HomeMy WebLinkAbout20191008 City Council Staff ReportPORT
CITY OF
O
i NEWPORT BEACH
City Council Staff ReportiFORN
October 8, 2019
Agenda Item No. 12
TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
FROM: Seimone Jurjis, Community Development Director - 949-644-3232,
sjurjis@newportbeachca.gov
PREPARED BY: Jaime Murillo, Principal Planner, imurillo newportbeachca.gov
PHONE: 949-644-3209
TITLE: Resolution No. 2019-90: Code Amendment to Allow the Transfer of
Development Rights in the Coastal Zone (PA2019-154)
ABSTRACT:
For City Council's consideration is a Local Coastal Program Amendment (LCPA) to
include policy and regulations pertaining to the transfer of development rights.
Specifically, the proposed LCPA would: 1) include
allowing the transfers; and 2) provide regulations
Title 21) to include the allowance of transfers.
E
RECOMMENDATION:
a) Conduct a public hearing;
policy in the Coastal Land Use Plan
within the LCP Implementation Plan
b) Find this project exempt from the California Environmental Quality Act (CEQA)
pursuant to Section 21065 of CEQA and State CEQA Guidelines Sections 15060
c)(2), 15060 (c)(3), and 15378. The proposed action is also exempt pursuant to State
CEQA Guidelines Section 15061(b)(3) because it has no potential to have a
significant effect on the environment; and
c) Adopt Resolution No. 2019-90, A Resolution of the City Council of the City of Newport
Beach, California, Authorizing Submittal of Local Coastal Program Amendment
No. LC2019-003 to the California Coastal Commission to Amend Title 21 (Local
Coastal Program Implementation Plan) of the City of Newport Beach Municipal Code
and the City of Newport Beach Local Coastal Program Coastal Land Use Plan
Regulating the Transfer of Development Rights (PA2019-154).
FUNDING REQUIREMENTS:
There is no fiscal impact related to this item.
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Resolution No. 2019-90: Code Amendment to Allow the Transfer of Development Rights
in the Coastal Zone (PA2019-154)
October 8, 2019
Page 2
BACKGROUND:
The Newport Beach General Plan provides for the transfer of development rights from
one property to another in the coastal zone, subject to certain parameters and City
Council review. However, the recently certified Local Coastal Program (LCP) does not
contain any provisions for a potential transfer in the coastal zone and as a result, General
Plan policy allowing transfers in the coastal zone (Attachment B) cannot be implemented
without the proposed amendment.
City Council Policy K-1 (General Plan and Local Coastal Program) provides that a City -
sponsored amendment to the certified LCP shall be initiated by the City Council. The
subject amendment was initiated by the City Council on April 23, 2019 (Attachment C),
as one of six proposed amendments under Local Coastal Program Amendment. No.
LC2019-001 (PA2019-055).
The Planning Commission considered proposed Local Coastal Program Amendment No.
LC2019-003 for the transfer of development rights on August 22, 2019. At the conclusion
of the hearing, the Planning Commission unanimously voted 7-0 to recommend approval
of the proposed amendments to the City Council (Attachment D).
DISCUSSION:
What is a Transfer of Development Rights?
Transfer of Development Rights (TDR) is a method for controlling land use for more
effective growth management and conservation. TDRs may be utilized to direct new
development away from sensitive areas, including parcels that may contain historic
structures or other significant resources. Through a TDR program, property owners can
authorize unused development rights from their sites to other landowners, who can then
increase the density or intensity of development. Property owners may also transfer
unused development rights to other locations under their ownership.
How does Newport Beach currently regulate TDRs (with the exception of Newport
Center) ?
General Plan Land Use Element Policy LU 4.3 (Transfer of Development Rights)
establishes the City's current TDR program in Newport Beach (Attachment E), with the
exception of Newport Center. NBMC Chapter 20.46 (Transfer of Development Rights)
within the Zoning Code implements LU 4.3 and provides the procedures for transferring
development rights from a property owner to one or more other properties (Attachment
F).
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Resolution No. 2019-90: Code Amendment to Allow the Transfer of Development Rights
in the Coastal Zone (PA2019-154)
October 8, 2019
Page 3
In summary, the current procedures allow for transfers within the same General Plan
Statistical Area. Statistical Areas are geographical areas in the General Plan used to track
density, development capacity and amendments pursuant to Charter Section 423. For
example, a transfer of intensity may be permitted from one property in Balboa Village
Statistical Area D3) to another property in the same area, but would not be permitted to
be transferred to another property in McFadden Square area (Statistical Area 135). A
Statistical Area map is included as Attachment G for reference.
