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HomeMy WebLinkAbout09/19/1989, 1 - REZONING R1458, RESIDENTIAL RENTAL REGULATIONS u� pipt� r I��iuI��I�I�II III��IuUlll Cl rW O� SM LUIS OBISPO MEETING DATE89 9-19— COUNCIL AGENDA REPORT Imo"NUMBER: Randy Rossi, Interim Community Development Director; By: David Moran Associate Planner SUBJECT: Rezoning R1458, Residential Rental Regulations CAO RECOMMENDATION The council should: 1. Concur with the negative declaration on environmental impact, and 2. Introduce an ordinance adding section 17.93 and amending section 17.22 of the Zoning Code as recommended by the Planning Commission. INTRODUCTION At its April 18, 1989 meeting, the city council received a letter (attached) from John Cotton and GlennaDeane Dovey, who are residents of Albert Drive, requesting that the city investigate the feasibility of regulating rental housing in the city as a means of maintaining neighborhood compatibility. The ordinance concept suggested by Ms. Dovey and Mr. Cotton is patterned after the city of Davis, California, Commercial Residential Business Ordinance which sets minimum performance standards for rentals in the R-1 zone whose primary purpose is to mitigate potential parking, noise and property maintenance problems. At its August 1 meeting, the city council considered pursuing this ordinance concept and, after receiving public testimony, directed staff to draft an ordinance to return to them on September 19th, 1989. On September 6th, the Planning Commission considered the draft regulations prepared by staff which are similar to the concept suggested by the neighbors and recommended the council approve a revised ordinance (draft ordinance No. 1, attached). SIGNIFICANT IMPACTS The initial environmental study (attached) identified a number of potential adverse impacts relating to the displacement of renters, the possible increase in rents and decreased availability of rental housing in the city which could result from the proposed regulations. Mitigation is included. FISCAL IMPACTS The council has authorized $40,000.00 per year for a two-year contract enforcement position to administer the new regulations, as well as other nuisance abatement regulations. CONSEQUENCES OF NOT TAKING THE RECOMMENDED ACTION The council may adopt the ordinance patterned on the recommendation of the Planning Commission or another of your own design. You may choose not to adopt new regulations and make changes to existing regulations. If new regulations are not adopted, the city will continue to enforce existing regulations relating to neighborhood compatibility. city 0� SM WIS osispo =WHIZ@ COUNCIL AGENDA REPORT R 1458 Page 2 Data Summary Address: Citywide Applicant: City of San Luis Obispo Environmental Status: On August 23, 1989, the Director adopted a negative declaration on environmental impact. Evaluation 1. Background and Problem Description — There has been a growing perception of an increase in compatibility and nuisance problems in several of the city's single family and some multifamily neighborhoods. The number, frequency and location of neighborhood complaints suggests that the problem is at least partly attributable to a shift in the housing preferences of rental households consisting of unrelated adults from multifamily apartment settings, to detached single family residences. The by-product of this housing and household choice has been, in some cases, an increase in nuisances to surrounding dwellings which are primarily (but not always) owner-occupied. Among the areas of concern most frequently cited are overcrowding, increased noise, inadequate offstreet parking, and the lack of property maintenance. In response to these concerns, the Community Development Department sponsored a workshop in March of 1988 to help identify the source of the problems and to suggest corrective action. Out of this effort came a number of alternatives which staff was (— directed to investigate, including a suggestion that the city re-evaluate the way allowable density and required parking for new projects is determined. These and many other alternatives are being evaluated as part of an ongoing work program related to housing, density and neighborhood compatibility. In addition, the issue of neighborhood compatibility has been identified as a council work program for the upcoming year. 2. Planning Commission Action/Public Participation -- As outlined above, staff was directed to draft an ordinance based on the concept suggested by the neighbors on Albert Drive. On September 6th, the Planning Commission considered the proposed ordinance concept drafted by staff, as well as other alternatives, and voted 4-2 to recommend that the council adopt an ordinance which incorporates changes suggested by staff and the neighborhood group. The proposed ordinance (draft ordinance No. 1, attached) would require an administrative use permit when either of the following two conditions occur: 1. A dwelling in the R-1 or R-2 zone is occupied by 6 or more adults. OR, 2. The occupants of the dwelling own, possess or use 5 or more vehicles and the vehicles are parked on a regular basis on the dwelling premises or within the proximate area (within 500 feet). The purpose of the use permit is to insure compliance with the following performance standards: I i 1. The parking requirement shall be the greater of: 1) The number of spaces required for dwellings as described in Section 17.16.060. OR one off-street parking space per adult occupant, less one. �������H►�uill{Ipllpn�u�q��U city of San suis OBISpo = COUNCIL AGENDA REPORT R 1458 Page 3 2. The parking of vehicles within a required yard or setback is prohibited. 3. Upon approval of the Community Development Director, parking may be provided in tandem, but not within a required yard. 4. A maximum 40% of the area of a site not devoted to buildings may be occupied by parking. 5. There shall be a minimum of one bathroom provided for every three adult occupants. To summarize, the ordinance recommended by the Planning Commission and staff would attempt to solve the nuisance impacts resulting from adult households by regulating the amount and location of parking and by establishing a discretionary review process to insure compatibility of large adult households in particular locations (the complete text of the ordinance is included in draft ordinance No. 1, attached). The Commission also felt that the regulations could lead to the establishment of parking lots in the rear yards of residences, taking up usable outdoor space. For this reason, the maximum coverage requirement (item 4; above) was included. It should also be noted that the design of a new parking lot for a dwelling in the R-2 zone would be subject to architectural review. The main differences between the regulations recommended by the Planning Commission and those suggested by the neighbors on Albert Drive Are: 1. The PC recommendation applies to all dwellings in the R-I and R-2 zones. The i regulations suggested by the neighbors would have applied only in the R-I zone and only to rentals. 2. The PC recommendation contains no minimum floor area requirement per adult. The neighbors had suggested a minimum floor area requirement of 300 square feet per adult when the residence is to be occupied by 6 or more adults. 3. The PC recommendation contains an additional threshold for the use permit requirement based on the number of vehicles associated with a particular dwelling. 4. The PC recommendation contains a maximum coverage allowed for parking. 5. No business license requirement is contained in the PC recommendation. However, in a subsequent motion, the Planning Commission voted 3-2 (one abstention) to recommend the council change the municipal code to require a business license for any commercial venture within the city, including the rental of individual dwellings and rooms. Currently, the code requires a busi;,ess license for the rental of four or more dwellings on a single parcel. The Commission seemed divided over whether a new, separate ordinance was needed or whether better enforcement of existing regulations would be a more equitable approach. There was a consensus that, regardless of whether the approach involves a new ordinance or changes to existing ordinances, more aggressive enforcement is essential. �_� ����nai�►i►wNlll����ni����ll city of san rats osispo - Oftini COUNCIL AGENDA REPORT R 1458 Page 4 Many people testified regarding the ordinance concept suggested by the neighbors and the issue of neighborhood compatibility. The Albert Drive neighbors were most concerned with the deterioration of the quality of life in single family neighborhoods resulting from the influx of adult rental households. They also made it clear that they were most concerned with a solution to the problems resulting from this housing and household choice and that they were open and receptive to alternative regulations which would help accomplish this goal. Most of the public testimony was in support of new regulations to solve this problem so long as they had "teeth" and were equitable to long time residents of these neighborhoods. There was also concern expressed that, because of the timing of the hearing process, there was a serious lack of opportunity for student input and participation because Cal Poly was not yet in session. 