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CC SR 20240716 C - Building Code Amendment 15.18.040 CITY COUNCIL MEETING DATE: 07/16/2024 AGENDA REPORT AGENDA HEADING: Consent Calendar AGENDA DESCRIPTION: Consideration and possible action to adopt Ordinance No. 685 amending Section 15.18.040 (Administrative code amended – Violations and penalties) of Chapter 15.18 (Administrative Code) of Title 15 (Buildings and Construction) of the Rancho Palos Verdes Municipal Code (RPVMC) to establish a penalty fee waiver for building and construction violations performed by prior property owners (Case No. PLCA2024-0002). RECOMMENDED COUNCIL ACTION: (1) Adopt Ordinance No. 685, AN ORDINANCE OF THE CITY OF RANCHO PALOS VERDES AMENDING SECTIONS 15.18.040 (ADMINISTRATIVE CODE AMENDED – VIOLATIONS AND PENALTIES) OF CHAPTER 15.18 (ADMINISTRATIVE CODE), OF TITLE 15 (BUILDINGS AND CONSTRUCTION) OF THE RANCHO PALOS VERDES MUNICIPAL CODE TO ESTABLISH A PENALTY FEE WAIVER FOR BUILDING AND CONSTRUCTION VIOLATIONS PERFORMED BY PRIOR PROPERTY OWNERS. FISCAL IMPACT: The City currently collects triple penalty fees for building permits related to violations when work requiring a permit has been started, continued, or finished prior to obtaining a building permit. These penalty fees are variable and are dependent on the various permit types and their associated costs. It is expected that there may be one or two of these waiver requests per year. Amount Budgeted: N/A Additional Appropriation: N/A Account Number(s): N/A ORIGINATED BY: Jeffrey Kim, Assistant Planner REVIEWED BY: Brandy Forbes, AICP, Director of Community Development APPROVED BY: Ara Mihranian, AICP, City Manager ATTACHED SUPPORTING DOCUMENTS: A. Ordinance No. 685 (page A-1) B. Draft Redlined Code Amendment (page B-1) 1 The previous Staff Report on this topic can be found on the City’s website via the July 2, 2024 City Council Agenda at: https://rpv.granicus.com/GeneratedAgendaViewer.php?view_id=5&event_id=2684 BACKGROUND AND DISCUSSION: On July 2, 2024, Ordinance No. 685 (Attachment A) was introduced by the City Council for a first reading. Ordinance No. 685, amends Section 15.18.040 (Administrative code amended – Violations and penalties) to establish a penalty fee waiver for building and construction violations performed by prior property owners. At the July 2, 2024 meeting, the City Council expressed that the code amendment could be clarified to add property ownership representatives as part of the updated language. The City Council then directed Staff to add “or their representatives” after “…was not disclosed by the prior owner…” to address this concern. The updated version of the proposed code amendment section is as follows with the proposed new text noted with bold/underline: 114.3 Penalty fees. The permit fees and charges made pursuant to title 15 of the Rancho Palos Verdes Municipal Code shall be tripled, (not including fees for nonstructural fixture) when work requiring a permit has been started or continued or finished prior to obtaining permit. The triple fee shall be based on the structural permit fee, or square footage of remodel area, or a minimum fee as established pursuant to city council resolution. The Director of Community Development may waive the penalty fees if the property owner can demonstrate to the director’s satisfaction that any violation of any provisions of this code or the most current version of the California Residential Building Code occurred prior to their acquiring the property, was not disclosed by the prior owner or their representatives, and could not have been discovered through the ordinary course of due diligence when the property was acquired. This evening, Ordinance No. 685, is presented for its second reading and adoption. If adopted, the ordinance will go into effect after 30 days from the date of adoption. ALTERNATIVES: In addition to the Staff recommendation, the following alternative action is available for the City Council’s consideration: 1) Direct Staff to revise Ordinance No. 685 for re-introduction and/or second reading at a future City Council meeting. 