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HomeMy WebLinkAbout04-12-2017 Regular Joint Planning Commission and City Council Agenda Packet Wednesday, April 12, 2017 6:00 PM REGULAR JOINT MEETING OF THE PLANNING COMMISSION AND CITY COUNCIL Council Chamber 990 Palm Street Agenda Planning Commission and City Council Any writings or documents provided to a majority of the Planning Commission regarding any item on this agenda will be made available for public inspection in the Community Development, 919 Palm Street, during normal business hours. CALL TO ORDER: Mayor Heidi Harmon ROLL CALL: Council Members Carlyn Christianson, Aaron Gomez, Andy Pease, Vice Mayor Dan Rivoire and Mayor Heidi Harmon Planning Commissioners Kim Bisheff, Hemalata Dandekar, Ronald Malak, Scott Mann, Nicholas Osterbur, Vice Chairperson John Fowler, and Chairperson Charles Stevenson PLEDGE OF ALLEGIANCE: Council Member Carlyn Christianson PUBLIC COMMENT FOR AGENDA ITEMS ONLY STUDY SESSION 1. STUDY SESSION WITH PLANNING COMMISSION FOR ZONING REGULATIONS UPDATE (CODRON / DAVIDSON) Recommendation 1. Receive a presentation on the status of the Zoning Regulations update; and 2. Review and receive a presentation on the Interview Summary Report, and provide direction to staff regarding any additional issues to evaluate and consider during the Zoning Regulations update process; and 3. Endorse the proposed update process and schedule. San Luis Obispo Regular Joint Planning Commission and City Council Agenda April 12, 2017 Page 2 The City of San Luis Obispo is committed to include the disabled in all of its services, programs, and activities. Please contact the City Clerk or staff liaison prior to the meeting if you require assistance. ADJOURNMENT The next Regular Planning Commission meeting is scheduled for Wednesday, April 26, 2017 at 6:00 p.m. in the Council Chamber, 990 Palm Street, San Luis Obispo, California. APPEALS: Any decision of the Planning Commission is final unless appealed to the City Council within 10 days of the action (Recommendations to the City Council cannot be appealed since they are not a final action.). Any person aggrieved by a decision of the Commission may file an appeal with the City Clerk. Appeal forms are available at the Community Development Department office, City Clerk’s office, or on the City’s website (www.slocity.org). The fee for filing an appeal is $281, and must accompany the appeal documentation. Meeting Date: 4/12/2017 FROM: Michael Codron, Community Development Director Prepared By: Douglas Davidson, Deputy Director, Community Development SUBJECT: STUDY SESSION WITH P LANNING COMMISSION FOR ZONING REGULATIONS UPDATE RECOMMENDATION 1. Receive a presentation on the status of the Zoning Regulations update; and 2. Review and receive a presentation on the Interview Summary Report (Attachment E), and provide direction to staff regarding any additional issues to evaluate and consider during the Zoning Regulations update process; and 3. Endorse the proposed update process and schedule (Attachment C). BACKGROUND In 2014, the City adopted a new General Plan Land Use and Circulation Element (LUCE). The Land Use Element sets direction for “the orderly development of land within the City’s planning area” (Land Use Element, p. 1-11), and the Circulation Element “how transportation will be provided in the community envisioned by the Land Use Element” (Circulation Element, p. 2-9). The Zoning Regulations are the key tool used to achieve land use policy objectives, and to support circulation objectives for mode shift by implementing standards related to parking management, transit, bicycling, and pedestrian accommodation. Following adoption of the LUCE, Planning staff began the process of identifying which land use policies would be most effectively implemented via changes to the Zoning Regulations. That analysis identified the policies listed in Attachment A. In February of this year, the City entered into a contract with MIG, Inc. to assis t with the update effort. The MIG team—which includes the subconsultant firms of Mintier Harnish (the firm that was part of the LUCE update team) and Jacobson & Wack (a firm recognized throughout California for its zoning-related work)—is supporting Planning staff with public engagement activities and technical expertise, and will prepare the updated Zoning Regulations based on input from staff, decision makers, and the community. The update program is anticipated to extend through March, 2018, as illustrated in the schedule included as Attachment C. The work program includes many opportunities for the community to weigh in, and for the Planning Commission and City Council to provide direction on the preferred approaches to implement LUCE policies and to address public concerns and comments. Scope of Work The scope of work for the Zoning Regulations is defined by the LUCE programs and includes the following items: Packet Pg 3 1 LUCE Implementation  Evaluate student housing preferences and consider revising development standards to better meet them in multifamily housing near campus (Program 2.11.1)  Adopt special development standards for dwellings in downtown residential areas (Policy 2.8, Program 2.12)  Consider new regulations to address neighborhood compatibility for infill development (Program 2.13)  Evaluate alternatives to the current maximum number of dwellings units and height, parking, and setback standards, to regulate residential building intensity (Program 2.15)  Evaluate the potential to use portions of City-owned parking facilities for residents’ parking (Program 2.16) Other Features of the Update (Technical Update, but could be far reaching – still under the umbrella of the LUCE)  Reorganize the Zoning Regulations for simplicity and modernize for current and emerging conditions, as well as State laws and conditions  Update Parking Standards (Table 6)  Update Land Use Table (Table 9)  Update Land Use Definitions White Papers The scope of work also includes five White Papers to provide additional focus on complex issues:  Cannabis Regulations  Tiny Homes  Climate Action Plan implementation  Flexible density downtown  Edge conditions in the City and neighborhood compatibility The first phase of the program looks to define: 1) how to implement LUCE goals and policie s directly tied to the Zoning Regulations, 2) the updates to Title 17 required to address recent changes to State law, and 3) issues and concerns that hinder effective implementation of the Zoning Regulations. In subsequent phases, City staff and the consultant team will:  Draft a new, easier to use structure for the Zoning Regulations  Propose options for addressing policy direction  Prepare updated regulations that respond to the direction provided by the Council and Commission and that reflect modern, forward-thinking development practices  Test the draft regulations with the public and decision makers  Complete required environmental review and public hearings on the updated Zoning Regulations Resident and Stakeholder Interviews To initiate this comprehensive update program, City staff conducted a series of interviews with residents and other community stakeholders to identify issues and concerns with the current Zoning Regulations. On February 27 and 28 and the week of March 6, 2017, Planning staff Packet Pg 4 1 interviewed more than 50 community members in both group