3. Suggested Ordinance Concept/Constitutionality Issues -- The ordinance drafted by staff was based on the suggestion of the Albert Drive neighbors and was patterned after the Commercial Residential Business Ordinance from the City of Davis. The Davis ordinance, enacted in 1987, sets minimum performance standards for floor area, parking and bathrooms for rental dwellings only in the R-1 zone as a function of the number adult occupants, and requires a use permit when the dwelling is to be occupied by more than 5 adults. (For a more complete summary of the Davis ordinance, please refer to the attached letter from the Davis Planning Department). The ordinance drafted by staff for Planning Commission review included similar applicability (to rentals only) as well as performance standards. Staff had recommended caution in using the Davis ordinance as a model for San Luis Obispo i because of a different rental ownership pattern in Davis and because the ordinance may not be constitutional. The main premise of the Davis ordinance and the one which was suggested by the Albert Drive neighbors is that they make a distinction between rentals and non-rentals by saying that the business of renting property is in fact a commercial use that should be regulated in a residential zone. The legality of making this distinction and using it as a basis for requiring different performance standards for rentals may be challenged in court. The reason is that, even though the housing is being made available to the renter through a commercial transaction, the land use is still residential. Recent case law (see memo from City Attorneys office, attached) would suggest that regulating the number of persons residing in a dwelling can be done legally by establishing performance criteria for the particular land use. Regulations which prohibit certain household types are considered discriminatory because they attempt to regulate the user rather than the use itself. In the case of the ordinance concept suggested by the Albert Drive neighbors, a particular class of user was targeted for the application of the performance standards which is, namely, households of adult renters. Tieing the application and enforcement of the ordinance to a specific class of user (ie, five or more adults in a rental dwelling) may be considered discriminatory and could be challenged in court. Conversely, performance criteria relating to health, safety and welfare issues such as parking, noise and property maintenance are on relatively firm ground so long as they are reasonable and applied uniformly. The ordinance recommended by the Planning Commission and staff avoids the discrimination problem because it would be applied /` ������► i�VIIIII�11�i ��lll city of San LUIS OBISpo MoGe COUNCIL AGENDA IEP®RT R 1458 Page 5 to all dwellings in the R-1 and R-2 zones regardless of whether it is renter or owner occupied. For this reason it would be less vulnerable to a court challenge. 4. Administration and Enforcement -- Based on the proposed wording of the regulations recommended by the Planning Commission, administration and enforcement would work like this: Step 1. A nuisance complaint is received regarding a particular property in the R-1 or R-2 zone, and a Request For Field Investigation form is filed with the Community Development Department. Step 2. A field investigation is made to determine the nature and extent of any violations. Step 3. If the dwelling is occupied by more than five adults and/or they have more than four cars, the property owner is notified that a• use permit is required as well as the other performance standards from the new regulations, and that failure to obtain the permit would constitute a zoning violation. _ Step 4. Ongoing:compliance is monitored through the complaint process and by annual review of use permits The administration requirements of this ordinance could be significant, especially if during the first years of its application there is a-high.degree`of voluntary compliance. For this reason, the council's draft workprogram summary includes $40,000 per year for two years to hire a contract enforcement.:person to help administer this ordinance and the Property Maintenance Ordinance which is currently being drafted. It should be noted that this department will nof':be:.actively looking for violations, but will be enforcing this ordinance on a compliini': basis. 5. Impacts On The Availability And Cost Of Rental_.Housing -- The city's overall strategy for addressing the community's rentalhousing needs is to add to the supply of housing by promoting additional multi-family dwelling construction and to better manage demand by regulating the creation of new jobs in the city. The application of the performance criteria contained in the proposed ordinance could have beneficial impacts on rental housing such as helping to alleviate neighborhood compatibility problems, moderation of the size of adult households and a reduction of the upward pressure on rents caused by overoccupancy. However, the more restrictive parking and floor area standards could render a significant number of dwellings ineligible for rental use and force adult renters to seek housing elsewhere. The initial environmental study (attached) suggests:that the potential impacts resulting from the displacement of rents, households,could be significant. Using Cal Poly student household data from spring, 1989,. the study indicates that the city would have to continue to produce about 300 dwellings per year to accommodate the displaced Cal Poly students from the R-1 zone alone. The 300 dwellings per year translates into a growth rate of approximately 1.76%, which exceeds the 1% growth rate target contained in the draft update of the general plan Land Use element. When all other-adult households are factored in from the R-1 and R-2 zones, the number would be significantly higher. (NOTE: The data used for this analysis may overstate the actual number of students at a particular address because it counts everyone who ii18�1►�►►II�IIIIIII�Io � 111 MY O� San IS OBISPO A0094 COUNCIL AGENDA REPORT R 1458 Page 6 listed a particular address for spring quarter, regardless of whether they moved out or not.) Furthermore, Cal Poly plans to add another 400 students in the 1990/91 school year and another 400 in 1991/92 for a total student enrollment (full and part time) of about 17,000. If the proportion of Cal Poly students living in the city remains constant, an additional 800 students (296 households at 2.7 students/household) from Cal Poly alone will be seeking housing during the next two years. The displaced renters resulting from the regulations will also make it more difficult for families to find affordable rental housing. This results from the disparity in the income earning power between a family with one or two incomes versus an adult household with three or more income sources. Competition will be greatest for the housing preferred by both types of households, which has been predominantly detached, single family dwellings. As long as the demand for single family rentals exceeds the supply, we would expect rents to increase, further aggravating the problem of affordability. At this time, based on the limited data available, we can say that the regulations could result in a range of impacts which are difficult to estimate given the local and regional economic factors involved. However, they could be tempered somewhat by the enforcement posture assumed by the city. If all rental properties in the R-1 and R-2 zones were to comply with the new regulations immediately after adoption, which is assumed in the worse-case scenario outlined above, it would likely mean a sudden -� flood of displaced renters. However, if the pace of conformity is equal to or less than the additional housing constructed each year, the impact would be lessened. In addition, the initial study recommends mitigation measures to help lessen the impacts of the application of the ordinance which includes: -- Promoting the construction of additional housing within the city. -- Applying the regulations on a complaint basis. -- Enforcing the regulations only when the city's residential vacancy rate is 3% or greater. -- Allowing a grace period for compliance when displacement occurs. 6. Alternative Ordinances — The most readily available alternative would be better enforcement of the regulations already in effect which deal with noise, parking and property maintenance. This alternative would have certain advantages because it's legally defensible, it would not require any new regulations and would minimize the displacement of rental households. On the other hand, this approach would not have a use permit requirement or provide a public hearing as a forum to resolve neighborhood complaints, nor would it regglate; parking or overcrowding. In addition, staffing requirements could be high. Another alternative would be to.adopt an ordinance similar to the one suggested by the neighbors of Albert Drive. The:main difference between that ordinance and the one recommended by the Planning Commission is outlined in part 2 of this report. i��illll�llpacity Of San Luis OBISPO COUNCIL AGENDA REPORT R 1458 Page 7 ACTION ALTERNATIVES 1. The council may introduce draft ordinance No. 1 (Planning Commission recommendation) as written or with revisions as you deem appropriate. 2. If the council wants to explore other ordinance alternatives, then a continuance would be appropriate with direction to staff regarding the revised draft ordinance. 3. The council may also decide not to adopt new regulations. RECOMMENDATION Adopt draft ordinance No. 1 to: 1. Concur with the negative declaration on environmental impact, and 2. Introduce an ordinance adding section 17.93 to the Zoning Code as recommended by the Planning Commission, and amending section 17.22 of the Zoning Code. Attachments: draft ordinance Letter from neighbors on Albert Drive Letter describing the Davis ordinance Memo from city attorney Initial study I Draft Ordinance No. 1 ORDINANCE NO. (1989 Series) AN ORDINANCE OF THE CITY OF SAN LUIS OBISPO ADDING SECTION 17.93 TO THE ZONING ORDINANCE AND AMENDING VARIOUS OTHER SECTIONS OF THE ZONING ORDINANCE DEALING WITH NEIGHBORHOOD COMPATIBILITY IN THE R-1 AND R-2 ZONES WHEREAS, the Planning Commission and the City Council have held public hearings to consider amending the zoning regulations in accordance with Section 65800 et. seq. of the Government Code, and Chapter 17.62 of the Municipal Code; and WHEREAS, the City Council finds that the proposed changes to the zoning ordinance are consistent With the general plan; and WHEREAS, the proposed amendments to the zoning ordinance promote the public health, safety, and general welfare; and WHEREAS, the negative declaration on environmental impact is affirmed; and U NOW, THEREFORE, BE IT ORDAINED by the Council of the City of San Luis Obispo as follows: SECTION 1. That Section 17.93 is hereby added to the zoning ordinance as follows: NEIGHBORHOOD COMPATIBILITY IN THE R-1 AND R-2 ZONES Sections: 17.93.010 Purpose 17.93.020 Definition 17.93.030 General Requirements 17.93.040 Procedure Requirements 17:93.050 Periodic Review, Enforcement and Violations 17.93.010 Purpose A. This chapter is intended to promote the quality of life in low density and medium density residential neighborhoods by ensuring that rental housing provides adequate support facilities. Ordinance No. (1989 Series) R 1458 Page 2 17.93.020 Definitions A. "Adult" means a person 18 years of age and older.. B. "Tandem parking" means the arrangement of parking where no more than two cars are arranged in tandem, one in front of the other, and not located within a required yard. C. "Proximate area" shall mean that area within 500 feet of a residence. 