Cities Index.
Agenda packet

South Pasadena City Council
September 18, 2023

Document
Agenda packet
Meeting
September 18, 2023
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South Pasadena City Council
Pages
176
Original file
6.9 MB
Text extracted from the city's file for reading and search. Open the original on www.southpasadenaca.gov. That file is the official record.

NOW, THEREFORE, THE PLANNING COMMISSION OF THE CITY OF SOUTH

PASADENA, CALIFORNIA, DOES HEREBY RESOLVE, DECLARE,
DETERMINE, AND ORDER AS FOLLOWS:

SECTION 1: The above recitals are hereby declared to be true and correct and are incorporated herein as findings of the South Pasadena Planning Commission.

SECTION 2: Based upon substantial evidence presented to the Planning Commission during the Public Hearing, including public testimony and written and oral staff reports, and the environmental documentation, the Planning Commission finds:

A. All necessary Public Hearings and opportunities for public testimony and comment have been conducted in compliance with applicable law; B. That the proposed Zoning Amendment complies with the Housing Goals in the 2021-2029 (6th Cycle) Housing Element and updated General Plan.

SECTION 3: ZONING AMENDMENT FINDINGS. South Pasadena Municipal Code (SPMC) Section 36.620.070(B) stipulates that a Zoning Amendment and Zoning Map Amendment may be approved if the following findings are met:

1. Findings required for all Zoning Code/Map amendments; a. The proposed amendment is consistent with the actions, goals, objectives, policies, and programs of the General Plan; The proposed Zone Text Amendment is consistent with the actions, goals, objectives, policies, and programs of the 2021-2029 (6th Cycle) Housing Element that was adopted on May 30, 2023. The current General Plan that was adopted in 1998 is not internally consistent with the recently adopted Housing Element. The Housing Element is one of the elements required by State law. Therefore, adopting an updated General Plan that implements the policies and programs of the 2021-2029 Housing Element, and this proposed Zone Text Amendment, would make the documents internally consistent. Further, the proposed Zone Text Amendment is consistent with the following General Plan and Housing Element goals, policies, actions, or programs:
• General Plan Policy P3.2: Direct new growth to the Downtown, Ostrich Farm, and the three neighborhood centers along Huntington Drive; • General Plan Action A3.2b: Update the development code to encourage mixed-use, walkable, and contextual development; • General Plan Policy P3.5: Remove regulatory and procedural barriers to good design;
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• General Plan Action A3.5a: Develop and adopt a Form-Based Code for the Downtown area and objective design standards for areas outside the Downtown area;
• Housing Element Goal 3.0: Provide opportunities to increase housing production;
• Housing Element Program 3.a: Rezone and Redesignate Sites to Meet RHNA;
• Housing Element Program 3.n: Zoning Changes [to update development standards of residential development projects]; Therefore, the Planning Commission can make this finding in support of the Project.
b. The proposed amendment would not be detrimental to the public interest, health, safety, convenience, or general welfare of the City The Zoning Amendment would not be detrimental to the public interest, health, safety, convenience or general welfare of the City because it would achieve internal consistency, including with the adopted 2021-2029 Housing Element. The implementation of the General Plan goals, policies, and actions further support the convenience and general welfare of the City by preserving existing single-family neighborhoods and focusing growth into specific areas where residents will have access to services and public transportation. The General Plan supports mixed-use, walkable neighborhoods, and provides the development capacity to accommodate projected future growth along with the housing programs identified in the Housing Element. Therefore, the Planning Commission can make this finding.

2. The proposed amendment is internally consistent with other applicable provisions of this Zoning Code.

The proposed Zoning Amendment is internally consistent with other applicable provisions of the Zoning Code. In addition to the proposed changes to increase density and provide objective standards for residential development projects, the proposed Zoning Amendment also includes other ancillary changes to the Zoning Code to ensure internal consistency with other sections of the Code including updated references to the newly proposed adoption of the Downtown Specific Plan (DTSP), maintenance of the single-family zones (RE and RS zones), and modifications of allowable land uses in the Mixed-Use Overlay zone. Therefore, the Planning Commission can make this finding.

3. Additional finding for Zoning Map amendments. The site is physically suitable (including absence of physical constraints, access, compatibility 3 - 64
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with adjoining land uses, and provision of utilities) for the requested zoning designations and anticipated land uses/projects.

The proposed Zoning Amendment and Zoning Map Amendment are actions taken to implement the General Plan, DTSP, and Housing Element Implementation programs. As a result of these updates, the existing Zoning Map required an update to remove the Focused Area overlay, establish the MixedUse overlay, remove the Mission Street Specific Plan, and establish the new DTSP boundaries. By making these changes, the requested Zoning Amendment and Zoning Map Amendment will be consistent with the updated General Plan, DTSP, and Housing Element Implementation programs. Therefore, the Planning Commission can make this finding.

As stated above, the Planning Commission can make all of the necessary findings listed in SPMC Chapter 36.620.070(B) to recommend the City Council adopt the Zoning Text and Map Amendments.

SECTION 4: Based upon the foregoing, the Planning Commission recommends:

A. That the City Council adopt an Ordinance to approve a Zoning Amendment and Zoning Map Amendment to make the necessary changes to the SMPC consistent with the 2021-2029 Housing Element Housing Programs and updated General Plan substantially as set forth in Exhibits A and B of this Resolution.

SECTION 7: This Resolution shall take effect immediately upon its adoption. 3 - 65
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Laura Dahl, Planning Commission Chair
ATTEST: APPROVED AS TO FORM:

PASSED, APPROVED, AND ADOPTED on this 21st day of August, 2023. ________________________________

I HEREBY CERTIFY the foregoing Resolution No. 23-08 was duly adopted by the Planning Commission of the City of South Pasadena, California, at a special meeting held on the 21st day of August, 2023, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAINED:
_______________________________
Mark Perez, Deputy City Clerk
Exhibits:

A. Draft Zone Text Amendments
B. Draft Updated Zoning Map
________________________
Mark Perez, Deputy City Clerk
_______________________________
David Snow, Assistant City Attorney
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ATTACHMENT 3
Existing South Pasadena Zoning Map
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City Of
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Zoning Map
- Residential Estate (RE)
Altos De Monterey Residential (AM)
Residential Low Density (RS)
- Residential Medium Density (RM) - Residential High Density (RH) - Commercial Office (CO) - Commercial General (CG) - Business Park (BP) Community Facilities (CF)
- Open Space (OS) - Holy Family Specific Plan (HFSP) - Mission Street Specific Plan (MSSP) - Focus Area Overlay (see the General Plan for the location of specific
focus areas within the overall Focus
Area Overlay)
- Unimproved Public Street
500 1000 1500 2000
■■ o Distance ( feet)
November 2001

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ATTACHMENT 4
Updated Land Use Map
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Part B, Chapter 3: Our Well Planned Community 61
Land Use Map
Parks & Open Spaces
Civic
Mixed-use Core
Preserves
Fair Oaks Corridor
High-density Neighborhood
Very Low Density Neighborhood
Low Density Neighborhood
Medium Density Neighborhood
Figure B3.4 Land Use Map.
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4 4 - 1
City Council
Agenda Report
DATE: September 18, 2023
FROM: Armine Chaparyan, City Manager {¥--
ITEM NO.
--
PREPARED BY: Angelica Frausto-Lupo, Community Development Director Alison Becker, AICP, Deputy Community Development Director Ben Jarvis, AICP, Senior Planner
SUBJECT: Proposed Amendments to South Pasadena Municipal Code (SPMC) Chapter 36 (Zoning) Pertaining to Applicable Programs in the 2021-2029 Housing Element (120-Day Implementation Programs).

Recommendation
It is recommended that the City Council open a Public Hearing, receive public testimony on the project, and continue the Public Hearing to September 27, 2023, at which time the Council would consider introducing:

1. An Ordinance amending Division 36.370 (Affordable Housing Incentives) of Article 3 (Site Planning and General Development Standards) of Chapter 36 (Zoning) of the City Code of the City of South Pasadena to revise regulations to conform to State Density Bonus law (California Government Code Section 65915);

2. An Ordinance amending Chapter 36 (Zoning) of the City of South Pasadena Municipal Code including Division 36.220 (Residential Zoning Districts) of Article 2 (Zoning Districts, Allowable Land Uses, and Zone-Specific Standards); Division

36.350 (Standards for Specific Land Uses) of Article 3 (Site Planning and General Development Standards); and Division 36.700 (Definitions of Specialized Terms and Phrases) of Article 7 (Definitions/Glossary), relating to Employee Housing; and

3. An Ordinance amending Division 36.375 (lnclusionary Housing Requirements) of Article 3 (Site Planning and General Development Standards) of Chapter 36 (Zoning) the City Code of the City of South Pasadena relating to lnclusionary Housing requirements.

Executive Summary
Certain Zoning Text Amendments must be adopted in order to comply with the Court Order that resolved the Housing Element lawsuit between the City and Californians for Homeownership, Inc. The proposed amendments would revise SPMC code sections regarding Density Bonus regulations and the City's lnclusionary Housing regulations, and would add a new Code section to address Employee Housing, consistent with State law.

The revisions are directly tied to Housing Element programs.

Housing Element 120-Day Programs
September 18, 2023

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Background
The City recently adopted the 2021-2029 (6th Cycle) Housing Element, and is considering adoption of the General Plan, and Downtown Specific Plan (DTSP). The latter two documents implement the programs identified in the Housing Element. These documents will guide the City’s growth and development for approximately 20 years, with a planning horizon of 2040.

In April 2022, the City was the subject of a lawsuit filed by Californians for Home Ownership, Inc. The lawsuit alleged the City was in violation of State law because the City had not adopted its 2021-2029 Housing Element by the State’s statutory deadline of October 15, 2021. In August 2022, a Court Order, also known as a Stipulated Judgement, was issued requiring the City to take certain actions within certain timeframes in order to bring the Housing Element into compliance per Section 65754 of the Government Code.

The Court Order, among other things, required the City to remove certain parcels from the Suitable Sites list, to approve the Housing Element by May 31, 2023, and to implement certain programs of the Housing Element within 120 days of the adoption of the Housing Element. The City Council adopted the 2012-2029 Housing Element on May 30, 2023, in keeping with the legal deadline, which commenced the 120-day clock to adopt the applicable Housing Element Programs. The General Plan is also under consideration by the City Council and is anticipated to be adopted on September 27, 2023, in keeping with the Court-mandated deadline. The City must now process proposed amendments to its Zoning Ordinance.

City Council Study Session
On August 29, 2023, the amendments were introduced to the City Council in a Study Session. Prior to the Study Session, the City Council received the proposed amendments and background information from the Planning Commission. During the Study Session, the City Council received testimony from the public, a staff presentation, and discussed the proposed amendments. No action was taken during the Study Session.

Analysis
The project consists of Zoning Text Amendments that will bring the SPMC into compliance with State law within 120 days of the approval of the Housing Element (Project). Specifically, the Project addresses three Housing Element Programs: Program

2.e—Facilitate Density Bonus Projects with On-site Affordable Housing; Program 2.h— Incentivize Special-Needs Housing; and Program 2.m—Update Inclusionary Housing Regulations. The proposed Zoning Text Amendments are discussed in detail below:

SPMC Division 36.370 (Affordable Housing Incentives)
Changes are proposed to SPMC Division 36.370 (Affordable Housing Incentives) of Article 3 (Site Planning and General Development Standards) of Chapter 36 (Zoning) to implement Housing Element Program 2.e—Facilitate Density Bonus for Projects with Onsite Affordable Housing. Changes would be made to Sections 36.370.010, 36.370.020,

36.370.030, 36.370.040, 36.370.050, 36.370.060, 36.370.070, 36.370.080, 36.370.090, 4 - 2
Housing Element 120-Day Programs
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36.370.100, and 36.370.110. Due to the number of text revisions with the Project, it is not feasible to include all of the proposed changes in this staff report. The proposed amendments can be found in Exhibit 1 (Redline). While multiple revisions to Division

36.370 are proposed, the changes reflect text clean-ups that would make the City’s code language consistent with State law and are considered routine. A draft Ordinance containing the proposed revisions follows as Attachment A.

SPMC Division 36.350 (Standards for Specific Land Uses) Changes are proposed to Table 2-2 in SPMC Section 36.220.030 (Residential Zoning District Land Uses and Permit Requirements), along with Divisions 36.350 (Standards for Specific Land Uses) and Section 36.700.020 (Definitions of Specialty Terms and Phrases) to implement Housing Element Program 2.h—Incentivize Special-Needs Housing. The proposed changes are summarized below:

Section 36.220.030, Table 2-2
Table 2-2 “Allowed Uses and Permit Requirements for Residential Zoning Districts” would be amended to add Employee Housing as a permitted-by-right use in the RE (Residential Estate) and RS (Residential Suburban) zoning districts.

Section 36.350.265 (Residential Uses—Employee Housing)
A new Section 36.350.265 (Residential Uses—Employee Housing) would be added to Division 36.350 to read as follows:

36.350.265 Residential Uses‒Employee Housing.

A. Applicability. Pursuant to California Health and Safety Code Section 17021.5, employee housing providing accommodations for six or fewer employees shall be allowed in all zoning districts in which single-family residences are allowed and shall be deemed a single-family structure and permitted in the same manner as other dwellings of the same type in the same zone.

Employee housing for six or fewer employee shall not be considered a boarding house, rooming house, hotel, dormitory, or other term that implies that such employee housing differs from a single-family dwelling.

B. Employee housing for six of fewer employees shall be subject to the same ordinances and standards applicable to a single-family residence except to the extent that any such ordinance of standard is preempted by the Employee Housing Act (California Health and Safety Code Section 17000, et seq.).

C. Employee housing shall be subject to all applicable requirements of the Employee Housing Act (California Health and Safety Code Section 17000, et seq.).”
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Section 36.700.020 (Definitions of Specialty Terms and Phrases) Employee Housing will be added to the list of definitions, to read as follows:

Employee Housing. Housing accommodation, or property upon which a housing accommodation is located, that meets the requirements as set forth in Health and Safety Code section 17008.

Employee housing providing accommodations for six or fewer employees shall be deemed a single-family structure with a residential land use designation.

The proposed changes would make the South Pasadena Municipal Code consistent with California Employee Housing Act. A draft Ordinance that would codify the required changes follows as Attachment B.

SPMC Division 36.375 (Inclusionary Housing Requirements) Changes are proposed to SPMC Division 36.375 (Inclusionary Housing Requirements to implement Housing Element Program 2.m—Update Inclusionary Housing Regulations.

The code language would be updated to reduce the inclusionary requirement from 20% to 15%, and would only apply to projects with ten or more dwelling units. Specifically, Section 36.375.020 (Applicability) and Section 36.375.050 (Inclusionary Unit Requirement) would be revised to read as follows:

36.375.020 Applicability
This division applies to all residential development of ten (10) or more dwelling units, including residential portions of mixed-use development, and requires affordable housing units in the amount stipulated in SPMC 36.375.050 (Inclusionary Unit Requirement).

Section 36.375.050 (Inclusionary Housing Requirement)
A. Amount required. A minimum of 15 percent of the total number of dwelling units in a residential or mixed-use project, excluding any bonus units added pursuant to State law or SPMC 36.370, shall be developed, offered to, and sold or rented to households of very low, lower, and moderate income, at an affordable housing cost, as follows:

B. Inclusionary rental units.

Rental projects subject to the inclusionary housing requirement shall provide 50 percent of required affordable units as extremely low or very low units and 50 percent as lower income units. In case of an uneven number, one more unit shall be provided as very low.

C. Inclusionary ownership (for sale) subject to the inclusionary housing requirement shall provide affordable units at the moderate income level. 4 - 4
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D. Fractional units. In the case that unit calculations result in a fractional number, the applicant shall choose one of the following options:

1. Round up to next unit and provide the unit on site.

2. Pay the fractional amount above the whole number as an in-lieu fee equivalent to the fraction multiplied by the in-lieu fee as established by City Council resolution. All whole number units shall be provided on site or alternatively as allowed in SPMC 36.375.060 (Alternatives to On-Site Provision).

In addition to the foregoing, staff and the city attorney’s office suggest cleanup/ consistency revisions are recommended to SPMC Section 36.375.060 A. and B. for consistency with the increase in the threshold for applicability of the inclusionary requirements from 3 or more units to 10 or more units. The suggested revisions conform the language of Section 36.375.060 A. to provide that rental projects with fewer than 10 units could be subject to in lieu fees if/when adopted by the City Council, and to conform language of Section 36.375.060 B. to reflect that alternate options for compliance are available to projects of 10 or more units, rather than 5 or more as stated in the current ordinance.

The proposed revisions would implement the City’s Housing Element. A draft Ordinance that would codify these changes follows as Attachment C.

General Plan Consistency
The proposed changes would implement the following Goal, Policy, and Programs of the 2021-2029 Housing Element:

Goal 2.0: Encourage and Assist in the Provision of Affordable Housing.