and one-on-one sessions. The group interviews were invitation events, with the groups consisting of neighborhoods, developers, technology businesses, realtors, and homeowner associations. City staff also invited anyone in the community to sign up for individual interviews at the Community Development Department; notification of the interview opportunity was posted on the City’s website and News Items of participation opportunities were also highlighted on the City’s website. Approximately 35 individuals signed up for and participated in the individual interviews. The interviews allowed community members to respond to prepared questions (see Attachment D) and to express any opinions and ideas they wished to share. City staff (and the MIG representative attending the group interviews) took detailed notes at every interview. These notes have been compiled in the Interview Summary Report included as Attachment E. The summary report reflects all ideas shared without attributing comments directly to any participating individual or group. The intent of the summary report is to provide the City Council and Planning Commission with an overview of the diverse and sometimes conflicting proposals the community has put forward to address the most pressing land use issues in San Luis Obispo. No particular themes emerged from the interviews, as the topics were wide-ranging and opinions divergent on such topics as parking, downtown development, building height limitations, and neighborhoods and districts requiring focused attention. General agreement was expressed, however, about the need to provide more flexibility and clarity in the Zoning Regulations, to craft regulations that facilitate housing development for all lifestyles and stages of life, simplify the Code, and streamline the Advisory Body Review process, particularly to avoid parallel approval paths for the same project. At the April 12, 2017 joint study session with the City Council and Planning Commission, City staff and representatives from the MIG team will make a short presentation summarizing the interview outcomes, organized broadly around the following topics:  General comments regarding organization and clarity of the current Zoning Regulations  Land use regulations  Development standards and guidelines  Parking regulations  Code administration and permitting processes  Cal Poly  Downtown The Planning Commission and Council should review the process/schedule, interviews summary, and identify particular ideas and topics for consideration in the updated Zoning Regulations that are not already identified in the scope of work. The City will be holding community workshops in May to review the Zoning Regulations update project and to receive focused input on the programs in the LUCE to be implemented. Two workshops will be held (one workshop format held twice in different locations) to accommodate the public’s schedules. The format for the workshop is being developed and may include surveys, break-out sessions and/or interactive work stations to allow for small group discussions. Packet Pg 5 1 ENVIRONMENTAL REVIEW As this is a study session with no direction or action to be provided, environmental review is not required. FISCAL IMPACT As this is a study session with no direction or action to be provided, no fiscal impact will occur. FOCUS QUESTIONS FOR STUDY SESSION Focus Questions for Study Session Yes No Is the consultative public outreach process, including resident/stakeholder interviews, study sessions, and public workshops, appropriate for the Zoning Regulations Update? Are the process and schedule appropriate and timely? Are the five planned White Paper topics valuable to inform the effort or are there other topics you would like to see explored? Should the review process be revised to combine architectural design and use permit approval to avoid parallel entitlement paths and multiple appeals on the same project? Are there other topics you think should be considered in the Zoning Regulations Update? Attachments: a - LUCE Policies b - Other Issues to Address c - Project Schedule d - Interview Questions e - Resident and Stakeholder Interview Summary Packet Pg 6 1 City of San Luis Obispo, Council Agenda Report, Meeting Date, Item Number LAND USE & CIRCULATION ELEMENT POLICIES Policy Number Policy Statement 2.10. Updating & Enforcing Standards 2.10.1. Enforcing Standards. The City shall review, revise if deemed necessary, and actively enforce noise, parking, and property development and property-maintenance standards. 2.10.2. Property Maintenance Standards. The City shall implement, and regularly review and update property-maintenance regulations focused on proper enclosure of trash, appearance of yards and buildings from the street, and storage of vehicles. 2.11. Multifamily Preferences and Standards 2.11.1. Preferences. The City shall evaluate student housing preferences and consider revising development standards to better meet them in multifamily housing near campus. 2.11.2. Multifamily Open Space and Storage Standards. The City shall review, and revise, if deemed desirable, its standards for multifamily housing so that apartments will provide usable open space and storage similar to the requirements for condominiums. 2.12. Downtown Residential Development. The City shall adopt special development standards to guide addition of dwellings within Downtown residential areas to implement Policy 2.8. The following should be included when evaluating new standards for this area: A. Requirements that new dwellings on lots with existing houses be above or behind the existing houses, and that the added building area be modestly sized and of similar architecture in comparison with the principal residences on the site and in the surrounding area; B. Requiring new buildings to reflect the mass and spacing of existing, nearby buildings; C. Requiring special parking and coverage standards; D. Requiring minimum amounts of usable open space. 2.13. Neighborhood Compatibility. The City will consider new regulations, for Low-Density and Medium-Density Residential areas, to require special review for (1) incompatibly large houses, (2) replacement or infill homes in existing neighborhoods, and (3) accessory buildings with plumbing facilities allowing easy conversion to illegal se cond dwellings. The City will periodically update Community Design Guidelines for larger homes, infill housing and accessory single-story buildings. 2.15. Residential Densities. The City will evaluate alternatives to the current maximum number of dwelling units per acre (based on bedroom count) and height, parking, and setback standards, to regulate residential building intensity, and bulk and mass. Floor area limits will be considered. 2.16. Use of Downtown Parking by Residents. The City shall evaluate the potential to use portions of City-owned parking lots and structures for residents’ parking. 3.9. Zoning Regulations. The City shall amend its Zoning Regulations to implement the changes included in the 2014 General Plan update program. 3.10. Noise Control. Zoning Regulations and Community Design Guidelines will include measures such as the following to prevent unacceptable noise exposure for residential areas or other noise - sensitive uses: location and shielding of mechanical equipment; location of truck loading, trash collection areas, and loudspeakers; noise attenuation measures along property lines. 