Honorable Chair and Members of the Hermosa Beach Planning Commission
Regular Meeting of July 18, 2023
Supplemental
Information
VIII.a
Title
STUDY SESSION TO DISCUSS HOUSING ELEMENT RELATED ZONING CHANGES, INCLUDING ZONING TEXT AMENDMENT (TA 23-02), TO EFFECTUATE PROGRAMS IN THE HOUSING ELEMENT.
(Community Development Director Carrie Tai)
Body
Recommended Action:
Recommendation
Staff recommends the Planning Commission:
1. Receive a staff presentation;
2. Solicit public comments; and
3. Provide feedback on zoning text amendments.
Body
Executive Summary:
Following the discussion from the June 20, 2023 meeting, staff will provide an overview of the zoning text amendments necessary to support the implementation the Housing Element to allow additional opportunities for discussion. These zoning amendments are required to facilitate the creation of housing to meet the Regional Housing Needs Assessment (RHNA), align regulations with State law, as well as broaden mixed-use development within the City. Staff requests that the Planning Commission receive public input, conduct a discussion, and provide feedback on the zone text amendments.
Background:
Because the City is past the State deadline for certification of its Housing Element, State Law now requires the City to complete zone changes prior to certification of the Housing Element. The City was in the process of conducting a Comprehensive Zoning Code Update to implement PLAN Hermosa which was adopted in 2017. Staff initially proposed to merge the Comprehensive Zoning Code Update with the Housing Element Update, however, as the deadline has passed and resources are limited, staff is only able to include zoning changes related to the Housing Element at this time.
The Planning Commission conducted a study session on March 21, 2023, where staff introduced possible zoning approaches to implement the Housing Element and discussed land use policies to facilitate the creation of housing. Staff incorporated the Planning Commission feedback and on June 20, 2023, a draft zone text amendment and zoning changes were introduced along with the draft housing element policy plan and technical report. The Planning Commission discussed a variety of zoning related topics such as residential vehicle and bicycle parking requirements, height limits within the commercial and manufacturing zones and mixed-use development standards.
Past Board, Commission and Council Actions
|
Meeting Date |
Description |
|
December 15, 2020 |
The Planning Commission conducted a public meeting to introduce the 2021-2029 Housing Element update. |
|
February 3, 2021 |
The City Council and Planning Commission held a joint study session to provide an overview of the Housing Element update process, explanation of the State requirements for Hermosa Beach’s RHNA, to solicit comments regarding housing needs, and to receive feedback. |
|
June 30, 2021 |
The Planning Commission held a Special Meeting to receive a presentation, hear public comments, and provide comments on the Draft 2021-2029 Housing Element. |
|
November 16, 2021 |
The Planning Commission conducted a public hearing and considered the revised 2021-2029 Housing Element in response to the comment letter received from California Department of Housing and Community Development (HCD), requesting added sites revisions, and forwarded a recommendation to the City Council to adopt and authorize submittal to HCD. |
|
December 21, 2021 |
City Council conducted a public hearing, adopted the 2021-2029 Housing Element, and authorized submission to HCD. |
|
September 13, 2022 |
City Council approved a contract with a new consultant, Veronica Tam and Associates, Inc. (VTA) to assist on the Housing Element. Since that time, VTA has been working with staff and Miller Planning Associates to coordinate efforts on the Housing Element and Zoning Code Update. |
|
December 5, 2022 |
Planning Commission held a special meeting to review Housing Element efforts, comments received by HCD and discuss integration of the Housing Element and Zoning Code Update efforts. |
|
January 10, 2023 |
City Council approved a Second Amendment to Miller Planning Associates contract to include Housing Element-related updates with laws concurrent with preparation of, with associated environmental review. |
|
March 9, 2023 |
Planning Commission conducted a study session to review and provide input on a revised Housing Element sites inventory meeting HCD criteria. |
|
March 21, 2023 |
Planning Commission conducted a study session to discuss rezoning approaches for Housing Element implementation. |
|
June 20, 2023 |
Planning Commission conducted a public hearing and recommended the City Council review and adopt the Housing Element and associated General Plan Amendments. |
Copies of staff reports and other materials from prior meetings are posted on the City’s website at: www.hermosabeach.gov/housingelement <http://www.hermosabeach.gov/housingelement>
Proposed Zoning Changes
The City is required to include changes to the Zoning Map and the Zoning Ordinance to effectuate programs in the Housing Element. At this time, this Study Session is focused on discussing only Zone Text Amendments as the City Council has not yet had a public hearing regarding the Housing Element or the related Sites Inventory.
