrator decision on a Limited Term Permit. Public notice and, if necessary, a hearing is required prior to a Commission decision on a Use Permit in compliance with Chapter 17.78 (Public Hearings).
J. Findings and decision. The Zoning Administrator shall approve a Limited Term Permit only after first finding that the requested short-term activity complies with all applicable standards in this section.
K. Post-approval procedures. The procedures and requirements in Chapter 17.64 (Permit Implementation, Time Limits, and Extensions), and those related to appeals and revocation in Article 6 (Zoning Ordinance Administration), shall apply following a decision on a Limited Term Permit application.
1. Condition of the site following short-term activity. Each site occupied by a shortterm activity shall be cleaned of debris, litter, or other evidence of the temporary activity on completion or removal of the activity, and shall thereafter be used in compliance with the provisions of this Zoning Ordinance. Performance security may be required before initiation of the activity to ensure cleanup after the activity is finished in compliance with Section 17.64.070 (Performance Guarantees).
2. Performance security for temporary structures. Before issuance of a Limited Term Permit, the applicant shall provide performance security in a form and amount acceptable to the Zoning Administrator to guarantee removal of all temporary structures within 30 days following the expiration of the Limited Term Permit in compliance with Section
17.64.070 (Performance Guarantees).
SECTION 19. Section 17.62.050 is hereby amended as follows:
17.62.050 Planned Development Permit
A. Purpose. The Planned Development Permit is intended to provide for flexibility in the application of Zoning Ordinance standards to proposed development under limited and unique circumstances. The purpose is to allow for consideration of innovation in site planning and other aspects of project design, and more effective design responses to site features, uses on adjoining properties, and environmental impacts than the Zoning Ordinance standards would produce without adjustment. The City expects eEach Planned Development project must to be of obvious, significantly higher quality than would be achieved through conventional design practices and strict application of Zoning standards. Economic gain or the loss of prospective profits shall not be a basis for consideration of a Planned Development Permit.
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B. Applicability. A Planned Development Permit application may be filed and processed only under the following circumstances:
1. Minimum site area. A Planned Development Permit may be requested only for a residential, commercial, industrial, or mixed-use development on a site of one acre or larger.
21. Timing of permit. No Building or Grading Permit shall be issued on a site for which a Planned Development Permit is proposed until the Planned Development Permit has been approved in compliance with this section.
32. Scope of approval.
a. Planned Development Permit approval may adjust or modify, where determined by the review authority to be necessary and justifiable, any applicable development standard of this Zoning Ordinance (e.g., building height, setbacks, parking, street layout); provided, that the approval shall not authorize a land use that is not allowed in the applicable zone by Article 2 nor alter any development standard that is specified within the General Plan.
b. A project proposing increased residential density may only be approved by the Council in compliance with Chapter 17.33 (Affordable Housing Incentives).
C. Project design and development standards. A planned development project shall be designed and constructed in compliance with the following requirements, in addition to all other applicable requirements of this Zoning Code:
1. Infrastructure requirements. A planned development proposal shall not be approved unless adequate sewer and water lines and streets already service the site, or the developer proposes to install the facilities at the developer’s expense.
2. Street design. The street system in a planned development shall conform to the existing topography rather than cut through it, to minimize cut-and-fill grading activities.
A planned development of five or more acres shall be designed and constructed with direct access to at least one major thoroughfare.
3. Preservation of community assets and landmarks. Historic places, groves, scenic points, trees, waterways, and other community assets and landmarks within the project site shall be preserved to the greatest extent possible.
4. Open space. A residential planned development project of three acres or more shall be designed to either provide a minimum of 10 percent of the total area in one centrally located usable open space area, or dedicate 10 percent of the total area of the site to the City. If the latter alternative is proposed, the City shall reserve the right to accept or reject Packet Page 258
a dedication. In either instance, at least one-half of the total open space area shall be directly accessible to the public, and open to use year-round.
5. Screening buffer. A planned unit development project proposed to be of higher density or different character than an existing abutting single-family residential neighborhood shall be designed and constructed to provide an appropriate screening buffer between the proposed development and the abutting residential neighborhood.
D. Application filing and processing.
1. Pre-application conference. An applicant who intends to file an application for Planned Development Permit approval shall may first participate in a pre-application conference in compliance with Subsection 17.60.040.A (Application Preparation and Filing – Pre-application conference).
2. Application content. An application shall be prepared and filed in compliance with Chapter 17.60 (Permit Application Filing and Processing). It is the responsibility of the applicant to provide evidence in support of the findings, as required by Subsection G.1 of this section.
E. Review authority. A Planned Development Permit may be granted by the Commission.
F. Project review, notice, and hearing.
1. Application review. Each Planned Development Permit application shall be analyzed by the Director Zoning Administrator to ensure that the application is consistent with the purpose and intent of this section. The Director Zoning Administrator shall submit a staff report and recommendation to the Commission for their consideration.
2. Public hearing. The Commission shall conduct a public hearing on an application for a Planned Development Permit before the approval or disapproval of the permit. Notice of the public hearing shall be provided, and the hearing shall be conducted in compliance with Chapter 17.78 (Public Hearings).
G. Commission action. Following a public hearing, the Commission may approve or disapprove a Planned Development Permit, and shall record the decision and the findings upon which the decision is based.
1. Required findings. The Commission may approve a Planned Development Permit only after first finding that:
a. The project is consistent with the General Plan and any applicable specific plan, any applicable density bonus requirements (see Chapter 17.33 – Affordable Housing Incentives), and is allowed within the applicable zone; Packet Page 259
b. The project complies with all applicable provisions of this Zoning Ordinance other than those modified by the Planned Development Permit;
c. The location, size, planning concepts, design features, and operating characteristics of the project are and will be compatible with the character of the site, and the land uses and development intended for the surrounding neighborhood by the General Plan; d. The approved modifications to the development standards of this Zoning Ordinance are necessary and appropriate to accommodate the superior design of the proposed project, its compatibility with adjacent land uses, and its successful mitigation of any identified environmental impacts;
e. The development authorized by the Planned Development Permit approval will be of significantly higher quality, more energy efficient, more conserving of resources, and/or will produce fewer and less serious environmental impacts than development that could otherwise occur in compliance with the requirements of this Zoning Ordinance without adjustment;
f. The project can be adequately, conveniently, and reasonably served by public facilities, services, and utilities;
g. The establishment, maintenance, or operation of the use would not, under the circumstances of the particular case, be detrimental to the health, safety, or general welfare of persons residing or working in the neighborhood of the proposed use, or detrimental or injurious to property and improvements in the neighborhood or to the general welfare of the City.
2. Conditions of approval. In approving a Planned Development Permit, the Commission may impose any conditions deemed reasonable and necessary to ensure that the project will comply with the findings required by Subsection G.1 of this section.
H. Time limit and expiration. A Planned Development Permit shall expire and become void 12 months from the date of approval, or upon the expiration of another time limit established by the review authority, unless project construction has commenced within the required time limit, and construction continues thereafter under valid Building Permits, or an extension of time has been granted by the Zoning Administrator. A Planned Development Permit may be extended once, for a maximum of 12 months.unless it is exercised or extended within the timeframes specified in Section 17.64.080.
I. Post approval procedures. The procedures and requirements in Chapter 17.64 (Permit Implementation, Time Limits, and Extensions), and those related to appeals and revocation in Article 6 (Zoning Ordinance Administration), shall apply following a decision on an application for Planned Development Permit approval.
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SECTION 20. Section 17.62.070 is hereby amended as follows:
17.62.070 Use Permit and Minor Use Permit
A. Purpose. The Use Permit and Minor Use Permit are for the discretionary review of uses and activities that may be appropriate in an applicable zone, but whose effects on a site and surroundings cannot be determined before being proposed for a specific site. Use Permit or Minor Use Permit approval or denial is entirely at the discretion of the City, and approval may be granted only in compliance with this section.
B. Applicability. The requirements of this section apply to uses listed within Article 2 (Zones, Permitted Land Uses, and Zoning Standards) as requiring either a Use Permit or Minor Use Permit. Minor Use Permit approval may be considered only for a project that is exempt from the California Environmental Quality Act (CEQA). A project that is required by Article 2 to have Minor Use Permit approval, but is not exempt from CEQA, shall instead require a Use Permit.
C. Review authority. A Use Permit shall be approved or denied by the Commission; a Minor Use Permit shall be approved or denied by the Zoning Administrator; provided, that the Zoning Administrator may choose to refer any Minor Use Permit application to the Commission for hearing and decision in the same manner as a Use Permit.
CD. Application filing and processing. A Use Permit or Minor Use Permit application shall be prepared, filed and processed in compliance with Chapter 17.60 (Permit Application Filing and Processing). It is the responsibility of the applicant to establish evidence in support of the findings required by Subsection F of this section (Findings and decision).
DE. Project review, notice, and hearing. Each application shall be reviewed by the Director Zoning Administrator to ensure that the proposal complies with all applicable requirements of this Zoning Ordinance.
1. Use Permit. The Commission shall conduct a public hearing on an application for a Use Permit before a decision on the application. Notice of the hearing shall be provided, and the hearing shall be conducted in compliance with Chapter 17.78 (Public Hearings).
2. Minor Use Permit. The Zoning Administrator shall conduct a public hearing on an application for a Minor Use Permit before a decision on the application. Notice of the hearing shall be provided, and the hearing shall be conducted in compliance with Chapter
17.78 (Public Hearings).
3. Staking and flagging required. At least 14 days prior to the date of a hearing as described in Subsections E.1 and E.2 of this section, an applicant requesting approval of a Use Permit or Minor Use Permit shall erect staking and flagging, for all proposed new commercial structure(s), and residential new construction and addition(s) to existing structure(s) over 18 feet in height, to demonstrate the dimensions and heights of the ridge lines at the highest peak of each roof line and perimeter. Staking and flagging installation Packet Page 261
shall comply with the Department handout on staking and flagging.The Zoning Administrator may administratively approve a Minor Use Permit or Use Permit if all of the following requirements are met:
a. The Zoning Administrator has determined that all of the findings identified in Section 17.62.070.E may be made; and
b. The project is exempt or is not a project under CEQA; and c. A Notice of Intent to Approve has been mailed to all real property owners within 300 feet of the property and no protest has been received; and d. If the Use Permit or Minor Use Permit is accompanied by an application for Architectural Review, the applicant has complied with the requirements of Section
17.62.030.D
2. Projects not meeting the requirements above shall be referred to the Planning Commission. The Zoning Administrator may also choose to refer any application to the Planning Commission.
