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HomeMy WebLinkAbout2015-09-23 e-packet Staff Report DATE: September 23, 2015 TO: Mayor, Vice-Mayor, and Councilmembers FROM: Alex Greenwood, Director of Economic and Community Development SUBJECT: ZONING TEXT AMENDMENTS TO ESTABLISH REGULATIONS RELATED TO SHORT-TERM VACATION RENTAL USES, IN ACCORDANCE WITH SOUTH SAN FRANCISCO MUNICIPAL CODE CHAPTER 20.550 ("AMENDMENTS TO ZONING ORDINANCE AND MAP"). Case No.: P07-0136: ZA15-0006 RECOMMENDATION It is recommended that the City Council follow the recommendations of the Planning Commission and introduce an Ordinance amending the Zoning Code to establish regulations related to short-term vacation rental uses. BACKGROUND Short-term vacation rentals, in which hosts can make a spare room or an entire dwelling unit available to potential renters, are becoming increasingly popular. These transactions are usually made through residential hosting platform websites such as Airbnb, VRBO, Homeaway, Flipkey, or others, generally for 30 days or less. This type of lodging has become more popular, supplementing traditional transient lodging options such as hotels and bed-and-breakfasts. Many travelers use short-term vacation rentals while on business trips, for vacation, or while their home is under construction. This increase in popularity has occurred with the rise of the “sharing economy” in which people rent cars, homes, beds, or other goods directly from other individuals, generally through internet hosting sites. Short-term vacation rentals include both hosted rentals, in which the resident is present and rents out a bedroom or a portion of the dwelling unit; and non-hosted rentals, where the renters occupy the full dwelling unit and the resident does not remain on-site. While South San Francisco does not currently have the volume and interest in short-term vacation rentals that other cities have experienced recently, a cursory review indicates that there are several listings for properties within the City on Airbnb.com, and it is anticipated that the popularity of short-term vacation rentals will increase, as the region prepares for Super Bowl 50, which will be held on Sunday, February 7, 2016 at Levi’s Stadium in Santa Clara, as well as other large-scale conventions such as Oracle World and Dreamforce. Since short-term vacation rentals, and the sharing economy in general, are relatively recent phenomena, South San Francisco does not currently regulate this type of use. Issues related to short-term vacation rentals include the compatibility of a commercial use in a residential area, Staff Report Subject: SHORT-TERM VACATION RENTALS Date: September 23, 2015 Page 2 of 13 and concerns from neighbors about noise, parking, and public safety due to the frequent turnover of visitors. Another potential concern is that short-term vacation rentals could remove housing stock that could otherwise be available for long-term rental or for sale, adding to the existing housing shortage in the Bay Area. Defining and establishing regulations for short-term vacation rentals would ensure that there are specific performance standards in place to provide clear direction to potential hosts and renters, and ensure that these uses are compatible with the neighborhoods where they are located. Additionally, specifically regulating these uses would establish a mechanism to require the payment of applicable taxes. Consistent with other lodging uses, taxes on short-term vacation rentals would include the Transient Occupancy Tax (TOT) of 10% of the gross rent paid by hotel guests, and the Conference Center Tax (CCT) which is $2.50 per occupied room per night. State Law Currently, there is no state law in effect that addresses short-term vacation rentals; however, the state legislature was considering two bills. Senate Bill (SB) 761 pertains to short term vacation rentals, and has been enacted and is awaiting Governor Brown’s signature. If signed into law, it will be effective January 1, 2016 and would require a hosting platform to provide a specific notice to an occupant listing a residence on the site that states, among other things, that, if the occupant is a tenant, listing the room, home, condominium, or apartment may violate the lease or contract and could result in legal action by the landlord, including possible eviction. SB 593, which has been postponed until the next legislative session, would have established reporting requirements for residential hosting platform websites (such as Airbnb); prohibit hosting platforms from offering properties that are prohibited by local law; and, require the hosting platform to collect and remit required taxes if requested by a local jurisdiction. Planning Commission On September 3, 2015, the Planning Commission held a public hearing to consider amending the Zoning Code to establish regulations related to short-term vacation rental uses. At that meeting, the Planning Commission voted 4-1 in favor of recommending establishing regulations for short- term vacation rental uses in order to give the City the ability to review and regulate these uses. The Commission also recommended 6-month and 12-month reviews for these proposed regulations and process, to allow a period to analyze level of interest in obtaining this type of permit, better understand issues related with this type of new land use, and develop metrics for permit review and processing time. Staff will provide reports at both the 6- and 12-month review periods for Planning Commission and City Council review, to determine if changes would be needed to the proposed regulations and process. The Planning Commission resolution is attached to this staff report. Public Input At the September 3 Planning Commission hearing, one member of the public spoke against these proposed regulations. The concern that was raised was the permitting process is unnecessary, and that there are people who operate short-term vacation rental uses as a means of addressing high housing costs. Staff Report Subject: SHORT-TERM VACATION RENTALS Date: September 23, 2015 Page 3 of 13 Staff has received several letters from members of the public commenting on proposed regulations for short-term vacation rentals, which are attached to this staff report. Comments received include both support for and opposition to the proposed short-term vacation rental regulations. Residents in support of these regulations have also expressed concern that short-term vacation rentals should not be located in multi-family residential buildings, where neighbors may experience greater impacts due to shared common spaces (parking, lobbies, hallways) and shared walls. The proposed performance standards for short-term vacation rental uses permit these uses in single-family dwelling units only, in order to address the potential impacts that could result due to shared common spaces and walls in multi-family buildings. Performance standards also include requirements for on-site parking, local management, as well as conduct, safety, and noise standards in order to minimize impacts to residential neighborhoods. Residents opposed to these regulations have expressed that the permitting process and fees place an unfair burden on senior citizens wishing to supplement their retirement income by operating a short-term vacation rental use. The proposed process is attempting to balance regulating these uses, while providing a relatively simple and inexpensive permitting process, to encourage residents to obtain a permit to operate a short-term vacation rental. DISCUSSION Current Regulations Short-term vacation rental uses are currently not addressed by the current Zoning Code. Staff has reviewed the existing land use classifications, and has determined that the most similar type of use to a short-term vacation rental is a “bed and breakfast” use, which is a sub-classification of the “Lodging” commercial use classification, defined as a residential structure that is in residential use with one or more bedrooms rented for overnight lodging and where meals may be provided (SSFMC Section 20.620.004). While similar, a “bed and breakfast” is differentiated from a short-term vacation rental because it is a residential structure of which a portion (i.e. a bedroom that is available for rent) is a dedicated commercial use. In contrast, a short-term vacation rental use reverts to a traditional residential use when the dwelling unit, or a portion of it, is not occupied by transient renters. Proposed Revisions Staff has examined the City’s current zoning regulations for substantially similar uses, and other jurisdictions’ regulations pertaining to short-term vacation rentals in order to recommend appropriate zoning revisions to regulate this emerging type of use. The proposed zoning amendment before the Planning Commission would create a new definition for a “short-term vacation rental” as a lodging use, create performance standards for this new use in order to ensure compatibility with surrounding neighborhoods, and revise the zoning districts where short-term vacation rental uses will be permitted, subject to the approval of a short-term vacation rental permit. Staff Report Subject: SHORT-TERM VACATION RENTALS Date: September 23, 2015 Page 4 of 13 Short-Term Vacation Rental Permit Process The proposed review and permitting process for a short-term vacation rental is intended to balance the need to have regulatory oversight for this type of use, while also provide a simple and relatively streamlined review process, to encourage members of the public to apply for a permit prior to advertising their home as a short-term vacation rental. Staff will be able to review the application in an expedited manner, rather than requiring a Minor Use Permit process, which would take approximately four to six weeks. The Chief Planner will provide approval for short- term vacation rental permits. Staff is recommending the fee for a short-term vacation rental permit of $150.00. For comparison, the fee for a Minor Use Permit for a residential use is $350.00. The recommended fee is intended to ensure maximum participation from short-term rental hosts in the City. As opposed to other planning permits, the approval for a short-term vacation rental will be issued to a specific person at a specific address; it will not be attached to the property. The short-term vacation rental permit would be valid for the term of one year from the date of issuance, and would need to be renewed after this term if the host wishes to continue operating a short-term vacation rental use, with a renewal fee of $50.00. If the short-term vacation rental regulations are adopted, staff would create a new application form specific to this permit type and would update the planning permit fee schedule. A sample short-term vacation rental permit application is attached for reference. Many municipalities have developed user-friendly guides to publicize and clarify the requirements for operating a short- term vacation rental. Staff recommends developing a similar guide as part of the permit application packet. Staff recommends publicizing the short-term vacation rental permit program via the City’s website and social media, and also working with hosting websites (such as Airbnb) to publicize the program and requirements. Staff will also attempt to work with hosting websites to collect the applicable taxes of any permitted host in the City. Text of Proposed Zoning Ordinance Revisions The primary change with the proposed zoning amendments would be to introduce a new definition that captures the characteristics of short-term vacation rental uses as a sub- classification of the Lodging Commercial Use Classification. In addition, minor changes to the “bed and breakfast” sub-classification of the Lodging Commercial Use Classification are proposed, in order to clarify the differences between short-term vacation rental uses and bed and breakfast uses. The proposed revisions are included below in red with deletions in strikethrough and additions in double underline, with a summary of the changes. 1. Revise Chapter 20.620.004 “Lodging” definitions (Commercial Use Classifications) as follows: Lodging. Bed and Breakfast. A residential structure that is in residential use with one or more bedrooms dedicated for rental rented for overnight lodging and where meals may be provided. This use type specifically excludes short-term vacation rental, as defined by this section. Staff Report Subject: SHORT-TERM VACATION RENTALS Date: September 23, 2015 Page 5 of 13 Short-Term Vacation Rental. A residential structure that is rented to a transient occupant for a period of less than 30 days. The full residential structure, or a portion of it, can be rented to a transient occupant in a short-term vacation rental use. This classification includes both hosted rentals (the Host, or primary resident, is present in the dwelling unit that is being used as a short-term rental) and non-hosted rentals (the host is not present in the dwelling unit that is being used as a short-term rental). These zoning amendments would establish a new use classification under “Lodging” named “short-term vacation rental”. By introducing the definition and use into the land use tables, the City would have the ability to regulate these uses, and establish a pilot program for short-term vacation rental permits. 2. Revise Section 20.350, Standards and Requirements for Specific Uses and Activities, to add a section to include performance standards for short-term vacation rentals, as follows: 20.350.035.05 Short-Term Vacation Rentals Short-term vacation rental uses shall be located, developed, and operated in compliance with the following standards: A. Type of Residence. Must be located and operated in a single-unit dwelling. B. Number of Uses. Short-term vacation rental uses shall be permitted in no more than one single-unit dwelling per lot. C. Permit Required; Duration of Permit. Any short-term vacation rental must apply for a short-term vacation rental permit on a form approved by the Chief Planner. The short- term vacation rental permit for a short-term vacation rental is valid for one year from date of issuance. D. Residency Requirements. Only permanent residents (owner or tenant) of the dwelling unit are eligible to operate a short-term vacation rental use. E. Transient Occupancy Limits. a. Hosted Rentals: If the host is onsite, the number of transient occupants must be limited to 2 or fewer. b. Non-hosted Rentals: If the host is offsite, the number of transient occupants must be limited to 2 persons/bedroom, plus 2 additional persons. F. Limit on Duration. The aggregate number of days for transient occupancy of a non- hosted short-term vacation rental is capped at 90 per term of the permit. There is no annual cap for hosted short-term vacation rentals. G. Local Contact Information. The permit holder shall keep on file with the City the name, telephone number, and email address of a local contact person who shall be responsible for responding to questions or concerns regarding the operation of a short-term vacation rental. This information shall be posted in a conspicuous location within the rental Staff Report Subject: SHORT-TERM VACATION RENTALS Date: September 23, 2015 Page 6 of 13 dwelling. The local contact person shall be available 24 hours a day to accept telephone calls and respond physically to the short-term vacation rental within one hour when the unit is occupied. H. Noise. The short-term vacation rental use must comply with the adopted noise standards for the district in accordance with section 8.32.030 of this code. I. Conduct. The permit holder must ensure that transient occupants of the short-term vacation rental do not engage in disorderly conduct, or violate code provisions or state law. J. Safety. All short-term vacation rentals must comply with all applicable building laws, including, but not limited to, providing working smoke detectors, carbon monoxide detectors, contain working heating, and otherwise satisfy all applicable requirements of the California Building Standards Code. K. Health and Safety Information. Hosts shall provide local health and safety information to renters, including locations of local hospitals and clinics, and non-emergency police contact information. L. Commercial Activities. Any commercial use beyond a permitted short-term vacation rental is prohibited. No Special Event as defined by section 6.48 of this code can be conducted as part of a short-term vacation rental. M. Advertising. All advertising (print or digital) for a short-term vacation rental shall include the number of the permit granted for the use. N. Business License. The permit holder shall obtain a City business license in accordance with Chapter 6.16 of this code. O. Applicable Taxes. The permit holder shall collect and remit all applicable City Taxes, including but not limited to Transient Occupancy Taxes and Conference Center Taxes in accordance with Chapter 4.20 of this code, as required. P. Consistency with Other Agreements. A short-term vacation rental use must be permitted by applicable HOA bylaws; Covenants, Conditions and Restrictions (CC+Rs); and rental agreements. Staff Report Subject: SHORT-TERM VACATION RENTALS Date: September 23, 2015 Page 7 of 13 3. Update Table 20.080.002 – Land Use Regulations, Residential Districts, as indicated below: Table 20.080.002: Land Use Regulations—Residential Districts Use Classification RL-1.3 RL-5,6, and 8 RM-10, 15, and 17.5 RH-30 and 35 Additional Regulations COMMERCIAL USE TYPES Lodging See sub-classifications below Bed and Breakfast MUP MUP MUP MUP See Section 20.350.010 Bed and Breakfast Lodging Short-Term Vacation Rental P (7) P (7) P (7) P (7) See Section 20.350.035.05 Short Term Vacation Rental Limitations: 1. Only in single-unit detached structures. 2. Limited to facilities serving a maximum of 10 victims and may not be located within 300 feet of any other domestic violence shelter. 3. Subject to state licensing requirements. 4. Only on parcels with access from arterial streets. 5. Minor Use Permit required when located within an existing building. Conditional Use Permit required for new construction. 6. Limited to sites with a maximum gross site area of 6,500 square feet and located on an arterial street. 7. Short-term vacation rental permit required (see section 20.350.035.05, Short-Term Vacation Rental). For property in Residential Zoning Districts, “short-term vacation rentals” would be a new use listed in the tables, and would be a permitted use, subject to the submittal and approval of a short-term vacation rental permit application, and the performance standards proposed in Section 20.350.035.05. 4. Update Table 20.100.002 - Land Use Regulations—Downtown Districts, as indicated below: Use Classification DMX DRL DRM DRH Additional Regulations Commercial Uses Lodging See sub-classifications below Bed and Breakfast MUP MUP MUP MUP See Section 20.350.010 Bed and Breakfast Lodging Hotels and Motels C - - - Staff Report Subject: SHORT-TERM VACATION RENTALS Date: September 23, 2015 Page 8 of 13 Use Classification DMX DRL DRM DRH Additional Regulations Short-Term Vacation Rentals P (11) P (11) P (11) P (11) See Section 20.350.035.05 Short Term Vacation Rental Limitations: 1. Permitted if existing. New units not allowed. 2. Limited to sites with a maximum gross site area of 4,000 square feet. 3. Prohibited on the ground floor except residential uses located south of Baden Avenue, banks, and walk-in offices which are subject to approval of a Use Permit. 4. Permitted if retail, restaurants, personal services, or other active pedestrian-oriented use is located on the ground floor, otherwise Minor Use Permit is required. Minor Use Permit may only be approved if the Review Authority first finds that, based on information in the record, it is infeasible to locate retail, restaurants, personal services, or other active pedestrian-oriented use on the ground floor. 5. Limited to facilities serving a maximum of 10 victims and may not be located within 300 feet of any other domestic violence shelter. 6. Subject to state licensing requirements. 7. Clinic uses may not occupy the ground floor, except along Grand Avenue, west of Maple Avenue, which are subject to the approval of a conditional use permit. 8. Living space may not occupy ground floor. 9. Limited to upper stories unless at least 50 percent of ground floor street frontage is occupied by food service use. 10. Limited to single-family detached units. 11. Short-term vacation rental permit required (see section 20.350.035.05, Short-Term Vacation Rental). 5. Update Section 20.240.03 – Land Use Permitted, as indicated below: The following uses are permitted subject to the regulations contained in this chapter, the Terrabay specific plans and applicable sections of the South San Francisco Municipal Code and subject to further approvals as required. A. Terrabay Residential District (Residential Parcels). 1. Public and private open space areas. 2. Habitat conservation areas. 3. Public and private parks, playgrounds, tot lots, recreation/community buildings, and fire stations. 4. Schools. Staff Report Subject: SHORT-TERM VACATION RENTALS Date: September 23, 2015 Page 9 of 13 5. Day care centers. 6. Public and private utilities, and facilities. 7. Single-unit detached dwellings consisting of 125 units in the Park and 135 units in Woods East and Woods West (collectively) neighborhoods only. 8. Townhomes consisting of 175 units in the Village neighborhood in two, three and four unit clusters only. 9. One condominium/apartment tower consisting of 112 one, two and three bedroom units in the Peninsula Mandalay Tower only. 10. Single- unit paired residential units consisting of 70 single-family units attached in 35 structures, paired in two side-by-side attached units (i.e., side by side duplex design) in the Mandalay Point neighborhood only. 11. Home occupations. 12. Accessory buildings and uses. 13. Short-term vacation rental, subject to the approval a short-term vacation rental permit and per the requirements of Section 20.350.035.05, Short-Term Vacation Rental. The proposed change to the Terrabay Residential District permitted uses is required in order to allow short-term vacation rentals in eligible single-unit dwellings within this district. 6. Update Table 20.250.003 – Land Use Regulations for Transit Village Sub-districts, as indicated below: TABLE 20.250.003: Land Use Regulations for Transit Village Sub-districts Uses Permitted TV-C TV-R TV-RM TV-RH Additional Regulations RESIDENTIAL USE CLASSIFICATIONS Single-Unit Dwelling See sub-classifications below Single-Unit Attached - - P P Multi-Unit Residential P(1) P(1) P P COMMERCIAL USE CLASSIFICATIONS Lodging See sub-classifications below Hotels and Motels C - - - Short-Term Vacation Rental - - P (4) P (4) See Section 20.350.035.05 Short-Term Vacation Rental Staff Report Subject: SHORT-TERM VACATION RENTALS Date: September 23, 2015 Page 10 of 13 TABLE 20.250.003: Land Use Regulations for Transit Village Sub-districts Uses Permitted TV-C TV-R TV-RM TV-RH Additional Regulations Specific Limitations: 1. Not permitted as a principal ground floor use on a street where retail storefronts occupy 50 percent of more of the building frontage. 2. Customer service offices are permitted on the ground level, and other offices are permitted on the second floor or when conducted as an accessory use with a permitted use on the site, occupying no more than 25 percent of the floor area. Additional office space may be allowed with a Use Permit, upon finding that such use will not conflict with adjacent street level retail uses. 3. Permitted as a secondary use on the second floor, occupying no more than 25 percent of the total building area. 4. Short-term vacation rental permit required (see section 20.350.035.05, Short-Term Vacation Rental). For property in Transit Village Residential Zoning Districts, “short-term vacation rentals” would be a new use listed in the tables, and would be a permitted use, subject to the submittal and approval of a short-term vacation rental permit application, and the performance standards proposed in Section 20.350.035.05. 7. Update Table 20.280.003 Land Use Regulations Downtown Station Area Specific Plan Sub-Districts, as indicated below: Uses Permitted DTC GAC DRC TO/RD LCC LNC Additional Regulations Lodging See sub-classifications below Bed and Breakfast - MUP (5) C - MUP MUP See Section 20.350.010 Bed and Breakfast Lodging Short-Term Vacation Rental P (8) P (8) P (8) P (8) P (8) P (8) See Section 20.350.035.05 Short- Term Vacation Rental Staff Report Subject: SHORT-TERM VACATION RENTALS Date: September 23, 2015 Page 11 of 13 Uses Permitted DTC GAC DRC TO/RD LCC LNC Additional Regulations Limitations: 1. Permitted if existing. New units not allowed. 