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Home My WebLink About06 - One Year Extension of Outdoor Dining Pilot Program for Balboa Village (PA2015-137)TO: FROM: CITY OF NEWPORT BEACH City Council Staff Report November 22, 2016 Agenda Item No. 6 HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL Kimberly Brandt, Community Development Director - 949-644-3232, kbrandt@newportbeachca.gov PREPARED BY: Brenda Wisneski, Deputy Community Development Director — bwisneski@newportbeachca.gov PHONE: 949-949-644-3297 One Year Extension of Outdoor Dining Pilot Program for Balboa TITLE: Village (PA2015-137) ABSTRACT: On September 8, 2015, the City Council established a one-year pilot program to simplify the approval process for outdoor dining in Balboa Village. Three businesses participated in the program, to date. The Balboa Village Advisory Committee (BVAC) recommends the program be extended. RECOMMENDATION: a) Find this action is exempt from the California Environmental Quality Act (CEQA) pursuant to Section 15301 (Existing Facilities) of the CEQA Guidelines; and b) Adopt Resolution No. 2016-120, A Resolution of the City Council of the City of Newport Beach, California, Approving a Second Year of the Outdoor Dining Pilot Program within Balboa Village. FUNDING REQUIREMENTS: This pilot program has had minimal fiscal impact. The three outdoor dining permits have been processed more efficiently by staff since a minor use permit is not required. Only one encroachment permit was required as the seating area was located in the public right-of-way. Therefore, a one year extension is expected to have minimal fiscal impacts. DISCUSSION: Balboa Village restaurants are an attraction to the area and serve residents, visitors, and employees. Outdoor dining areas can improve the dining experience, contribute to a more pedestrian -oriented village, and improve the overall ambiance of the neighborhood. The City took part in an Urban Land Institute Technical Assistance Panel 6-1 Extension of Outdoor Dining Pilot Program for Balboa Village November 22, 2016 Page 2 for Balboa Village on September 11, 2013, which recommended outdoor dining. especially in public spaces, to activate and revitalize Balboa Village. Standard Review Process Establishing outdoor dining at an existing restaurant typically requires review of a new or amended use permit, or at minimum a director approval, which can be expensive and take several months to obtain approval. Additionally, if the proposed outdoor dining is located within the public right-of-way, a dining encroachment permit from the Public Works Department is required. Fees can be up to $4,000. Pilot Program Processing time and cost to restaurant owners are significantly reduced by requiring zoning clearance instead of a use permit or director/staff approval. The zoning clearance process requires an applicant to submit an application, project description, and project plans showing the proposed outdoor dining. Staff reviews the application and issues the zoning clearance either over-the-counter or within one week depending on the complexity of the application, if all of the criteria (discussed below) are met. No fee or public hearing is required under this pilot program. The addition of outdoor dining to an existing restaurant is not expected to create any negative land use impacts. Staff does not anticipate changes in traffic congestion or parking requirements as a result of accessory outdoor dining. Late hours for outdoor dining are prohibited to prevent any potential late night noise impacts. This pilot program includes the following eligibility requirements: A. The property shall be located in a nonresidential zoning district within Balboa Village. B. The use of the existing building or suite shall be an eating and drinking establishment. The applications are reviewed for compliance with the following criteria: A. The outdoor dining area is limited to 25 percent of the interior net public area. B. The outdoor dining shall not open earlier than the interior of the restaurant and shall close by 11:00 p.m. C. The outdoor dining shall be designed to minimize impacts to sensitive noise receptors (e.g., hospitals, schools, and residential uses). D. The outdoor dining shall be designed to eliminate potential impacts related to glare, light, loitering, and noise. E. Outdoor dining on public property shall comply with NBMC Chapter 13.18 (Use of Public Sidewalks for Outdoor Dining) and the standards of the Public Works Department, including, but not limited to, City Council Policy L-21 (Sidewalk Cafe Standards and Procedures). 