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ORD 495 ORDINANCE NO. 495 AN ORDINANCE OF THE CITY OF RANCHO PALOS VERDES AMENDING CHAPTER 17.11 (AFFORDABLE HOUSING) AND CHAPTER 17.96 (DEFINITIONS) OF THE CITY'S MUNICIPAL CODE TO CONFORM TO STATE DENSITY BONUS LAW. WHEREAS, Chapter 17.11 of Title 17 of the Rancho Palos Verdes Municipal Code (the "Municipal Code") sets forth various procedures and regulations regarding provision of affordable housing within the City; and WHEREAS, certain provisions of Government Code Section 65915 that pertain to density bonuses, incentives, and concessions provided to developers for the production of affordable housing have been revised by the state legislature by adoption of Assembly Bill 2280; and WHEREAS, Government Code Section 65915(a) stipulates that "All cities . . . shall adopt an ordinance that specifies how compliance with [state density bonus requirements] will be implemented;" and WHEREAS, it is necessary to amend the City of Rancho Palos Verdes' existing density bonus provisions set forth in Chapter 17.11 of Title 17 of the Municipal Code and certain definitions as set forth in Chapter 17.96 of Title 17 of the Municipal Code (collectively, the "Amendments") to conform with state law; and WHEREAS, on May 11, 2009, notice of a public hearing on the proposed amendments to Chapters 17.11 and 17.96 of Title 17 of the Municipal Code was published in the Palos Verdes Peninsula News; and WHEREAS, after notice issued pursuant to the provisions of the Rancho Palos Verdes Municipal Code,.the Planning Commission conducted a public hearing on June 9, 2009, at which time all interested parties were given an opportunity to be heard and present evidence regarding said Amendments as set forth in the Planning Commission Staff Report of that date; and WHEREAS, the Planning Commission reviewed and considered the proposed code amendments to Title 17 and adopted P.C. Resolution No. 2009-26 forwarding its recommendations to the City Council for its consideration; and, WHEREAS, pursuant to the provisions of the California Environmental Quality Act, Public Resources Code Sections 21000 et. seq. ("CEQA"), the State's CEQA Guidelines, California Code of Regulation, Title 14, Section 15000 et. seq., and the City's Local CEQA Guidelines, the City of Rancho Palos Verdes prepared an Initial Study and determined that there is no substantial evidence that the Amendments would result in a significant adverse effect upon the environment and, therefore, a Negative Declaration has been prepared and notice of same was given in the manner required by law; and WHEREAS, the Initial Study was prepared on May 11, 2009 and distributed for circulation and review from May 11, 2009 through June 2, 2009; and R6876-0001\1116324v2.doc WHEREAS, copies of the draft Negative Declaration were distributed to the City Council, and prior to taking action on the proposed Amendments, the City Council independently reviewed and considered the information and findings contained in the Negative Declaration and determined that the document was prepared in compliance with the requirements of CEQA and local guidelines, with respect thereto; and WHEREAS, on July 2, 2009, a notice of a City Council public hearing on this code amendment was published in the Palos Verdes Peninsula News; and WHEREAS, after notice issued pursuant to the requirements of the Rancho Palos Verdes Development Code, the City Council held a duly noticed public hearing on July 21, 2009, at which time all interested parties were given an opportunity to be heard and present evidence; NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF RANCHO PALOS VERDES DOES HEREBY FIND, DETERMINE, AND ORDER AS FOLLOWS: Section 1: The City Council has reviewed and considered the amendments to Chapter 17.11 and Chapter 17.96 of the Municipal Code. Section 2: The City Council finds that the amendments to Title 17 of the Municipal Code are necessary to preserve the public health, safety, and general welfare in the area. Section 3: Section 17.11.020 of Chapter 17.11 (Applicability) of Title 17 of the Municipal Code is hereby amended to read as follows: "17.11.020. Applicability. The requirements of this chapter shall apply to all applications which will result in the creation of five or more dwelling units or residential lots, including but not limited to, applications for a tentative tract map, parcel map, conditional use permit, coastal permit, building permit or other development entitlement. Where an initial project consists of four or fewer units, and application is made within three years of the initial project approval to further subdivide or expand the initial project such that the total number of dwelling units or residential lots is equal to five or more, subsections 17.11.040 and 17.11.050 of this chapter shall apply. The requirements of this chapter shall also apply to all applications for demolition or conversion of three or more dwelling units in the coastal specific plan district described in Chapter 17.72 (Coastal Permits), as specified in Section 17.11.130 of this chapter. Where an initial project consists of two or fewer units, and application is made within three years of the initial project approval to further subdivide or expand the initial project such that the total number of dwelling units or residential lots is equal to three or more, this chapter shall apply. R6876-0001\1116324v2.doc Ordinance No. 495 Page 2 of 6 The requirements of this chapter shall also apply to any development project that has been approved prior to adoption of this chapter, which contains a condition requiring the provision of affordable housing. This chapter shall further apply to conversion of existing residential rental