3. Projects approved by the Zoning Administrator pursuant to Section 17.62.070.D.1 may be appealed to the Planning Commission pursuant to Chapter 17.76. If the Zoning Administrator determines that the project should be denied, the item shall automatically be referred to the Planning Commission with no need for appeal.
4. Projects referred to the Planning Commission shall comply with all requirements for noticing typically required for a public hearing.
EF. Findings and decision. The review authority may approve or deny an application for Use Permit or Minor Use Permit approval. The review authority may approve a Use Permit or Minor Use Permit only after first finding all of the following:
1. The proposed use is allowed within the applicable zone and complies with all other applicable provisions of this Zoning Ordinance and the Municipal Code;
2. The proposed use is consistent with the General Plan and any applicable specific plan;
3. The design, location, size, and operating characteristics of the proposed activity are compatible with the existing and planned future land uses in the vicinity;
4. The site is physically suitable for the type, density and intensity of use being proposed, including access, utilities, and the absence of physical constraints; and Packet Page 262
5. Granting the permit would not be detrimental to the public interest, health, safety, convenience, or welfare, or materially injurious to persons, property, or improvements in the vicinity and zone district in which the property is located.
G. Findings and decision for Americans with Disabilities Act (ADA) accommodations.
The review authority may approve or deny an application for Minor Use Permit approval for a modification to development standards of this Zoning Ordinance for a residential project after first making the following findings. The review authority shall record the decision and the findings on which the decision is based.
1. An individual protected under the Americans with Disabilities Act has a special need that would only be served by the requested modification to development standards for the proposed project;
2. The design, location, size, and operating characteristics of the proposed modification are compatible with the existing and planned future land uses in the vicinity; and
3. Alternative accommodations which may provide an equivalent level of benefit, but would not require modifications to the development standards of this Zoning Ordinance, are infeasible for the proposed project.
FH. Conditions of approval. In approving a Use Permit or Minor Use Permit, the review authority may impose any reasonable conditions to ensure that the approval will comply with the findings required by Subsection FE of this section. Any Use Permit granted for any medical or adult cannabis dispensary shall include as a condition the obtaining of a development/operating agreement with the City which shall require periodic review of performance and compliance as deemed appropriate by the City.
HI. Post review procedures. The procedures and requirements in Chapter 17.64 (Permit Implementation, Time Limits, and Extensions), and those related to appeals and revocation in Article 6 (Zoning Ordinance Administration), shall apply following the decision on an application for a Use Permit or Minor Use Permit.
SECTION 21. Section 17.62.080 is hereby amended as follows:
17.62.080 Variance and Minor Variance
A. Purpose. The Variance and Minor Variance provides a process for City consideration of requests to waive or modify certain standards of this Zoning Ordinance when, because of special circumstances applicable to the property, including location, shape, size, surroundings, topography, or other physical features, the strict application of the development standards otherwise applicable to the property denies the property owner privileges enjoyed by other property owners in the vicinity and in the same zone.
B. Applicability. A Variance or Minor Variance may be granted to waive or modify any requirement of this Zoning Ordinance except allowed land uses, residential density, floor Packet Page 263
area ratio limitations, specific prohibitions (for example, prohibited signs), or procedural requirements.
C. Review authority.
1. Variance. A Variance shall be approved or denied by the Commission.
2. Minor Variance. A Minor Variance may be approved or denied by the Zoning Administrator to grant relief from only the following requirements of this Zoning Ordinance, up to a maximum reduction of 10 percent:
a. Distance between structures;
b. Parcel dimensions (not area);
c. Setbacks;
d. Structure height; or
e. On-site parking, loading, and landscaping.
The Zoning Administrator may choose to refer any Minor Variance to the Commission for hearing and decision.
CD. Application filing and processing. An application for a Variance or Minor Variance shall be prepared, filed, and processed in compliance with Chapter 17.60 (Permit Application Filing and Processing). It is the responsibility of the applicant to provide evidence in support of the findings required by Subsection EF of this section.
DE. Project review, notice and hearing. Each application shall be reviewed by the Director to ensure that the proposal complies with this section, and other applicable requirements of this Zoning Ordinance.
1. Variance. The Commission shall conduct a public hearing on an application for a Variance prior to a decision on the application. Notice of the public hearing shall be provided, and the hearing shall be conducted in compliance with Chapter 17.78 (Public Hearings).
2. Minor Variance. The Zoning Administrator may approve or deny a Minor Variance without a public hearing, or may choose to refer any Minor Variance application to the Commission for a hearing and decision in the same manner as provided for a Variance by Subsection E.1 of this section.
a. Public notice. The notice shall state that the Director will decide whether to approve or deny the Minor Variance application on the date specified in the notice, and that a Packet Page 264
public hearing will be held only if requested in writing by any interested person prior to the specified date for the decision.
b. Hearing. When a hearing is requested, notice of the hearing shall be provided in compliance with Chapter 17.78 (Public Hearings), and the Commission shall conduct the public hearing prior to a decision on the application in compliance with Chapter 17.78.
The Zoning Administrator may administratively approve a Variance if all of the following requirements are met:
a. The Zoning Administrator has determined that all of the findings identified in Section 17.62.080.E may be made; and
b. The project is exempt or is not a project under CEQA; and c. A Notice of Intent to Approve has been mailed to all real property owners within 300 feet of the property and no protest has been received; and d. If the Variance is accompanied by an application for Architectural Review, the applicant has complied with the requirements of Section 17.62.030.D.
2. Projects not meeting the requirements above shall be referred to the Planning Commission. The Zoning Administrator may also choose to refer any application to the Planning Commission.
3. Projects approved by the Zoning Administrator pursuant to Section 17.62.080.D.1 may be appealed to the Planning Commission pursuant to Chapter 17.76. If the Zoning Administrator determines that the project should be denied, the item shall automatically be referred to the Planning Commission with no need for appeal.
4. Projects referred to the Planning Commission shall comply with all requirements for noticing typically required for a public hearing
FE. Findings and decision. The review authority may approve or deny an application for a Variance or Minor Variance. The Review Authority shall record the decision and the findings on which the decision is based.
1. Required Vvariance findings. The review authority may approve a Variance only after first making all of the following findings:
a. There are special circumstances applicable to the property, including size, shape, topography, location, or surroundings, so that the strict application of this Zoning Ordinance deprives the property of privileges enjoyed by other property in the vicinity and within the same zone;
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b. The approval of the Variance includes conditions of approval as necessary to ensure that the adjustment granted does not constitute a grant of special privileges inconsistent with the limitations upon other properties in the vicinity and within the same zone. c. The Variance is consistent with the General Plan, and any applicable specific plan.
2. Required Minor Variance findings. The review authority may approve a Minor Variance only after first making all of the following findings:
a. The location, size, planning concepts, design features, and operating characteristics of the project are and will be compatible with the character of the site, and the land uses and development intended for the surrounding neighborhood by the General Plan. b. The Minor Variance is consistent with the General Plan, and any applicable specific plan.
c. The establishment, maintenance, or operation of the use would not, under the circumstances of the particular case, be detrimental to the health, safety, or general welfare of persons residing or working in the neighborhood of the proposed use or project, or detrimental or injurious to property and improvements in the neighborhood or to the general welfare of the City.
3. Reasonable accommodation. The Review Authority may grant a Minor Use Permit for the site planning or development standards of this Zoning Ordinance in compliance with Section 17.62.070 (Use Permit and Minor Use Permit), based on the findings of Subsection 17.62.070.G (Findings and decision for Americans with Disabilities Act (ADA) accommodations).
GF. Conditions of approval. In approving a Variance or Minor Variance, the review authority:
1. Shall impose conditions to ensure that the approval does not grant a special privilege inconsistent with the limitations on other properties in the vicinity, and the zone in which the property is located; and
2. May impose any reasonable conditions to ensure that the approval complies with the findings required by Subsection FE of this section.
HG. Post review procedures. The procedures and requirements in Chapter 17.64 (Permit Implementation, Time Limits, and Extensions), and those related to appeals and revocation in Article 6 (Zoning Ordinance Administration), shall apply following the decision on an application for a Variance or Minor Variance.
SECTION 22. Section 17.64.020 is hereby amended as follows:
17.64.020 Effective Date of Permit, Acceptance of Conditions Packet Page 266
A. The approval of a planning permit (i.e., Use Permit, Minor Use Permit, Variance, Minor Variance, or Planned Development Permit) shall become effective on the seventh day after the date of approval by the review authority; provided, that no appeal has been filed in compliance with Chapter 17.76 (Appeals).
B. Within 15 days of the date of planning permit approval, tThe applicant shall sign their agreement with all applicable conditions of approval prior to issuance of any Building Permit or establishment of any use authorized by the permit.or the permit shall become void.
SECTION 23. Section 17.64.060 is hereby amended as follows:
17.64.060 Permits to Run with the Land
A Use Permit, Minor Use Permit, Variance, Minor Variance, or Planned Development Permit that is granted in compliance with Chapter 17.62 (Permit Review and Decisions) shall be deemed to run with the land from the effective date of the permit through any change of ownership of the site, except in the case where a permit expires and becomes void in compliance with Section 17.64.080 (Permit Time Limits, Extensions, and Expiration). All applicable conditions of approval shall continue to apply after a change in property ownership.
SECTION 24. Section 17.64.070.A is hereby amended as follows:
A. As a condition of approval of a Use Permit, Minor Use Permit, Variance, Minor Variance, Planned Development Permit, or Architectural Review, upon a finding that the City’s health, safety and welfare warrant, the review authority may require the execution of a covenant to deposit security, and the deposit of security in a reasonable amount to ensure the faithful performance of one or more of the conditions of approval in the event that the permittee fails to perform. The security shall, as required by law or otherwise at the option of the City, be in the form of cash, a certified or cashier’s check, a faithful performance bond, or other security acceptable to the City, executed by the applicant and a corporate surety authorized to do business in California. The security shall remain in effect until all of the secured conditions have been performed to the satisfaction of the Director.