6-2 Extension of Outdoor Dining Pilot Program for Balboa Village November 22, 2016 Page 3 F. Outdoor dining may include appropriate barriers separating the outdoor dining areas and parking, pedestrian, and vehicular circulation areas. Pedestrian access shall not be impeded by the barriers. Barriers shall serve only to define the area and shall not constitute a permanent all-weather enclosure. G. Physical elements (furniture, awnings, covers, umbrellas, etc.) shall be compatible with one another and with the overall character and design of the building. Next Steps Three restaurants (listed below) participated in the program during the first year. As shown in the photo of Mint Leaf, the seating areas are limited to a few tables and chairs. An extension would provide additional time to increase awareness of the program through next summer with the intent of gaining a few more outdoor seating areas. Pilot Program Locations • Patty Macs, 209'/2 Palm Street • Mint Leaf Thai Bistro, 712 East Balboa Boulevard • The Trough Sandwich Kitchen, 705 East Balboa Boulevard The newly permitted outdoor dining areas may remain following the end of the pilot program; however, renewal of encroachment permits and related fees shall be required annually. ENVIRONMENTAL REVIEW: JF Staff recommends the City Council find this action is exempt from the California Environmental Quality Act (CEQA) pursuant to Sections Section 15301 Existing Facilities] of the CEQA Guidelines, California Code of Regulations, Title 14, Chapter 3, because an outdoor dining areas will be accessory to an existing restaurant. NOTICING: The agenda item has been noticed according to the Brown Act (72 hours in advance of the meeting at which the City Council considers the item). ATTACHMENT: Attachment A — Draft Resolution 6-3 ATTACHMENT A RESOLUTION NO. 2016- A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NEWPORT BEACH, CALIFORNIA, APPROVING A SECOND YEAR OF THE OUTDOOR DINING PILOT PROGRAM WITHIN BALBOA VILLAGE WHEREAS, the seven -member Balboa Village Advisory Committee (BVAC) was established by the City Council to oversee the implementation of the Balboa Village Master Plan adopted in September 2012 and to provide recommendations on Balboa Village revitalization strategies; WHEREAS, Balboa Village is a mixed use area located on the Balboa Peninsula generally between Adams Street to the west, A Street to the east, Newport Harbor to the north, and the Pacific Ocean to the south. The area attracts summertime visitors and is need of revitalization to attract local residents and other visitors year-round, which will improve the economic vitality of the area; WHEREAS, Balboa Village restaurants are an attraction to the area, and they serve residents, visitors, and employees. Outdoor dining areas can improve the dining experience, contribute to a more pedestrian -oriented village, and improve the overall ambiance of the neighborhood; WHEREAS, on September 11, 2013, an Urban Land Institute Technical Assistance Panel (TAP) was held to discuss findings and create recommendations for Balboa Village. The TAP subsequently presented findings and provided a written report with recommendations, which included adding outdoor dining, especially in public spaces, to activate and revitalize Balboa Village; WHEREAS, due to Newport Beach Municipal Code (NBMC) requirements, applications for the addition of accessory outdoor dining to an existing eating and drinking establishment can be expensive and take several months to process; WHEREAS, at a noticed public hearing on June 10, 2015, the BVAC reviewed and provided comments on the outdoor dining program and directed staff to prepare a one-year pilot program to forward to the City Council for review; WHEREAS, on September 8, 2015, the City Council adopted Resolution No. 2015-69, which created an outdoor dining pilot program (Pilot Program) for a period of one year within Balboa Village; WHEREAS, on October 19, 2016, the BVAC reviewed the results of the year-long Pilot Program and recommended that it be extended for an additional year; and WHEREAS, the Pilot Program also has been well received by local business owners, residents, and visitors, and the City intends to continue the Pilot Program for a second year. City Council Resolution No. 2016 - Page 2 of 5 NOW, THEREFORE, the City Council of the City of Newport Beach, California, hereby resolves as follows: Section 1: The City Council of the City of Newport Beach (City) approves a Pilot Program for a period of one (1) year for Balboa Village, subject to the guidelines within Exhibit A, which is attached hereto and incorporated by reference. Unless extended, or terminated earlier, by the City Council this Pilot Program shall automatically expire