HomeMy WebLinkAboutO-1747 amending the AASP to allow mixed-use development in the C-S and M Zones subject to a CUP where appropriate and consistent with the Airport Land Use PlanO 1747
ORDINANCE NO. 1747 (2025 SERIES)
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SAN LUIS
OBISPO, CALIFORNIA, AMENDING THE AIRPORT AREA SPECIFIC
PLAN TO ALLOW MIXED-USE DEVELOPMENT IN THE SERVICE
COMMERCIAL (C-S) AND MANUFACTURING (M) ZONES SUBJECT
TO A MINOR OR CONDITIONAL USE PERMIT WHERE
APPROPRIATE AND CONSISTENT WITH THE AIRPORT LAND USE
PLAN, INCLUDING ADOPTION OF AN ADDENDUM TO THE FINAL
ENVIRONMENTAL IMPACT REPORT FOR THE AIRPORT AREA
AND MARGARITA AREA SPECIFIC PLANS AND RELATED
FACILITIES MASTER PLANS, AS REPRESENTED IN THE CITY
COUNCIL AGENDA REPORT AND ATTACHMENTS DATED MAY 6,
2025 (SPEC-0457-2023)
WHEREAS, it is a Major City Goal to address housing and homelessness by
supporting the expansion of housing options for all, and continue to facilitate the
production of housing; and
WHEREAS, the General Plan Land Use and Housing Elements include numerous
policies that support the development of additional housing to meet ongoing demand; and
WHEREAS, the City has allowed for mixed-use development in Service
Commercial (C-S) and Manufacturing (M) zones throughout the City except in the Airport
Area Specific Plan (AASP) in order to help address ongoing housing demand; and
WHEREAS, the City has not allowed for mixed-use development in C-S and M
zones in the AASP because of density and land use restrictions set forth in the 2002 San
Luis Obispo County Airport Land Use Plan (ALUP) in effect at the time of the adoption of
the AASP in 2005; and
WHEREAS, the San Luis Obispo County Airport Land Use Commission updated
the ALUP in 2021 in such a way that provides an opportunity for mixed-use residential
development in the C-S and M zones within the AASP; and
WHEREAS, the Airport Land Use Commission of the County of San Luis Obispo,
upon receipt of a formal referral from the City of San Luis Obispo, conducted a hearing
on February 19, 2025, and determined the proposed amendments to the AASP are
consistent with the ALUP subject to findings and conditions; and
WHEREAS, the Planning Commission of the City of San Luis Obispo conducted a
public hearing in the Council Chamber of City Hall, 990 Palm Street, San Luis Obispo,
California on February 26, 2025, and recommended adoption of amendments to the
AASP to allow mixed-use development within specified areas of the Service Commercial
(C-S) and Manufacturing (M) zones subject to a minor or conditional use permit where
appropriate and consistent with the ALUP; and
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WHEREAS, the City Council of the City of San Luis Obispo conducted a public
hearing in the Council Chamber of City Hall, 990 Palm Street, San Luis Obispo, California
on May 6, 2025, for the purpose of approving amendments to the AASP to allow mixed -
use development within specified areas of the Service Commercial (C-S) and
Manufacturing (M) zones subject to a minor or conditional use permit where appropriate
and consistent with the ALUP; and
WHEREAS, notices of said public hearings were made at the time and in the
manner required by law; and
NOW, THEREFORE, the City Council of the City of San Luis Obispo does hereby
ordain as follows:
SECTION 1. Findings. Based upon all the evidence in the record, the Council
makes the following findings:
1. The proposed amendment to the Airport Area Specific Plan (AASP) is consistent
with the intent of the General Plan because it will not result in additional impacts
beyond those anticipated in the Airport Area and Margarita Area Specific Plans
and Related Facilities Master Plans Final EIR, and because the concept of mixed
uses in appropriate locations within the city is supported in multiple policies within
the General Plan, notably in the Housing and Land Use Elements.
2. The proposed AASP amendments are intended to allow for mixed -use
development consistent with the intent of the General Plan and in a manner
generally consistent with how it is considered in C-S and M zones elsewhere in the
City.
3. The proposed AASP amendments do not substantively change the policy
framework or overall land use, or circulation pattern envisioned in the originally
adopted Specific Plan.
4. The proposed AASP amendments will not cause serious health problems,
substantial environmental damage, or cause impacts beyond those disclosed in
the certified Final EIR and Addendum for this action.
SECTION 2. Environmental Review. An addendum to the certified Final
Environmental Impact Report (FEIR) (SCH #2000051062) for the Airport Area and
Margarita Area Specific Plans and Related Facilities Master Plans was prepared to
address changes to the previously-approved project, pursuant to Section 15164(b) of the
CEQA Guidelines, since only minor technical changes or additions are necessary to the
certified Final EIR and none of the conditions described in Section 15162 of the CEQA
Guidelines have occurred that require preparation of a subsequent EIR.
