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CITY OF
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FORN'P City Council Staff Report
February 11, 2020
Agenda Item No. 6
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, AICP, Principal Planner,
jmurillo@newportbeachca.gov
PHONE: 949-644-3209
TITLE: Ordinance No. 2020-4: Cottage Preservation (PA2019-181)
F-11:163 I Z7_T91 6
For City Council's consideration is the adoption of the Cottage Preservation ordinance. The
attached ordinance was introduced and considered at the January 28, 2020, City Council
meeting. The amendments to the Newport Beach Municipal Code (NBMC) Title 20
Planning and Zoning) and Title 15 (Building and Construction) will provide a voluntary
option for homeowners seeking to remodel but preserve traditional beach cottages.
Typically, cottages do not provide all the code -required parking and additions are limited to
10 percent of the existing floor area. The amendments would allow larger additions (up to
50 percent of the existing floor area or a maximum of 750 square feet) without providing
the minimum code -required parking when the project would result in the preservation of
the cottage character and building envelope that is representative of traditional
development patterns in the City.
RECOMMENDATION:
a) 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
b) Conduct second reading and adopt Ordinance No. 2020-4. An Ordinance of the City
Council of the City of Newport Beach, California, Adopting Code Amendment
No. CA2019-006 to Amend Title 15 Entitled "Building and Construction" and Title 20
Entitled "Planning and Zoning" of the City of Newport Beach Municipal Code Related
to Cottage Preservation (PA2019-181).
FUNDING REQUIREMENTS:
There is no fiscal impact related to this item.
6-1
Ordinance No. 2020-4: Cottage Preservation (PA2019-181)
February 11, 2020
Page 2
DISCUSSION
In consideration of the Planning Commission's recommendation and public comments
submitted in support of increasing the maximum allowable addition from 500 square feet
to 750 square feet for eligible cottage preservation projects, the City Council voted to
introduce Ordinance 2020-4 incorporating the 750 -square -foot maximum allowance.
Status in the Coastal Zone
Should the City Council adopt the proposed ordinance amending Title 15 and 20, the
cottage preservation incentives will only be permissible for developments located outside
the Coastal Zone. Upon approval of the proposed Local Coastal Program Amendment
LCP) No. LC2019-004 by the California Coastal Commission, staff will return to the City
Council with an ordinance adopting LC2019-004, thereby allowing the cottage
preservation incentives citywide. Staff estimates to return to City Council within the year.
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 any development
and therefore would not directly result in physical change to the environment.
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 — Ordinance No. 2020-4
6-2
ATTACHMENT A
ORDINANCE NO. 2020-4
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF
NEWPORT BEACH, CALIFORNIA, ADOPTING CODE
AMENDMENT NO. CA2019-006 TO AMEND TITLE 15
ENTITLED "BUILDING AND CONSTRUCTION" AND TITLE
20 ENTITLED "PLANNING AND ZONING" OF THE CITY OF
NEWPORT BEACH MUNICIPAL CODE RELATED TO
COTTAGE PRESERVATION (PA2019-181)
WHEREAS, amendment to Title 15 ("Building and Construction") and Title 20
Planning and Zoning") (collectively Title 15 and Title 20 "Code Amendment") of the City
of Newport Beach Municipal Code ("NBMC") is necessary to incentivize the preservation
of cottages;
WHEREAS, Section 102.7 (Remodel or renovation) of Section 15.02.060 of the
NBMC currently requires a dwelling to be subject to building code regulations as a new
structure when the valuation of the permit for a remodel or renovation exceeds fifty (50)
percent of the market value of the dwelling. As a result of this fifty (50) percent valuation
threshold, many small remodel and residential addition projects require substantial
improvements to comply with building code regulations as new construction. Due to this
increased scope of work and costs, many property owners decide that it is not financially
feasible to maintain their existing residential cottages and decide to demolish these
cottages. The current redevelopment trend is to reconstruct new single- or two-family