The Planning Commission conducted a public hearing on June 20, 2023 and adopted a resolution recommending that the City Council adopt the Housing Element and associated General Plan Amendments. On July 11, 2023, the City Council conducted a discussion item on the Housing Element, associated General Plan Changes, Zone Changes, and Zone Text Amendment. The City Council received many public comments pertaining to sites on the Sites Inventory. At the conclusion of discussion, a consensus of the City Council requested that members of the community provide information to staff regarding additional potential sites. The City Council is tentatively scheduled to conduct a public hearing to consider adoption of the Housing Element and associated General Plan changes on August 8, 2023.
Next Steps
Subsequent to City Council adoption of the Housing Element, the Planning Commission will conduct a public hearing on the accompanying Zone Change and Zone Text Amendments discussed herein. The City Council is the decision-making body for Zone Changes and Zoning Text Amendments, and associated environmental review. The Planning Commission’s action will serve as a recommendation to the City Council.
Discussion:
The proposed Zoning Text Amendment language (Attachment 1) includes the following changes to the Zoning Ordinance:
Special Housing Types
Update definitions and regulations for Special Housing Types to align with State law and California Department of Housing and Community Development (HCD) comments. The following Special Housing Types were added or revised in the Zoning Code:
• Low Barrier Navigation Centers. This term is being introduced to the Zoning Code and is included in Section 17.04 (Definitions) and added as a permitted use in the C-1, C-2 and C-3 zones (Section 17.26.030).
• Emergency Shelters. The existing definition, located in Section 17.04, was revised and the process was relocated to a more appropriate location in the Zoning Code (17.42.210). The parking standards (17.44.020) were modified to include parking for staff, and the use was expanded to the R-3 zone. All of the changes made were to be incompliance with State law.
• Supportive and Transitional Housing.
o The Supportive Housing definition was updated and the Transitional Housing definition was replaced to be in compliance with State law.
o Outdated terms were revised to reflect the new term Supportive and Transitional Housing as a permitted use in all residential zones.
o The use and process were expanded to be permitted in the Commercial zones depending on the size of the operation (17.26.030)
o The parking standards were updated to align with the parking requirements for a residential use.
o Two new sections were created (17.42.220 and 17.42.230) to provide process for Large Residential Care Facilities and Supportive Housing.
• Residential Care Facilities. Large and Small Residential Care Facilities and Residential Facility, Assisted Living are replacing Medical Care Facility and definitions are being added to Section 17.04. These uses will be permitted within the Residential and Commercial zones and the permit and operation requirements are being added in Section 17.42.230. Parking standards are reflected in 17.44.020.
Mixed-Use Development
Amend the Zoning Ordinance to revise and broaden mixed-use development (including residential uses) to C-2, C-3, SPA-7, SPA-8, and SPA-11 RHNA Sites Inventory sites with an allowable residential density of 25.1-33 units per acre, and M-1 zone with an allowable density of 34-50 units per acre. Development standards were modified and parking and transportation storage standards were added to provide additional flexibility for the creation of affordable housing.
Since the June 20, 2023 Planning Commission, staff has modified Section 17.40.180 (Mixed-use development) of the Draft Zone Text Ordinance to include clarifying language around sidewalks and walkways and vehicular and bicycle parking.
