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Item No. 2. 
MEETING DATE: April 12, 2021
 
TO: PLANNING COMMISSION
 
FROM: ROY N. RAMSLAND JR., PLANNING MANAGER
By:  Chris Schaefer, Senior Planner

 
VIA: ANDREW HO,
DIRECTOR OF COMMUNITY AND ECONOMIC DEVELOPMENT

 
SUBJECT: CONSIDERATION OF ZONE CHANGE 21-02 FOR AMENDMENTS TO TITLE 18 ZONING, INCLUDING MODIFICATION OF SECTION 18.04.030 "TERMS DEFINED"; MODIFICATION OF TABLE 18.06.040(A) (LAND USE MATRIX); REPLACEMENT OF SECTION 18.12.150 “ACCESSORY DWELLING UNITS”; MODIFICATION OF SECTION 18.30 “SPECIAL NEEDS HOUSING"; AND MODIFICATION OF SECTION 18.52.040.B “APPLICABILITY” AS PER EXHIBITS "A", "B", "C", "D" AND "E"
 

CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA):

Adoption of the resolution recommending the ordinance is exempt from the California Environmental Quality Act (CEQA).  The resolution of recommendation is not a final action on the ordinance.  Furthermore, the adoption of the ordinance itself is exempt from CEQA under Public Resources Code § 21080.17 [statutory exemption for second unit ordinances]; CEQA Guidelines §§ 15282(h) [statutory exemption for second unit ordinances]; 15303 [new construction or small structures] and 15305 [minor alterations to land].  The ordinance is also exempt under CEQA Guidelines section 15061 which covers activities with no possibility of having a significant effect on the environment because ADUs will largely constitute infill housing which is exempt from CEQA, and the other changes in the ordinance are mere clarifications of law.

RECOMMENDATION:

A RESOLUTION OF THE PLANNING COMMISSION OF THE CITY OF LA HABRA RECOMMENDING THAT THE CITY COUNCIL ADOPT AN ORDINANCE APPROVING ZONE CHANGE 21-02 FOR AMENDMENTS TO TITLE 18 ZONING, INCLUDING MODIFICATION OF SECTION 18.04.030 “TERMS DEFINED”, MODIFICATION OF TABLE 18.06.040(A) “LAND USE MATRIX”,  REPLACEMENT OF SECTION 18.12.150 “ACCESSORY DWELLING UNITS”, MODIFICATION OF SECTION 18.30 “SPECIAL NEEDS HOUSING”, AND MODIFICATION OF SECTION 18.52.040.B AS PER EXHIBITS "A," "B," "C," "D" AND "E”.

DISCUSSION:

Accessory dwelling units have become a topic of focus at the state level, particularly with housing advocates and throughout various communities in California.  They went by various names in the past such as secondary dwelling unit, garden house, or granny flat.  An accessory dwelling unit (ADU) is a simple and old idea: having a second small dwelling right on the same property as a regular single-family house such as an apartment over the garage, a garage conversion or a tiny house (on a foundation) in the backyard.  ADUs are typically built for lots of reasons, but the most common goals are gaining income via rent and housing a family member. 

Updates to State law have made building accessory dwelling units easier.  In the past, ADUs were subject to conditional use permits with the requirement to provide adequate parking for both the main house as well as the ADU.  Recent changes to State laws have required cities to amend their codes whereby ADUs are approved without public hearings, parking is not required for ADUs, and accessory building, such as garages, can be converted to ADUs.  Additionally, junior accessory dwelling units (JADUs) can be converted from existing habitable space and non-habitable space, such as laundry rooms and carports, within existing buildings.