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The project is consistent with the certified Final Environmental Impact Report (FEIR) for
Airport Area and Margarita Area Specific Plan and Related Master Plans under the
California Environmental Quality Act (CEQA) in conjunction with an Addendum prepared
pursuant to CEQA Guidelines 15164. All mitigation measures adopted as part of the Final
EIR that were included in the Airport Area Specific Plan that are applicable to the
proposed Specific Plan Amendment (SPA) are carried forward and applied to the
proposed SPA to effectively mitigate the impacts that were previously identified.
SECTION 3. Action. The Airport Area Specific Plan is hereby amended as
follows:
Chapter 1—Introduction
Page 1-3. Environmental Review. Add the paragraph below after the first paragraph on
the page.
Pursuant to Section 15164(b) of the CEQA Guidelines, an Addendum to the Final EIR
was prepared to address changes to the Specific Plan Amendment approved in 2025,
which allowed mixed-use development in Service Commercial (C-S) and Manufacturing
(M) zones subject to a Minor or Conditional Use Permit within the AASP.
Page 1-7. The Planning Process. Add the paragraph below at the end of this section.
In 2025, the AASP was amended to allow mixed -use in the Service Commercial (C-S)
and Manufacturing (M) zones subject to a Minor or Conditional Use Permit and findings
described in Table 4-3, consistent with the 2021 amended and restated San Luis Obispo
County Regional Airport Land Use Plan.
Chapter 3—Conservation and Resource Management
Page 3-12. Aircraft Operations. Add the paragraph below to the end of this section:
The Airport Land Use Commission adopted a major amendment to the Airport Land Use
Plan on May 26, 2021. The amended and restated ALUP provides for noise contours that
are tied to aircraft and airport activity that are consistent with adopted federal Termin al
Area Forecasts, and on safety zones that are based on and consistent with those
described in the Caltrans Airport Land Use Planning Handbook. These revised safety
areas and noise contours have the general effect of opening certain areas in the AASP
to residential development.
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Chapter 4—Land Use
Page 4-2. Land Use Background. Modify the third paragraph as follows:
The land use plan was developed to ensure compatibility with airport operations. The
designated AASP land uses are consistent with the airport safety areas in the San Luis
Obispo County Regional Airport Land Use Plan (ALUP), as amended in 2021. Generally,
the critical areas in line with the runway centerlines will be maintained as open space.
Lower intensity warehousing, manufacturing, service, business park and mixed-use
development are designated for the less sensitive zones to the sides of the runways, and
further out from the ends of the runways.
Page 4-3. Land Use Background. Remove Table 4-1 (Airport Area Specific Plan Land
Use Program and Development Capacities) and all references to Table 4-1 in the entire
text of the Specific Plan.
Page 4-23. Table 4-3. Allowed Uses. Amend Table 4-3 to include a line item for Mixed-
Use, indicating that it is allowed with a Minor or Conditional Use Permit and add notes #9
and #10 at the end of the table that refers to the development standards and findings for
mixed-use development within the C-S and M zones as written below.
Table 4-3 – Allowed Uses
Key:
A = Allowed
D = Allowed by Administrative Use Permit
PC = Allowed by Planning Commission Use Permit
Land Use
Zoning District
PF C-S M BP
MIXED-USE (also see Footnotes 9 & 10) D/PC D/PC
Footnote:
9. Per the Zoning Regulations, a Minor (Administrative) Use Permit (noted as D in Table
4-3) shall be applied to projects that qualify as a minor or moderate development review
and a Conditional Use Permit (noted as PC in Table 4-3) shall be applied to projects that
qualify as a major development review. In order to approve a Minor Use Permit or
Conditional Use Permit for a mixed-use development in the C-S and M zones, the
Community Development Director or the Planning Commission shall find the project
consistent with development standards outlined in San Luis Obispo Municipal Code
Section 17.70.130 (Mixed-use development) and make the following findings:
1) There is demonstrable water and sewer capacity to serve the project;
2) Any fiscal impact of the project to the City must be offset to achieve fiscal
neutrality;
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3) There are no nearby uses that generate sufficient air emissions, noise, odors
or vibration to create an incompatibility with proposed mixed-use development;
4) Proposed mixed-use residential development is consistent with land use,
safety or noise restrictions set forth in the ALUP and any residential portion of
a mixed-use development shall be wholly located within Safety Zone 6; and
5) There is adequate emergency response consistent with the Climate Adaptation
and Safety Element (CASE).