dwellings that maximize the building envelope, including three-level development, to
realize the maximum return on investment;
WHEREAS, authorizing the amendment to Title 15 of the NBMC would incentive
the preservation of cottages by removing the valuation threshold requiring building code
compliance as new construction and allowing reasonable size additions to existing
residential developments that preserve their cottage character and building envelope;
WHEREAS, authorizing the amendment to Title 20 of the NBMC would incentivize
the preservation of cottages by increasing the percentage of an allowed addition to a
nonconforming residential structure thereby eliminating a design constraint that has
resulted in property owners choosing to demolish older cottages and redevelop the site
with new, larger, three-level homes that maximize the allowable building envelope;
6-3
Ordinance No. 2020-4
Page 2 of 6
WHEREAS, a public hearing was held by the Planning Commission on October 17,
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 20.62 of the NBMC. Evidence, both written and oral, was
presented to, and considered by, the Planning Commission at this public hearing;
WHEREAS, at the conclusion of the October 17, 2019, hearing, the Planning
Commission voted to continue the item to allow staff additional time to revise certain
aspects of the amendments. Requested changes included clarifying the applicability,
prohibiting short-term rentals, and reducing the amount of expansion permitted,
WHEREAS, a public hearing was held by the Planning Commission on November
21, 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 Ralph M. Brown Act and Chapter 20.62 of the NBMC. Evidence, both
written and oral, was presented to, and considered by, the Planning Commission at this
public hearing;
WHEREAS, on November 21, 2019, the Planning Commission adopted
Resolution No. PC2019-034 by a majority vote (5 ayes, 1 nay), recommending to the City
Council approval of Code Amendment No. CA2019-006; and
WHEREAS, a public hearing was held by the City Council on January 28, 2020, 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
Ralph M. Brown Act and Chapter 20.62 of the NBMC. Evidence, both written and oral,
was presented to, and considered by, the City Council at this public hearing.
NOW, THEREFORE, the City Council of the City of Newport Beach ordains as
follows:
Section 1: Section 102.7 (Remodel or renovation) of Section 15.02.060 (added to
Section 102.7) of Title 15 (Administrative Code) of the Newport Beach Municipal Code is
hereby amended to read as follows:
15.02.060 Amendment to Section 102.7.
Section 102.7 is amended to read as follows:
Section 102.7 Remodel or renovation. If the valuation of the permit for the
remodel or renovation of a building is equal to or exceeds 50 percent of the
market value of such building, then the entire building shall comply with the
Code provisions for new construction.
d
Ordinance No. 2020-4
Page 3 of 6
Exceptions:
1. This provision does not apply for permit valuations less than $220,700;
2. This provision does not apply to projects that meet the criteria set forth in
Section 20.38.060(A)(3) and are not located in a Special Flood Hazard Area
per the latest revision of the Federal Insurance Rate Map.
3. The Chief Building Official is authorized to accept less than the
requirements for new construction if substantial conformance to the
requirements is found and the protection of life and property are maintained.
Section 2: Subsection A of Section 20.38.060 (Nonconforming Parking) of Title 20
Planning and Zoning) of the NBMC is hereby amended to read as follows:
20.38.060 Nonconforming Parking.
A. Residential. Where a residential structure or use is nonconforming only because it
does not conform to the off-street parking requirements of this Zoning Code, only the
following alterations may be allowed:
1. Number of Spaces. A residential development having less than the required
number of parking spaces per dwelling unit shall be allowed the following repairs,
alterations, and additions:
a. Repair and maintenance, interior alterations, and structural
alterations, as provided for in Section 20.38.040(A) through (F); and
b. Additions up to a maximum of ten (10) percent of the existing floor
area of the structure within a ten (10) year period as provided in Section
20.38.040(G).