Policy 2.2: Provide information to developers regarding the City’s inclusionary housing requirements and the availability of streamline density bonus opportunities in compliance with incentives for well-designed housing and implement approval processes that reflect the priority of providing hosing in the community.

Program 2.e: Facilitate Density Bonus for Projects with On-Site Affordable Housing.

Program 2.h: Incentivize Special-Needs Housing.

Program 2.m Update Inclusionary Housing Regulations.

As the 2021-2029 Housing Element was adopted by the City Council on May 30, 2023, and is part of the City’s General Plan, a Zoning Text Amendment that is consistent with 4 - 5
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the adopted Housing Element is, by definition, consistent with the General Plan. As the proposed Zoning Text Amendments implement the Housing Element Goal, Policy, and Programs listed above, therefore, the proposed Zoning Text Amendments are consistent with the General Plan.

Zoning Amendment Findings
SPMC Section 36.620.070(B) stipulates that a Zoning Amendment may be approved only if the following findings are met:

1. Findings required for all Zoning Code/Map amendments; a. The proposed amendment is consistent with the actions, goals, objectives, policies, and programs of the General Plan;
The proposed Zone Text Amendments are consistent with the actions, goals, objectives, policies, and programs of the 2021-2029 (6th Cycle) Housing Element that was adopted on May 30, 2023. While the current General Plan that was adopted in 1998 is not internally consistent with the recently adopted Housing Element, the proposed General Plan currently under consideration by the City would be. Since the proposed Zoning Text Amendments would be consistent with, and would implement certain programs contained in the adopted 2021-2029 Housing Element, and since the Housing Element is part of the City’s General Plan, the City Council can make this finding.
b. The proposed amendment would not be detrimental to the public interest, health, safety, convenience, or general welfare of the City
The Zoning Text Amendments would not be detrimental to the public interest, health, safety, convenience or general welfare of the City as it would implement certain programs from the adopted 2021-2029 Housing Element. Furthermore, the proposed Zoning Text Amendments would make the City’s Municipal Code consistent with State law and would satisfy the legal requirements of the Court Order, supporting the public interest and general welfare of City residents and businesses. Therefore, the City Council can make this finding.

2. The proposed amendment is internally consistent with other applicable provisions of this Zoning Code.

The proposed Zoning Amendments are internally consistent with other applicable provisions of the Zoning Code. The proposed changes would bring the various Code sections into compliance with State law and would implement selected programs found in the 2021-2029 Housing Element. The changes would be internally consistent with other applicable provisions of the Zoning Code, and would also support the policies and vision of the proposed General Plan and Downtown Specific Plan should those documents be adopted. Therefore, the City Council can make this finding.
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Environmental Analysis
The City Council is expected to adopt a resolution recommending certification of the Program Environmental Impact Report (PEIR) from the General Plan Update/DTSP, which would cover this implementing action of the proposed Zone Text Amendments. The General Plan Update/DTSP constitutes a project under the California Environmental Quality Act (CEQA). As such, a PEIR was prepared and was submitted to the California State Clearing House (document SCH No. 2018011050). The PEIR addresses issues raised in January 2018 when the first Notice of Preparation (NOP) was circulated, as well as issues identified when the Recirculated Notice of Preparation (RNOP) was distributed in April 2021. Public comments were also received in a scoping meeting that was held on February 5, 2018, and again from a virtual scoping meeting that was conducted on May 3, 2021. While two NOPs were distributed for the PEIR, the baseline for environmental analysis was assumed to be April 2021. Based on the scoping meetings, the following environmental areas of controversy were identified: traffic, parking, water supply, and waste water infrastructure.

Based on the analysis presented in the PEIR, implementation of the proposed General Plan Update and DTSP, along with the implementation programs contained in the 2021- 2029 Housing Element, would result in the following significant and unavoidable impacts after implementation of feasible mitigation measures:

1. Aesthetics (Visual Character at a program and cumulative level);

2. Air Quality (Air Quality Management Plan Consistency, Regional Construction and Operational Emissions Standards Violation, and Cumulative Emissions at a program and cumulative level; Local Construction Emissions Standards Violation at a program level);

3. Cultural Resources (Historic Resources at a program and cumulative level);

4. Greenhouse Gas Emissions (GHG Emissions at a cumulative level);

5. Noise (Construction and Exterior Traffic Noise Standards Violation at a program and cumulative level); and

6. Population and Housing (Population Growth at a program and cumulative level).

A Statement of Overriding Considerations is required documenting that the physical, social, and economic benefits of the General Plan and DTSP would outweigh the adverse impacts associated with the updated community vision and guiding documents. As the proposed Zoning Text Amendments were analyzed as part of the PEIR prepared for the General Plan Update/DTSP and Housing Element, no further CEQA analysis is required.

Housing Element Environmental Assessment
In addition to the General Plan/DTSP PEIR, an Initial Study in conformity with 14 CCR 15080(c) and an Environmental Assessment in conformity with 14 CCR 15140, et seq., were prepared for the preparation and adoption of the City’s 2021-2029 (6th Cycle) Housing Element. Based on the analysis presented in the Environmental Assessment, and as more thoroughly described therein, implementation of the proposed Project would result in the following significant and unavoidable impacts after implementation of feasible 4 - 7
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mitigation measures: Air Quality (Air Quality Management Plan Consistency, Air Quality Standards Violation; Cumulative Air Quality Impacts); Greenhouse Gas Emissions (GHG Emissions); Noise (Direct and Cumulative Construction and Exterior Traffic Noise Standard Violation); and, Population and Housing (Population Growth). Table ES-1 presents a summary of significant environmental impacts identified in Sections 3.1 through 3.16 of the Environmental Assessment; Mitigation Measures (MMs) that reduce any significant impacts; and the level of significance of each impact after mitigation.

Significant irreversible environmental changes and growth-inducing impacts are addressed in Section 5.0, Other CEQA Considerations of the Environmental Assessment.

Therefore, the proposed Zoning Code implementation of the Housing Element program requirements will not trigger any further CEQA review.

Tribal Consultation
Since no additional CEQA analysis is required for the Project, the Project is not subject to Tribal Consultation under Senate Bill 18 and Assembly Bill 52. Consultation on the General Plan and Downtown Specific Plan PEIR concluded on June 10, 2021.

Conclusion
Based on the evidence presented in this staff report and the adopted 2021-2029 Housing Element, the City Council can make the findings to approve the Project. As such, draft Ordinances have been prepared for the City Council’s consideration: Density Bonus (Attachment A), Employee Housing (Attachment B), and Inclusionary Housing Regulations (Attachment C).

Next Steps
September 18, 2023: City Council conducts a Public Hearing, receives a staff presentation and public testimony on the project, and
continues the Public Hearing to September 27, 2023.

September 27, 2023: City Council concludes the continued Public Hearing, and once the Public Hearing is closed, considers
certifying/adopting the PEIR, and approving the project with First Reading of Ordinances for Zoning Text Amendments
and Zoning Map Amendments, and rescinding the MSSP.

October 4, 2023: Assuming the project is approved on September 27, 2023, with the First Reading of the Ordinances, conduct a Second Reading and adopt said Ordinances.

Upon Second Reading of the Ordinances, and upon the adoption of the General Plan and Downtown Specific Plan, the City arguably would be in compliance with State law as well as satisfying its legal obligations set for thein the Court Order. The Ordinances would take effect 30 days after the Second Reading.
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Fiscal Impact
Staff time will be required to make the necessary revisions to the SPMC both online and in print; otherwise, there is no fiscal impact to enacting ordinances.

Key Performance Indicators and Strategic Plan
This project supports Priority 5 of the Strategic Plan: Plan for affordable housing to comply with state mandates and respond to community needs.

Commission Review and Recommendation
The Planning Commission considered the proposed Zoning Text Amendments in a Public Hearing on August 8, and August 21, 2023, and in a 5-0 vote, adopted Resolution No.

P.C. 23-07, recommending the City Council approve the project. Resolution P.C. 23-07 is attached to this staff report.

Legal Review
The City Attorney has reviewed this item.

Public Notification of Agenda Item
A public notice for this Public Hearing was published in the South Pasadena Review on September 8, 2023. The public was also made aware of the Public Hearing through its inclusion in the legally publicly noticed agenda, posted physically at City Hall and also on the City’s website.

As of the writing of the staff report, the City has received no comment letters on the project.

Attachments:

1. Density Bonus Redline Exhibit

2. Draft Density Bonus Ordinance

3. Draft Employee Housing Ordinance

4. Draft Inclusionary Housing Ordinance

5. Resolution No. P.C. 23-07
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Attachment 1
Density Bonus Redline Exhibit
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“Division 36.370. Affordable Housing Incentives

36.370.010 Purpose of Division.

This Division provides incentives for the development of specific housing types that isare affordable to the types of households and qualifying residents identified in Section 36.370.020 (Eligibility for Density Bonus). ThisAffordable Housing Incentives), including but not limited to, very low income, lower income, moderate income, and senior households, in accordance with Government Code Section 65915. The provisions of this Division is intendedshall be interpreted to implementfulfill the requirements of State law (Government Code Section 65915, as the same may be amended from time to time. All references to Government Code Sections 65302, 65913, andSection 65915 et seq.) and the goals and policies of the City’s General Planshall be interpreted to include amendments to that Section as may be enacted by the state from time to time. If any provision of this Division should conflict with a provision of such statute, the statutory provision shall prevail.

36.370.020 Eligibility for Density BonusAffordable Housing Incentives.

A. If requested by the applicant, the City shall grant one Density Bonus to a residential project of five or more dwelling units in accordance with this Division if the project is designed and constructed so that the development meets at least one of the following criteria:

1. 10 percent of the total number of proposed units are for lower income households, as defined in California Health and Safety Code Section 50079.5; or

2. Five percent of
A. A housing development that qualifies for a density bonus and other incentives pursuant to Government Code Section 65915 shall be eligible for the affordable housing incentives identified in this Division 36.370. The applicant shall comply with all requirements stated in Government Code Section 65915.

B. Except as otherwise required by Government Code Section 65915 density bonus units shall not be included when calculating the total number of proposedhousing units are for very low income households, as defined in Health and Safety Code Section 50105; or 4 - 13

3. All proposed units, with a minimum of 35 units, are considered to be a senior citizenpurposes of determining the number of affordable units that qualifies the housing development, as defined in Civil Code Sections 51.3 and 51.12 (for senior citizens of any income level); or

4. 10 percent of the total number of proposed units in a common interest development, as defined by Section 1351 of the Civil Code are for persons and families of moderate-income, as defined in Section 50093 of the Health and Safety Code, provided that all units in the development are offered to the public for purchase.
for a density bonus.

C. An applicant shall not receive a density bonus or any other affordable housing incentive under this Division if the housing development would be excluded under Government Code Section 65915, which includes, but is not limited to, projects that fail to “replace” existing housing units, as required by state law.

36.370.030 Density Bonus Allowance.

A. For a housing development qualifying pursuant to the requirements of Government Code Section 65915 the City shall grant a density bonus in an amount specified by Government Code Section 65915.

B. For the purpose of calculating the density bonus, the “maximum allowable residential density” shall be as stated in Government Code Section 65915.

C. Each component of any density calculation, including base density and bonus density, that results in a fractional unit shall be separately rounded up to the next whole number.

36.370.040 Incentives and/or Concessions.

A. If requested by the applicant, a project whichthat qualifies for a Density Bonusdensity bonus in accordance with the criteria set forth in Section 36.370.020(A) also shall also be entitled to the granting of the followingbe entitled to the number of incentives or concessions as identified by State law (set forth in Government Code Section 65915(d). A request for a concession(s) or incentive(s) should be accompanied by documentation demonstrating that the concession(s) or incentive(s) results identifiable and actual cost reductions to provide for 4 - 14
affordable housing costs, as further described in Government Code Section 65915(b)):d)(1)(A).

The applicant is entitled to the concession(s) or incentive(s) requested unless the City makes a written finding, based upon substantial evidence, of any of the relevant written findings as stated in Government Code Section 65915(d)(1).

1. One concession or other incentive for projects that include at least five percent of the units for very low-income households, 10 percent of the units for low-income households, or 10 percent of the units for persons and families of moderate-income in a common interest development when the units are available for sale to the public.

2. Two concessions or other incentives for projects that include at least 10 percent of the units for very low-income households, 20 percent of the units for low-income households, or 20 percent of the units for persons and families of moderate-income in a common interest development when the units are available for sale to the public.

3. Three concessions or other incentives for projects that include at least 15 percent of the units for very low-income households, 30 percent of the units for low-income households, or 30 percent of the units for moderate-income in a common interest development when the units are available for sale to the public.

B.

B. Senior citizen housing developments that qualify for a density bonus solely pursuant to Government Code Section 65915 (b)(1)(C) shall not receive any incentives or concessions, unless Government Code Section 65915 is amended to specifically require that local agencies grant incentives or concessions for senior citizen housing developments.

C. For the purposes of this Division, concessions and incentives mean any of the following:incentive and/or concession shall have the same meaning as the term “concession or incentive” as defined in Government Code Section 65915(k).

1. A reduction in the parcel development standards (including, but not limited to, coverage, setback, zero lot line and/or reduced parcel sizes, and/or parking requirements);

2. Approval of mixed use zoning in conjunction with the housing project if commercial office, industrial, or other land uses will reduce the cost of the 4 - 15
housing development and if the commercial, office, industrial, or other land uses are compatible with the housing project and the existing or planned development in the area where the proposed housing project will be located;

3. Other regulatory incentives or concessions proposed by the developer and found acceptable by the City.

C. Exceptions. A developer who agrees to construct senior citizen housing with 20 percent of the units reserved for low or very low income households, respectively, may request more than one Density Bonus and an additional incentive. The City may grant multiple additional incentives and density bonuses to facilitate the inclusion of more affordable units than are required by this Division provided the maximum combined Density Bonus granted does not exceed 35 percent.

36.370.040 Density Bonus Allowance.

36.370.050 Waivers.

A. Except as restricted by Government Code Section 65915, the applicant for a project that qualifies for a density bonus in accordance with Section 36.370.020 may submit a proposal for the waiver or reduction of development standards that will have the effect of physically precluding the construction of a development meeting the criteria of Government Code Section 65915(b), at the densities or with the concessions or incentives permitted by Section 65915.

The applicant may request a meeting with the City to discuss any waiver requests. A request for a waiver or reduction of development standards should be accompanied by documentation demonstrating that the waiver or reduction is physically necessary to construct the housing development with the additional density permitted by state law and/or incorporating any incentives or concessions required to be granted.

B. The applicant is entitled to the waiver(s) requested unless the City makes a written finding, based upon substantial evidence, of any of the relevant written findings as stated in Government Code Section 65915(e).

C. As used in this section, “development standard” shall have the same meaning as the term is defined in Government Code Section 65915(o)(2).

36.370.060 Alternative Parking Standards.
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An applicant proposing a residential project that meets at least one of the four criteriacomplies with the requirements found in Section 36.370.020(A) may request, and satisfies all applicable provisions of this Division, shall be entitled to the following density bonuses:

A. Density Bonus allowance. The Density Bonus shall consist of a minimum of five percent and a maximum of 35 percent combined increase in the maximum density allowed by the applicable General Plan designation and zoning district. Calculation of density bonuses shall be in accordance to the respective tables below (in compliance withis entitled to, the parking ratios identified by Government Code Section 65915(fp)). All density calculations resulting in fractional units shall be rounded up to the next whole number.

1. Very low-income units. A 20 percent bonus shall be granted for developments with five percent very low income units, with an increase of Density Bonus by two and one-half percent for every percentage of very low-income units provided above five percent, up to a cap of 35 percent.

Table 1.1 Density Bonus Calculation for Very Low-Income Units

Percentage of Very LowIncome UnitsPercentage of
Density Bonus
5 20
6 22.5
7 25
8 27.5
9 30
10 32.5
11 35

2. Low-income units. A 20 percent bonus shall be granted for developments with 10 percent low-income units, with an increase of Density Bonus by one and one-half percent for every percentage of lowincome units above 10 percent, up to a cap of 35 percent.

Table 1.2 Density Bonus Calculation for Low-Income Units 4 - 17
Percentage of LowIncome Units
Percentage of
Density Bonus
10 20
11 21.5
12 23
13 24.5
14 26
15 27.5
16 29
17 30.5
18 32
19 33.5
20 35

3. Common interest developments with moderate-income ownership units, as defined. A five percent bonus shall be granted for developments with 10 percent moderate income units, with an increase of Density Bonus by one percent for every percentage of moderate-income units above 10 percent, up to a cap of 35 percent.

Table 1.3 Density Bonus Calculation for Moderate Income Ownership Units
Percentage of ModerateIncome UnitsPercentage of
Density Bonus
10 5
11 6
12 7
13 8
14 9
15 10
16 11
17 12
18 13
19 14
20 15
21 16
22 17
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23 18
24 19
25 20
26 21
27 22
28 23
29 24
30 25
31 26
32 27
33 28
34 29
35 30
36 31
37 32
38 33
39 34
40 35

4. Senior housing units. A 20 percent bonus of the total number of senior housing units shall be the Density Bonus granted for developments of at least 35 units for sale or rent to persons 55 and older.

