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HomeMy WebLinkAboutStaff Report 2406-3117CITY OF PALO ALTO CITY COUNCIL Special Meeting Monday, August 12, 2024 Council Chambers & Hybrid 5:30 PM     Agenda Item     7.ACTION/LEGISLATIVE: Ordinance of the Council of the City of Palo Alto Amending Palo Alto Municipal Code (PAMC) Title 18 (Zoning) and Title 21 (Subdivisions and Other Divisions of Land) to Clarify Existing Regulations and to Implement Recent State Housing Laws. Chapters 18.14 (Housing Incentives), 18.18 (Downtown Commercial District), 18.30(F) (Automobile Dealership (AD) Combining District Regulations), 18.42 (Standard for Special Uses), 18.52 (Parking Regulations) and 18.77 (Processing of Permits and Approvals), and 21.12 (Tentative Maps and Preliminary Parcel Maps) are Amended, and Chapter 21.11 (Streamlined Subdivisions Resulting in Ten or Fewer Parcels) is Added. CEQA - Exempt Pursuant to Guidelines Section 15061(b)(3). Presentation City Council Staff Report From: City Manager Report Type: ACTION ITEMS Lead Department: Planning and Development Services Meeting Date: August 12, 2024 Report #:2406-3117 TITLE ACTION/LEGISLATIVE: Ordinance of the Council of the City of Palo Alto Amending Palo Alto Municipal Code (PAMC) Title 18 (Zoning) and Title 21 (Subdivisions and Other Divisions of Land) to Clarify Existing Regulations and to Implement Recent State Housing Laws. Chapters 18.14 (Housing Incentives), 18.18 (Downtown Commercial District), 18.30(F) (Automobile Dealership (AD) Combining District Regulations), 18.42 (Standard for Special Uses), 18.52 (Parking Regulations) and 18.77 (Processing of Permits and Approvals), and 21.12 (Tentative Maps and Preliminary Parcel Maps) are Amended, and Chapter 21.11 (Streamlined Subdivisions Resulting in Ten or Fewer Parcels) is Added. CEQA - Exempt Pursuant to Guidelines Section 15061(b)(3). RECOMMENDATION Staff and the Planning and Transportation Commission (PTC) recommend Council adopt the attached ordinance and provide direction on whether further staff resources should be dedicated to implementation of AB 2097. EXECUTIVE SUMMARY The attached draft ordinance would amend PAMC Titles 18 and 21 to address or implement provisions of six State laws noted below. The draft ordinance would amend Title 18, Zoning, Chapters 18.14 (Housing Incentives), 18.42 (Standard for Special Uses), 18.52 (Parking Regulations), and 18.77 (Processing of Permits and Approvals), amend Title 21, Subdivisions and Other Divisions of Land, Chapter 21.12 and add a chapter (Chapter 21.11). 1. Senate Bill (SB) 684, effective July 1, 2024 (Government Codes (GC) 65852.28, 65913.4.5, and 66499.41), facilitates faster approval by ministerial process for projects with up to ten homes or fewer with size and density criteria in zones allowing multiple-family residential use and no larger than five acres in an urban area. 2. Senate Bill (SB) 4, effective January 1, 2024 (GC 65913.16) and set to expire January 1, 2036, facilitates faster approval by ministerial process for 100% affordable, low-income housing on lands owned by colleges and religious organizations providing for the use of objective standards. 3. Assembly Bill (AB) 2162, effective January 1, 2019 (GC 65650-65656), makes certain supportive housing projects a use by-right in zones permitting multi-family housing uses. 4. Assembly Bill (AB) 894, effective January 1, 2024 (GC 65863.1), requires public agencies to approve shared parking arrangements in certain circumstances. 5. Assembly Bill (AB) 2097, effective January 1, 2023 (GC 65863.2 and amending Section 65585), prohibits public agencies from imposing or enforcing a minimum parking requirement on a residential, commercial, or other development project that is within one-half mile of defined “major transit stop” (though transient lodging such as hotels are exempted from this law). 6. Assembly Bill (AB) 970, effective January 1, 2023 (amending GC 65850.7 and adding GC 65850.71), does not have a limit on how many parking spaces can be removed to accommodate Electric Vehicle Storage Equipment (EVSE); the draft ordinance eliminates the City’s restriction. In addition to the State law items, there are several non-State law ‘clean-up' items in the draft ordinance which provide non-substantive clarifications to: •Fix a footnote reference (Footnote 3 to Table 3 of Section 18.18.060 (Development Standards) of Chapter 18.18 (Downtown Commercial (CD) District)) •Clarify permitted and conditionally permitted uses in Sections 18.30(F).040 and 18.20(F).045, respectively •Added proposed NVCAP zone districts NV-MXM and NV-MXH to the list of zones cited (CS and CN) for applicability of the section •Amend Section 21.12.090 to clarify that tentative maps may be placed on the City Council's consent agenda, consistent with the City's practice. These revisions, unrelated to recent state legislation, do not represent any change in policy. BACKGROUND On May 29, 2024, the Planning and Transportation Commission (PTC) voted to forward the staff recommendation to the City Council for adoption of the draft ordinance, except for a change to PAMC Section 18.52.040(d) in response to AB 2097. Discussion of this change was continued to July 10, 2024, because the PTC wished to have a broader policy discussion on the City response to AB 2097. With