3.13. Zoning Update for Visitor Services Uses. The City shall review zoning regulations to consider allowing visitor-service uses in office zones adjacent to community commercial zones in the Downtown and adjacent to Monterey Street between Johnson and Santa Rosa. 3.14. Zoning Update for Emerging Technologies. The City will investigate emerging technologies and trends to evaluate whether updates to zoning regulations are needed. 4.28. Allowing Efficiency Units and Variable Density in Downtown. The City shall modify zoning regulations to allow efficiency units and variable density in the Downtown Core. 4.32. Use Permit Requirements. The City shall incorporate into its zoning regulations specific criteria for evaluating use permits for bars/taverns, night clubs and late night drinking establishments. 7.16. Airport Overlay Zone. The City shall create an Airport Overlay Zone to reflect the boundaries of the San Luis Obispo County Regional Airport Land Use Plan within the City limits. The Packet Pg 7 1 Policy Number Policy Statement purpose of the Airport Overlay Zone is to codify airport compa tibility criteria in areas for which the City may override the Airport Land Use Commission determination to ensure compliance with the requirements of the California State Aeronautics Act (Cal. Pub. Utilities Code, Section 21670, et. seq.) which establishes statewide requirements for airport land use compatibility planning, guidance from the California Airport Land Use Planning Handbook, which is published by the California Department of Transportation Division of Aeronautics to support and amplify the State Aeronautics Act requirements, and other related federal and state requirements relating to airport land use compatibility planning. Implementation of the compatibility policies will be accomplished through the Zoning Code. 7.17. Airport Land Use and Zoning Code. The City shall update its Zoning Regulations to address allowable uses and development standards for areas in which the City may override a determination of inconsistency. Zoning regulations shall be consistent with the requirements of the State Aeronautics Act, use guidance from the Caltrans Airport Land Use Planning Handbook and comply with related state and federal requirements relating to airport land use compatibility. These development standards will include, but not limited to, intensit y and density limitations, identification of prohibited uses, infill development, height limitations, obstructions, and other hazards to flight, noise insulation requirements, buyer awareness measures, nonconforming uses and reconstruction and the process for airport compatibility criteria reviews by the City consistent these development standards. 7.18. Review of Local General Plan and implementing Development Standards. Unless previously referred and acted upon by the City, review of General and Specifi c Plans and Amendments, Zoning ordinance or amendments, or Building code changes within the San Luis Obispo County Regional Airport Land Use Plan boundary (Figure 9) shall include referral to the Airport Land Use Commission as specified in Section 21676(b) of the Public Utilities Code for a determination of consistency with the San Luis Obispo County Airport Land Use Plan. 12.1. Zoning Regulations. Zoning Regulations consist of the zoning map, lists of uses allowed in certain zones, property-development standards such as maximum building height and minimum parking, and procedures intended to give the interests of development applicants and other citizens fair consideration. Packet Pg 8 1 San Luis Obispo Zoning Regulations Update: Issues to Address and “Fix It” List City staff has developed the following list of issues to be addressed in the Zoning Regulations update effort based on their daily use of the code. This list—which is additive to the list of revisions required to address LUCE policies—has been provided to the consultant team and is a fluid list, with additions being made as the work progresses. City staff and the consultant team met on January 31, 2017 to review and discuss the initial list. Development Standards and Zones  Mixed Use: Ground-floor commercial requirement  Mixed Use: Provide flexibility  Bike parking requirements  Parking – update Table 6  regulations generally and possible reductions  parking on flag lots  parking in yards  parking for building additions  interior garage dimensions  parking tied to bedroom count  Trip Reduction Plan Standards  Arbors and trellises in side yard setbacks  Decks and roof decks  Creek setback requirements  Use of interior space in single-family homes (to avoid conversion to bedrooms)  Energy efficiency incentives  Review S overlay: North Broad Street property  Community benefits tied to height increases  Setbacks along alleys  Yard requirements on corner lots and private streets  “Sea trains” used for onsite storage  Rounding of density  Inconsistency of BP zone in the Zoning Regulations and specific plans  Roof deck standards  Standards and process for sheds Land Use Regulations  Investigate greater amount of staff-level review with AUPs and by-right zoning  C-S zone restrictions on office uses  Simplify regulation of office uses across all zones  Differentiate between convenience stores and neighborhood grocery markets (corner stores)  Day care Packet Pg 9 1  Live/work versus work/live  Mixed use definitions and allowed uses  Principle versus accessory uses  Update Land Use Table (Table 9)  Tiny homes  Clear definitions for every use  Tattoo shops  Review and update Land Use Definitions Accessory Dwelling Units (ADUs)  Differentiate between ADUs and guest quarters  Remove requirement for Minor Architectural Review and any discretionary permit (per recent State law changes)  ADUs on nonconforming lots  Clarify that primary use must be a single-family residence Administrative Procedures  Evaluate process to avoid multiple appeals on same project  Evaluate proper decision maker for the various entitlements Packet Pg 10 1 PU B L I C E N G A G E M E N T 2017 JAN/FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC JAN FEB MAR 2018 ZO N I N G R E G U L A T I O N S MA N A G E M E N T A N D S U P P O R T CE Q A CO M P L I A N C E SLO process schedule Kick-Off Meeting and Tour City Council Hearings Final Zoning Regulations Planning Council HearingsStakeholder Interviews Community Workshop #1: Issues (x2) Community Workshop #2: Draft Updated Regulations (x2) PC/CC Study Session PC/CC Study Session Zoning Regulations Diagnosis Issues “White Papers” Draft Style Sheet Annotated Outline Public Hearing Draft Zoning Regulations Public Review Draft Zoning Regulations Prepare Administrative Draft Zoning Regulations Draft Sections for Staff Review and Discussion NODDraft Project Description Prepare Addendum Revised Scope Monthly Team Meetings/Phone Calls Short Weekly Check-in Calls Diagnosis Session with Staff City of San Luis Obispo updates to the city’s zoning regulations Prepare Staff Report - PC Prepare Staff Report - CC Packet Pg 11 1 RESIDENT AND STAKEHOLDER INTERVIEWS CITY OF SAN LUIS OBISPO ZONING CODE UPDATE February, 2017 The following questions are a starting point for a dialogue about the current City of San Luis Obispo’s Zoning Code’s strengths and weaknesses—issues and concerns that those interviewed would like addressed in the update. These questions are not intended to limit the scope of discussion. Comments and suggestions are completely confidential, and none of the input received by City staff and the consultant team during the interviews will be specifically attributed to individual interviewees. 