CC MINS 19990828 ADJMINUTES
RANCHO PALOS VERDES CITY COUNCIL
ADJOURNED REGULAR MEETING
AUGUST 28, 1999
The meeting was called to order at 9:40 A.M. by Mayor Hollingsworth at City Hall,
30940 Hawthorne Boulevard, notice having been given with affidavit thereto on
file. After the Pledge of Allegiance, roll call was answered as follows:
CITY COUNCIL:
PRESENT: Byrd, Lyon, McTaggart and Mayor Hollingsworth
ABSENT: Ferraro (excused)
PLANNING COMMISSION:
PRESENT: Alberio, Lyon, Paris, Slayden, Vannorsdall, and Chair
Cartwright
ABSENT: Clark (excused)
Also present were City Manager Les Evans, City Attorney Carol Lynch, Director
of Planning, Building & Code Enforcement Joel Rojas, Senior Planner Greg Pfost
and Administrative Services Director /City Clerk Jo Purcell.
APPROVAL OF AGENDA
Councilwoman Lyon moved seconded by Councilman Byrd to approve the
agenda as presented. Motion carried.
SENIOR HOUSING DEVELOPMENT PROPOSAL (1203)
Senior Planner Greg Pfost presented the staff report of August 28, 1999 and the
recommendation to: (1) Discuss the feasibility of a senior housing Development
Proposal, and provide general direction to the private developer. (2) Discuss
potential amendments to the Development Code and provide direction to staff in
initiating a Zone Text Amendment.
Mr. Pfost then proceeded to detail his report and the main topics as they
pertained to the Senior Housing Project:
Background: Staff recently met with a representative of the owner of the vacant
land located at the intersection of Crestridge Road and Crenshaw Boulevard,
Robert Katherman, and anon- profit affordable housing developer to discuss the
potential for an affordable senior housing development to be constructed at the
this site. The meeting was held at their request and the developer submitted a
proposal for a joint development project that would involve the City. The
proposal is for a two- story, 84 unit (all one bedroom) senior apartment building
with 94 parking spaces (60 subterranean and 34 at grade level). The project
involves substantial amounts of grading; total amount presently unknown; would
lease apartments at a Very Low to Low rental rate (approximately $400 to $600
per month). The non - profit developer has had some experience in developing
projects of this nature; the project would be a joint effort, involving the City, the
non - profit developer, the County and others. The amount of investment from the
City would be approximately $1.9 million; other funds would be obtained from the
County and other sources.
Timing: The developer would like City approvals as early as November 1999.
Staff feels that if the Council were to decide to proceed with such a project,
November may not be feasible, especially if the preparation of an EIR is
necessary.
CEQA Compliance: The original Marriott proposal that encompassed the vacant
land between Congregation Ner Tamid and Crenshaw Blvd. was approved with
an EIR. The revised Marriott project (currently under litigation) was approved
with a Supplement to that EIR; the project was for the same usage, but less
dense. Impacts that could not be mitigated for both projects and subsequently
requiring an EIR and adoption of a "Statement of Overriding Considerations"
were Visual (not view), Grading (grading in areas of extreme slope), Air Quality
(related to construction), and Noise (short-term construction noise). Staff would
expect that this project would require an EIR based upon some of the same
associated impacts. Preparation and adoption of an EIR could not be completed
before November 1999.
Land Use: This site has a General Plan Land Use Designation and a Zoning
Designation of "Institutional ". Although this use permits "Sanitariums, nursing
homes, rest homes, homes for the a d, homes for children and homes for
mental patients ", the proposed use is an apartment building for seniors, which
Staff considers a residential use. If the Council considers this a "homes for the
aged'; and then a Conditional Use Permit would be required. If the Council
considers this a residential use, then a Zone Change /General Plan Amendment
would be required to change the land use for this site.
Addressing Concerns from Adjacent Neighborhood: A large number of
residents were concerned about development of this site especially as they
related to view impacts. Staff anticipates that a detailed visual analysis would be
necessary.
Potential Litigation: The City was subject to a lawsuit with both Marriott
proposals. The City prevailed in the first, while the suit on the second project is
City Council Minutes
August 28, 1999 .
Page 2
still being Litigated.
City's Financial Participation: The developer is requesting that the City
contribute approximately $1.9 million towards this project. Staff assumes that the
project would be made available to Very Low and Low - Income persons for the
life of the project.
Monies available for this project: The City's Redevelopment Agency Housing Set -
Aside Fund Balance is $925,000. These funds can be spent on the development
of an affordable housing project such as this proposal. Additionally, the City has
$271,285 in its Housing In -lieu Fee Program, with an expectation of an additional
$600,000 that will be contributed by the Subregion 1 (CPH) project within the
next year. The in -lieu funds can also be used towards this proposal.
As noted in previous correspondence to the City Council, the funds available
through the RDA Housing Set -Aside Program and the Affordable Housing In -lieu
Fee Program can be spent on other types of affordable housing projects, besides
new housing construction. Additionally, although the City does not have any
restrictions upon the use of the in -lieu fee funds, the RDA Set -Aside funds do
have some restrictions, especially in regards to timing. As such, Staff felt that it
would be important to provide some background on the expenditure of these
funds.
Expenditure of Redevelopment Set -Aside Funds
Background
State Law requires that 20% of the redevelopment tax increment be set aside for
increasing, improving, and preserving housing affordable to very low, low, and
moderate households.
What is Required?
Unspent or unencumbered funds in excess of the greater of $1,000,000 or the
aggregate amount deposited into the Fund over the previous four years are
considered to be excess surplus funds. According to State Law, these excess
funds must be expended within a 1 — 3 year time frame or the Agency will risk
losing them.
Currently there is approximately $925,000 in RDA set -aside funds. As the
Agency has been receiving approximately $112,000 per fiscal year, it is
anticipated that the fund balance will exceed the $1,000,000 mark by the end of
fiscal year 1999/2000 or shortly thereafter. It will be important for the Agency to
determine as soon as possible how these funds will be spent. The funds can be
expended for housing in the project area or elsewhere in the community if the
Agency and the City Council adopt a resolution finding that the fund expenditure
will be of benefit to the Project Area.
City Council Minutes
August 28, 1999
Page 3
Staff anticipates formally taking the issue of how to expend the set -aside funds
before the Redevelopment Agency at the same time as the adoption of the 5-
year Implementation Plan (November 1999) so that the potential future
program(s) can be incorporated into the Implementation Plan. Staff anticipated
that implementation of any programs to expend the funds would occur thereafter,
and before the City reaches the time limit when these funds could be lost.
Expenditure of Affordable Housing In -Lieu Funds
Background
Currently, the City has collected $261,000 from the residential in -lieu fee - housing
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program through the development of the Seabreeze Tract. Staff anticipates
receivin g in -lieu funds of approximately $600,000 from the Subregion 1 (CPH)
residential development within the next year.
How will the City Expend these Funds?
There are no time limits required by State Law relative to the expenditure of the
in -lieu affordable housing fees, nor are there any requirements on what type of
affordable housing p ro ram the funds should be spent on. Although this allows
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the City as much time as needed to prepare an affordable housing program using
the in -lieu fees, Staff recommends that since an affordable housing program
needs to be developed for the Redevelopment Agency set -aside funds (see
above), that the funds be combined into one program. This will ensure that the
City gets the most out of the total funds available for affordable housing. Below,
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is a list of some of the programs where these funds could be spent:
Land Acquisition for a future affordable housing site.
Building Acquisition to purchase a building reserved for affordable
housing.
On -site or Off -site improvements associated with the development of
affordable housing.
Building Rehabilitation for persons of low and moderate income.
Rental subsidy where the funds would be used to make up the difference
between what a low or moderate family could afford and the actual rental
rate.
Loans that could be used in a first time homebuyers program.
In concert with the RDA Plan Update, Staff was anticipating on presenting the
potential program options in detail for a Council meeting in the month of
November.