The State has recently allowed cities to count ADUs towards their Regional Housing Needs Assessment (RHNA) allocation which helps in the provision of affordable housing for low and very low income levels.  Different cities have varying volumes of ADU applications.  Communities with colleges and universities or tourist attractions generally have higher demand for ADU applications while bedroom communities like La Habra typically will have less. For example, in the City of Fullerton, which has both a college and a university, approximately 35 ADU applications were processed in 2019.  During that same year in La Habra, 6 ADU applications were processed. However, after the passing of the various state ADU laws in 2020, Fullerton's volume increased to approximately 78 ADU applications and La Habra's volume increased to over 40 ADU applications.  Over the next 8 years, it is projected that approximately 250 ADUs may be built within the City.  It should be known that not all ADU applications result in the construction of an ADU as home owners sometimes are not able to bring the projects to completion for various reasons.  The number of these units is manageable and staff will continue to advocate for local control at the State level.  In the meantime, the proposed amendments will update La Habra's code to be consistent with State laws.

Updates to Title 18 "Zoning" are proposed at this time with the main effort centered on updating the code related to Accessory Dwelling Units.  Staff is recommending updates to other code sections as a house-keeping item as changes in State law have affected terms, definitions, or requirements.  Each update is outlined below.

Section 18.12.150 Accessory Dwelling Units
On January 1, 2020, multiple new housing bills relating to accessory dwelling units (ADUs) became law.  This included Senate Bill (SB) 13, Assembly Bill (AB) 68, AB 881, AB 587, AB 670 and AB 671. Per these laws, municipal regulations which were inconsistent with State law were preempted after the January 1st, 2020 start date.  In addition, AB 3182 went into effect on January 1, 2021 and added new provisions such as not requiring fire sprinklers for ADUs, not requiring parking when an ADU is within 1/2 mile of a public transit line, and setting maximum height and size standards for an ADU.

To preserve the limited authority that the City had remaining to regulate ADUs, the City Council adopted Urgency Ordinance 1813 at the December 2, 2019 meeting. Had the City not adopted the ordinance, it would have lost its ability to enforce design or other development standards.  Also, the City could have been required to approve ADUs that are directly inconsistent with the development standards that apply throughout the City.  Lastly, the City could have been subject to litigation.

Since that time, cities throughout California have drafted their own versions of the ADU ordinance which attempted to address the requirements of the six State laws.  It was found, in doing so, that provisions of these various laws were sometimes inconsistent or at times, were contradictory.  In the case of La Habra, the City Attorney's office crafted an ordinance which attempted to find a middle ground of the six laws back in 2019.

Since the adoption of Urgency Ordinance 1813, Planning staff has been using the LHMC Section 18.12.150 to review and approve ADUs.  There have been occasions where the language in the ordinance was not consistent internally which left decisions open for interpretation.   Also, there were sections that did not have complete development standards which also left decisions open for interpretation and thus were difficult for enforcement.  Anecdotally, staff heard reports from applicants who stated that other cities had different interpretations of the ADU requirements.

The California Department of Housing and Community Development (HCD) gathered the ADU ordinances from every jurisdiction in the State and reviewed them during this past year.  HCD then compared them to State law as well as their effectiveness and gave them a grade.  These grades were posted on the HCD website to allow jurisdictions the ability to see where they fell. 

The revised ADU ordinance reorganizes the requirements into sections that are placed into a sequential manner and adds the required language to meet AB 3182 (see Exhibit A).  It also clarifies information that was missing in the previous version and fills in information that was excluded in the related Assembly and Senate bills, such as missing information related to front setback and streetside setback requirements.  The proposed change will replace the whole section as per Exhibit A.

Section 18.04.030 Terms Defined
Section 18.04.03 provides a list of terms and definitions that support and clarify various sections found throughout Title 18 "Zoning." The list of terms includes those terms that require a definition to ensure that zoning is enforced uniformly throughout the City and to reduce ambiguity.  Additionally, some special sections such as Chapter 18.22 "Commercial Cannabis Activity" or 18.62 "Wireless Communication Facilities" have their own list of definitions, which are normally updated at a time when that section is amended.

Terms and definitions change from time to time, and as part of the Housing Element Update process, it was determined that some terms were out of date or were missing (please see Exhibit B).  The following terms were addressed as part of this update:
  • Accessory building - modified
  • Accessory dwelling unit - added
  • Child Care Facility - added
  • Day nursery - deleted
  • Director - added
  • Factory-built housing - added
  • Manufactured home - added
  • Mobile home - added
  • Secondary dwelling unit - deleted
  • Trailerhouse - deleted
The proposed changes in Exhibit B show new language as bolded and removed language as strikeouts.