2. Dimensions or Type of Parking Spaces. Residential developments that are
nonconforming because they do not have the required type of covered or enclosed
parking spaces or because amendments to this Zoning Code have changed the
dimensions of required parking spaces subsequent to the original construction of
the structure may be altered or expanded as follows:
a. All improvements and expansions allowed under subsection (A)(1)
of this section; or
b. Additions larger than those allowed under subsection (A)(1) of this
section may be allowed subject to the approval of a modification permit in
compliance with Section 20.52.050 (Modification Permits).
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Ordinance No. 2020-4
Page 4 of 6
3. Exception for Cottage Preservation. Notwithstanding the provisions of
subsections (A)(1)(b) and (A)(2)(b) of this section, additions of up to fifty (50)
percent of the existing floor area of the structure, but no more than 750 square
feet, are permitted for a single unit residential dwelling, duplex, or triplex when they
comply with the following criteria:
a. The floor area of any addition, together with the floor area of the
existing structure, shall not exceed the allowed maximum floor area for the
zoning district where the property is located;
b. The addition shall comply with all applicable development standards
and use regulations of this Zoning Code;
C. The square footage of residential parking area additions identified
below shall be excluded from the allowed expansion under subsection
A)(3), but shall be included as gross floor area;
Required Parking Maximum Excluded Area
One -car garage 200 square feet
Two -car garage 400 square feet
Three -car garage 600 square feet
d. The height of the residential structure shall not exceed the following,
regardless of roof pitch:
i. Front half of lot: single story with a maximum height of
sixteen (16) feet; and
ii. Rear half of lot: two story with a maximum height of twenty
four (24) feet;
e. The residential structure shall not include a third floor deck;
f. Dwellings within the residential development shall not be rented for
periods of less than thirty (30) days; and
Ordinance No. 2020-4
Page 5 of 6
g. Deed Restriction and Recordation Required. Prior to the issuance of
a building permit for a cottage preservation project, the property owner shall
record a deed restriction with the Orange County Recorder's Office, the
form and content of which is satisfactory to the City Attorney, agreeing to
maintain the property consistent with the limitations specified above for
cottage preservation and the restrictions on short-term lodging. The deed
restriction document shall notify future owners of the restriction. This deed
restriction shall remain in effect so long as the cottage preservation project
exists on the property.
Section 3: An amendment to the Local Coastal Program ("LCP") is also underway.
LCP Amendment No. LC2019-004 amending Section 21.38.060 (Nonconforming Parking)
of Title 21 of the Newport Beach Municipal Code shall not become effective for projects
located in the coastal zone for which the LCP is applicable until approval of the subject LCP
amendment by the California Coastal Commission and adoption, including any
modifications suggested by the California Coastal Commission, by resolution and/or
ordinance of the City Council of the City of Newport Beach.
Section 4: The recitals provided in this ordinance are true and correct and are
incorporated into the operative part of this ordinance.
Section 5: If any section, subsection, sentence, clause or phrase of this ordinance
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 ordinance. The City Council
hereby declares that it would have passed this ordinance, 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 City Council finds this action is exempt from environmental review
under California Environmental Quality Act ("CEQA") pursuant to 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").
This 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.
Section 7: Except as expressly modified in this ordinance, all other sections,
subsections, terms, clauses and phrases set forth in the NBMC shall remain unchanged
and shall be in full force and effect.
6-7
Ordinance No. 2020-4
Page 6 of 6
Section 8: The Mayor shall sign and the City Clerk shall attest to the passage of
this ordinance. The City Clerk shall cause the ordinance, or a summary thereof, to be
published pursuant to City Charter Section 414.
This ordinance was reintroduced at a regular meeting of the City Council of the
City of Newport Beach held on the 28th day of January, 2020, and adopted on the 11th
day of February, 2020, by the following vote, to -wit:
AYES:
IL4fAV&I
ABSENT:
WILL O'NEILL, MAYOR
ATTEST:
LEILANI I. BROWN, CITY CLERK
APPROVED AS TO FORM:
CITY ATTORNEY'S OFFICE
AA N C. HARP, CITY ATTORNEY