1. How do you use the zoning code? Are you a resident, developer, property owner, or business owner? Other? 2. What has the existing code been successful with? Where have good projects been built? What types of development have the zoning regulations encouraged? 3. What have been the failures? Have projects been built that are not in character with a neighborhood or location, or have projects or uses resulted in adverse impacts? Which projects/uses, and why? 4. Are there specific standards or requirements that warrant attention (for example, parking, building height, uses allowed)? 5. Are there issues associated with specific neighborhoods, business districts, or zoning districts that need special attention during the update process? 6. Are the regulations responsive to local economic conditions and community needs? 7. Are application and review processes clearly articulated? Where might improvements be made? 8. What areas of the City could evolve or transform over time with regulatory changes to support community goals? What (general or specific) types of regulatory changes would you like to see? 9. Share any additional comments you may have. Packet Pg 12 1 SAN LUIS OBISPO ZONING REGULATIONS UPDATE stakeholder interview summary March 20, 2017 537 S. Raymond Avenue Pasadena, CA 91105 (626) 744-9872 www.migcom.com Packet Pg 13 1 This page intentionally left blank. Packet Pg 14 1 MARCH 20, 2017 SAN LUIS OBISPO ZON ING REGULATIONS UPDA TE stakeholder interview summary i table of contents introduction and background ............................................................... 1 summary of participant comments ....................................................... 2 general comments .............................................................................. 2 land use regulations ........................................................................... 6 development standards and guidelines .................................................. 9 parking regulations ........................................................................... 14 code administration and permitting processes ...................................... 17 Cal Poly topics ................................................................................. 19 Downtown ....................................................................................... 19 Packet Pg 15 1 MARCH 20, 2017 ii This page intentionally left blank. Packet Pg 16 1 MARCH 20, 2017 SAN LUIS OBISPO ZONI NG REGULATIONS UPDAT E stakeholder interview report 1 Introduction and Background THE CITY OF SAN LUIS OBISPO is currently engaged in updating the Zoning Regulations (Title 17 of the Municipal Code). The focus of the Zoning Regulations update is to implement policies and programs in the 2014 Land Use and Circulation Elements (LUCE), which is one of eight elements of the San Luis Obispo General Plan. The LUCE update was undertaken to respond to changed and evolving conditions in the community, to incorporate policies and programs that address sustainability and climate change, and to address current State laws. Importantly, the program involved intensive community engagement to reaffirm the values, vision, and goals for the physical development of the city. Updating zoning and subdivision standards is a critical implementation action required by the General Plan and represents the translation of LUCE goals and visions into specific regulations and standards. The Zoning Regulations establish the detailed rules for how properties can be used and developed. The Zoning Regulations also set forth application review processes and define the overall administration of zoning in San Luis Obispo. Over a two-week period in late February and early March of 2017, City staff interviewed more than 50 residents and community stakeholders to help inform the Zoning Regulations update process, and to identify land use and development needs, opportunities, and issues. Interviews were conducted with residents, neighborhood groups, architects, developers, real estate brokers, technology groups, environmental groups, and representatives from the Chamber of Commerce—people who regularly use the Zoning Regulations or have a specific interest in zoning to implement the General Plan. The interviewees were asked a series of questions regarding overarching concerns, as well as specific topics. Participants were also given the opportunity to discuss issues of significance to them not otherwise addressed in response to specific questions. Packet Pg 17 1 MARCH 20, 2017 2 Summary of Participant Comments Comments and key themes mentioned during the interviews are presented in this report. Due to the breadth of comments received, comments may contradict each other, reflecting interviewees’ differences of opinion. Where statements indicate direction to or considerations for City staff, those statements reflect the verbatim comments of one or more participants. Throughout this summary, “word clouds” are included from a March 2, 2017 workshop with the Chamber of Commerce. The word clouds—prepared by a participant attending the Chamber of Commerce meeting—graphically represent the most commonly spoken words during the meeting. Common themes expressed in the word clouds also emerged during the group and individual interviews, as shown in the summary notes presented in this report. GENERAL COMMENTS Participants agreed that the Zoning Regulations are most useful when they provide clarity about use limitations, development standards, and entitlement processes, and when the regulations simply and succinctly cover these topics. Many people stated that the Zoning Regulations should be user friendly and include illustrations. Organization and Clarity  Currently the code has too much ambiguity, particularly for nonresidential uses. This creates difficulties for staff interpretation and results in inconsistent responses.  Resolve inconsistencies and “hidden surprises” through reorganization of the Zoning Regulations. An example given: the fact that limitations on business hours are provided within the standards for mixed-use projects.  Look at the overall organization and find ways to improve navigation through the document. Consistency Remove density standards Packet Pg 18 1 MARCH 20, 2017 SAN LUIS OBISPO ZONI NG REGULATIONS UPDAT E stakeholder interview report 3  In general, providing more flexibility—with performance standards that identify the appropriate circumstances to modify a requirement—is the best practice for zoning. It is always better to include elements in a project that can be allowed through regulations rather than looking at the request as a variance or exception.  Clarify code intent language. “Must” should not be used; if a regulation is required, use “shall.”  On the co-mingling of requirements versus guidelines, users need to know the “shalls” first and be able to deal with that first. Then move on to the “shoulds.” Readers can get bogged down with the “should,” paying focused attention where it is not warranted.1  Update the purpose and interpretation statements to apply a direction of duty to staff and decision makers. Regulating Form and Design  A form-based code could help clarify the review processes. Each neighborhood could have its own code.  