17.93.030 General requirements A. Applicability. An administrative use permit as defined in section 17.58 shall be required when either of the following two conditions occur: 1. A dwelling in the R-1 or R-2 zone is occupied by 6 or more adults. OR, 2. The occupants of a dwelling in the R=1 or R-2 zone own, possess or use 5 or more vehicles and the vehicles are parked on a regular basis on the dwelling premises or within the proximate area (within 560 feet). B. Performance standards. The purpose of the use permit is to insure compliance with the following performance standards: \ 1. The parking requirement shall be the greater of: 1) The number of spaces required for dwellings as described in Section 17.16.060. OR one off-street parking space per adult occupant, less one. 2. The parking of vehicles within a required yard or setback is prohibited. 3. Upon approval of the Community Development Director, parking may be provided in tandem, but not within a required yard. 4. A maximum 40% of the area of a site not devoted to buildings may be occupied by parking. 5. There shall be a minimum of one bathroom provided for every three adult occupants. C. Relation to zone standards. Where this chapter does not contain a particular type of standard or procedure, conventional zoning standards and procedures shall apply. D. Nothing in this section prohibits applicants from requesting exceptions or variances from the strict interpretation of zoning. regulations to .the extent allowed by said regulations for any use. i v Ordinance No. (1989 Series) R 1458 Page 3 17.93.040 Administration A. Use permit application requirements. When an administrative use permit is required by this section, the application shall include the following: 1. Address of dwelling. 2. A site plan which shows: the entire boundary of the site as well as adjacent structures within 20 feet. the number and location of off-street parking spaces, the gross floor area of the dwelling in square feet. the floor plan for the dwelling with the rooms clearly labeled. 3. The number of proposed adult occupants. 4. Owner's signature. 5. Any other information deemed necessary by the Community Development Director. 17.93.050 Periodic review and enforcement - A. Periodic Review. When a use permit is required by this section, the use permit shall be reviewed annually for compliance with this chapter. It shall be the responsibility of the property owner to initiate the review and pay applicable fees. C. Violations. Violation of any of the provisions of this chapter shall be basis for enforcement action by the city which may include revocation of the use permit. SECTION 2. Section 17.22 is amended as follows: Footnote 16. A dwelling in the R-1 or R-2 zone which will be occupied by six or more adults requires approval of an administrative use permit. The purpose of the use permit is to ensure the requirements of Section 17.93.040 are satisfied. SECTION 5. A summary of this ordinance, approved by the City Attorney, together With the ayes and noes, shall be published at least five (5) days prior to its final passage in the Telegram-Tribune, a newspaper published and circulated in said city, and the same shall go into effect at the expiration of thirty (30) days after its said final passage. A copy of the full text of this ordinance shall be on file in the office of the. City Clerk on and after the date following introduction and passage to print and shall be available to any interested member of the public. l -/v Ordinance No. (1989 Series) ` R 1458 Page 4 INTRODUCED by the Council of the City of San. Luis Obispo, at its meeting held on the day of 1989, on motion of seconded by and on the following roll call vote: AYES: NOES: ABSENT: Mayor ATTEST: City Clerk APPROVED: QC7ityjmiiniist:rative Officer City Attorn y Community Development Director •.�' :. :. ..'lt- ...:�-_ - �•::�Y.;; _ _ - '-�`.i._ is�:�x1M.`-'N!:�.M �; ,f LIU February 28, 1989 - : Mayor Tt=Dunin City of:: San`-Luis: Obispo P.O. Box 8100 San Luis .Obispo, California Dear Mayor Amin: We are residenta. of- the many R-1 neighborhoods in San Luis Obispo who bought our homes.-.often many years ago, with the expectation that these areas would be family oriented as well asstable and quiet ones for older citizens. Because the trend in recent years has been toward the use of many of these homes as domiciles for large numbers of non-family groups, we have serious concerns about the traffic, parking and noise problems which have resulted. We have, therefore, met together to discuss these concerns and develop a proposal for dealing with this city-wide problem. We are submitting a concept which we hope the City Council will find worthy of study and discussion. Our ultimate desire is for the adoption of a city policy along the lines of this concept which will deal with population density in R-1 and condominium housing. C_ Michael Multari, Community Development Director, has met with us and made suggestions which we found most helpful in our efforts to Came up with a fair and reasonable proposal. We would very much appreciate seeing this issue on the earliest possible Council agenda in order to have public hearings before people leave for the GT7mme*. Members of our group would be happy to meet with you and staff members to answer questions or clarify our proposal. Please call Dorothy Conner at 543-8182. Sincerely, oGl/ John Cotton GlennaDeane W. Davey Residents for Quality Neighborhoods 216 Albert Drive San Luis Obispo RECEIVED CC: Counci l n+A+hers Pinard, Rappa, Reiss, and Settle APR 5'9ffi John Dunn, City Administrative Officer arrCLERK � Michael Multari, Community Development Director sew uU509LCn CA Jnr Ga,�'1raY, �/iG� Gli>c°� 1 Proposed Concept 1. Establish a use classification COMMERCIAL RESIDENTIAL USE.. 2. Definition: Any residential use in which a lessor or proprietor receives any form of exchange for the use of any residential dwelling for any period of time. 3. A use permit for Commercial Residential Use in the R-1 zone or in condominiums is required when the residential dwelling is occupied by five or more adults. 4. Minimum use permit conditions for Commercial Residential Use shall include: a. Three hundred square feet of usable floor space shall be provided for each resident adult. b. One off-street parking space shall be provided on-site for each residential adult, less one, with a minimum of two spaces. C. Required offstreet parking spaces, including .required aisles, shall be located behind the front and street side yard setback line in all residential districts- when this use is a Commercial Residential use. 5. Enforcement will be based primarily on citizen. complaints. 1 � • DEPARTMENTS: ❑ COMMUNITY DEVELOPMENT 916-756-3748 y r 'lam• ❑ FISCAL AND INFORMATION SERVICES 756-3742 � ��. j..!-�s�:e;,...- -• Q FIRE 756-3743 ❑ LEGAL SERVICES 756-37u N. C MANAGEMENT SERVICES 75&3745 ❑ PARKS AND COMMUNITY SERVICES 756-3747 r - ❑ POLICE 756-3744 ❑ PUBLIC WORKS 756-3749 j y s CITY OF DAVIS 23 Russell Blvd. Davis, CA 95016 October 7, 1987 T0: com mERCIAL RESIDENTIAL BUSINESS LICENSE HOLDERS On `larch 4, 1987, the Davis City Council approve4 sa ordinance aaendine the Davis Municipal Code relating to commercial residential use within the Cicy of Davis_ Commercial residential uses are chose in which a lessor or proprietor recei•7es payment in any form of exchange for the use of any residential dwelling. (Tris includes any single-family residence, or part thereof, any boarding house, or lodging house.) // Commercial residential use is currently regulated by the City, through the business Licensing ,process. The ordinance as approved affects commercial residential use of single-family dwellings and duplexes , specifically regard4-g the number of adults in the residence. -f�ective _�pri1 3, 1mm .987, commercial residential use arrangements, where five o fever adults are involved, is considered an accesso" use in Residential Residential One and Two Family, (R-2) , Residential Garden anartWe^.t (R-3) , and Planned Development (PD) districts. In this situation, the lessor or proprietor is responsible for meeting the City's business license requirements and the following performance standards: Requirements imposed by Chapters 5, 10, and 12 of the Uniform Housing Code Three hundred square feet of useable ;door space shall be provided for each resident adult One off-street parking space shall be provided for sac: resident adult, less one, with a minimum of two spaces One. bathroam must be provided for each three resideht adults Should a commercial. residential use arrangement involve six or more adults, in addition co the business license requirement , a condicionai use permit uust be approved by the City. The condinional use permit process is as :A11ows: ` -� L. An appiicacion is made by the property owner (or certified agent) to the City. The avolication :ora is available at the Community Develooment Decartme^.c, CiC7 'all, ?3 3usse?l 3oulevard. Commercial Residential Business License October 7 , L987 Page 2 2. She current application fee is $525, plus an environmental assessr:enc fee of $50.00. ust include and 3 demonstrateethe appropriateuconditions and chat the uperfonnecessary The Copletd application performance standards (referenced above) have been met. 4. A public hearing of the application will be scheduled for the Planning Commission no more than forty—five days from the date of the completed application (usually within 30 days) . 5. Notice of the hearing will be given to all property owners within 300 feet of the applicant's property. 6. Fallowing the public hearing, a conditional use permit may be issued, if the Planning Commission is satisfied that any additional conditions and requirements stipulated as necessary in the public interest have or will be met, and that such use will not under the circumstances constitute a nuisance, or be detrimental to the public welfare of the community'. Lf the Planning Commission denies the conditional use permit. the applicant may appeal the decision by filing as appeal application and fee within 15 days of the P1aaniMg.Cammission decision. The appeal hearing Is then scheduled at the City Council, usually within 4 weeks_ 7. *Then appropriate (based upon Planning Commission policy guidelines and standards) Community Development Department staff can approve or deny a conditional use permit without referring it to the Planning Commission. as information packet which includes the Zoning Ordinance, applications, fee schedule, an perfortiance scandards is available from the Community Development Department. ?.ay increase in the number of people allowed by the conditional use permit will require a new conditional use permit., when an approved conditional use permit is not used for six months or longer, a new permit is required to conduct that activity. In summary, any commercial residential use within the Cici of Davis requires a business license and tieetina spedifid berformance standards. A conditional use permit is also required for_sii or more adult renters. Should lou have any questions regarding• the Zoning Ordinance amendment and how it affects the use of your property, please feel free to contact the Community Development Department at (916) 756-3746. Sincerely, THO*!AS I. LUYBRAZO Community Development Director TJ'L:CJ:j 1 C2BL3/JT.1 /_/� �city sAn tuis oBispo 990 Palm Street/Post Office Box 8100 • San Luis Obispo, CA 93403-8100 MEMORANDUM TO: Dave Moran FROM: Bob Illman. Law SpecialisttO /J VIA: Vicki J. Finucane, Acting City Attorney . SUBJ: Regulation of Residential Rentals You asked for review and analysis of a proposal submitted to the city by Ms. Dovey and Mr. Cotton. Basically, their suggestion is to adopt a modification of the City of Davis ordinance which regulates residential rentals by establishing a Commercial Residential Business Ordinance. The ordinance regulates rentals by- (1) limiting the number of adults in a residential rental dwelling; (2) requiring certain square footage per adult; (3) requiring certain minimum off street parking requirements. In California, the regulation of residential rental housing has been limited by the Supreme Court. In City of Santa. Barbara v. Adamson, 164 Cal.Rptr. 539 (S.Ct. 1980) , the court held unconstitutional an ordinance which distinguished between "blood-related. " traditonal families and households of over 5 unrelated persons. Specifically, the decision focused on two factors. First, the court held that unrelated persons' right to privacy, guaranteed under Art. 1 , Sec. 1 of the California Constitution prevents local regulation of their right to live in a particular zone in a manner different from the regulation of related persons (at p. 545) . Second, the numerical limit of five persons per dwelling, absent any relationship between that number and dwelling size, parking requirements, etc. , was suspect as too restrictive (at p. 544) . The proposed ordinance suffers from the second defect described above. As - further amplified in City of Chula Vista v. Pagard, 171 Cal .Rptr. 738 (4 Div. 1981) , regulations which limit the number of persons in a. particular zone (e.g. , R-1 ) must be tied to the problem of overcrowding in general . If we are to regulate rental housing, I recommend that we delete a specific numerical limit from the requirements. Adequate regulation can come through square footage per. adult, bathrooms per person, etc. Dave Moran July 18. 1989 Page 2 In terms of parking requirements, unless we can show a valid basis for regulating rented housing within the R-1 zone in a different fashion from owned housing, we will violate Adamson and be subject to litigation. For example, if I own my home. I am allowed to live within the R-1 zone with my wife and four adult (over 16) children. If I and my wife and all of my children drive and have cars, I will have a total of six automobiles. and a requirement to have only 2 parking spaces (one of which must be covered) . If I rent the same dwelling, 'assuming we do away with the "rule-of-five" limitation. I must have 5 off street parking spaces . This disparity makes it difficult to justify the ordinance on the basis of land use (this is particularly true when our zoning ordinance states that residential care facilities in R-1 zone with six or fewer residents (plus staff) . only need comply with the R-1 dwelling standards of two spaces) . In short. whatever regulating we do of residential rentals, absent a clear showing that they are different from owned residences, must be consistent with owned residence regulation. The Davis ordinance attempts to regulate the business of housing rental . In so far as the ordinance requires business licensing, it does just that.. It is then presumed that because business "use" is regulated, the ordinance falls in line with the language of Adamson: In general . zoning ordinances are much less suspect when they focus on the use than when they command inquiry into who are the users. Adamson, at 545. What this .logic misses is that the "use" spoken of in Adamson is the "use to which the dwelling is put. " City of Chula Vista, at p.744. Here the term "use refers to the land use - residence. In other words, if the land use was other than as a residence there would be a focus on the "use" . as the term is used in Adamson. Whether or not. the residential use is through a commercial arrangement or not is irrelevant.. What this means is that our assertion that the "use" is commercial will not satisfy the courts. In Ahwahnee Hills School 'v. County of Madera, 204 Cal .Rptr. 628 (5 Div. 1984) , this very point was made.. The court allowed a business running a group home for minors to challenge a use permit requirement. The challenge to a limit of six children, brought by the business, was based on the minors ' Adamson rights. Thus, a landlord, under Ahwahnee. could challenge our ordinance asserting his or her tenants' rights. If we are to regulate "use. " it must be land use, i .e. , residential . Any ordinance we pass dealing with rental properties, absent a clear showing that rentals per, se affect a neighborhood differently than owned_ properties, must use essentially the same regulatory scheme as other residential properties in the same zone. (For example, would unrelated Dave Moran J July 18, 1989 Page 3 Cal Poly students whorented be treated the same as unrelated Cal Poly students who bought the same house?) An alternative to passing additional legislation may be to utilize present parking. noise and use requirements to establish the fact of a public nuisance in those cases where persons, owner or renters. related or unrelated: interfere with the quiet enjoyment of one's residence. RSI/sw �J _ crty o� san lues oBispo INITIAL STUDY OF ENVIRONMENTAL IMPACT SITE LOCATION APPLICATION NO. PROJECT DESCRIPTION APPLICANT C i t, CT San J i s GD i s0 STAFF RECOMMENDATION: NEGATIVE DECLARATION T MITIGATION INCLUDED EXPANDED INITIAL STUDY REQUIRED _.ENVIRONMENTAL IMPACT REPORT REQUIRED. ,avid `'loran, Associate =fanner =/_17 PREPARED BY DATE COMMUNITY DEVELOPMENT DIRECTOR'S ACTION;,, / DATEZ-2� /'V 77. „c �Ll GC :�_l cZ22e,, SUMMARY OF INITIAL STUDY FINDINGS I.DESCRIPTION OF PROJECT AND ENVIRONMENTAL SETTING II.POTENTIAL IMPACT REVIEW POSSIBLE ADVERSE EFFECTS A. COMMUNITY PLANS AND GOALS .... . . . .... . ....... . ..... ... .... .. . .... .... ...... .. ayDe.j B. POPULATION DISTRIBUTION AND GROWTH.. ... . ... . ..... Yes C. LAND USE . . ..... ........... .... ._ ...... ... .. ....... . . . . .. . . . . . .. . . .. . . .... . ..... D. TRANSPORTATION AND CIRCULATION . . . ..... ... . . ., , ',:one. E. PUBLIC SERVICES . ........ ......... . . . ... . ... "one. F. UTILITIES..... . ...... .. .... None. G. NOISE LEVELS ...... ............ .. ...... ..... None, H. GEOLOGIC&SEISMIC HAZARDS&TOPOGRAPHIC MODIFICATIONS . . ... . ... ... . .. ... . . >lcne. I. AIR QUALITY AND WIND CONDITIONS. . . ..... ... . . . . . .. . . . . . ., lone. J. SURFACEWATER FLOW AND QUALITY .. . . . ... . . .. .... . . .... . ... . . ... . ..... . ... . .. .. "one. K. PLANT LIFE . . ........... .... . ........... . . ... ... ... . .. .... ... . ... .. ....... ... . ... . . `!one. L ANIMALLIFE........... ... .......... . . . :gone. M. ARCHAEOLOGICAUHISTORICAL .. .. . ... .. . .. . . ....... . .. . . . I.. .. . . . .... ..... ... ... -- `lore. N. AESTHETIC ................ .... ..... . . .... .. . . . . . ... . . . ... . ... . `lone. O. ENERGY/RESOURCE USE . ... ._. . .. . ._ . ..... .. . .. . .... . .. .... . ... . .. . ... .. . .. . .. `.ore. P. OTHER ... . ;ous i;no.. ....... ... . . ... .. . . .. . �s III.STAFF RECOMMENDATION '!ecative cecIaraTion, :,ith itic_aTion. 'SEE ATTACHED REPORT _ U Initial Study ER 52-89 Page 2 I. DESCRIPTION OF PROJECT AND ENVIRONMENTAL SETTING The City of San Luis Obispo wants to promote the quality of life in residential neighborhoods by ensuring that rental housing provides adequate living space and support facilities such as on-site parking. To further this goal; the City wants to amend the zoning regulations and other sections of the municipal code to ser minimum performance standards for rental housing in the R-I and R=2 zones. The ordinance would establish the following requirements and standards: I. A business license would be required in order to engage in the leasing of dwellings in the R-1 and R-2 zones. 2. To qualify for a business license for a residential rental with fewer than 5 adult occupants, the dwelling would have to satisfy the following performance standards: -- The dwelling must contain minimum floor area consistent with the following schedule: Minimum Gross Floor Area Dwelling Size. Per Adult Occupant < 3000 sq.fL 300 sq.ft. > 3000 sq.f t. 200 sq.f t. -- A minimum of two offstreet parking spaces must be provided per dwelling OR one off-street parking space per adult occupant, less one, whichever is greater. 