without further action upon the passage of one (1) year. Section 2: The City Council waives the dining encroachment permit fee and related City fees for outdoor dining zoning clearance applications reviewed and approved under the Pilot Program. Section 3: The City Council suspends for the duration of the Pilot Program any NBMC requirement for a conditional use permit, minor use permit, or staff approval for substantial conformance to allow outdoor dining within Balboa Village. Section 4: The City Council finds the adoption of this resolution and the Pilot Program is exempt from the California Environmental Quality Act (CEQA) pursuant to Section 15301 (Existing Facilities) of the CEQA Guidelines, California Code of Regulations, Title 14, Chapter 3. The Pilot Program for outdoor dining involves minor improvements to existing eating and drinking establishments and has no potential to have a significant effect on the environment. Additionally, any future development application would be reviewed for compliance with CEQA requirements. Section 5: If any section, subsection, sentence, clause or phrase of this resolution is for any reason held to be invalid or unconstitutional, such decision shall not affect the validity or constitutionality of the remaining portions of this resolution. The City Council hereby declares that it would have passed this resolution and each section, subsection, sentence, clause or phrase hereof, irrespective of the fact that any one (1) or more sections, subsections, sentences, clauses or phrases be declared invalid or unconstitutional. Section 6: The recitals provided in this resolution are true and correct and are incorporated into the substantive portion of this resolution. Section 7: The Mayor shall sign and the City Clerk shall certify the vote adopting the passage of this resolution. ADOPTED this 22nd day of November, 2016. Diane B. Dixon, Mayor 6-5 City Council Resolution No. 2016 - Page 3 of 5 ATTEST: Leilani I. Brown, City Clerk Approvers as to Form: City Attor Office (4yt ) Aaron C. Harp City Attorney Attachment: Exhibit "A" -Balboa Village Outdoor Dining Guidelines • • City Council Resolution No. 2010- Paae 4 of 5 EXHIBIT "A" Balboa Village Outdoor Dining Pilot Program Guidelines A, A zoning clearance application shall be filed with the Community Development Director together with all information and materials specified by the Director. No fee shall be required for this application. B. For applications on public property, additional permits may be required by the Public Works Department, and shall be filed with the Public Works Director. No fee shall be required for a dining encroachment permit during the term of the Pilot Program. C. Eligibility requirements: 1. The property shall be located within a nonresidential zoning district within Balboa Village, which is defined as the area bounded by Adams Street to the west, A Street to the east, Newport Harbor to the north, and the Pacific Ocean to the south as depicted below. F "�J s a¢ 4 +ery�A CCSY f � Balboa Village Munaary Maeb-Use VO4KMI M Cen er6il Vdsl or-' n,N Public raoftres MuRgle R*sidano ai Tw&Un4 RmdenW qq ____ A +4r41us12J15 2. The use of the existing building or suite shall be an eating and drinking establishment. D. Review criteria: 1. The outdoor dining area is limited to 25 percent of the interior net public area. 2. The outdoor dining shall not open earlier than the interior of the eating and drinking establishment and shall close by 11:00 p.m. 3. The outdoor dining shall be designed to minimize impacts to sensitive noise receptors (e.g., hospitals, schools, and residential uses). 6-7 City Council Resolution No. 2016 - Page 5 of 5 4. The outdoor dining shall be designed to eliminate potential impacts related to glare, light, loitering, and noise. 5. Outdoor dining on public property shall comply with Chapter 13.18 (Use of Public Sidewalks for Outdoor Dining) and the standards of the Public Works Department, including, but not limited to, City Council Policy L-21 (Sidewalk Cafe Standards and Procedures). 6. Outdoor dining shall include appropriate barriers, if determined necessary, separating the outdoor dining areas and parking, pedestrian, and vehicular circulation areas. Barriers shall serve only to define the area and shall not constitute a permanent all-weather enclosure. 7. Physical elements (e.g., furniture, awnings, covers, umbrellas, etc.) shall be compatible with one another and with the overall character and design of the building. 8. At the end of the Pilot Program, the permitted outdoor dining areas may remain, however, renewal of annual encroachment permits and related fees shall be required. .: