HomeMy WebLinkAboutStaff Report 14503
City of Palo Alto (ID # 14503)
City Council Staff Report
Report Type: Consent Calendar Meeting Date: 6/20/2022
City of Palo Alto Page 1
Summary Title: SECOND READING: Downtown Parking In-Lieu Temporary Ban
Title: SECOND READING: Adoption of an Ordinance Amending Palo Alto
Municipal Code Section 18.52.070 (Parking Regulations for CD Assessment
District) to Continue a Temporary Ban on Eligibility of Commercial Office
Uses Above the Ground Floor to Participate in the Downtown Parking In-Lieu
Program and Making Clerical Amendments to PAMC Section 16.57.010
(Applicability) in Chapter 16.57 (In-Lieu Parking Fee for New Nonresidential
Development in the Commercial Downtown (CD) Zoning District) (FIRST
READING: June 6, 2022: PASSED: 6-1, Tanaka No)
From: City Manager
Lead Department: Planning and Development Services
This was heard by the City Council on June 6, 2022 for a first reading and was approved 6-1,
Tanaka no. No changes were made to the Ordinance; it is now before you for a second reading.
Attachments:
Attachment A: Draft Ordinance Amendments - Temporary Ban Alternative (PDF)
Attachment B: Draft Ordinance Amendments - Permanent Ineligibility Alternative (PDF)
*NOT YET APPROVED*
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Ordinance No. __
Ordinance of the Council of the City of Palo Alto Amending Palo Alto
Municipal Code Section 18.52.070 (Parking Regulations for CD Assessment
District) in Chapter 18.52 (Parking and Loading Requirements) in Title 18
(Zoning) to Temporarily Extend Ineligibility of Certain Uses to Participate in
the University Avenue In-Lieu Parking Program and Making Clerical
Amendments to PAMC Section 16.57.010 (Applicability) of Chapter 16.57 (In-
Lieu Parking Fee for New Nonresidential Development in the Commercial
Downtown (CD) Zoning District).
The Council of the City of Palo Alto ORDAINS as follows:
SECTION 1. Findings and declarations. The City Council finds and declares as follows:
A. The City of Palo Alto (City) is a job center with among the highest housing prices and
greatest jobs to housing imbalances in the Bay Area, resulting in a housing shortage
that threatens the city’s prosperity, diversity, stability, environment, quality of life,
and community character.
B. A variety of policies result in incentives for office development over housing, including
the availability of the University Avenue In-Lieu Parking Program.
C. On April 1, 2019, the Palo Alto City Council adopted Ordinance 5460, which included a
temporary ban on eligibility to participate in the University Avenue Parking In-Lieu
Program for certain uses, pending further study and recommendation from the
Planning and Transportation Commission (PTC).
D. The prolonged nature of the COVID-19 pandemic has precluded the collection of data
and further study of parking strategies in the University Avenue downtown area,
requiring several extensions of the temporary ban.
E. On May 11, 2020 the City Council introduced, and on October 5, 2020 adopted,
Ordinance 5506 to extend the temporary ban until February 1, 2021.
F. On December 7, 2020 the City Council introduced, and on January 11, 2021 adopted,
Ordinance 5513 to extend the temporary ban until August 1, 2022.
G. On April 27, 2022, the PTC recommended that the City Council approve clerical code
amendments and continue the existing temporary ban for three years on the eligibility
of commercial office uses above the ground floor to participate in the existing University
Avenue In-Lieu Parking Program to maintain the status quo pending further study by
*NOT YET APPROVED*
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City Staff and the PTC.
H. On June 6, 2022, the City Council approved clerical code amendments and continued
the existing temporary ban for three years on the eligibility of commercial office uses
above the ground floor to participate in the existing University Avenue In-Lieu Parking
Program to maintain the status quo pending further study by City Staff and the PTC.
SECTION 2. Section 16.57.010 (Applicability) of Palo Alto Municipal Code Chapter 16.57 (In-
Lieu Parking Fee for New Nonresidential Development in the Commercial Downtown (CD)
Zoning District) in Title 16 (Building Regulations) is hereby amended to read as follows:
16.57.010 Applicability.
The in-lieu parking fee regulations set forth in this chapter shall apply only to nonresidential
development within the University Avenue parking assessment district which meets the
eligibility criteria set forth in subsection (d) of Section 18.52.070 of this code.
Section 18.18.090 of this code. In accordance with Section 18.52.070 subsection (a) of
Section 18.18.090 of this code, provision of a parking space or payment of the fee established
by this chapter shall be a condition of the approval of or permit for any new development, any
addition or enlargement of existing development, or any use of any floor area that has never
been assessed under any Bond Plan G financing pursuant to Title 13 of this code.
[. . .]