SECTION 25. Section 17.64.080 is hereby amended as follows:
17.64.080 Permit Time Limits, Extensions, and Expiration A. Time limits.
1. Unless a condition of approval or other provision of this Zoning Ordinance establishes a different time limit, a permit or approval not exercised within twelvesix months of approval shall expire and become void, except where an extension of time is approved in compliance with Subsection B of this section.
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2. A planning permit shall not be deemed “exercised” until the permittee has either obtained an issued Building Permit from the City, substantially commenced the approved construction activity and has shown continued progress in construction, or, if no Building Permit is required, has actually commenced the allowed use on the site in compliance with the conditions of approval.
3. After it has been exercised, a planning permit shall remain valid and run with the land in compliance with Section 17.64.060, as long as a Building Permit is active for the project, the applicant has complied with all applicable conditions of approval, and after a final building inspection or certificate of occupancy has been granted, and the use is not discontinued. If a use authorized by planning permit is discontinued for a period of greater than 24 months, then the permit shall become null and void, and reestablishment of the use shall comply with the then-current provisions of the Zoning Ordinance, including the need to obtain a new planning permit, if applicable.
4. If a project is to be developed in approved phases, each subsequent phase shall be exercised within 12 months from the date that the previous phase was exercised, unless otherwise specified in the permit, or the unexercised phases of the permit shall expire and become void, except where an extension of time is approved in compliance with Subsection B of this section. If the project also involves the approval of a Tentative Map, the phasing shall be consistent with the Tentative Map and the permit shall be exercised before the expiration of the Tentative Map, or the permit shall expire and become void.
B. Extensions of time. Upon written request by the applicant, the original permit review authority may extend the time for an approved planning permit to be exercised.
1. Filing and review of request.
a. Time for filing. The applicant shall file a written request for an extension of time with the Department at least 30 days before the expiration date, together with the filing fee required by the City’s Fee Schedule.
b. Evidence to be provided. The Zoning Administrator shall determine whether the applicant has made a good faith effort to exercise the permit. The burden of proof is on the applicant to establish, with substantial evidence, that circumstances beyond the control of the applicant have prevented exercising the permit. c. Public hearing. If the original approval required a public hearing, the original review authority shall hold a public hearing on a proposed extension of time, after providing notice of the public hearing in compliance with Chapter 17.78 (Public Hearings). d. Notwithstanding the other provisions of this Chapter, the Zoning Administrator may administratively approve an extension of time for a period of up to one year without the need for public notice, a public hearing, or consideration by the original approving authority if the Zoning Administrator finds that there have been no significant changes to the General Plan, Zoning Ordinance, Specific Plan, or other applicable rules, regulations, Packet Page 268
or laws which could have had an impact on the original approval had they been in place at the time of approval, and there have been no changed to the conditions or circumstances of the site or project so that there would have been grounds for disapproval of the original project.
2. Action on extension request. A permit may be extended for a maximum of one two additional 12-month periods beyond the expiration of the original approval; provided, that the review authority (e.g., Zoning Administrator or Commission) first finds that there have been no changes in the conditions or circumstances of the site or project so that there would have been grounds for disapproval of the original project. The review authority may grant an extension of less than the maximum time allowed by this section.
3. Conditions of approval. The granting of a time extension in compliance with this section may include the review authority requiring additional conditions of approval as provided by the section of this chapter applicable to the specific permit type (e.g., Use Permit, Planned Development Permit).
C. Effect of expiration. After the expiration of a planning permit in compliance with Subsection A.1 of this section, no further work shall be done on the site until a new planning permit and any required Building Permit or other City permits are first obtained.
SECTION 26. Section 17.72.030.B.1 is hereby amended as follows:
B. Nonconforming structure. A nonconforming structure may continue to be used as follows:
1. Changes to, or expansion of a nonconforming structure. A nonconforming structure may be changed or expanded as follows:
a. Nonresidential or multi-family structures. A nonconforming nonresidential or multifamily structure shall not be enlarged, extended, increased, reconstructed (except as provided in Section 17.72.030.B.2), or relocated, except that additions to nonconforming structures are permitted if the addition is fully compliant with current standards and there is no increase in the nonconformity of the existing structure. b. Single-family dwelling. A single-family dwelling that is nonconforming with respect to setback requirements, height limits, and/or other development standards may undergo interior modifications in compliance with Building Code requirements without limitation by this chapter. Exterior modifications that go beyond the existing building footprint or height may be allowed as follows:
(1) The Zoning Administrator may approve a Zoning Clearance for a proposed exterior addition that complies with the setback requirements and height limits of the applicable zone, but that extends beyond the existing building footprint or height.
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(2) Any area of an addition that encroaches into a required setback no further than an existing nonconforming portion of the structure may be allowed with Minor Use Permit approval in accordance with Section 17.62.070; provided, that the area of the addition does not exceed 18 feet in height, within the required setback is less than or equal to 25 percent of the total floor area of the existing structure, complies with the Building Code, and the review authority first determines that the addition will not adversely affect any neighboring property or the character of the surrounding neighborhood. (3) Any area of an addition that encroaches into a required setback no further than an existing nonconforming portion of the structure that is greater than 25 percent of the total floor area of the existing structure18 feet in height may be allowed with Minor Use Permit and Board of Architectural Review approval in accordance with Sections
17.62.070 and 17.62.030, respectively, in compliance with the Building Code, and the review authorityies determine that the addition will not adversely affect any neighboring property or the character of the surrounding neighborhood.
SECTION 27. Section 17.72.040 is hereby amended as follows:
17.72.040 Loss of Nonconforming Status
A. Termination by discontinuance. If a nonconforming use of land or a nonconforming use of a conforming structure is discontinued for a continuous period of 180 days or longer, all rights to legal nonconforming status shall terminate.
1. The Director Zoning Administrator shall base a determination of discontinuance on evidence including the removal of equipment, furniture, machinery, structures, or other components of the nonconforming use, disconnected or discontinued utilities, failure to maintain a current business (operations) tax license on the site, and/or no business records to document continued operation.
2. The Zoning Administrator may grant a Minor Use Permit in compliance with Section
17.62.070 to allow an extension of the 180-day period for a period not to exceed an additional 180 days if the Zoning Administrator first finds that circumstances beyond the control of the applicant prevented the timely reestablishment of the use.The Zoning Administrator shall have the ability to extend the 180-day time period for an additional duration not exceeding 18 months if the applicant can demonstrate that the discontinuance was not due to abandonment and that the discontinuance was either due to factors beyond the applicant’s control (such as inability to find a tenant despite a diligent search) or was a deliberate and temporary suspension of the use by the owner for a specific purpose (such as conducting repairs or maintenance of the building).
3. Once legal nonconforming status is terminated, any further use of the site or structure shall comply with the requirements of the applicable zoning district and all other applicable requirements of this Zoning Ordinance.
B. Termination by destruction. Nonconforming status shall terminate if a nonconforming structure, or a conforming structure occupied by a nonconforming use, is Packet Page 270
involuntarily damaged or destroyed; except as provided by Section 17.72.030.B for residential dwellings, and except as follows:
1. If the cost of repairing or replacing the damaged portion of the structure is 60 percent or less of the assessed value of the structure immediately before damage, the structure may be restored to no more than the same size and use, and the use continued, if the restoration is started within 12 months of the date of damage and is diligently pursued to completion.
2. Minor Use Permit approval shall be required if the cost of repairing or replacing the damaged portion of the structure is more than 60 percent of the assessed value of the structure immediately before the damage. Minor Use Permit approval shall require a finding, in addition to those contained in Section 17.62.070, that the benefit to the public health, safety, or welfare exceeds the detriment inherent in the restoration and continuance of a nonconformity.
SECTION 28. Section 17.74.010 is hereby amended as follows:
17.74.010 Purpose
This chapter provides procedures for the amendment of the General Plan, a Specific Plan, the official Zoning Map, and this Zoning Ordinance whenever the Council determines that public necessity, convenience, and general welfare require the amendment.
SECTION 29. Section 17.76.030.A.1 is hereby amended as follows:
1. An appeal in compliance with this chapter may be filed by any aggrieved person; except that in the case of a decision on an Architectural Review, Use Permit, Minor Use Permit, Variance, Minor Variance, or Planned Development Permit which followed a public hearing, an appeal may only be filed by a person who, in person or through a representative, appeared at the public hearing in connection with the decision being appealed, or who otherwise informed the City in writing of the nature of their concerns before the hearing.
SECTION 30. The portion of Section 17.98.020.D headed as “Discretionary Land Use Approval” is hereby amended as follows:
Discretionary Land Use Approval. A decision of the City to approve the request of an applicant for a General Plan amendment, Zoning Map amendment, Tentative Map, Vesting Tentative Map, Final Map, Final Map modification or amendment, boundary line adjustment, Certificate of Compliance, Conditional Certificate of Compliance, development agreement, Minor Use Permit, Use Permit, permit extension of time or modification, Variance, or Minor Variance, time extension, Architectural Review, administrative permit pertaining to a land use approval or any accompanying California Environmental Quality Act (CEQA) determination pertaining to any type of approval referred to in this definition.
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SECTION 31. The portion of Section 17.98.020.M headed as “Medical Services – Clinic, Urgent Care” is hereby amended as follows:
Medical Services – Clinic, Urgent Care. A facility other than a hospital where medical, mental health, surgical and other personal health services are provided on an outpatient basis. Examples of these uses include:
• medical offices with fourive or more licensed practitioners and/or medical specialties • urgent care facilities
• out-patient care facilities
• other allied health services
SECTION 32. The portion of Section 17.98.020.O headed as “Ordinary Maintenance and Repair” is hereby amended as follows:
Ordinary Maintenance and Repair. Work for which a Building Permit is not required, the purpose and effect of which is to correct deterioration of or damage to a structure or any part thereof and/or to restore the structure to its condition before the deterioration or damage. Ordinary Maintenance and Repair may also include non-structural modifications for aesthetic purposes such as changes in color or roofing materials, provided that the modifications are allowed under current rules and regulations.