Pursuant to the General Plan and existing zoning regulations, the reduced
density/intensity on the donor site must provide some public benefit to the City.
Furthermore, the increased growth transferred to the receiver site must complement and
be in scale with surrounding development, result in a project that complies with
community character and design policies contained in the General Plan, and does not
materially degrade local traffic conditions and environmental quality. No additional
findings, such as public benefits, are required within Newport Center.
The review authority for TDRs is the City Council, with a recommendation from the
Planning Commission.
Why is an LCP Amendment needed?
Although TDRs are an established program in the City, TDR provisions were not included
in the adopted LCP. There is ambiguity as to whether or not a TDR can be processed in
the coastal zone in light of the absence of TDR provisions in the LCP. Therefore, to
eliminate this ambiguity and provide clear authority to allow TDRs in the coastal zone,
staff is recommending that a new policy (Policy 2.1.1-2) be added to the Coastal Land
Use Plan and a new implementing chapter (Chapter 21.46 - Transfer of Development
Rights) be added to the Title 21 (LCP Implementation Plan) of the Municipal Code. The
proposed policy and code language is included as Exhibit "A" of Attachment A. The
proposed Chapter 21.46 will be consistent with procedures and findings for TDRs as
found in the current Chapter 20.46 of Title 20 (Zoning Code) and General Plan Policies
LU 4.3 and LU 6.14.3. An additional finding has been added to ensure that the TDR is
consistent with the Coastal Land Use Plan.
Allowing for TDRs in the coastal zone may further the policies in the Coastal Land Use
Plan and provide potential benefits and incentives to coastal resource protection and
public access as follows:
Preservation of historic buildings or buildings with special character -defining
features that contribute to the visual qualities of the villages in the coastal zone,
such as in Balboa Village or McFadden Square, which are popular visitor
destination points;
Provisions for and/or protections for public view corridors and public access;
Incentivize the dedication or use of private parking lots for public use and access
to the coast;
12-3
Resolution No. 2019-90: Code Amendment to Allow the Transfer of Development Rights
in the Coastal Zone (PA2019-154)
October 8, 2019
Page 4
Preservation of marine -dependent uses and industries, such as shipyards and
boat storage facilities; and
Incentivize planned retreat and dedication of open space as an adaptive strategy
for future coastal hazards, such as sea level rise.
This non-exclusive list of potential benefits are examples and would be dependent upon
the specifics of a particular request.
The process for review of a TDR request would be through a Coastal Development Permit
within the City Council's review authority and a public hearing would be required.
ENVIRONMENTAL REVIEW:
The action proposed herein is not a project subject to the California Environmental Quality
Act (CEQA) in accordance with Section 21065 of CEQA and State CEQA Guidelines
Sections 15060 (c)(2), 15060 (c)(3), and 15378. The proposed action is also exempt from
the CEQA pursuant to State CEQA Guidelines Section 15061(b)(3), the general rule that
CEQA applies only to projects which have the potential for causing a significant effect on
the environment. Lastly, pursuant to CEQA Guidelines Section 15265(a)(1), local
governments are exempt from the requirements of CEQA in connection with the adoption
of a Local Coastal Program. The Amendment itself does not authorize development that
would directly result in physical change to the environment.
NOTICING:
Pursuant to Section 13515 of the California Code of Regulations, a review draft of the
LCP Amendment was made available and a Notice of Availability was distributed on
August 8, 2019, to all persons and agencies on the Notice of Availability mailing list. In
addition, notice of this Amendment was published in the Daily Pilot as an eighth -page
advertisement, consistent with the provisions of the Municipal Code. The item also has
been noticed according to the Brown Act (72 hours in advance of the meeting at which
the City Council considers the item).