The Downtown Concept Plan and Community Design Guidelines should be codified.  Add an illustrated urban design section to the Zoning Regulations to address site planning and how the visual character or setting should be incorporated into new development projects, rather than using a form- based code. 1 As a consideration moving forward, the consultant team recommends not using “should” at all in the Zoning Regulations given their regulatory nature. Any provision involving subjective judgement is more appropriate in design guidelines. Packet Pg 19 1 MARCH 20, 2017 4 Code Update and Technology  Provide ready access to zoning information through the effective use of current technologies. As an example, an electronic version of the Zoning Regulations can incorporate hyperlinks from Table 9 (use table) directly to corresponding definitions, or to related notes, to ease navigation and information discovery. It would be especially helpful to offer links to related “property-centric” information, such as special development fees applicable to particular areas (e.g., Margarita Area Specific Plan fees).  A portal to the website with parcel/owner information/permit history would be great.  The Zoning Regulations are very text heavy. Consider using more graphics and creating an interactive tool that both residents and developers can use without having to read through all the text. Specifically, consider a tool that allows a user to highlight a certain area and then see what uses are allowed in that area. This can also be used by residents who are interested in knowing what uses are allowed in their neighborhoods and adjacent commercial districts. Update Process Include a summary of the major changes proposed to the code to help users get familiar with the new document. Packet Pg 20 1 MARCH 20, 2017 SAN LUIS OBISPO ZONI NG REGULATIONS UPDAT E stakeholder interview report 5 Opportunity Areas Participants discussed various areas around town that could be considered “opportunity areas.” (These comments may not necessarily reflect current land use designations and intensities allowed by the LUCE.)  South Broad Street (between Orcutt and Santa Barbara) – maximize residential and commercial  Downtown  Mid and South Higuera  Foothill  Monterey Street from Santa Rosa to California  FoCho (Foothill Chorro) district (could increase density here to five- to six-story buildings)  Places between Higuera and Marsh: perfect area for workforce housing  “Ring” around Downtown: three- to four-story residential and mixed use  Orcutt Area Specific Plan: three- to five-story residential  Margarita-Prado Road Specific Plan: residential and mixed use  Increase density along transit corridors  Need for more housing near MindBody so employees can bike to work Packet Pg 21 1 MARCH 20, 2017 6 LAND USE REGULATIONS Participants discussed the current land use regulations and pointed out a need to simplify land use categories and definitions to streamline review processes and provide consistency. General Land Use Comments  Consider how uses are changing and will continue to change (working from home, shared work spaces, retail market shifts).  Consider a process similar to the administrative review process: allow staff more leeway to place tenants in locations that make good planning sense and offer positive benefits to the community as a whole.  Encourage high-density mixed-use housing with less dependence on vehicles. Encourage more public transportation and bike and pedestrian access. This use would be ideal to encourage neighborhood commercial type uses.  Protect prime agricultural land.  Encourage neighborhood preservation and stabilization of the renter/owner ratio.  Consider operational characteristics and performance standards of various uses and activities. Commercial and Office Uses  The code has too many commercial zones: 11 zones with seven different types of office uses. This could maybe be condensed to three zones and one office use.  Offices do not need to be in just one centralized location; allow professional offices to be dispersed.  Office uses generally should not require an Administrative Permit because the requirement deters new users. The uses and impacts are generally understood and therefore can be simplified.  Some office uses should be allowed in retail zones, but there is also a concern to preserve retail zones for retail uses. Perhaps the code could define a certain maximum percentage (20 percent +/-) of a retail zone that could be office. Packet Pg 22 1 MARCH 20, 2017 SAN LUIS OBISPO ZONI NG REGULATIONS UPDAT E stakeholder interview report 7  Increase the uses allowed in commercial zones, adding flexibility so that empty spaces can be occupied.  Consider how uses are regulated in the CS (Commercial Service), CT (Tourist Commercial), and M (Manufacturing) zones; it seems arbitrary which uses are permitted where. Mixed Use Participants had differing opinions on whether or not a specific percentage of commercial square footage should be required in mixed-use projects. Some felt a requirement should be prescribed, requiring a specific percentage of ground-floor commercial, while others appreciated the flexibility and feel it is necessary to support project development.  Mixed use should identify the intent of presence on street.  Consider requiring a certain percent of commercial to qualify for parking reductions.  Consider allowing commercial component on an adjacent parcel (horizontal mixed use).  Specific use restrictions for mixed-use projects have not proven to be warranted. Compatibility of tenant mixes should be the responsibility of the property owner through functional management and logical tenant placement, not through land use restrictions.  Describe the factors that constitute use “compatibility.”  Add performance standards for mixed-use projects that include residential, such as a requirement to disclose conditions of mixture of uses (noise, hours of operation, solid waste collection, etc.)  The live/work and work/live section is confusing and complicated. The format doesn’t really seem to work in San Luis Obispo. Such uses are more appropriately described as a home office. Also, these types of development are difficult to finance. Residential Interviewees indicated broad support for increasing local housing supply, but the mechanisms to deliver this housing differed.  Consistent with new State Law (SB 1069), make it easier for people to Packet Pg 23 1 MARCH 20, 2017 8 create units while still preserving neighborhood character.  The regulations should include clearer language about how a guesthouse is not an accessory dwelling unit (also referred to as a secondary unit or granny flat).  The State’s exceptions for affordable housing are too generous.  Encourage more affordable and workforce family housing.  Explore micro units for students and young professionals in the areas of Foothill/Chorro or Downtown, with ground-floor amenities, shared utilities, and shuttles to destinations.  There is concern about the rental/owner imbalance. Consider different zoning regulations around Cal Poly.  Develop regulations to limit “offices” that are really bedrooms. Other Specific Uses  Consider small hotel operations as a good way to repurpose old buildings. Perhaps they can be their own use type.  