Upon completion of Mr. Pfost's report, Council and the Commission then
proceeded to discuss the major areas of concern:
City Council Minutes
August 28, 1999
Page 4
Timing: Considering the requirement for an EIR, the objections that would be
raised to this project on the grounds of density, it was felt that the developer's
November deadline was unrealistic.
Discussion continued relative to certain aspects of the project: the necessity for a
16 ft. above grade limit on structures; the geology required considering the
ancient landslide on the adjacent property; the possibility that a negative
declaration could be issued on this project; how the timing of this project
triggered the required expenditure of certain housing funds for both the developer
and the City; and, if just starting the process and developing a plan met the
state's requirements for expenditure of these funds.
Attorney Charles Brumbaugh, Jr., representing the Corporation for Better
Housing, stated that the Peninsula Seniors would like to have a 4000 sq. ft. room
available for their use; that his client would consider making such a facility
available to them on a 30 year lease for about $200 per year; that the seniors
would have to pay for utilities.
Discussion then moved to whether a zone change was necessary or if senior
housing was appropriate for institutional zoning; the fact that this would be
consistent with the land use already in existence in the area; if there are state
restrictions on homes for the aged different from those for a residential area; the
necessity of looking at state law parameters vis a vis the use of the City's
housing funds. Council noted that while this City supports the seniors it would be
necessary to also get financial support from the other Peninsula cities.
The next elements of concern were as follows: the length of time required to
prepare and review an EIR; the requirement that a full EIR must be done if it is
not possible to mitigate view and grading impacts; if preference for residence in
the project could be given to Rancho Palos Verdes residents; the fact that this
housing is on a first come first serve basis, however, advertising at the local level
could be one way for residents to be aware of the availability of this housing; the
viability of this plan if the City was not a participant; how the City could insure that
these units remain affordable housing; if the City's participation in this project
inflated the value of the land; and, how the value of this land was determined.
Mike Walker representing Palos Verdes Land Co. clarified that the landowner
surveyed similar property to determine the land value. It was also made clear
that Palos Verdes Land Co. is the owner of this property and that Robert
Katherman is the representative of the owner of the project and not the property.
Speaking again, Mr. Brumbaugh, Jr. stated they will not be preparing a parcel
map; that they have no intention of giving the property to the City; and, that there
would be a full independent appraisal of the project before the property changes
ownership.
City Council Minutes
August 28, 1999
Page 5
Addressing Concerns from Adjacent Neighborhood: Council consensus was
that this project should not impact views.
Potential Litigation: It was determined that the length of time to settle the
current litigation was unknown.
City's financial participation: Council discussion clarified that the City does not
have $1.9 million at this time, however, it is expected that we will have within a
year. While considered appealing, it was felt that the City must find out the kinds
of problems anticipated with such a project, such as management of the facility.
It was also felt that this project was an appropriate addition to the existing uses in
that area. The status of the other 9 -1/2 acres at the project site was briefly
discussed and if an inquiry should be made relative to its availability.
(At 10:40 A.M. Councilman McTaggart left the room.)
Recess & Reconvene: At 10:42 A.M. Mayor Hollingsworth declared a recess.
The meeting reconvened at 10:55 A.M. with all members present.
Project Description
Project Architect John Cotton gave an overview of his experience with this type
of housing and detailed the experience of his firm's personnel. He described the
projects that they have completed and the ones they are presently building. He
invited Council and Planning Commissioners to visit any of their projects. He
explained that the project was originally a three -story design with 93 units. That
was later changed after a meeting with staff. The design was then changed to a
two -story 16 -ft. project to come into compliance with City requirements.
Mr. Cotton then described the site plan; the topography of the area; the
necessary grading, pad height, the location of the community rooms that open
out to the flat side of the pad, the location of the primary auto access, fire
department access, the drop off point for guests, and residential and public
parking.
Continuing with his presentation, he then presented artist renderings of the
outside view and interior view of the project and explained that all units are one
bedroom and range between 586 to 610 sq. ft.