Housing Element Sites Inventory Overlay (--HE)
Staff proposes to create a Housing Element Sites Inventory Overlay (--HE) to identify Housing Element sites and to enable tracking. This entails adding the (--HE) designation to existing zoning (for example, a property zoned C-3 would be zoned C-3-HE to identify it as a Housing Element Sites Inventory site.
State law now requires that cities establish a formal procedure to monitor for the “No Net Loss” of capacity for accommodating the RHNA, pursuant to Senate Bill 166. Sites designated as RHNA must develop to the minimum capacity anticipated by RHNA unless the City finds during project approval that there are sufficient sites adequate to accommodate the remaining unmet RHNA. This procedure is included as Section 17.39.030.
State law now requires that cities include a program to establish replacement housing requirements when redevelopment occurs on RHNA sites where existing units occupied by or deed-restricted for lower income households are demolished. This program has been incorporated into the (--HE) Overlay as Section 17.39.040.
Density Bonus
Revise Density Bonus regulations to align with State law, which has been updated numerous times since the City adopted regulations in 2013. The revisions largely refer to State law, in an effort to remain consistent should State law be revised again.
Public Facility
Create a new zone called Public Facility (PF), Section 17.29, to align with PLAN Hermosa. The proposed PF zone includes permitted uses and development standards that support appropriate land uses such as government facilities, institutions, and certain qualified residential uses needed to implement the Housing Element Sites Inventory sites.
M-1 Light Manufacturing Zone
Amend the M-1 zone to allow live-work configurations as long as they are integral to a creative industrial use. PLAN Hermosa, adopted in 2017, designated the geographical area of the current M-1 zoning district as Creative Light Industrial. This designation is intended to create a suitable environment for small businesses that rely on manufacturing or production to operate, but also to foster new innovation and creative economic activity. Given the proximity of residential uses and several sites suitable for inclusion on the Sites Inventory, the M-1 district would be amended to allow live-work configurations.
Lot Consolidation
Restructure the lot consolidation provisions to apply to density bonus projects. Currently, the lot consolidation provisions are located in Section 17.42.170. completely separately from the density bonus provisions in Section 17.42.100. Since the Housing Element intends for these two provisions to be coordinated, the lot consolidation provisions are proposed to be relocated into the density bonus provisions.
Parking
In response to HCD’s comment that the City’s parking standards for multi-family housing must support a variety of unit types and sizes. Section 17.44.020 was modified with the following parking standards proposed to:
• Tier multi-family parking requirements to unit sizes in multiple-family dwellings (developments with 3 units or more) by changing the requirement from 2 spaces per unit to:
o Zero to 1-bedroom: 1.5 spaces
o Two-bedroom: 2 spaces
o Three-bedroom: 2.5 spaces
• Incorporate parking maximum requirements for affordable and senior housing, as required by State law.
• Add parking standards for Special Housing Types.
• Allow mixed-use developments to submit for Parking Plans with a fee waiver to encourage sharing parking supply between daytime and evening uses.
Reasonable Accommodation for Disability
Revise the reasonable accommodation procedure to be objective and predictable in order to comply with fair housing law. Some notable changes include removing any discretionary action requirements, including the Community Development Director or designee as the reviewing body for reasonable accommodation applications with objective criteria.
Administrative Use Permit
Amend the findings for Administrative Use Permit Section 17.55, which is used to review Special Housing Types, to be objective. Special Housing Types such as Emergency Shelters, Low Barrier Navigation Center, Residential Care Facilities, and Supportive Housing for up to 50 units are now subject to an Administrative Use Permit and reflected in the 17.26.030 Commercial Use Table.
Precise Development Plan
Streamline the Precise Development Plan (PDP) process and develop objective standards to minimize constraints on housing development. Tiered the PDP process to incentivize development of affordable and senior housing. Section 17.58 has been updated with additional clarity to reflect the following:
• Exempt from PDP:
o Less than 1,500 square foot addition or remodel in any zone.
o Single Family (1 unit) residential projects.