ATTACHMENTS:
Attachment A —Resolution No. 2019-90
Attachment B Coastal Zone Map
Attachment C City Council Resolution No. 2019-41 Initiating Amendment
Attachment D — Draft Planning Commission Minutes of August 22, 2019
Attachment E — General Plan Policies LU 4.3 and 6.14.3
Attachment F — NBMC Chapter 20.46 (Transfer of Development Rights)
Attachment G General Plan Statistical Area Map
12-4
ATTACHMENT A
RESOLUTION NO. 2019- 90
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
NEWPORT BEACH, CALIFORNIA, AUTHORIZING
SUBMITTAL OF LOCAL COASTAL PROGRAM
AMENDMENT NO. LC2019-003 TO THE CALIFORNIA
COASTAL COMMISSION TO AMEND TITLE 21 (LOCAL
COASTAL PROGRAM IMPLEMENTATION PLAN) OF THE
CITY OF NEWPORT BEACH MUNICIPAL CODE AND THE
CITY OF NEWPORT BEACH LOCAL COASTAL PROGRAM
COASTAL LAND USE PLAN REGULATING THE
TRANSFER OF DEVELOPMENT RIGHTS (PA2019-154)
WHEREAS, Section 30500 of the California Public Resources Code requires each
county and city to prepare a local coastal program ("LCP") for that portion of the coastal
zone within its jurisdiction;
WHEREAS, in 2005 the City adopted the City of Newport Beach Local Coastal
Program Coastal Land Use Plan ("Local Coastal Program") as amended from time to time
including most recently on January 22, 2019, via Resolution No. 2019-8;
WHEREAS, the California Coastal Commission effectively certified the City of
Newport Beach's ("City") Local Coastal Implementation Plan on January 13, 2017, and
the City added Title 21 (Local Coastal Program Implementation Plan) ("Title 21") to the
City of Newport Beach Municipal Code ("NBMC") whereby the City assumed coastal
development permit -issuing authority on January 30, 2017;
WHEREAS, an amendment to Title 21 and the City of Newport Beach Local
Coastal Program is necessary to allow for the transfer of development rights consistent
with General Plan Land Use Element Policies LU 4.3 and 6.14.3 and implementing
regulations of Chapter 20.46 of Title 20 ("Zoning Code") of the NBMC;
WHEREAS, authorizing the amendment to Title 21 (Local Coastal Program
Implementation Plan) of the NBMC and the City of Newport Beach Local Coastal Program
regulating the transfer of development rights in the coastal zone ("LCP Amendments")
may further the policies in the Local Coastal Program and provide benefits and incentives
to coastal resource protection including:
The preservation of historic buildings or buildings with special character -defining
features that contribute to the visual qualities of the villages in the coastal zone,
such as in Balboa Village or McFadden Square, which are popular visitor
destination points,
12-5
Resolution No. 2019 -
Page 2 of 4
The provision for and/or protection of public view corridors and public access,
Incentivizing the dedication or use of private parking lots for public use and access
to the coast,
The preservation of marine -dependent uses and industries such as shipyards and
boat storage facilities, and
Incentivizing planned retreat and dedication of open space as an adaptive strategy
for future coastal hazards such as sea level rise;
WHEREAS, a public hearing was held by the Planning Commission on August 22,
2019, in the Council Chambers located at 100 Civic Center Drive, Newport Beach,
California. A notice of time, place and purpose of the public hearing was given in
accordance with the California Government Code Section 54950 et seq. the ("Ralph M.
Brown Act") and Chapter 21.62 of the NBMC. Evidence, both written and oral, was
presented to, and considered by, the Planning Commission at this public hearing;
WHEREAS, on August 22, 2019, the Planning Commission adopted Resolution
No. PC2019-026 by a unanimous vote (7 ayes, 0 nays), recommending approval of Local
Coastal Program Amendment No. LC2019-003 to the City Council;
WHEREAS, a public hearing was held by the City Council on October 8, 2019, in the
Council Chambers located at 100 Civic Center Drive, Newport Beach, California. A notice
of time, place and purpose of the public hearing was given in accordance with the
California Government Code Section 54950 et seq. the ("Ralph M. Brown Act") and
Chapter 21.62 of the NBMC. Evidence, both written and oral, was presented to, and
considered by, the City Council at this public hearing; and
WHEREAS, pursuant to Section 13515 of the California Code of Regulations Title
14, Division 5.5, Chapter 8, Subchapter 2, Article 5 ("Public Participation"), drafts of the LCP
Amendments were made available and a Notice of Availability was distributed on August 8,
2019 at least six (6) weeks prior to the City Council public hearing.
NOW, THEREFORE, the City Council of the City of Newport Beach resolves as
follows..
Section 1: The City Council does hereby authorize City staff to submit Local
Coastal Program Amendment No. LC2019-003, adding Chapter 21.46 (Transfer of
Development Rights) to Title 21 (Local Coastal Program Implementation Plan) of the
Newport Beach Municipal Code and amending the City of Newport Beach Local Coastal
Program Coastal Land Use Plan, as attached in Exhibit A, and incorporated herein by
reference, to the California Coastal Commission for review and approval.
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Resolution No. 2019 -
Page 3 of 4
Section 2: Local Coastal Program Amendment No. LC2019-003 shall not become
effective until approved and adopted by the California Coastal Commission, including any
modifications suggested by the California Coastal Commission, by resolution(s) and/or
ordinance(s) of the City Council of the City of Newport Beach.