Separately define and regulate imaging-type medical service facilities due to the configuration and related parking demands (i.e., much of the floor area is occupied by large equipment).  Limit the number of alcohol outlets concentrated in one location, particularly Downtown. Consider a requirement for a finding of public convenience or necessity. This is what the City of Montebello does.  One solution to some of the alcohol issues in Downtown is to require that bars serve a minimum amount of food until they close.  Allow for real neighborhood commercial uses to reduce vehicle trips.  We need more definition regarding independent living, assisted living, and convalescence. Simplify this or broaden it. If we want people to age in place, we should consider some changes.  Consider allowing clusters of food trucks. Is there a way to have a time-constrained beer license? (e.g., Bend, Oregon)  Address trends encouraging homestays and unstaffed lodging in boutique hotels. Zones  On Sacramento Drive, the east side of the street is zoned M (Manufacturing) and the west side is zoned CS (Service Commercial). Packet Pg 24 1 MARCH 20, 2017 SAN LUIS OBISPO ZONI NG REGULATIONS UPDAT E stakeholder interview report 9 Lots of uses are allowed in both zones, and this area should be seen as a district, not divided.  Consider the Manufacturing zone: it is important that some industrial areas get preserved and are available for start-ups and innovation. We have Cal Poly grads with amazing ideas and creativity, and they need affordable places to do their work.  The S (Special Consideration) overlay zone confuses people and should be eliminated.  Apply the S overlay on wildlife corridors and also over C-T (Tourist Commercial) and C-D (Downtown Commercial) zones contiguous to residential neighborhoods, specifically Dana Street and Lincoln Street.  Make sure the boundaries of Downtown are clear. DEVELOPMENT STANDARDS AND GUIDELINES All groups and individuals interviewed raised issues or opportunities about the current development standards, design guidelines, and/or zoning.  San Luis Obispo is experiencing unsustainable population growth, especially growth in new jobs, which is outpacing the housing supply. Packet Pg 25 1 MARCH 20, 2017 10  Create incentive-based opportunities in pre-existing zoning categories. We need clear incentives for density, parking variances, and land use concessions.  Parking, FAR (floor area ratio), and landscape requirements have not been brought up to speed to accommodate new uses.  Develop clear definitions, including neighborhood, concept, and scale.  Curb sprawl and avoid cookie-cutter tract houses like Los Angeles and little “Lego” houses.  High tech/modern, rigid buildings do not seem to be in keeping with the mission-type architecture that is predominant.  Consider implementing General Plan policies LUE 4.9 (Coordination of Late Night Environment), LUE 9.10 (Urban Forest), and LUE 2.14 (Neighborhood Wellness Action Plans) as part of the Zoning Regulations update. Sustainability Many participants noted the importance of sustainability in zoning.  Greater emphasis should be placed on climate change: carbon sequestration, rooftop skylights, light colors, and solar panel arrays.  Incorporate sustainability standards, particularly as applied to site design (tree preservation) and optimal solar orientation.  Consider modification to Ordinance 1544 to encourage tree preservation.  Increase incentives for applicants that support the Climate Action Plan and multimodal goals and policies.  Any new parking should be constructed on permeable paving.  Increase specifications in the code for more bike and pedestrian requirements with development. Packet Pg 26 1 MARCH 20, 2017 SAN LUIS OBISPO ZONI NG REGULATIONS UPDAT E stakeholder interview report 11 Density  Allow smaller lots in both nonresidential and residential zones that are suitable for mixed use, live-work, work-live, or some form of commercial-residential.  The continuing trend of splitting lots in R-1 (Low-density Residential) neighborhoods is turning these neighborhoods into R-2 (Medium- density Residential) zones.  The Downtown maximum density should be increased to actually provide housing there (80 units/acre).  The C-C (Community Commercial) density is too high at 36 units/acre.  Increase density for smaller units with shared common spaces and amenities  Consider multifamily density by bedroom size or tenure.  Consider rounding up density to the nearest whole number to provide flexibility.  Utilize FAR to limit stories in neighborhoods based on averages.  Explore a percent change in intensity of use of infill to ensure compatibility.  Investigate how the required FARs affect projects. Consider FAR instead of density. Height Building height was an issue discussed extensively during the interviews. Participants were equally divided on whether taller buildings should be allowed or existing scale should be maintained, particularly in Downtown. The comments provided under the Downtown heading below expand on the following comments.  The General Plan includes goals to maintain a compact urban form, but requests for taller buildings do not get supported by the public, even in Packet Pg 27 1 MARCH 20, 2017 12 the Downtown core. The City worked very diligently on the performance standards to allow for taller buildings in the C-D zone (Downtown Commercial). However, even though well crafted, the regulations have not really accommodated many buildings above 50 feet in height.  A minimum height requirement may be appropriate in some areas.  Set clear criteria for higher building heights.  Consider height limits by stories in addition to feet.  Consider the use of temporary story poles on development sites so the public can see how tall a building will be before it is approved.  There needs to be hillside viewshed protection: this is the character of the city.  Compatibility is important and as such, higher stories should trigger additional review. Yards and Setbacks  Add street side yards to the residential zone sections. Provide reference to the range of required yards, noting that they vary with building height. Cite the applicable table. The information is in the document but requires constant flipping between sections.  Provide more flexibility on setbacks for unusually shaped lots, including upper-story step-backs.  Layout and setbacks should be changed to optimize solar access. Fences and Walls  Add guidance about allowed fence heights in street yards. The graphic is great to illustrate the concept that the fence height can be taller farther back from the street but does not help a user identify what height is allowed at certain distances from the street property line. Packet Pg 28 1 MARCH 20, 2017 SAN LUIS OBISPO ZONI NG REGULATIONS UPDAT E stakeholder interview report 13 Multi-Family Standards  Require more family amenities (open space and storage) so that new developments do not become de facto student housing.  Unit size in affordable housing should reflect the needs of workforce families (don’t just build studio units). Transitions between Zones Participants agreed that the Zoning Regulations should pay special attention to transitions between zones, both lower-density residential to higher-density residential, as well as commercial to residential.  Find ways to mitigate impacts of R-4 (High-density Residential) development, such as articulation along the street front and entries along the street that mimic single-family homes.  To provide compatibility for R-1 to R-2 transitions, require additional setbacks on upper floors. Occupancy  Consider how bedrooms will be used (large bedrooms will be shared).  In some areas, maybe bedroom count should be the only way of calculating density. Accessory Dwelling Units (ADUs) Participants expressed general support for accessory dwelling units and tiny homes. Stakeholders identified various locations where these should be allowed/prioritized, including on existing golf courses, near the outer limits of the city near green space, and as infill in existing neighborhoods. Some interviewed indicated that ADUs should be owner occupied and include a foundation. Others indicated that more flexibility for tiny homes and recreational vehicles was preferred, with directives to be creative for ADUs inside existing houses and provide incentives for more ADUs. Packet Pg 29 1 MARCH 20, 2017 14 Adaptive Reuse Encourage repurposed buildings, and provide the flexibility to establish new uses in existing buildings, such as a provision for parking exceptions. Planned Development  Reduce the size required for a planned development overlay to maybe one-half acre or one-third acre.  Planned development (PD) standards need to be reviewed and firmed up so as not to act as spot zoning. Mandatory project features should include affordable housing, energy efficiency, protection of natural features, or addition of public outdoor amenities. Findings should be strong. Open Space  Encourage public and semi-public open spaces in new projects.  San Luis Obispo has a need for more parks, especially in the North Broad Street neighborhood. Historic Resources  Ensure strict adherence to the City’s Historic Guidelines.  Consider requiring height reductions adjacent to historic resources. Noise  Consider noise control measures for rooftop decks and balconies. PARKING REGULATIONS Participants had varying views on parking. For some, parking reductions in areas where densification is desired (largely Downtown) were noted as opportunities. Others cited reductions in parking as a negative that should be used sparingly.  There is a huge trade-off between livability and parking; if you give people incentive to park below ground, the space above becomes more walkable and attractive. Packet Pg 30 1 MARCH 20, 2017 SAN LUIS OBISPO ZONI NG REGULATIONS UPDAT E stakeholder interview report 15  Parking needs will change. For the future, we need to plan for self- driving cars, etc. Perhaps the maximum number of cars exists today.  Parking incentives/reductions should not be cumulative.  Parking reductions are too broadly applied and should be limited to mixed use.  The process of parking exceptions is unclear and applied unequally. Multiple exceptions that are additive are especially problematic and may be resulting in reductions (especially in parking) to levels that were not anticipated.  Incorporate transportation demand management (TDM) into the development review process.  Establish a Downtown in-lieu parking district.  Consider basing parking standards on building square footage only, rather than use. It will help fill empty spaces. Also clarify parking calculations (occupancy and useable area).  Parking is a big challenge in developing, managing, and placing tenants. Modern office uses have increased occupancy density to the point that 3 parking spaces per 1,000 square feet of floor area (3/1,000) no longer works. Perhaps the appropriate standard is 2/1,000 until adequate alternative transportation is realized.  Parking reductions for shared parking (off-period use shifts) may not be as effective today because people are leaving their cars at home during the day more often. We have a car storage problem. The issue is where to put your car when you are not using it.  Parking reduction for bike racks should be eliminated.  Bike offsets that work well include fix-it stations, bike shops, locked bike parking, staked bike parking, and free bike tubes.  The calculation for restaurant parking is very complicated. In practice, there has been inconsistency with calculations by different planners and other users. Consider looking at a formula that is simpler and more like the C-D calculation (X spaces/XX building square feet).  Restaurant outdoor dining should not be counted in the area considered toward parking. There is inconsistency in implementation Packet Pg 31 1 MARCH 20, 2017 16 because the code is not clear. Consider eliminating parking requirements for outdoor dining.  Re-evaluate warehouse parking to simplify it, especially with regard to outdoor storage yard. Consider using the County’s standard.  Section 17.16.060E: Suggest rewording sentence #2 to read: “The applicant shall provide reasonable justification for the reduction through a Transportation Demand Management Plan, which highlights innovative design components and strategies to reduce single- occupant vehicle travel to and from the site.” This would be consistent with the City’s current practice.  Regional retail areas should be held to higher parking requirements, and local retail area could use more flexibility.  Consider parking requirements based on area rather than uses.  Do more to incentivize alternative transportation options for businesses. Residential Parking  We are underserved for parking in the R-1 zones because people do not use their garages for parking. Instead, they use garages for storage, game rooms, etc.  Consider parking standards for residential by square footage rather than bedrooms.  Clarify when reduced parking requirements for affordable housing apply. Does the project need to be 100% affordable or exceed inclusionary requirement? Do reduced standards apply to just the affordable units in a project or the total parking requirement? How are additional concessions considered/applied outside of State requirements?  Is there a way to create residential zones that don’t require any parking? Alternatively, allows parking reductions for building owners who include provisions that restrict tenancy people who do not have cars or have only one car. It could be outside the Downtown area. Code provisions would limit residency to persons who do not own cars. It would be hard to manage and would have to be monitored. It would have to be in a walkable area with good transit connections. It seems like we need density before we can get better public transportation. Packet Pg 32 1 MARCH 20, 2017 SAN LUIS OBISPO ZONI NG REGULATIONS UPDAT E stakeholder interview report 17  Parking requirements are too high. You cannot achieve multimodal goals while retaining high parking requirements.  Allow for car share by right to achieve parking reductions.  Parking requirements are too low. Downtown does not have enough parking for disabled and elderly citizens.  Garages should not be required. Just require off-street parking and let the developer decide how to provide on-site parking.  Consider the future of parking in light of autonomous vehicles and shared vehicles. Passenger loading areas may be more appropriate than garages and spaces at some point in the future. CODE ADMINISTRATION AND PERMITTING PROCESSES Comments about code administration and permitting focused on three major topics: the prevalence of appeals, the length of the approval process, and Use Permits.  