10. Avigation easements shall be recorded for each property prior to the issuance of a
building permit. All owners, potential purchasers, occupants (whether as owners or
renters), and potential occupants (whether as owners or renters) shall receive full and
accurate disclosure concerning the noise, safety, or overflight impacts associated with
Airport operations prior to entering any contractual obligation to purchase, lease, rent, or
otherwise occupy the subject property or properties.
Page 4-28. Table 4-5. Building Intensity and Coverage Standards. Amend Table 4-5 to
indicate a maximum Floor Area Ratio (FAR) of 1.5 for the C -S and M zones for mixed-
use development as shown below.
Table 4-5
San Luis Obispo Airport Area Specific Plan
BUILDING INTENSITY AND COVERAGE STANDARDS
Also See Table 4-6. Limitations on employee and customer concentrations due to
airport safety are more restrictive than the standards provided below in most cases
and may reduce maximum potential FAR.
Design Standard
Land Use Designation
Business
Park
Service
Commercial Manufacturing
Maximum floor area ratio: mixed-
use development
n/a 1.5 1.5
Page 4-30. Table 4-8. Parking Standards. Add the following note to Table 4-8:
(b) Parking standards for the residential component of mixed-use projects in the C-S and
M zones must be consistent with the parking standards for residential uses as set forth in
Section 17.72 of the Zoning Regulations.
Chapter 5—Community Design
Page 5-15. Goal 5.4, Guideline I. Modify as written below.
In R-3 and R-4 zones, as well as in the residential portions of mixed-use projects, parking
bays and garages shall be placed adjacent to non-residential uses or adjacent to noise
exposure areas to the extent possible to buffer sound impacts.
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Page 5-18. Standard 5.6.2. Modify as written below.
Each commercial, industrial loading, outdoor recycling or waste collection area shall be
located on the side of a building opposite from parcel lines or street frontages of any land
designated for residential use, or for mixed-use projects, separated or screened from the
residential portion of the project to the extent possible.
Page 5-38. Table 5-5. Add a footnote to Table 5-5 as follows:
Residential landscape design standards also apply to mixed-use projects within the
Service Commercial and Manufacturing land use categories.
Chapter 8—Public Facilities Financing
Page 8-15. Add a new Section as follows:
8.6.4 Fiscal Neutrality
In order to support long-term fiscal solvency for the City General Fund while not over-
prescribing non-residential uses beyond market and financial feasibility, and while not
relying solely on future non-residential uses which are difficult to predict, mixed-use
projects will be required to achieve fiscal neutrality. It is recommended that the City
implement a Community Facilities District (CFD), similar to the mechanism used for the
Avila Ranch development project, that could be applied to the AASP. However, without
a CFD or another mechanism that can apply to the entire AASP, fiscal neutrality can also
be achieved on a project-by-project basis, through the implementation of Home Owners
Associations or similar mechanisms that use fees collected from homeowners to provide
public services.
Chapter 9—Implementation
Page 9-2. Section 9.4, Architectural Review. Modify as written below.
Consistent with required citywide procedures, commercial, industrial, institutional, mixed -
use and residential developments will be subject to architectural review.
Page 9-3. Section 9.8, Environmental Review. Add the following sentence to the end of
this section:
All individual development projects within the AASP that require discretionary approval
are subject to project-specific environmental review as applicable under the California
Environmental Quality Act (CEQA).
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SECTION 4. Severability. If any subdivision, paragraph, sentence, clause, or
phrase of this Ordinance is, for any reason, held to be invalid or unenforceable by a
court of competent jurisdiction, such invalidity or unenforceability shall not affect the
validity or enforcement of the remaining portions of this Ordinance, or any other
provisions of the City’s rules and regulations. It is the City's express intent that each
remaining portion would have been adopted irrespective of the fact that any one or
more subdivisions , paragraphs, sentences, clauses, or phrases be declared invalid or
unenforceable.
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SECTION 5. Publication. A summary of this ordinance, together with the names
of Council members voting for and against, shall be published at least five (5) days prior
to its final passage, in The New Times, a newspaper published and circulated in this City.
This ordinance shall go into effect at the expiration of thirty (30) days after its final
passage.
INTRODUCED on the 6th day of May 2025, AND FINALLY ADOPTED by the
Council of the City of San Luis Obispo on the 17th day of June, 2025, on the following
vote:
AYES: Council Member Boswell, Francis, Marx, Vice Mayor Shoresman,
and Mayor Stewart
NOES: None
ABSENT: None
___________________________
Mayor Erica A. Stewart
ATTEST:
___________________________
Teresa Purrington
City Clerk
APPROVED AS TO FORM:
__________________________
J. Christine Dietrick
City Attorney
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the
City of San Luis Obispo, California, on _______________________.
___________________________
Teresa Purrington
City Clerk
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6/25/2025 | 5:03 PM PDT