SECTION 33. The portion of Section 17.98.020.P headed as “Planning Permit” is hereby amended as follows:
Planning Permit. Authority granted by the City to use a specified site for a particular purpose. “Planning Permit” includes, but is not necessarily limited to, Use Permit, Minor Use Permit, Limited Term Permit, Variance, Minor Variance, Architectural Review, and Zoning Clearance, as established by Article 5 (Planning Permit Procedures) of this Zoning Ordinance.
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Attachment 2
Each Section in the proposed Ordinance is discussed in detail below.
SECTION 1
This amends the Zoning Ordinance Section on Residential Development Regulations. It is primarily a consistency change, updating the Section to reflect changes to Planned Unit Development Permits (see Section 18) and the elimination of the Minor Variance process (see Section 20).
SECTION 2
Currently exterior staircases on a residential structure require a Use Permit. This differs from most second story elements, such as second story additions and decks. Requiring a Use Permit for the staircase usually means that the applicant must apply for two separate permits. Staff believes that an exterior staircase can be considered through the Architectural Review process to avoid the need for multiple permits.
SECTION 3
As a condition of approval of the City’s Housing Element, the California Department of Housing and Community Development is requiring that the City adopt a ministerial process for the construction of residential projects to provide reasonable accommodations for persons with disabilities. Currently those accommodations require a Minor Use Permit. This new Section would clarify that reasonable accommodation projects may be approved by the Zoning Administrator. The findings noted are similar to the findings which presently exist (see Section 19 for the prior language).
SECTION 4
This Section provides that modifications to the design standards for the Automotive Regional Commercial (CA) Zoning District may be considered through the Architectural Review process, rather than the Minor Variance process, which has been eliminated (see Section 20)
SECTION 5
This Section provides that signs in the Automotive Regional Commercial (CA) Zoning District will be considered through the standard Master Sign Program process (see Section 10). Although there are proposed changes to the Master Sign Program process (see Section 10), exceptions to sign standards would still require Planning Commission review.
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SECTION 6
This Section makes various amendments to requirements for Sign Permits and Master Sign Programs within the Automotive Regional Commercial (CA) Zoning District. It specifies that all signs require a Sign Permit, and removes the requirement for a Master Sign Program for uses other than Auto Sales/Rentals. It also makes a change in the Master Sign Program process to allow for administrative approvals of Master Sign Programs when signs comply with Code requirements. This change mirrors a change described in more detail in Section 10.
SECTION 7
The current Code states that all fences, regardless of height or location, require a Building Permit. The Building Code is designed to ensure that structures meet requirements for structural integrity and safety. The Building Code includes references for when fences and walls require a Building Permit. For example, fences under seven feet in height do not require a Building Permit, while those that are taller do. The City Council has adopted the International Building Code in Title 15 of the Municipal Code. Since Title 15, by reference, states that certain fences are exempt from the need for a Building Permit, this portion of Code conflicts with Title 15. Staff believes that the best way to reconcile this is to remove the requirement for a Building Permit for fences except where required under the Building Code.
SECTION 8
Currently deviations from fencing requirements may be allowed upon approval of a “fence exception.” There is no defined process for a fence exception in the Code – additionally, it is not clear who the review authority is for a fence exception, as Subsection F.1 states both the Zoning Administrator and the Commission have approval responsibility. Staff recommends simplifying this review by having consideration of a fence exception be reviewed through the Variance process. Any fence exemption would need to meet the findings for a Variance in addition to the findings included in the Section.
SECTION 9
The Zoning Code specifies that second driveways may be considered subject to either a review of the Traffic Advisory Committee (followed by Council review) or through the Minor Use Permit process. These two processes are incompatible with each other. Staff proposes to remove the option for a Minor Use Permit and have second driveway applications be considered through the Traffic Advisory Committee with final review by Council (as is the current practice). The Section would also be amended to specify that process only applies to Single-Family Dwellings, as it is extremely common for parking lots associated with other uses to have more than one driveway entrance.
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SECTION 10
Section 10 makes several changes to processing procedures for Sign Permits and Master Sign Programs:
Sign Permits would largely remain as-is, except it is clarified that they will be reviewed and approved through the Sign Permit process, as opposed to a Zoning Clearance.
Master Sign Programs are currently always reviewed by the Planning Commission. The proposed amendment would allow for the administrative approval of Master Sign Programs which comply with the provisions of the Zoning Ordinance. Staff believes this is appropriate because the Zoning Ordinance includes extensive direction regarding the allowed size, placement, and number of signs. These provisions can be applied in order to achieve the desired design for signs, and would significantly reduce application processing time by several weeks. Master Sign Programs which would not be in total compliance with the Zoning Ordinance would still be required to obtain Planning Commission approval.
As Sign Permits are administrative in nature, it is unnecessary to have separate findings, as compliance with the Zoning Ordinance is required for approval. The Section on findings has therefore been deleted.
SECTION 11
This Section specifies that changes to sign copy of an existing sign where there are no structural changes do not require a Sign Permit. Examples of this would be changing a placard on an existing cabinet sign, or replacing a hanging sign by reattaching an identically-sized sign to the existing supports. Since the sign is existing and no Building Permit will be required, staff does not believe it is necessary for the applicant to obtain a Sign Permit based solely on the change in content.
SECTION 12
This Section clarifies the method of calculating sign area when a mural is involved. It also clarifies that the process to be used is the Architectural Review process (currently the Planning Commission is the review authority but no process is defined) and also prohibits certain content in murals. It also clarifies that the Art and History Commission will provide recommendations regarding the murals as per Municipal Code Section
2.16.040.L.
SECTION 13
This Section makes some minor changes to Home Occupations. It allows for mail-order businesses to operate out of homes provided that all merchandise is stored within a building and the total number of vehicle trips (including clients, customers, visitor, and or Packet Page 275
service visits) remains below the currently allowable number of 8 trips per day. It also eliminates the requirement that Home Occupation Permits be renewed every two years.
SECTION 14
This Section updates a Section on Live-Work Units to remove references to the Minor Variance process (see Section 20).
SECTION 15
The Section deletes a requirement that Mixed Use buildings be a minimum of 8,000 square feet in size. This will eliminate one of the major barriers to adaptive reuse of existing buildings along Fremont Street to allow for the conversion of existing secondfloor space into residential use.
SECTION 16
This Section makes changes to Table 5-1 to reflect changes made elsewhere in the document and fix incorrect references. The details and rationale behind these changes may be found elsewhere in this document.
SECTION 17
This Section makes extensive changes to the procedures for Architectural Review, as follows:
1) The applicability of Architectural Review has been modified to remove the need for Architectural Review for the following:
a. Residential subdivisions (the maps are already subject to review as a Minor or Major Subdivision, and any buildings constructed would also be subject to Architectural Review, making this Section superfluous); b. Removal of publically financed projects (these projects are already reviewed and approved by the City Council); and
c. The requirement that signs that are not “professionally rendered” or do not comply with the Zoning Ordinance has been removed, as the first criteria is subjective and exceptions to the Zoning Ordinance for signs already requires that the Commission review a Master Sign Program (see Section 10).
2) The option has been added in for administrative review of some Architectural Review applications. In order for an application to be considered administratively, it must be exempt from CEQA. Further, the project must employ an architectural design, bulk, height, and scale consistent with existing structures on the neighboring block face. If these criteria are met, the applicant would be required to place staking and flagging (or an alternative – see below) for at least 14 days prior to the approval. Additionally, within 10 days of the proposed date of approval, the City will mail a Notice of Intent to Approve to all Packet Page 276
real property owners within 300 feet of the property. Any member of the public shall have the option of requesting a public hearing on the project. If a hearing is requested, staff will immediately schedule the project for a hearing. If no protest is received, the Zoning Administrator would then approve the project. 3) The staking and flagging section has been modified in two ways. First, it clarifies that the applicability of staking and flagging applies only to new structures or additions over 18 feet in height (currently all commercial buildings arguably require Architectural Review). Second, it allows for an alternative to staking and flagging in certain circumstances (ie structures over 25 feet in height and facing verified logistical or safety concerns). If the alternative is selected, then public hearing notices must be sent to every physical address within 300 feet, the applicant must have a licensed professional create architectural renderings of the project, and a sign (minimum 3 x 5 feet) that includes an architectural rendering and the public hearing information must be placed along each adjacent street frontage at least 14 days prior to the hearing.
SECTION 18
The main change to this Section, which regulates temporary uses, would be to reduce permitting requirements on non-profits (such as churches) performing fundraising events on their property. There are other minor changes which would reduce some constraints regarding temporary offices or classrooms that may be in place during construction of a permanent facility.
SECTION 19
Planned Development Permits are intended to provide flexibility in Zoning regulations in order to provide for more innovative design. Essentially, these types of permits may allow for modifications to almost any Zoning regulation provided that the modification would result in a better project than strict application of the Zoning standards. This differs from a Variance, with represents an exception to the standards based on physical constraints, rather than an alternative based on superior project design.
Currently a Planned Development Permit may only be obtained for projects of greater than one acre in size. This Section would remove that restriction, allowing for consideration of projects of any size. Since the determination of whether an alternative is in fact “superior” to strict compliance has a high degree of subjectivity, there is no proposed administrative approval option for this permit type (ie all applications will be referred to the Planning Commission).
SECTION 20
This Section governs the review and approval of Use Permits and Minor Use Permits.
The most significant changes are to modify the process to allow for an administrative option as discussed previously in Section 16 (Architectural Review) as well as an Packet Page 277
elimination of the requirement for a Minor Use Permit for reasonable accommodation applications (as was discussed previously in Section 3).
SECTION 21
This Section presently covers Variances and Minor Variances. Unlike Use Permits and Minor Use Permits, which are currently differentiated based on processes, Variances and Minor Variances serve different purposes. Variances are applications to obtain exceptions to Zoning Ordinance Development Regulations based on physical constraints on a property that prevents an owner from enjoying privileges enjoyed by other property owners in the vicinity and in the same zone. Minor Variances represent small (up to 10%) deviations from certain development regulations without the need for physical constraints.