respect to AB 2097, the PTC ultimately recommended minor changes to the proposed language in PAMC 18.52.040(d), and further recommended that the City Council: 1. Consider some modification of PAMC section 18.52.040(a) to mandate at least a minimal number of ADA parking spaces for projects within ½ mile of public transit, consistent with 65863.2 and the position taken by some cities responding to AB 2097, 2. Direct staff to develop a policy to provide ADA parking spaces on streets and other public property within these areas within a ½ mile of public transit, and 3. Investigate the desirability of requiring at least a minimal number of EVSE parking spaces for projects within ½ mile of public transit, consistent with 65863.2 and the position taken by some cities responding to AB 2097. The PTC staff reports1, videos2 and presentations3 are viewable via links provided below. The ordinance the PTC recommends would amend Titles 18 and 21 to address or implement provisions of State laws - Senate Bills (SB) SB 684, SB 4, AB 2162, AB 894, AB 970 and AB 2097, and make several non-substantive revisions. The six State laws the ordinance addresses are described further below: 1.SB 684: Provides for a streamlined approval process for specific types of housing development projects by making it a ministerial task, thereby bypassing discretionary review or hearings, and expands CEQA exemptions for housing developments. It requires cities to allow up to the "Mullin" densities specified by the Government Code (30 du/acre for Palo Alto). It requires projects to provide the number of projected units (market rate and BMR) for sites identified in a housing element or the maximum number of units allowed by the General Plan if not identified in HE. It sets specific timelines for local agencies to approve or deny applications for such projects, such that failure to act within 60 days would result in automatic approval. If denied, the City must provide written feedback within 60 days on how to remedy the application. The law allows the City to establish objective zoning, subdivision, or design standards for qualifying projects. The attached ordinance refers to the City’s existing objective standards established for Senate Bill (SB) 9 projects and for housing development projects (as defined in GC 65589.5) as set forth in PAMC Title 18, Chapter 18.24 (Contextual Design Criteria and Objective Design Standards). SB 684 also addresses the issuance of building permits, outlining the conditions under which a permit would be granted prior to final map recordation. It states that local agencies are not required to permit accessory or junior accessory dwelling units on 1 Links to July 10, 2024 PTC staff report: https://www.cityofpaloalto.org/files/assets/public/v/1/agendas-minutes- reports/agendas-minutes/planning-and-transportation-commission/2024/ptc-7.10-muni-code-title-18.pdf and May 29, 2024 staff report: https://www.cityofpaloalto.org/files/assets/public/v/1/agendas-minutes- reports/agendas-minutes/planning-and-transportation-commission/2024/05.29-ptc-Zoning-Amendments.pdf 2 Links to May 29, 2024 video: https://midpenmedia.org/planning-and-transportation-commission-2-5292024/ and July 10, 2024 video: https://midpenmedia.org/planning-and-transportation-commission-2-7102024/ July 10, 2024 PTC videos: 3 Link to staff presentations: https://www.cityofpaloalto.org/files/assets/public/v/1/agendas-minutes- reports/agendas-minutes/planning-and-transportation-commission/2024/ptc-5.29-ordinance-update_staff- presentation.pdf parcels created under SB 684. Existing provisions regarding SB-9 urban lot splits and two-unit housing developments don’t apply to SB 684 projects. 2.SB 4: Streamlines the building process for faith-based institutions and certain colleges by providing a process that allows 'qualified developers’ to build qualifying housing projects regardless of zoning restrictions if certain requirements are satisfied. Such projects are therefore a "use by right" on land owned by independent higher education or religious institutions. Among other criteria, 100% of the units (exclusive of manager units) must be affordable to lower-income households, with allowances for 20% moderate-income and 5% staff units. Ancillary ground- floor uses are also permitted: •In a single-family residential zone, childcare centers and facilities operated by community- based organizations for the provision of recreational, social, or educational services for use by the residents of the development and members of the local community in which the development is located; and •In all other zones, the development may include commercial uses that are permitted without a conditional use permit. Housing projects eligible for "use by right" status can also qualify for density bonuses, incentives, and other concessions, including reduced parking standards. No additional parking requirements can be imposed if the development is within half a mile of high-quality public transit or one block from a car-share vehicle. The City must provide written documentation outlining conflicts with objective planning standards within a specified timeframe and failure to do so deems the project compliant. Design reviews can only focus on ministerial review criteria and cannot inhibit or preclude such streamlined approval. The bill would extend the CEQA exemption for ministerial project approvals. The provisions of this bill are set to expire on January 1, 2036. 