projects to condominium or stock cooperative ownership at any location in the city. No residents may be evicted for the purpose of avoiding the requirements of this section. Where residents have been evicted in the twelve months prior to filing an application listed in this section, a presumption of avoidance shall be made, unless evidence to the contrary is submitted to, and approved by, the city." Section 4: Subsection (A)(3)(c) of Section 17.11.060 (Affordable Housing Incentives) of Chapter 17.11 of Title 17 of the Municipal Code is hereby amended to read as follows: "c. For housing developments meeting the criteria of Section 17.11.060(A)(1)(c), the density bonus shall be twenty percent of the number of senior housing units." Section 5: Subsection (A)(3)(e) of Section 17.11.060 (Affordable Housing Incentives) of Chapter 17.11 of Title 17 of the Municipal Code is hereby amended to read as follows: "e. A housing development may meet the criteria for more than one density-bon-us, for a housing development exceed thirty five percent. The City has the authority but not the obligation to grant a density bonus in excess of 35 percent if the applicant provides benefits in the form of additional affordable units beyond the minimums required by this chapter. Section 6: Subsection (C)(1)(c) of Section 17.11.060 (Affordable Housing Incentives) of Chapter 17.11 of Title 17 of the Municipal Code is hereby amended to read as follows: "C. The transferred land is at least one acre in size or of sufficient size to permit development of at least forty units, has the appropriate general plan designation, is appropriately zoned for development as affordable housing at the density described in paragraph (3) of subdivision (c) of Section 65583.2 of the Government Code, and is or will be served by adequate public facilities and infrastructure. The land shall have appropriate zoning and development standards to make the development of the affordable housing units feasible. No later than the date of approval of the final subdivision map, parcel map, or of the residential development, the transferred land shall have all of the permits and approvals, other than building permits, necessary for the development of the very low income housing units on the transferred land, except that the city may subject the proposed development to subsequent design review to the extent authorized by subdivision (i) of Section 65583.2 of the Government Code if the design is not reviewed by the city prior to the time of transfer." R6876-0001\1116324v2.doc Ordinance No. 495 Page 3 of 6 Section 7: Subsection (C)(1)(d) of Section 17.11.060 (Affordable Housing Incentives) of Chapter 17.11 of Title 17 of the Municipal Code is hereby amended to read as follows: "d. The transferred land and the affordable housing units shall be subject to a deed restriction ensuring continued affordability of the units consistent with Section 17.11.070(A), which shall be recorded on the property at the time of de4ication the transfer." Section 8: A new Subsection (C)(1)(g) of Section 17.11.060 (Affordable Housing Incentives) of Chapter 17.11 of Title 17 of the Municipal Code is hereby added to read as follows: "g. A proposed source of funding for the very low income units shall be identified not later than the date of approval of the final subdivision map, parcel map, or residential development application." Section 9: Subsection (B)(2)(a) of Section 17.11.070 (Period of Affordability) of Chapter 17.11 of Title 17 of the Municipal Code is hereby amended to read as follows: "a. Upon resale, the seller of the unit shall retain the value of any improvements, the down payment, and the seller's proportionate share of appreciation. The city shall recapture any initial subsidy and its proportionate share of appreciation, which shall then be used within three five years for any of the purposes described in subdivision (e) of Section 33334.2 of the Health and Safety Code that promote homeownership." Section 10: Subsection (B)(2)(c) of Section 17.11.070 (Period of Affordability) of Chapter 17.11 of Title 17 of the Municipal Code is hereby amended to read as follows: "c. For purposes of this subsection B, the city's proportionate share of appreciation shall be equal to the ratio of the city's initial subsidy to the fair market value of the home at the time of initial sale." Section 11: A new subsection (D)(2)(c) of Section 17.11.080 (Feasibility) of Chapter 17.11 of Title 17 of the Municipal Code is hereby added to read as follows: "c. That the concession or incentive would be contrary to state or federal law." Section 12: Subsection (F)(1) of Section 17.11.080 (Feasibility) of Chapter 17.11 of Title 17 of the Municipal Code is hereby amended to read as follows: "1. Any development standard set forth in the Municipal Code, general plan, any specific plan, condition, policy, law, resolution or regulation that has the effect of physically precluding the construction of a development meeting the criteria of Section 17.11.060(A)(1) of this chapter shall be waived or modified pursuant to a request from the applicant, except however nothing in this subsection shall be interpreted to require the city R6876-0001\1116324v2.doc Ordinance No. 495 Page 4 of 6 to waive or reduce development standards if the waiver or reduction would have a specific adverse impact, as defined in paragraph (2) of subdivision (d) of Section 65589.5 of the Government Code, upon health, safety, or the physical environment and for which there is no feasible method to satisfactorily mitigate or avoid the specific adverse impact. Nothing in this subsection shall be interpreted to require the city to waive or reduce development standards that would have an adverse impact on any real