Staff has proposed eliminating the Minor Variance application type, proposing instead to utilize the Planned Development Permit to allow for alternatives based on superior design. Variances would remain as-is to allow for exceptions based on physical constraints. The Section also would allow for Variances to be approved administratively using the same procedures for Architectural Review (Section 16) and Use Permits/Minor Use Permits (Section 19).
SECTION 22
The Zoning Ordinance currently requires that an applicant sign an approved permit within 15 days of approval. Staff believes that negating a permit due to delays in signing is not in the public interest. This change would stipulate that the signature must be obtained prior to Building Permit issuance or establishment of the use.
SECTION 23
This Section only removes a reference to Minor Variance applications, since those are proposed to be removed as a part of this change.
SECTION 24
This Section proposes the removal of a reference to a Minor Variance and adds a reference to a Planned Development Permit.
SECTION 25
This Section makes several modifications to regulations related to time limits. These modifications include:
1) Currently, applicants who obtain a permit are required to start construction within 6 months of obtaining a permit. This requires that the full Building Permit plan set must be drafted, reviewed, approved, and construction started in a very short Packet Page 278
time frame. The proposed changes would increase the time to 12 months and also deem the permit exercised upon issuance of a Building Permit. 2) Currently, an exercised permit remains in force until revoked. Revocation is a time-consuming process that involves public notification and public hearings.
This can result in permits lingering for years or even decades after a use ceases, allowing for uses to reestablish even though they may no longer be appropriate for the area. The changes to this Section would stipulate that if a use is discontinued for 24 months or more, then the permit will expire automatically. 3) Currently time extensions must be granted by the body that originally approved a permit. Since the Planning Commission reviews most applications, this means that extensions to existing permits require that staff schedule and notice a hearing before the Commission. The changes to this Section would allow the Zoning Administrator to approve extensions administratively if there have been no material changes to circumstances related to the original approval of the permit.
SECTION 26
A nonconforming use or structure is a use or structure that was legally established but, due to changes in statutes, no longer conforms. Nonconforming uses are treated somewhat differently than nonconforming structures, and in some situations both a use and structure may be nonconforming.
This Section would remove an unclear limitation for some modifications to buildings that would extend an existing legal nonconforming setback. A Minor Use Permit would still be required in all cases, while Architectural Review would be required for structures greater than 18 feet in height (instead of adding more than 25% to the floor area).
SECTION 27
Currently, any use that is discontinued for a period of more than 180 days (excluding those in possession of a previously approved permit – See Section 24) is automatically considered abandoned and any future use of the site must conform to then-current regulations. In practice, staff has found that it is not uncommon for businesses to be inactive for a period greater than that due to difficulties in securing tenants. In some cases, buildings are specialized to a certain use (such as auto repair) and are not easily converted to other conforming uses without significant cost. This Section would allow the Zoning Administrator to extend the time from 180 days to 24 months before a nonconforming use is considered abandoned, provided that the Zoning Administrator can make certain findings.
SECTION 28
This change would clarify that the process for amending a Specific Plan would be identical to the process for amending the General Plan or the Zoning Ordinance.
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SECTION 29
This change would treat Architectural Reviews the same as other permits with regards to which persons are allowed to file an appeal. It also removes references to Minor Variances (see Section 20).
SECTION 30
This change would alter the definition of Discretionary Land Use Approval to remove the term Minor Variance (see Section 20) and administrative permits (which are by definition not discretionary). This change is primarily a consistency change, as the term Discretionary Land Use Approval does not appear elsewhere in the Zoning Ordinance.
SECTION 31
Currently, a medical office with “four or more” licensed practitioners is considered under the use “Medical Services – Clinic, Urgent Care.” However, the “Medical Services – Doctor Office” allows for “up to four” licensed practitioners. This makes it unclear under which use a practice with four practitioners would fall. This change would make it clear that an Urgent Care office includes five or more practitioners, while a Doctors Office would continue to include up to four.
SECTION 32
Owners and tenants of nonconforming structures (see discussion in Section 25) are allowed to perform “Ordinary Maintenance and Repair.” However, the definition of Ordinary Maintenance and Repair currently states that anything that requires a Building Permit does not qualify as Ordinary Maintenance and Repair. However, there any many items that would normally be considered repair and maintenance, such as water heater replacement, plumbing/electrical work, reroofing, etc that require a Building Permit.
This puts owners and businesses in the uncomfortable position of either performing the work without obtaining Building Permits or allowing the property to deteriorate. Staff recommends adjusting the definition of Ordinary Maintenance and Repair so as not to prohibit maintenance work simply because it requires a Building Permit. The Section would also provide that aesthetic updates may be performed on the property, in order to encourage property owners to continue to invest in and utilize their properties, which would minimize blight.
SECTION 33
This change would simply remove Minor Variance from the list of Planning Permits and acknowledge that not all Planning Permits are explicitly mentioned within this definition.
Packet Page 280
CITY OF SEASIDE
STAFF REPORT
Item No.: 10.A.
TO: City Council
FROM: Jaime M. Fontes, City Manager
BY: Nisha Patel, Public Works Director/City Engineer
DATE: April 4, 2024
SUBJECT: ADOPT A RESOLUTION APPROVING REALLOCATION OF
$80,000 IN COLLECTED TRANSIENT OCCUPANCY TAX FUNDS
GENERATED BY SHORT-TERM RENTALS AND AUTHORIZING
THE FINANCE DIRECTOR TO MAKE PROJECT BUDGET
ADJUSTMENTS BASED ON THE RECOMMENDED REALLOCATION
OF PROJECT FUNDS
RECOMMENDATION
Adopt a resolution:
1.) Approving reallocation of $80,000 in collected transient occupancy tax funds generated by short-term rentals; and
2.) Authorizing the Finance Director to make project budget adjustments based on the recommended reallocation of project funds.
BACKGROUND
On November 2, 2023, City Council received recommendations from the Neighborhood Improvement Commission (NIC) regarding the allocation of $400,000 in transient occupancy tax (TOT) generated by short-term rentals (STRs). The Council-approved recommendations included funding for light pole banners on Fremont Boulevard, picnic areas at Cutino park, establishment of a Neighborhood Watch Program, artwork on utility boxes, mural at Cutino Park, repair of the Wheeler Tennis Courts, a tree giveaway and plantings in parks, benches on General Jim Moore Boulevard, a City of Seaside welcome sign, and a walkway in Fernando park; the recommendations were made in conformance with City Ordinance 1054 which dedicates 50% of all STR TOT funds to community and park improvements.
Public Works staff have been making progress on the execution of the funded projects, and provided a status update to the NIC at their March 5, 2024 meeting. Public Works Packet Page 281
Item No. 10.A. Page 2 of 3
informed the NIC that the work required for the Wheeler Tennis Court rehabilitation can be completed for a contract amount of $25,000, well below the original $80,000 construction estimate, and provided a list of projects with funding needs that could benefit from the $55,000 in excess funds. During the ensuing discussion, the NIC also reconsidered their original allocation of $25,000 for light pole banners on Fremont, opting to delay purchase of the banners until the Commission can develop a more comprehensive plan for where banners of different designs would be located and when they would be rotated throughout the year.
In total, the NIC considered reallocation of $80,000 in excess funding among five project options presented by Public Works staff. The project options included funding additional Christmas decorations for North Fremont Boulevard ($24,000), adding a screen to the south side of the Wheeler Tennis Court fence as a visual barrier ($4,600), adding an Americans with Disabilities Act (ADA) compliant parking stall on Wheeler Street to serve the tennis courts ($40,000), adding an ADA compliant parking stall on Lincoln Street at the entrance to Havana Soliz Park ($32,000), and adding a crosswalk with artwork between Lincoln Cunningham and Havana Soliz parks ($20,000). After some deliberation, NIC members voted to approve reallocation of $40,000 to fund the Wheeler Tennis Court ADA parking stall, $32,000 to fund the Lincoln Street ADA parking stall, and $4,600 to fund the installation of a screen on the Wheeler Tennis Court fence.
Public Works recommends City Council adopt a resolution approving the reallocation of $80,000 in STR TOT funds. Both of the ADA parking stalls support the City-wide mission to increase park access for people of all abilities. Further, any unused allocation of STR TOT funds will not be rolled over to the next fiscal year for the NIC to make recommendations and the three projects designated for additional funding will be constructed or construction funds encumbered this fiscal year (FY 2023-24).
FISCAL IMPACT
The fiscal year 2023-24 City budget includes a budget amount of $402,959.00 for the Neighborhood Improvement Committee to make recommendations for expenditure.
Previous NIC recommendations approved by City Council were in the amount of $400,000.00; the reallocation of funds does not increase the total approved funding.
ATTACHMENTS
1. Resolution
Reviewed for Submission to the City Council by:
_________________________________________
Packet Page 282
Item No. 10.A. Page 3 of 3
Jaime M. Fontes, City Manager
Packet Page 283
Meeting Date: 4/4/24
Item #: 10.A.