3. AB 2162: Makes certain supportive housing projects a “use by right” in zones that permit multifamily housing. To qualify: (1) The project must be deed restricted to be affordable to lower income households for a period of at least 55 years (2) At least 25% of the units or 12 units, whichever is greater, must be restricted to residents in supportive housing (i.e. housing for a target population that is linked to onsite or offsite services) (3) A certain percentage of square footage must be provided for on-site services (4) The project cannot exceed 50 units, unless the City allows larger projects to be a use by right The City has implemented AB 2162 since it was adopted, including with the recent approval of the Mitchell Park Place supportive housing project at 525 East Charleston Avenue. As part of the Housing Element review process, however, HCD has asked that the City incorporate the bill into its zoning code. Implementation of AB 2162 is included as Program 6.5(D) of the City’s 2023-2031 Housing Element. 4. AB 894: Requires the City to approve shared parking agreements for contiguous or nearby uses where a parking analysis shows that the proposed shared parking is “underutilized.” Parking is “underutilized” if at least 20 percent of parking spaces in a development are vacant during the time that the parking will be shared. 5. AB 2097: Enables 100% reductions in required parking spaces for all uses except hotels within one-half mile of the three train stations serving Palo Alto; these are the Palo Alto (aka University Av) station, California Avenue Station, and San Antonio station. The requirements of AB 2097 generally apply to fixed rail station locations (with the slightly offset location of the bus transfer service station near the University Avenue transit stop as shown on the attached map (Attachment B). The applicable projects are development projects (any activity that requires a building permit) on property depicted within the shaded radius circles on the City’s map are exempt from minimum parking requirements. Developers must still meet local requirements for loading zones and bicycle parking (i.e. all standards other than automobile parking). AB 2097 also states that it does not affect requirements for electric vehicle supply equipment or parking spaces accessible to persons with disabilities.4 However, because these spaces are only required as a percentage of automobile parking provided, Palo Alto’s approach is to only require these spaces when a developer voluntarily provides parking spaces on site. 6. AB 970: Has no limit on how many parking spaces can be removed to accommodate Electric Vehicle Storage Equipment (EVSE); the draft ordinance eliminates the restriction in the local ordinance. ANALYSIS The proposed Palo Alto Municipal Code (PAMC) ordinance changes are briefly noted below: •To address SB 684 and SB 4: Modifies PAMC Section 18.77.074, Ministerial and By Right Process, to add SB 684 and SB 4 to the list of State bills subject to that code section. •To address SB 684: Adds Section 18.42.185 (Standards for Up to Ten Units on Lots Subdivided Pursuant to Senate Bill 684) of Chapter 18.42 (Standards for Special Uses) and 4 “This section shall not reduce, eliminate, or preclude the enforcement of any requirement imposed on a new multifamily residential or nonresidential development that is located within one-half mile of public transit to provide electric vehicle supply equipment installed parking spaces or parking spaces that are accessible to persons with disabilities that would have otherwise applied to the development if this section did not apply.” adds Chapter 21.11 (Streamlined Subdivisions Resulting in Ten or Fewer Parcels). The new Section 18.42.185 includes a reference to ’Ministerial and By Right Process’ in PAMC section 18.77.074. This process enables review of SB 684 project submittals against a checklist of required submittals and allow for applicant consultation with staff on compliance with objective standards and zoning regulations before creating expensive structural/mechanical drawings and applying for a building permit. Courtesy notices to neighboring properties will continue to be required; however, with non-discretionary projects, there are no mandatory hearings or appeal process. •To address SB 4: Adds Section 18.14.060 (By Right Affordable and Supportive Housing Projects) that would enable a ministerial review process for 100% affordable housing projects on land owned by an independent institution of higher education or a religious institution. This section would clarify which objective standards apply to qualifying projects, depending on the project size and scope. The ordinance proposes to apply the RM-30 development standards to projects under this section. This is consistent with the City’s treatment of housing opportunity sites in the R-1 zones, as well as the requirement in SB 4 that qualifying projects may build to 30 du/ac and receive an additional story of height beyond the base district. As with SB 684 projects, a ministerial review process would be utilized for SB 4 projects to assist developers with their project submittals in consultation with staff. Many