Timing and processing timeframes are more important in responding to economic conditions than the form and content of the Zoning Regulations themselves. Interviewees voiced frustration about the length of review processes.  The review processes should be amended so that projects with multiple entitlements should only have one decision body (i.e., don’t have the Architectural Review Commission and Planning Commission on separate tracks).  There needs to be consistency in interpretation by advisory bodies and how they apply the Community Design Guidelines.  The Architectural Review Commission puts too many conditions of approval on projects, many of which are not enforceable. Projects get caught between staff and Architectural Review Commission opinions.  The Zoning Regulations do not provide a clear enough picture of the necessary entitlement processes and their timeframes. Code provisions should be clearly written to better guide decisions. Currently, negotiations seem drive the decision-making process.  The review processes need clearer criteria for submittal. Developers think they have submitted everything and then the City asks for something else. Packet Pg 33 1 MARCH 20, 2017 18  The recent “completeness” process seems to be onerous, time consuming, and beyond the scope of the application.  The variance process is complicated. City staff should be able to do more administrative approvals.  Establish more administrative (staff-level) approvals for projects in general.  Craft clear regulations that use consistent terminology. Make it abundantly clear if a use requires no Use Permit, an Administrative Use Permit, or a Planning Commission Use Permit. Ensure consistency between the permit application and what it says in the Zoning Regulations.  Too many appeals occur.  The appeal process appears easy from the Code language but does not reflect the work and cost involved in responding to the appeal. All residential projects are getting appealed to the City Council. Perhaps appeals should be based on cost recovery.  The section describing the appeal process could be much more descriptive, laying out the limitations and responsibilities. This would put appellants on notice about what they will need to present—and the efforts that will be involved—and would discourage frivolous appeals.  Appeals of projects should be clear about the scope of the appeal and the particular project components of concern.  Provide better signage for describing proposed developments (possibly funded by the developer).  The agenda correspondence process could be improved (for advisory bodies).  Consider reduced impact fees in areas the City wishes to see developed. Packet Pg 34 1 MARCH 20, 2017 SAN LUIS OBISPO ZONI NG REGULATIONS UPDAT E stakeholder interview report 19  Consider a threshold for very large projects to have expanded notification procedures. CAL POLY TOPICS Student housing was a comment topic discussed by multiple interviewees. Concerns focused on noise, parking, trash, and what constitutes student/group housing. The commenters noted a general feeling that the University community did not recognize or take ownership of its impacts on the City with regard to student housing and the University’s master plan for development. The rental inspection program was discussed in terms of its immediate impact on neighborhoods surrounding the University. Recommendations included enforcing the number of occupants in a rental. Some participants indicated that areas around the University should be rezoned to allow denser development, as those areas already function as higher density, but within a single-family form. DOWNTOWN Participants had diverse views about Downtown. Many recognized and supported the General Plan policies to encourage a compact urban form. They noted an inherent struggle to effect this policy while at the same time trying to preserve what makes SLO special and unique and how best to maintain that character.  We should build to the vision of what we want Downtown to be, consistent with the General Plan vision.  Encourage residential development in Downtown and prioritize it over commercial development.  Provide more senior housing in Downtown.  Allow for smaller dwelling units and tenant spaces for more options.  Consider expanding transfer of density credits. Re-examine the ability for density transfers to noncontiguous properties within the Downtown core.  Expand Downtown core policies up Monterey Street, Higuera, and Marsh, past Santa Rosa Street.  Buildings that are four stories and built with little to no street setback are good ideas Downtown and elsewhere. Packet Pg 35 1 MARCH 20, 2017 20  Allow residential density increases so that three and four stories (above first-floor commercial) are residences.  Allow height increases for buildings if the first story is used for stacked parking and mechanical parking lift.  Include a height minimum requirement for Downtown to preclude one- story structures.  Allow for rooftop uses on buildings used as public accesses spaces, not just parks but businesses and coffee shops.  The Downtown height ordinance allows for additional height, but it has been financially infeasible to provide the “wedding cake” stepped-back floors with amenities.  Downtown buildings should be limited to two to three stories to preserve SLO’s small town character. Infill development should occur on surface parking lots.  Consider an urban design standard for Downtown that addresses surrounding existing building heights and limits new adjacent buildings to one to two stories higher. Taller heights should also be stepped back from the ground floor.  Downtown height should be limited to 50 feet. Identify creative ways to increase density without increasing height.  For buildings exceeding 50 feet in height, the City should get more clearly defined benefits. Too much discretion is involved now.  Downtown height increases should require meeting at least three policy objectives rather than two.  Consider the late-night environment of Downtown, and ensure safety.  Include provisions to implement Downtown Concept Plan goals of more visual connections to the creek. TRANSPORTATION Some participants were concerned about traffic congestion and requested that the City deny projects that contribute to traffic congestion. Multiple interviewees discussed the need to enhance alternative transportation options throughout town, including transit and bicycle routes. In particular:  Provide more Class 1 bike lanes, possibly connecting Foothill and California Boulevard, and linking to the University. Packet Pg 36 1 MARCH 20, 2017 SAN LUIS OBISPO ZONI NG REGULATIONS UPDAT E stakeholder interview report 21  Develop a bike beltway around the city.  Better/more public transportation is needed, including better use of Amtrak (i.e., Santa Barbara/Ventura model).  We need smaller buses or dial-a-ride vans.  We need buses off Ramona (and on Foothill). OTHER One participant provided an “Orchids and Onions” review of well done and “stinker” developments around town. Some participants disagreed with these characterizations. In particular, the projects which were identified as both good and bad examples included 22 Chorro and the Mix at Monterey/Monterey Place, among others. Packet Pg 37 1 Page intentionally left blank. Packet Pg 38 1