Section 3: The Local Coastal Program including the proposed amendment will be
carried out in full conformity with the California Coastal Act codified in Public Resources
Code Section 30000 et seq.
Section 4: The recitals provided in this resolution are true and correct and are
incorporated into the operative part of this resolution.
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 or more sections,
subsections, sentences, clauses or phrases be declared invalid or unconstitutional.
Section 6: The action proposed herein is not a project subject to the California
Environmental Quality Act ("CEQA") in accordance with Section 21065 of the California
Public Resources Code and Sections 15060 (c)(2), 15060 (c)(3), and 15378 of the
California Code of Regulations Title 14, Division 6, Chapter 3 ("CEQA Guidelines"). The
proposed action is also exempt pursuant to CEQA Guidelines Section 15061(b)(3), the
general rule that CEQA applies only to projects which have the potential for causing a
significant effect on the environment. Lastly, pursuant to CEQA Guidelines Section
15265(a)(1), local governments are exempt from the requirements of CEQA in connection
with the adoption of a Local Coastal Program. The Amendment itself does not authorize
development that would directly result in physical change to the environment.
12-7
Resolution No. 2019 -
Page 4 of 4
Section 7: This resolution shall take effect immediately upon its adoption by the
City Council, and the City Clerk shall certify the vote adopting the resolution.
ADOPTED this 8th day of October, 2019.
DIANE B_ DIXON
Mayor
ATTEST:
Leilani I. Brown
City Clerk
APPROVED AS TO FORM:
CITY ATTORNEY'S OFFICE
lzy2zs—
Aaro . Harp
City tt rney
Attachment: Exhibit A - Proposed Amendment to the City of Newport Beach
Local Coastal Program Related to Transfer of Development Rights
LC2019-003)
12-8
EXHIBIT "A"
Proposed Amendment to the City of Newport Beach Local Coastal Program
Related to Transfer of Development Rights (LC2019-003)
Section 1: Amending Chapter 2.0 (Land Use and Development) of the Coastal Land
Use Plan to add Policy 2.1.1-2 as follows, with all other provisions of the Coastal Land Use
Plan remaining unchanged:
2.1.1-2 Permit the transfer of development rights from a property to one or more
other properties when the transfer does not result in adverse traffic impacts, results in
development that is compatible with surrounding development, and is implemented in
a manner consistent with the LCP and applicable policies from Chapter 3 of the
Coastal Act.
Section 2: Amending Title 21 (Local Coastal Program Implementation Plan) of the
Newport Beach Municipal Code to include the addition of Chapter 21.46 (Transfer of
Development Rights) as follows:
Chapter 21.46
TRANSFER OF DEVELOPMENT RIGHTS
Sections:
21.46.010 Purpose.
21.46.020 Applicability_
21.46.030 General Requirements.
21.46.040 Procedures.
21.46.050 Findings.
21.46.010 Purpose.
This chapter provides procedures for the transfer of development rights from a property
to one or more other properties.
21.46.020 Applicability.
The provisions of this chapter shall apply within all coastal zoning districts.
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21.46.030 General Requirements.
A. Floor Area for a Donor Site. The maximum gross floor area allowed on a donor site
shall be reduced by the amount of the transfer of development intensity to the receiving
site.
B. Residential Uses. When the transfer of development rights involve residential units,
the transfer shall be on a unit -for -unit basis.
21.46.040 Procedures.
The following procedure shall be used for the transfer of development rights:
A. Application. The applicant shall submit a Coastal Development Permit application to
the Department that identifies the quantity of development (e.g., residential units, floor
area, hotel rooms, theater seats, etc.) to be relocated and the donor and receiving site(s).
If the requested transfer includes the conversion of nonresidential uses, the application
shall also identify the quantity of entitlement, by use category, before and after the
transfer. The Coastal Development Permit shall be processed in accordance with
Chapters 21.50 and 21.52.
B. Traffic Analysis. The Traffic Engineer shall perform a traffic analysis to determine the
total number of p.m. peak hour trips that would be generated by development allowed
with and without the transfer. Trip generation rates shall be based on standard trip
generation values in the current version of the Institute of Traffic Engineers "Trip
Generation," unless the Traffic Engineer determines that other rates are more valid for
the uses involved in the transfer.
C. Detailed Traffic Analysis. Depending on the location of the donor and receiving
site(s), the Traffic Engineer may determine that a more detailed traffic analysis is required
to determine whether adverse traffic impacts will result from the transfer. This analysis
shall demonstrate whether allowed development, with and without the transfer, would
either cause or make worse an unsatisfactory level of service at any primary intersections
for which there is no feasible mitigation.
D. Land Use Intensity Analysis. If the transfer request involves the conversion of uses,
the Director shall perform a land use intensity analysis to determine the floor area that
could be developed with and without the transfer.
E. Council to Consider. Applications for transfer of development rights shall be
considered by the Commission with a recommendation to the Council. The Council may
approve a transfer of development rights only if it makes the findings set forth in Section
21.46.050.
12-10
F. Legal Assurances. A covenant or other legally binding agreement approved by the
City Attorney shall be recorded against the donor site assuring that all of the requirements
of the transfer of development rights will be met by the current and future property owners.
21.46.050 Findings.
When approving a coastal development permit authorizing a transfer of development
rights in Newport Center, the Council shall only make findings set forth in (B) and (E)
below. In all other areas, the Council shall make all of the following findings:
A. The reduced density/intensity on the donor site provides benefits to the City, for
example:
1. The provision of extraordinary open space, public view corridor(s), increased
parking, or other amenities;
2. Preservation of a historic building or property, or natural resources;
3. Improvement of the area's scale and development character;
4. Reduction of local vehicle trips and traffic congestion; and
5. More efficient use of land.
B. The transfer of development rights will not result in any adverse traffic impacts and
would not result in greater intensity than development allowed without the transfer, and
the proposed uses and physical improvements would not lend themselves to conversion
to higher traffic generating uses,
C. The increased development potential transferred to the receiving site will be
compatible and in scale with surrounding development and will not create abrupt changes
in scale or character;
D. The receiving site is physically suitable for the development proposed taking into
consideration adjacent circulation patterns, protection of significant public views and open
space, and site characteristics, including any slopes, submerged areas, and sensitive
resources; and
E. The transfer of development rights decision is consistent with the Coastal Land Use
Plan and does not negatively impact public access, public views, or sensitive coastal
resources.
12-11
Section 3: Amending Section 21.80.010 (Area Maps) of Title 21 (Local Coastal
Program Implementation Plan) of the Newport Beach Municipal Code to include Area
Map A-15 — Newport Center as follows:
12-12
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12-13
Attachment B
Coastal Zone Map
12-14
100
Legend
Local Coastal Plan Boundary
City Boundary
Coastal Zone Area
Coastal Zone
City of Newport Beach, California
Coastal_Zone_Featured_Areas.mA November/2008
Newport Coast Se
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MC
00.225 0.45 0.9 Mlles
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12-15
Attachment C
City Council Resolution No. 2019-41
Initiating Amendment
12-16
RESOLUTION NO. 2019-41
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
NEWPORT BEACH, CALIFORNIA, INITIATING
AMENDMENTS TO TITLE 20 ENTITLED "PLANNING AND
ZONING" AND TITLE 21 ENTITLED "LOCAL COASTAL
PROGRAM IMPLEMENTATION PLAN" OF THE CITY OF
NEWPORT BEACH MUNICIPAL CODE RELATED TO
MINIMUM LOT SIZE AND DIMENSIONS, OVERLAY
ZONING DISTRICTS, PUBLIC HEARING NOTIFICATION,
CORRECTIONS TO SETBACK MAPS AND THE
TRANSFER OF DEVELOPMENT RIGHTS (PA2019-055)
WHEREAS, Newport Beach Municipal Code ("NBMC") Section 20.66.020
provides that the City Council of the City of Newport Beach ("City Council") may initiate
an amendment to the Zoning Code with or without a recommendation from the Planning
Commission;
WHEREAS, City Council Policy K-1 entitled "General Plan and Local Coastal
Program" requires amendments to the City of Newport Beach certified Local Coastal
Program codified in NBMC Title 21 to be initiated by the City Council; and
WHEREAS, the City Council desires to amend NBMC Title 20 and Title 21 to
modify regulations relating to minimum lot size and dimensions, overlay zoning districts,
public hearing notification, corrections to setback maps, and the transfer of
development rights.
NOW, THEREFORE, the City Council of the City of Newport Beach resolves as
follows:
Section 1: The City Council hereby initiates amendments to NBMC Title 20
Planning and Zoning" and Title 21 "Local Coastal Program Implementation Plan" to
modify regulations relating to minimum lot size and dimensions, overlay zoning districts,
public hearing notification, corrections to setback maps, and the transfer of
development rights.
Section 2: 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 or
more sections, subsections, sentences, clauses or phrases be declared invalid or
unconstitutional.
12-17
Resolution No. 2019-41
Page 2 of 2
Section 3: The recitals provided in this resolution are true and correct and are
incorporated into the substantive portion of this resolution.
Section 4: The City Council finds the adoption of this resolution is exempt from
environmental review under the California Environmental Quality Act ("CEQA") pursuant
to Section 15262 of the CEQA Guidelines, California Code of Regulations, Title 14,
Division 6, Chapter 3, because it involves feasibility or planning studies for possible
future actions which the agency, board, or commission has not approved or adopted.
Section 5: This resolution shall take effect immediately upon its adoption by
the City Council, and the City Clerk shall certify the vote adopting this resolution.
ADOPTED this 23rd day of April, 2019.
ATTEST:
NO---
Leilani I. Brown
City Clerk
APPROVED AS TO FORM:
CITY ATTORNEY'S OFFICE
S: -=L
Dia a B. Dixon
Mayor
14 o [A v m rvie24, /1
j,.Aar n C. Harp
City Attorney
12-18
STATE OF CALIFORNIA }
COUNTY OF ORANGE } ss.
CITY OF NEWPORT BEACH }
I, Leilani I. Brown, City Clerk of the City of Newport Beach, California, do hereby certify that the
whole number of members of the City Council is seven; the foregoing resolution, being Resolution
No. 2019-41 was duly introduced before and adopted by the City Council of said City at a regular meeting
of said Council held on the 23rd day of April, 2019; and the same was so passed and adopted by the
following vote, to wit:
AYES: Council Member Brad Avery, Council Member Joy Brenner, Council Member Duffy
Duffield, Council Member Jeff Herdman, Council Member Kevin Muldoon, Mayor
Diane Dixon
NAYS: None
RECUSED: Mayor Pro Tem Will O'Neill
IN WITNESS WHEREOF, I have hereunto subscribed my name and affixed the official seal of
said City this 24th day of April, 2019.
Leilani I. Brown
City Clerk
Newport Beach, California
12-19
Attachment D
August 22, 2019, Planning Commission
Minutes
12-20
Planning Commission Minutes
August 22, 2019
ITEM NO. 5 TRANSFER OF DEVELOPMENT RIGHTS LCP AMENDMENT (PA2019-154)
Site Location: Citywide
Summary:
Local Coastal Program Amendment (LCPA) to include policy and regulations pertaining to the transfer
of development rights. Specifically, the proposed LCPA would: 1) include a policy in the Coastal Land
Use Plan allowing transfers; and 2) provide regulations within the LCP Implementation Plan (Newport
Beach Municipal Code Title 21).
Recommended Action:
1. Conduct a public hearing;
2. Find this project exempt from the California Environmental Quality Act (CEQA) pursuant to Section
21065 of CEQA and State CEQA Guidelines Sections 15060 (c)(2), 15060 (c)(3), and 15378. The
proposed action is also exempt pursuant to State CEQA Guidelines Section 15061(b)(3) because
it has no potential to have a significant effect on the environment; and
3. Adopt Resolution No. PC2019-026 recommending the City Council authorize staff to submit
Local Coastal Program Amendment No. LC2019-003 to the California Coastal Commission.
Principal Planner Jaime Murillo reported the City Council initiated the item in April 2019 to include the transfer
of development rights (TDR) policy and regulations in the coastal zone. TDR is a common land use tool for
growth management and conservation. TDR allows the movement or transfer of development opportunities
from one property, a donor site, to another property, a receiver site. TDR may provide an incentive for a
property owner to preserve an historic building or a sensitive site. TDR is regulated under General Plan Policy
LU 4.3, which allows the transfer of development and emphasizes that a public benefit should result from the
transfer. Development on the receiving site should be within scale and compatible with the community
character and should not result in traffic impacts to the area. Zoning Code Chapter 20.46 implements Policy
LU 4.3. The City Council with a recommendation from the Planning Commission is the review authority for
TDR in the City. Findings have to be made consistent with the goals of Policy LU 4.3. Prior to adoption of the
LCP, TDR was permitted citywide including the coastal zone through the existing General Plan and Zoning
Code policies. The recently certified LCP does not include provisions for TDR; therefore, the proposed
amendment is needed. The amendment would add Policy 2.1.1-2 to the Coastal Land Use Plan and Chapter
21.45 to the Implementation Plan. Additional findings for a coastal development permit for a TDR are consistent
with the existing Zoning Code findings, and include compliance with the City's Coastal Land Use Plan policies,
and that the resulting development shall not impact public access, views, and coastal resources. TDR for
Newport Center is governed by General Plan Policy LU 6.14.3. Policy LU 6.14.3 does not include a specific
requirement for a public benefit or compatibility of scale. Earlier in the day, staff provided the Planning
Commission with a revised resolution clarifying findings needed for TDR in Newport Center, consistent with
Policy LU 6.14.3 . Staff recommends adoption of the revised resolution. If approved by the City Council, staff
will submit the proposed amendment to the California Coastal Commission for review and approval. Upon
approval by the Coastal Commission, staff will present the amendment to the City Council for adoption.
In response to Commissioner Rosene's inquiries, Principal Planner Murillo advised that TDR may occur within
the same statistical area only. Many of the commercial properties in Mariners' Mile are zoned for mixed use,
which requires a commercial component on the ground floor. Many property owners are having difficulty
developing a mixed-use project that provides the minimum commercial component and required parking. Mr.
Matsler's letter recommends eliminating the requirement for ground -floor commercial uses and allowing 100 -
percent standalone residential development. That recommendation is not a part of the agenda item.
In reply to Chair Koetting's question, Principal Planner Murillo indicated the statistical area restriction is specific
to the City of Newport Beach.
In answer to Vice Chair Weigand's question, Principal Planner Murillo explained that the Planning Commission
recommends the City Council approve or deny the amendment, and the Council will review the amendment
and consider the Planning Commission's recommendation. The Council could direct the Planning Commission
to consider Mr. Matsler's recommendation.
12-21
Planning Commission Minutes
August 22, 2019
Chair Koetting opened the public hearing.
Jim Mosher did not believe the proposed amendment contains the statistical area restriction. The narrative of
the Coastal Land Use Plan should be amended to reflect the proposed policy. The Implementation Plan does
not reference protections or enhancements of the LCP. He did not believe the Coastal Commission would
approve the proposed amendment.
Chair Koetting closed the public hearing.
Principal Planner Murillo explained that the statistical area limitation is contained in the General Plan and the
Zoning Code. Statistical areas exist in the General Plan only, not the LCP. Staff attempts to maintain
consistency in regulations between Title 20 and Title 21.
Motion made by Vice Chair Weigand and seconded by Commissioner Rosene to adopt Resolution No.
PC2019-026 recommending the City Council authorize staff to submit Local Coastal Program Amendment
No. LC2019-003 to the California Coastal Commission.
AYES: Koetting, Weigand, Lowrey, Ellmore, Klaustermeier, Kleiman, Rosene
NOES:
RECUSED:
ABSENT:
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Attachment E
General Plan Policies LU 4.3 and 6.14.3
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LU 4.3 Transfer of Development Rights
Permit the transfer of development rights from a property to one or more other properties when:
a. The donor and receiver sites are within the same Statistical Area.
b. The reduced density/intensity on the donor site provides benefits to the City such as, but not
limited to, the (1) provision of extraordinary open space, public visual corridor(s), parking or
other amenities; (2) preservation of a historic building or property or natural landscapes; (3)
improvement of the area's scale and development character; (4) consolidation of lots to
achieve a better architectural design than could be achieved without lot consolidation; and/or
5) reduction of local vehicle trips and traffic congestion;
c. The increment of growth transferred to the receiver site complements and is in scale with
surrounding development, complies with community character and design policies contained
in this Plan, and does not materially degrade local traffic conditions and environmental quality.
d. Transfer of Development Rights in Newport Center is governed by Policy 6.14.3 (Imp 2.1, 3. 1,
0.2)
LU 6.14.3 Transfers of Development Rights
Development rights may be transferred within Newport Center, subject to the approval of the City
with the finding that the transfer is consistent with the intent of the General Plan and that the transfer
will not result in any adverse traffic impacts. (Imp 2.1)
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Attachment F
NBMC Chapter 20.46 (Transfer of
Development Rights)
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Chapter 20.46 TRANSFER OF DEVELOPMENT RIGHTS
Chapter 20.46
TRANSFER OF DEVELOPMENT RIGHTS
Sections:
20.46.010 Purpose.
20.46.020 Applicability.
20.46.030 General Requirements.
20.46.040 Procedures.
20.46.050 Findings.
20.46.010 Purpose.
This chapter provides procedures for the transfer of development rights from a property to one or
more other properties. (Ord. 2010-21 § 1 (Exh. A)(part), 2010)
Page 1 of 3
20.46.020 Applicability.
The provisions of this chapter shall apply within all zoning districts. (Ord. 2010-21 § 1 (Exh. A)(part),
2010)
20.46.030 General Requirements.
A. Location. The donor and receiver sites shall be located within the same statistical area as
identified in the Land Use Element of the General Plan.