religious institutions in Palo Alto are located on land owned R-1 (Single- Family Residential). For discretionary projects in R-1 neighborhoods, notice cards are send to property addresses within 150 feet of the project. Courtesy notices to neighboring properties will continue to be required; however, with non-discretionary projects, there are no mandatory hearings or appeal process. •To address AB 2162: Adds Section 18.14.060 (By Right Affordable and Supportive Housing Projects) that would also make qualifying supportive housing projects a use by-right, permitting only ministerial review, and clarify which objective standards apply to qualifying projects. •To address AB 894: Amends Section 18.52.050 (Adjustments by the Director) to note that shared parking agreements meeting the requirements of AB 894 will be approved, even if they are inconsistent with existing provisions related to off-site parking or exceed the current maximum parking adjustment. •To address AB 2097: Revises 18.52.030 (Basic Parking Regulations) addresses a requirement for TDM plans for projects utilizing AB 2097 to reduce automobile parking requirements. In addition, the revision to 18.52.040 (Off-Street Parking, Loading, and Bicycle Facility Requirements) requires projects, 50 dwelling units or more and doing away with automobile parking entirely, to provide a short-term loading area for rideshare and similar services. It incorporates the PTC recommended revision, on July 10, 2024, to item (d), deleting the phrase ‘where feasible’. •To address AB 970: The ordinance revises Section 18.52.050, Adjustments to Existing Parking Facilities, item (a)(1) Accessibility and EVSE-Related Equipment to delete some verbiage and add a phrase “to accommodate accessibility requirements”. •To provide non-substantive clarifications: The attached draft ordinance’s following non- substantive clarifications or 'clean-up' items would amend PAMC Titles 18 and 21. o Chapter 18.18 (Downtown Commercial (CD) District) to fix a footnote 3 of Table 3 of Section 18.18.060 (Development Standards) o Chapter 18.20(F).045 to clarify permitted and conditionally permitted uses o Chapter 18.30(F).040 (Automobile Dealership (AD) Combining District Regulations) to clarify the permitted and conditionally permitted uses. o Chapter 18.42 (in Section 8) to amend Section 18.42.040 (Late Night Uses and Activities) to add zone districts NV-MXM and NV-MXH to the list of zone districts cited (CS and CN) for applicability of the section. The City Council is scheduled to review and adopt the North Ventura Coordinated Area Plan (NVCAP) on August 5, 2024. o Section 21.12.090 to clarify that tentative maps may be placed on the City Council's consent agenda, consistent with the City's practice. PTC Recommendation on Additional Consideration of AB 2097 The PTC’s July 10, 2024 recommendations suggest a broader policy discussion in response to AB 2097. As noted above, AB 2097 does not preclude the City from imposing EV Charging and ADA parking space requirements that would have applied in the absence of the bill. Palo Alto has joined the majority of cities in applying EV and ADA requirements only when parking is offered voluntarily. The PTC recommended that the City Council consider adopting the position of some cities that new development must always provide ADA (and potentially EV) parking spaces, even when no other parking is provided on site. Significant staff resources are required to support a meaningful discussion of such a policy, including analysis of impacts on housing development and on small sites in the Downtown and California Avenue areas, where development is physically constrained and additional curb cuts may not be desirable. Staff resources would need to be reallocated from other priorities in the department’s work plan. FISCAL/RESOURCE IMPACT In conjunction with Council adoption of the ordinance, PDS staff would coordinate with Public Works Engineering regarding objective standards related to subdivisions proposed pursuant to SB 684. At this time, staff does not plan to utilize consultants to prepare the objective standards. If the Council directs staff to engage in further study in response to AB 2097, further resources would be needed; staff would return in response to Council direction with cost estimates for fee study and consultant costs. STAKEHOLDER ENGAGEMENT Staff had prepared an informational report published in the November 8, 2023 PTC packet. The PTC conducted a study session April 24, 2024, and conducted two hearings of the draft ordinance, on May 29, 2024, and July 10, 2024. ENVIRONMENTAL REVIEW The draft Ordinance is considered exempt from the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines Section 15061(b)(3) because it can be seen with certainty that there is no possibility that updating the municipal code to incorporate existing requirements of State laws will have a significant effect on the environment, and similarly, there would be no significant effect from the non-substantive clarifications. ATTACHMENTS Attachment A: Draft Ordinance Amending Sections of PAMC Title 18 and Title 21 Attachment B: AB2097 Map APPROVED BY: Jonathan Lait, Planning and Development Services Director *NOT YET APPROVED* 0160149_kb2_20240718_ay Ordinance No. _____ Ordinance of the Council of the City of Palo Alto Amending Various Chapters of Title 18 (Zoning) and Title 21 (Subdivisions and Other Divisions of Land) of the Palo Alto Municipal Code to Clarify Existing Regulations and to Implement Recent State Housing Laws SECTION 1. Findings and Declarations. The City Council finds and declares as follows: A. On October 11, 2023, the Governor of the State of California signed Senate Bill 684, effective July 1, 2024. SB 684 requires the ministerial approval of certain subdivision maps, planning entitlements, and building permits for developments of up to 10 residential units. B. On October 11, 2023, the Governor signed Senate Bill 4, effective January 1, 2024. SB4 requires housing development projects to be "use by right" on land owned by independent higher education or religious institutions, given certain conditions. C. On October 11, 2023, the Governor signed Assembly Bill 894, effective January 1, 2024. AB 894 requires local agencies to approve shared parking agreements that meet criteria specified in the bill. D. On September 22, 2022, the Governor signed Assembly Bill 2097, effective January 1, 2023. AB 2097, subject to certain limited exceptions, prohibits public agencies from imposing or enforcing a minimum parking requirement on a residential, commercial, or other development project that is within one- half mile of defined “public transit” E. On October 8, 2021, the Governor signed Assembly Bill 970, effective as to Palo Alto on January 1, 2023. AB 970 limits the discretion of local agencies when reviewing applications to install electric vehicle charging stations. F. On September 25, 2018, the Governor signed Assembly Bill 2162, effective January 1, 2019. AB 2162 makes certain supportive housing projects a use by-right in all zones that permit multifamily residential uses. Although the City has been implementing this bill since 2019, Program 6.5(D) of the 2023-2031 Housing Element requires the City to incorporate the bill in the zoning code. G. Upon recommendation of City Staff and the Planning and Transportation Commission, the Council of the City of Palo Alto desires to adopt regulations responding to and implementing these state laws. H. Upon recommendation of City Staff and the Planning and Transportation Commission, the Council further desires to make non-substantive clarifications to existing provisions of the Palo Alto Municipal Code. *NOT YET APPROVED* 0160149_kb2_20240718_ay SECTION 2. Section 18.42.185 (Standards for Up to Ten Units on Lots Subdivided Pursuant to Senate Bill 684) of Chapter 18.42 (Standards for Special Uses) of Title 18 (Zoning) of the Palo Alto Municipal Code is hereby added as follows: 18.42.185 Standards for Up to Ten Units on Lots Subdivided Pursuant to Senate Bill 684 (a) Purpose and Applicability This section implements California Government Code Sections 65852.28, 65913.4.5, and 66499.41 (Senate Bill 684, 2023) by establishing regulations for development of up to ten units on lots subdivided pursuant to Chapter 21.11. (b) Review Qualifying Development Proposals (1) Housing development projects on a lot or lots subdivided pursuant to Chapter 21.11 and California Government Code Section 66499.41 shall be ministerially reviewed and processed through the City’s Ministerial and By Right Review Process (set forth in PAMC Section 18.77.074), in accordance with Government Code Section 68582.28. (2) Building permits for such projects may be issued prior to recordation of a final map, in accordance with Government Code Section 65913.4.5. (c) Development and Design Standards (1) Housing development projects shall be subject to the development standards set forth in the applicable zone district. (2) Proposed parcels containing up to two units shall comply with all objective standards for SB 9 projects, as adopted by the City Council, the Director of Planning and Development Services, or the Director of Public Works, except that no setback shall be required between units unless in accordance with the California Building Code, as locally amended. (3) Proposed parcels containing three or more residential units or mixed uses shall comply with Chapter 18.24 (Contextual Design Criteria and Objective Design Standards). SECTION 3. Section 18.77.074 (Ministerial and By Right Review Process) of Chapter 18.77 (Processing of Permits and Approvals) of Title 18 (Zoning) of the Palo Alto Municipal Code is hereby amended as follows (additions underlined; deletions struck-through; unchanged text omitted by bracketed ellipses): 18.77.074 Ministerial and By Right Review Process (a) Purpose and Applicability *NOT YET APPROVED* 0160149_kb2_20240718_ay (1) This section is intended to define a streamlined, ministerial review process for qualifying Housing Development Projects that are submitted pursuant to streamlining provisions of state law, such as in AB 2162 (2018), AB 1397 (2017), and SB 35 (2017). This section shall apply to multi-family residential projects that are subject to ministerial review or defined as a “use by right” in state law, including, but not limited to, Government Code sections 65651, 65583, 65583.2, and 65913.4. This section does not apply to the creation of an accessory dwelling unit and/or junior accessory dwelling unit. (2) The review required by this section shall not involve the exercise of discretion in a