3. When a residential rental is to be occupied by six or more adult occupants, an administrative use permit is required. The use permit is to ensure the above performance standards are satisfied as well as to ensure compatibility of residential rentals at particular locations. I. POTENTIAL IMPACT OVERVIEW A. Communitv Plans and Goals Housing Element The housing element contains.programs and policies which are intended to promote the diversity and affordability of housing opportunities, and points out the need for additional affordable housing. In that the proposed ordinance would establish new, more restrictive performance standards for rental housing in the R-1 and R-2 zones which may not be attainable by all of the available rental housing stock, the result could be the displacement of renters as rental opportunities decrease. For this reason, the proposed ordinance may not be consistent with housing element policies which favor actions to help alleviate the lack of affordable rental housing because the supply of rental opportunities in the R-1 and R-2 Zones may be reduced. ER 52-89 J Page 3 Conversely, the application of the ordinance could moderate adult household size in. the R-1 and R-2 zones and reduce the upward pressure on rents caused by overoccupancy of dwellings. In this broad context, rental units may be more affordable to family households in that the ability of property owners to achieve high income levels from large adult households would be reduced. Evaluation: May Be Significant C. Land Use The proposed ordinance could have beneficial impacts on the quality of rental housing environments by ensuring minimum floor space and parking for tenants, thus alleviating existing and potential neighborhood compatibility impacts. Evaluation: Not Significant Housing As outlined above, the regulations could result in less rental housing available in the R-1 and R-2 zones by reducing the rental capacity of these areas. The ordinance would apply to all types of households in these zones. The standards are designed to relate adult occupancy levels to the need for on-site parking and living area within dwellings. Given the population composition of San Luis Obispo, however, the regulations would most likely impact college student rental households in the R-1 and R-2 zones. Student household data is instructive because student households are often composed of adult renters and the proposed ordinance could reduce rental housing opportunities as a function of the number of adults per dwelling. However, other non-student households would also be regulated by the proposed ordinance and subject to the same performance standards. Based on enrollment data for spring, 1989, for Cal Poly, about 8,862 full and part time students listed San Luis Obispo as their principal address. (The actual number of students living in town will be slightly larger because some students use PO boxes). Of the 8,862 Cal Poly students who lived in the City during the spring quarter, 2279. lived in the R-1 zone in about 882 households for an average household size of 2.7 students. For a dwelling to accommodate 2.7 adult tenants under the new regulations, it would have to have a minimum 810 square feet of gross floor area and provide 2 offstreet parking spaces. Although an actual housing inventory by dwelling size and number of parking spaces is unavailable, very few single family residences in the city are smaller than 810 square feet. In the Old Town, which is predominantly R-2 zoning and where the dw,;llings are generally smaller, there could be more non-conforming dwellings. Nevertheless, it appears that most single family dwellings could accommodate the average student household size of 2.7. To estimate the impacts of the more restrictive regulations, an estimate must be made of the number of rental dwellings which could not accommodate the average student household size, and determine the amount of "overflow" renters from each dwelling. However, not all student households consist of 2.7 students. For reasons of economy, among others, many student households consist of two students per bedroom. AJ I ER 52-89 Page 4 If we assume a worse case in which,all students in the R-1 zone in excess of 2.7 per dwelling are displaced immediately after adoption of the new regulations, the number could be significant. For example, the Cal Poly data for spring, 1989, suggests that, of the 882 Cal Poly student households in the R-1 zone, 197 contained 4 or more students. The "excess renters" (household size - 2.7) would amount to about 380 students, which is about 140 households at 2.7 students per household. The relative impact of the displaced student households on the availability of rental housing can be obtained by estimating the number of dwellings that would have to be built in order to satisfy the city's growth management and housing objectives once the Cal Poly student households in the. R=1 zone are displaced by the new regulations. City growth regulations adopted in 1982 established a schedule for maximum residential construction rates through the. year 1999. Under those regulations during the past 5 years, the city has: — added 2,215 dwellings, or 443 per year (new construction minus demolitions) -- added 729 people per year, for a growth rate of about 2.4% per year, and a household size of about 2.4 persons/dwelling. . -- maintained an average vacancy rate of about 5%, acknowledged by the city's Housing Element as a desirable level to maintain a variety of choice and affordability (Source: San Luis Obispo Housing Element, 1987, p. 34, B-11.) The target number of dwellings to meet the city's housing needs during this same period, as estimated by the state Department of Housing and Community Development was 1630 dwellings, or about 326 dwellings per year. (Source: California Housing Needs Plan. California Department of Housing and Community Development, Sacrament, California; 1985.) Thus, the city has produced more housing during this period than the state estimated for our needs, while maintaining a desirable vacancy rate of about 5%. In order to maintain the desirable vacancy rate of about 5% in addition to absorbing the displaced Cal Poly student households from the R-1 zone, the city will have to continue to produce an average of 300 dwellings per year, which would accommodate a growth rate of about 1.76%. NOTE: This dwelling production rate would be able to accommodate the displaced renters who are Cal Poly students living in the R-1 zone, only. When all other adult households are factored in from the R-1 and R-2 zones, the number would be significantly higher. Furthermore, the university plans to add another 400 students in the 1990/91 school year and another 400 in 1991/92 for a total student enrollment (full and part time) of about 17,000. If the proportion of Cal Poly students living in the city remains constant, an additional 800 students (296 households at 2.7 students/household) will be seeking housing during the next two years. Evaluation: Significant The displaced renters resulting from the regulations will make it more difficult for families to find affordable rental housing. This results from the disparity in the income earning power between a family with one or two incomes versus an adult household with three or more income sources. Competition will be greatest for the ER 52-89 '��� Page 3 housing preferred by both types of households, which has been predominantly detached, single family dwellings. As long as the demand for single family rentals exceeds the supply, we would expect rents to increase, further aggravating the problem of affordability. Evaluation: May Be Significant D. Impact Mitigation Through the displacement of adult tenants, the ordinance could reduce rental housing opportunities in the R-1 and R-2 zone and increase demand for rental housing. The. city's overall strategy for addressing the community's rental housing needs is to add to the supply of housing by promoting additional multi-family dwelling construction and to better manage demand by regulating the creation of new jobs in the city. The actual impact of the new regulations will also be a function of the enforcement posture assumed by the city. If all rental properties in the R-1 and R-2 zones were to comply with the new regulations immediately after adoption, which is assumed in the worse-case scenario outlined above, it would likely mean a sudden flood of displaced renters. However, if the pace of.conformity is equal to or less than the additional housing constructed each year, the impact would be lessened. The following mitigation measures would address either the housing supply issue or level of impacts caused by displacement. l 1. Mitieation Measures that May Be Enacted by the City (a) Promote the construction of additional housing within the city. This would include continued implementation of housing element and land use element policies and programs. (Note: the discussion draft of new city Land Use Element proposes that the land use designation of some commercial/industrial areas in the city be changed to residential to enable additional housing inside the urban reserve.) (b) Apply the regulations to the R-1 zone only. This would reduce the number of displaced renters. (c) Apply the regulations primarily on a complaint basis. This would significantly reduce the number of displaced renters, and would likely distribute the displacement over a longer period of time. (d) Enforce the regulations only when the city's residential vacancy rate was 3% or greater. In this way, choice and opportunity for housing for displaced renters could be better maintained, as well as minimizing the impact of renter displacement on —1 family households. (Note: the State Department of Finance estimates residential vacancy rates each year.. The last time the city's vacancy rate was at 3% or below was in the mid 1970's when Cal Poly enrollment outpaced city housing production.) OER 52-89 Page 6 (e) Allow a grace period for compliance when displacement occurs. In this way the transition from one housing situation to another would be phased and the impact on the displaced household would be lessened.. The grace period (eg. 60-90 days) could be part of the city's action on use permit applications or enforcement proceedings. (f) Provide relocation assistance. The city could contract with a local real estate firm specializing in rental housing and/or work directly with the Cal Poly housing office to help displaced renters find replacement housing. 2. Mitigation Measures that Would Require the Action of Other Agencies (a) Have the state university system provide more housing on campus. Cal Poly already provides more on-campus housing than any other state university. Nevertheless, this option would help reduce the demand for housing by adult households. U (b) Establish enrollment ceilings for Cal Poly and Cuesta college based on the city's capacity to absorb the additional residents while maintaining growth management and housing objectives. If enrollment increases at the two local colleges can be tied to the city's capacity to provide new housing, the overall impacts from the adult households generated by the two schools would be diminished. III. STAFF RECOMMENDATION Negative declaration with the following mitigation (reference paragraph D above for description): 1.(a) Promote the construction of additional housing within the city. 1.(c) Apply the regulations primarily on a complaint basis: 1.(d) Enforce the regulations only when the city's residential vacancy rate was 3% or greater as determined by the California Department of Finance. 1.(e) Allow a grace period for compliance when displacement occurs. P -TING AGENDA DATE -�l-S ITEM # �illill II I 1111111111 II��������I�h111 II 111 III city of sAn luis oBispo 990 Palm Street/Post Office Box 8100 • San Luis Obispo, CA 93403.8100 September 12, 1989 MEMORANDUM T0: City Coun it FROM: am V City Clerk SUBJ: mental ALrenda Material for 9-19-89 -_ Item #1 The attached proposed zoning ordinance change entitled "Commercial Residential Use Regulations" was prepared by Residents for Quality Neighborhoods. GlennaDeane Dovey, one of the group's founders, called this morning and requested that this be delivered to the Council along with the agenda packets for the September 19 Regular meeting. Therefore, it was not a part of the original staff report and is not listed as an attachment. .>%notes action by Lead Person PV:k 1 c `1+iscorw by: c: J. Dunn voundl ►'C O nR. Rossi I•- �J 5�ry am _/Clerk-orig. DA �LT b! [.J 1 L _ ITEM # Commercial Residential Use Regulations -1- Chapter 17.93 COMMERCIAL. RESIDENIIAL USEREGULATIONS Sections: 17.93.010 Purpose 17.93.020 Definition 17.93.030 General Requirements 17.93.040 Performance Standards 17.93.050 Procedure Requirements 17.93.060 Periodic Review, Enforcement and Violations 17.93.010 Purpose A. This chapter is intended to promote quality of life in low density and medium density residential neighborhoods by ensuring that rental housing provides adequate support facilities. 17.93.020 Definitions A. "Commercial residential uses"are those in which a lessor or proprietor receives payment in any form of exchanse for the use of any residential dwelling or part thereof, for any period of time in R-1 and R-2 zones: excepting a residential care facility as defined in Section 17.04:340 of this code B. For 12=oses of this chapter,adult means any individual 18 years of age or older. 17.93.030 General Requirements A. Application. Commercial residential uses shall be allowed in the R-1 and R-2 zones subject to the performance standards set forth in section 17:93.040, below_ B. Relation to zone standards. Where this chapter does not contain a particular type of standard or procedure,conventional zoning standards and procedures shall apply. C For pu=ses of this chapter tandem parking apaces means at most two parking apaces one behind the other. C' RECEIVED /:ooASAl. SFP 1. 2 1989 (CITY CLERK PM WA osisp%lel Commercial Residential Use Regulations -2- 17.93.040 Performance standards A. A commercial residential use with five or fewer adult occupants may be established upon meeting the following standards: 1. A business license is obtained pursuant to Chapter 5.040 of the Municipal Code. 2.The dwelling must contain minimum gross floor area of 300 square feet per adult. 3. The parking requirement shall be the greater of: a. The number of spaces required for dwellings, OR, b. One off-street parking space per adult occupant,less one.. 4. For p=oses of this chapter parkingspaces must meet the following standards: a Each parldngspace shall be a permanently surfaced area.of not less than 190 square feet b. At most one parking space may be entirely or in hart within the front street,yard A parldng space within the front street yard must be directly behind a parking that is entirely behind the front street yard Le, tandem parking c. A total of at most three parking spaces may be placed entirely or in part within the front. side, or rear street yards. 5 One bathroom must be provided for each three for fraction thereof)resident adults 6. The dwelling must meet all current fine,health and safety codes. B. Upon approval of an administrative use permit, as defined by Chapter 17.58,a commercial residential use may be established for occupancy by six or more adults. The purpose of the use permit is to ensure compliance with the performance standards described above, and to ensure the compatibility of the commercial residential use at particular locations. 17.93.050 Administration A. Business license required. A business license is required for all commercial residential uses. Prior to issuance of a business license for a commercial residential use,the applicant shall submit and certify such information as city officials deem necessary for administration of and compliance with these regulations. B. Permit requirement. For commercial residential uses with six or more adult occupants, the applicant shall apply for and obtain an administrative use permit,as defined by zoning regulations, in addition to those requirements fora business license as described above. 17.93.060 Periodic review and enforcement A. Periodic Review. Commercial residential uses shall be reviewed annually for compliance with this chapter. It shall be the responsibility of the onpM owner,upon notification by the city to pay applicable fees and 5,Wly required information C.JaigI Violations. Violations of any of the provisions of this chapter shall be the basis for revocation of the business license or use permit,whichever is applicable,in accordance with this code. Commercial Residential Use Regulations 3 COther applicable changes to the zoning ordinance. 17.04.325 Commercial Residential Uses Commercial residential uses" are those in which a lessor or proprietor receives payment in any form of exchanee for the use of the residential dwelling or part thereof, for any period of time in R-1 and R-2zones excepunt=_a residential care facility as defined in Section 17.04.340 of this code. 17.16.060 is amended as follows: Commercial residential use•••The parking requirement shall be the greater of: l..The number of spaces required for dwellings, OR, 2. One off-street parking space per adult occupant, less one. Two off-street parking spaces per dwelling, one of which must be covered;OR one off-street parking space per adult occupant, less one, whichever is greater. 17.22.010 is amended as follows: Insert between Residential care facilities - more than 6 residents, and Restaurants, sandwich shops, takeout food,etc,insert Igo: Residential uses.commercial 16.A commercial residential use which will be occupied by six or more adults requires approval of an administrative use permit. The purpose of the use permit is to ensure the requirements of section 17.93:040 are satisfied, and to ensure the compatibility of commercial residential use at particular locations. C MEMic �GEND ► 636 .__.esta Drive DATE EM # — San Luis Obispo, Ca 93401 San Luis Obispo City Council 19 September 1989 SSU1J� : Proposed Use Permit far nigh i Density Households I strongly urge adoption of the Planning Commission proposal , but have reservations about forcibly oustin;-: low income students or other young low-salaried workers who are desperately trying to "make it go financially" and are needed to support local businesses. I have personal experience that I told the Planning Commission about, that .-there are some landlords who, besides abusing reasonable density standards (new proposal, above) by actions and contract take advantage of t,ese younger people . :hese are :costly landlords NOT engaged in PROFESSICNAL renting ( i.e. -those renting as a sideline) . a. They don' t provide a RECCRDEED joint walk-through inspection for cleanliness and defects before signing a rental agreement and upon termination of the lease make false accusations or claims to avoid refunding deposit.. b. Some provide contracts with "cleaning deposit, or 1/2 of cleaning deposit is non-refundable". That certainly doesn' t encourage minimum cleanliness standards or any cleaning at the end of the lease to get part of a refund. c. When there are repairs, sometimes EMERGENCY, to be made, there is no answer at the landlords telephone or he is "out .of town", and no alternate number provided. PROFESSIOITAL landlords provide a contract repair telephone number or that of a local handyman for expedited service.AP+D, sometimes when a tenant then purchases a replacement repair part and has it installed, he/she cannot collect costs since contract states "Renter needs written permission prior any alterations" . At times a landlord will 'never respead to a written request and will never give more than a telephone approval (too busy) , so he believes he is not abligated to repay costs involved. I ALSO HAVE A GUT FEEL2 G THAT, FOR INCOME TAX PURPOSES, that all of above normally show as DEDUCTICNS or OPERATING EXPENSE rather than INCONL:. There is no RENT CONTROL proposal and no low cost housing for these young people who we are now imposing with additional pressure. They are already here, NOW, and there will be more next year. THE LEAST WE CA ' TO is to require and enforce PRCr SSICIA'AL IAUDLCRI) renting/contract and m=:intenacg standards by LICENSING, spot inspections, and assuring that renters have a current city number where they can call for disputes. I expect to present the above at tonights City Council Meeting. Sincerely, x Denotes action by Load Person RECEIVE Respond by: /council Har chardt 1 91989 /sag SEP . iciry atry. Cy to City Attorney • JS Acle CIN CLERK SS SAN LUIS OBISPO-CA V f. IV F/L4r LUciio;es action by Lead Persue' Rosalind Ging g ae . nd by AETING AGENDA :325 Cecelia 2ourt71Dt�TE ITEM # San Luis Obispo, CA 93401 AO September 19, 1959C rk-ong. ale, I think it is very important that you realize the views of the residents of Sar. Luis Obispo. I have been a resident of SLO for the past 27 Years. When I married and we started to raise our family, we moved from an apartment to our present home in a nice quiet neighborhood. Over the Years we have, had one home on our blockthat was occupied by gtr , _ going to Cal Poly . :•re now have at home or, our block that just sold and supposidly 5 Cal Poly students. were to occupy it according to the information I have ne :.rd. `testerday when I left for work at 7:00 a.m. there were 4 cars/trucks parked on Cecelia Court , 1 on Augusta and 2 in the cr , oewa.v for a total of 7 vehicles parked around this home . Why is it that when you want to a.dd an extra bedroom/livingroom/kitchen to your home , you must provide off-street parking in order to get .your SLO city building permit . The case I am referring to happened to my neighbor whose mother-in-law was coming to live with them. The mother-in-law doesn' t even drive . Yet they had t.• provide off-street parking. Why don ' t these homeowners/managers have to abide by these same rules. The students (Poly and Cuesta) use the excuse that a home is cheaper to live in than an apartment . I want you to know the type of vehicles parked around the home on my block . They were nice , new shinny trucks and sporty cars: The real reason they want to live in a home is so that they can do as they please , without following any rules, and PARTY, PARTY, PARTY. I think that a. miximum of four students or unrelated adults is more than enough for one home . One other point to ponder . How many of the parents who have enough money to buy these homes for their students to live in , declare the money collected from the other students living in the house as income . I am quite sure they all claim the deductions. With parents having to get a permit , wouldn' t it put it more on a business basis. Unfortunately, all the income my husband and I make is taxed to the fullest . I am not able to have a home and receive income from it and no declare it on ?y taxes. P Rosalind Gingg RECEIVED 1 91989 CITY t�.LERK SAN LUIS OBISPO,CA I #V;EET1NG AGENDA DATE /9- ITEM # OL 'POLY CALIFORNIA POLYTECHNIC STATE UNIVERSITY SAN LUIS OBISPO, CA 93407 September 19, 1989 OFFICE OF STUDENT AFFAIRS (805) 756.1521 Dear Mayor and Councilmembers The City of San Luis Obispo City Council is scheduled to discuss residential regulations at its September 19, 1989 meeting. This ordinance, if adopted, will have a significant impact on rental housing in the city. Because students residing in the city comprise the largest rental population, this ordinance will have a major impact on them. Although this issue has existed. for some time, the City Council began its most recent public discussions in April, 1989, continuing to August, 1989. This time period has been most inopportune for students, because it occurred when most students were away from campus. The result has been a lack of student involvement during public hearings. Lack of student input is again of concern tonight as Cal Poly students are just arriving. Fall Quarter classes did not begin until yesterday. Those students just back are the ones most impacted by the proposed ordinance since they are the students residing off campus. The student community and city officials have worked over the past few years to build an honest, open, and constructive relationship. Students, recognizing that they are a part of the San Luis Obispo community, want and deserve to be participants in the deliberations. To this and I again request that the City Council delay action on this agenda item for 30 days to allow students an opportunity to be full participants in the process of enacting a city ordinance which impacts them directly. Thank you for consideration of this request. Please have this letter read into the record of public comments. Sincerely, RECEIVED Denotes acum by Lead Perw `► � 1 a 107 R��°nid by: CITY CLERK G� Hazel Sco on WA vice President for Student Affairs Ct cc: Warren J. Baker e(4 O THE CALIFORNIA STATE UNIVERSIT)' ALO CIT`: COUIiCIL _ � CO[1.f/UL. K Say, Luis Gbispo , Ca. J DATE 9 AG�ENDk ,P. APSs i S' ---_ iTEM # 1 Council iiembers : tee : �ir:.�la Pamily :esider.ces attended the Sept. meeting and am glad to see that action will be taken to reZ,-ulate overcrowding and the abuses accompanying it. I wish the new re,ulatiors could cover the small 2-bedroom, 1-bath, sinjle-,SaraGe houses, but trust we will continue. to have the protec- tion of present rules re garabe conversions, nei ht of shrubs, etc. Lawns in this block were shabby ii..ell before the drouth and rationing. Here are some suggestions which might help to reduce infractions of present and any new regulations: 1. Periodically publish in the local paper and in your City 3ulletin a condensed versior of the rules. (edit or proofread what you release to the paper, to avoid unnecessary, time= corsu-ring phone calls to the Planning; Department! ) Inform landlords of their: responsibilities and iimitatians, so that they cannot plead ignorance Inform neighbors that they do have a right to complain promptly to the Plan ing Department, that complaints should be made immediately, before conversion is complete. Often the chanes take place over week ends or when neighbors are away. (Additional furniture was quietly moved into a nearby garage during the eclipse. ) 2. The landlords have a stable of repairmen, plumbers, electri- cia.ns, carpenters, etc. , who arrive in professional-lookinj, but u_�arked vehicles. Trades people need to be reminded to Assure themselves that necessary permits have been obtained. 3. Some houses are rented to one person who in turn rents to two or more others. I hope your regulation will consider this and avoid loopholes. Of possible interest: At least one affluent local owner of a small house rented to several adults is taking a x.600+ loss per month on his investment. This does not include repairs, utilities of any kind, or depreciation, oroly :mortga-;e interest, taxes, and insurance vs. the hefty rent he receives. To him it is probably a tax write-off.. It seems unfair that such a strategy should contribute to the decline of a neighborhood. An absentee owner, when making a rare visit, takes ca.re. to park in front of a neighboring house, thus keeping clear the space in front of the rental which, of course , does not have room for the occupants' 5 to 6 vehicles. Sincerely, cc: Planning .Commission TYr.Dave Moran, Planning D Aeen)l Vex^a/n_�der a�j gad St. , SLO 93401 tt CITY.CLERK i *REVISED - 91"1/89 - at .the nequeaz o6 Dottie onna•__ob Citi.zen'a boh Quati.ty - DATE "I9" 9 fTEM # Neighborhood, Commercial Residential Use Regulations -2- 17.93.040 Performance standards A. A commercial residential use with five or fewer adult occupants may be established upon meeting the following standards: 1. A business license is obtained pursuant to Chapter 5.040 of the Municipal Code. 2.The dwelling must contain minimum gross floor area of 300 square feet per adult. 3.The parking requirement shall be the greater of: a. The number of spaces required for dwellings, OR, b. One off-street parking space per adult occupant, less one. 4. For p=oses of this chapter parldng spaces must meet the following standards: a Each12arldne race shall be a permanently surfaced area of not less than 190 square feet b. At most one parking space may be entirelypart within the front street yard A parking space within the front street yard must be directly behind a parking space that is entirely behind the front street yard i.e. tandem parking- * 5 One bathroom must be provided for each three (or fraction thereof)resident adults L. The dwelling must meet all current fire,health and safety codes. B. Upon approval of an administrative use permit, as defined by Chapter 17.58, a commercial residential use may be established for occupancy by six or more adults. The purpose of the use permit is to ensure compliance with the performance standards described above, and to ensure the compatibility of the commercial residential use at particular locations. C 17.93.050 Administration A. Business license required. A business license is required for all commercial residential uses. Prior to issuance of a business license for a commercial residential use, the applicant shall submit and certify such information as city officials deem necessary for administration of and compliance with these regulations. B. Permit requirement. For commercial residential uses with six or more adult occupants, the applicant shall apply for and obtain an administrative use permit as defined by zoning regulations, in addition to those requirements for a business license as described above. 17.93.060 Periodic review and enforcement A. Periodic Review. Commercial residential uses shall be reviewed annually for compliance with this chapter. It shall be the responsibility of the prop=owner.upon notification by the city, to pay applicable fees and suppler y required information. C. jQ Violations. Violations of any of the provisions of this chapter shall be the basis for revocation of the business license or use permit, whichever is applicable,in accordance with this code. r :.