RESOLUTION NO. 24-XX
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEASIDE
ADOPTING STAFF RECOMMENDATIONS FOR REALLOCATION OF FUNDING
FOR COMMUNITY AND PARK IMPROVEMENTS
WHEREAS, the primary objective of the Neighborhood Improvement Commission is to make recommendations to the City Council on ways to improve the appearance of the city and elicit voluntary cooperation to beautify and minimize vandalism in the city; and
WHEREAS, in July of 2018, the City Council adopted Ordinance 1054 which directed 50% of all transient occupancy tax (TOT) generated by short-term rentals (STRs) to be directed toward community and park improvements, with the Neighborhood Improvement Commission (NIC) providing the recommendations for the use of these funds to the Council for consideration and approval; and WHEREAS, on November 02, 2023, the City Council adopted a resolution approving the NIC allocation recommendation for $400,000 in STR TOT monies to fund light pole banners on Fremont Boulevard, picnic areas at Cutino Park, establishment of a Neighborhood Watch Program, artwork on utility boxes, murals at Cutino Park, repair of the Wheeler Tennis Courts, a tree giveaway and plantings in parks, benches on General Jim Moore Boulevard, a City of Seaside welcome sign and a walkway in Fernando Park; and
WHEREAS, at the March 05, 2024 NIC meeting commissioners were informed by Public Works staff that the Wheeler Tennis Court rehabilitation can be completed for $55,000 less than estimated and were provided five candidate projects for receipt of the excess funds: additional Christmas decorations for North Fremont Boulevard, adding a screen to the south side of the Wheeler Tennis Court fence as a visual barrier, adding an Americans with Disabilities Act (ADA) compliant parking stall on Wheeler Street to serve the tennis courts, adding an ADA compliant parking stall on Lincoln Street at the entrance to Havana Soliz Park, and adding a crosswalk with artwork between Lincoln Cunningham and Havana Soliz Parks; and
WHEREAS, at the March 05, 2024 NIC meeting, the NIC voted to recommend City Council reallocate $25,000 for light pole banners on Fremont Boulevard and $55,000 in excess funds for the Wheeler Tennis Court rehabilitation to fund the Wheeler Tennis Court ADA parking stall in the amount of $40,000, the Lincoln Street ADA parking stall in the amount of $32,000, and a screen for the Wheeler Tennis Court fence in the amount of $4,600; and
Packet Page 284
-2
WHEREAS, Public Works recommends the City Council reallocate $25,000 for light pole banners on Fremont Boulevard and $55,000 in excess funds for the Wheeler Tennis Court rehabilitation to fund the Wheeler Tennis Court ADA parking stall in the amount of $40,000, the Lincoln Street ADA parking stall in the amount of $32,000, and a screen for the Wheeler Tennis Court fence in the amount of $4,600; and NOW, THEREFORE, BE IT RESOLVED, that the City Council of the City of Seaside does hereby approve the recommended reallocation of funds as recommended by City staff.
PASSED AND ADOPTED at a regular meeting of the City Council of the City of Seaside duly held on the 4th day of April, 2024, by the following vote:
AYES: COUNCIL MEMBERS
NOES: COUNCIL MEMBERS
ABSENT: COUNCIL MEMBERS
ABSTAIN: COUNCIL MEMBERS
APPROVED:
_______________________________
Ian N. Oglesby, Mayor
ATTEST:
______________________________
Dominique L. Davis, City Clerk
APPROVED TO FORM:
______________________________
Sheri L. Damon, City Attorney
Packet Page 285
CITY OF SEASIDE
STAFF REPORT
Item No.: 10.B.
TO: City Council
FROM: Jaime M. Fontes, City Manager
BY: Victor Damiani, Finance Director
DATE: April 4, 2024
SUBJECT: ADOPT A RESOLUTION ACCEPTING THE ANNUAL MID-YEAR
FINANCIAL REPORT AND ADOPTING PROPOSED CHANGES TO
THE BUDGET OF THE CITY OF SEASIDE FOR THE FISCAL YEAR
2023-2024
RECOMMENDATION
Adopt a resolution accepting the annual mid-year financial report and adopting proposed changes to the budget for the Fiscal Year 2023-2024.
BACKGROUND
This item provides the City Council with an opportunity to review the Annual Operating and Capital Budgets as of mid-year and amend the budget as deemed necessary. The attached report details the City's results as of the mid-point of the year.
FISCAL IMPACT
The City's general fund fiscal year operating budget is projected to produce a surplus of approximately $3.3 million. Per the Council's fiscal policy, 25% or approximately $830 thousand will be dedicated to fiscal year 2024-25 road maintenance and or repair. Staff are requesting general fund budget increases of approximately $679k. Another $153k is requested, to be funded by shifting from existing budget line items, user fees, special revenue and grants. Details regarding budget adjustment requests are included in the mid-year report. Staff recommends the remaining $1.8 million be applied to the current year's capital budget.
ATTACHMENTS
1. Q2 FY 24
Packet Page 286
Item No. 10.B. Page 2 of 2
2. Resolution Mid Year Budget Changes
Reviewed for Submission to the City Council by:
_________________________________________
Jaime M. Fontes, City Manager
Packet Page 287
Mid-Year FY 2023-24
Financial Report
(Unaudited)
Packet Page 288
CITY OF SEASIDE
1 TABLE OF CONTENTS
Introduction ........................................................................................................................... 2-3 General Fund FY 2023-24 Budget Recap………………………………………………………………............. 4 General Fund Revenues Summary......................................................................................... 5-6 General Fund Expenditure Summary..................................................................................... 6-8 General Fund Net Results and Budget Outlook..................................................................... 8-9 Budget Requests.................................................................................................................... 10 Other Funds ........................................................................................................................... 11 Packet Page 289
CITY OF SEASIDE
2 Q2 FY 2022-23 FINANCIAL REPORT
INTRODUCTION
This is the second quarterly report for Fiscal Year 2023- 24, and comprises results for the six month period
ending December 31, 2023. While a few other notable
funds are reviewed, this report focuses primarily on the City’s general fund. General Fund operating revenues
and expenditures as compared to previous years and/or
budget are presented, and any notable changes or
trends in these numbers are explained. The report is
presented on a cash basis, which means that revenues
are recognized at the time revenues are received and
expenditures are recognized at the time payment is
processed. The City does not accrue any revenues or
expenditures in the first quarter.
The purpose of this report is twofold. First, it ensures that the City is consistently monitoring its revenues and expenditures so that it may proactively respond to
unanticipated changes or emerging trends. Second, and
equally important, consistent reporting increases the
transparency of the City’s finances. Quarterly reporting provides the City Council, City Administration, taxpayers and ratepayers with information that demonstrates the
City is meeting this standard.
The information in this report is the most accurate and up-to-date information available at the time of
publication. It is not meant to be inclusive of all financial and accounting transactions. It is intended only to
provide the Council, Management and the public with
an overview of the state of the City’s general fiscal
condition. It should be noted that this report is not an audited financial statement, and the numbers provided
herein are preliminary and subject to change as the year progresses. No data on revenues and expenditures is
final until the City has completed its annual audit and finalized its Annual Comprehensive Financial Report
(ACFR), which is released in the winter of each year for the prior fiscal year.
ECONOMIC OUTLOOK
In March of 2020, the City declared a local emergency in response to the COVID-19 worldwide pandemic. The
ensuing statewide shelter in place orders coupled with
various levels of “reopening” created financial turmoil in the fourth quarter of FY 2019-20 and throughout FY
2021-22.
Throughout the pandemic the economy performed
surprisingly well due to two prime factors; the
development and distribution of a vaccine for the virus and federal stimulus dollars. California declared an end to the COVID-19 State of Emergency on February 28,
2023.
NATIONAL & STATE ECONOMIC OUTLOOK
Hdl (The City’s revenue enhancement consultant)
reports the national economy grew 2.5% in FY22-23,
and projects it will remain flat in FY 23-24. FY 24-25 is expected to slow further to 1.9%.
• California’s unemployment rate is expected
to remain low at 4.7% in FY 23-24 before
climbing slightly to 5.0% in FY 24-25.
• Statewide Sales & Use Tax growth is expected
to turn negative in FY 23-24 at -0.2% before
swinging back positive in FY 24-25 at 2.1%.
• California’s median existing home price is
expected to increase from $697k in FY 23-24
to $724k in FY 24-25.
Source: Hdl
During the pandemic the Federal Government passed
and implemented five economic stimulus packages
totaling approximately $6 trillion. The Federal Reserve also lowered the Federal Funds rate to between 0% and
.25%. In many ways the federal stimulus may have
slowed the economic damage caused by the health and
safety response to the pandemic and stabilized the
economy. On the other hand, the vigorous amounts of
stimulus coupled with supply chain bottlenecks appear
to have contributed to rising inflation. Late in 2021 and early in 2022, many economists believed inflation would be short lived and come as a result of supply chain
bottlenecks and staffing shortages, which would recede
with time. That prediction did not prove correct, as
inflation remained unsustainably high throughout 2022
and much of 2023. Faced with sustained inflation, the
Federal Reserve responded with increases to the Federal Funds Rate, which generally speaking has a cooling effect on inflation. Beginning March 17, 2022 the Federal
Reserves raised rates eleven times; from .25% to 5.5%.
The 12-month increase in CPI (indicator of inflation) as of September 2022, as reported by the U.S. Bureau of Labor Statistics was 8.2%. It appears that rate increases have had the desired effect, with the increase in CPI dropping Packet Page 290
CITY OF SEASIDE
3 Q2 FY 2022-23 FINANCIAL REPORT
to 3.4% as of December 2023. While this is certainly
good news, the traditional target rate for inflation is 2%, which indicates we are still in a high inflationary period.
While the risk of a recession has decreased somewhat,
many economists still believe a recession is possible in the first half of 2024. It remains to be seen, if, how long, and how severe a potential recession will be or if the
economy will make the so-called “soft landing”.
LOCAL ECONOMIC OUTLOOK
At the local level, the City of Seaside unemployment rate steadily decreased since reaching a high mark of 19.0%
in April of 2020 and reaching a low point of 2.5% in
September of 2022. As of December of 2023 the rate is
3.1%.
The City of Seaside unexpectedly experienced strong
results in several business sectors thoughout the
pandemic, including Auto Sales, Online Sales, and
Building and Construction Materials. Historically, sales tax from Auto Sales have accounted for approximately
41% of the City’s Sales Tax total and 16% of the General Fund revenue total. In a potential recession, revenue
losses in this sector could have a substantial impact on the City’s finances.
Not all sectors of the local economy, however, fared as well. One major sector of Seaside’s local economy is
based on tourism. Early in the pandemic the the local
Hotel Tax (Transient Occupancy Tax) dropped off severly due to shelter in place orders. Beginning in June of 2021, however, this sector experienced some much needed
relief. TOT collections showed strong signs of recovery throughout the 2021 Summer months and again in the
2022 and 2023 Summer months. From a pandemic era
low of $2.1 million in fiscal year 20-21, this sector ended fiscal year 22-23 at approximately $3.4 million. By way of comparison, fiscal year 18-19 (the most recent “nonpandemic” fiscal year) generated $3.4 million in hotel tax. Fiscal year 2023-24 TOT promises to continue
growing, albeit somewhat less than origianally forecast.
City staff will continue to monitor and report City
financial health to the City Administration, City Council and Public, as well as monitoring the Federal Reserve ‘s and the Federal Government’s efforts to reduce inflation and avoid or lessen the impacts of a potential recession.
Staff recommends that the City remain flexible should
conditions require action as the year progresses. A
clearer picture of the City’s finacial outlook is likely to emerge as the budget process for fiscal year 2024-25
progresses.
0 1
2 3
4 5
6 7
8 9
10 Q4
2020
Q1
2021
Q2
2021
Q3
2021
Q4
2021
Q1
2022
Q2
2022
Q3
2022
Q4
2022
Q1
2023
Q2
2023
Q3
2023
Q4
2023
CPI - % Change from 12 Month's Prior
Packet Page 291
CITY OF SEASIDE
4 Q2 FY 2022-23 FINANCIAL REPORT
GENERAL FUND
FY 2023-24 BUDGET RECAP:
In June of 2023, the City of Seaside City Council adopted the FY 2023-24 annual budget. A surplus budget was adopted including an operating surplus of $148k and a capital budget of $5.7M. In the first half of the year a few budget adjustments resulted in a revised operating surplus of $89k and a revised capital budget of $5.8M.
RESERVES:
The City’s reserve accounts are fully funded in the fiscal year 2023-24 budget at the following amounts:
Emergency Reserve - 15% 6,919,211
Special Reserve - 10% 4,610,807
Capital Reserve - 5% 2,305,404
13,835,422
Operating Capital Total Budget
FY23 FY23 FY23
Revenues $ 46,255,651 $ - $ 46,255,651
Fund Balance $ - $ 5,829,814 $ 5,829,814
Expenditures (46,166,857) (5,829,814) (51,996,671)
Adjusted Surplus/(Deficit) $ 88,794 $ - $ 88,794
General Fund Changes in
Fund Balance:
Packet Page 292
CITY OF SEASIDE
5 Q2 FY 2022-23 FINANCIAL REPORT
Q2 GENERAL FUND REVENUES:
Total budgeted revenue for FY 2023-24 including one-time sales and transfers is $46.3M. Revenues are projected to end the year at $46.8 million; an increase of $500k over budget.
The following table and chart compares Q2 results for FY24 with Q2 results for FY22 and FY23. As can be seen in the table, revenues through the second quarter totaled $22.8M which is 6% or $1.4M higher than the second quarter of the previous year and 12% or $2.4M higher than FY22. The $22.8M equals 49% of total budgeted revenue. Similarly, though the second quarter of the previous year the City had realized 48% of total budgeted revenue. This indicates that the City’s revenues are on target with the budget.
DISCUSSION OF SIGNIFICANT REVENUE VARIANCES:
General Fund Revenues: Results:
Q2 - 50% Q2 Year-End Vaiance vs.
Budget
FY24 FY24 $ % $ % FY24 $
Sales and Use Tax $ 10,095,058 $ 8,505,794 $ (82,472) -1% $ 1,103,836 15% $ 19,930,411 $ (259,705) Property Tax 3,161,361 2,944,049 104,704 4% 233,770 9% 6,459,041 136,319 Transient Occupancy Tax 2,263,613 2,427,621 180,976 8% 482,536 25% 4,374,080 (153,146) Motor Vehicle In-Lieu 2,354,750 2,395,133 177,854 8% 306,094 15% 4,790,265 80,765 Utility User Tax 1,525,191 1,459,509 2,633 0% 236,633 19% 2,935,843 (114,539) Business License Tax 445,020 1,052,180 293,745 39% 383,931 57% 1,092,180 202,140 Franchise Fees 964,439 912,897 274,649 43% 236,582 35% 1,977,733 48,855 Marijuana Receipts Tax 586,241 498,152 (52,342) -10% (150,077) -23% 983,736 (188,747) Miscellanous-Other Revenue 357,765 304,659 (218,608) -42% (106,429) -26% 610,078 (105,451) Licenses & Permits 410,885 747,000 317,277 74% 289,443 63% 1,157,135 335,365 Fees & Charges 419,532 445,945 63,190 17% 66,591 18% 891,231 52,167 Grant Revenue 12,478 605,567 289,625 92% 118,177 24% 427,379 402,423 Income from Investments 194,098 238,793 (1,107) 0% 80,961 51% 725,973 337,778 Other Agency Revenue 272,271 115,461 5,425 5% 31,229 37% 251,527 (293,016) Fines & Forfeitures 65,123 107,112 18,422 21% 42,598 66% 172,235 41,989 Transfer In - - - n/a (983,684) n/a - -
Revenues by Source $ 23,127,825 $ 22,759,871 $ 1,373,973 6% $ 2,372,192 12% $ 46,778,847 $ 523,197 Budget Variances: Projection
Year over Year
Vs. FY23
Year over Year Vs.
FY22
$8.5
$2.9 $2.4 $2.4 $1.5
$8.6
$2.8 $2.2 $2.2 $1.5
$7.4
$2.7 $1.9 $2.1 $1.2
$-
$2.0
$4.0
$6.0
$8.0
$10.0
Sales and Use Tax Property Tax Transient Occupancy
Tax
Motor Vehicle In-Lieu Utility User Tax
Millions
Three Year Comparison - Top Five Revenues
FY24 FY23 FY22
Packet Page 293
CITY OF SEASIDE
6 Q2 FY 2022-23 FINANCIAL REPORT
Sales and Use Tax: Has flattened out including small decreases in the auto sales category. Year over year the category is projected to be slightly less than the previous year. Sales and Use tax is project to end the year slightly less than budget by $260k.
Property Tax: Has flattened out but is projected to end the year slightly higher than the previous year. The category is projected to end the year slightly higher than budget by $136K. Transient Occupancy Tax (TOT): This category is expected to continue growing, albeit at a slower rate than the previous two year sand less than budget by $153K.
Q2 GENERAL FUND EXPENDITURES:
Total budgeted expenditures for FY 2023-24 including transfers are $52.0M.
Expenditures through the second quarter were $22.9M or 44% of the total fiscal year 2023-24 budget. For comparison, expenditures through the second quarter in the prior year were 43% of the fiscal year 2022-23 budget. This indicates that the City is trending very similar on a year over year basis as compared to the prior year.
EXPENDITURES BY TYPE:
Results:
Q2 - 50% Q2 Year-End Vaiance
vs. Budget
FY24 FY24 $ % $ % FY24 $
Personnel Services $ 17,003,903 $15,780,944 $ 965,611 7% $ 868,512 6% $ 31,426,539 $ 2,581,267 Services & Supplies 4,391,497 4,419,131 1,432,682 48% 1,258,754 40% 8,278,692 504,301 Capital Outlay-Projects 649,106 137,093 (2,870,644) -95% (75,795) -36% 1,228,669 69,543 Debt Service 262,001 314,392 124,634 66% 132,499 73% 560,273 (36,271) Internal Service Charge 1,203,008 1,203,008 (60,233) n/a 139,503 n/a 2,406,017 - Operating Transfers 389,539 734,284 647,101 n/a 734,284 n/a 1,794,834 12,089 Capital Transfers 2,704,560 1,469,357 (30,643) n/a (2,308,861) n/a 5,409,120 - Administrative Allocation (1,119,201) (1,119,200) (408,155) n/a (453,464) n/a (2,238,401) - Expenditures by Type $ 25,484,414 $22,939,009 $ (199,648) -1% $ 295,431 1% $ 48,865,742 $ 3,130,929 General Fund Expenditures by Type:
Year over
Year Vs. FY23
Year over Year
Vs. FY22
Budget Variances: Projection
$15.8
$4.4
$0.1
$14.8
$3.0 $3.0
$14.9
$3.2
$0.2
$-
$5.0
$10.0
$15.0
$20.0
Personnel Services Services & Supplies Capital Outlay-Projects Millions
Three Year Comparison - Top Three Expenditure Types
FY24 FY23 FY22
Packet Page 294
CITY OF SEASIDE
7 Q2 FY 2022-23 FINANCIAL REPORT
DISCUSSION OF SIGNIFICANT EXPENDITURE VARIANCES BY TYPE:
Personnel Services
Personnel Services were similar to results at mid-year in the previous fiscal year. The results were somewhat higher mostly due to cost of living adjustments and increases in pension costs. Total cost was $15.8M compared to $14.8M a year earlier. Personnel services are expected to produce the greatest year end variance at $2.6M. In the first half of the year, 15 positions were recruited and filled.
On the other hand, 14 positions terminated for various reasons. Services & Supplies
At the mid-point of the year, Services and supplies were up 48% on a year over year basis but only 1% over budget. The majority of the year over year variance is related to the purchase of recycled water for use on the City’s golf course.
Capital Outlay – Projects
Capital outlay and projects were udown $2.8M over the previous fiscal year almost entirely due to the prior year purchase of two parcels of land – on Del Monte Avenue and Canyon Del Rey Boulevard.
Budget: Projected
General Fund Personnel Costs by Annual Annual
Department: FY24 FY24 $ %
Legislative Body $ 72,481 $ 58,801 $ (13,680) -19% Benefits elections Administration 1,156,660 876,194 (280,467) -24% Vacancies City Clerk 173,461 170,953 (2,508) -1% On budget
City Attorney 484,482 437,064 (47,419) -10% Partial year vacancy Human Resources 673,046 694,086 21,040 3% Upgrade 2 positions Finance Department 1,143,833 1,099,746 (44,087) -4% On budget Police Department 12,900,368 11,728,210 (1,172,157) -9% Vacancies Fire Department 8,212,620 8,037,430 (175,190) -2% On budget Building and Code Enforcement 920,553 754,975 (165,578) -18% Vacancies Community Development Administration 354,037 221,556 (132,481) -37% Vacancy Planning 605,129 371,951 (233,178) -39% Vacancies
Economic Development 608,239 541,057 (67,182) -11% PT employees working low hours Public Works/Engineering 3,080,496 2,655,979 (424,517) -14% Vacancies Recreation 3,622,403 3,778,539 156,136 4% PT interns
$ 34,007,806 $ 31,426,539 $ (2,581,267) -8%
Annual vs. Budget
Variances:
Primary Cause of Variance:
Packet Page 295
CITY OF SEASIDE
8 Q2 FY 2022-23 FINANCIAL REPORT
EXPENDITURES BY DEPARTMENT:
As can be seen in the table above, nearly all departments were under budget through the second quarter of the year. Human Resources was over budget due to the re-classification of two positions and increased investigations costs. The recreation department was over budget due to over hiring of part-time seasonal staff. The over-hiring situation has been addressed and should improve as the year progresses.