2 Ordinance No. ___ Page 1 of 3 ORDINANCE NO. 685 AN ORDINANCE OF THE CITY OF RANCHO PALOS VERDES AMENDING SECTIONS 15.18.040 (ADMINISTRATIVE CODE AMENDED – VIOLATIONS AND PENALTIES) OF CHAPTER 15.18 (ADMINISTRATIVE CODE) OF TITLE 15 (BUILDINGS AND CONSTRUCTION) OF THE RANCHO PALOS VERDES MUNICIPAL CODE, TO ESTABLISH A PENALTY FEE WAIVER FOR BUILDING AND CONSTRUCTION VIOLATIONS PERFORMED BY PRIOR PROPERTY OWNERS. WHEREAS, in order to address Code Enforcement violations related to unpermitted construction, the applicant/property owner are responsible for paying applicable application fees at triple the amount of fees for all building permit types to address the violations; and WHEREAS, the Community Development Department has experienced instances of new property owners being required to pay hefty penalty fees to remedy code violations that unknowingly occurred prior to them taking ownership; and WHEREAS, the RPVMC currently authorizes the Director of Community Development the ability to waive penalty fees for Planning Division related applications to remedy violations; and WHEREAS, in order to better assist residents, developers, and the business community in addressing building code violations of RPVMC regulations and to establish consistency across Zoning and Building code sections , an update of the affected code sections to provide the same fee waiver options is required. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF RANCHO PALOS VERDES DOES ORDAIN AS FOLLOWS: Section 1. The facts set forth in the Recitals are true and correct and are incorporated herein by reference. Section 2. The City Council finds that this Ordinance is exempt from the requirements of the California Environmental Quality Act (CEQA) because: (1) it does not constitute a “project” under CEQA Guidelines Section 15378(b)(2), in that it constitutes general policy and procedure making; (2) it does not constitute a “project” under CEQA Guidelines Section 15378(b)(5) in that it has no potential for resulting in physical change to the environment, either directly or indirectly; and (3) in the alternative, it is exempt from CEQA pursuant to CEQA Guidelines Section 15060(c)(2), since the activity will not result in direct or reasonably foreseeable indirect physical change in the environment, and Section 15061(b)(3), since it can be seen with certainty that there is no possibility that this Ordinance will have a significant effect on the environment. A-1 Ordinance No. ___ Page 2 of 3 Section 3. Section 15.18.040 (Administrative code amended – Violations and penalties) of Chapter 15.18 (Administrative Code) of Title 15 (Building and Construction) is amended to read as follows (Note: Deleted text is noted in strikethrough and new text is noted in bold/underline): 15.18.040 - Administrative Code amended – Violations and penalties Notwithstanding the provisions of section 15.18.010 of this chapter, sections 114.1 and 114.2 are amended to read and section 114.3 is added to read: 114.1 Violations. No person shall erect, construct, enlarge, alter, repair, move, improve remove, convert, demolish, equip, use, occupy or maintain any building, structure or building service equipment or perform any grading in the city or cause or permit the same to be done contrary to, or in violation of, any of the provisions of this code or any of the technical codes the most current version of the California Residential Building Code. 114.2 Penalties. Any person who violates any provision of this code or any of the technical codes the most current version of the California Residential Building Code shall be deemed guilty of a misdemeanor and shall be deemed guilty of a separate offense for each and every day or portion thereof during which any violation continued or was permitted, and upon conviction is punishable as set forth in section 1.08.010 of the Rancho Palos Verdes Municipal Code. 114.3 Penalty fees. The permit fees and charges made pursuant to title 15 of the Rancho Palos Verdes Municipal Code shall be tripled, (not including fees for nonstructural fixture) when work requiring a permit has been started or continued or finished prior to obtaining permit. The triple fee shall be based on the structural permit fee, or square footage of remodel area, or a minimum fee as established pursuant to city council resolution. The Director of Community Development may waive the penalty fees if the property owner can demonstrate to the director’s satisfaction that any violation of any provisions of this code or the most current version of the California Residential Building Code occurred prior to their acquiring the property, was not disclosed by the prior owner or their representatives, and could not have been discovered through the ordinary course