•tno: :a_ticq by Lead Person ,.: d by: ^ho 1N Atry. j Geek-orig. 7lvsbl �!tif AIaF�VDA ��r ►��������►►��iill�iillilllllll�Il �� � ��I II city of sAn suis oBispo 1 990 Palm Street/Post Office Box 8100 • San Luis Obispo, CA 93403-8100 September 14, 1989 MEMORANDUM TO: City Council FROM: Pam og City Clerk SUBJ: Re •ident for Quality Neighborhoods Ordinance Revision On Tuesday, September 12, the Residents for Quality Neighborhoods submitted their version of the residential regulations ordinance. On Wednesday, September 13, they requested Page 2, Section 17.93.040 entitled Performance Standards 4. (c. ) be deleted. A copy of their ordinance went out with the Council agenda packets although there is no comment by staff because it came in after agenda close. The Page 2 amendment of their ordinance is attached. If you have any questions, please give me a call on Ext. 104. PV:klc c: J. Dunn R. Rossi Agenda Packet Distribution MEf1NG `� AGENDA RECEIVE ® DATE 9112 M # SEP 1 P ,4^� CITY CLERK SAN LUIS OBISPO.,CA *Denotes acbm by Lead Penm Mayor and City Council Re by 5 September 1989 City Hall 9<off 01 P.O. Boz 8100 aCA6 San Luis Obispo, CA 93403-8100 a Uy AVy- oaWrk-o y. ; 9� Fi1� Dear Mayor and City Council, ❑ I have been tracking the "rental regulations" happenings in San Luis Obispo with great interest. We have the same problems and concerns in Santa Barbara County, especially the Goleta area. I have enclosed for your kind attention and consideration.a copy of a letter I have sent to the Santa Barbara County Board of Supervisors expressing my feelings and concerns about the matter. .I hope that.you will find it to be meaningful and helpful. I think it important that this matter not be confused with rent control. I am not supportive of rent control or any other price, or wage, control devices. I am supportive of regulations as to where, when, and how different kinds of business activities may be conducted. Rental income is a profitable business. It needs to be regulated. Truly Yours, ohn B. Watson 231 Santa Barbara Shores Drive Goleta, CA 93117 P. S. A sixth copy is enclosed for your file. Board of Supervisors 14 September 1989 Santa Barbara County Dear Members of the Board, I am very much concerned about absentee landlords who rent single-family homes to tenants other than traditional parent-child families, especially in R1 single-family housing zones. Absentee-landlordism has always been one of the most serious problems that any community may have to deal with. In an area where affordable housing is not being developed it can become a socioeconomic disaster. Of course it is more profitable to rent to several different tenants who can and will share a higher total rent than a single family may be able to pay. Pity the poor landlord! Of course, by the sharing of that higher rent and the occupancy of the premises with other tenants some kind of at least affordable if not all that desirable housing is provided. Pity the poor tenant! But are the interests of the landlord and the rental tenants the only interests at stake? What of the environmental impact? What of the quality of life for the remainder of those in the neighborhood who have invested their all in home ownership? Pity the poor homeowner! Conversion of an R1 home from a private single-family-owner residence to a communal-type, multiple-tenant, absentee-landlord, rental residence has a most detrimental and unmitigated environmental impact on a predominately owner-occupied single-family residential area. It results in the conversion of garages to additional bedrooms. The streets become congested with parked cars even if the garages are not converted. Lack of pride in home ownership results in lack of property maintenance. The property becomes a slum. The landlord becomes a slumlord. What was and should be a family home becomes a flop house for any number of transients. It is fun time anytime with noisy parties and any number of cars coming and going all hours of the day and night. Is selling their homes to other absentee landlords or becoming absentee landlord themselves the only remedy for the homeowner neighbors? Ultimately, more and more homes will become communal-type, absentee-landlord rental housing units. An entire community can eventually become a communal-type rental community. Look no further than Isla Vista for the ultimate environmental impact, the consequent public service demands, and the totally negative impacts on quality of life. Ci Indeed isn't unbridled absentee landlordism the coot cause of all ghettos and other slums? Why is it that a housing developer must fund an environmental impact study and the mitigation of all environmental impacts of his project, while any person or persons who can muster up the resources to finance the mortgage can purchase an R1 home and convert it into rental income. property (rental-for-profit-only real estate deal like the man on TV said ) without funding any kind of a permit, environmental impact study, or mitigations of any land whatsoever? It well may be that more vigorous zoning and other measures need to be enacted and enforced county wide. It is my understanding that the City of San Luis Obispo is being petitioned by a citizens group to at least require permits for single-family-owner type residences to be rented as communaNype, multiple-tenant residences. I certainly wish them success in their efforts. What can be done in Santa Barbara County? What can you do? �i Why shouldn't this type of activity be prohibited by county ordnance? Isn't "rental-income" a sort of profit-making business? Shouldn't there be some kind of regulation as for other businesses? Your most serious consideration of this matter.is respectfully requested. I would appreciate a reply from each of you. Truly Yours, John B. Watson 231 Santa Barbara Shores Drive Goleta, CA 93117 P.S. Drive out and take a look at 239 Santa Barbara Shores Drive sometime. ', *oewtesaamby LeadPerm _MEETING AGENDA RgWmd by. DATE 2)_L�-- ITEM # p Cay anr. September 14, 1989 �F11 � ECEIVED 219 Albert Drive San Luis Obispo, CA 93401 SEP 1 8141 Ron Dunin, Mayor P .O. Box 8100 CIN CLERK San Luis Obispo, CA 93403-8100 SAN LUIS OBISPO,CA Dear Ron Dunin : Re : Commercial Residential Use Regulation for R-1 and R-2 Zone Recall the fable , The Emperor' s New Clothes, in which a child stated what was obvious to all , "The king is na.ked ! "? Similarly , the argument that we cannot legally discriminate between residences used for rental purposes and residences occupied by owners warrants refutation . Discrimination between residences used for rentals and owner-occupied residence is reasonable , legitimate , and with vigorous defense should withstand any potential legal challenge . Rental or leasing residences is a commercial activity . The City presently regulates commercial activities, including leasing . I own Pierce Capital, Inc . an equipment leasing business . For � . the past decade , the City has annually issued a City Business License to this leasing firm. This business also collects quite substantial amounts of personal property taxes for the benefit of various governmental entities . The businesss is clearly subject to regulation . Such regulation is not disputed . There exists no legitimate reason why the City should exempt rental of residences , unambiguously a commercial activity, from regulation. The claim that the City cannot discriminate between residences occupied by renters and owners . is unwarranted . Phrasing the argument in terms of discriminating between renters and owners is convenience - for defeating the movement to preserve the character of R-1 zones. Accepting that argument would legitimize the city 's continuing to ignore the destruction of the character of R-1 zones . There exists no reason for applying the proposed regulation to residences occupied by owners - other than an illegitimate agenda of defeating the movement by drafting the ordinance in a manner designed to be politically unacceptable to the Community. I strongly recommend adoption of "Commercial Residual Use Regulations ," essentially as proposed by "Residents for Quality Neighborhoods . " Sincerely, Do a Pierce cc: Jeffe ey Jorgensen, City Attorney. oar X1.2_ ITEM! # . RECEIVED C *Denotes action by lead Person September 15, 1989 SEP 1 8 N7 Respond by. p.Ecl=c I 219 Albert Drive CITY CLERK 0.6AO San Luis Obispo, CA 93401 SAN LUIS OBISPO,CA 0City ALI. �.Olerk-orifi. e'1z .�Zc � Dr . Hazel J . Scott !7 Vice President for Student Affairs California Polytechnic State University , San Luis Obispo Sap Luis Obispo, California 93407 Dear Dr . Scott : "Residents for Quality Neighborhoods" is keen.ly interested in participation in the Task Force which you described at the August 1 , 1989 San Luis Obispo City Council Meeting . Cal Poly ' s Task Force ' s effectiveness will benefit from input from residents of the Community in which it exists , and in which reside many of its administrators , faculty , staff and students . Thorough examination of Cal Poly-Community relations , particularly relationships involving the housing of persons associated with Cal Poly , warrants community participation . We nominate the -following members of "Residents for Quality Neighborhoods , " recommending that two of these persons be selected and invited to participate in Cal Poly ' s Task Force : NAME_ ADDRESS_ TELEPHONE Linda Lalum 3452 Sequoia 543-0537 Rodney Lee 1552 Oceanaire 544-1296 Marianne Michaels 1546 Oceanaire 544-6523 Douglas Pierce 219 Albert Drive 544-7804 Shirley Thomas 864 Venable 543-4550 Arlene. Zanchuck 26 Chorro 543-8264 Sincerely , Cs P Douglas R . fierce for "Resid is for Quality Neighborhoods" ,/Cc : Ron u in , Mayor, City of San Luis Obispo C i MEEtiTgG AGENDA DATE 9 -?-8 ITEM # ASSOCIATED STUDENTS, INC. =� IFJULIAN A. McPHEE UNIVERSITY UNION CALIFORNIA POLYTECHNIC STATE UNIVERSITY SAN LUIS OBISPO, CALIFORNIA 93407 EXECUTIVE OFFICE(805)756-1291 To: Mayor- Ron Dunin, Council Members: Peg Pinard, Penny Rappa, Jerry Reiss, Allen Settle From: Ricardo Echeverria Chair, Student/Community Liason Committee RE: Rental Residential Regulations The Student/Community Liason Committee met on September 14 whereby the topic of Rental Residential Regulations consumed the majority of our discussion. During the meeting, a motion was unanimously passed to request the Council to postpone any decision (including decisions of passing the proposed ordinance to print) , until at least four weeks from the September 19 Council meeting. The general consensus of the committee was that the parties that could ultimately be. affected by the passage of such an ordinance, need to be allowed greater time to thoroughly review its implications. Moreover, the City Community Development representative had. alluded that they would also like more time in order to continue further investigation on the issue.. Due to the fact that this topic is of grave importance to the committee and students, we ask that you take heed of our concerns. I appreciate your time on this matter. Thank You. cc: Members, Student/Community Liason Committee %Denotes action by Lead Person R�;Pond by: 2I council city,ony. RECEIVED a clerk-prig. CrrY� O�p51!I I�JS CLERK9�.�p9