GENERAL FUND NET RESULTS & BUDGET OUTLOOK:
Overall, the first half of the year showed expenditures of $22.9M (44% of the annual budget) in comparison with revenues of $22.8M (49.2% of the annual budget). Projected results are as follows:
Results:
General Fund Expenditures by
Q2 - 50% Q2 Year-End Vaiance vs.
Budget
Department: FY24 FY24 $ % $ % FY24 $
Legislative Body $ 187,386 $ 130,729 $ (45,938) -26% $ 45,180 53% $ 359,821 $ 14,950 Administration 308,029 162,519 (226,866) -58% (26,426) -14% 266,757 349,301 City Clerk 60,702 77,625 25,227 48% (3,993) -5% 120,956 449 City Attorney 141,866 7,028 (182,417) -96% (137,043) -95% 130,489 153,243 Human Resources 325,090 348,170 39,598 13% 260,885 299% 661,006 (10,825) Finance Department 166,659 132,152 40,010 43% 149,207 -875% 293,605 39,713 Police Department 8,368,700 7,894,698 470,672 6% 240,737 3% 15,490,941 1,246,459 Fire Department 5,624,684 5,063,738 40,895 1% (227,202) -4% 10,914,452 334,915 Building and Code Enforcement 659,949 637,927 160,058 33% 99,225 18% 1,156,684 163,214 Community, Housing & Economic Developm 940,187 734,603 (2,617,138) -78% (514,204) -41% 1,411,746 468,629 Public Works/Engineering 9,180,422 4,774,251 1,465,481 44% (518,465) -10% 17,876,784 484,060 Recreation 2,999,363 2,975,569 630,771 27% 927,531 45% 6,111,908 (113,181) Expenditures by Department $ 28,963,039 $22,939,009 $ (199,648) -1% $ 295,431 1% $ 54,795,148 $ 3,130,929 Budget
Year over
Year Vs. FY23
Year over Year
Vs. FY22
Variances: Projection
General Fund Changes in
Fund Balance:
Beginning Fund Balance (Audited) $ 44,753,707
Revenue 46,778,847
Operating Expenditures (43,456,622)
Capital Expenditures (5,409,120)
Net Revenue (2,086,895)
Ending Fund Balance $ 42,666,812
Projected Budget
FY23
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CITY OF SEASIDE
9 Q2 FY 2022-23 FINANCIAL REPORT
As can be seen, results at the mid-year indicate that the ongoing operations of the City are expected to continue producing positive financial results. An operating surplus in the amount of $3.3 million is expected by year end. Any remaining operating surplus will be applied to the Capital Budget, thereby reducing the amount by which fund balance is expended.
Some insights may be gained at the mid-year budget review:
• Revenues remain strong but have begun to flatten out. • Sales and Use Tax is beginning to flatten (auto sales in particular). • Marijuana Receipts tax have decreased.
• Personnel costs are up but expected to produce a variance due to difficulty in hiring and retaining police officers and maintenance workers.
Headwinds:
• The nation continues to see inflation above the 2% target rate. • PERS unfunded liabilities continue to grow.
• The state budget is expected to move into a deficit which will impact grants received by the City. • Geopolitical unrest continues.
Projected
Results
FY2024
Projected Fund Balance $ 42,666,812
Unspendable (2,425,725)
Loan to Muni Water Seaside (7,522,232)
Pension Trust (3,000,000)
Emergency Reserve - 15% (6,919,211)
Special Reserve - 10% (4,610,807)
Capital Reserve - 5% (2,305,404)
Unassigned Fund Balance $ 15,883,433
Fund Balance
Classifications
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CITY OF SEASIDE
10 Q2 FY 2022-23 FINANCIAL REPORT
BUDGET AMENDMENT REQUEST
Following is a list of staff budget requests at the mid-year:
$679 thousand is requested from the projected general fund operating surplus. If all requests are approved, the remaining projected operating surplus would be $1.8 million and is recommended to be applied to the current capital budget.
Description Funding Source Amount
Police Department - Year 1, Axon Body Worn Camera Software & Taser Subscription Existing Budget 35,233 Fire Department- Internal promotion General Fund Surplus 14,456 Public Works Engineering - Increase Budget for San Pablo Bridge Project from Ellis Park funds Existing budget 103,172 Public Works Engineering - Increase Budget for additional Police Parking Lot Construction costs General Fund Surplus 300,000 Public Works Engineering - Increase Budget for Storm Water Audit Corrections General Fund Surplus 80,000 Public Works Maintenance - Increase Overtime for work on aging buildings during weekends General Fund Surplus 4,000 Public Works Maintenance - Alarm service maintenance for Government Buildings General Fund Surplus 4,000 Public Works Maintenance - Increase budget to re-key City facilities and replace padlocks General Fund Surplus 20,000 Public Works Maintenance - Increase budget for higher than projected gas & electric expenses General Fund Surplus 39,000 Public Works Maintenance - Increase budget for higher than projected water expenses General Fund Surplus 14,000 Public Works Maintenance - Increase budget for refuse disposal General Fund Surplus 3,000 Public Works Maintenance - Increase budget for vehicle parts General Fund Surplus 14,000 Public Works Maintenance - Increase budget for vehicle fuel for expanded fleet General Fund Surplus 100,000 Public Works Maintenance - Increase budget for oil & lubicricant General Fund Surplus 10,000 Rec; Swim Center - Increase to support additional Swim Center operating hours General Fund Surplus 46,920 Rec; Parks - Increase for Seaside's portion of Laguna Grande JPA permit fees General Fund Surplus 29,931 CDBG - Consulting Costs for CDBG reporting Special Revenue 5,000 Streets - Increase overtime for increased number of call-outs Special Revenue 4,000 Muni Water - Increase Gas & Electric for higher than projected costs Water User Fees 6,000 Total $ 832,712
By Funding Source Request
General Fund Surplus $ 679,307
Special Revenue 9,000
Water User fees 6,000
Existing budget 138,405
Total $ 832,712
Projected General Fund opera $ 3,322,225
Staff budget requests $ (679,307)
Street repair fiscal policy $ (830,556)
Surplus $ 1,812,362
Fiscal Impact of Staff Budget Requests
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CITY OF SEASIDE
11 Q2 FY 2022-23 FINANCIAL REPORT
OTHER FUNDS
In addition to the General Fund, the budget includes funds from a range of restricted sources as well as businesstype activities that are used to provide specific services, including:
WATER FUND:
The Water Enterprise Fund appears to be functioning as designed. Recent rate increases have greatly increased revenues putting the enterprise in a much better position. Per the City’s approved rate structure, rates increased 15% on January 1, 2022. There were no rate increases on January 1, 2023. A new rate study is under way however, and the Utility hopes to have new rates approved by the ratepayers and Council in time for the fiscal year 2024-25 budget. The system has significant capital costs on the horizon since a second well is needed.
STORM WATER FUND:
The Storm Water fund expenditures through the first two quarters were $639k. Storm Water costs were $49k lower than the same quarter of the previous year, mainly due to work the fluctuating nature of capital improvement work. The fund appears to be trending within budget for both capital and operating.
Currently the primary source of funding for the Storm Water fund is the City’s General Fund. City staff continues to seek grant funding when available as well.
Requests for additional financial information may be directed to:
Budget
Q2
FY23 FY23 FY23 $ %
Revenues $ 628,308 $ 585,943 $538,436 $ 47,507 9%
Expenditures (811,890) (584,241) (577,337) 6,904 1%
Net Revenues $ (183,582) 1,702 $(38,901) $ 40,603 -104% Year over Year
Variances:
Water Enterprise
Q2 Results
Results:
Q2
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CITY OF SEASIDE
12 Q2 FY 2022-23 FINANCIAL REPORT
City of Seaside, Finance Department, 440 Harcourt Avenue, Seaside CA, 93955 Attention: Victor Damiani, Finance Director| Email; [email protected]| Phone; (831) 899-6718 Packet Page 300
RESOLUTION NO. 24- XX
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEASIDE
ACCEPTING THE ANNUAL MID YEAR FINANCIAL REPORT AND ADOPTING
PROPOSED CHANGES TO THE BUDGET OF THE CITY OF SEASIDE FOR THE FISCAL YEAR 2023-2024
WHEREAS, The City Council of the City of Seaside reviewed and adopted the 2023-2024 Annual Operating Budget in June of 2023; and
WHEREAS, the City Council conducts an annual mid-year review of the Operating Budget; and
WHEREAS, the City Council of the City of Seaside has conducted the mid-year review and reviewed the proposed changes to the FY 2023-2024 Annual Budget; and WHEREAS, the City Council is required to approve changes to the 2023-2024 Operating Budget by resolution.
NOW THEREFORE BE IT RESOLVED,
1. The City Council of the City of Seaside accepts the annual Mid-year Financial Report and adopts the proposed modifications to the 2023-2024 Annual Operating Budget, as detailed in the Mid-year Financial Report, attached, which may be modified and incorporated by staff, as authorized.
2. The City Council of the City of Seaside authorizes the City Manager to execute any contracts or contract amendments associated with any of the budget modifications approved by this resolution.
PASSED AND ADOPTED at the regular meeting of the City Council of the City of Seaside duly held on the 7th day of March 2024 by the following vote:
AYES: COUNCILMEMBERS:
NOES: COUNCILMEMBERS:
ABSENT: COUNCILMEMBERS:
ABSTAIN: COUNCILMEMBERS:
APPROVED:
__________________________
Ian N. Oglesby, Mayor
ATTEST:
_____________________________
Dominique L. Davis, City Clerk
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APPROVED TO FORM:
______________________________
Sheri L. Damon, City Attorney
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