Table 18.06.040.A - Land Use Matrix
The Land Use Matrix provides a graphic reference for determining land uses that are permitted by right, require planning permits (i.e. Conditional Use Permits, Special Event Permit, or Home Occupation Permit) or are not permitted.   The chart is organized into general categories, such as residential, commercial-recreational, commercial-institutional, commercial-office, industrial, etc. The chart is further delineated by specific uses listed on the left side in rows and zoning designations on the top in columns.

At this time, updates are being made to the residential section of the chart as a result of previous changes in State laws (see Exhibit C). This includes the addition of residential care facilities for the elderly (also referred to as assisted living facilities), the addition of congregate living facilities, the addition of small family homes, and various clean up items.  The "residential" section of the table is the only portion being replaced while the remaining sections are unchanged.

Chapter 18.30 Special Needs Housing
The Special Needs Housing section of the code was last updated in 2010.  Since then, amendments to State law occurred which modified language contained with Chapter 18.30.  Definitions have been added to this section including "congregate living health facility", "congregate housing for the elderly", and "residential care facility for the elderly" which ties back to the Land Use Matrix.  Changes in this section are shown as bolded for new language or strikeouts for language being removed (see Exhibit D).

Section 18.52.040 Applicability
Updates are being recommended to Section 18.52.040 within Chapter 18.52 PUD Planned Unit Development Overlay Zone (see Exhibit E).  Currently, the PUD requirements affect any project within the PUD overlay zone, other than the construction of one single-family residence on a lot.  An owner/developer of a property within the PUD zoning section is subject to preparing an economic analysis of the costs and benefits of the proposed use and the projected cost to provide City services to the project, preparing a plant materials booklet, a landscape maintenance schedule, a landscape design plan including a site elevation scheme accurately showing projected landscape heights at the time of development and a second design showing tables that show the total number of acres and their distribution by use, and the percentage of the whole designated for dwellings of different types, nonresidential uses, streets, off-street parking, public uses and open spaces landscape heights five years after development. The costs for preparation of these studies and exhibits can be a huge expense for a small project.  Legislation passed by the State of California encourages local jurisdictions to reduce roadblocks or impediments to residential construction where possible. 

The intent of the PUD requirements is to provide flexibility and ensure quality development for large scale projects on large parcels. In this case, removing the requirements for costly and time-consuming studies and exhibits for small projects would assist in providing the City with units needed to meet the RHNA.  Specifically, language is being added which allows a developer of six or less units on small to medium lots to be exempt from the PUD requirements noted above.  The small projects of six units or less are currently exempted by the California Environmental Quality Act (CEQA) as per categorical exemption 15303.

Summary
In conclusion, all the proposed Zoning Code amendments are consistent with the goals and objectives of the La Habra General Plan.  Therefore, it is recommended that the Planning Commission approve a resolution recommending that the City Council adopt these miscellaneous amendments to Title 18 “Zoning” of the La Habra Municipal Code.

FISCAL IMPACT/SOURCE OF FUNDING:

There is no impact to the City's General Fund.

NATIONAL POLLUTANT DISCHARGE ELIMINATION SYSTEM (NPDES):

The proposal has been reviewed pursuant to the requirements of the City’s National Pollutant Discharge Elimination System (NPDES) Municipal Permit, the Local Implementation Plan (LIP), and the Model Water Quality Management Plan (WQMP), Section 7.2. Since no disturbance of soil will occur, this project is exempted by the Water Quality Ordinance from the preparation of a WQMP.

GENERAL PLAN RELEVANCE:

The proposed Zoning Ordinance changes are consistent with the goals and policies of the La Habra General Plan and Housing Elements, specifically:  H 1.1 Support State Housing Policy, H 1.4 Variety of Housing, H 2.1 Maintain Residential Character, and H 2.5 Adequate Housing sites through Land Use and Zoning.

Attachments