• PDP Staff/Director Level:
o Projects that qualify for Density Bonus
o 5 units or more with an affordability or senior unit component.
o 2-4 residential units
• PDP Planning Commission Level:
o 5 units or more that do not have a affordability component.
o Non-residential projects
As a note, the Planning Commission previously discussed exempting all residential development projects from the PDP process during the November 2, 2022 Special Planning Commission Meeting. The current approach to the proposed Zoning Text Amendment for PDP applicability differs from what was proposed in November due to the different levels of residential development (Attachment 4).
Conditional Use Permit
Update the Conditional Use Permit process (Section 17.56) to include objective findings and move Criteria for Review from Section 17.40 to the appropriate section.
Revisions to Draft Zoning Text Changes
Since the June 20, 2023 Planning Commission, staff has updated Proposed Zoning Text (Attachment 1) with the following changes:
• Amend17.40.180 (Mixed Use Development) based on the Commissioners comments to add additional language pertaining to sidewalks to also include walkways and revise the bicycle storage provision for clarity.
• Amend 17.44.020 (Off-street parking - Residential uses) to clarify qualifying State law Density bonus projects.
• Amend 17.58 (Precise Development Plan) to clarify types of projects exempt from a PDP.
Land Value Recapture for Affordable Housing
The adopted Housing Element included Program #7, Land Value Recapture. The City has studied terms for a land value recapture program to apply to properties on the Housing Element Inventory sites that are not proposing a certain amount of low-income housing. To further the City’s ability to achieve dwelling units in all income levels in accordance with RHNA, this program would also apply to future rezoning of non-residential sites to allow for the development of mixed-use or residential uses. Currently, several program components are being evaluated, including the threshold of affordability before the program would be triggered, and a fee that would be charged per unit or per square foot. All funds would be for the purpose of funding or subsidizing affordable housing and public services supporting added population from additional housing. Staff will present the Planning Commission with a progress report on this effort.
General Plan Consistency:
PLAN Hermosa, the City’s General Plan, was adopted by the City Council in August 2017. Since the State requires General Plan Housing Elements in 8-year cycles, the last Housing Element for the 2014-2021 cycle had been recently updated and was not included in the development of PLAN Hermosa. Upon adoption, the 2021-2029 Housing Element will become a component of the PLAN Hermosa General Plan. The purpose of the Zoning Ordinance is to implement the General Plan.
Public Notification:
For the current agenda item, the City posted an announcement on the City’s Housing Element Update information page (www.hermosabeach.gov/housingelement <https://www.hermosabeach.gov/our-government/city-departments/community-development/plans-programs/housing-element-update/>) and sent an e-blast to community members that are included on interest lists for the Housing Element and Zoning Update. The interest lists include 2,800 email addresses to date. As of the writing of the report, staff has received no public comments.
Attachments:
1) Proposed Zoning Text Amendment
2) Proposed Zoning Text Changes (Red-lined)
3) Link to June 20, 2023 Planning Commission Staff Report
4) Link to March 21, 2023 Planning Commission Staff Report
5) Link to November 2, 2022 Special Planning Commission Staff Report
6) Public Notification Package
7) SUPPLEMENTAL - eComment received 7/16/23
8) SUPPLEMENTAL - eComments and Emails received 7/17/23
9) SUPPLEMENTAL - eComments and Emails received on 7/18/23
10) SUPPLEMENTAL - Link from Anthony Higgins email (part 1)
11) SUPPLEMENTAL - Link from Anthony Higgins email (part 2)
12) SUPPLEMENTAL - Emails received Late on 7/18/23
13) SUPPLEMENTAL - 2 Emails received 7/18/23
Respectfully Submitted by: Maricela Guillean, Associate Planner through Carrie Tai, AICP, Community Development Director
Legal Review: Patrick Donegan, City Attorney
Approved: Carrie Tai, AICP, Community Development Director