manner that would constitute a “project” for purposes of the California Environmental Quality Act (CEQA). This section does not, however, excuse a project involving a subdivision from compliance with Title 21 and the subdivision map processes set forth therein, which may result in a “project” for purposes of CEQA. [. . .] SECTION 4. Chapter 21.11 (Streamlined Subdivisions Resulting in Ten or Fewer Parcels) of Title 21 (Subdivisions and Other Divisions of Land) of the Palo Alto Municipal Code is hereby added as follows: 21.11.010 Purpose This chapter implements California Government Code Section 66499.41 (Senate Bill 684, 2023) by establishing regulations for the ministerial subdivision of up to ten lots. 21.11.020 Applicability This chapter applies only to proposed subdivisions that meet all of the requirements of California Government Code Section 66499.41. A tentative map and final map shall be required for all subdivisions under this Chapter, regardless of the number of parcels created. 21.11.030 Review Qualifying tentative map applications shall be reviewed and processed ministerially in accordance with California Government Code Section 66499.41. Final maps shall be reviewed and processed in accordance with Chapter 21.16, except that a final map under this section may be approved by the City Engineer and Director of Planning and Development Services. 21.11.040 Objective Subdivision Standards The Director of Planning and Development Services may adopt administrative regulations to create objective subdivision standards or clarify existing standards that apply to subdivisions under this section. SECTION 5. Section 18.14.060 (By Right Affordable Supportive Housing Projects) of Chapter 18.14 (Housing Incentives) of Title 18 (Zoning) of the Palo Alto Municipal Code is hereby added as follows: *NOT YET APPROVED* 0160149_kb2_20240718_ay 18.14.060 By Right Affordable Housing and Supportive Housing Projects (a) Affordable Housing on Higher Education and Religious Lands (1) Notwithstanding any conflicting provision of this Title 18 or the Comprehensive Plan, a qualifying housing development project under California Government Code Section 65913.16 shall be a use by right. (2) Housing development projects utilizing this section in the R-1 Single-Family Residential District and the Low Density Residential Districts shall be subject to the development standards for the RM-30 zoning district, except that maximum Floor Area Ratio (FAR) shall be 1.25. (3) All housing development projects utilizing this section shall comply with Chapter 18.24 (Contextual Design Criteria and Objective Design Standards). (b) Supportive Housing in Multi-family and Mixed-use Zones (1) Supportive housing shall be a use by right in zones where multifamily and mixed uses are permitted, including nonresidential zones permitting multifamily uses, if the proposed housing development satisfies all of the requirements of California Government Code Sections 65650-65656. (2) All housing development projects utilizing this section shall comply with Chapter 18.24 (Contextual Design Criteria and Objective Design Standards). (c) Provided they comply with the City’s objective standards, by-right projects under this section shall not be subject to any discretionary review nor environmental review under the California Environmental Quality Act. By-right projects under this section shall be processed in accordance with Section 18.77.074. SECTION 6. Sections 18.52.030 (Basic Parking Regulations), 18.52.040 (Off-Street Parking, Loading and Bicycle Facility Requirements), 18.52.045 (Adjustments to Existing Parking Facilities), 18.52.050 (Adjustments by the Director), and 18.52.070 (Parking Regulations for CD Assessment District) of Chapter 18.52 (Parking and Loading Requirements) of Title 18 (Zoning) of the Palo Alto Municipal Code is hereby amended as follows (additions underlined; deletions struck-through, and unchanged text omitted by bracketed ellipses): 18.52.030 Basic Parking Regulations [. . .] (i) Transportation Demand Management Plan (1) Requirement for TDM Plan: A Transportation Demand Management (TDM) Plan to reduce and manage the number of single-occupant motor vehicle trips generated by the project shall be prepared and submitted by the applicant in the following circumstances: A. For all projects that generate 50 or more net new weekday (AM or PM peak hour) or weekend peak hour trips; *NOT YET APPROVED* 0160149_kb2_20240718_ay B. For all projects claiming a reduction in net new trips due to proximity to public transit or the implementation of a TDM plan; and C. For all projects requesting a parking reduction. D. For all projects with reduced parking pursuant to California Government Code Section 65863.2 (AB 2097, 2022). (2) The Director shall have the authority to adopt guidelines for preparing TDM plans and when applicable shall coordinate such guidelines with the Transportation Management Association. 18.52.040 Off-Street Parking, Loading and Bicycle Facility Requirements (a) Parking Requirements In each district, off-street parking, loading and bicycle facilities for each use shall be provided in accordance with Tables 1 and 2, shown in subsection (c) of this Section 18.52.040. For affordable housing developments qualifying for density bonuses under Chapter 18.15 of the Palo Alto Municipal Code, adjustments to parking requirements will be calculated in accordance with Chapter 18.15. For projects within one-half mile of public transit, as defined in California Government Code Section 65863.2, no automobile parking shall be required, but loading and bicycle parking facilities shall be provided in accordance with this Section. The requirement for any use not specifically listed shall be determined by the director on the basis of requirements for similar uses, and on the basis of evidence of actual demand created by similar uses in Palo Alto and elsewhere, and such other traffic engineering or planning data as may be available and appropriate to the establishment of a minimum requirement. [. . .] (d) Residential and mixed use structures with fifty (50) or more dwelling units shall provide at least one (1) on-site, short-term loading space for passenger vehicles, to be used by taxicabs and similar transportation and delivery services. Unless a loading adjustment is approved pursuant to Section 18.52.050, projects providing no automobile parking pursuant to California Government Code Section 65863.2 shall provide one (1) on-site, short-term loading space for passenger vehicles, to be used by taxicabs and similar transportation and delivery services. 18.52.045 Adjustments to Existing Parking Facilities (a) The following minor adjustments may be made to existing parking facilities that are intended to remain in substantially the same form after restriping. (1) Accessibility and EVSE-related equipment. For sites with existing development, the number on-site parking spaces may be reduced to the minimum extent necessary to: (1) achieve state or federally mandated accessibility requirements or (2) permit installation of electric vehicle charging stations, *NOT YET APPROVED* 0160149_kb2_20240718_ay as defined in California Government Code Section 65850.7.electrical utility equipment required for EVSE. A maximum of 10% of the existing automobile parking stalls, or one stall, whichever is greater, may be removed to accommodate accessibility requirements. pursuant to this section. The loss of a parking space is not permitted to accommodate EVSE itself. To the extent reasonably feasible, e Electrical equipment required for EVSE shall should be placed in a location that minimizes visibility from the public right-of-way. [. . .] 18.52.050 Adjustments by the Director Automobile parking and off-street loading requirements prescribed by this chapter may be adjusted by the director in the following instances and in accord with the prescribed limitations in Table 4, when in his/her opinion such adjustment will be consistent with the purposes of this chapter, will not create undue impact on existing or potential uses adjoining the site or in the general vicinity, and will be commensurate with the reduced parking demand created by the development, including for visitors and accessory facilities where appropriate. No reductions may be granted that would result in provision of less than ten (10) spaces on a site. The following are adjustments that apply to developments not located within a parking assessment district. Adjustments within the parking assessment districts are contained in Section 18.52.080. The decision of the regarding parking adjustments may be appealed as set forth in Chapter 18.78 (Appeals). [. . .] (e) Shared Parking Agreements Notwithstanding the limitations set forth in Table 4, subdivision (a), and subdivision (c) of this Section, the Director shall approve a parking adjustment where the applicant meets all of the requirements of California Government Code Section 65683.1, including but not limited to, preparation of a parking analysis and a recorded shared parking agreement. [. . .] 18.52.070 Parking Regulations for CD Assessment District [. . .] (f) Minor Adjustments to Existing Parking Facilities The following minor adjustments may be made to existing parking facilities that are intended to remain in substantially the same form after restriping. (1) Accessibility and EVSE-related equipment. For sites with existing development, the number on-site parking spaces may be reduced to the minimum extent necessary to: (1) achieve state or federally mandated accessibility requirements or (2) permit installation of electric vehicle charging stations, *NOT YET APPROVED* 0160149_kb2_20240718_ay as defined in California Government Code Section 65850.7. electrical utility equipment required for EVSE. A maximum of 10% of the existing automobile parking stalls, or one stall, whichever is greater, may be removed to accommodate accessibility requirements. pursuant to this section. The loss of a parking space is not permitted to accommodate EVSE itself. To the extent reasonably feasible, e Electrical equipment required for EVSE shall should be placed in a location that minimizes visibility from the public right-of-way. [. . .] SECTION 7. Footnote 3 to Table 3 of Section 18.18.060 (Development Standards) of Chapter 18.18 (Downtown Commercial (CD) District) of Title 18 (Zoning) of the Palo Alto Municipal Code is hereby amended as follows (additions underlined; unchanged text omitted by bracketed ellipses): 18.18.060 Development Standards [. . .] TABLE 3 MIXED USE AND RESIDENTIAL DEVELOPMENT STANDARDS [. . .] Footnotes: [. . .] (3) FAR may be increased with transfers of development, increased floor area for housing development projects with 3-10 residential units pursuant to 18.18.065, and/or bonuses for seismic and historic rehabilitation upgrades, not to exceed a total site FAR of 3.0:1 in the CD-C subdistrict or 2.0:1 in the CD-S or CD-N subdistrict. [. . .] SECTION 8. Chapter 18.30(F) (Automobile Dealership (AD) Combining District Regulations) of Title 18 (Zoning) of the Palo Alto Municipal Code is hereby amended as follows (additions underlined; unchanged text omitted by bracketed ellipses): Chapter 18.30(F) AUTOMOBILE DEALERSHIP (AD)COMBINING DISTRICT REGULATIONS [. . .] 