of due diligence when the property was acquired. Section 4. Severability. If any section, subsection, subdivision, paragraph, sentence, clause or phrase of this ordinance or its application to any person or circumstance, is for any reason held to be invalid or unenforceable by a court of competent jurisdiction, such invalidity or unenforceability shall not affect the validity or enforceability of the remaining sections, subsections, subdivisions, paragraphs, sentences, clauses or phrases of this Ordinance, or its application to any other person or circumstance. The City Council declares that it would have adopted each section, A-2 Ordinance No. ___ Page 3 of 3 subsection, subdivision, paragraph, sentence, clause, phrase hereof, irrespective of the fact that any one or more sections, subsections, subdivisions, paragraphs, sentences, clauses or phrases hereof be declared invalid or unenforceable. Section 5. Certification and Posting. The City Clerk shall cause this Ordinance to be posted in three (3) public places in the City within fifteen (15) days after its passage, in accordance with the provisions of Section 36933 of the Government Code. The City Clerk shall further certify the adoption and posting of this Ordinance, and shall cause this Ordinance and its certification, together with proof of posting, to be entered in the Book of Ordinances of the Council of this City. Section 6. Effective Date. This Ordinance shall go into effect at 12:01 AM on the 31st day after its passage. PASSED, APPROVED and ADOPTED this 16th day of July, 2024. ______________________________ John Cruikshank, Mayor ATTEST: _______________________ Teresa Takaoka, City Clerk STATE OF CALIFORNIA COUNTY OF LOS ANGELES CITY OF RANCHO PALOS VERDES I, TERESA TAKAOKA, 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; and that the foregoing Ordinance No. 685 was introduced by the City Council of said City at a regular meeting thereof held on July 2, 2024, was duly and regularly adopted by the City Council of said City at a regular meeting thereof held on July 16, 2024, and that the same was passed and adopted by the following roll call vote: AYES: NOES: ABSENT: ABSTAIN: _______________________ City Clerk A-3 Section 1. Section 15.18.040 (Administrative code amended – Violations and penalties) of Chapter 15.18 (Administrative Code) of Title 15 (Building and Construction) is amended to read: 15.18.040 – Administrative code amended – Violations and penalties Notwithstanding the provisions of section 15.18.010 of this chapter, sections 114.1 and 114.2 are amended to read and section 114.3 is added to read: 114.1 Violations. No person shall erect, construct, enlarge, alter, repair, move, improve remove, convert, demolish, equip, use, occupy or maintain any building, structure or building service equipment or perform any grading in the city or cause or permit the same to be done contrary to, or in violation of, any of the provisions of this code or any of the technical codes the most current version of the California Residential Building Code. 114.2 Penalties. Any person who violates any provision of this code or any of the technical codes the most current version of the California Residential Building Code shall be deemed guilty of a misdemeanor and shall be deemed guilty of a separate offense for each and every day or portion thereof during which any violation continued or was permitted, and upon conviction is punishable as set forth in section 1.08.010 of the Rancho Palos Verdes Municipal Code. 114.3 Penalty fees. The permit fees and charges made pursuant to title 15 of the Rancho Palos Verdes Municipal Code shall be tripled, (not including fees for nonstructural fixture) when work requiring a permit has been started or continued or finished prior to obtaining permit. The triple fee shall be based on the structural permit fee, or square footage of remodel area, or a minimum fee as established pursuant to city council resolution. The Director of Community Development may waive the penalty fees if the property owner can demonstrate to the director’s satisfaction that any violation of any provisions of this code or the most current version of the California Residential Building Code occurred prior to their acquiring the property, was not disclosed by the prior owner or their representatives, and could not have been discovered through the ordinary course of due diligence when the property was acquired. B-1