property that is listed in the California Register of Historical Resources. Nothing in this subsection shall be interpreted to require the city to waive or reduce development standards that would be contrary to state or federal law. A proposal for the waiver or reduction of development standards pursuant to this subsection shall neither reduce nor increase the number of incentives or concessions to which the applicant is entitled pursuant to section 17.11.060(E)." Section 13: Section 17.96.555 (Density, maximum allowable residential) of Chapter 17.96 of Title 17 of the Municipal Code is hereby amended to read as follows: "17.96.555. Density, maximum allowable residential. "Maximum allowable residential density" means the density allowed under the zoning ordinance and land use element of the general plan, or if a range of density is permitted, means the maximum allowable density for the specific zoning range and land use element of the general plan applicable to the project. Where.the density allowed under the zoning ordinance is not the same as the density allowed`under the land use element of the general plan, the general plan density shall prevail." Section 14: Section 17.96.585 (Development standard) of Chapter 17.96 of Title 17 of the Municipal Code is hereby amended to read as follows: "17.96.585. Development standacci Standard. "Development standard" means and includes a site or construction ' ' condition including, but not limited to, a height limitation, a setback requirement, a floor area ratio, an onsite open-space or lot coverage requirement, or a parking ratio that apply applies to a residential development pursuant to any ordinance, general plan element, specific plan, charter amendment, or other local condition, law, policy, resolution, or regulation." Section 15: The rights given by any approval granted under the terms of Title 17 of the Rancho Palos Verdes Municipal Code prior to the effective date of this ordinance shall not be affected by the amendments to Title 17 by this ordinance and shall continue in effect until and unless they are modified, revoked, expired or are otherwise terminated according to the terms of the approval or the terms of Title 17, as they existed prior to the effective date of this ordinance. Section 16: The amendments to Title 17 of the Rancho Palos Verdes Municipal Code as identified herein shall apply to all development applications submitted after the effective date of this ordinance and to all development applications that have not been deemed complete prior to the effective date of the adoption of this ordinance. Section 17: Severability. If any section, subsection, subdivision, paragraph, sentence, clause or phrase in this Ordinance or any part thereof is for any reason held to R6876-0001\1116324v2.doc Ordinance No. 495 Page 5 of 6 be unconstitutional or invalid or ineffective by any court of competent jurisdiction, such decision shall not affect the validity or effectiveness of the remaining portions of this Ordinance or any part thereof. The City Council hereby declares that it would have passed each section, subsection, subdivision, paragraph, sentence, clause or phrase thereof, irrespective of the fact that any one or more sections, subsections, subdivisions, paragraphs, sentences, clauses or phrases be declared unconstitutional, or invalid, or ineffective. Section 18: Publication. The City Clerk shall cause this Ordinance to be published at least once in a newspaper of general circulation published and circulated in the City within fifteen (15) days after its passage, in accordance with Section 36933 of the Government Code; shall attest and certify to the adoption of this Ordinance and shall cause this Ordinance and the City Clerk's certification, together with proof of publication, to be entered in the Book of Ordinances of the Council of this City. Section 19: Effective Date. This Ordinance shall go into effect and be in full force and effect at 12:01 a.m. on the thirty-first (31st) day after its passage. PASSED, APPROVED and ADOPTED this 6th :ay of Octo•-r, 2009. 4* 612 Mayor ATTEST: gaeot— / 7 // City Clerk State of California ) County of Los Angeles ) ss City of Rancho Palos Verdes ) I, Carla Morreale, City Clerk of the City of Rancho Palos Verdes, do hereby certify that the whole number of members of the City Council of said City is five; that the foregoing Ordinance No. 495 passed first reading on September 15, 2009, was duly and regularly adopted by the City Council of said City at a regular meeting thereof held on October 6, 2009 by the following vote: AYES: Dyda, Long, Stern, Wolowicz and Clark NOES: None ABSENT: None ABSTAINED: None gedie---C71294A-egit- City Clerk R6876-0001\1116324v2.doc Ordinance No. 495 Page 6of6 RANCHO PALOS VERDES STATE OF CALIFORNIA ) COUNTY OF LOS ANGELES ) SS AFFIDAVIT OF POSTING CITY OF RANCHO PALOS VERDES) The undersigned, being first duly sworn, deposes and says: That at all times herein mentioned, she was and now is the appointed City Clerk of the City of Rancho Palos Verdes; That on October 8, 2009, she caused to be posted the following document entitled: ORDINANCE NO. 495,AN ORDINANCE OF THE CITY OF RANCHO PALOS VERDES AMENDING CHAPTER 17.11 (AFFORDABLE HOUSING) AND CHAPTER 17.96 (DEFINITIONS) OF THE CITY'S MUNICIPAL CODE TO CONFORM TO STATE DENSITY BONUS LAW, a copy of which is attached hereto, in the following locations: City Hall Ladera Linda Community Center 30940 Hawthorne Blvd. 32201 Forrestal Drive Rancho Palos Verdes Rancho Palos Verdes Hesse Park 29301 Hawthorne Blvd. Rancho Palos Verdes I certify under penalty of perjury that the foregoing is a true and correct affidavit of posting. &de_ // City Clerk W:\FORMS\Form 150-Affidavit of Posting Ordinance No.495.doc