B. Floor Area for a Donor Site. The maximum gross floor area allowed on a donor site shall be
reduced by the amount of the transfer of development intensity to the receiver site.
C. Residential Uses. When the transfer of development rights involves residential units, the transfer
shall be on a unit for unit basis. (Ord. 2010-21 § 1 (Exh. A)(part), 2010)
20.46.040 Procedures.
11 11.......... ......
The following procedure shall be used for the transfer of development rights:
A. Application. The applicant shall submit an application to the Department that identifies the
quantity of entitlement (e.g., floor area, hotel rooms, theater seats, etc.) to be relocated and the
sending and receiving sites. If the requested transfer includes the conversion of nonresidential uses,
the application shall also identify the quantity of entitlement, by use category, before and after the
transfer.
B. Traffic Analysis. The Traffic Engineer shall perform a traffic analysis to determine the total
number of p.m. peak hour trips that would be generated by development allowed with and without the
transfer. Trip generation rates shall be based on standard trip generation values in the current version
of ITE's "Trip Generation," unless the Traffic Engineer determines that other rates are more valid for
the uses involved in the transfer.
C. Detailed Traffic Analysis. Depending on the location of the sending and receiving sites, the
Traffic Engineer may determine that a more detailed traffic analysis is required to determine whether
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Chapter 20.46 TRANSFER OF DEVELOPMENT RIGHTS Page 2 of 3
adverse traffic impacts will result from the transfer. This analysis shall demonstrate whether allowed
development, with and without the transfer, would either cause or make worse an unsatisfactory level
of service at any primary intersections for which there is no feasible mitigation. This analysis shall be
consistent with the definitions and procedures contained in Chapter 15.40 (Traffic Phasing
Ordinance), except that "unsatisfactory level of service" shall be as specified in the General Plan.
D. Land Use Intensity Analysis. If the transfer request involves the conversion of uses, the Director
shall perform a land use intensity analysis to determine the floor area that could be developed with
and without the transfer. For purposes of this analysis, theater use shall be allocated fifteen (15)
square feet per seat. Hotel use shall be allocated the number of square feet per room at which it is
included in the General Plan. When the General Plan does not specify intensity for hotel rooms, it
shall be as determined by the Director.
E. Council to Consider. Applications for transfer of development rights shall be considered by the
Commission with a recommendation to the Council. The Council may approve a transfer of
development rights only if it makes all of the findings in Section 20.46.050.
F. Legal Assurances. A covenant or other legally binding agreement approved by the City Attorney
shall be recorded against the donor site assuring that all of the requirements of the transfer of
development rights will be met by the current and future property owners. (Ord. 2010-21 § 1 (Exh. A)
part), 2010)
20.46.050 Findings.
When approving a transfer of development intensity the Council shall make all of the following
findings:
A. The reduced density/intensity on the donor site provides benefits to the City, for example:
1. The provision of extraordinary open space, public view corridor(s), increased parking, or
other amenities;
2. Preservation of an historic building or property, or natural resources;
3. Improvement of the area's scale and development character;
4. Reduction of local vehicle trips and traffic congestion; and
5. More efficient use of land.
B. The transfer of development rights will not result in any adverse traffic impacts and would not
result in greater intensity than development allowed without the transfer and the proposed uses and
physical improvements would not lend themselves to conversion to higher traffic generating uses;
C. The increased development potential transferred to the receiver site will be compatible and in
scale with surrounding development and will not create abrupt changes in scale or character; and
D. The receiver site is physically suitable for the development proposed taking into consideration
adjacent circulation patterns, protection of significant public views and open space, and site
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Chapter 20.46 TRANSFER OF DEVELOPMENT RIGHTS Page 3 of 3
characteristics, including any slopes, submerged areas, and sensitive resources. (Ord. 2010-21 § 1
Exh. A)(part), 2010)
The Newport Beach Municipal Code is current through
Ordinance 2019-10, passed June 25, 2019.
Disclaimer: The City Clerk's Office has the official version of the
Newport Beach Municipal Code. Users should contact the City
Clerk's Office for ordinances passed subsequent to the ordinance
cited above.
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Attachment G
General Plan Statistical Area Map
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LU3_ Statistical_Area_Map.mxd March 19, 2013
ITY of NEWPORT BEAC
GENERAL PLAN
Figure LU3
STATISTICAL AREA
MAP
4k4 City of Newport Beach
Boundary
Statistical Area Boundary
E I P
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