2. Limited to facilities serving a maximum of 10 victims and may not be located within 300 feet of any other domestic violence shelter. 3. Prohibited on the ground floor except residential uses located south of Baden Avenue, banks and walk-in offices which are subject to approval of a Use Permit. 4. Subject to licensing requirements. 5. Limited to upper stories unless at least 50 percent of the ground floor street frontage is occupied by food service uses. 6. Must be located at least 1,000 feet from any other social service facility. 7. Clinic uses may not occupy the ground floor along Grand Avenue, except on properties located west of Maple Avenue, which are subject to the approval of a conditional use permit. 8. Short-term vacation rental permit required (see section 20.350.035.05, Short-Term Vacation Rental.) While the Downtown Station Area Specific Plan (DSASP) envisions higher densities and intensities in these districts, there are existing single-unit dwellings within several of the DSASP sub-districts. These proposed changes are would permit short-term vacation rentals within these existing single-unit dwellings, subject to the submittal and approval of a short-term vacation rental permit application, and the performance standards proposed in Section 20.350.035.05. 8. Update Table 20.330.004: Required On-Site Parking Spaces, as indicated below: Table 20.330.004: Required On-Site Parking Spaces Land Use Classification Required Parking Spaces COMMERCIAL USE CLASSIFICATIONS Lodging Bed and Breakfast 1 per room for rent in addition to parking required for residential use. Hotels and Motels 1 per each sleeping unit, plus 2 spaces adjacent to registration office. Additional parking required for ancillary uses, such as restaurants, according to the parking requirements for the ancillary use. See Subsection 20.330.006(C) Airport-Oriented Hotels and Motels. Short-Term Vacation Rental At least one off-street parking space required for use by the short- term vacation rental transient occupants. The required parking for the existing residential use may be used to provide this parking space. Table 20.330.004 will be updated to include a parking requirement for short-term vacation rental uses. Staff Report Subject: SHORT-TERM VACATION RENTALS Date: September 23, 2015 Page 12 of 13 Benefits to the Proposed Zoning Amendments Adding a definition of “short-term vacation rentals” and including performance standards for this type of use offers the City the ability to review and regulate these uses, since the Zoning Ordinance does not currently include a definition that addresses these uses. In order to minimize impacts to residential neighborhoods and preserve neighborhood character, robust performance standards would limit these uses to single-family residential dwelling units, require on-site parking, limit the number of days that a dwelling unit may be used as a short-term vacation rental, limit the number of guests at one time, and require local property management. Additionally, the regulations for short-term vacation rentals will require payment of taxes, consistent with other lodging uses within the City. Finally, regulation of these types of uses will help to ensure that potential for-sale or long-term rental units are not being removed from the market to be offered as short-term vacation rentals, and thus not contribute to the Bay Area’s housing shortage. GENERAL PLAN CONSISTENCY Any change to the Zoning Ordinance must be consistent with the General Plan and any applicable specific plans. In this case, the proposed Zoning Amendment is consistent with the adopted General Plan because the Zoning Amendment will reinforce the General Plan policies, is consistent with the relevant specific plans, and is consistent with the City’s overall vision for community development, economic vitality, and preservation of residential neighborhood character. None of the new or revised use definitions, performance standards, and modifications to allowable land uses will conflict with or impede achievement of any of the goals, policies, or land use designations established in the General Plan. ENVIRONMENTAL DETERMINATION The revisions and corrections set forth in this Zoning Amendment, as they relate to “Short-Term Vacation Rental” uses Citywide, are minor in nature, the adoption of which would not result in any new significant environmental effects or a substantial increase in the severity of any previously identified effects beyond those disclosed and analyzed in the Initial Study / Negative Declaration (IS/ND) prepared and circulated for the Zoning Ordinance adoption, nor do the refinements, clarifications, and/or corrections constitute a change in the project or change in circumstances that would require additional environmental review. Accordingly, no further California Environmental Quality Act (CEQA) review is required to approve the amendments. Staff Report Subject: SHORT-TERM VACATION RENTALS Date: September 23, 2015 Page 13 of 13 CONCLUSION It is recommended that the City Council follow the recommendation of the Planning Commission and take the following action: 1. Introduce an Ordinance approving Zoning Amendment ZA15-0006, amending the Zoning Code to establish regulations related to short-term vacation rental uses and waive further reading. By: Approved: Alex Greenwood Director of Economic and Community Development Mike Futrell City Manager Attachments: 1. Draft Zoning Amendment Ordinance p. 1 2. Planning Commission Zoning Text Amendment Resolution 2777-2015 p. 14 3. Communication Received p. 30 4. Sample Short-Term Vacation Rental Permit Application p. 33 5. PowerPoint Presentation p. 38 Attachment 1 Draft Zoning Amendment Ordinance 11 ORDINANCE NO. ________ CITY COUNCIL, CITY OF SOUTH SAN FRANCISCO STATE OF CALIFORNIA AN ORDINANCE MAKING MODIFICATIONS TO THE SOUTH SAN FRANCISCO ZONING CODE, RELATED TO SHORT-TERM VACATION RENTAL USES CITYWIDE WHEREAS, in July of 2010, the City Council for the City of South San Francisco adopted a comprehensive update to the City’s zoning ordinance, which repealed the then-existing Title 20 of the South San Francisco Municipal Code (“Zoning Ordinance”), and replaced it with an entirely new Title 20 that, among other actions, established new zoning districts, revised and reformatted many then-existing zoning provisions, eliminated inconsistent and outdated provisions, and codified entirely new zoning provisions, including new land use regulations and development standards; and, WHEREAS, recently short-term vacation rental uses have grown in popularity with the rise of the sharing economy; and, WHEREAS, the City of South San Francisco (“City”) has identified the need to specifically design and regulate short-term vacation rental uses in order to minimize impacts to neighborhoods and preserve neighborhood character, while balancing the desire to accommodate this new use; and, WHEREAS, staff recommends defining a short-term vacation rental as a lodging use given that pursuant to Chapter 4.20 of the Municipal Code, the use is subject to Transient Occupancy Tax and Conference Center Tax requirements; and, WHEREAS, City staff prepared the attached Zoning Code text amendment (“Zoning Amendment”) to include a definition of short-term vacation rentals as a new lodging sub- classification and establish specific performance standards for these uses; and, WHEREAS, the Zoning Ordinance was adopted after preparation, circulation, consideration, and adoption of an Initial Study/Negative Declaration (“IS/ND”) in accordance with the California Environmental Quality Act, Public Resources Code Sections 21000, et seq. (“CEQA”), which IS/ND analyzed the environmental impacts of adopting the Zoning Ordinance and concluded that adoption of the Zoning Ordinance could not have a significant effect on the environment because none of the impacts required to be analyzed under CEQA would exceed established thresholds of significance; and, 2 WHEREAS, the refinements, clarifications, and/or corrections set forth in this Zoning Amendment, as they relate to Short-Term Vacation Rental uses Citywide, are minor in nature, the adoption of which would not result in any new significant environmental effects or a substantial increase in the severity of any previously identified effects beyond those disclosed and analyzed in the IS/ND prepared and circulated for the Zoning Ordinance, nor do the refinements, clarifications, and/or corrections constitute a change in the project or change in circumstances that would require additional environmental review. NOW, THEREFORE, BE IT ORDAINED that based on the entirety of the Record before it, as described below, the City Council of the City of South San Francisco does hereby ORDAIN as follows: SECTION I. FINDINGS. Based on the entirety of the record as described above, the City Council for the City of South San Francisco hereby makes the following findings: A. General Findings. 1. The foregoing recitals are true and correct and made a part of this Ordinance. 2. The Record for these proceedings, and upon which this Ordinance is based, includes without limitation, Federal and State law; the California Environmental Quality Act (Public Resources Code §§ 21000, et seq. (“CEQA”)) and the CEQA Guidelines (14 California Code of Regulations § 15000, et seq.); the South San Francisco 1999 General Plan and General Plan Environmental Impact Report, including the 2001 updates to the General Plan and 2001 Supplemental Environmental Impact Report; the South San Francisco Municipal Code; the Initial Study and Negative Declaration prepared for the Zoning Ordinance Update, including all written comments received; all reports, minutes, and public testimony submitted as part of the Planning Commission's duly noticed meeting on September 3, 2015; all reports, minutes, and public testimony submitted as part of the City Council's duly noticed meeting on September 23, 2015; and any other evidence (within the meaning of Public Resources Code §21080(e) and §21082.2). 3. The documents and other material constituting the record for these proceedings are located at the Planning Division for the City of South San Francisco, 315 Maple Avenue, South San Francisco, CA 94080, and in the custody of Chief Planner, Sailesh Mehra. B. Zoning Amendment Findings 1. The proposed Zoning Amendment is consistent with the adopted General Plan because the Zoning Amendment will reinforce the General Plan policies, is consistent with the relevant specific plans, and is consistent with the City’s overall vision for community 3 development, economic vitality, and preservation of residential neighborhood character. None of the new or revised use definitions and modifications to allowable land uses will conflict with or impede achievement of any of the goals, policies, or land use designations established in the General Plan. 2. The Zoning Amendment to include the Short-Term Vacation Rental definition and performance standards for these uses would protect future land uses in the applicable zoning districts but would not affect any particular subject property. The zoning districts where Short- Term Vacation Rental uses would be permitted or conditionally permitted are generally suitable in terms of access, size of parcel, relationship to similar or related uses, and other considerations as deemed relevant by the Planning Commission and City Council because the proposed uses are consistent with General Plan policies, specifically those policies related to maintaining a balanced land use program with appropriate performance standards to ensure that Short-Term Vacation Rental uses do not negatively impact residential neighborhoods. 3. The proposed change in permitted or conditionally permitted uses in certain zoning districts will not be detrimental to the use of land in any adjacent zone because the proposed Zoning Amendment will include performance standards for Short-Term Vacation Rental Uses that pertain to parking, safety, and occupancy limits. SECTION II. AMENDMENTS. The City Council hereby amends the following sections of the South San Francisco Municipal Code to read as follows (with text in strikeout indicating deletion and double underline indicating addition). Sections and subsections that are not amended by this Ordinance are not included below, and shall remain in full force and effect. A. Revise Chapter 20.620.004 “Lodging” definitions (Commercial Use Classifications) as follows: 20.620.004 Commercial Use Classifications Lodging. Bed and Breakfast. A residential structure that is in residential use with one or more bedrooms dedicated for rental rented for overnight lodging and where meals may be provided. This use type specifically excludes short-term vacation rental, as defined by this section. Short-Term Vacation Rental. A residential structure that is rented to a transient occupant for a period of less than 30 days. The full residential structure, or a portion of it, can be rented to a transient occupant in a short-term vacation rental use. This classification includes both hosted rentals (the primary resident, or host, is present in the dwelling unit that is being used as a short- 4 term rental) and non-hosted rentals (the host is not present in the dwelling unit that is being used as a short-term rental). B. Revise Section 20.350, Standards and Requirements for Specific Uses and Activities, to add a section to include performance standards for short-term vacation rentals, as follows: 20.350.035.05 Short-Term Vacation Rentals Short-term vacation rental uses shall be located, developed, and operated in compliance with the following standards: A. Type of Residence. Must be located and operated in a single-unit dwelling. B. Number of Uses. Short-term vacation rental uses shall be permitted in no more than one single-unit dwelling per lot. C. Permit Required; Duration of Permit. Any short-term vacation rental must apply for a short-term vacation rental permit on a form approved by the Chief Planner. The short- term vacation rental permit for a short-term vacation rental is valid for one year from date of issuance. D. Residency Requirements. Only permanent residents (owner or tenant) of the dwelling unit are eligible to operate a short-term vacation rental use. E. Transient Occupancy Limits. a. Hosted Rentals: If the host is onsite, the number of transient occupants must be limited to 2 or fewer. b. Non-hosted Rentals: If the host is offsite, the number of transient occupants must be limited to 2 persons/bedroom, plus 2 additional persons. F. Limit on Duration. The aggregate number of days for transient occupancy of a non- hosted short-term vacation rental is capped at 90 per term of the permit. There is no annual cap for hosted short-term vacation rentals. G. Local Contact Information. The permit holder shall keep on file with the City the name, telephone number, and email address of a local contact person who shall be responsible for responding to questions or concerns regarding the operation of a short-term vacation rental. This information shall be posted in a conspicuous location within the rental dwelling. The local contact person shall be available 24 hours a day to accept telephone calls and respond physically to the short-term vacation rental within one hour when the unit is occupied. H. Noise. The short-term vacation rental use must comply with the adopted noise standards for the district in accordance with section 8.32.030 of this code. I. Conduct. The permit holder must ensure that transient occupants of the short-term vacation rental do not engage in disorderly conduct, or violate code provisions or state law. 5 J. Safety. All short-term vacation rentals must comply with all applicable building laws, including, but not limited to, providing working smoke detectors, carbon monoxide detectors, contain working heating, and otherwise satisfy all applicable requirements of the California Building Standards Code. K. Health and Safety Information. Hosts shall provide local health and safety information to renters, including locations of local hospitals and clinics, and non-emergency police contact information. L. Commercial Activities. Any commercial use beyond a permitted short-term vacation rental is prohibited. No Special Event as defined by section 6.48 of this code can be conducted as part of a short-term vacation rental. M. Advertising. All advertising (print or digital) for a short-term vacation rental shall include the number of the permit granted for the use. N. Business License. The permit holder shall obtain a city business license in accordance with Chapter 6.16 of this code. O. Applicable Taxes. The permit holder shall collect and remit all applicable City Taxes, including but not limited to Transient Occupancy Taxes and Conference Center Taxes in accordance with Chapter 4.20 of this code, as required. P. Consistency with Other Agreements. A short-term vacation rental use must be permitted by applicable HOA bylaws; Covenants, Conditions and Restrictions (CC+Rs); and rental agreements. C. Update Table 20.080.002 – Land Use Regulations, Residential Districts, as indicated below: TABLE 20.080.002: LAND USE REGULATIONS—RESIDENTIAL DISTRICTS Use Classification RL-1.3 RL-5,6, and 8 RM-10, 15, and 17.5 RH-30 and 35 Additional Regulations Commercial Use Types Lodging See sub-classifications below Bed and Breakfast MUP MUP MUP MUP See Section 20.350.010 Bed and Breakfast Lodging Short-Term Vacation Rental P (7) P (7) P (7) P (7) See Section 20.350.035.05 Short-Term Vacation Rental 6 TABLE 20.080.002: LAND USE REGULATIONS—RESIDENTIAL DISTRICTS Use Classification RL-1.3 RL-5,6, and 8 RM-10, 15, and 17.5 RH-30 and 35 Additional Regulations Limitations: 1. Only in single-unit detached structures. 2. Limited to facilities serving a maximum of 10 victims and may not be located within 300 feet of any other domestic violence shelter. 3. Subject to state licensing requirements. 4. Only on parcels with access from arterial streets. 5. Minor Use Permit required when located within an existing building. Conditional Use Permit required for new construction. 6. Limited to sites with a maximum gross site area of 6,500 square feet and located on an arterial street. 7. Short-term vacation rental permit required (see section 20.350.035.05, Short-Term Vacation Rental). 7 D. Update Table 20.100.002 - Land Use Regulations—Downtown Districts, as indicated below: Use Classification DMX DRL DRM DRH Additional Regulations Commercial Uses Lodging See sub-classifications below Bed and Breakfast MUP MUP MUP MUP See Section 20.350.010 Bed and Breakfast Lodging Hotels and Motels C - - - Short-Term Vacation Rentals P (11) P (11) P (11) P (11) See Section 20.350.035.05 Short-Term Vacation Rental Limitations: 1. Permitted if existing. New units not allowed. 2. Limited to sites with a maximum gross site area of 4,000 square feet. 3. Prohibited on the ground floor except residential uses located south of Baden Avenue, banks, and walk-in offices which are subject to approval of a Use Permit. 4. Permitted if retail, restaurants, personal services, or other active pedestrian-oriented use is located on the ground floor, otherwise Minor Use Permit is required. Minor Use Permit may only be approved if the Review Authority first finds that, based on information in the record, it is infeasible to locate retail, restaurants, personal services, or other active pedestrian-oriented use on the ground floor. 5. Limited to facilities serving a maximum of 10 victims and may not be located within 300 feet of any other domestic violence shelter. 6. Subject to state licensing requirements. 7. Clinic uses may not occupy the ground floor, except along Grand Avenue, west of Maple Avenue, which are subject to the approval of a conditional use permit. 8. Living space may not occupy ground floor. 9. Limited to upper stories unless at least 50 percent of ground floor street frontage is occupied by food service use. 10. Limited to single-family detached units. 11. Short-term vacation rental permit required (see section 20.350.035.05, Short-Term Vacation Rental). 8 E. Update Section 20.240.03 – Land Use Permitted, as indicated below: The following uses are permitted subject to the regulations contained in this chapter, the Terrabay specific plans and applicable sections of the South San Francisco Municipal Code and subject to further approvals as required. A. Terrabay Residential District (Residential Parcels). 1. Public and private open space areas. 2. Habitat conservation areas. 3. Public and private parks, playgrounds, tot lots, recreation/community buildings, and fire stations. 4. Schools. 5. Day care centers. 6. Public and private utilities, and facilities. 7. Single-unit detached dwellings consisting of 125 units in the Park and 135 units in Woods East and Woods West (collectively) neighborhoods only. 8. Townhomes consisting of 175 units in the Village neighborhood in two, three and four unit clusters only. 9. One condominium/apartment tower consisting of 112 one, two and three bedroom units in the Peninsula Mandalay Tower only. 10. Single- unit paired residential units consisting of 70 single-family units attached in 35 structures, paired in two side-by-side attached units (i.e., side by side duplex design) in the Mandalay Point neighborhood only. 11. Home occupations. 12. Accessory buildings and uses. 13. Short-term vacation rental, subject to the approval a short-term vacation rental permit and per the requirements of Section 20.350.035.05, Short-Term Vacation Rental. F. Update Table 20.250.003 – Land Use Regulations for Transit Village Sub-districts, as indicated below: TABLE 20.250.003: LAND USE REGULATIONS FOR TRANSIT VILLAGE SUB-DISTRICTS Uses Permitted TV-C TV-R TV-RM TV-RH Additional Regulations RESIDENTIAL USE CLASSIFICATIONS Single-Unit Dwelling See sub-classifications below Single-Unit Attached - - P P Multi-Unit Residential P(1) P(1) P P 9 TABLE 20.250.003: LAND USE REGULATIONS FOR TRANSIT VILLAGE SUB-DISTRICTS Uses Permitted TV-C TV-R TV-RM TV-RH Additional Regulations COMMERCIAL USE CLASSIFICATIONS Lodging See sub-classifications below Hotels and Motels C - - - Short-Term Vacation Rental - - P (4) P (4) See Section 20.350.035.05 Short-Term Vacation Rental Specific Limitations: 1.Not permitted as a principal ground floor use on a street where retail storefronts occupy 50 percent of more of the building frontage. 2.Customer service offices are permitted on the ground level, and other offices are permitted on the second floor or when conducted as an accessory use with a permitted use on the site, occupying no more than 25 percent of the floor area. Additional office space may be allowed with a Use Permit, upon finding that such use will not conflict with adjacent street level retail uses. 3.Permitted as a secondary use on the second floor, occupying no more than 25 percent of the total building area. 4.Short-term vacation rental permit required (see section 20.350.035.05, Short-Term Vacation Rental). G.Update Table 20.280.003 Land Use Regulations Downtown Station Area Specific Plan Sub-Districts, as indicated below: Uses Permitted DTC GAC DRC TO/RD LCC LNC Additional Regulations Lodging See sub-classifications below Bed and Breakfast - MUP (5) C - MUP MUP See Section 20.350.010 Bed and Breakfast Lodging Short-Term Vacation Rental P (8) P (8) P (8) P (8) P (8) P (8) See Section 20.350.035.05 Short- Term Vacation Rental 10 Uses Permitted DTC GAC DRC TO/RD LCC LNC Additional Regulations Limitations: 1. Permitted if existing. New units not allowed. 2. Limited to facilities serving a maximum of 10 victims and may not be located within 300 feet of any other domestic violence shelter. 3. Prohibited on the ground floor except residential uses located south of Baden Avenue, banks and walk-in offices which are subject to approval of a Use Permit. 4. Subject to licensing requirements. 5. Limited to upper stories unless at least 50 percent of the ground floor street frontage is occupied by food service uses. 6. Must be located at least 1,000 feet from any other social service facility. 7. Clinic uses may not occupy the ground floor along Grand Avenue, except on properties located west of Maple Avenue, which are subject to the approval of a conditional use permit. 8. Short-term vacation rental permit required (see section 20.350.035.05, Short-Term Vacation Rental.) 8. Update Table 20.330.004: Required On-Site Parking Spaces, as indicated below: TABLE 20.330.004: REQUIRED ON-SITE PARKING SPACES Land Use Classification Required Parking Spaces Commercial Use Classifications Lodging Bed and Breakfast 1 per room for rent in addition to parking required for residential use. Hotels and Motels 1 per each sleeping unit, plus 2 spaces adjacent to registration office. Additional parking required for ancillary uses, such as restaurants, according to the parking requirements for the ancillary use. See Subsection 20.330.006(C) Airport-Oriented Hotels and Motels. Short-Term Vacation Rental At least one off-street parking space required for use by the short- term vacation rental transient occupants. The required parking for the existing residential use may be used to provide this parking space. SECTION III. SEVERABILITY. If any provision of this Ordinance or the application thereof to any person or circumstance is held invalid or unconstitutional, the remainder of this Ordinance, including the application of such part or provision to other persons or circumstances shall not be affected thereby and shall continue in full force and effect. To this end, provisions of this Ordinance are 11 severable. The City Council of the City of South San Francisco hereby declares that it would have passed each section, subsection, subdivision, paragraph, sentence, clause, or phrase hereof irrespective of the fact that any one or more sections, subsections, subdivisions, paragraphs, sentences, clauses, or phrases be held unconstitutional, invalid, or unenforceable. SECTION IV. PUBLICATION AND EFFECTIVE DATE. Pursuant to the provisions of Government Code Section 36933, a summary of this Ordinance shall be prepared by the City Attorney. At least five (5) days prior to the Council meeting at which this Ordinance is scheduled to be adopted, the City Clerk shall (1) publish the Summary, and (2) post in the City Clerk’s Office a certified copy of this Ordinance. Within fifteen (15) days after the adoption of this Ordinance, the City Clerk shall (1) publish the summary, and (2) post in the City Clerk’s Office a certified copy of the full text of this Ordinance along with the names of those City Council members voting for and against this Ordinance or otherwise voting. This Ordinance shall become effective thirty (30) days from and after its adoption. * * * * * * * Introduced at a regular meeting of the City Council of the City of South San Francisco, held the 23rd day of September, 2015. Adopted as an Ordinance of the City of South San Francisco at a regular meeting of the City Council held the _____ day of _____________, 2015 by the following vote: AYES:_______________________________________________________________________ NOES:_______________________________________________________________________ ABSTENTIONS:_______________________________________________________________ 12 ABSENT:_____________________________________________________________________ Attest:__________________________________ Krista Martinelli, City Clerk As Mayor of the City of South San Francisco, I do hereby approve the foregoing Ordinance this _____ day of _____________, 2015. Mayor 2512508.1 13 Attachment 2 Planning Commission Zoning Text Amendment Resolution 2777-2015 1414 RESOLUTION NO. 2777-2015 PLANNING COMMISSION, CITY OF SOUTH SAN FRANCISCO STATE OF CALIFORNIA A RESOLUTION RECOMMENDING MODIFICATIONS TO THE SOUTH SAN FRANCISCO ZONING CODE, RELATED TO SHORT-TERM VACATION RENTAL USES CITYWIDE WHEREAS, in July of 2010, the City Council for the City of South San Francisco adopted a comprehensive update to the City’s zoning ordinance, which repealed the then-existing Title 20 of the South San Francisco Municipal Code (“Zoning Ordinance”), and replaced it with an entirely new Title 20 that, among other actions, established new zoning districts, revised and reformatted many then-existing zoning provisions, eliminated inconsistent and outdated provisions, and codified entirely new zoning provisions, including new land use regulations and development standards; and, WHEREAS, short-term vacation rental uses have grown in popularity with the rise of the sharing economy; and, WHEREAS, the City has identified the need to regulate short-term vacation rental uses in order to minimize impacts to residential neighborhoods and preserve neighborhood character, while balancing tourism; and, WHEREAS, staff recommends defining a short-term vacation rental as a lodging use that is subject to Transient Occupancy Tax and Conference Center Tax requirements; and, WHEREAS, City staff prepared the attached Zoning Code text amendment (“Zoning Amendment”) to include a definition of short-term vacation rentals as a new lodging sub- classification and establish performance standards for these use; and, WHEREAS, the Zoning Ordinance was adopted after preparation, circulation, consideration, and adoption of an Initial Study/Negative Declaration (“IS/ND”) in accordance with the California Environmental Quality Act, Public Resources Code Sections 21000, et seq. (“CEQA”), which IS/ND analyzed the environmental impacts of adopting the Zoning Ordinance and concluded that adoption of the Zoning Ordinance could not have a significant effect on the environment because none of the impacts required to be analyzed under CEQA would exceed established thresholds of significance; and, WHEREAS, the refinements, clarifications, and/or corrections set forth in this Zoning Amendment, as they relate to Short-Term Vacation Rental uses Citywide, are minor in nature, the adoption of which would not result in any new significant environmental effects or a substantial increase in the severity of any previously identified effects beyond those disclosed 1515 and analyzed in the IS/ND prepared and circulated for the Zoning Ordinance, nor do the refinements, clarifications, and/or corrections constitute a change in the project or change in circumstances that would require additional environmental review. WHEREAS, on September 3, 2015 the Planning Commission for the City of South San Francisco held a lawfully noticed public hearing to solicit public comment and consider the proposed amendments, take public testimony, and make a recommendation to the City Council on the project. NOW, THEREFORE, BE IT RESOLVED that based on the entirety of the record before it, which includes without limitation, the California Environmental Quality Act, Public Resources Code §21000, et seq. (“CEQA”) and the CEQA Guidelines, 14 California Code of Regulations §15000, et seq.; the South San Francisco General Plan and General Plan EIR; the South San Francisco Municipal Code; the Zoning Ordinance Text Amendments; and all reports, minutes, and public testimony submitted as part of the Planning Commission’s duly noticed September 3, 2015 meeting; and any other evidence (within the meaning of Public Resources Code §21080(e) and §21082.2), the Planning Commission of the City of South San Francisco hereby finds as follows: SECTION I FINDINGS A. General Findings. 1. The foregoing recitals are true and correct and made a part of this Resolution. 2. Exhibit A attached to this Resolution, is incorporated by reference and made a part of this Resolution, as if set forth fully herein. 3. The documents and other material constituting the record for these proceedings are located at the Planning Division for the City of South San Francisco, 315 Maple Avenue, South San Francisco, CA 94080, and in the custody of Chief Planner, Sailesh Mehra. B. Zoning Amendment Findings 1. The proposed Zoning Amendment is consistent with the adopted General Plan because the Zoning Amendment will reinforce the General Plan policies, is consistent with the relevant specific plans, and is consistent with the City’s overall vision for community development, economic vitality, and preservation of residential neighborhood character. None of the new or revised use definitions and modifications to allowable land uses will conflict with or impede achievement of any of the goals, policies, or land use designations established in the General Plan. 2. The Zoning Amendment to include the Short-Term Vacation Rental definition and performance standards for these uses would protect future land uses in the applicable zoning districts but would not affect any particular subject property. The zoning districts where Short- 1616 Term Vacation Rental uses would be permitted or conditionally permitted are generally suitable in terms of access, size of parcel, relationship to similar or related uses, and other considerations as deemed relevant by the Planning Commission and City Council because the proposed uses are consistent with General Plan policies, specifically those policies related to maintaining a balanced land use program with appropriate performance standards to ensure that Short-Term Vacation Rental uses do not negatively impact residential neighborhoods. 3. The proposed change in permitted or conditionally permitted uses in certain zoning districts will not be detrimental to the use of land in any adjacent zone because the proposed Zoning Amendment will include performance standards for Short-Term Vacation Rental Uses that pertain to parking, safety, and occupancy limits. SECTION II RECOMMENDATION NOW, THEREFORE, BE IT FURTHER RESOLVED that the Planning Commission of the City of South San Francisco hereby makes the findings contained in this Resolution, and recommends that the City Council adopt an ordinance amending the Zoning Code, as attached hereto as Exhibit A. BE IT FURTHER RESOLVED that this Resolution shall become effective immediately upon its passage and adoption. * * * * * * * I hereby certify that the foregoing resolution was adopted by the Planning Commission of the City of South San Francisco at the regular meeting held on the 3rd day of September, 2015 by the following vote: AYES: Chairperson Wong, Commissioner Lujan, Commissioner Nagales and Commissioner Ruiz NOES: Commissioner Martin ABSTENTIONS: ABSENT: Vice Chairperson Khalfin and Commissioner Faria Attest:__________________________________ Sailesh Mehra Secretary to the Planning Commission 1717 ORDINANCE NO. ________ CITY COUNCIL, CITY OF SOUTH SAN FRANCISCO STATE OF CALIFORNIA AN ORDINANCE MAKING MODIFICATIONS TO THE SOUTH SAN FRANCISCO ZONING CODE, RELATED TO SHORT-TERM VACATION RENTAL USES CITYWIDE WHEREAS, in July of 2010, the City Council for the City of South San Francisco adopted a comprehensive update to the City’s zoning ordinance, which repealed the then-existing Title 20 of the South San Francisco Municipal Code (“Zoning Ordinance”), and replaced it with an entirely new Title that, among other actions, established new zoning districts, revised and reformatted many then-existing zoning provisions, eliminated inconsistent and outdated provisions, and codified entirely new zoning provisions, including new land use regulations and development standards; and, WHEREAS, short-term vacation rental uses have grown in popularity with the rise of the sharing economy; and, WHEREAS, the City of South San Francisco (“City”) has identified the need to regulate short-term vacation rental uses in order to minimize impacts to neighborhoods and preserve neighborhood character, while balancing the desire to accommodate tourism; and, WHEREAS, staff recommends defining a short-term vacation rental as a lodging use that is subject to Transient Occupancy Tax and Conference Center Tax requirements; and, WHEREAS, City staff prepared the attached Zoning Code text amendment (“Zoning Amendment”) to include a definition of short-term vacation rentals as a new lodging sub- classification and establish performance standards for these uses; and, WHEREAS, the Zoning Ordinance was adopted after preparation, circulation, consideration, and adoption of an Initial Study/Negative Declaration (“IS/ND”) in accordance with the California Environmental Quality Act, Public Resources Code Sections 21000, et seq. (“CEQA”), which IS/ND analyzed the environmental impacts of adopting the Zoning Ordinance and concluded that adoption of the Zoning Ordinance could not have a significant effect on the environment because none of the impacts required to be analyzed under CEQA would exceed established thresholds of significance; and, 1818 WHEREAS, the refinements, clarifications, and/or corrections set forth in this Zoning Amendment, as they relate to Short-Term Vacation Rental uses Citywide, are minor in nature, the adoption of which would not result in any new significant environmental effects or a substantial increase in the severity of any previously identified effects beyond those disclosed and analyzed in the IS/ND prepared and circulated for the Zoning Ordinance, nor do the refinements, clarifications, and/or corrections constitute a change in the project or change in circumstances that would require additional environmental review. NOW, THEREFORE, BE IT ORDAINED that based on the entirety of the Record before it, as described below, the City Council of the City of South San Francisco does hereby ORDAIN as follows: SECTION I. FINDINGS. Based on the entirety of the record as described above, the City Council for the City of South San Francisco hereby makes the following findings: A. General Findings. 1. The foregoing recitals are true and correct and made a part of this Ordinance. 2. The Record for these proceedings, and upon which this Ordinance is based, includes without limitation, Federal and State law; the California Environmental Quality Act (Public Resources Code §§ 21000, et seq. (“CEQA”)) and the CEQA Guidelines (14 California Code of Regulations § 15000, et seq.); the South San Francisco 1999 General Plan and General Plan Environmental Impact Report, including the 2001 updates to the General Plan and 2001 Supplemental Environmental Impact Report; the South San Francisco Municipal Code; the Initial Study and Negative Declaration prepared for the Zoning Ordinance Update, including all written comments received; all reports, minutes, and public testimony submitted as part of the Planning Commission's duly noticed meeting on September 3, 2015; all reports, minutes, and public testimony submitted as part of the City Council's duly noticed meeting on September 23, 2015; and any other evidence (within the meaning of Public Resources Code §21080(e) and §21082.2). 3. The documents and other material constituting the record for these proceedings are located at the Planning Division for the City of South San Francisco, 315 Maple Avenue, South San Francisco, CA 94080, and in the custody of Chief Planner, Sailesh Mehra. B. Zoning Amendment Findings 1. The proposed Zoning Amendment is consistent with the adopted General Plan because the Zoning Amendment will reinforce the General Plan policies, is consistent with the relevant specific plans, and is consistent with the City’s overall vision for community 1919 development, economic vitality, and preservation of residential neighborhood character. None of the new or revised use definitions and modifications to allowable land uses will conflict with or impede achievement of any of the goals, policies, or land use designations established in the General Plan. 2. The Zoning Amendment to include the Short-Term Vacation Rental definition and performance standards for these uses would protect future land uses in the applicable zoning districts but would not affect any particular subject property. The zoning districts where Short- Term Vacation Rental uses would be permitted or conditionally permitted are generally suitable in terms of access, size of parcel, relationship to similar or related uses, and other considerations as deemed relevant by the Planning Commission and City Council because the proposed uses are consistent with General Plan policies, specifically those policies related to maintaining a balanced land use program with appropriate performance standards to ensure that Short-Term Vacation Rental uses do not negatively impact residential neighborhoods. 3. The proposed change in permitted or conditionally permitted uses in certain zoning districts will not be detrimental to the use of land in any adjacent zone because the proposed Zoning Amendment will include performance standards for Short-Term Vacation Rental Uses that pertain to parking, safety, and occupancy limits. SECTION II. AMENDMENTS. The City Council hereby amends the following sections of the South San Francisco Municipal Code to read as follows (with text in strikeout indicating deletion and double underline indicating addition). Sections and subsections that are not amended by this Ordinance are not included below, and shall remain in full force and effect. A. Revise Chapter 20.620.004 “Lodging” definitions (Commercial Use Classifications) as follows: 20.620.004 Commercial Use Classifications Lodging. Bed and Breakfast. A residential structure that is in residential use with one or more bedrooms dedicated for rental rented for overnight lodging and where meals may be provided. This use type specifically excludes Short-Term Vacation Rental, as defined by this section. Short-Term Vacation Rental. A residential structure that is rented to a transient occupant for a period of less than 30 days. The full residential structure, or a portion of it, can be rented to a transient occupant in a short-term vacation rental use. This classification includes both hosted rentals (the primary resident, or host, is present in the dwelling unit that is being used as a short- 2020 term rental) and non-hosted rentals (the host is not present in the dwelling unit that is being used as a short-term rental). B. Revise Section 20.350, Standards and Requirements for Specific Uses and Activities, to add a section to include performance standards for Short-Term Vacation Rentals, as follows: 20.350.035.05 Short-Term Vacation Rentals Short-term vacation rental uses shall be located, developed, and operated in compliance with the following standards: A. Type of Residence. Must be located and operated in a single-unit dwelling. B. Number of Uses. Short-term vacation rental uses shall be permitted in no more than one single-unit dwelling per lot. C. Permit Required; Duration of Permit. Any Short-Term Vacation Rental must apply for a Short-Term Vacation Rental Permit on a form approved by the Chief Planner. The Short-Term Vacation Rental Permit for a short-term vacation rental is valid for one year from date of issuance. D. Residency Requirements. Only permanent residents (owner or tenant) of the dwelling unit are eligible to operate a short-term vacation rental use. E. Transient Occupancy Limits. a. Hosted Rentals: If the host is onsite, the number of transient occupants must be limited to 2 or fewer. b. Non-hosted Rentals: If the host is offsite, the number of transient occupants must be limited to 2 persons/bedroom, plus 2 additional persons. F. Limit on Duration. The aggregate number of days for transient occupancy of a non- hosted short-term vacation rental is capped at 90 per term of the permit. There is no annual cap for hosted short-term vacation rentals. G. Local Contact Information. The permit holder shall keep on file with the City the name, telephone number, and email address of a local contact person who shall be responsible for responding to questions or concerns regarding the operation of a short-term vacation rental. This information shall be posted in a conspicuous location within the rental dwelling. The local contact person shall be available 24 hours a day to accept telephone calls and respond physically to the short-term vacation rental within one hour when the unit is occupied. H. Noise. The short-term vacation rental use must comply with the adopted noise standards for the district in accordance with section 8.32.030 of this code. I. Conduct. The permit holder must ensure that transient occupants of the short-term vacation rental do not engage in disorderly conduct, or violate code provisions or state law. 2121 J. Safety. All short-term vacation rentals must comply with all applicable building laws, including, but not limited to, providing working smoke detectors, carbon monoxide detectors, contain working heating, and otherwise satisfy all applicable requirements of the California Building Standards Code. K. Health and Safety Information. Hosts shall provide local health and safety information to renters, including locations of local hospitals and clinics, and non-emergency police contact information. L. Commercial Activities. Any commercial use beyond a permitted short-term vacation rental is prohibited. No Special Event as defined by section 6.48 of this code can be conducted as part of a Short-Term Vacation Rental. M. Advertising. All advertising (print or digital) for a short-term vacation rental shall include the number of the permit granted for the use. N. Business License. The permit holder shall obtain a city business license in accordance with Chapter 6.16 of this code. O. Applicable Taxes. The permit holder shall collect and remit all applicable City Taxes, including but not limited to Transient Occupancy Taxes and Conference Center Taxes in accordance with Chapter 4.20 of this code, as required. P. Consistency with Other Agreements. A short-term vacation rental use must be permitted by applicable HOA bylaws; Covenants, Conditions and Restrictions (CC+Rs); and rental agreements. Q. Transferability. Short-term vacation rental permits are personal to the Host and shall not run with the land. The permission to operate a short-term vacation rental use shall be limited to the property owner / resident to whom the city issued the permit. C. Update Table 20.080.002 – Land Use Regulations, Residential Districts, as indicated below: TABLE 20.080.002: LAND USE REGULATIONS—RESIDENTIAL DISTRICTS Use Classification RL-1.3 RL-5,6, and 8 RM-10, 15, and 17.5 RH-30 and 35 Additional Regulations Commercial Use Types Lodging See sub-classifications below Bed and Breakfast MUP MUP MUP MUP See Section 20.350.010 Bed and Breakfast Lodging Short-Term Vacation Rental P (7) P (7) P (7) P (7) See Section 20.350.035.05 Short Term Vacation Rental 2222 TABLE 20.080.002: LAND USE REGULATIONS—RESIDENTIAL DISTRICTS Use Classification RL-1.3 RL-5,6, and 8 RM-10, 15, and 17.5 RH-30 and 35 Additional Regulations Limitations: 1. Only in single-unit detached structures. 2. Limited to facilities serving a maximum of 10 victims and may not be located within 300 feet of any other domestic violence shelter. 3. Subject to state licensing requirements. 4. Only on parcels with access from arterial streets. 5. Minor Use Permit required when located within an existing building. Conditional Use Permit required for new construction. 6. Limited to sites with a maximum gross site area of 6,500 square feet and located on an arterial street. 7. Short-Term Vacation Rental Permit required (see section 20.350.035.05, Short-Term Vacation Rental). 2323 D. Update Table 20.100.002 - Land Use Regulations—Downtown Districts, as indicated below: Use Classification DMX DRL DRM DRH Additional Regulations Commercial Uses Lodging See sub-classifications below Bed and Breakfast MUP MUP MUP MUP See Section 20.350.010 Bed and Breakfast Lodging Hotels and Motels C - - - Short-Term Vacation Rentals P (11) P (11) P (11) P (11) See Section 20.350.035.05 Short Term Vacation Rental Limitations: 1. Permitted if existing. New units not allowed. 2. Limited to sites with a maximum gross site area of 4,000 square feet. 3. Prohibited on the ground floor except residential uses located south of Baden Avenue, banks, and walk-in offices which are subject to approval of a Use Permit. 4. Permitted if retail, restaurants, personal services, or other active pedestrian-oriented use is located on the ground floor, otherwise Minor Use Permit is required. Minor Use Permit may only be approved if the Review Authority first finds that, based on information in the record, it is infeasible to locate retail, restaurants, personal services, or other active pedestrian-oriented use on the ground floor. 5. Limited to facilities serving a maximum of 10 victims and may not be located within 300 feet of any other domestic violence shelter. 6. Subject to state licensing requirements. 7. Clinic uses may not occupy the ground floor, except along Grand Avenue, west of Maple Avenue, which are subject to the approval of a conditional use permit. 8. Living space may not occupy ground floor. 9. Limited to upper stories unless at least 50 percent of ground floor street frontage is occupied by food service use. 10. Limited to single-family detached units. 11. Short-Term Vacation Rental Permit required (see section 20.350.035.05, Short-Term Vacation Rental). 2424 E. Update Section 20.240.03 – Land Use Permitted, as indicated below: The following uses are permitted subject to the regulations contained in this chapter, the Terrabay specific plans and applicable sections of the South San Francisco Municipal Code and subject to further approvals as required. A. Terrabay Residential District (Residential Parcels). 1. Public and private open space areas. 2. Habitat conservation areas. 3. Public and private parks, playgrounds, tot lots, recreation/community buildings, and fire stations. 4. Schools. 5. Day care centers. 6. Public and private utilities, and facilities. 7. Single-unit detached dwellings consisting of 125 units in the Park and 135 units in Woods East and Woods West (collectively) neighborhoods only. 8. Townhomes consisting of 175 units in the Village neighborhood in two, three and four unit clusters only. 9. One condominium/apartment tower consisting of 112 one, two and three bedroom units in the Peninsula Mandalay Tower only. 10. Single- unit paired residential units consisting of 70 single-family units attached in 35 structures, paired in two side-by-side attached units (i.e., side by side duplex design) in the Mandalay Point neighborhood only. 11. Home occupations. 12. Accessory buildings and uses. 13. Short-term vacation rental, subject to the approval a Short-Term Vacation Rental Permit and per the requirements of Section 20.350.035.05, Short-Term Vacation Rental. F. Update Table 20.250.003 – Land Use Regulations for Transit Village Sub-districts, as indicated below: TABLE 20.250.003: LAND USE REGULATIONS FOR TRANSIT VILLAGE SUB-DISTRICTS Uses Permitted TV-C TV-R TV-RM TV-RH Additional Regulations RESIDENTIAL USE CLASSIFICATIONS Single-Unit Dwelling See sub-classifications below Single-Unit Attached - - P P Multi-Unit Residential P(1) P(1) P P 2525 TABLE 20.250.003: LAND USE REGULATIONS FOR TRANSIT VILLAGE SUB-DISTRICTS Uses Permitted TV-C TV-R TV-RM TV-RH Additional Regulations COMMERCIAL USE CLASSIFICATIONS Lodging See sub-classifications below Hotels and Motels C - - - Short-Term Vacation Rental - - P (4) P (4) See Section 20.350.035.05 Short-Term Vacation Rental Specific Limitations: 1. Not permitted as a principal ground floor use on a street where retail storefronts occupy 50 percent of more of the building frontage. 2. Customer service offices are permitted on the ground level, and other offices are permitted on the second floor or when conducted as an accessory use with a permitted use on the site, occupying no more than 25 percent of the floor area. Additional office space may be allowed with a Use Permit, upon finding that such use will not conflict with adjacent street level retail uses. 3. Permitted as a secondary use on the second floor, occupying no more than 25 percent of the total building area. 4. Short-Term Vacation Rental Permit required (see section 20.350.035.05, Short-Term Vacation Rental). G. Update Table 20.280.003 Land Use Regulations Downtown Station Area Specific Plan Sub-Districts, as indicated below: Uses Permitted DTC GAC DRC TO/RD LCC LNC Additional Regulations Lodging See sub-classifications below Bed and Breakfast - MUP (5) C - MUP MUP See Section 20.350.010 Bed and Breakfast Lodging Short-Term Vacation Rental P (8) P (8) P (8) P (8) P (8) P (8) See Section 20.350.035.05 Short- Term Vacation Rental 2626 Uses Permitted DTC GAC DRC TO/RD LCC LNC Additional Regulations Limitations: 1. Permitted if existing. New units not allowed. 2. Limited to facilities serving a maximum of 10 victims and may not be located within 300 feet of any other domestic violence shelter. 3. Prohibited on the ground floor except residential uses located south of Baden Avenue, banks and walk-in offices which are subject to approval of a Use Permit. 4. Subject to licensing requirements. 5. Limited to upper stories unless at least 50 percent of the ground floor street frontage is occupied by food service uses. 6. Must be located at least 1,000 feet from any other social service facility. 7. Clinic uses may not occupy the ground floor along Grand Avenue, except on properties located west of Maple Avenue, which are subject to the approval of a conditional use permit. 8. Short-Term Vacation Rental Permit required (see section 20.350.035.05, Short-Term Vacation Rental.) 8. Update Table 20.330.004: Required On-Site Parking Spaces, as indicated below: TABLE 20.330.004: REQUIRED ON-SITE PARKING SPACES Land Use Classification Required Parking Spaces Commercial Use Classifications Lodging Bed and Breakfast 1 per room for rent in addition to parking required for residential use. Hotels and Motels 1 per each sleeping unit, plus 2 spaces adjacent to registration office. Additional parking required for ancillary uses, such as restaurants, according to the parking requirements for the ancillary use. See Subsection 20.330.006(C) Airport-Oriented Hotels and Motels. Short-Term Vacation Rental At least one off-street parking space required for use by the short- term vacation rental transient occupants. The required parking for the existing residential use may be used to provide this parking space. SECTION III. SEVERABILITY. If any provision of this Ordinance or the application thereof to any person or circumstance is held invalid or unconstitutional, the remainder of this Ordinance, including the application of such part or provision to other persons or circumstances shall not be affected thereby and shall continue in full force and effect. To this end, provisions of this Ordinance are 2727 severable. The City Council of the City of South San Francisco hereby declares that it would have passed each section, subsection, subdivision, paragraph, sentence, clause, or phrase hereof irrespective of the fact that any one or more sections, subsections, subdivisions, paragraphs, sentences, clauses, or phrases be held unconstitutional, invalid, or unenforceable. SECTION IV. PUBLICATION AND EFFECTIVE DATE. Pursuant to the provisions of Government Code Section 36933, a summary of this Ordinance shall be prepared by the City Attorney. At least five (5) days prior to the Council meeting at which this Ordinance is scheduled to be adopted, the City Clerk shall (1) publish the Summary, and (2) post in the City Clerk’s Office a certified copy of this Ordinance. Within fifteen (15) days after the adoption of this Ordinance, the City Clerk shall (1) publish the summary, and (2) post in the City Clerk ’s Office a certified copy of the full text of this Ordinance along with the names of those City Council members voting for and against this Ordinance or otherwise voting. This Ordinance shall become effective thirty (30) days from and after its adoption. * * * * * * * Introduced at a regular meeting of the City Council of the City of South San Francisco, held the 23rd day of September, 2015. Adopted as an Ordinance of the City of South San Francisco at a regular meeting of the City Council held the _____ day of _____________, 2015 by the following vote: AYES:_______________________________________________________________________ NOES:_______________________________________________________________________ ABSTENTIONS:_______________________________________________________________ 2828 ABSENT:_____________________________________________________________________ Attest:__________________________________ Krista Martinelli, City Clerk As Mayor of the City of South San Francisco, I do hereby approve the foregoing Ordinance this _____ day of _____________, 2015. Mayor 2512508.1 2929 Attachment 3 Communication Received 3030 From: [email protected] [mailto:[email protected]] Sent: Thursday, September 3, 2015 12:11 PM To: Futrell, Mike Subject: Short-Term Vacation Rental Dear Mr. Futrell: These comments are with regard to item four on the agenda for the Planning Commission meeting. I am going out of town and will be unable to attend the meeting. It will be appreciated if you would pass these along and use them for any future meeting regarding this item, when it is brought before the SSF City Council. The Zoning Text Amendments regarding Short-Term Vacation Rentals (30 days or less) will be extremely unfair to Senior Citizens who own their home, have raised their family and have extra rooms that they would like to rent on a short term basis. Some seniors rent rooms to supplement their retirement but do not wish to rent the rooms for long term use. The additional requirements and costs that the City of South San Francisco will require, as a result of these amendments, will put an unfair burden on Senior Citizens. It is fully understood if you require absentee owners and/or commercial property owners to comply with the permitting process and to pay the additional fees that will be required. However, any resident of South San Francisco who is not an absentee owner who would like to rent a room for short term use, should be designated as being exempt from these requirements. If you pass these amendments as written, it will be extremely unfair to retired senior citizens. Thank you for your consideration. Sincerely, Martin Romero 141 Dundee Drive South San Francisco, CA 94080 3131 TO CITY COUNCIL I would like to express my concern about Short-Term rentals. I live in a condo complex, which one homeowner, who by the way lives in the Philippines. She rents her condo out through AirB & B and we have had so many problems. From someone's car being broken into, loud parties, parking in spots reserved for guests, and the list goes on. We as homeowners, do not wish our home to become a hotel. If this homeowner rents her condo out through AirB & B, what if others do the same. Our home will not be a hotel. I would encourage the SSF City Council to not allow short-term rentals in condo complexes. I would appreciate your help, and your vote to not allow this in condo complexes in South San Francisco. Susie McFarland SSF Resident 3232 Attachment 4 Sample Short-Term Vacation Rental Permit Application 3333 SHORT-TERM VACATION RENTAL REGULATIONS [SAMPLE] On _________, 2015, the South San Francisco City Council adopted a Zoning Ordinance amendment requiring a Short-Term Vacation Rental Permit for rental of a residential dwelling unit for fewer than 30 consecutive days. Am I Eligible for a Permit? You are eligible to receive a permit if: • You are the permanent resident of the proposed short-term vacation rental. • Your proposed short-term vacation rental use is for an existing single-family dwelling unit (multi-family units are not eligible). • You are applying for only one short-term vacation rental permit. • You can provide at least one off-street parking space for use by your short-term vacation renters. • You have a local contact person who will be available to respond within one hour to any issues that arise whenever the unit is rented and occupied. • You have a valid city business license. • Short-term vacation rentals are permitted by the terms of any applicable lease agreements, HOA bylaw, or CC+Rs. Planning Division staff members are available to answer your questions and help determine your availability for a short-term vacation rental permit. Please call the Planning Division at (650) 877-8535 to speak with a planner if you have any questions. How Do I Apply? You can submit an application with the Planning Division. The application form provides details on the materials and fee that must be submitted with the application. Once you have submitted a completed application, Planning Division staff will review your application. Review and processing will take approximately 1-2 weeks. You will receive a letter from the Planning Division indicating if your permit has been approved, conditionally approved, or disapproved by the Chief Planner. Remember to include your permit number on any print or digital advertisements or listings for your short-term vacation rental. 3434 SHORT-TERM VACATION RENTAL PERMIT APPLICATION [SAMPLE] South San Francisco Municipal Code Section 20.350.035.05 A short-term vacation rental is a residential structure that is rented to a transient occupant for a period of less than 30 days. The full residential structure, or a portion of it, can be rented to a transient occupant in a short-term vacation rental use. A short-term vacation rental includes both hosted rentals (the host is present in the dwelling unit that is being used as a short-term vacation rental) and non-hosted rentals (the host is not present in the dwelling unit that is being used as a short-term vacation rental). A complete short-term vacation rental permit application includes: 1. Filing Fee (Payable to the City of South San Francisco): $150 2. South San Francisco Business License 3. Application and Affidavit 4. Site Plan 5. Floor Plan 6. Proof of Residency 3535 SHORT-TERM VACATION RENTAL PERMIT APPLICATION INFORMATION FORM Property Owner / Applicant Information Name: ___________________________________________________ Address: ___________________________________________________ City, State, Zip Code: ___________________________________________________ Phone: ___________________________________________________ Email: ___________________________________________________ Property Information Address of the Proposed Short-Term Vacation Rental Unit: Is this a single-family dwelling unit?  Yes  No Is a short-term vacation rental use consistent with applicable lease agreements, HOA bylaws, and / or Covenants, Conditions + Restrictions (CC+Rs)?  Yes  No Number of bedrooms (indicate on floor plan): Number of on-site parking spaces available for short-term rental occupants (indicate on site plan): Local Contact Manager Information Name: Address: City: State: Zip Code: Phone: Email: Note: The local contact manager must be available 24-hours a day to accept telephone calls and respond physically to the short-term rental within one hour when the unit is rented and occupied. The local contact manager may be the property owner / primary resident of the short-term vacation rental, or be another designated individual. 3636 AFFIDAVIT I DECLARE THAT I AM (CHECK ONE):  THE OWNER,  LESSEE,  ATTORNEY OF THE OWNER, OR  A PERSON WITH THE POWER OF ATTORNEY FROM THE OWNER OF THE ABOVE PROPERTY INVOLVED IN THIS APPLICATION, AND THAT THE FOREGOING IS TRUE AND CORRECT. EXECUTED AT _______________________ CALIFORNIA, THE ________ DAY OF____________, 20_______. _____________________________________ SIGNATURE FOR OFFICIAL USE ONLY RECEIPT NO.: ______________________  APPROVED  DENIED FEE: ______________________________  CONDITIONALLY APPROVED APPLICATION REC’D: ________________ VALID THROUGH: ___________________ ____________________________________ OCCUPANCY LIMIT: __________________ CHIEF PLANNER DATE 3737 Attachment 5 PowerPoint Presentation 3838 City Council Meeting September 23, 2015 3939 Homeowner / resident rents a spare room or entire home, generally via an online hosting platform (i.e. Airbnb) for a period of less than 30 days ◦“Hosted” – owner / primary occupant is present ◦“Non-hosted” – renters occupy the full dwelling unit 4040 Relatively new use ◦Rise of the sharing economy Popularity continues to rise in the region ◦High hotel / lodging costs ◦Some tourists prefer to stay in a home when they travel ◦Several listings in the City on online platforms ◦Potential influx of visitors for Super Bowl 50 Zoning Ordinance currently does not regulate short-term vacation rental uses 4141 Source: Airbnb Summer Travel Report, 2015 4242 Parking Safety / Security Number of occupants Neighborhood character Local management to address issues and concerns 4343 Define “Short-Term Vacation Rental” as a new lodging sub-classification Establish performance standards for short- term vacation rental uses 4444 Short-Term Vacation Rental Permit ◦Staff review and Chief Planner Approval ◦Valid for 1-year term, with an annual renewal 6 and 12 month review periods ◦Analyze level of interest ◦Better understand issues ◦Develop metrics for permitting review / processing time 4545 Provides the ability to review and regulate Short-Term Vacation Rental uses Minimize impacts to neighborhoods through performance standards Help ensure that residential units are not being removed from the housing market 4646 Consistent with General Plan Objectives No new environmental impacts 4747 Introduce an Ordinance approving Zoning Amendment ZA15-0006 and waive further reading 4848 Staff Report DATE: September 23, 2015 TO: Mayor, Vice Mayor and Councilmembers FROM: Alex Greenwood, Director of Economic and Community Development SUBJECT: 30 TANFORAN BUS TRAINING FACILITY - USE PERMIT, DESIGN REVIEW AND DEVELOPMENT AGREEMENT TO OPERATE A BUS DRIVER TRAINING FACILITY AT 30 TANFORAN AVE IN THE BUSINESS AND PROFESSIONAL OFFICE (BPO) ZONING DISTRICT IN ACCORDANCE WITH SSFMC CHAPTERS 19.60, 20.090, 20.300, 20.330, 20.460, 20.480 & 20.490 AND DETERMINATION THAT THE PROJECT IS CATEGORICALLY EXEMPT FROM CEQA. Applicant: Paul Hockett, Vitae Architecture Property Owner: Joe Cassidy, Tanforan Industrial Park LLC Site Address: 30 Tanforan Ave (APNs 014-250-090) Case Nos.: P15-0041: UP15-0008, DR15-0037 & DA15-0002 RECOMMENDATION It is recommended that the City Council follow the recommendation of the Planning Commission and take the following actions: 1. Adopt a Resolution making findings and approving Planning Project P15-0041, including Use Permit UP15-0008 and Design Review DR15-0037, based on the attached Draft Findings and subject to the attached Draft Conditions of Approval; and 2. Introduce an Ordinance adopting a Development Agreement to allow a bus training facility at 30 Tanforan Ave, and waive further reading. BACKGROUND / DISCUSSION The applicant proposes to establish a bus training facility for the San Francisco Municipal Transportation Agency (SFMTA) on the existing industrial site at 30 Tanforan Ave in the Lindenville neighborhood. The training facility will be comprised of four training courses for bus driver training on the majority of the site, with two small temporary modular trailers totaling approximately 1,920 square feet of office/classroom area on the northern portion of the site. The 7.3 acre project site currently contains seven vacant single-story metal and concrete buildings totaling 147,258 square feet, which were previously used for a variety of industrial uses, including manufacturing, expediting, storage and office uses. The site is surrounded to the Staff Report Subject: 30 Tanforan Ave – SFMTA Bus Training Facility Date: September 23, 2015 Page 2 of 4 north and east by industrial uses and residential on the south side of Tanforan Ave. The site is less than 1/8 mile from the San Bruno BART Station and the Tanforan Shopping Center. The average number of SFMTA employees on site during operating hours (7 a.m. – 3:30 p.m.) is projected to be 44, with a maximum of 60 at any one time. In addition to training new operators, the facility will also be used for refresher courses, requalification training, line driver training, accident prevention training and maintenance employee commercial driver’s license training. Each new driver/trainee will require 44 days of training for skill development and testing. After the on-site course training is completed, training buses will exit the facility for approximately 10 days for road training on the streets of San Francisco. Staff has included Condition of Approval A-3, which states that no road training shall occur on public streets within South San Francisco. ZONING CONSISTENCY The property is located within the Business and Professional Office (BPO) zoning district. This zoning district, which implements that General Plan’s Office land use designation, is intended to provide sites for development as administrative, financial, business, profession, medical and public offices at locations close to BART or CalTrain stations. The General Plan proposes new street extensions that will provide a connection between South Spruce and South Maple Avenues and provide critical connections to the San Bruno BART station. However, because this essential infrastructure is not currently in place, the Zoning Ordinance allows industrial, general service, warehousing and related uses to be considered permitted uses in the BPO district until 2024 or such time a program is in place for developing this essential infrastructure As described above, the proposed use will be a training facility. While the proposed use does not clearly fit into any of the existing land use classifications, the Chief Planner has assigned the activity to the Colleges and Trade Schools, Public or Private. This use is considered substantially similar in character because the Colleges and Trade Schools classification includes business schools, technical and trade schools and management training. Colleges and Trade Schools are allowed in the BPO zoning district subject to approval of a Conditional Use Permit. General Development Standards The site and buildings generally comply with current City development standards as displayed in the following table: DEVELOPMENT STANDARDS Site Area: 7.3 acres [317,989 SF] Floor Area: 147,258 SF Existing / 1,920 SF Proposed Floor Area Ratio Maximum: 0.4 to 0.6 Existing: 0.46 Proposed: 0.01 Lot Coverage Maximum: 60% Existing: 46% Proposed: 1% Staff Report Subject: 30 Tanforan Ave – SFMTA Bus Training Facility Date: September 23, 2015 Page 3 of 4 Landscaping Minimum: 10% Existing: < 10% Proposed: 14.8% Automobile Parking Minimum: 13 Proposed: 15 Building Height Maximum: 80’ Proposed: 12’ Setbacks Minimum Proposed Front 20’ > 700’ Interior Side 0’ 35’ Street Side 10’ > 10’ Rear 0’ > 20’ As indicated above, the applicant is proposing to provide 16 striped parking spaces on the lot, which is more than the minimum required for the office use. Because approximately 85 percent of the site will be paved for the bus training courses, there will be adequate area for additional parking to be provided as needed, including on-site storage of fifteen 40-foot hybrid or electric training buses. GENERAL PLAN CONSISTENCY The General Plan land use designation for this property is Office. The General Plan proposed new street extensions that will provide a connection between South Spruce and South Maple Avenues and provide critical connections to the San Bruno BART station. Until 2024 or such a time a program is in place for developing this essential infrastructure, whichever comes first, industrial, general service, warehousing, and related uses are permitted. DEVELOPMENT AGREEMENT The applicant and the City have negotiated a Development Agreement (“DA”) to clarify and obligate Project features as part of the entitlement process. More specifically, the proposed SFMTA bus training facility is not considered to be in keeping with the long-term vision to provide office uses within close proximity to the San Bruno BART Station. Therefore, the DA includes a maximum term of 10 years for the proposed use; once the 10-year timeframe expires, the use would be required to be vacated. The proposed Development Agreement is attached to this staff report (Attachment 2, Exhibit A). PLANNING COMMISSION MEETING The Commission reviewed the proposed project at the Planning Commission meeting of September 3, 2015, and was generally supportive of the project. One member of the public, a San Bruno resident living near the subject site, spoke in favor of the project. The Commission had questions related to the existing status of the site, noise and security. The Planning Commission recommended approval of the proposed project by a vote of 5-0. Attachment 1 Draft Entitlements Resolution Exhibit A: Draft Conditions of Approval Exhibit B: Project Plans 1 RESOLUTION NO._________ CITY COUNCIL, CITY OF SOUTH SAN FRANCISCO STATE OF CALIFORNIA A RESOLUTION APPROVING A USE PERMIT AND DESIGN REVIEW TO ALLOW A BUS TRAINING FACILITY AT 30 TANFORAN AVENUE IN THE BUSINESS AND PROFESSIONAL OFFICE (BPO) ZONING DISTRICT WHEREAS, Joe Cassidy is the owner of real property located at 30 Tanforan Avenue, South San Francisco, California; and WHEREAS, Joe Cassidy and Vitae Architecture (collectively “Applicant”) have submitted an application for a bus driver training facility at 30 Tanforan Avenue (“Project”); and, WHEREAS, Applicant seeks approval of a Conditional Use Permit, Design Review, and a Development Agreement; and, WHEREAS, approval of the Applicant’s proposal is considered a “project” for purposes of the California Environmental Quality Act, Pub. Resources Code § 21000, et seq. (“CEQA”); and, WHEREAS, the City Council has reviewed and carefully considered the Project and related Project documents, and because the Project involves the construction and location of limited numbers of new, small facilities or structures, the City Council has determined that the Project is categorically exempt from environmental review under the provisions of CEQA, pursuant to CEQA Guidelines Section 15303 – Class 3: New Construction or Conversion of Small Structures as an objective and accurate determination that reflects the independent judgment and analysis of the City in the discussion of the Project’s environmental impacts; and, WHEREAS, on September 3, 2015 the Planning Commission for the City of South San Francisco held a lawfully noticed public hearing to solicit public comment and consider the proposed entitlements, take public testimony, and make a recommendation to the City Council on the project; and, WHEREAS, the City Council held a duly noticed public hearing on September 23, 2015 to consider the Use Permit, Design Review and Development Agreement and take public testimony; and, NOW, THEREFORE, BE IT RESOLVED that based on the entirety of the record before it, which includes without limitation, the California Environmental Quality Act, Public Resources Code §21000, et seq. (“CEQA”) and the CEQA Guidelines, 14 California Code of Regulations §15000, et seq.; the South San Francisco General Plan and General Plan EIR; the 2 South San Francisco Municipal Code; the Project applications; the Applicant’s plans and supporting documents, as prepared by Vitae Architecture, dated May 18, 2015; all site plans, and all reports, minutes, and public testimony submitted as part of the Planning Commission’s duly noticed September 3, 2015 meeting, and Planning Commission deliberations; all site plans, and all reports, minutes, and public testimony submitted as part of the City Council’s duly noticed September 23, 2015 meeting, and City Council deliberations; and any other evidence (within the meaning of Public Resources Code §21080(e) and §21082.2), the City Council of the City of South San Francisco hereby finds as follows: A. General Findings 1. The foregoing recitals are true and correct. 2. The Exhibits attached to this Resolution, including the Conditions of Approval (attached as Exhibit A) and the Project Plans and supporting documents (attached as Exhibit B) are each incorporated by reference and made a part of this Resolution, as if set forth fully herein. 3. The documents and other material constituting the record for these proceedings are located at the Planning Division for the City of South San Francisco, 315 Maple Avenue, South San Francisco, CA 94080, and in the custody of Chief Planner, Sailesh Mehra. 4. The City Council, exercising its independent judgment and analysis, has determined that the Project is categorically exempt from environmental review pursuant to CEQA Guidelines Section 15303 – Class 3: New Construction or Conversion of Small Structures. B. Use Permit 1. The proposed bus training facility is consistent with the standards and requirements of the City’s Zoning Ordinance, all other titles of the South San Francisco Municipal Code, and the provisions of the Business and Professional Office (BPO) Zoning District. The Zoning Ordinance does not include a specific land use classification for a bus training facility. In cases where a specific land use or activity is not defined, the Chief Planner has the authority to assign the land use or activity to a classification that is substantially similar in character. The most similar land use classification is Colleges and Trade Schools, Public or Private, which is intended for institutions of higher education providing curricula of a general, religious, or professional nature, including business and computer schools, management training, technical and trade schools. The bus training facility is similar to a trade school, by granting trainees with a new skill for a specific type of employment. Based on these characteristics, the Chief Planner has determined that the proposed use is substantially similar to the Colleges and Trade Schools, Public or Private use classification, which is allowed subject to Use Permit 3 approval within the BPO district. The proposed use complies with the development standards established for the BPO district. 2. The proposed Project, including the Use Permit, Design Review, and Development Agreement, is consistent and compatible with all elements in the City of South San Francisco General Plan. The Project is consistent with the General Plan because the project site is designated Office, which is intended to provide sites for development as administrative, financial, business, profession, medical and public offices at locations close to BART or CalTrain stations. The General Plan proposes new street extensions that will provide a connection between South Spruce and South Maple Avenues and provide critical connections to the San Bruno BART station. Because those improvements have not been implemented, industrial, general service, warehousing, and related uses are permitted in the Office land use designation until 2024 or such a time a program is in place for developing this essential infrastructure, whichever comes first. The proposed use, in conjunction with the Development Agreement, does not constitute a significant investment that will extend the life of the industrial use and preclude future conformance with the Office land use designation. Further, the land use, development standards, densities and intensities, buildings and structures proposed are compatible with the goals, policies, and land use designations established in the General Plan, and none of the land uses, development standards, densities and intensities, buildings and structures will operate to conflict with or impede achievement of the any of the goals, policies, or land use designations established in the General Plan. 3. The proposed use will not be adverse to the public health, safety, or general welfare of the community or detrimental to surrounding properties or improvements given that the proposed use would not be disruptive to the surrounding area. With approval of a Conditional Use Permit, the proposal is consistent with the Zoning Ordinance and General Plan and would provide a commercial service to the City. In addition, Staff has incorporated specific Conditions of Approval for the proposed use that would minimize adverse safety or land use impacts on the surrounding area. 4. The proposed use complies with design and development standards applicable to the Business and Professional Office Zoning District because site improvements, including landscape and parking upgrades, were designed in accordance with the South San Francisco Design Guidelines to provide a cohesive development. 5. The design, location, size, and operating characteristics of the proposed activity would be compatible with the existing and reasonably foreseeable future land uses in the vicinity because the bus training facility is located in a general industrial neighborhood; the proposed project will improve the appearance of the site by removing the vacant industrial buildings, significantly increasing the amount of landscaping, and installing new paving for the bus training 4 area; and the site will not be altered in a way as to preclude future compatible uses. 6. The site is physically suitable for the type, density, and intensity of use being proposed, including access, utilities, and the absence of physical constraints, the site has adequate access for the proposed use; and the proposed improvements would remove any physical constraints on the site. Given the location of the subject property in the Business and Professional Office Zoning District, will remove existing vacant industrial buildings on the site, and is adjacent to similar industrial uses, the proposed use is an appropriate land use and will be compatible with the surrounding area. 7. In accordance with the California Environmental Quality Act, the City Council has determined that the proposed project is Categorically Exempt pursuant to the provisions of CEQA Section 15303 – Class 3: New Construction or Conversion of Small Structures. The project involves a change in land use with minor construction. C. Design Review 1. The Project, including Design Review, is consistent with Title 20 of the South San Francisco Municipal Code for the reasons set forth in the Finding B.1 above, and because the design of the Project reflects the standards and guidance provided in the Design Guidelines. 2. The Project, including Design Review, is consistent with the General Plan, for the reasons set forth in Finding B.2, above. 3. The Project, including Design Review, is consistent with the Design Guidelines in that the Project Site improvements, including landscape and parking upgrades, were designed in accordance with the South San Francisco Design Guidelines to provide a cohesive development. 4. The Design Review is consistent with the Use Permit and Conditions of Approval approved for the Project because the approval incorporates the approved design review. 5. The Project, including Design Review, is consistent with the Design Review criteria as stated in San Francisco Municipal Code Section 20.480.006, without limitation, because the Project will be developed with regard for the natural terrain, aesthetic quality, and landscaping so as not to impair the environmental quality, value, or stability of the site or the environmental quality or value of improved or unimproved property in the area. Additionally, the proposed construction will reasonably relate to Project site and property in the immediate and adjacent areas. NOW, THEREFORE, BE IT FURTHER RESOLVED that subject to the Conditions of Approval, attached as Exhibit A to this resolution, the City Council of the City of South San 5 Francisco hereby makes the findings contained in this Resolution and adopts a resolution approving the Conditional Use Permit for the Project. BE IT FURTHER RESOLVED that the approvals herein are conditioned upon the approval and execution of the Development Agreement between the City of South San Francisco and Joe Cassidy for the proposed Project. BE IT FURTHER RESOLVED that this Resolution shall become effective immediately upon its passage and adoption. * * * * * * * I hereby certify that the foregoing resolution was adopted by the City Council of the City of South San Francisco at the regular meeting held on the 23rd day of September, 2015 by the following vote: AYES:________________________________________________________________ NOES:________________________________________________________________ ABSTENTIONS:________________________________________________________ ABSENT:______________________________________________________________ Attest:__________________________________ City Clerk 6 Exhibit A Conditions of Approval 7 CONDITIONS OF APPROVAL P15-0041: UP15-0008, DR15-0037 & DA15-0002 30 TANFORAN AVENUE (As recommended by Planning Commission on September 3, 2015) A) Planning Division requirements shall be as follows: 1. The applicant shall comply with the Planning Divisions standard Conditions and Limitations for Commercial, Industrial, Mixed-Use and Multi-Family Residential Projects. 2. The project shall be constructed and operated in a manner in substantial conformity with the plans prepared by Vitae Architecture dated May 18, 2015. 3. The business shall be operated substantially as outlined in the business description submitted by San Francisco Municipal Transportation Agency as part of the Planning Application approved by the Planning Commission on September 3, 2015. No road training shall occur on public streets within the City of South San Francisco. 4. No maintenance, repair, or washing of vehicles is allowed on-site. 5. Any modification to the approved plans or operation shall be subject to SSFMC Section 20.450.012 (“Modification”), whereby the Chief Planner may approve minor changes. All exterior design modifications, including any and all utilities, shall be presented to the Chief Planner for a determination. If the Chief Planner determines that a proposed modification is not a minor change, a modification to the Use Permit shall be required. 6. All new equipment (either roof or ground-mounted) shall be screened from view through the use of integral architectural elements, such as enclosures or roof screens, and landscape screening. Equipment enclosures and/or roof screens shall be painted to match the building. 7. The application shall be subject to a six-month review by the Planning Commission from the date operation commences at the project site. 8. Because the General Plan proposes new street extensions that will provide a connection between South Spruce and South Maple Avenues and provide critical connections to the San Bruno BART station, industrial, general service, warehousing and related uses are permitted until this essential infrastructure is built. Thus, this Use Permit shall be limited for ten (10) years from the Effective Date of the Development Agreement. Planning Division contact: Billy Gross, Senior Planner (650) 877-8535 8 B) Fire Department requirements shall be as follows: 1. Provide fire extinguishers throughout all buildings. 2. All buildings shall provide premise identification in accordance with SSF municipal code section 15.24.100. 3. Provide Knox key box for each building with access keys to entry doors, electrical/mechanical rooms, elevators, and others to be determined. 4. Provide layout of how buses will be parked overnight. 5. The minimum road width is 20 feet per the California Fire Code. Fire Prevention contact: Luis DaSilva, Fire Marshal (650) 829-6645 C) Engineering Division requirements shall be as follows: 1. The building permit application plans shall conform to the standards of the Engineering Division’s “Building Permit Typical Plan Check Submittals” requirements, copies of which are available from the Engineering Division. 2. The grading plan shall clearly state the estimated amount of cut and fill. If excavation and grading work involves movement of more than 50 cubic yards of soil, a grading permit is required. Owner is responsible for all associated fees and deposits. 3. For all gravity flow underground pipes (SD and SS), show arrows indicating direction of flow. 4. The Owner shall coordinate with the City Inspector to ensure that any necessary sewer lateral work will be satisfactory to the City, and shall obtain an encroachment permit for any work in the public right of way. All work related to these requirements shall be accomplished at the Owner’s expense. 5. The owner shall, at his/her expense, design and construct a drainage system that will route storm water run-off from the building roof areas towards permeable or landscaped areas. All storm water generated on-site must stay within the property boundaries. 6. The owner shall, at his/her expense, replace any broken sidewalk, curb, and gutter fronting the property. The City of SSF shall be the sole judge of whether any such replacement is necessary. 7. Contractors must have a Class A license for any work in the street (beyond the face of curb). Contractors with a Class A license may perform any and all work associated 9 with building permit requirements. For concrete work between the curb and the building, a Class C-8 license is sufficient. For plumbing work between the curb and the building, a Class C-36 license is sufficient. An exemption may be granted by the City if a relatively minor portion of the work is not covered by the Contractor’s license. For example, if a new sewer cleanout is being installed in the sidewalk by a Contractor with a C-36 (plumbing) license, the same Contractor may remove and reform no more than one (1) panel of the sidewalk without the need for a Class C-8 (concrete) license. Engineering Division contact: Eric Evans (650) 829-6652 D) Water Quality Control requirements shall be as follows: 1. Fire sprinkler test drain must be connected to the sanitary sewer. 2. Condensate drains from HVAC system must be connected to the sanitary sewer. 3. Site is subject to Low impact development requirements; site must treat stormwater prior to it entering the stormwater system. 4. The onsite catch basins are to be stenciled with the approved San Mateo Countywide Stormwater Logo (No Dumping! Flows to Bay). 5. Landscaping shall meet the following conditions related to reduction of pesticide use on the project site: a. Where feasible, landscaping shall be designed and operated to treat stormwater runoff by incorporating elements that collect, detain, and infiltrate runoff. In areas that provide detention of water, plants that are tolerant of saturated soil conditions and prolonged exposure to water shall be specified. b. Plant materials selected shall be appropriate to site specific characteristics such as soil type, topography, climate, amount and timing of sunlight, prevailing winds, rainfall, air movement, patterns of land use, ecological consistency and plant interactions to ensure successful establishment. c. Existing native trees, shrubs, and ground cover shall be retained and incorporated into the landscape plan to the maximum extent practicable. d. Proper maintenance of landscaping, with minimal pesticide use, shall be the responsibility of the property owner. 10 e. Integrated pest management (IPM) principles and techniques shall be encouraged as part of the landscaping design to the maximum extent practicable. Examples of IPM principles and techniques include: i. Select plants that are well adapted to soil conditions at the site. ii. Select plants that are well adapted to sun and shade conditions at the site. In making these selections, consider future conditions when plants reach maturity, as well as seasonal changes. iii. Provide irrigation appropriate to the water requirements of the selected plants. iv. Select pest-resistant and disease-resistant plants. v. Plant a diversity of species to prevent a potential pest infestation from affecting the entire landscaping plan. vi. Use “insectary” plants in the landscaping to attract and keep beneficial insects. 6. No decorative bark shall be used in landscaping. 7. A grading and drainage plan must be submitted. 8. An erosion and sediment control plan must be submitted Water Quality Control contact: Rob Lecel or Andrew Wemmer (650) 877-8555 11 Exhibit B Project Plans 2512919.2 12 13 14 C1 TOPOGRAPHIC SURVEY 1" = 3 0 ' NO.OF _ S H E E T S SH E E T NO.REVISION BY REVISION BY OF FOR 30 TANFORAN AVENUE VITAE ARCHITECTURE NO V E M B E R , 2 0 1 4 DA T E SC A L E DR A F T E R JO B N O . A 1 4 6 7 8 SOUTH SAN FRANCISCO, NL H CALIFORNIA SU R V E Y O R RJ H KIER & WRIGHT CIVIL ENGINEERS & SURVEYORS, INC. 2850 Collier Canyon Road Phone (925) 245-8788 Livermore, California 94551 Fax (925) 245-8796 LE G E N D NO T E S 15 TANFORAN AVENUE SO U T H M A P L E A V E N U E TA N F O R A N I N D U S T R I A L P A R K M A P 5 5 P M 2 9 PA R C E L 2 C2 1" = 0 0 ' PRELIMINARY GRADING AND UTILITY PLAN PR O G R E S S S E T NO. DE C . , 2 0 1 4 OF 3 S H E E T S SH E E T DA T E SC A L E DE S I G N E R JO B N O . A 1 4 6 7 8 NO.REVISION BY REVISION BY VITAE ARCHITECTURE 30 TANFORAN AVENUE FOR OF GR SOUTH SAN FRANCISCO,CALIFORNIA k w KIER & WRIGHT CIVIL ENGINEERS & SURVEYORS, INC. 2850 Collier Canyon Road Phone (925) 245-8788 Livermore, California 94551 Fax (925) 245-8796 LE G E N D SE C T I O N A 16 TANFORAN AVENUE SO U T H M A P L E A V E N U E TA N F O R A N I N D U S T R I A L P A R K M A P 5 5 P M 2 9 PA R C E L 2 C5 1" = 0 0 ' STORM WATER QUALITY CONTROL PLAN PR O G R E S S S E T NO. DE C . , 2 0 1 4 OF 3 S H E E T S SH E E T DA T E SC A L E DE S I G N E R JO B N O . A 1 4 6 7 8 NO.REVISION BY REVISION BY VITAE ARCHITECTURE 30 TANFORAN AVENUE FOR OF GR SOUTH SAN FRANCISCO,CALIFORNIA k w KIER & WRIGHT CIVIL ENGINEERS & SURVEYORS, INC. 2850 Collier Canyon Road Phone (925) 245-8788 Livermore, California 94551 Fax (925) 245-8796 LE G E N D 17 20 21 Attachment 2 Draft Development Agreement Ordinance Exhibit A: Development Agreement 22 ORDINANCE NO. ________ CITY COUNCIL, CITY OF SOUTH SAN FRANCISCO STATE OF CALIFORNIA AN ORDINANCE ADOPTING A DEVELOPMENT AGREEMENT TO ALLOW A BUS TRAINING FACILITY AT 30 TANFORAN AVENUE IN THE BUSINESS AND PROFESSIONAL OFFICE (BPO) ZONING DISTRICT WHEREAS, Joe Cassidy is the owner of real property located at 30 Tanforan Avenue, South San Francisco, California; and, WHEREAS, Joe Cassidy and Vitae Architecture (collectively “Applicant”) have submitted an application for a bus driver training facility at 30 Tanforan Avenue (“Project”); and, WHEREAS, Applicant seeks approval of a Conditional Use Permit and Design Review; and, WHEREAS, as part of its application, the Applicant has sought approval of a Development Agreement, which would clarify and obligate several project features, including the maximum term of the bus training facility; and WHEREAS, approval of the Applicant’s proposal is considered a “project” for purposes of the California Environmental Quality Act, Pub. Resources Code, §§ 21000, et seq. (“CEQA”); and, WHEREAS, the City Council has reviewed and carefully considered the Project and related Project documents, and because the Project involves the construction and location of limited numbers of new, small facilities or structures, the City Council has determined that the Project is categorically exempt from environmental review under the provisions of CEQA, pursuant to CEQA Guidelines Section 15303 – Class 3: New Construction or Conversion of Small Structures as an objective and accurate determination that reflects the independent judgment and analysis of the City in the discussion of the Project’s environmental impacts; and, WHEREAS, on September 3, 2015 the Planning Commission for the City of South San Francisco held a lawfully noticed public hearing to solicit public comment and consider the proposed entitlements, take public testimony, and make a recommendation to the City Council on the project; and, WHEREAS, the City Council held a duly noticed public hearing on September 23, 2015 to consider the Project entitlements and Development Agreement, and take public testimony. NOW, THEREFORE, the City Council of the City of South San Francisco does hereby ordain as follows: 23 SECTION 1. Findings. That based on the entirety of the record before it, which includes without limitation, the California Environmental Quality Act, Public Resources Code §21000, et seq. (“CEQA”) and the CEQA Guidelines, 14 California Code of Regulations §15000, et seq.; the South San Francisco General Plan and General Plan EIR; the South San Francisco Municipal Code; the Project applications; the Applicant’s plans and supporting documents, as prepared by Vitae Architecture, dated May 18, 2015; all site plans, and all reports, minutes, and public testimony submitted as part of the Planning Commission’s duly noticed September 3, 2015 meeting, and Planning Commission deliberations; all site plans, and all reports, minutes, and public testimony submitted as part of the City Council’s duly noticed September 23, 2015 meeting, and City Council deliberations; and any other evidence (within the meaning of Public Resources Code §21080(e) and §21082.2), the City Council of the City of South San Francisco hereby finds as follows: A. The foregoing Recitals are true and correct and made a part of this Ordinance. B. The proposed Development Agreement (attached as Exhibit A), is incorporated by reference and made a part of this Ordinance, as if set forth fully herein. C. The documents and other material constituting the record for these proceedings are located at the Planning Division for the City of South San Francisco, 315 Maple Avenue, South San Francisco, CA 94080, and in the custody of Chief Planner, Sailesh Mehra. D. The Applicant and City have negotiated a Development Agreement. The Development Agreement, attached hereto as Exhibit A, sets forth the duration, property, project criteria. Based on the findings in support of the Project, the Planning Commission finds that the Development Agreement is consistent with the objectives, policies, general land uses and programs specified in the South San Francisco General Plan and any applicable zoning regulations. E. The City Council has independently reviewed the proposed Development Agreement, the General Plan, the South San Francisco Municipal Code, and applicable state and federal law, and has determined that the proposed Development Agreement complies with all applicable zoning, subdivision, and building regulations and with the General Plan. The development contemplated in the Project and Development Agreement is consistent with the Zoning and Specific Plan standards, as proposed for amendment. This finding is based upon all evidence in the Record as a whole, including, but not limited to: the City Council’s independent review of these documents, oral and written evidence submitted at the public hearings on the Project, including advice and recommendations from City staff. F. The proposed Development Agreement for the Project states its specific duration. This finding is based upon all evidence in the Record as a whole, including, but not limited to: the City Council’s independent review of the proposed Development Agreement and its determination that Section 2 of the Development Agreement states that the Development Agreement shall expire ten (10) years from the effective date of this Ordinance. G. The proposed Development Agreement incorporates the permitted uses, density and intensity of use for the property subject thereto, as reflected in the proposed Project (P15- 0041), Use Permit (UP15-0008), Design Review (DR15-0037) and Development Agreement (DA15-0002). This finding is based upon all evidence in the Record as a whole, including, but not limited to, the City Council’s independent review of the proposed Development Agreement 24 and its determination that the Development Agreement sets forth the Project approvals, development standards, and the documents constituting the Project. H. The proposed Development Agreement states the maximum permitted height and size of proposed sign structures on the property subject thereto. This finding is based upon all evidence in the Record as a whole, including, but not limited to, the City Council’s independent review of the proposed Development Agreement and its determination that the Development Agreement sets forth the documents which state the maximum permitted height and size of sign structures.. SECTION 2. Approval of Development Agreement. A. The City Council of the City of South San Francisco hereby approves the Development Agreement with Joe Cassidy, an individual, attached hereto as Exhibit A and incorporated herein by reference. B. The City Council further authorizes the City Manager to execute the Development Agreement, on behalf of the City, in substantially the form attached as Exhibit A, and to make revisions to such Agreement, subject to the approval of the City Attorney, which do not materially or substantially increase the City’s obligations thereunder. SECTION 3. Severability. If any provision of this Ordinance or the application thereof to any person or circumstance is held invalid or unconstitutional, the remainder of this Ordinance, including the application of such part or provision to other persons or circumstances shall not be affected thereby and shall continue in full force and effect. To this end, provisions of this Ordinance are severable. The City Council of the City of South San Francisco hereby declares that it would have passed each section, subsection, subdivision, paragraph, sentence, clause, or phrase hereof irrespective of the fact that any one or more sections, subsections, subdivisions, paragraphs, sentences, clauses, or phrases be held unconstitutional, invalid, or unenforceable. SECTION 4. Publication and Effective Date. Pursuant to the provisions of Government Code Section 36933, a summary of this Ordinance shall be prepared by the City Attorney. At least five (5) days prior to the Council meeting at which this Ordinance is scheduled to be adopted, the City Clerk shall (1) publish the Summary, and (2) post in the City Clerk’s Office a certified copy of this Ordinance. Within fifteen (15) days after the adoption of this Ordinance, the City Clerk shall (1) publish the summary, and (2) post in the City Clerk’s Office a certified copy of the full text of this Ordinance along with the names of those City Council members voting for and against this Ordinance or otherwise voting. This Ordinance shall become effective thirty (30) days from and after its adoption. * * * * * * Introduced at a regular meeting of the City Council of the City of South San Francisco, held the 23rd day of September, 2015. Adopted as an Ordinance of the City of South San Francisco at a regular meeting of the City Council held the _____ day of _________, 2015, by the following vote: 25 AYES: NOES: ABSTAIN: ABSENT: ATTEST: City Clerk As Mayor of the City of South San Francisco, I do hereby approve the foregoing Ordinance this _____ day of ____________, 2015. Mayor 26 Exhibit A Development Agreement 2134171.1 27 DM2\6011965.2 RECORDING REQUESTED BY AND WHEN RECORDED MAIL TO: City Clerk City of South San Francisco 400 Grand Avenue South San Francisco, CA 94080 ______________________________________________________________________________ (Space Above This Line Reserved For Recorder’s Use) This instrument is exempt from recording fees pursuant to Government Code Sec. 27383. DEVELOPMENT AGREEMENT BY AND BETWEEN CITY OF SOUTH SAN FRANCISCO AND JOE CASSIDY SOUTH SAN FRANCISCO, CALIFORNIA 28 DEVELOPMENT AGREEMENT THIS DEVELOPMENT AGREEMENT (this “Agreement”) is entered into as of ________, 2015 by and between Joe Cassidy, an individual (“Developer”), and the City of South San Francisco (“City”), pursuant to California Government Code § 65864 et seq. A. To strengthen the public planning process, encourage private participation in comprehensive planning and reduce the economic risk of development, the Legislature of the State of California enacted California Government Code § 65864 et seq. (the “Development Agreement Statute”), which authorizes City to enter into an agreement with any person having a legal or equitable interest in real property regarding the development of such property. B. Pursuant to California Government Code § 65865, City has adopted procedures and requirements for the consideration of development agreements (South San Francisco Municipal Code (“SSFMC”) Chapter 19.60). This Development Agreement has been processed, considered and executed in accordance with such procedures and requirements. C. Developer owns or has a legal or equitable interest of an approximately 7.3 acres parcel of real property located at 30 Tanforan Avenue, South San Francisco, California (APN 014-250-090) in the Business Professional Office (“BPO”) zoning district and as more particularly described and depicted in Exhibit A (the “Project Site”). D. The proposed Project (the “Project”) consists of the development and use of the Project Site as a bus training facility and related office space for the San Francisco Municipal Transit Authority or such other transportation provider as designated by Developer and approved by City in writing. E. Development of the Project requires that the Developer obtain from the City the following land use entitlement: Conditional Use Permit to allow bus training facility and related office space at the Project Site. The approvals, purposes and development policies described in this Recital E are collectively referred to herein as the “Project Approvals.” F. City has determined that until a program is in place for developing new street extensions that will provide a connection between South Spruce and South Maple Avenues and provide critical connections to the San Bruno BART station, the Project presents certain public benefits and opportunities which are advanced by City and Developer entering into this Agreement. This Agreement will, among other things: (1) reduce uncertainties in planning and provide for the orderly development of the Project in this interim period; (2) provide for and generate revenues for the City in the form of fees and other fiscal benefits; (3) provide for additional desirable employment; (4) provide economic development opportunities for Developer and other businesses within South San Francisco in this interim period; and (5) otherwise achieve the goals and purposes for which the Development Agreement Statute was enacted. 29 G. In exchange for the benefits to City described in the preceding Recital, together with the other public benefits that will result from the development of the Project, Developer will receive by this Agreement assurance that it may proceed with the Project for ten (10) years in accordance with the “Applicable Law” (defined below), and therefore desires to enter into this Agreement. H. On __________, following a duly noticed public hearing, the Planning Commission adopted Resolution No. ___________, recommending that the City Council approve this Agreement. I. The City Council, after conducting a duly noticed public hearing, has found that this Agreement is consistent with the General Plan and Zoning Ordinance and has conducted all necessary proceedings in accordance with the City’s rules and regulations for the approval of this Agreement. In accordance with SSFMC section 19.60.120 the City Council at a duly noticed public hearing adopted Ordinance No. [___], approving and authorizing the execution of this Agreement. AGREEMENT NOW, THEREFORE, the Parties, pursuant to the authority contained in Government Code Sections 65864 through 65869.5 and Chapter 19.60 of the Municipal Code and in consideration of the mutual covenants and agreements contained herein, agree as follows: ARTICLE 1. DEFINITIONS “Administrative Project Amendment” shall have that meaning set forth in Section 7.01 of this Agreement. “Administrative Agreement Amendment” shall have that meaning set forth in Section 7.02 of this Agreement. “Agreement” shall mean this Development Agreement. “Applicable Law” shall have that meaning set forth in Section 6.03 of this Agreement. “City Law” shall have that meaning set forth in Section 6.05 of this Agreement. “Change in Ownership” shall mean a sale of all or materially all of the Company’s business interests and assets. It shall not apply to any funding or financing be it in debt or equity that may change the companies capitalization and ownership. “Deficiencies” shall have that meaning set forth in Section 9.02 of this Agreement. “Development Agreement Statute” shall have that meaning set forth in Recital A of this Agreement. 30 “Judgment” shall have that meaning set forth in Section 9.02 of this Agreement. “Periodic Review” shall have that meaning set forth in Section 10.05 of this Agreement. “Project” shall have that meaning set forth in Recital D of this Agreement. “Project Approvals” shall have that meaning set forth in Recital E of this Agreement. “Project Site” shall have that meaning set forth in Recital C of this Agreement. “Tax” and “Taxes” shall not include any generally applicable City Business License Tax or locally imposed Sales Tax. “Term” shall have that meaning set forth in Section 2.02 of this Agreement. ARTICLE 2. EFFECTIVE DATE AND TERM Section 2.01. Effective Date. This Agreement shall become effective upon the date the ordinance approving this Agreement becomes effective (the “Effective Date”). Section 2.02. Term. The term of this Agreement (the “Term”) shall commence upon March 1, 2016 and continue for a period of ten (10) years, unless terminated earlier pursuant to Section 10.02 or Section 10.11. ARTICLE 3. OBLIGATIONS OF DEVELOPER Section 3.01. Obligations of Developer Generally. The parties acknowledge and agree that the City’s agreement to perform and abide by the covenants and obligations of City set forth in this Agreement is a material consideration for Developer’s agreement to perform and abide by its long term covenants and obligations, as set forth herein. Section 3.02. City Fees, Taxes and Assessments. Developer shall pay those processing, inspection and plan checking fees and charges required by the City for processing applications and requests for any subsequent discretionary approvals under the applicable regulations in effect at the time such applications and requests are submitted to the City. Additionally, Developer shall also pay the fees, taxes, exactions, and assessments listed in Exhibit B. ARTICLE 4. OBLIGATIONS OF CITY Section 4.01. Obligations of City Generally. The parties acknowledge and agree that Developer’s agreement to perform and abide by its covenants and obligations set forth in this Agreement, including Developer’s decision to process the siting of the Project in the City, is a material consideration for City’s 31 agreement to perform and abide by the covenants and obligations of City, as set forth herein. Section 4.02. Rights Limited to Term of Agreement. During the term of this Agreement, and only during the term of this Agreement, City shall take any and all actions as may be necessary or appropriate to ensure that the rights provided by this Agreement can be enjoyed by Developer and to prevent any City Law, as defined below, from invalidating or prevailing over all or any part of this Agreement. City shall cooperate with Developer and shall undertake such actions as may be necessary to ensure this Agreement remains in full force and effect during the term of this Agreement. Upon (a) the expiration of the term of this Agreement, or (b) the early termination of this Agreement pursuant to Section 10.02 or Section 10.11, Developer shall have no further right to operate the Project, and shall at its sole cost and expense, terminate use of the Project. Further, by execution of this Agreement, Developer affirmatively waives any right to continue the Project beyond the term of this Agreement or any right against the City should the City elect to enforce the cessation of the Project following the termination of this Agreement. Section 4.03. Developer’s Right to Rebuild. City agrees that Developer may renovate or rebuild all or any part of the Project within the Term of this Agreement should it become necessary due to natural disaster, changes in seismic requirements, or should the buildings located within the Project become functionally outdated, within Developer’s sole discretion, due to changes in technology. Any such renovation or rebuilding shall be subject to the square footage and height limitations vested by this Agreement, and shall comply with the Project Approvals, the building codes existing at the time of such rebuilding or reconstruction, and the requirements of CEQA. ARTICLE 5. COOPERATION - IMPLEMENTATION Section 5.01. Processing Application for Subsequent Approvals. By approving the Project Approvals, City has made a final policy decision that the Project for the term of this Agreement is in the best interests of the public health, safety and general welfare of the City. Section 5.02. Timely Submittals By Developer. Developer acknowledges that City cannot expedite processing Project Approvals until Developer submits complete applications on a timely basis. Developer shall use its best efforts to (i) provide to City in a timely manner any and all documents, applications, plans, and other information required for City to carry out its obligations hereunder; and (ii) cause Developer’s planners, engineers, and all other consultants to provide to City in a timely manner all such documents, applications, plans and other required materials as set forth in the Applicable Law. It is the express intent of Developer and City to cooperate and diligently work to obtain any and all Subsequent Approvals. 32 Section 5.03. Other Government Permits. At Developer’s sole discretion and in accordance with Developer’s construction schedule, Developer shall apply for such other permits and approvals as may be required by other governmental or quasi-governmental entities in connection with the development of, or the provision of services to, the Project. City shall cooperate with Developer in its efforts to obtain such permits and approvals and shall, from time to time at the request of Developer, use its reasonable efforts to assist Developer to ensure the timely availability of such permits and approvals. ARTICLE 6. STANDARDS, LAWS AND PROCEDURES GOVERNING THE PROJECT Section 6.01. Right to Develop. Solely during the term of this Agreement, Developer shall have a right to develop the Project on the Project Site in accordance with the terms and conditions of this Agreement. Nothing in this section shall be deemed to eliminate or diminish the requirement of Developer to obtain any required Subsequent Approvals. Section 6.02. Permitted Uses by This Agreement. The permitted uses of the Project Site; the density and intensity of use of the Project Site; the maximum height, bulk and size of proposed buildings; provisions for reservation or dedication of land for public purposes and the location of public improvements; the general location of public utilities; and other terms and conditions of development applicable to the Project, shall be as set forth in the Project Approvals and, as and when they are issued (but not in limitation of any right to develop as set forth in the Project Approvals), the Subsequent Approvals. Section 6.03. Applicable Law. The rules, regulations, official policies, standards and specifications applicable to the Project (the “Applicable Law”) shall be those set forth in this Agreement and the Project Approvals, and, with respect to matters not addressed by this Agreement or the Project Approvals, those rules, regulations, official policies, standards and specifications (including City ordinances and resolutions) governing permitted uses, building locations, timing of construction, densities, design, heights, fees, exactions, and taxes in force and effect on the Effective Date of this Agreement. Section 6.04. Uniform Codes. City may apply to the Project Site, at any time during the Term, then current California Building Code and other applicable uniform construction codes, and City’s then current design and construction standards for road and storm drain facilities, provided any such uniform code or standard has been adopted and uniformly applied by City on a citywide basis and provided that no such code or standard is adopted for the purpose of preventing or otherwise limiting construction of all or any part of the Project. Section 6.05. No Conflicting Enactments. Except as authorized in Section 6.08, City shall not impose on the Project (whether by action of the City Council or by initiative, referendum or other means) any ordinance, resolution, rule, regulation, 33 standard, directive, condition or other measure (each individually, a “City Law”) that is in conflict with Applicable Law or this Agreement or that reduces the development rights or assurances provided by this Agreement. Without limiting the generality of the foregoing, any City Law shall be deemed to conflict with Applicable Law or this Agreement or reduce the development rights provided hereby if it would accomplish any of the following results, either by specific reference to the Project or as part of a general enactment which applies to or affects the Project: (a) Change any land use designation or permitted use of the Project Site; (b) Limit or control the availability of public utilities, services or facilities or any privileges or rights to public utilities, services, or facilities (for example, water rights, water connections or sewage capacity rights, sewer connections, etc.) for the Project; (c) Limit or control the location of buildings, structures, grading, or other improvements of the Project in a manner that is inconsistent with or more restrictive than the limitations included in the Project Approvals or the Subsequent Approvals (as and when they are issued); (d) Limit or control the rate, timing, phasing or sequencing of the approval, development or construction of all or any part of the Project in any manner; (e) Apply to the Project any City Law otherwise allowed by this Agreement that is not uniformly applied on a City-wide basis to all substantially similar types of development projects and project sites; (f) Result in Developer having to materially delay construction of the Project or require the issuance of additional permits or approvals by the City other than those required by Applicable Law; (g) Establish, enact, increase, or impose against the Project or Project Site any fees, taxes (including without limitation general, special and excise taxes but excluding any increased local sales tax or increased city business license tax or any new or revised parking tax), assessments, liens or other monetary obligations (including generating demolition permit fees, encroachment permit and grading permit fees) other than those specifically permitted by this Agreement or other connection fees imposed by third party utilities; (h) Impose against the Project any condition, dedication or other exaction not specifically authorized by Applicable Law; or (i) Limit the processing or procuring of applications and approvals of Subsequent Approvals. 34 Section 6.06. Initiatives and Referenda. (a) If any City Law is enacted or imposed by initiative or referendum, or by the City Council directly or indirectly in connection with any proposed initiative or referendum, which City Law would conflict with Applicable Law or this Agreement or reduce the development rights provided by this Agreement, such Law shall not apply to the Project. (b) Except as authorized in Section 6.08, without limiting the generality of any of the foregoing, no moratorium or other limitation (whether relating to the rate, timing, phasing or sequencing of development) affecting subdivision maps, building permits or other entitlements to use that are approved or to be approved, issued or granted within the City, or portions of the City, shall apply to the Project. (c) To the maximum extent permitted by law, City shall prevent any City Law from invalidating or prevailing over all or any part of this Agreement, and City shall cooperate with Developer and shall undertake such actions as may be necessary to ensure this Agreement remains in full force and effect. (d) Developer reserves the right to challenge in court any City Law that would conflict with Applicable Law or this Agreement or reduce the development rights provided by this Agreement. Section 6.07. Life of Subdivision Maps, Development Approvals, and Permits. The term of any subdivision map or any other map, permit, rezoning or other land use entitlement approved as a Project Approval shall automatically be extended for the longer of the duration of this Agreement (including any extensions). Section 6.08. State and Federal Law. As provided in California Government Code § 65869.5, this Agreement shall not preclude the application to the Project of changes in laws, regulations, plans or policies, to the extent that such changes are specifically mandated and required by changes in state or federal laws or regulations. Not in limitation of the foregoing, nothing in this Agreement shall preclude City from imposing on Developer any fee specifically mandated and required by state or federal laws and regulations. ARTICLE 7. AMENDMENT Section 7.01. To the extent permitted by state and federal law, any Project Approval or Subsequent Approval may, from time to time, be amended or modified in the following manner: (a) Administrative Project Amendments. Upon the written request of Developer for an amendment or modification to a Project Approval or Subsequent Approval, the Chief Planner or his/her designee shall determine: (i) whether the requested amendment or modification is minor when considered in light of the Project as a whole; and (ii) whether the requested amendment or 35 modification is consistent with this Agreement and Applicable Law. If the Chief Planner or his/her designee reasonably finds that the proposed amendment or modification is consistent with this Agreement and Applicable Law, and will result in no new significant impacts, the amendment shall be determined to be an “Administrative Project Amendment” and the Chief Planner or his designee may, except to the extent otherwise required by law, approve the Administrative Project Amendment without notice and public hearing. Without limiting the generality of the foregoing, lot line adjustments, minor alterations in vehicle circulation patterns or vehicle access points, substitutions of comparable landscaping for any landscaping shown on any final development plan or landscape plan, variations in the location of structures that do not substantially alter the design concepts of the Project, variations in the location or installation of utilities and other infrastructure connections or facilities that do not substantially alter the design concepts of the Project, and minor adjustments to the Project Site diagram or Project Site legal description shall be treated as Administrative Project Amendments. (b) Non-Administrative Project Amendments. Any request by Developer for an amendment or modification to a Project Approval or Subsequent Approval which is determined not to be an Administrative Project Amendment as set forth above shall be subject to review, consideration and action pursuant to the Applicable Law and this Agreement. Section 7.02. Amendment of this Agreement. This Agreement may be amended from time to time, in whole or in part, by mutual written consent of the parties hereto or their successors in interest, as follows: (a) Administrative Agreement Amendments. Any amendment to this Agreement which does not materially affect (i) the Term of this Agreement, (ii) permitted uses of the Project Site, (iii) provisions for the reservation or dedication of land, (iv) conditions, terms, restrictions or requirements for subsequent discretionary actions, (v) the density or intensity of use of the Project Site or the maximum height or size of proposed buildings or (vi) monetary contributions or payments by the Developer, shall be considered an “Administrative Agreement Amendment” and shall not, except to the extent otherwise required by law, require notice or public hearing before the parties may execute an amendment hereto. Such amendment may be approved by City resolution. (b) Any amendment to this Agreement other than an Administrative Agreement Amendment shall be subject to recommendation by the Planning Commission (by advisory resolution) and approval by the City Council (by ordinance) following a duly noticed public hearing before the Planning Commission and City Council, consistent with Government Code Sections 65867 and 65867.5. 36 ARTICLE 8. ASSIGNMENT, TRANSFER AND NOTICE Section 8.01. Assignment and Transfer. Developer may transfer or assign all or any portion of its interests, rights, or obligations under the Agreement and the Project Approvals to third parties acquiring an interest or estate in the Project or any portion thereof including, without limitation, purchasers or lessees of lots, parcels, or facilities. Developer will seek City's prior written consent to any transfer, which consent will not be unreasonably withheld, conditioned or delayed. City may refuse to give consent only if, in light of the proposed transferee's reputation and financial resources, such transferee would not in City's reasonable opinion be able to perform the obligations proposed to be assumed by such transferee. Such determination will be made by the City Manager and will be appealable to the City Council. Notwithstanding the foregoing, the parties acknowledge that debt or equity financing of Developer shall not be considered a transfer of an interest or estate in the Project or subject to the terms of this provision. ARTICLE 9. COOPERATION IN THE EVENT OF LEGAL CHALLENGE Section 9.01. Cooperation. In the event of any administrative, legal, or equitable action or other proceeding instituted by any person not a party to the Agreement challenging the validity of any provision of the Agreement or any Project approval, the parties will cooperate in defending such action or proceeding. City shall promptly notify Developer of any such action against City. If City fails promptly to notify Developer of any legal action against City or if City fails to cooperate in the defense, Developer will not thereafter be responsible for City's defense. The parties will use best efforts to select mutually agreeable legal counsel to defend such action, and Developer will pay compensation for such legal counsel (including actual City Attorney time and actual overhead costs for the defense of such action), but will exclude other City staff overhead costs and normal day-to-day business expenses incurred by City. Developer's obligation to pay for legal counsel as provided herein will also extend to actual fees incurred on appeal. In the event City and Developer are unable to select mutually agreeable legal counsel to defend such action or proceeding, each party may select its own legal counsel and Developer will pay its and the City's reasonable legal fees and costs. Developer shall reimburse the City for all reasonable court costs and attorneys’ fees expended by the City in defense of any such action or other proceeding or payable to any prevailing plaintiff/petitioner. Developer’s obligations under this Section shall survive expiration, termination or cancellation of this Agreement. Section 9.02. Reapproval. If, as a result of any administrative, legal, or equitable action or other proceeding, all or any portion of the Agreement or the Project approvals are set aside or otherwise made ineffective by any judgment in such action or proceeding ("Judgment"), based on procedural, substantive or other deficiencies 37 ("Deficiencies"), the parties will use their respective best efforts to sustain and reenact or readopt the Agreement, and/or the Project approvals, that the Deficiencies related to, unless the Parties mutually agree in writing to act otherwise: (i) If any Judgment requires reconsideration or consideration by City of the Agreement or any Project approval, then the City will consider or reconsider that matter in a manner consistent with the intent of the Agreement and with Applicable Law. If any such Judgment invalidates or otherwise makes ineffective all or any portion of the Agreement or Project approval, then the parties will cooperate and will cure any Deficiencies identified in the Judgment or upon which the Judgment is based in a manner consistent with the intent of the Agreement and with Applicable Law. City will then consider readopting or reenacting the Agreement, or the Project approval, or any portion thereof, to which the Deficiencies related. (ii) Acting in a manner consistent with the intent of the Agreement includes, but is not limited to, recognizing that the parties intend that Developer may develop the Project as described in the Agreement, and adopting such ordinances, resolutions, and other enactments as are necessary to readopt or reenact all or any portion of the Agreement or Project approvals without contravening the Judgment. ARTICLE 10. DEFAULT; REMEDIES; TERMINATION Section 10.01. Defaults. Any failure by either party to perform any material term or provision of the Agreement, which failure continues uncured for a period of thirty (30) calendar days following written notice of such failure from the other party (unless such period is extended by mutual written consent), will constitute a default under the Agreement. Any written notice given will specify the nature of the alleged failure and, where appropriate, the manner in which said failure satisfactorily may be cured. If the nature of the alleged failure is such that it cannot reasonably be cured within such 30-calendar day period, then the commencement of the cure within such time period, and the diligent prosecution to completion of the cure thereafter, will be deemed to be a cure within such 30- calendar day period. Upon the occurrence of an uncured default under the Agreement, the non-defaulting party may institute legal proceedings to enforce the terms of the Agreement or, in the event of a material default, terminate the Agreement. If the default is cured, then no default will exist and the noticing party shall take no further action. Section 10.02. Termination. If City elects to consider terminating the Agreement due to a material continuing default of Developer, then City will give a written notice of intent to terminate the Agreement and the matter will be scheduled for consideration and review by the City Council at a duly noticed and conducted public hearing. Developer will have the right to offer written and oral evidence 38 prior to or at the time of said public hearings. If the City Council determines that a material default has occurred and is continuing, and elects to terminate the Agreement, City will give written notice of termination of the Agreement to Developer by certified mail and the Agreement will thereby be terminated sixty (60) calendar s thereafter. Section 10.03. Enforced Delay; Extension of Time of Performance. In addition to specific provisions of the Agreement, neither party will be deemed to be in default where delays in performance or failures to perform are due to, and a necessary outcome of, war, insurrection, strikes or other labor disturbances, walk-outs, riots, floods, earthquakes, fires, casualties, acts of God, restrictions imposed or mandated by other governmental entities (including new or supplemental environmental regulations), enactment of conflicting state or federal laws or regulations, judicial decisions, or similar basis for excused performance which is not within the reasonable control of the party to be excused. Litigation attacking the validity of the Agreement or any of the Project approvals, or any permit, ordinance, entitlement or other action of a governmental agency other than City necessary for the development of the Project pursuant to the Agreement will be deemed to create an excusable delay as to Developer. Upon the request of either party hereto, an extension of time for the performance of any obligation whose performance has been so prevented or delayed will be memorialized in writing. The term of any such extension will be equal to the period of the excusable delay, or longer, as may be mutually agreed upon. Section 10.04. Legal Action/Default by City. Developer may institute legal action to cure, correct, or remedy any material and continuing default, enforce any covenant or agreement in the Agreement, enjoin any threatened or attempted violation thereof, and enforce by specific performance the obligations and rights of the parties thereto. The sole and exclusive remedy for any default or violation of the Agreement by the City will be specific performance. Section 10.05. Periodic Review. (a) Conducting the Periodic Review. Throughout the Term of this Agreement, at least once every twelve (12) months following the execution of this Agreement, City shall review the extent of good-faith compliance by Developer with the terms of this Agreement. This review (the “Periodic Review”) shall be conducted by the Chief Planner or his/her designee and shall be limited in scope to compliance with the terms of this Agreement pursuant to California Government Code Section 65865.1. (b) Notice. At least five (5) business days prior to the Periodic Review, and in the manner prescribed in Section 11.09 of this Agreement, City shall deposit in the mail to Developer a copy of any staff reports and documents to be used or relied upon in conducting the review and, to the extent practical, related exhibits concerning Developer’s performance hereunder. Developer 39 shall be permitted an opportunity to respond to City’s evaluation of Developer’s performance, either orally at a public hearing or in a written statement, at Developer’s election. Such response shall be made to the Chief Planner. (c) Good Faith Compliance. During the Periodic Review, the Chief Planner shall review Developer’s good-faith compliance with the terms of this Agreement. At the conclusion of the Periodic Review, the Chief Planner shall make written findings and determinations, on the basis of substantial evidence, as to whether or not Developer has complied in good faith with the terms and conditions of this Agreement. The decision of the Chief Planner shall be appealable to the City Council. If the Chief Planner finds and determines that Developer has not complied with such terms and conditions, the Chief Planner may recommend to the City Council that it terminate or modify this Agreement by giving notice of its intention to do so, in the manner set forth in California Government Code Sections 65867 and 65868. The costs incurred by City in connection with the Periodic Review process described herein shall be borne by Developer. (d) Failure to Properly Conduct Periodic Review. If City fails, during any calendar year, to either (i) conduct the Periodic Review or (ii) notify Developer in writing of City’s determination, pursuant to a Periodic Review, as to Developer’s compliance with the terms of this Agreement and such failure remains uncured as of December 31 of any year during the term of this Agreement, such failure shall be conclusively deemed an approval by City of Developer’s compliance with the terms of this Agreement. (e) Written Notice of Compliance. With respect to any year for which Developer has been determined or deemed to have complied with this Agreement, City shall, within thirty (30) calendar days following request by Developer, provide Developer with a written notice of compliance, in recordable form, duly executed and acknowledged by City. Developer shall have the right, in Developer’s sole discretion, to record such notice of compliance. Section 10.06. Legal Action/Default by Developer. In the event Developer commits a material uncured default under the terms of this Agreement, City shall have all rights and remedies provided herein or under law. City may, in addition to any other rights or remedies, institute legal action to cure, correct, or remedy any default, enforce any covenant or agreement herein, enjoin any threatened or attempted violation thereof, recover reasonable actual damages for any default, enforce by specific performance the obligations and rights of the parties hereto, or to obtain any remedies consistent with the purpose of this Agreement. Section 10.07. California Law. This Agreement shall be construed and enforced in accordance with the laws of the State of California. Any action to enforce or 40 interpret this Agreement shall be filed and heard in the Superior Court of San Mateo County, California. Section 10.08. Resolution of Disputes. With regard to any dispute involving development of the Project, the resolution of which is not provided for by this Agreement or Applicable Law, Developer shall, at City’s request, meet with City. The parties to any such meetings shall attempt in good faith to resolve any such disputes. Nothing in this Section 10.08 shall in any way be interpreted as requiring that Developer and City and/or City’s designee reach agreement with regard to those matters being addressed, nor shall the outcome of these meetings be binding in any way on City or Developer unless expressly agreed to by the parties to such meetings. Section 10.09. Attorneys’ Fees. In any legal action or any other proceeding brought by either party to enforce or interpret a provision of this Agreement, the prevailing party is entitled to reasonable attorneys’ fees and any other reasonable costs incurred in that proceeding in addition to any other relief to which it is entitled. Section 10.10. Hold Harmless. Developer shall hold City and its elected and appointed officers, agents, employees, and representatives harmless from claims, costs, and liabilities for any personal injury, death, or property damage which is a result of, or alleged to be the result of, the construction of the Project, or of operations performed under this Agreement by Developer or by Developer’s contractors, subcontractors, agents or employees, whether such operations were performed by Developer or any of Developer’s contractors, subcontractors, agents or employees. Nothing in this section shall be construed to mean that Developer shall hold City harmless from any claims of personal injury, death or property damage arising from, or alleged to arise from, any active negligence or willful misconduct on the part of City, its elected and appointed representatives, offices, agents and employees. Developer’s obligations under this Section shall survive expiration, termination or cancellation of this Agreement and shall be independent of other indemnity agreements. Section 10.11. Termination Upon Cessation. In the event Developer permanently terminates operations of the Project at the Project Site, Developer shall so notify City and this Agreement shall be deemed terminated effective upon the date of cessation of such operations. In such event, the parties agree to execute and deliver all such instruments and documents as may be reasonably necessary to evidence such termination and to record the same in the Official Records of the County of San Mateo. ARTICLE 11. MISCELLANEOUS Section 11.01. Incorporation of Recitals and Introductory Paragraph. The Recitals contained in this Agreement, and the introductory paragraph preceding the Recitals, are hereby incorporated into this Agreement as if fully set forth herein. 41 Section 11.02. No Agency. It is specifically understood and agreed to by and between the parties hereto that: (i) the subject development is a private development; (ii) City has no interest or responsibilities for, or duty to, third parties concerning any improvements until such time, and only until such time, that City accepts the same pursuant to the provisions of this Agreement or in connection with the various Project Approvals or Subsequent Approvals; (iii) Developer shall have full power over and exclusive control of the Project herein described, subject only to the limitations and obligations of Developer under this Agreement, the Project Approvals, Subsequent Approvals, and Applicable Law; and (iv) City and Developer hereby renounce the existence of any form of agency relationship, joint venture or partnership between City and Developer and agree that nothing contained herein or in any document executed in connection herewith shall be construed as creating any such relationship between City and Developer. Section 11.03. Enforceability. City and Developer agree that unless this Agreement is amended or terminated pursuant to the provisions of this Agreement, this Agreement shall be enforceable by any party hereto notwithstanding any change hereafter enacted or adopted (whether by ordinance, resolution, initiative, or any other means) in any applicable general plan, specific plan, zoning ordinance, subdivision ordinance, or any other land use ordinance or building ordinance, resolution or other rule, regulation or policy adopted by City that changes, alters or amends the rules, regulations and policies applicable to the development of the Project Site at the time of the approval of this Agreement as provided by California Government Code Section 65866. Section 11.04. Severability. If any term or provision of this Agreement, or the application of any term or provision of this Agreement to a particular situation, is held by a court of competent jurisdiction to be invalid, void or unenforceable, the remaining terms and provisions of this Agreement, or the application of this Agreement to other situations, shall continue in full force and effect unless amended or modified by mutual consent of the parties. Notwithstanding the foregoing, if any material provision of this Agreement, or the application of such provision to a particular situation, is held to be invalid, void or unenforceable, either City or Developer may (in their sole and absolute discretion) terminate this Agreement by providing written notice of such termination to the other party. Section 11.05. Other Necessary Acts. Each party shall execute and deliver to the other all such other further instruments and documents as may be reasonably necessary to carry out the Project Approvals, Subsequent Approvals and this Agreement and to provide and secure to the other party the full and complete enjoyment of its rights and privileges hereunder. Section 11.06. Construction. Each reference in this Agreement to this Agreement or any of the Project Approvals or Subsequent Approvals shall be deemed to refer to the Agreement, Project Approval or Subsequent Approval as it may be amended from time to time, whether or not the particular reference refers to such 42 possible amendment. This Agreement has been reviewed and revised by legal counsel for both City and Developer, and no presumption or rule that ambiguities shall be construed against the drafting party shall apply to the interpretation or enforcement of this Agreement. Section 11.07. Other Miscellaneous Terms. The singular shall include the plural; the masculine gender shall include the feminine; “shall” is mandatory; “may” is permissive. If there is more than one signer of this Agreement, the signer obligations are joint and several. Section 11.08. Covenants Running with the Land. All of the provisions contained in this Agreement shall be binding upon the parties and their respective heirs, successors and assigns, representatives, lessees, and all other persons acquiring all or a portion of the Project, or any interest therein, whether by operation of law or in any manner whatsoever. All of the provisions contained in this Agreement shall be enforceable as equitable servitudes and shall constitute covenants running with the land pursuant to California law including, without limitation, Civil Code Section 1468. Each covenant herein to act or refrain from acting is for the benefit of or a burden upon the Project, as appropriate, runs with the Project Site and is binding upon the owner of all or a portion of the Project Site and each successive owner during its ownership of such property. Section 11.09. Notices. Any notice or communication required hereunder between City or Developer must be in writing, and may be given either personally, by telefacsimile (with original forwarded by regular U.S. Mail), by registered or certified mail (return receipt requested), or by Federal or other similar courier promising overnight delivery. If personally delivered, a notice shall be deemed to have been given when delivered to the party to whom it is addressed. If given by facsimile transmission, a notice or communication shall be deemed to have been given and received upon actual physical receipt of the entire document by the receiving party’s facsimile machine. Notices transmitted by facsimile after 5:00 p.m. on a normal business day or on a Saturday, Sunday or holiday shall be deemed to have been given and received on the next normal business day. If given by registered or certified mail, such notice or communication shall be deemed to have been given and received on the first to occur of (i) actual receipt by any of the addressees designated below as the party to whom notices are to be sent, or (ii) five (5) calendar days after a registered or certified letter containing such notice, properly addressed, with postage prepaid, is deposited in the United States mail. If given by Federal Express or similar courier, a notice or communication shall be deemed to have been given and received on the date delivered as shown on a receipt issued by the courier. Any party hereto may at any time, by giving written notice as prescribed above to the other party hereto, designate any other address in substitution of the address to which such notice or communication shall be given. Such notices or communications shall be given to the parties at their addresses set forth below: 43 If to City, to: City Manager City of South San Francisco 400 Grand Avenue South San Francisco, CA 94080 Phone: (650) 829-6629 Fax: (650) 829-6623 With a Copy to: Meyers Nave 575 Market Street, Suite 2080 San Francisco, CA 94105 Attn: Steven T. Mattas, City Attorney Phone: (415) 421-3711 Fax: (415) 421-3767 If to Developer, to: Joe Cassidy 160 South Linden Avenue, Suite 100 South San Francisco, CA 94080 Phone: (650) 876-9400 With Copies to: Duane Morris LLP One Market Plaza, Spear Tower, Suite 2200 San Francisco, CA 94105 Attn: Kenneth K. Tze, Esq. Phone: (415) 957-3159 Fax: (415) 723-7389 Section 11.10. Entire Agreement, Counterparts And Exhibits. This Agreement may be executed in two (2) or more duplicate counterparts, each of which is deemed to be an original. This Agreement shall constitute in full, the final and exclusive understanding and agreement of the parties and supersedes all negotiations or previous agreements of the parties with respect to all or any part of the subject matter hereof. All waivers of the provisions of this Agreement shall be in writing and signed by the appropriate authorities of City and the Developer. The following exhibits are attached to this Agreement and incorporated herein for all purposes: (a) Exhibit A: Description and Diagram of Project Site (b) Exhibit B: Existing City Fees, Taxes, Exactions, and Assessments Section 11.11. Recordation Of Development Agreement. Pursuant to California Government Code § 65868.5, no later than ten (10) calendar days after City enters into this Agreement, the City Clerk shall record an executed copy of this Agreement in the Official Records of the County of San Mateo. 44 IN WITNESS WHEREOF, this Agreement has been entered into by and between Developer and City as of the and year first above written. CITY CITY OF SOUTH SAN FRANCISCO, a municipal corporation By:_______________________________ Name:____________________________ City Manager Developer _______________________________ JOE CASSIDY, an individual ATTEST: By: ___________________________ City Clerk APPROVED AS TO FORM: By: ___________________________ City Attorney 45 ACKNOWLEDGMENT A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. State of California ) County of ______________________ ) On _________________________, before me, , (insert name of notary) Notary Public, personally appeared , who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Signature (Seal) 46 ACKNOWLEDGMENT A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. State of California ) County of ______________________ ) On _________________________, before me, , (insert name of notary) Notary Public, personally appeared , who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Signature (Seal) 47 Exhibit A: Description and Diagram of Project Site LEGAL DESCRIPTION OF PROJECT SITE 48 EXHIBIT B Existing City Fees, Taxes, Exactions, and Assessments Developer agrees that Developer shall be responsible for the payment of the following fees, charges, exactions, taxes, and assessments (collectively, “Assessments”). From time to time, the City may update, revise, or change its Assessments. Further, nothing herein shall be construed to relieve the Property from common benefit assessments levied against it and similarly situated properties by the City pursuant to and in accordance with any statutory procedure for the assessment of property to pay for infrastructure and/or services that benefit the Property. Except as indicated below, the amount paid for a particular Assessment, shall be the amount owed, based on the calculation or formula in place at the time payment is due, as specified below. 1.1 Administrative/Processing Fees. The Developer shall pay the applicable application, processing, administrative, legal and inspection fees and charges, as currently adopted pursuant to City’s Master Fee Schedule and required by the City for processing of land use entitlements, including without limitation, General Plan amendments, zoning changes, precise plans, development agreements, conditional use permits, variances, transportation demand management plans, tentative subdivision maps, parcel maps, lot line adjustments, general plan maintenance fee, demolition permits, and building permits. 1.2 Impact Fees (Existing Fees). Except as modified below, existing impact fees shall be paid for net new square footage, if any, at the rates and at the times prescribed in the resolution(s) or ordinance(s) adopting and implementing the fees. 1.2.1 Child Care Impact Fee (SSFMC, ch. 20.310; Ordinance 1301- 2001). If applicable to improvements of the Project, Developer shall pay the City’s Child Care Impact Fee, as described in South San Francisco Municipal Code Chapter 20.310. 1.2.2 Public Safety Impact Fee. (Resolution 97-2012) Prior to receiving a building permit for the Project, if applicable, the Developer shall pay the Public Safety Impact Fee, as set forth in Resolution No. 97-2012, adopted on December 10, 2012 to assist the City’s Fire Department and Police Department with funding the acquisition and maintenance of Police and Fire Department vehicles, apparatus, equipment, and similar needs for the provision of public safety services. 1.2.3 Sewer Capacity Charge. (Resolution 39-2010) Prior to receiving a building permit for Tenant Improvements for the Project, and if applicable, the Developer shall pay the Sewer Capacity Charge, as set forth in Resolution No. 39-2010. 1.2.4 General Plan Maintenance Fee. (Resolution 74-2007) 1.3 User Fees. 1.3.1 Sewer Service Charges (assessed as part of property tax bill) 49 1.3.2 Stormwater Charges (assessed as part of property tax bill) 2511213.3 50 Attachment 3 Planning Commission Entitlements Resolution 2775-2015 51 RESOLUTION NO. 2775-2015 PLANNING COMMISSION, CITY OF SOUTH SAN FRANCISCO STATE OF CALIFORNIA A RESOLUTION RECOMMENDING APPROVAL OF A USE PERMIT, DESIGN REVIEW AND DEVELOPMENT AGREEMENT TO ALLOW A BUS TRAINING FACILITY AT 30 TANFORAN AVENUE IN THE BUSINESS AND PROFESSIONAL OFFICE (BPO) ZONING DISTRICT WHEREAS, Joe Cassidy is the owner of real property located at 30 Tanforan Avenue, South San Francisco, California; and WHEREAS, Joe Cassidy and Vitae Architecture (collectively “Applicant”) has submitted an application for a bus driver training facility at 30 Tanforan Avenue (“Project”); and, WHEREAS, Applicant seeks approval of a Conditional Use Permit and Development Agreement; and, WHEREAS, approval of the Applicant’s proposal is considered a “project” for purposes of the California Environmental Quality Act, Pub. Resources Code § 21000, et seq. (“CEQA”); and, WHEREAS, the Planning Commission has reviewed and carefully considered the Project and related Project documents, and because the Project involves the construction and location of limited numbers of new, small facilities or structures, the Planning Commission recommends that the City Council determine that the Project is categorically exempt from environmental review under the provisions of CEQA, pursuant to CEQA Guidelines Section 15303 – Class 3: New Construction or Conversion of Small Structures as an objective and accurate determination that reflects the independent judgment and analysis of the City in the discussion of the Project’s environmental impacts; and, WHEREAS, on September 3, 2015 the Planning Commission for the City of South San Francisco held a lawfully noticed public hearing to solicit public comment and consider the proposed entitlements, take public testimony, and make a recommendation to the City Council on the project. NOW, THEREFORE, BE IT RESOLVED that based on the entirety of the record before it, which includes without limitation, the California Environmental Quality Act, Public Resources Code §21000, et seq. (“CEQA”) and the CEQA Guidelines, 14 California Code of Regulations §15000, et seq.; the South San Francisco General Plan and General Plan EIR; the South San Francisco Municipal Code; the Project applications; the Applicant’s plans and supporting documents, as prepared by Vitae Architecture, dated May 18, 2015; all site plans, and all reports, minutes, and public testimony submitted as part of the Planning Commission’s duly 52 noticed September 3, 2015 meeting; and any other evidence (within the meaning of Public Resources Code §21080(e) and §21082.2), the Planning Commission of the City of South San Francisco hereby finds as follows: A. General Findings 1. The foregoing recitals are true and correct. 2. The Exhibits attached to this Resolution, including the Draft Conditions of Approval (attached as Exhibit A), the Development Agreement (attached as Exhibit B), and the Project Plans and supporting documents (attached as Exhibit C) are each incorporated by reference and made a part of this Resolution, as if set forth fully herein. 3. The documents and other material constituting the record for these proceedings are located at the Planning Division for the City of South San Francisco, 315 Maple Avenue, South San Francisco, CA 94080, and in the custody of Chief Planner, Sailesh Mehra. 4. The Planning Commission, exercising its independent judgment and analysis, has recommended that the City Council determine that the Project is categorically exempt from environmental review pursuant to CEQA Guidelines Section 15303 – Class 3: New Construction or Conversion of Small Structures. B. Use Permit 1. The proposed bus training facility is consistent with the standards and requirements of the City’s Zoning Ordinance, all other titles of the South San Francisco Municipal Code, and the provisions of the Business and Professional Office (BPO) Zoning District. The Zoning Ordinance does not include a specific land use classification for a bus training facility. In cases where a specific land use or activity is not defined, the Chief Planner shall assign the land use or activity to a classification that is substantially similar in character. The most similar land use classification is Colleges and Trade Schools, Public or Private, which is intended for institutions of higher education providing curricula of a general, religious, or professional nature, including business and computer schools, management training, technical and trade schools. The bus training facility is similar to a trade school, granting trainees with a new skill for a specific type of employment. Based on this factor, the Chief Planner has determined that the proposed use is substantially similar to the Colleges and Trade Schools, Public or Private use classification, which is allowed subject to Use Permit approval within the BPO district. The proposed use complies with the development standards established for the BPO district. 53 2. The proposed Project, including the Use Permit, Design Review, and Development Agreement, is consistent and compatible with all elements in the City of South San Francisco General Plan. The Project is consistent with the General Plan because the project site is designated Office, which is intended to provide sites for development as administrative, financial, business, profession, medical and public offices at locations close to BART or CalTrain stations. The General Plan proposes new street extensions that will provide a connection between South Spruce and South Maple Avenues and provide critical connections to the San Bruno BART station. Because those improvements have not been implemented, industrial, general service, warehousing, and related uses are permitted in the Office land use designation until 2024 or such a time a program is in place for developing this essential infrastructure, whichever comes first. The proposed use, in conjunction with the Development Agreement, does not constitute a significant investment that will extend the life of the industrial use and preclude future conformance with the Office land use designation. Further, the land use, development standards, densities and intensities, buildings and structures proposed are compatible with the goals, policies, and land use designations established in the General Plan (see Gov’t Code, § 65860), and none of the land uses, development standards, densities and intensities, buildings and structures will operate to conflict with or impede achievement of the any of the goals, policies, or land use designations established in the General Plan. 3. The proposed use will not be adverse to the public health, safety, or general welfare of the community or detrimental to surrounding properties or improvements given that the proposed use would not be disruptive to the surrounding area. With approval of a Conditional Use Permit, the proposal is consistent with the Zoning Ordinance and General Plan and would provide a commercial service to the City. In addition, Staff has incorporated specific Conditions of Approval for the proposed use that would minimize adverse safety or land use impacts on the surrounding area. 4. The proposed use complies with design and development standards applicable to the Business and Professional Office Zoning District because site improvements, including landscape and parking upgrades, were designed in accordance with the South San Francisco Design Guidelines to provide a cohesive development. 5. The design, location, size, and operating characteristics of the proposed activity would be compatible with the existing and reasonably foreseeable future land uses in the vicinity because the bus training facility is located in a general industrial neighborhood; the proposed project will improve the appearance of the site by removing the vacant industrial buildings, significantly increasing the amount of landscaping, and installing new paving for the bus training area; and the site will not be altered in a way as to preclude future compatible uses. 54 6. The site is physically suitable for the type, density, and intensity of use being proposed, including access, utilities, and the absence of physical constraints, the site has adequate access for the proposed use; and the proposed improvements would remove any physical constraints on the site. Given the location of the subject property in the Business and Professional Office Zoning District, will remove existing vacant industrial buildings on the site, and is adjacent to similar industrial uses, the proposed use is an appropriate land use and will be compatible with the surrounding area. 7. In accordance with the California Environmental Quality Act, the Planning Commission has determined that the proposed project is Categorically Exempt pursuant to the provisions of CEQA Section 15303 – Class 3: New Construction or Conversion of Small Structures. The project involves a change in land use with minor construction. C. Development Agreement 1. The Applicant and City have negotiated a Development Agreement pursuant to Government Code section 65864 et seq. The Development Agreement, attached hereto as Exhibit B, sets forth the duration, property, project criteria, and other required information identified in Government Code section 65865.2. Based on the findings in support of the Project, the Planning Commission finds that the Development Agreement is consistent with the objectives, policies, general land uses and programs specified in the South San Francisco General Plan and any applicable zoning regulations. 2. For the reasons set forth in Finding B.2, above, the Development Agreement is compatible with the uses authorized in, and the regulations prescribed for the land use district in which the real property is located. The subject site is suitable for the type and intensity of the land use being proposed. The General Plan specifically supports both proposed uses and the suitability of the site for redevelopment was analyzed thoroughly. 3. The Development Agreement is in conformity with public convenience, general welfare and good land use practice for the reasons set forth in Finding B.3, above. 4. The Development Agreement will not be detrimental to the health, safety and general welfare for the reasons set forth in Finding B.3, above. 5. For the reasons set forth in Finding B.5, above, the Development Agreement will not adversely affect the orderly development of property or the preservation of property values. D. Design Review 55 1. The Project, including Design Review, is consistent with Title 20 of the South San Francisco Municipal Code for the reasons set forth in the Finding B.1 above, and because the design of the Project reflects the standards and guidance provided in the Design Guidelines. 2. The Project, including Design Review, is consistent with the General Plan, for the reasons set forth in Finding B.2, above. 3. The Project, including Design Review, is consistent with the Design Guidelines in that the Project Site improvements, including landscape and parking upgrades, were designed in accordance with the South San Francisco Design Guidelines to provide a cohesive development. 4. The Design Review is consistent with the Use Permit and Conditions of Approval approved for the Project because the approval incorporates the approved design review. 5. The Project, including Design Review, is consistent with the Design Review criteria as stated in San Francisco Municipal Code Section 20.480.006, without limitation, because the Project will be developed with regard for the natural terrain, aesthetic quality, and landscaping so as not to impair the environmental quality, value, or stability of the site or the environmental quality or value of improved or unimproved property in the area. Additionally, the proposed construction will reasonably relate to Project site and property in the immediate and adjacent areas. NOW, THEREFORE, BE IT FURTHER RESOLVED that subject to the Conditions of Approval, attached as Exhibit A to this resolution, the Planning Commission of the City of South San Francisco hereby makes the findings contained in this Resolution, and recommends that the City Council adopt a resolution approving the Conditional Use Permit for the Project. BE IT FURTHER RESOLVED that the Planning Commission recommends that the City Council adopt an ordinance approving a Development Agreement between the City of South San Francisco and Joe Cassidy. BE IT FURTHER RESOLVED that the approvals herein are conditioned upon the approval and execution of the Development Agreement for the proposed Project. BE IT FURTHER RESOLVED that this Resolution shall become effective immediately upon its passage and adoption. * * * * * * * I hereby certify that the foregoing resolution was adopted by the Planning Commission of the City of South San Francisco at the regular meeting held on the 3rd day of September, 2015 by the following vote: 56 AYES:_Chairperson Wong, Commissioner Lujan, Commissioner Martin, Commissioner Nagales and Commissioner Ruiz__________________________________________________ NOES:________________________________________________________________________ ABSTENTIONS:_______________________________________________________________ ABSENT:___Vice Chairperson Khalfin and Commissioner Faria_________________________ Attest:__________________________________ Sailesh Mehra Secretary to the Planning Commission 57 Attachment 4 CEQA Exemption Memorandum 58 59 60 61 62 63 64 65 66 67 68 69 70 71 72 73 74 75 76 77 78 79 80 81 82 83 84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 99 10 0 10 1 10 2 10 3 10 4 10 5 10 6 10 7 10 8 10 9 11 0 11 1 11 2 11 3 11 4 11 5 11 6 11 7 11 8 11 9 12 0 12 1 12 2 12 3 12 4 12 5 12 6 12 7 12 8 12 9 13 0 13 1 13 2 13 3 13 4 13 5 13 6 13 7 13 8 13 9 14 0 14 1 14 2 14 3 14 4 14 5 14 6 14 7 14 8 14 9 15 0 15 1 15 2 15 3 15 4 15 5 15 6 15 7 15 8 15 9 16 0 16 1 16 2 16 3 16 4 16 5 16 6 16 7 16 8 16 9 17 0 17 1 17 2 17 3 17 4 17 5 17 6 17 7 17 8 17 9 18 0 18 1 18 2 18 3 18 4 18 5 18 6 18 7 18 8 18 9 19 0 19 1 19 2 19 3 19 4 Attachment 5 SFMTA Business Narrative 195 The San Francisco Municipal Transportation Agency (SFMTA) is experiencing and will continue to experience significant demands on the comprehensive transportation system as the need to provide safe, reliable and efficient transit service continues to expand in concurrence with a growing population and economic base in San Francisco and San Mateo Counties. Muni’s projected ridership is forecast to grow from 700,000 to 1,000,000 daily riders by 2040 or earlier. Besides serving San Francisco, the SFMTA also provides 24/7 bus and trolley service to San Mateo County, including to Bayshore Boulevard, Geneva Avenue, Top of the Hill, and the Daly City BART Station. Many of the SFMTA’s employees live in San Mateo County, and commute from there to SFMTA’s various facilities. Currently there are approximately 2,300 Muni Operators and 1,800 of those operators are in service at any given time. To meet the ever increasing demands, the SFMTA plans to hire approximately 380 new Muni Operators and those new hires will require 44 days of training for skill development and DMV testing. This training involves classroom training as well as behind-the- wheel operator course training, the latter of which involves both on and off road experience for licensing. In addition, training is not limited to new hires, as it’s a continuous process for all personnel that drive SFMTA’s various bus fleet including: new Operators; Operator refresher training; requalification training for Operators who have been on long term leaves of absence; line trainer training; accident prevention training, and finally maintenance employee Commercial Driver’s License training. The leased acquisition of 30 Tanforan is to support the motor coach and trolley bus training programs; rail training occurs elsewhere in SFMTA facilities in San Francisco. After successfully completing the Operator Training program and passing the probationary period, new transit Operators become permanent employees of the SFMTA with a union position, pay and benefits, and the possibility of a 25-30 year career with the SFMTA. The average pay of a Muni Operator as of May 2015, was $30.04/hour, about $62,400 per year before overtime, with the higher pay increasing with seniority. More information re: how to become a Muni Operator is at: https://www.sfmta.com/about-sfmta/careers/become-muni-driver. Because the SFMTA does not have a dedicated training facility within its portfolio of real estate, the SFMTA has been sourcing and evaluating sites for Training for several years. By way of example, the SFMTA identified, evaluated and discussed over 25 potential sites with various ownership interests and in most cases the facilities sought were either not available at the level of consistency required by Training and or those sites were not adequate in size, use, or because of the existing nature of site improvements. The 30 Tanforan site will enable the SFMTA to have access year round to a training facility that can accommodate four brand new outdoor, off-street Operator training courses, each 140 feet by 400 feet (over seven acres), including the on-site storage of training buses, a modular classroom and convenience facilities. Specifically, the use of the site as an operator training facility is planned as follows:  15 (40’) buses will be housed in the facility and used for training. These buses are either of the 40’ hybrid or electric types. The site will also support electric trolley bus training with overhead wires in a loop inside the property.  The hours of operation will be 7 a.m. to 3:30 p.m., Monday through Friday. 08 Fall 196 2  The number of SFMTA staff on site during those operating hours is projected at 44.  The number of students varies depending on the type of training. The average number of students is approximately 30, with a range of 10 to 60.  The SFMTA will encourage its Training staff and trainees to ride transit to 30 Tanforan Ave., including BART, Caltrain and Samtrans. All parking will be on site, with no on-street parking.  The number of trips a day will average 7 bus pull outs (exiting the facility) at 8 a.m. and returning at 3:00 p.m., for approximately 10 days every 30 to 60 days, for road training on the streets of San Francisco. This is a summary of the SFMTA Bus Operator Training plan. The end result is the ability to train up to 56 new Operators per class at any given time throughout the year. At this volume, the SFMTA will be able to supply the necessary number of Operators to meet current and future transit related demands that are anticipated to impact the SFMTA’s service delivery system over the next 10 to 20 years. The SFMTA appreciates the time and consideration of our use at 30 Tanforan Ave., South San Francisco, for SFMTA Training. 197 Attachment 6 Powerpoint Presentation 198 City Council Meeting September 23, 2015 199 San Bruno BART Station 200 Ed g e w o o d A v e Mi s s i o n R d Ba y w o o d Av e 201 Ed g e w o o d A v e Mi s s i o n R d Ba y w o o d Av e 202 Ed g e w o o d A v e Mi s s i o n R d Ba y w o o d Av e 203 Maximum Term of 10 years •Use required to vacate at expiration 204 “Business and Professional Office” (BPO) Zone District and “Office” GP Land Use Designation •Intended to provide sites for development as administrative, financial, business, professional, medical and public offices at locations close to BART or Caltrain stations •Allows industrial, general service, and related uses until 2024 or such time a program is in place for developing essential infrastructure in district 205 That the City Council conduct a public hearing and: 1.Adopt a Resolution making findings and approving Planning Application P15-0041, including the Use Permit and Design Review, based on the attached draft Findings and subject to the attached draft Conditions of Approval; and, 2.Waive reading and introduce an Ordinance approving a Development Agreement. 9/23/2015 Planning Division 8