36.370.050

36.370.070 Density Bonus for Land Donations.

A. Land donation bonus. An applicant proposing a project of five or more dwelling unitstentative subdivision map, parcel map, or other residential development that donates land to the City as provided for in this Section, the applicant shall be entitled to a Density Bonusdensity bonus as provided for in this Section.

B. Requirements for Bonus. In order to grant a bonus for the donation, all of the following requirements set forth in Government Code Section 65915(g)(2) must be met. 4 - 19

1. The applicant shall donate and transfer the land no later than the date of approval of the final tract or parcel map, or application for the construction of residential units.

2. The developable acreage and zoning classification of the land being transferred shall be sufficient to permit construction of units affordable to very low income households in an amount not less than 10 percent of the number of residential units of the proposed development.

3. The transferred land shall be at least one acre in size or of sufficient size to permit development of at least 40 units, has the appropriate general plan designation, is appropriately zoned for development as affordable housing, and is or will be served by adequate public facilities and infrastructure. The land shall have appropriate zoning and development standards to make the development of the affordable units feasible. No later than the date of approval of the final subdivision map, parcel map, or of the residential development, the transferred land shall have all of the permits and approvals, other than concept design review and building permits, necessary for development of the very low income housing units on the transferred land.

4. The transferred land and the affordable units shall be subject to a deed restriction ensuring continued affordability of the units, consistent with Section

36.370.090.

5. The land shall be transferred to the City of South Pasadena or to a housing developer approved by the City of South Pasadena.

6. The transferred land shall be within the boundary of the proposed development or, with approval of the Director, within one-quarter mile of the boundary of the proposed development.

7. A bonus shall not be granted unless a source of funding for the very low income units has been identified not later than the date of approval of the final parcel or tract map or application for the construction of residential units.

C. Density Bonus allowance for land donations. If an applicant donates land in compliance with requirements set forth in Subsection B, a 15 percent Density Bonusdensity bonus as set forth in Government Code Section 65915(g)(1) shall be granted. The bonus increases by one percent increments for every percentage of very low income units above 10 percent, up to a cap of 35 percent.
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Table 1.4 Increase in Allowable Density for Donation of Land for Very Low Income Units
Percentage of Very-Low
Income Units
Percentage of
Density Bonus
10 15
11 16
12 17
13 18
14 19
15 20
16 21
17 22
18 23
19 24
20 25
21 26
22 27
23 28
24 29
25 30
26 31
27 32
28 33
29 34
30 35

36.370.060

36.370.080 Density Bonus and Incentives for Child CareChildcare Facilities.

A. An applicant proposing to construct a housing development that consists of affordable units in compliance with this Divisionconforms to the requirements of Government Code Section 65915(b) and includes a child carechildcare facility that will be located on the premises of, as part of, or adjacent to the project, the City shall grant either of the following if requested by the applicant:

1. An additional Density Bonus that is an area (in square feet) of residential space equivalent or greater than the area of the child care facility. 4 - 21

2. Anan additional density bonus or a concession or incentive that contributes significantly to the economic feasibility of the construction of the child care facilityas provided for in Government Code Section 65915(h)(1).

B. A proposed project shall be eligible for the Density Bonusdensity bonus or concession or incentive described in this Section only if the City makes all of the following findings:

1. The child care facility will remain in operation for a period of time that is as long as or longer than the period of time during which the affordable units are required to remain affordable pursuant to Section 36.370.040 of this Division.

2. Of the children who attend the child care facility, the percentage of children of very low income households, low income households, or moderate income households shall be equal to or greater than the percentage of dwelling units that are proposed to be affordable to very low income households, low income households, or moderate income households.

36.370.070 Alternative Parking Standards.

An applicant proposing a project that complies with one of the four criteria found in Section 36.370.020(A) of this Division, may request and is entitled to the parking ratios noted below. Parking may be provided through tandem parking or uncovered parking on the project site.project is made subject to, and the project applicant agrees to adhere to the conditions of approvals set forth in Government Code Section 65915(h)(2).

Number of Bedrooms Minimum On-Site Parking Required
0-1 1
2-2 2
4 or more 2.5
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I=

36.370.080
C. As used in this section, “childcare facility” shall have the same meaning as the term is defined in Government Code Section 65915.

36.370.090 Location of Designated Dwelling Units.

A. Location/dispersal of units. The location of the designated dwelling units within the qualifying project shall be at the discretion of the City with the goal to integrate the units into the overall project. However, thereserved as affordable units shall contain on average the same number of bedrooms as the market rate units. The designated dwelling units shall be reasonably dispersed throughout the development where feasible, shall contain on average the same number of bedrooms as the non-Density Bonus unitsdispersed throughout the development, and shall be compatible withhave the design or use of the remaining units in terms of appearance,same materials, and finish quality.

B. Phasing. If a project is to be phased, the Density Bonus units shall be phased in the same proportion as the non-Density Bonus units, or phased in another sequence acceptable to the City as the market rate units, and shall include a dishwasher, and washer and dryer if those appliances are provided in the market rate units.

CB. Alternative development site. The review authority may authorize some or all of the designated dwelling units reserved as affordable units associated with one housing development to be produced and operated on an alternative development site, where it determines that the public interest would be more effectively served. Affordable housing units authorized on an alternate site shall be constructed and made available for occupancy prior to or at the same time as the market rate units are constructed and made available for occupancy, unless otherwise approved by the review authority.

36.370.09036.370.100 Processing of Density Bonus Review and Affordable Housing Review.

A. Density Bonusbonus review or affordable housing review. A request for a Density Bonusdensity bonus, including any requests for incentives and/or concessions or waivers, shall be reviewed administratively by the Director. If a request for a Density Bonusproject that includes a request for a density bonus is also subject to 4 - 23
another discretionary entitlement request that requires approval by the Planning Commission or City Council, the density bonus request, including any requests for incentives and/or concessions or such a request is for the inclusion of child care pursuant to Section 36.370.060, then such a request willwaivers, shall be reviewed by the Planning Commission or City Council through the affordable housing review process.

B. Application and filing processing. An application for a Density Bonusdensity bonus, incentive(s) and/or concession(s), or waiver(s), shall be filed in compliance with Division 36.400 (Application Filing and Processing).

C. Density Bonusbonus review. If only a Density Bonusdensity bonus is requested and the development does not include child care pursuant to Section

36.370.060for a project that is subject only to ministerial review and approval, the Director shall process and grant a Density Bonus andthe density bonus, alternative parking standards, and any incentives and/or concessions and waivers for athat proposed project provided that the Director finds that the project is in compliance with the required criteria inrequirements of Government Code Section 36.370.04065915 and/or Section 36.370.050, and 36.370.070 the provisions of this Division. No public hearing or noticing is required for such requests. Solely the applicant may appeal the decision of the Director to the City Manager on the grounds of an error in the application of this Division or State law. In making such an appeal, the applicant shall adequately describe the error in the application of this Division or State law.

D. Affordable housing review. The Planning Commission shall conduct an affordable housing review for proposed density bonus projects for which the applicant requests incentives/concessions pursuant to Section 36.370.030, and/or a Density Bonus for providing child care within the development pursuant to Section 36.370.060that include any discretionary approvals concurrently with the Commission’s review of the other discretionary approval(s). Following proper noticing and a public hearing pursuant to Division 36.630 (Public Hearings), the Planning Commission, after findingif it finds that the proposed project complies with applicable sections of this Division and State law, shall grant the density bonus(es), reduced parking standards, incentives, and/or concessions, and waivers requested, provided the followingunless it makes necessary findings for each applicable request cannot be made:as set forth in this Division and State law to reject the requested density bonus, reduced parking standards, incentives and/or concession, waivers, or any combination thereof.
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1. Required findings for denial of incentives and/or concessions. Any requested incentives or concessions for a project shall be granted if it is found to be in compliance with all applicable sections of this Division and State law unless any one of the following written findings for denial based on substantial evidence can be made consistent with Government Code Section 65915(d):
a. The concession or incentive is not required in order to provide for affordable housing costs, as defined in Health and Safety Code Section 50052.5, or for rents for the targeted units to be set as specified in Government Code Section 65915(c).
b. The concession or incentive would have a specific adverse impact, as defined in Government Code Section 65589.5(d)(2), upon public health and safety or the physical environment or on any real property that is listed in the California Register of Historical Resources and for which there is no feasible method to
satisfactorily mitigate or avoid the specific adverse impact without rendering the development unaffordable to low- and moderateincome households. c. The concession or incentive would be contrary to State or Federal law.

2. Required findings for denial of Density Bonus for the inclusion of a child care facility. Any requested Density Bonus for the inclusion of a child care facility shall be granted pursuant to Section 36.370.060 unless the following finding for denial based upon substantial evidence can be made, consistent with Government Code Section 65915(h):
a. The community has adequate child care facilities.

E. An affordable housing review and Density Bonus review may be processed in conjunction with all other required discretionary approvals.

F. Affordable housing review provisions. The Planning Commission may impose additional provisions to be included in the affordable housing covenant (Section 36.370.090) for the purpose of ensuring the affordability of housing 4 - 25
pursuant to this Division. Such provisions may be included in the covenant once approved by the City Attorney.

G.

E. Decision. Notice of the Director or Planning Commission’s decision on the affordable housing review decisions pursuant to this Division shall be mailed to the project applicant within five days of the decision. The granting of a request for a density bonus, incentive, or concession pursuant to this Division shall not be effective until an affordable housing covenant has been recorded in compliance with Section

36.370.09036.370.110.

HF. Appeal. A decision for an affordable housing review may be appealed in compliance with Division 36.610 (Appeals).

IG. Continued availability. All projects for which a Density Bonusdensity bonus review and/or affordable housing review is granted by the appropriate review authority, must maintain continued affordability of the designated units pursuant to State law and as follows:.

1. Low and very low income units. Affordable units offered for rent to low income and very low income households shall be made available for rent at an affordable rent and shall remain restricted and affordable to the designated income group for a minimum period of 30 years. A longer period of time may be specified if required by any construction or mortgage financing assistance program, mortgage insurance program, or rental subsidy program applicable to the housing development. The Director is authorized to execute the necessary agreement which shall include recordation of a covenant or other document satisfactory to the City Attorney prior to the issuance of a building permit.

2. Moderate income units. As required by State law (Government Code Section 65915(c)), the initial occupant of moderate income units must be directly related to the receipt of the Density Bonus and are persons, and families of moderate income. Moderate income units must be offered at an affordable cost for person and families of moderate income as defined in Section 50052.5 of the Health and Safety Code. Moderate income units may be offered for subsequent sale to an above-moderate income 4 - 26
purchaser; provided that the sale shall result in a recapture by the City, or its designee, of financial interest in the unit equal to:
a. Difference between price and value. The difference between the initial moderate income level sales price and the appraised value at the time of the initial sale; and
b. Proportionate share of appreciation. A proportionate share of any appreciation.

H. Pursuant to Section 36.370.10036.370.110 (Affordable Housing Covenant), the Director is authorized to execute the necessary agreement which shall include recordation of a covenant or other document satisfactory to the City Attorney prior to the issuance of a building permit.

36.370.10036.370.110 Affordable Housing Covenant.

Affordable housing covenant. Following the granting of a Density Bonusdensity bonus request or an affordable housing review in compliance with Section

36.370.09036.370.100 (Processing of Density Bonus Requests and Affordable Housing Review), the applicant shall agree to the terms of a covenant reviewed andenter into an agreement with the City in a form approved by the Director and/or City Attorney that mustto ensure the continued affordability of all affordable units or the continued reservation of such units for qualifying senior citizens in accordance with Government Code Section 65915. Prior to receiving a building permit for any project that receives a density bonus or any incentive, concession, waiver, or reduction of development standards pursuant to this Division, such agreement shall be recorded as a covenant against all approved affordable unitsthe property.

In order to ensure the affordability of housing pursuant to this Division, the covenant shall include, but not be limited to, the following provisions with respect to the long term affordability of the residential project:

A. The developer shall give the City the continuing right-of-first-refusal to lease or purchase any or all of the designated dwelling units at the appraised value; 4 - 27
B. The deeds to the designated dwelling units shall contain a covenant stating that the developer or successors-in-interest shall not assign, lease, rent, sell, sublet, or otherwise transfer any interests for designated units without the written approval of the City;
C. When providing the written approval, the City shall confirm that the price (rent or sale) of the designated dwelling unit is consistent with the limits established for moderate, low and very low-income households, as published by the United States Department of Housing and Urban Development (HUD);
D. The City shall have the authority to enter into other agreements with the developer, or purchasers of the designated dwelling units, to ensure that the required dwelling units are continuously occupied by eligible households; E. Applicable deed restrictions, in a form satisfactory to the City Attorney, shall contain provisions for the enforcement of owner or developer compliance. Any default or failure to comply may result in foreclosure, specific performance, or withdrawal of the Certificate of Occupancy;
F. In any action taken to enforce compliance with deed restrictions, the City Attorney shall, if compliance is ordered by a court of competent jurisdiction, take all action that may be allowed by law to recover all of the City’s costs of action including legal services;
G. In the case of for-sale housing developments, the affordable housing covenant shall provide for the following conditions governing the initial sale and use of designated dwelling units during the applicable use restriction period:

1. Designated dwelling units shall be owner-occupied by eligible very low, low, or moderate income households, or by qualified residents in the case of senior housing,.

2. The applicable restriction period in compliance with Section

36.370.090(J),the provisions of this Division and State law. 4 - 28

3. The initial purchaser of each designated dwelling unit shall execute an instrument or agreement approved by the City which:
a. Restricts the sale of the unit in compliance with this Division during the applicable use restriction period,
b. Contains provisions as the City may require to ensure continued compliance with this Division and State law, and
c. Shall be recorded against the parcel containing the designated dwelling unit;.

H. In the case of rental housing developments, the affordable housing covenant shall provide for the following conditions governing the use of designated dwelling units during the use restriction period:

1. The rules and procedures for qualifying tenants, establishing affordable rent, filling vacancies, and maintaining the designated dwelling units for qualified tenants,

2. Provisions requiring owners to annually verify tenant incomes and maintain books and records to demonstrate compliance with this Division,

3. Provisions requiring owners to submit an annual report to the City, which includes the name, address, and income of each person occupying the designated dwelling units, and which identifies the number of bedrooms and monthly rent or cost of each unit, and

4. The applicable use restriction period in compliance with Section

36.370.090(J)this Division and State law;
I. If required by the Commission as part of the affordable housing review the The covenant shall include the following information:
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1. The total number of units approved for the housing development, including the number of designated dwelling units,

2. A description of the household income group to be accommodated by the housing development, and the standards and methodology for determining the corresponding affordable rent or affordable sales price and housing cost consistent with HUD Guidelines,

3. The marketing plan for the affordable units,

4. The location, unit sizes (square feet), and number of bedrooms of the designated dwelling units,

5. Duration of the use restrictions for designated dwelling units, in compliance with Section 36.370.090this Division and State law,

6. A schedule for completion and occupancy of the designated dwelling units,

7. A description of the additional incentive(s) being provided by the City,

8. A description of the remedies for breach of the affordable housing covenant by the owners, developers, and/or successor(s)-in-interest of the project, and

9. Other information as necessary for the City to verify the implementation of, and compliance with this Division;
J. Execution of covenant.

1. Following agreement on the terms of the covenant by all parties, the City shall record the completed covenant on the parcels designated for the construction of designated dwelling units, at the Los Angeles County Registrar Recorder’s/County Clerk’s Office.
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2. The approval and recordation shall take place at the same time asprior to the final map or, where a map is not being processed, before issuance of Building Permits for the units.

3. The covenant shall be binding to all future owners, developers, and/or successorsin-interest. ”

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Attachment 2
Draft Density Bonus Ordinance
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Attachment A
[DRAFT] CITY OF SOUTH PASADENA
ORDINANCE NO.________

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF

SOUTH PASADENA, CALIFORNIA, AMENDING DIVISION

36.370 (AFFORDABLE HOUSING INCENTIVES) OF ARTICLE 3
(SITE PLANNING AND GENERAL DEVELOPMENT
STANDARDS) OF CHAPTER 36 (ZONING) OF THE CITY CODE

OF THE CITY OF SOUTH PASADENA TO REVISE

REGULATIONS TO CONFORM TO STATE DENSITY BONUS
LAW (CALIFORNIA GOVERNMENT CODE SECTION 65915)
WHEREAS, the State Legislature has declared that the lack of housing, including providing for a variety of housing types for all income levels and special needs groups, is a critical problem that threatens the economic, environmental, and social quality of life in California; and
WHEREAS, the City Council of the City of South Pasadena adopted the City’s 2021-2029 Housing Element on May 30, 2023; and
WHEREAS, the City’s 2021-2029 Housing Element provides that the City will update its Zoning Code provisions for density bonuses (SPMC Division

36.370) as needed to comply with changes in state law (Program 2.e); and WHEREAS, the City wishes to update the City Code to ensure consistency with state law as it may be amended from time to time, and clarify how to implement the density bonus program; and
WHEREAS, the Planning Commission considered this Ordinance on August 21, 2023, at a duly noticed public hearing, as prescribed by law, at which time the City Staff and interested persons had an opportunity to and did testify either in support or against this matter; and
WHEREAS, at the conclusion of the Planning Commission hearing and after due consideration of the testimony, the Planning Commission adopted Resolution No. 23-07, recommending that the City Council adopt an ordinance amending City Code Division 36.370 substantially as set forth herein; and WHEREAS, the City Council, at a regular meeting, considered the Ordinance on __________________, 2023, at a duly noticed public hearing, as prescribed by law, at which time the City Staff and interested persons had an opportunity to and did testify either in support or against this matter. 4 - 35
2 NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF SOUTH PASADENA, CALIFORNIA, DOES HEREBY ORDAIN AS FOLLOWS:

SECTION 1. The facts set forth in the recitals of this Ordinance are true and correct.

SECTION 2. Findings. The City Council of the City of South Pasadena in approving the proposed City Code amendment hereby makes the following findings:

A. This Ordinance is consistent with State Housing Law, the South Pasadena 2021-2029 Housing Element, and the South Pasadena General Plan.

This Ordinance clarifies the City’s density bonus provisions to conform to the requirements of California Government Code Section 65915.

B. The proposed Ordinance amends portions of Chapter 36 (Zoning) of the South Pasadena City Code to conform with State Density Bonus Law and with the goals, policies, programs, and guidelines of the City’s General Plan.

Specifically, the Ordinance implements the following goal, policy, and program contained in the City’s 2021-2029 Housing Element:

Goal 2.0 Encourage and Assist in the Provision of Affordable Housing. Facilitate the development of deed-restricted
affordable housing units in locations distributed throughout the city in order to provide housing for a diverse
community, including low-income households that are least able to afford adequate housing.

Policy 2.2 Provide information to developers regarding the City’s inclusionary housing requirements and the availability of streamlined density bonus opportunities in compliance with incentives for well-designed housing and implement
approval processes that reflect the priority of providing housing in the community.

Program 2.e Facilitate Density Bonus for Projects with On-Site Affordable Housing. The City requires provision of
inclusionary housing units for most multi-family
developments. Projects complying with the ordinance by
including on-site affordable units may also take advantage of State-mandated density bonuses and other incentives
offered in SPMC Division 36.375 that support project
feasibility. The City Code complies with State requirements 4 - 36
3 and encourages density bonuses in conjunction with the inclusionary housing requirement. The City will update the Zoning Code provisions for density bonuses (SPMC
Division 36.370) as needed to comply with changes in
state law.

C. The housing developments that would be authorized by this Ordinance would be established and maintained in a manner consistent with the City’s General Plan and 2021-2029 Housing Element, specifically the goal, policy, and program described above, and all applicable provisions therein, which acknowledge the effect of the State-mandated density bonus law requirements.

D. Pursuant to City Code Section 36.620.070 B.1 (a and b) and B.2 (Findings and Decision), the City Council makes the following findings required for an amendment to the City’s Zoning Code:
(1) The proposed amendment is consistent with the actions, goals, objectives, policies, and programs of the General Plan.

The proposed amendment is consistent with the actions, goals, objectives, policies, and programs of the General Plan in that the 2021-2029 General Plan Housing Element includes programs to amend the Zoning Ordinance for consistency with adopted State laws governing the provision of affordable housing.
(2) The proposed amendment would not be detrimental to the public interest, health, safety, convenience, or general welfare of the City.

The proposed amendment would not be detrimental to the public interest, health, safety, convenience, or general welfare of the City in that it is necessary to modify zoning requirements, as required by State law, to support housing development and help alleviate the current housing crisis in the Los Angeles County region. Providing sufficient housing opportunities will promote the general welfare of all members of the community.
(3) The proposed amendment is internally consistent with other applicable provisions of this Zoning Code.

The proposed amendment is internally consistent with other applicable provisions of the City’s Zoning Code in that, as applicable, the amendments include provisions to resolve internal conflicts to achieve consistency and ensure that the Zoning Code complies with state law.
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4 SECTION 3. Division 36.370 (Affordable Housing Incentives) of Article 3 (Site Planning and General Development Standards) of Chapter 36 (Zoning) of the South Pasadena City Code is hereby amended in its entirety to read as follows:
“Division 36.370. Affordable Housing Incentives

36.370.010 Purpose of Division.

This Division provides incentives for the development of specific housing types that are affordable to the types of households and qualifying residents identified in Section 36.370.020 (Eligibility for Affordable Housing Incentives), including but not limited to, very low income, lower income, moderate income, and senior households, in accordance with Government Code Section 65915. The provisions of this Division shall be interpreted to fulfill the requirements of Government Code Section 65915, as the same may be amended from time to time. All references to Government Code Section 65915 shall be interpreted to include amendments to that Section as may be enacted by the state from time to time. If any provision of this Division should conflict with a provision of such statute, the statutory provision shall prevail.

36.370.020 Eligibility for Affordable Housing Incentives.

A. A housing development that qualifies for a density bonus and other incentives pursuant to Government Code Section 65915 shall be eligible for the affordable housing incentives identified in this Division 36.370. The applicant shall comply with all requirements stated in Government Code Section 65915.

B. Except as otherwise required by Government Code Section 65915 density bonus units shall not be included when calculating the total number of housing units for purposes of determining the number of affordable units that qualifies the housing development for a density bonus.

C. An applicant shall not receive a density bonus or any other affordable housing incentive under this Division if the housing development would be excluded under Government Code Section 65915, which includes, but is not limited to, projects that fail to “replace” existing housing units, as required by state law.

36.370.030 Density Bonus Allowance.

A. For a housing development qualifying pursuant to the requirements of Government Code Section 65915 the City shall grant a density bonus in an amount specified by Government Code Section 65915.
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5 B. For the purpose of calculating the density bonus, the “maximum allowable residential density” shall be as stated in Government Code Section 65915.

C. Each component of any density calculation, including base density and bonus density, that results in a fractional unit shall be separately rounded up to the next whole number.

36.370.040 Incentives and/or Concessions.

A. If requested by the applicant, a project that qualifies for a density bonus in accordance with Section 36.370.020(A) also shall be entitled to the number of incentives or concessions as set forth in Government Code Section 65915(d). A request for a concession(s) or incentive(s) should be accompanied by documentation demonstrating that the concession(s) or incentive(s) results identifiable and actual cost reductions to provide for affordable housing costs, as further described in Government Code Section 65915(d)(1)(A). The applicant is entitled to the concession(s) or incentive(s) requested unless the City makes a written finding, based upon substantial evidence, of any of the relevant written findings as stated in Government Code Section 65915(d)(1).

B. Senior citizen housing developments that qualify for a density bonus solely pursuant to Government Code Section 65915 (b)(1)(C) shall not receive any incentives or concessions, unless Government Code Section 65915 is amended to specifically require that local agencies grant incentives or concessions for senior citizen housing developments.

C. For the purposes of this Division, incentive and/or concession shall have the same meaning as the term “concession or incentive” as defined in Government Code Section 65915(k).

36.370.050 Waivers.

A. Except as restricted by Government Code Section 65915, the applicant for a project that qualifies for a density bonus in accordance with Section 36.370.020 may submit a proposal for the waiver or reduction of development standards that will have the effect of physically precluding the construction of a development meeting the criteria of Government Code Section 65915(b), at the densities or with the concessions or incentives permitted by Section 65915. The applicant may request a meeting with the City to discuss any waiver requests. A request for a waiver or reduction of development standards should be accompanied by documentation demonstrating that the waiver or reduction is physically necessary to construct the housing development with the additional density permitted by 4 - 39
6 state law and/or incorporating any incentives or concessions required to be granted.

B. The applicant is entitled to the waiver(s) requested unless the City makes a written finding, based upon substantial evidence, of any of the relevant written findings as stated in Government Code Section 65915(e).

C. As used in this section, “development standard” shall have the same meaning as the term is defined in Government Code Section 65915(o)(2).

36.370.060 Alternative Parking Standards.

An applicant proposing a project that complies with the requirements found in Section 36.370.020 may request, and is entitled to, the parking ratios identified by Government Code Section 65915(p).

36.370.070 Density Bonus for Land Donations.

A. Land donation bonus. An applicant proposing a tentative subdivision map, parcel map, or other residential development that donates land to the City as provided for in this Section shall be entitled to a density bonus as provided for in this Section.

B. Requirements for Bonus. In order to grant a bonus for the donation, all of the requirements set forth in Government Code Section 65915(g)(2) must be met.

C. Density Bonus allowance for land donations. If an applicant donates land in compliance with requirements set forth in Subsection B, a density bonus as set forth in Government Code Section 65915(g)(1) shall be granted.

36.370.080 Density Bonus and Incentives for Childcare Facilities.

A. An applicant proposing to construct a housing development that conforms to the requirements of Government Code Section 65915(b) and includes a childcare facility that will be located on the premises of, as part of, or adjacent to the project, the City shall grant either an additional density bonus or a concession or incentive as provided for in Government Code Section 65915(h)(1).

B. A proposed project shall be eligible for the density bonus or concession or incentive described in this Section only if the project is made subject to, and the project applicant agrees to adhere to the conditions of approvals set forth in Government Code Section 65915(h)(2).
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7 C. As used in this section, “childcare facility” shall have the same meaning as the term is defined in Government Code Section 65915.

36.370.090 Location of Designated Dwelling Units.

A. Location/dispersal of units. The designated dwelling units reserved as affordable units shall contain on average the same number of bedrooms as the market rate units. The designated dwelling units shall be dispersed throughout the development, and shall have the same materials and finish quality as the market rate units, and shall include a dishwasher, and washer and dryer if those appliances are provided in the market rate units.

B. Alternative development site. The review authority may authorize some or all of the designated dwelling units reserved as affordable units associated with one housing development to be produced and operated on an alternative development site, where it determines that the public interest would be more effectively served. Affordable housing units authorized on an alternate site shall be constructed and made available for occupancy prior to or at the same time as the market rate units are constructed and made available for occupancy, unless otherwise approved by the review authority.

36.370.100 Processing of Density Bonus Review and Affordable Housing Review.

A. Density bonus review or affordable housing review. A request for a density bonus, including any requests for incentives and/or concessions or waivers, shall be reviewed administratively by the Director. If a project that includes a request for a density bonus is also subject to another discretionary entitlement request that requires approval by the Planning Commission or City Council, the density bonus request, including any requests for incentives and/or concessions or waivers, shall be reviewed by the Planning Commission or City Council through the affordable housing review process.

B. Application and filing processing. An application for a density bonus, incentive(s) and/or concession(s), or waiver(s), shall be filed in compliance with Division 36.400 (Application Filing and Processing).

C. Density bonus review. If a density bonus is requested for a project that is subject only to ministerial review and approval, the Director shall process and grant the density bonus, alternative parking standards, and any incentives and/or concessions and waivers for that proposed project provided that the Director finds that the project is in compliance with the requirements of Government Code Section 65915 and the provisions of this Division. No public hearing or noticing 4 - 41
8 is required for such requests. Solely the applicant may appeal the decision of the Director to the City Manager on the grounds of an error in the application of this Division or State law. In making such an appeal, the applicant shall adequately describe the error in the application of this Division or State law.

D. Affordable housing review. The Planning Commission shall conduct an affordable housing review for proposed density bonus projects that include any discretionary approvals concurrently with the Commission’s review of the other discretionary approval(s). Following proper noticing and a public hearing pursuant to Division 36.630 (Public Hearings), the Planning Commission, if it finds that the proposed project complies with applicable sections of this Division and State law, shall grant the density bonus, reduced parking standards, incentives and/or concessions, and waivers requested, unless it makes necessary findings as set forth in this Division and State law to reject the requested density bonus, reduced parking standards, incentives and/or concession, waivers, or any combination thereof.

E. Decision. Notice of the Director or Planning Commission decisions pursuant to this Division shall be mailed to the project applicant within five days of the decision. The granting of a request for a density bonus, incentive, or concession pursuant to this Division shall not be effective until an affordable housing covenant has been recorded in compliance with Section 36.370.110.

F. Appeal. A decision for an affordable housing review may be appealed in compliance with Division 36.610 (Appeals).

G. Continued availability. All projects for which a density bonus review and/or affordable housing review is granted by the appropriate review authority, must maintain continued affordability of the designated units pursuant to State law.

H. Pursuant to Section 36.370.110 (Affordable Housing Covenant), the Director is authorized to execute the necessary agreement which shall include recordation of a covenant or other document satisfactory to the City Attorney prior to the issuance of a building permit.

36.370.110 Affordable Housing Covenant.

Following the granting of a density bonus request or an affordable housing review in compliance with Section 36.370.100 (Processing of Density Bonus Requests and Affordable Housing Review), the applicant shall enter into an agreement with the City in a form approved by the Director and City Attorney to ensure the continued affordability of all affordable units or the continued reservation of such units for qualifying senior citizens in accordance with 4 - 42
9 Government Code Section 65915. Prior to receiving a building permit for any project that receives a density bonus or any incentive, concession, waiver, or reduction of development standards pursuant to this Division, such agreement shall be recorded as a covenant against the property.

In order to ensure the affordability of housing pursuant to this Division, the covenant shall include, but not be limited to, the following provisions with respect to the long term affordability of the residential project:

A. The developer shall give the City the continuing right-of-first-refusal to lease or purchase any or all of the designated dwelling units at the appraised value;
B. The deeds to the designated dwelling units shall contain a covenant stating that the developer or successors-in-interest shall not assign, lease, rent, sell, sublet, or otherwise transfer any interests for designated units without the written approval of the City;
C. When providing the written approval, the City shall confirm that the price (rent or sale) of the designated dwelling unit is consistent with the limits established for moderate, low and very low-income households, as published by the United States Department of Housing and Urban Development (HUD); D. The City shall have the authority to enter into other agreements with the developer, or purchasers of the designated dwelling units, to ensure that the required dwelling units are continuously occupied by eligible households; E. Applicable deed restrictions, in a form satisfactory to the City Attorney, shall contain provisions for the enforcement of owner or developer compliance.

Any default or failure to comply may result in foreclosure, specific performance, or withdrawal of the Certificate of Occupancy;
F. In any action taken to enforce compliance with deed restrictions, the City Attorney shall, if compliance is ordered by a court of competent jurisdiction, take all action that may be allowed by law to recover all of the City’s costs of action including legal services;
G. In the case of for-sale housing developments, the affordable housing covenant shall provide for the following conditions governing the initial sale and use of designated dwelling units during the applicable use restriction period:

1. Designated dwelling units shall be owner-occupied by eligible very low, low, or moderate income households, or by qualified residents in the case of senior housing.
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10 2. The applicable restriction period in compliance with the provisions of this Division and State law.

3. The initial purchaser of each designated dwelling unit shall execute an instrument or agreement approved by the City which:
a. Restricts the sale of the unit in compliance with this Division during the applicable use restriction period,
b. Contains provisions as the City may require to ensure continued compliance with this Division and State law, and c. Shall be recorded against the parcel containing the designated dwelling unit.

H. In the case of rental housing developments, the affordable housing covenant shall provide for the following conditions governing the use of designated dwelling units during the use restriction period:

1. The rules and procedures for qualifying tenants, establishing affordable rent, filling vacancies, and maintaining the designated dwelling units for qualified tenants,

2. Provisions requiring owners to annually verify tenant incomes and maintain books and records to demonstrate compliance with this Division,

3. Provisions requiring owners to submit an annual report to the City, which includes the name, address, and income of each person occupying the designated dwelling units, and which identifies the number of bedrooms and monthly rent or cost of each unit, and

4. The applicable use restriction period in compliance with this Division and State law;
I. The covenant shall include the following information:

1. The total number of units approved for the housing development, including the number of designated dwelling units,

2. A description of the household income group to be accommodated by the housing development, and the standards and methodology for determining the corresponding affordable rent or affordable sales price and housing cost consistent with HUD Guidelines,
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11 3. The marketing plan for the affordable units,

4. The location, unit sizes (square feet), and number of bedrooms of the designated dwelling units,

5. Duration of the use restrictions for designated dwelling units, in compliance with this Division and State law,

6. A schedule for completion and occupancy of the designated dwelling units,

7. A description of the additional incentive(s) being provided by the City,

8. A description of the remedies for breach of the affordable housing covenant by the owners, developers, and/or successor(s)-in-interest of the project, and

9. Other information as necessary for the City to verify the implementation of, and compliance with this Division;
J. Execution of covenant.

1. Following agreement on the terms of the covenant by all parties, the City shall record the completed covenant on the parcels designated for the construction of designated dwelling units, at the Los Angeles County Registrar Recorder’s/County Clerk’s Office.

2. The approval and recordation shall take place prior to the final map or, where a map is not being processed, before issuance of Building Permits for the units.

3. The covenant shall be binding to all future owners, developers, and/or successors-in-interest.”
SECTION 4. Environmental Findings. This Ordinance reflects an action to implement the City’s adopted Housing Element, which was included within the scope of the Program Environmental Impact Report (PEIR) prepared pursuant to the requirements of the California Environmental Quality Act (CEQA) for the General Plan Update, Downtown Specific Plan and Housing Element Implementation Project. The City Council, exercising its independent judgment, previously adopted Resolution No. [insert number] certifying the Final PEIR, making required findings, adopting a Mitigation Monitoring and Reporting Program, and adopting a Statement of Overriding considerations for the Project of which this Ordinance is a part. In approving this Ordinance, the City Council 4 - 45
12 hereby relies on the environmental determinations and findings set forth in Resolution No. [insert number], which is hereby incorporated herein by reference.

The amendments made by this Ordinance were also contemplated by the Environmental Assessment prepared and adopted in conjunction with the City Council’s adoption of the Housing Element. Each of these provide separate and independent bases demonstrating compliance with the CEQA.

SECTION 5. Severability. If any section subsection, subdivision, paragraph, sentence, clause or phrase of this Ordinance is for any reason held to be invalid or unconstitutional by any court of competent jurisdiction, or contravened by reason of any preemptive legislation, the remaining sections and/or provisions of this Ordinance shall remain valid. The City Council hereby declares that it would have adopted this Ordinance, and each section, subsection, subdivision, paragraph, sentence, clause or phrase hereof, regardless of the fact that any one or more section(s) or provision(s) may be declared invalid or unconstitutional or contravened via legislation.

SECTION 6. This ordinance shall take effect thirty (30) days after its final passage, and within fifteen (15) days after its passage, the City Clerk of the City of South Pasadena shall certify to the passage and adoption of this ordinance and to its approval by the Mayor and City Council and shall cause the same to be published in a newspaper in the manner required by law.

PASSED, APPROVED AND ADOPTED ON this XXth day of September, 2023.

AYES:

NOES:

ABSENT:

ABSTAIN:

Jon Primuth, Mayor
ATTEST: APPROVED AS TO FORM:

Mark Perez Roxanne Diaz, City Attorney
Deputy City Clerk
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13 CITY OF SOUTH PASADENA
CITY CLERK’S DIVISION

CERTIFICATION OF ORDINANCE

STATE OF CALIFORNIA)

COUNTY OF LOS ANGELES) SS

CITY OF SOUTH PASADENA)
I, Mark Perez, Deputy City Clerk of the City of South Pasadena, do hereby certify that Ordinance No. _____, was duly and regularly approved and adopted at a Regular meeting of the City Council on this XXth day of September, 2023, by the following votes as the same appears on file and of record in the Office of the City Clerk.

AYES:

NOES:

ABSENT:

ABSTAIN:

____________________________________
Mark Perez
Deputy City Clerk
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Draft Employee Housing Ordinance
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Attachment B
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[DRAFT] CITY OF SOUTH PASADENA
ORDINANCE NO.________

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY

OF SOUTH PASADENA, CALIFORNIA, AMENDING
CHAPTER 36 ARTICLE 2 DIVISION 36.22 AND CHAPTER
36 ARTICLE 3 DIVISION 36.350 OF THE CITY CODE OF

THE CITY OF SOUTH PASADENA RELATING TO

EMPLOYEE HOUSING
WHEREAS, the adopted 2021-2029 Housing Element calls for amendment of the code of the City of South Pasadena to address employee housing pursuant to the Employee Housing Act (Health and Safety Code Section 17000 et seq.)(Program 2. h); and
WHEREAS, on August 21, 2023, the South Pasadena Planning Commission considered this Ordinance at a duly noticed public hearing, as prescribed by law, at which time the City Staff and interested persons had an opportunity to and did testify either in support or opposition to this matter; and
WHEREAS, at the conclusion of the Planning Commission hearing and after due consideration of the testimony, the Planning Commission adopted Resolution No. 23-07 recommending that the City Council adopt an Ordinance substantially as set forth herein; and
WHEREAS, on ______________, 2023, the City Council, at a regular meeting, considered the Ordinance at a duly noticed public hearing, as prescribed by law, at which time the City Staff and interested persons had an opportunity to and did testify either in support or opposition to this matter; and
WHEREAS, following the public hearing, the City Council considered the entire record of information received at the public hearings before the Planning Commission and City Council.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF SOUTH
PASADENA, CALIFORNIA, DOES HEREBY ORDAIN AS FOLLOWS:
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Attachment B
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Section 1. Recitals. The City Council finds the foregoing recitals and their findings to be true and correct, and hereby incorporates such recitals and their findings into this Ordinance.

Section 2. Findings. The City Council of the City of South Pasadena in approving the proposed Code amendments hereby makes the following findings:

A. The proposed use is in conformance with the actions, goals, objectives, policies, and programs of the General Plan;
The Ordinance implements the goals and policies contained in the City’s 2021-2029 Housing Element with respect to employee housing. The Ordinance amends the Code to implement the programs of the Housing Element to remove constraints on the development of housing.

B. The proposed amendment would not be detrimental to the public interest, health, safety, convenience, or general welfare of the City.

The Ordinance furthers the public interest and general welfare of the City, and will not impact health, safety or convenience, by enabling, consistent with State law, the development of employee housing in the community, and by providing opportunities for individuals of various economic strata to reside and engage in the South Pasadena community, and by providing opportunities for safe housing accommodations for employees.

C. The proposed amendment is internally consistent with other applicable provisions of this Zoning Code.

The Ordinance has been designed to be internally consistent with all applicable provisions contained in the Zoning Code, and implements the 2021-2029 Housing Element.

Section 4. Table 2-2 “Allowed Uses and Permit Requirements for Residential Zoning Districts” of Section 36.220.030 (Residential Zoning District Land Uses and Permit Requirements) of Division 36.220 (Residential Zoning Districts) of Article 2 (Zoning Districts, Allowable Land Uses, and Zone-Specific Standards) of Chapter 36 (Zoning) of the City Code of the City of South Pasadena is hereby amended to read as follows with all other provisions of Section 36.220.030 remaining in effect without amendment:
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Attachment B
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TABLE 2-2.

ALLOWED USES

AND PERMIT

REQUIREMENTS
FOR

RESIDENTIAL
ZONING

DISTRICTS
P Permitted Use
CUP Conditional Use Permit required
AUP Administrative Use Permit required
— Use not allowed

PERMIT REQUIRED BY DISTRICT
Specific
Use
Regulations LAND USE (1) RE RS RM RH

RECREATION, EDUCATION, PUBLIC ASSEMBLY & COMMUNITY FACILITY USES Clubs, lodges and
fraternal
organizations
— — — CUP
Community center — — — CUP
Private sport courts AUP AUP AUP AUP
Community
gardens
CUP CUP CUP CUP 36.350.230

RESIDENTIAL USES
Accessory
residential uses
and structures
P(2) P(2) P(2) P(2) 36.350.170
Home occupation P P P P 36.410.030
Multi-family
dwellings
— — P P 36.350.180,
190
Organizational
house (sorority,
convent, etc.)
— — CUP CUP
Residential care
facility, 6 persons
or less

P P P P
Residential care
facility, 7 persons
or more
— — CUP CUP 36.350.050
Residential care
facility for the
elderly (RCFE)
— — CUP CUP 36.350.050
Accessory dwelling
unit
P P P P 36.350.200
Employee Housing P P — — 36.350.265
RESIDENTIAL USES (Continued)
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Attachment B
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TABLE 2-2.

ALLOWED USES

AND PERMIT

REQUIREMENTS
FOR

RESIDENTIAL
ZONING

DISTRICTS
P Permitted Use
CUP Conditional Use Permit required
AUP Administrative Use Permit required
— Use not allowed

PERMIT REQUIRED BY DISTRICT
Specific
Use
Regulations LAND USE (1) RE RS RM RH
Existing singlefamily dwellingP P P P
New single-family
dwelling
P P — —
Transitional and
supportive housing
P P P (multi-family types
located in the RM
district are subject to
specific use
regulations

36.350.180,190)
P (multi-family types
located in the RH
district are subject to
specific use
regulations

36.350.180,190)

SERVICE USES
Bed & breakfast inn
(B&B)
CUP CUP CUP CUP 36.350.070
Child day care
center
— — CUP CUP 36.350.080
Child day care—
Small family day
care home
P P P P 36.350.080
Child day care—
Large family day
care home
P P P P 36.350.080
Medical services—
Extended care
— — — CUP
Mortuaries and
funeral homes
— — — CUP
Notes:
(1) See Article 7 for land use definitions.
(2) Permit required determined by Section 36.350.170.

Section 5. Section 36.700.020 (“Definitions of Specialty Terms and Phrases”) of Division 36.700 (“Definitions/Glossary”) of Article 7 (“Definitions”) of Chapter 36 (“Zoning”) of the City Code of South Pasadena is hereby amended to add a new definition of 4 - 54
Attachment B
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“Employee Housing” between the definitions of “Emergency Shelter” and “Enlargement of Use” to read as follows, with all other defined terms in Section 36.700.020 remaining without amendment:
“Employee Housing. Housing accommodation, or property upon which a housing accommodation is located, that meets the requirements as set forth in Health and Safety Code section 17008. Employee housing providing accommodations for six or fewer employees shall be deemed a single-family structure with a residential land use designation.”
Section 6. A new Section 36.350.265 (“Residential Uses - Employee Housing”) is hereby added to of Division 36.350 (“Standards for Specific Land Uses”) of Article 3 (“Site Planning and General Development Standards”) of Chapter 36 (“Zoning”) of the City Code of the City of South Pasadena is added to read as follows:
“36.350.265 Residential Uses‒Employee Housing.

A. Applicability. Pursuant to California Health and Safety Code Section 17021.5, employee housing providing accommodations for six or fewer employees shall be allowed in all zoning districts in which single-family residences are allowed and shall be deemed a single-family structure and permitted in the same manner as other dwellings of the same type in the same zone. Employee housing for six or fewer employee shall not be considered a boarding house, rooming house, hotel, dormitory, or other term that implies that such employee housing differs from a single-family dwelling.

B. Employee housing for six of fewer employees shall be subject to the same ordinances and standards applicable to a single-family residence except to the extent that any such ordinance of standard is preempted by the Employee Housing Act (California Health and Safety Code Section 17000, et seq.).

C. Employee housing shall be subject to all applicable requirements of the Employee Housing Act (California Health and Safety Code Section 17000, et seq.).” Section 7. Environmental Findings. This Ordinance reflects an action to implement the City’s adopted Housing Element, which was included within the scope of the Program Environmental Impact Report (PEIR) prepared pursuant to the requirements of the California Environmental Quality Act (CEQA) for the General Plan Update, Downtown Specific Plan and Housing Element Implementation Project. The City Council, exercising its independent judgment, previously adopted Resolution No. [insert number] certifying the Final PEIR, making required findings, adopting a Mitigation Monitoring and Reporting Program, and adopting a Statement of Overriding considerations for the Project of which this Ordinance is a part. In approving this Ordinance, the City Council hereby relies on the environmental determinations and findings set forth in Resolution No. [insert number], which is hereby incorporated herein by reference. The amendments made by this Ordinance were also contemplated by the Environmental Assessment prepared and adopted in conjunction with the City Council’s adoption of the Housing Element. Each of 4 - 55
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these provide separate and independent bases demonstrating compliance with the CEQA.

Section 8. Severability. If any section subsection, subdivision, paragraph, sentence, clause or phrase of this Ordinance is for any reason held to be invalid or unconstitutional by any court of competent jurisdiction, or contravened by reason of any preemptive legislation, the remaining sections and/or provisions of this Ordinance shall remain valid. The City Council hereby declares that it would have adopted this Ordinance, and each section, subsection, subdivision, paragraph, sentence, clause or phrase hereof, regardless of the fact that any one or more section(s) or provision(s) may be declared invalid or unconstitutional or contravened via legislation.

Section 9. This ordinance shall take effect thirty (30) days after its final passage and shall be considered to have been adopted after Ordinance No. ____[the Zoning Code Update Ordinance]. Within fifteen (15) days after its passage, the City Clerk of the City of South Pasadena shall certify to the passage and adoption of this ordinance and to its approval by the Mayor and City Council and shall cause the same to be published in a newspaper in the manner required by law.

PASSED, APPROVED AND ADOPTED ON this XXth day of September, 2023.

AYES:

NOES:

ABSENT:

ABSTAIN:

Jon Primuth, Mayor
ATTEST: APPROVED AS TO FORM:

Mark Perez, Deputy City Clerk Roxanne Diaz, City Attorney 4 - 56
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Draft Inclusionary Housing Ordinance
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[DRAFT] CITY OF SOUTH PASADENA
ORDINANCE NO.________

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY

OF SOUTH PASADENA, CALIFORNIA, AMENDING
DIVISION 36.375 OF THE CITY CODE OF THE CITY OF

SOUTH PASADENA CODE RELATING TO

INCLUSIONARY HOUSING REQUIREMENTS
WHEREAS, the adopted 2021-2029 Housing Element calls for amendment of the City Code of the City of South Pasadena to update inclusionary housing program requirements (Program 2.m); and,
WHEREAS, on August 21, 2023, the South Pasadena Planning Commission considered this Ordinance at a duly noticed public hearing, as prescribed by law, at which time the City Staff and interested persons had an opportunity to and did testify either in support or opposition to this matter; and,
WHEREAS, at the conclusion of the Planning Commission hearing and after due consideration of the testimony, the Planning Commission adopted Resolution No. 23-07 recommending that the City Council adopt an Ordinance substantially as set forth herein; and,
WHEREAS, on ______________, 2023, the City Council, at a regular meeting, considered the Ordinance at a duly noticed public hearing, as prescribed by law, at which time the City Staff and interested persons had an opportunity to and did testify either in support or opposition to this matter; and,
WHEREAS, following the public hearing, the City Council considered the entire record of information received at the public hearings before the Planning Commission and City Council.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF SOUTH
PASADENA, CALIFORNIA, DOES HEREBY ORDAIN AS FOLLOWS:

Section 1. Recitals. The City Council finds the foregoing recitals and their findings to be true and correct, and hereby incorporates such recitals and their findings into this Ordinance.

Section 2. Findings. The City Council of the City of South Pasadena in approving the proposed Code amendments hereby makes the following findings:
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A. The proposed use is in conformance with the actions, goals, objectives, policies, and programs of the General Plan;
The Ordinance implements the goals and policies contained in the City’s 2021-2029 Housing Element. The Ordinance amends the Code to implement the programs of the Housing Element to require affordable housing units in new residential and mixed- use development projects consisting of ten or more residential units and reflects a fifteen percent (15%) inclusionary housing requirement as specified in the adopted Housing Element.

B. The proposed amendment would not be detrimental to the public interest, health, safety, convenience, or general welfare of the City.

The Ordinance furthers the public interest and general welfare of the City, and will not impact health, safety or convenience, by making affordable housing available in the community, and by providing opportunities for individuals of all economic strata to reside and engage in the South Pasadena community.

C. The proposed amendment is internally consistent with other applicable provisions of this Zoning Code.

The Ordinance has been designed to be internally consistent with all applicable provisions contained in the Zoning Code, and implements the 2021-2029 Housing Element.

Section 3. Section 36.375.020 (“Applicability”) of Division 36.375 (“Inclusionary Housing Requirements”) of Article 3 (“Site Planning and General Development Standards”) of Chapter 36 (“Zoning”) of the City Code of the City of South Pasadena is amended to read as follows:
“36.375.020 Applicability.

This division applies to all residential development of ten (10) or more dwelling units, including residential portions of mixed-use development, and requires affordable housing units in the amount as required in SPMC 36.375.050 ( Inclusionary Unit Requirement).” Section 4. Section 36.375.050 (Inclusionary Unit Requirement) of Division 36.375 (“Inclusionary Housing Requirements”) of Article 3 (Site Planning and General Development Standards) of Chapter 36 (Zoning) of the City Code of the City of South Pasadena is hereby amended in its entirety to read as follows:
“36.375.050 Inclusionary Unit Requirement.

A. Amount required. A minimum of 15 percent of the total number of dwelling units in a residential or mixed-use project, excluding any bonus units added pursuant to State law or SPMC 36.370, shall be developed, offered to, and sold or rented to households of very low, lower, and moderate income, at an affordable housing cost, as follows:
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B. Inclusionary rental units.

Rental projects subject to the inclusionary housing requirement shall provide 50 percent of required affordable units as extremely low or very low units and 50 percent as lower income units. In case of an uneven number, one more unit shall be provided as very low.

C. Inclusionary ownership (for sale) units. Developers of ownership (for sale) projects subject to the inclusionary housing requirement may choose whether to provide the required inclusionary units as moderate income, low-income, very-low income, or a combination thereof.

D. Fractional units. In the case that unit calculations result in a fractional number, the applicant shall choose one of the following options:

1. Round up to next unit and provide the unit on site.

2. Pay the fractional amount above the whole number as an in-lieu fee equivalent to the fraction multiplied by the in-lieu fee as established by City Council resolution.

All whole number units shall be provided on site or alternatively as allowed in SPMC 36.375.060 (Alternatives to On-Site Provision).”
Section 5. Section 36.375.060 (Alternatives to On-Site Provision) of Division

36.375 (Inclusionary Housing Requirements) of Article 3 (Site Planning and General Development Standards) of Chapter 36 (Zoning) of the City Code of the City of South Pasadena is hereby amended in its entirety to read as follows:
“36.375.060 Alternatives to On-Site Provision.

As an alternative to developing required inclusionary units within an affected residential project, the requirements of this division may be satisfied by the following as applicable to the size of the project:

A. For rental projects of fewer than ten units or for any ownership project: payment of an in-lieu fee as established by City Council resolution and updated from time to time as deemed appropriate, subject to the provisions of SPMC 36.375.110 (In-Lieu Fee Payment and Administration).

B. For rental projects of ten or more units, the applicant may choose one of the following, subject to Planning Commission approval:
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1. Provision of an equivalent number of off-site units consistent with SPMC

36.375.050 (Inclusionary Unit Requirement) above, subject to the provisions of SPMC

36.375.100(A) (Deed restriction). The following shall apply to this alternative:
a. The off-site units shall be located on a property within 1,500 feet of the proposed project, or in a comparable neighborhood as determined by the Planning Commission.
b. The affordable units shall be of comparable size and quality to the market rate units in the proposed project and subject to the relevant standards in SPMC 36.375.070 (Standards Governing Inclusionary Units).

2. Rehabilitation/conversion of an equivalent number of existing units to affordable units consistent with SPMC 36.375.050 (Inclusionary Unit Requirement) above, subject to the provisions of SPMC 36.375.100(A) (Deed restriction). The following shall apply to this alternative:
a. The acquisition and rehabilitation shall be applied to market rate units within the City and the conversion of those units to affordable units; b. Eligible improvements. The rehabilitation of the market rate units shall improve the units’ structural integrity and livability to include improvements to the roofing, flooring, plumbing, heating, and air conditioning as applicable.

3. Dedication of land that is zoned and developable for housing, subject to City Council acceptance, greater or equal to the average cost of construction of the units within the project, with the valuation subject to Planning Commission approval.” Section 6. Environmental Findings. This Ordinance reflects an action to implement the City’s adopted Housing Element, which was included within the scope of the Program Environmental Impact Report (PEIR) prepared pursuant to the requirements of the California Environmental Quality Act (CEQA) for the General Plan Update, Downtown Specific Plan and Housing Element Implementation Project. The City Council, exercising its independent judgment, previously adopted Resolution No. [insert number] certifying the Final PEIR, making required findings, adopting a Mitigation Monitoring and Reporting Program, and adopting a Statement of Overriding considerations for the Project of which this Ordinance is a part. In approving this Ordinance, the City Council hereby relies on the environmental determinations and findings set forth in Resolution No. [insert number], which is hereby incorporated herein by reference. The amendments made by this Ordinance were also contemplated by the Environmental Assessment prepared and adopted in conjunction with the City Council’s adoption of the Housing Element. Each of these provide separate and independent bases demonstrating compliance with the CEQA.
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Section 7. Severability. If any section subsection, subdivision, paragraph, sentence, clause or phrase of this Ordinance is for any reason held to be invalid or unconstitutional by any court of competent jurisdiction, or contravened by reason of any preemptive legislation, the remaining sections and/or provisions of this Ordinance shall remain valid. The City Council hereby declares that it would have adopted this Ordinance, and each section, subsection, subdivision, paragraph, sentence, clause or phrase hereof, regardless of the fact that any one or more section(s) or provision(s) may be declared invalid or unconstitutional or contravened via legislation.

Section 8. Effective Date. This ordinance shall take effect thirty (30) days after its final passage, and within fifteen (15) days after its passage, the City Clerk of the City of South Pasadena shall certify to the passage and adoption of this ordinance and to its approval by the Mayor and City Council and shall cause the same to be published in a newspaper in the manner required by law.

PASSED, APPROVED AND ADOPTED ON this XXth day of XXXX, 2023.

AYES:

NOES:

ABSENT:

ABSTAIN:

Jon Primuth, Mayor
ATTEST: APPROVED AS TO FORM:

Mark Perez, Deputy City Clerk Roxanne Diaz, City Attorney 4 - 63
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Attachment 5
PC Resolution 23-07
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RESOLUTION NO. P.C. 23-07

A RESOLUTION OF THE PLANNING COMMISSION OF THE CITY

OF SOUTH PASADENA, CALIFORNIA RECOMMENDING THAT

THE CITY COUNCIL ADOPT ORDINANCES TO AMEND
CHAPTER 36 (ZONING) OF THE SOUTH PASADENA
MUNICIPAL CODE, INCLUDING DIVISION 36.370 (AFFORDABLE
HOUSING INCENTIVES), DIVISION 36.350 (STANDARDS FOR
SPECIFIC LAND USES), DIVISION 36.375 (INCLUSIONARY
HOUSING REQUIREMENTS), AND DIVISION 36.700.020
(DEFINITIONS OF SPECIALTY TERMS AND PHRASES),
CONSISTANT WITH 2021-2029 HOUSING ELEMENT
WHEREAS, Government Code § 65580, et seq., requires the City of South Pasadena to periodically prepare and update its Housing Element in its General Plan. A city’s housing element establishes goals, policies, and programs to accommodate the maintenance and expansion of the city’s housing supply; and WHEREAS, on April 12, 2022, the City of South Pasadena was sued by Californians for Homeownership for non-compliance with State Housing Law for failing to have adopted a compliant Housing Element by October 15, 2021 (Californians For Homeownership v. City of South Pasadena, LASC Case Nos. 22STCP01388 & 22STCP01161); and
WHEREAS, on August 15, 2022, the City entered into a Settlement Agreement with Californians for Homeownership to resolve the lawsuit that committed the City to a number of actions, including: removal of certain parcels as identified housing sites; addition of a program to issue a request for proposal for city-owned housing sites no later than January 1, 2028; provide specific information for sites identified to meet the City’s housing needs; and addition of a program to seek, through voter approval, the removal of the City’s existing 45-foot height limit for at least any parcel identified in the Housing Element for which the base density is anticipated to exceed 50 dwelling units per acre; and
WHEREAS, on August 19, 2022, the Settlement Agreement was adopted as the Court’s Order and committed the City to adopting a housing element certified by or eligible for certification by HCD no later than May 31, 2023; and WHEREAS, pursuant to Government Code Section 65759(a), the California Environmental Quality Act (CEQA) commencing with Public Resources Code section 21000 does not apply to any action necessary to bring a general plan or relevant mandatory element of the plan into compliance with any court order. Furthermore, a Program Environmental Impact Report (PEIR) was prepared that analyzed the impacts associated with the implementation of the General Plan and Downtown Specific Plan.

As the proposed Project implements the goals, policies, and actions contained in those documents, along with the adopted 2021-2029 Housing Element, no further CEQA analysis is required; and
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WHEREAS, the City continues to diligently pursue the adoption of the General Plan and Downtown Specific Plan in an effort to implement the programs contained in the 2021-2029 Housing Element, including certain Zoning Text Amendments; and WHEREAS, on August 21, 2023, the Planning Commission held a duly noticed public hearing, at which time it considered all material and evidence, whether written or oral; and
WHEREAS, all legal prerequisites to the adoption of this Resolution have occurred.

NOW, THEREFORE, THE PLANNING COMMSSION OF THE CITY OF SOUTH

PASADENA, CALIFORNIA, DOES RESOLVE, DECLARE, DETERMINE AND ORDER AS FOLLOWS:

SECTION 1. The above recitals are hereby declared to be true and correct and are incorporated herein as findings of the South Pasadena Planning Commission.

SECTION 2. Zoning Code Amendment Findings. SPMC Section 36.620.070(B) stipulates that a Zoning Amendment may be approved only if the following findings are met:

1. Findings required for all Zoning Code/Map amendments; a. The proposed amendment is consistent with the actions, goals, objectives, policies, and programs of the General Plan;
The proposed Zone Text Amendments are consistent with the actions, goals, objectives, policies, and programs of the 2021-2029 (6th Cycle) Housing Element that was adopted on May 30, 2023. While the current General Plan that was adopted in 1998 is not internally consistent with the recently adopted Housing Element, the proposed General Plan currently under consideration by the City would be. Since the proposed Zoning Text Amendments would be consistent with, and would implement certain programs contained in the adopted 2021-2029 Housing Element, and since the Housing Element is part of the City’s General Plan, the Planning Commission can make this finding.
b. The proposed amendment would not be detrimental to the public interest, health, safety, convenience, or general welfare of the City
The Zoning Text Amendments would not be detrimental to the public interest, health, safety, convenience or general welfare of the City as it would implement certain programs from the adopted 2021-2029 Housing Element. Furthermore, the proposed Zoning Text Amendments would make the City’s Municipal Code consistent with State law and would satisfy the legal requirements of the Court Order, supporting the public interest and general welfare of City residents and businesses. Therefore, the Planning Commission can make this finding. 4 - 68
RESOLUTION NO. P.C. 23-07

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2. The proposed amendment is internally consistent with other applicable provisions of this Zoning Code.

The proposed Zoning Amendments are internally consistent with other applicable provisions of the Zoning Code. The proposed changes would bring the various Code sections into compliance with State law and would implement selected programs found in the 2021-2029 Housing Element. The changes would be internally consistent with other applicable provisions of the Zoning Code, and would also support the policies and vision of the proposed General Plan and Downtown Specific Plan should those documents be adopted by the City Council.

Therefore, the Planning Commission can make this finding.

SECTION 3. Based upon the foregoing, the Planning Commission recommends:

A. That the City Council approve the revisions to the SPMC and amend Divisions 36.370 (Affordable Housing Incentives), 36.350 (Standards for Specific Land Uses), 36.375 (Inclusionary Housing Requirements), and

36.700.020 (Definitions of Specialty Terms and Phrases) as set forth in draft Ordinances attached hereto as Attachments A, B, and C.

SECTION 4. This Resolution shall take effect immediately upon its adoption. 4 - 69
RESOLUTION NO. P.C. 23-07

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PASSED, APPROVED, AND ADOPTED on this 21st day of August, 2023. ________________________________

I HEREBY CERTIFY the foregoing Resolution No. P.C. 23-07 was duly adopted by the Planning Commission of the City of South Pasadena, California, at a special meeting held on the 21st day of August, 2023, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAINED:
_______________________________
Mark Perez, Deputy City Clerk
Laura Dahl, Planning Commission Chair
ATTEST: APPROVED AS TO FORM:
________________________
Mark Perez, Deputy City Clerk
_______________________________
David Snow, Assistant City Attorney
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City Council
Agenda Report
DATE: September 18, 2023 FROM: Armine Chaparyan, City Manager¥ ITEM NO.

PREPARED BY: Angelica Frausto-Lupo, Community Development Director Alison Becker, AICP, Deputy Community Development Director SUBJECT: Approve Fund Allocation and Consideration of the Approval of the First Contract Amendment with Rangwala Associates to complete the General Plan Update and Downtown Specific Plan Documents in an amount not-to-exceed $26,200
Recommendation
It is recommended that the City Council:

1. Allocate and appropriate $26,200 from General Fund Account 101-0000-0000- 3200-000 to Community Development Department Professional Services Account Number 101-7010-7011-8170-000; and

2. Authorize the City Manager to execute the First Amendment to the Rangwala Associates Professional Services Agreement (PSA) for the General Plan Update and Downtown Specific Plan to finalize documents in the amount of $26,200 for a total not-to-exceed amount of $177,100.

Executive Summary
The City entered into a PSA with Rangwala Associates in May, 2023 in order to revise and complete the General Plan Update and Downtown Specific Plan (GP/DTSP). Given the tight timeline to complete the project consistent with the associated Court Order, additional funding is needed to cover preparation and attendance at additional public meetings, finalization of the General Plan and refinement of the Downtown Specific Plan, consistent with Planning Commission recommendations. Therefore, a contract amendment is required at this time.

Background
The General Plan is the City's constitution for development that lays out in policy and implementation actions the community's vision of the future. It is a long-range plan, intended to guide land use decisions for 20 or more years into the future. The City initiated an update to its 1998 General Plan in 2017. In early 2020, the effort was essentially suspended, as the City focused time and attention on addressing the unexpected significant increase in the City's Regional Housing Needs Assessment (RH NA) allocation.

Rangwala Associates Contract Amendment
September 18, 2023

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The RHNA allocation of 2,067 housing units for all income levels combined with a unit buffer requirement greatly impacted the approach to the finalization of the General Plan and Downtown Specific Plan. While staff and consultant team(s) have worked diligently to stay on schedule and within budget, the compressed document production schedule and expanded public hearing processes have exhausted existing contract resources with several new tasks needed to finalize the documents without funding.

Analysis
Rangwala Associates remains uniquely qualified and well positioned to aid the City’s efforts to complete the GP/DTSP planning process and required final documents.

Consistent with the Planning Commission recommendations, the following activities and deliverables are being added to the existing scope of work:

Before adoption:
• Additional time needed to finalize the Draft General Plan and DTSP ($6,000) • Prep and attendance for additional City Council meeting ($2,400)

Post adoption:

DTSP revisions/additions
• Reordering scale of development typologies and related frontages ($4,800) • Section on How to Navigate this Document ($2,400)
• Comprehensive Index ($2,400)
• Evaluation of and possible creation of DTSP “transition overlay zone” ($4,800) • 15% contingency (additional changes and public workshop/public hearing, if necessary).

The First Amendment to the existing Rangwala Associates Professional Services Agreement will add $26,200 and expand the scope of work, all other provisions of the agreement remain the same.

Fiscal Impact
The First Amendment to the Rangwala Associates PSA includes a contract amount of $26,200. Funding for this contract is requested from General Fund Fund balance reserves, Account No. 101-0000-0000-3200-000 to fund the Community Development Department Professional Services appropriations in Account Number 101-7010-7011- 8170-000.

Alternative
The alternative to the proposed contract amendment will impact the City’s ability to complete the documents by the Court Ordered deadline, 120 days from adoption of the Housing Element (May 30, 2023).
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Rangwala Associates Contract Amendment
September 18, 2023

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Key Performance Indicators and Strategic Plan
The City’s General Plan is foundational to the implementation of most of the City’s 2021- 2026 Strategic Plan goals: 2) Economic Development, 3) Public Safety, 4) Infrastructure, and 5) Housing.

Commission Review and Recommendation
This matter was not reviewed by a commission or board.

Attachments:

1. Rangwala Associates PSA

2. Rangwala Associates – First Amendment
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ATTACHMENT 1
Rangwala Associates PSA
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DocuSign Envelope ID: 99A8C5D8-D132-4C93-B0E6-5C22B5BB5DF5 5/25/2023
5/25/2023
5/25/2023
5/30/2023
6/1/2023
6/1/2023
6/1/2023
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Project Name:

Rangwala Associates
Department:

Rangwala Associates
March2023
CONTRACT#
CONTRACT APPROVAL cove'ftSHEE1
Approval Authority
Community Development Department, Planning Division
City Manager (<$30,000)
City Council (>$30,000) □
Date:
05/18/2023
Submitted By:

Contracts Coordinator
Department Director
Finance Director
Risk Management
City Attorney
City Manager
Name
Lillian Estrada
Angelica Frausto-Lupo
John Downs
Luis Frausto
Andrew Jared
Armine Chaparyan
City Council Approval Date:

N/A
Approval
als)
Date
Professional Services Agreement for Consultant Services between the City of South Pasadena and Rangwala Associates. for services: Community Engagement, Urban Design and Urban Planning, Exhibit A.

This agreement will commence on May 18, 2023, for a total not to exceed One Hundred Fifty Thousand and Nine Hundred Dollars and no/100 Cents ($150,900.00) Contract Amount:
$150,900.00
Accounts to Encumber: #101-7010-7011-8170-000
llP age
Contract Term (or Expiration Date):

Upon completion of work; but no later
than June 17, 2024.

Version: March 2023
Submit copies to City Clerk's Division and Finance Department DocuSign Envelope ID: 99A8C5D8-D132-4C93-B0E6-5C22B5BB5DF5 5 - 8

PROFESSIONAL SERVICES AGREEMENT

FOR CONSUL TANT SERVICES
(City of South Pasadena/ Rangwala Associates)

1. IDENTIFICATION
This PROFESSIONAL SERVICES AGREEMENT ("Agreement") is entered into by and between the City of South Pasadena, a California municipal corporation ("City"), and Rangwala Associates ("Consultant").

2. RECITALS

2.1. City has determined that it requires the following professional services from a consultant: technical assistance in the areas of community engagement, urban design and urban planning to revise and complete the City's General Plan update and Downtown Specific Plan.

2.2. Consultant represents that it is fully qualified to perform such professional services by virtue of its experience and the training, education and expertise of its principals and employees. Consultant further represents that it is willing to accept responsibility for perfonning such services in accordance with the terms and conditions set forth in this Agreement.

2.3. Consultant represents that it has no known relationships with third parties, City Council members, or employees of City which would ( 1) present a conflict of interest with the rendering of services under this Agreement under Government Code Section 1090, the Political Reform Act (Government Code Section 81000 et seq.), or other applicable law, (2) prevent Consultant from perfonning the tenns of this Agreement, or (3) present a significant opportunity for the disclosure of confidential infonnation.

NOW, THEREFORE, for and in consideration of the mutual covenants and conditions herein contained, City and Consultant agree as follows:

3. DEFINITIONS

3.1. "Scope of Services": Community Engagement, Urban Design and Urban Planning, Exhibit A

3.2. "Agreement Administrator": The Agreement Administrator for this project is Alison Becker, AICP, Deputy Community Development Director. The Agreement Administrator shall be the principal point of contact at the City for this project. All services under this Agreement shall be performed at the request of the Agreement Administrator. The Agreement Administrator will establish the timetable for completion of services and any interim milestones. City reserves the right to change this designation upon written notice to Consultant
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3.3. "Approved Fee Schedule": Consultant's compensation rates are set forth in the fee schedule attached hereto as Exhibit B and incorporated herein by this reference. This fee schedule shall remain in effect for the duration of this Agreement unless modified in writing by mutual agreement of the parties.

3.4. "Maximum Amount": The highest total compensation and costs payable to Consultant by City under this Agreement. The Maximum Amount under this Agreement is One Hundred Fifty Thousand and Nine Hundred Dollars ($150,900.00).

3.5. "Commencement Date": May 18, 2023.

3.6. "Termination Date": Upon completion of the work but no later than June 17, 2024.

4. TERM
The term of this Agreement shall commence at 12:00 a.m. on the Commencement Date and shall expire at 11 :59 p.m. on the Tennination Date unless extended by written agreement of the parties or terminated earlier under Section 18 ("Termination") below. Consultant may request extensions of time to perform the services required hereunder. Such extensions shall be effective if authorized in advance by City in writing and incorporated in written amendments to this Agreement.

5. CONSULTANT'S DUTIES

5.1. Services. Consultant shall perform the services identified in the Scope of Services Exhibit A. City shall have the right to request, in writing, changes in the Scope of Services. Any such changes mutually agreed upon by the parties, and any corresponding increase or decrease in compensation, shall be incorporated by written amendment to this Agreement.

5.2. Coordination with City. In performing services under this Agreement, Consultant shall coordinate all contact with City through its Agreement Administrator.

5.3. Budgetary Notification. Consultant shall notify the Agreement Administrator. in writing, when fees and expenses incurred under this Agreement have reached eighty percent (80%) of the Maximum Amount. Consultant shall concurrently inform the Agreement Administrator. in writing, of Consultant's estimate of total expenditures required to complete its current assignments before proceeding, when the remaining work on such assignments would exceed the Maximum Amount.

5.4. Business License. Consultant shall obtain and maintain in force a City business license for the duration of this Agreement.

5.5. Pmfessional Standards. Consultant shall perfonn all work to the standards of Consultant's profession and in a manner reasonably satisfactory to City. Consultant Professional Services Agreement - Consultant Services
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shall keep itself fully informed of and in compliance with all local, state, and federal laws, rules, and regulations in any manner affecting the perfonnance of this Agreement, including all Cal/OSHA requirements, the conflict of interest provisions of Government Code§ 1090 and the Political Refonn Act (Government Code§ 81000 et seq.).

5.6. Avoid Conflicts. During the term of this Agreement, Consultant shall not perform any work for another person or entity for whom Consultant was not working at the Commencement Date if such work would present a conflict interfering with performance under this Agreement. However, City may consent in writing to Consultant's perfonnance of such work.

5.7. Appropriate Personnel. Consultant has, or will secure at its own expense, all personnel required to perform the services identified in the Scope of Services. All such services shall be performed by Consultant or under its supervision, and all personnel engaged in the work shall be qualified to perfonn such services. Kaiser Rangwala shall be Consultant's project administrator and shall have direct responsibility for management of Consultant's perfomrnnce under this Agreement. No change shall be made in Consultant's project administrator without City's prior written consent.

5.8. Substitution of Personnel. Any persons named in the proposal or Scope of Services constitutes a promise to the City that those persons will perform and coordinate their respective services under this Agreement. Should one or more of such personnel become unavailable, Consultant may substitute other personnel of at least equal competence upon written approval of City. If City and Consultant cannot agree as to the substitution of key personnel, City may tem1inate this Agreement for cause.

5.9. Permits and Approvals. Consultant shall obtain, at its sole cost and expense, all permits and regulatory approvals necessary for Consultant's perfonnance of this Agreement. This includes, but shall not be limited to, professional licenses, encroachment pennits and building and safety permits and inspections.

5.10. Notification of Organizational Changes. Consultant shall notify the Agreement Administrator, in writing, of any change in name, ownership or control of Consultant's finn or of any subcontractor. Change of ownership or control of Consultant's firm may require an amendment to this Agreement.

5.11. Records. Consultant shall maintain any and all ledgers, books of account, invoices, vouchers, canceled checks, and other records or documents evidencing or relating to charges for services or expenditures and disbursements charged to City under this Agreement for a minimum of three (3) years, or for any longer period required by law, from the date of final payment to Consultant under this Agreement. All such documents shall be made available for inspection, audit, and/or copying at any time during regular business hours, upon oral or written request of City. In addition, pursuant to Government Code Section 8546.7, if the amount of public funds expended under this Agreement exceeds ten thousand dollars, all such documents and this Agreement shall Professional Services Agreement - Consultant Services
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be subject to the examination and audit of the State Auditor, at the request of City or as part of any audit of City, for a period of three (3) years after final payment under this Agreement.

6. SUBCONTRACTING

6.1. General Prohibition. This Agreement covers professional services of a specific and unique nature. Except as otherwise provided herein, Consultant shall not assign or transfer its interest in this Agreement or subcontract any services to be performed without amending this Agreement.

6.2. Consultant Responsible. Consultant shall be responsible to City for all services to be performed under this Agreement.

6.3. Identification in Fee Schedule. All subcontractors shall be specifically listed and their billing rates identified in the Approved Fee Schedule, Exhibit B. Any changes must be approved by the Agreement Administrator in writing as an amendment to this Agreement.

6.4. Compensation for Subcontractors. City shall pay Consultant for work perfonned by its subcontractors, if any, only at Consultant's actual cost plus an approved mark~up as set forth in the Approved Fee Schedule, Exhibit B. Consultant shall be liable and accountable for any and all payments, compensation, and federal and state taxes to all subcontractors performing services under this Agreement. City shall not be liable for any payment, compensation, or federal and state taxes for any subcontractors.

7. COMPENSATION

7.1. General. City agrees to compensate Consultant for the services provided under this Agreement, and Consultant agrees to accept payment in accordance with the Fee Schedule in full satisfaction for such services. Compensation shall not exceed the Maximum Amount. Consultant shall not be reimbursed for any expenses unless provided for in this Agreement or authorized in writing by City in advance. 7 .2. Invoices. Consultant shall submit to City an invoice, on a monthly basis or as otherwise agreed to by the Agreement Administrator, for services perfonned pursuant to this Agreement. Each invoice shall identify the Maximum Amount, the services rendered during the billing period, the amount due for the invoice, and the total amount previously invoiced. All labor charges shall be itemized by employee name and classification/position with the finn, the corresponding hourly rate, the hours worked, a description of each labor charge, and the total amount due for labor charges.

7.3. Taxes. City shall not withhold applicable taxes or other payroll deductions from payments made to Consultant except as otherwise required by law. Consultant shall be solely responsible for calculating, withholding, and paying all taxes.

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7.4. Disputes. The parties agree to meet and confer at mutually agreeable times to resolve any disputed amounts contained in an invoice submitted by Consultant.

7.5. Additional Work. Consultant shall not be reimbursed for any expenses incurred for work performed outside the Scope of Services unless prior written approval is given by the City through a fully executed written amendment. Consultant shall not undertake any such work without prior written approval of the City.

7.6. City Satisfaction as Precondition to Payment. Notwithstanding any other terms of this Agreement, no payments shall be made to Consultant until City is satisfied that the services are satisfactory.

7.7. Right to Withhold Payments. If Consultant fails to provide a deposit or promptly satisfy an indemnity obligation described in Section 11, City shall have the right to withhold payments under this Agreement to offset that amount.

8. INTENTIONALLY OMITTED

9. OWNERSHIP OF WRITTEN PRODUCTS
All reports, documents or other written material ("written products" herein) developed by Consultant in the performance of this Agreement shall be and remain the property of City without restriction or limitation upon its use or dissemination by City except as provided by law. Consultant may take and retain copies of such written products as desired, but no such written products shall be the subject of a copyright application by Consultant.

10. RELATIONSHIP OF PARTIES

10.1. General. Consultant is, and shall at all times remain as to City, a wholly independent contractor.

10.2. No Agent Authority. Consultant shall have no power to incur any debt, obligation, or liability on behalf of City or otherwise to act on behalf of City as an agent. Neither City nor any of its agents shall have control over the conduct of Consultant or any of Consultant's employees, except as set forth in this Agreement. Consultant shall not represent that it is, or that any of its agents or employees are, in any manner employees of City.

10.3. Independent Conh·actor Status. Under no circumstances shall Consultant or its employees look to the City as an employer. Consultant shall not be entitled to any benefits. City makes no representation as to the effect of this independent contractor relationship on Consultant's previously earned California Public Employees Retirement System ("CalPERS") retirement benefits, if any, and Consultant specifically assumes the responsibility for making such a detennination. Consultant shall be responsible for all reports and obligations including, but not limited to: social Professional Services Agreement - Consultant Services
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security taxes, income tax withholding, unemployment insurance, disability insurance, and workers' compensation, and other applicable federal and state taxes.

10.4. Indemnification of CalPERS Determination. In the event that Consultant or any employee, agent, or subcontractor of Consultant providing services under this Agreement claims or is determined by a comt of competent jurisdiction or CalPERS to be eligible for enrollment in CalPERS as an employee of the City, Consultant shall indemnify, defend, and hold hannless City for the payment of any employee and/or employer contributions for CalPERS benefits on behalf of Consultant or its employees, agents, or subcontractors, as well as for the payment of any penalties and interest on such contributions, which would otherwise be the responsibility of City.

11. INDEMNIFICATION

11.1 Definitions. For purposes of this Section 11, "Consultant" shall include Consultant, its officers, employees, servants, agents, or subcontractors, or anyone directly or indirectly employed by either Consultant or its subcontractors, in the performance of this Agreement. "City" shall include City, its officers, agents, employees and volunteers.

11.2 Consultant to Indemnify City. To the fullest extent permitted by law, Consultant shall indemnify, hold harmless, and defend City from and against any and all claims, losses, costs or expenses for any personal injury or property damage arising out of or in connection with Consultant's alleged negligence, recklessness or willful misconduct or other wrongful acts, errors or omissions of Consultant or failure to comply with any provision in this Agreement.

11.3 Scope of Indemnity. Personal injury shall include injury or damage due to death or injury to any person, whether physical, emotional, consequential or otherwise, Property damage shall include injury to any personal or real property. Consultant shall not be required to indemnify City for such loss or damage as is caused by the sole active negligence or willful misconduct of the City.

11.4 Attorneys Fees. Such costs and expenses shall include reasonable attorneys' fees for counsel of City's choice, expert fees and all other costs and fees of litigation.

Consultant shall not be entitled to any refund of attorneys' fees, defense costs or expenses in the event that it is adjudicated to have been non~negligent.

11.5 Defense Deposit. The City may request a deposit for defense costs from Consultant with respect to a claim. If the City requests a defense deposit, Consultant shall provide it within 15 days of the request.

11.6 Waiver of Statutory Immunity. The obligations of Consultant under this Section 11 are not limited by the provisions of any workers' compensation act or similar act.

Consultant expressly waives its statutory immunity under such statutes or laws as to City.

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11.7 Indemnification by Subcontractors. Consultant agrees to obtain executed indemnity agreements with provisions identical to those set forth here in this Section 11 from each and every subcontractor or any other person or entity involved in the performance of this Agreement on Consultant's behalf.

11.8 Insurance Not a Substitute. City does not waive any indemnity rights by accepting any insurance policy or certificate required pursuant to this Agreement. Consultant's indemnification obligations apply regardless of whether or not any insurance policies are determined to be applicable to the claim, demand, damage, liability, loss, cost or expense.

12.INSURANCE

12.1. Insurance Required. Consultant shall maintain insurance as described in this section and shall require all of its subcontractors, consultants, and other agents to do the same.

Approval of the insurance by the City shall not relieve or decrease any liability of Consultant Any requirement for insurance to be maintained after completion of the work shall survive this Agreement.

12.2. Documentation oflnsurance. City will not execute this agreement until it has received a complete set of all required documentation of insurance coverage. However, failure to obtain the required documents prior to the work beginning shall not waive the Consultant's obligation to provide them. Consultant shall file with City:
• Certificate of Insurance, indicating companies acceptable to City, with a Best's Rating ofno less than A:VII showing. The Certificate of Insurance must include the following reference: General Plan and Downtown Specific Plan. • Documentation of Best's rating acceptable to the City. • Original endorsements effecting coverage for all policies required by this Agreement.
• City reserves the right to obtain a full certified copy of any Insurance policy and endorsements. Failure to exercise this right shall not constitute a waiver of the right to exercise later.

12.3. Coverage Amounts. Insurance coverage shall be at least in the following minimum amounts:
•
•
Professional Liability Insurance:

General Liability:
• General Aggregate:
• Products Comp/Op Aggregate
• Personal & Advertising Injury
• Each Occurrence
• Fire Damage (any one fire)
• Medical Expense (any 1 person)
$2,000,000 per occurrence,
$2,000,000 aggregate
$2,000,000
$2,000,000
$2,000,000
$2,000,000
$ 100,000
$ 10,000
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• Workers' Compensation:
• Workers' Compensation
• EL Each Accident
• EL Disease - Policy Limit
• EL Disease - Each Employee
• Automobile Liability
• Any vehicle, combined single limit
Statutory Limits
$1,000,000
$1,000,000
$1,000,000
$1,000,000
Any available insurance proceeds broader than or in excess of the specified minimum insurance coverage requirements or limits shall be available to the additional insured.

Furthermore, the requirements for coverage and limits shall be the greater of ( 1) the minimum coverage and limits specified in this Agreement, or (2) the broader coverage and maximum limits of coverage of any insurance policy or proceeds available to the named insured

12.4. General Liability Insurance. Commercial General Liability Insurance shall be no less broad than ISO form CG 00 01. Coverage must be on a standard Occurrence form.

Claims-Made, modified, limited or restricted Occurrence forms are not acceptable.

12.5. Worker's Compensation Insurance. Consultant is aware of the provisions of Section 3 700 of the Labor Code which requires every employer to carry Workers' Compensation ( or to undertake equivalent self-insurance), and Consultant will comply with such provisions before commencing the perfonnance of the work of this Agreement. If such insurance is underwritten by any agency other than the State Compensation Fund, such agency shall be a company authorized to do business in the State of California.

12.6. Automobile Liability Insurance. Covered vehicles shall include owned if any, nonowned, and hired automobiles and, trucks.

12.7. Professional Liability Insurance or Errors & Omissions Coverage. The deductible or self-insured retention may not exceed $50,000. If the insurance is on a Claims-Made basis, the retroactive date shall be no later than the commencement of the work.

Coverage shall be continued for two years after the completion of the work by one of the following: (I) renewal of the existing policy; (2) an extended reporting period endorsement; 'Or (3) replacement insurance with a retroactive date no later than the commencement of the work under this Agreement.

12.8. Claims-Made Policies. If any of the required policies provide coverage on a claimsmade basis the Retroactive Date must be shown and must be before the date of the contract or the beginning of contract work. Claims-Made Insurance must be maintained and evidence of insurance must be provided for at least five (5) years after completion of the contract of work. If coverage is canceled or non-renewed, and not replaced with another claims-made policy fonn with a Retroactive Date prior to the contract effective Professional Services Agreement - Consultant Services
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date, the Consultant must purchase "extended reporting" coverage for a minimum of five (5) years after completion of contract work.

12.9. Additional Insured Endorsements. The City, its City Council, Commissions, officers, and employees of South Pasadena must be endorsed as an additional insured for each policy required herein, other than Professional Errors and Omissions and Worker's Compensation, for liability arising out of ongoing and completed operations by or on behalf of the Consultant. Consultant's insurance policies shall be primary as respects any claims related to or as the result of the Consultant's work. Any insurance, pooled coverage or self-insurance maintained by the City, its elected or appointed officials, directors, officers, agents, employees, volunteers, or consultants shall be noncontributory. All endorsements shall be signed by a person authorized by the insurer to bind coverage on its behalf. General liability coverage can be provided using an endorsement to the Consultant's insurance at least as broad as ISO Fom1 CG 20 10 11 85 or both CG 20 10 and CG 20 37.

12.10. Failure to Maintain Coverage. In the event any policy is canceled prior to the completion of the project and the Consultant does not furnish a new certificate of insurance prior to cancellation, City has the right, but not the duty, to obtain the required insurance and deduct the premimn(s) from any amounts due the Consultant under this Agreement. Failure of the Consultant to maintain the insurance required by this Agreement, or to comply with any of the requirements of this section, shall constitute a material breach of this Agreement.

12.11. Notices. Contractor shall provide immediate written notice if (1) any of the required insurance policies is terminated; (2) the limits of any of the required policies are reduced; (3) or the deductible or self-insured retention is increased. Consultant shall provide no less than 30 days' notice of any cancellation or material change to policies required by this Agreement. Consultant shall provide proof that cancelled or expired policies of insurance have been renewed or replaced with other policies providing at least the same coverage. Such proof will be furnished at least two weeks prior to the expiration of the coverages. The name and address for Additional Insured Endorsements, Certificates of Insurance and Notices of Cancellation is: City of South Pasadena, Attn: Office of the City Clerk, South Pasadena, CA 91030.

12.12. Consultant's Insurance Primary. The insurance provided by Consultant, including all endorsements, shall be primary to any coverage available to City. Any insurance or self-insurance maintained by City and/or its officers, employees, agents or volunteers, shall be in excess of Consultant's insurance and shall not contribute with it.

12.13. Waiver of Subrogation. Consultant hereby waives all rights of subrogation against the City. Consultant shall additionally waive such rights either by endorsement to each policy or provide proof of such waiver in the policy itself.

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12.14. Report of Claims to City. Consultant shall report to the City, in addition to the Consultant's insurer, any and all insurance claims submitted to Consultant's insurer in connection with the services under this Agreement.

12.15. Premium Payments and Deductibles. Consultant must disclose all deductibles and self-insured retention ammmts to the City. The City may require the Consultant to provide proof of ability to pay losses and related investigations, claim administration, and defense expenses within retention amounts. Ultimately, City must approve all such amounts prior to execution of this Agreement.

City has no obligation to pay any premiums, assessments, or deductibles under any policy required in this Agreement. Consultant shall be responsible for all premiums and deductibles in all of Consultant's insurance policies. The amount of deductibles for insurance coverage required herein are subject to City's approval.

12.16. Duty to Defend and Indemnify. Consultant's duties to defend and indemnify City under this Agreement shall not be limited by the foregoing insurance requirements and shall survive the expiration of this Agreement.

13. MUTUAL COOPERATION

13.1. City Cooperation in Performance. City shall provide Consultant with all pertinent data, documents and other requested infom1ation as is reasonably available for the proper performance of Consultant's services under this Agreement.

13.2. Consultant Cooperation in Defense of Claims. If any claim or action is brought against City relating to Consultant's performance in connection with this Agreement, Consultant shall render any reasonable assistance that City may require in the defense of that claim or action.

14. NOTICES
Any notices, bills, invoices, or reports required by this Agreement shall be deemed received on: (i) the day of delivery if delivered by hand, facsimile or overnight courier service during Consultant's and City's regular business hours; or (ii) on the third business day following deposit in the United States mail if delivered by mail, postage prepaid, to the addresses listed below (or to such other addresses as the parties may, from time to time, designate in writing).

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Ifto City:

Alison Becker, AICP
Deputy Community Development Director
City of South Pasadena
1414 Mission Street
South Pasadena, CA 91030
Telephone: ( 626) 403-7222
Facsimile: ( 626) 403-7241
With courtesy copy to:

Andrew L. Jared
South Pasadena City Attorney
Colantuono, Highsmith & Whatley, PC
790 E. Colorado Blvd. Ste. 850
Pasadena, CA 91101
Telephone: (213) 542-5700
Facsimile: (213) 542-5710

15. SURVIVING COVENANTS
If to Consultant:

Kaiser Rangwala
Rangwala Associates
23361 Aetna Street
Woodland Hills, CA 91367
Telephone:

The parties agree that the covenants contained in paragraph 5 .11 (Records), paragraph

10.4 (Indemnification of CalPERS Detennination), Section l l (Indemnity), paragraph

12.8 (Claims-Made Policies), paragraph 13.2 (Consultant Cooperation in Defense of Claims), and paragraph 18. l (Confidentiality) of this Agreement shall survive the expiration or termination of this Agreement, subject to the provisions and limitations of this Agreement and all otherwise applicable statutes oflimitations and repose.

16. TERMINATION

16.1. City Termination. City may tenninate this Agreement for any reason on five calendar days' written notice to Consultant. Consultant agrees to cease all work under this Agreement on or before the effective date of any notice of termination. All City data, documents, objects, materials or other tangible things shall be returned to City upon the tennination or expiration of this Agreement.

16.2. Consultant Termination. Consultant may terminate this Agreement for a material breach of this Agreement upon 30 days' notice.

16.3. Compensation Following Termination. Upon tennination, Consultant shall be paid based on the work satisfactorily perfonned at the time of termination. In no event shall Consultant be entitled to receive more than the amount that would be paid to Consultant for the full perfommnce of the services required bytl1is Agreement. The City shall have the benefit of such work as may have been completed up to the time of such termination.

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16.4. Remedies. City retains any and all available legal and equitable remedies for Consultant's breach of this Agreement.

17. INTERPRETATION OF AGREEMENT
17 .1. Governing Law. This Agreement shall be governed and construed in accordance with the laws of the State of California.

17.2. Integration of Exhibits. All documents referenced as exhibits in this Agreement are hereby incorporated into this Agreement. In the event of any material discrepancy between the express provisions of this Agreement and the provisions of any document incorporated herein by reference, the provisions of this Agreement shall prevail. This instrument contains the entire Agreement between City and Consultant with respect to the transactions contemplated herein. No other prior oral or written agreements are binding upon the parties. Amendments hereto or deviations herefrom shall be effective and binding only if made in writing and executed on by City and Consultant.

17.3. Headings. The headings and captions appearing at the conunencement of the sections hereof, and in any paragraph thereof, are descriptive only and for convenience in reference to this Agreement. Should there be any conflict between such heading, and the section or paragraph thereof at the head of which it appears, the language of the section or paragraph shall control and govern in the construction of this Agreement.

17.4. Pronouns. Masculine or feminine pronouns shall be substituted for the neuter form and vice versa, and the plural shall be substituted for the singular fonn and vice versa, in any place or places herein in which the context requires such substitution(s). 17 .5. Severability. If any term or provision of this Agreement or the application thereof to any person or circumstance shall, to any extent, be invalid or unenforceable, then such term or provision shall be amended to, and solely to the extent necessary to, cure such invalidity or unenforceability, and shall be enforceable in its amended fonn. In such event, the remainder of this Agreement, or the application of such term or provision to persons or circumstances other than those as to which it is held invalid or unenforceable, shall not be affected, and each term and provision of this Agreement shall be valid and be enforced to the fullest extent permitted by law.

17.6. No Presumption Against Drafter. Each party had an opportunity to consult with an attorney in reviewing and drafting this agreement. Any uncertainty or ambiguity shall not be construed for or against any party based on attribution of drafting to any party.

18. GENERAL PROVISIONS

18. l. Confidentiality. All data, documents, discussion, or other information developed or received by Consultant for perfonnance of this Agreement are deemed confidential and Consultant shall not disclose it without prior written consent by City. City shall grant Professional Services Agreement - Consultant Services
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such consent if disclosure is legally required. All City data shall be returned to City upon the termination or expiration of this Agreement.

18.2. Conflicts of Interest. Consultant maintains and warrants that it has not employed nor retained any company or person, other than a bona fide employee working solely for Consultant, to solicit or secure this Agreement. Further, Consultant warrants that it has not paid nor has it agreed to pay any company or person, other than a bona fide employee working solely for Consultant, any fee, commission, percentage, brokerage fee, gift or other consideration contingent upon or resulting from the award or making of this Agreement. Consultant further agrees to file, or shall cause its employees or subcontractor to file, a Statement of Economic Interest with the City's Filing Officer if required under state law in the perfonnance of the services. For breach or violation of this warranty, City shall have the right to rescind this Agreement without liability. For the tenn of this Agreement, no member, officer, or employee of City, during the term of his or her service with City, shall have any direct interest in this Agreement, or obtain any present or anticipated material benefit arising therefrom.

18.3. Non-assignment. Consultant shall not delegate, transfer, subcontract or assign its duties or rights hereunder, either in whole or in part, without City's prior written consent, and any attempt to do so shall be void and of no effect. City shall not be obligated or liable under this Agreement to any party other than Consultant.

18.4. Binding on Successors. This Agreement shall be binding on the successors and assigns of the parties.

18.5. No Third-Party Beneficiaries. Except as expressly stated herein, there is no intended third-party beneficiary of any right or obligation assumed by the parties.

18.6. Time of the Essence. Time is of the essence for each and every provision of this Agreement.

18.7. Non-Discrimination. Consultant shall not discriminate against any employee or applicant for employment because of race, sex (including pregnancy, childbirth, or related medical condition), creed, national origin, color, disability as defined by law, disabled veteran status, Vietnam veteran status, religion, age (40 and above), medical condition (cancer-related), marital status, ancestry, or sexual orientation. Employment actions to which this provision applies shall include, but not be limited to, the following: employment, upgrading, demotion, or transfer; recruitment or recruitment advertising; layoff or termination; rates of pay or other forms of compensation; or in terms, conditions or privileges of employment, and selection for training. Consultant agrees to post in conspicuous places, available to employees and applicants for employment, the provisions of this nondiscrimination clause.

18.8. Waiver. No provision, covenant, or condition of this Agreement shall be deemed to have been waived by City or Consultant unless in writing signed by one authorized to bind the party asserted to have consented to the waiver. The waiver by City or Professional Services Agreement - Consultant Services
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Consultant of any breach of any provision, covenant, or condition of this Agreement shall not be deemed to be a waiver of any subsequent breach of the same or any other provision, covenant, or condition.

18.9. Excused Failure to Perform. Consultant shall not be liable for any failure to perlorm if Consultant presents acceptable evidence, in City's sole judgment, that such failure was due to causes beyond the control and without the fault or negligence of Consultant.

18.10. Remedies Non-Exclusive. Each right, power and remedy provided for herein or now or hereafter existing at law, in equity, by statute, or otherwise shall be cumulative and shall be in addition to every other right, power, or remedy provided for herein or now or hereafter existing at law, in equity, by statute, or otherwise. The exercise, the commencement of the exercise, or the forbearance from the exercise by any party of any one or more of such rights, powers or remedies shall not preclude the simultaneous or later exercise by such party of any or all of such other rights, powers or remedies.

18.11. Attorneys' Fees. If legal action shall be necessary to enforce any term, covenant or condition contained in this Agreement, the prevailing party shall be entitled to an award of reasonable attorneys' fees and costs expended in the action.

18.12. Venue. The venue for any litigation shall be Los Angeles County, California and Consultant hereby consents to jurisdiction in Los Angeles County for purposes of resolving any dispute or enforcing any obligation arising under this Agreement.

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DocuSign Envelope ID: 99A8C5D8-D132-4C93-B0E6-5C22B5BB5DF5 6/1/2023
6/1/2023
City Manager
Armine Chaparyan
6/1/2023
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TO EFFECTUATE THIS AGREEMENT, the paiiies have caused their duly authorized representatives to execute this Agreement on the dates set forth below. ''City" "Consultant"
City of South Gfll;IJ.i,, .,,
By: O~i!A,t, CJur~DJA,
Signa!llre FoossSAoF24 ...

Kaiser Rangwala, Rangwala Associates
By:

Signature
~
Printed: Printed: Kaizer Rangwala -------------
Title: Title: Principal --------------
Date: Date: May 22, 2023 - ---------
Attest: G, ... ,,,. .. .,
By:~A~~ Mark Perez, Deputy City Clerk
Date: -----------
Approved as to form:

Date: -----------
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Exhibit A
Scope of Services
TASK 1.

Project Coordination Consultant will maintain regular telephone and email communications with the City, as appropriate, to
Deliverables: discuss the status of Project implementation and/or to • Progress Report(s) resolve issues in collaboration with City staff. This • lnvoice(s) task also includes administrative coordination with sub-consultants and invoicing tasks.

TASK 2.

Revise Vision within Upon receipt of the approved Housing Element, General Plan Update including expansion of growth focus areas and (GP) targeted rezoning of density to address comments
Downtown Specific Plan received by the California Department of Housing and {DTSP) Community Development, Consultant will develop,
New Growth Areas organize and execute a public engagement event with cooperation and support from City Staff. This event
Deliverables: is intended to revisit and revision the development • 2 workshops capacity presented in the General Plan to be • Outcome consistent the Housing Element. This task includes a memorandum brief outcome memo outlining the key revisions to the GP and DTSP and a Study Session with the Planning
Commission.

TASK 3.

Revision of Documents Upon receipt of the most recent internal drafts of the Deliverables:

GP, DTSP and the adopted Housing Element from
the City and City Counsel, Consultant will revise the
• Administrative documents according to the outcomes of the public Draft engagement visioning and the requirements of the
• Public Draft Housing Element. Approval Drafts of the documents • Final Draft will be electronically submitted to the City for review to confirm that all comments have been appropriately
incorporated based on prior coordination. This task
assumes that necessary revisions will be substantive
where required by the certified Housing Element.

TASK4.

Attendance/Presentations This task includes staff time for preparation and at Public Meetings attendance at required public meetings and one Open House event during the Plan adoption process.

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Exhibit B
Fee Schedule
4 $1,200
12 .. $3,60o
24 $7,200
90 $27,000 $3,000
20 $6,000
16 $4,800
44 $13,200 28 $4,200
36 $10,800 $900
28 $8,400
72 $21,600
52 $15,600
28 $8,400 ·-· ·····--·' ----- -•-~a.,w••• , •••• , --~- ""J ••• J •• ~-~- 18 $5,400
8 $2,400
12 $3,600
8 $2,400
$140,400 $7,500 $3,000
$150,900
ATTACHMENT 2
Rangwala Associates – First Amendment
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263222.1

FIRST AMENDMENT TO

AGREEMENT FOR SERVICES
THIS AMENDMENT (“Amendment”) is made and entered into on the XX day of September, 2023 by and between the CITY OF SOUTH PASADENA (“City”) and Psomas. (“Consultant”).

RECITALS
WHEREAS, on May 17, 2023, the City Council authorized the City Manager to execute a contract with Rangwala Associates to finalize the General Plan Update and Downtown Specific Plan;
WHEREAS, the City and Consultant desire to amend the scope of the contract to account for final changes in the Plans recommended by the Planning Commission that are necessary to improve the draft documents.

NOW, THEREFORE, THE CITY AND THE CONSULTANT AGREE AS FOLLOWS:

1. PARAGRAPH 3.1 “Scope of Services” is amended by adding an additional Scope of Services as set forth in Exhibit 1, attached and incorporated by this Amendment.

2. PARAGRAPH 3.4 “Maximum Amount” is amended to read as follows: The highest total compensation and costs payable to Consultant by the City under this Agreement.

The Maximum Amount under this agreement is One hundred Seventy-Seven Thousand and One Hundred Dollars ($177,100), which is comprised of One Hundred Fifty Thousand, Nine Hundred Eighty Dollars ($150,900) for the original Scope of Services; and Twenty-Six Thousand Two Hundred Dollars ($26,200) to support additional activities necessary to finalize the General Plan Update and Downtown Specific Plan documents.
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■
263222.1
TO EFFECTUATE THIS AMENDMENT, the parties have caused their duly authorized representatives to execute this Amendment on the dates set forth below. “CITY” “Consultant”
City of South Pasadena Rangwala Associates
By:___________________________ By: __________________________ Signature Signature
Printed: Arminé Chaparyan Printed:_______________________ Title: City Manager Title:_________________________
Date:________________________ Date:________________________ Attest:

By:

Mark Perez, Deputy City Clerk
Date: ____________________
Approved as to form:

By:

Roxanne Diaz, City Attorney
Date: ____________________

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263222.1
Exhibit 1
Amended Scope of Services
TASK 3.

Revision of Documents
(Augment)
Deliverables:
• Administrative Draft
• Public Draft
• Final Draft
The consultant will complete a series of revisions to the Downtown Specific Plan recommended by the Planning
Commission, including
• Reordering scale of development typologies and related frontages
• Section on How to Navigate this Document
• Comprehensive Index
• Evaluation of and possible creation of DTSP “transition overlay zone”
TASK 4.

Attendance/Presentations
at Public Meetings
(Augment)
This task includes staff time for preparation and attendance at required public meetings event during the Plan adoption process.
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263222.1
Fee Schedule
Rangwala & Associates
Hrs @$300
3 Revision of Documents
Additional Time 20 $6,000
Reordering scale of typologies 16 4,800
New Section “How To Navigate …” 8 2,400
Comprehensive Index 8 2,400
“transition overlay zone” 16 4,800
6 Public Meetings
Public Hearings
City Council 8 2,400
NEW 7 15% Contingency 3,400
TOTAL $26,200
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