SECTION 3. Subdivision (d) of Section 18.52.070 (Parking Regulations for CD Assessment
District) of Chapter 18.52 (Parking and Loading Requirements) of Title 18 (Zoning) is hereby
amended to read as follows:
18.52.070 Parking Regulations for CD Assessment District
[. . .]
(d) In-lieu Parking Provisions
In connection with any expansion of the supply of public parking spaces within the CD
commercial downtown district, the city shall allocate a number of spaces for use as
"in- lieu parking" spaces to allow development to occur on sites which would
otherwise be precluded from development due to parking constraints imposed by this
chapter. Off- site parking on such sites may be provided by payment of an in-lieu
monetary contribution to the city to defray the cost of providing such parking.
Contributions for each required parking space shall equal the incremental cost of
providing a net new parking space in an assessment district project plus cost for the
*NOT YET APPROVED*
3
0160071_20220428_ay16
administration of the program, all as determined pursuant to Chapter 16.57 of Title 16
of this code, by the director, whose decision shall be final. Only sites satisfying one or
more of the following criteria, as determined by the director, shall be eligible to
participate in the in-lieu parking program:
(1) Construction of on-site parking would necessitate destruction or substantial
demolition of a designated historic structure;
(2) The site area is less than ten thousand square feet and it would not be physically
feasible to provide the required on-site parking;
(3) The site is greater than 10,000 square feet, but of such an unusual configuration
that it would not be physically feasible to provide the required on-site parking;
(4) The site is located in an area where city policy precludes curb cuts or otherwise
prevents use of the site for on-site parking; or
(5) The site has other physical constraints, such as a high groundwater table, which
preclude provision of on-site parking without extraordinary expense.
Office uses above the ground floor shall not be eligible to participate in the in-lieu parking
program for one year from the effective date of Ordinance No. 5460 through August 1,
2025. from the effective date of Ordinance No. 5460 through August 1, 2022.
[. . .]
SECTION 4. If any section, subsection, sentence, clause, or phrase of this Ordinance is for any
reason held to be invalid or unconstitutional by a decision of any court of competent
jurisdiction, such decision shall not affect the validity of the remaining portions of this
Ordinance. The City Council hereby declares that it would have passed this Ordinance and each
and every section, subsection, sentence, clause, or phrase not declared invalid or
unconstitutional without regard to whether any portion of the Ordinance would be
subsequently declared invalid or unconstitutional.
SECTION 5. The Council finds that the potential environmental impacts related to the
Housing Workplan Ordinance, including the amendments enacted herein were analyzed in the
Final EIR for the Comprehensive Plan Update, which was certified and adopted by the Council
by Resolution No. 9720 on November 13, 2017. This Ordinance is consistent with and simply
continues the implementation of the program evaluated in the EIR.
//
//
//
*NOT YET APPROVED*
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0160071_20220428_ay16
SECTION 6. This Ordinance shall be effective on the thirty-first date after the date of its
adoption.
INTRODUCED:
PASSED:
AYES:
NOES:
ABSENT:
ABSTENTIONS:
NOT PARTICIPATING:
ATTEST:
____________________________ ____________________________
City Clerk Mayor
APPROVED AS TO FORM: APPROVED:
____________________________ ____________________________
Assistant City Attorney City Manager
____________________________
Director of Planning & Development
Services
*NOT YET APPROVED*
1
0160068_20220428_ay16
Ordinance No. ___
Ordinance Amending Palo Alto Municipal Code Section 18.52.070 (Parking
Regulations for CD Assessment District) to Ban the Eligibility of Commercial
Office Uses Above the Ground Floor to Participate in the Downtown Parking In-
Lieu Program and Making Clerical Amendments to PAMC Section 16.57.010
(Applicability) in Chapter 16.57 (In-Lieu Parking Fee for New Nonresidential
Development in the Commercial Downtown (CD) Zoning District).
The Council of the City of Palo Alto ORDAINS as follows:
SECTION 1. Findings and declarations. The City Council finds and declares as follows:
A. The City of Palo Alto (City) is a job center with among the highest housing prices and
greatest jobs to housing imbalances in the Bay Area, resulting in a housing shortage that
threatens the city’s prosperity, diversity, stability, environment, quality of life, and
community character.
B. A variety of policies result in incentives for office development over housing, including
the availability of the University Avenue In-Lieu Parking Program.
C. On April 1, 2019, the Palo Alto City Council adopted Ordinance 5460, which included a
temporary ban on eligibility to participate in the University Avenue Parking In-Lieu
Program for certain uses, pending further study and recommendation from the Planning
and Transportation Commission (PTC).
D. The prolonged nature of the COVID-19 pandemic has precluded the collection of data
and further study of parking strategies in the University Avenue downtown area,
requiring several extensions of the temporary ban.
E. On May 11, 2020 the City Council introduced, and on October 5, 2020 adopted,
Ordinance 5506 to extend the temporary ban until February 1, 2021.
F. On December 7, 2020 the City Council introduced, and on January 11, 2021 adopted,
Ordinance 5513 to extend the temporary ban until August 1, 2022.
G. On April 27, 2022, the PTC recommended that the City Council approve clerical code
amendments and continue the existing temporary ban for three years on the eligibility
of commercial office uses above the ground floor from participation in the existing
University Avenue In-Lieu Parking Program.
H. On June 6, 2022, the City Council approved clerical code amendments and created an
ongoing ban on the eligibility of commercial office uses above the ground floor to
*NOT YET APPROVED*
2
0160068_20220428_ay16
participate in the existing University Avenue In-Lieu Parking Program.
SECTION 2. Section 16.57.010 (Applicability) of Palo Alto Municipal Code Chapter 16.57 (In-
Lieu Parking Fee for New Nonresidential Development in the Commercial Downtown (CD)
Zoning District) in Title 16 (Building Regulations) is hereby amended to read as follows:
16.57.010 Applicability.
The in-lieu parking fee regulations set forth in this chapter shall apply only to nonresidential
development within the University Avenue parking assessment district which meets the
eligibility criteria set forth in subsection (d) of Section 18.52.070 of this code.
Section 18.18.090 of this code. In accordance with Section 18.52.070 subsection (a) of
Section 18.18.090 of this code, provision of a parking space or payment of the fee established
by this chapter shall be a condition of the approval of or permit for any new development, any
addition or enlargement of existing development, or any use of any floor area that has never
been assessed under any Bond Plan G financing pursuant to Title 13 of this code.
[. . .]
SECTION 3. Subdivision (d) of Section 18.52.070 (Parking Regulations for CD Assessment
District) of Chapter 18.52 (Parking and Loading Requirements) of Title 18 (Zoning) is hereby
amended to read as follows:
18.52.070 Parking Regulations for CD Assessment District
[. . .]
(d) In-lieu Parking Provisions
In connection with any expansion of the supply of public parking spaces within the CD
commercial downtown district, the city shall allocate a number of spaces for use as "in-
lieu parking" spaces to allow development to occur on sites which would otherwise be
precluded from development due to parking constraints imposed by this chapter. Off-
site parking on such sites may be provided by payment of an in-lieu monetary
contribution to the city to defray the cost of providing such parking. Contributions for
each required parking space shall equal the incremental cost of providing a net new
parking space in an assessment district project plus cost for the administration of the
program, all as determined pursuant to Chapter 16.57 of Title 16 of this code, by the
director, whose decision shall be final. Only sites satisfying one or more of the following
criteria, as determined by the director, shall be eligible to participate in the in-lieu
parking program:
*NOT YET APPROVED*
3
0160068_20220428_ay16
(1) Construction of on-site parking would necessitate destruction or substantial
demolition of a designated historic structure;
(2) The site area is less than ten thousand square feet and it would not be physically
feasible to provide the required on-site parking;
(3) The site is greater than 10,000 square feet, but of such an unusual configuration
that it would not be physically feasible to provide the required on-site parking;
(4) The site is located in an area where city policy precludes curb cuts or otherwise
prevents use of the site for on-site parking; or
(5) The site has other physical constraints, such as a high groundwater table, which
preclude provision of on-site parking without extraordinary expense.
Office uses above the ground floor shall not be eligible to participate in the in-lieu
parking program. from the effective date of Ordinance No. 5460 through August 1, 2022.
[. . .]
SECTION 4. If any section, subsection, sentence, clause, or phrase of this Ordinance is for any
reason held to be invalid or unconstitutional by a decision of any court of competent
jurisdiction, such decision shall not affect the validity of the remaining portions of this
Ordinance. The City Council hereby declares that it would have passed this Ordinance and each
and every section, subsection, sentence, clause, or phrase not declared invalid or
unconstitutional without regard to whether any portion of the Ordinance would be
subsequently declared invalid or unconstitutional.
SECTION 5. The Council finds that the potential environmental impacts related to the
Housing Workplan Ordinance, including the amendments enacted herein were analyzed in the
Final EIR for the Comprehensive Plan Update, which was certified and adopted by the Council
by Resolution No. 9720 on November 13, 2017. This Ordinance is consistent with and simply
continues the implementation of the program evaluated in the EIR.
//
//
//
//
//
//
//
*NOT YET APPROVED*
4
0160068_20220428_ay16
SECTION 6. This Ordinance shall be effective on the thirty-first date after the date of its
adoption.
INTRODUCED:
PASSED:
AYES:
NOES:
ABSENT:
ABSTENTIONS:
NOT PARTICIPATING:
ATTEST:
____________________________ ____________________________
City Clerk Mayor
APPROVED AS TO FORM: APPROVED:
____________________________ ____________________________
Assistant City Attorney City Manager
____________________________
Director of Planning & Development
Services