Mr. Brumbaugh explained that if an EIR is not necessary, then the November
date is realistic and that this schedule is driven by the filing of tax credit
documents. His client will enter into an agreement with the Peninsula Seniors for
a long term lease; there is a 55 year covenant that will be placed on this project
by the State; and, they will accept 55 year covenant from the City. He described
his meetings with County officials relative to the use of the CDBG funds.
City Council Minutes
August 28, 1999
Page 6
Mr. Atkinson, the builder of this proposed project, described the retrofitting done
for a recently completed project in the City of Cudahy and how similar retrofitting
would be done on this project. He described his experience in this field, and
construction business in general.
Mr. Cotton reported that he has been practicing architecture in since 1960 and
has been working on low income housing since 1974; he has designed about 45
or 50 projects; has received awards on most of his projects; is currently involved
in 6 or 7 projects; and, is familiar with what is required by cities in So. California.
Jean Alabaster, 5649 Mistridge Drive, representing the senior citizens, stated she
would like a two- bedroom unit so one could be used as a den or library.
Lois Larue, 3136 Barkentine, stated her disappointment in the design of the
proposed building.
Council then briefly discussed management techniques for this project and how it
would be determined whether a person could stay in the project or be moved to
an extended care facility; and, that the developer should consider a certain
percentage of two bedroom units be included. It was generally agreed that this
project meets the mandates for affordable housing; that it is compatible with the
surrounding community; that it fits the needs of the senior citizen population; and,
that for the target population the one bedroom is adequate. Concern was
expressed, however, about the adequacy of the number of parking spaces.
Discussion concluded with the consensus that the City Council is interested in
this project and that staff should work with the Corporation for Better Housing.
ROOF DECKS (1203 X 1801)
Director Rojas introduced the matter of roof decks and specifically the
amendment to the Development Code prohibiting "roof decks" in any single-
family residential zoning district. Staff felt that the Council's intent was to prevent
decks from being constructed on an upper level roof that is accessed by exterior
stairs. However, the prohibition of any type of upper level deck, including those
which are adjacent to livable floor area, such as a master bedroom deck, is now
prohibited. Furthermore, if a property owner wished to enclose the floor area
below what is currently defined as a balcony, that would create a roof deck,
which is now prohibited.
It was the consensus that the prohibition was too broad and restrictive and that
the matter should be remanded to the Planning Commission to focus on what is
the real problem with roof decks and report back to Council.
MAXIMUM STRUCTURE SIZE
City Council Minutes
August 28, 1999
Page 7
Director Rojas introduced this matter explaining that property located within a
residential zoning district is subject to a series of development standards that
include a maximum structure size requirement. The purpose of this requirement
was to provide the City with a means to regulate the cumulative gross square
footage of all structures on property, including all enclosed habitable and non -
habitable accessory structures, second units and garages. Currently there are
two different criteria used for the maximum structure size requirement. The
criteria established depends on whether a lot was created prior to November 25,
1975 or January 3, 1983, in the Eastview neighborhood, or after the City was
incorporated and the Development Code adopted.
The City's limit for lots created prior to incorporation is based on criteria that does
not account for the area of the lot, but rather the footprint of a structure when it
was first constructed. Staff feels that applying this requirement for the entire City
has the potential to penalize those lots that were developed prior to the City's
incorporation. Moreover, this requirement does not account for neighborhoods
that were not developed as a large tract with similar structures, changes in a
family's lifestyle, nor does it provide a fair ratio of structure to.,lot area.
Council and Commission discussion clarified that this rule discriminates against
older houses; that it triggers additions coming before the Commission for review;
that the maximum rule only works in areas that have not been developed; the
fact that this requires applicants to go through the variance process; that a
definition could require that any new home should meet the compatibility
requirement; that the rule should allow for Commission review but not constrain
them or the staff with a variance finding that cannot be made; and, that the 1973
date should be eliminated from the criteria.
It was the consensus that the matter should be remanded to the Planning
Commission for their review and then returned to the Council with the final
language.
ADJOURNMENT:
Adjourned at 12:25 P.M. on motion of Councilmember McTaggart.
ATTEST:
CITY CLERK
99CCMINS
MAYOR'
City Council Minutes
August 28, 1999
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