18.30(F).040 Permitted Uses The following uses shall be permitted in the (AD) combining district: (a) Automobile dealerships. *NOT YET APPROVED* 0160149_kb2_20240718_ay (b) All other uses permitted in the underlying district. 18.30(F).045 Conditional Uses The following uses may be conditionally permitted in the (AD) district, subject to the issuance of a conditional use permit in accord with Chapter 18.76 (Permits and Approval): (a) All other conditional uses allowed in the underlying district. [. . .] SECTION 9. Section 18.42.040 (Late Night Uses and Activities) of Chapter 18.42 (Standards for Special Uses) of Title 18 (Zoning) of the Palo Alto Municipal Code is hereby amended as follows (additions underlined; deletions struck-through): 18.42.040 Late Night Uses and Activities (a) Purpose The purpose is to restrict retail or service commercial businesses abutting (either directly or across the street) or within 50 feet of residentially zoned properties or properties with existing residential uses located within nonresidential zones, with operations or activities between the hours of 10:00 p.m. and 6:00 a.m. Operations subject to this code may include, but are not limited to, deliveries, parking lot and sidewalk cleaning, and/or clean up or set up operations, but does not include garbage pick up. (b) Requirements (1) Retail (including restaurants) or service commercial businesses abutting or within 50 feet of residentially zoned properties or properties with existing residential uses located within nonresidential zones, that are open or with operations or activities between the hours of 10:00 p.m. and 6:00 a.m. shall be operated in a manner to protect residential properties from excessive noise, odors, lighting or other nuisances from any sources during those hours. (2) Where planning or building permits are required or for a change in use that results in any such commercial business in the CN, or CS, NV-MXM, and NV-MXH zone districts, operating or with activities between the hours of 10:00 p.m. and 6:00 a.m., a conditional use permit shall be obtained and conditions of approval shall be applied as deemed necessary to ensure the operation is compatible with the abutting (or within 50 feet of) residential property. Said use permit shall be limited to operations or activities occurring between 10:00 p.m. and 6:00 a.m. SECTION 10. 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 *NOT YET APPROVED* 0160149_kb2_20240718_ay to whether any portion of the Ordinance would be subsequently declared invalid or unconstitutional. SECTION 11. The Council finds that the Ordinance is exempt from the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines Section 15061(b)(3) because it can be seen with certainty that there is no possibility that updating the municipal code to incorporate existing changes in State Density Bonus Law will have a significant effect on the environment. SECTION 12. This Ordinance shall be effective on the thirty-first date after the date of its adoption. INTRODUCED: PASSED: AYES: NOES: ABSENT: ABSTENTIONS: ATTEST: ____________________________ ____________________________ City Clerk Mayor APPROVED AS TO FORM: APPROVED AS TO CONTENT: ____________________________ ____________________________ Assistant City Attorney City Manager ____________________________ Director of Planning and Development Services Alma Street Middlefield RoadEl Camino Real Page Mill Road Sand Hill Road Oregon Expressway University Avenue Foothill Expressway Charleston Road Arastradero Road San Antonio Road Lytton Avenue Hillview Avenue Hamilton Avenue Embarcadero Road Quarry Road Foothill Expressway Page Mill Road Foothill Expressway Middlefield Road Cowper Street Waverley Street Alma Street El Camino Real Louis Road Hy 101 South Ross Road Hy 101 North Webster Street Bryant Street Channing Avenue East Bayshore Road Sand Hill Road Page Mill Road Hamilton Avenue Oregon ExpresswayLincoln Avenue San Antonio Road University Avenue Newell Road Seale Avenue South Court High Street Charleston Road Park Boulevard East Meadow Drive Stanford Avenue Colorado Avenue West Bayshore Road Hanover Street Miranda Avenue Fabian Way Homer Avenue Greer Road Ramona Street Arastradero Road Edgewood Drive Loma Verde Avenue Everett Avenue Churchill Avenue Matadero Avenue Lowell Avenue Center Drive Tennyson Avenue Los Robles Avenue California Avenue Barron Avenue Hillview Avenue Welch Road Kingsley Avenue Maybell Avenue Hansen Way Wilkie Way Coleridge Avenue Byron Street Ely Place Manuela Avenue Oregon Avenue Amarillo Avenue Marion Avenue North California Avenue Emerson Street Pitman Avenue Laguna Avenue Grove Avenue Ferne Avenue Nelson Drive Porter Drive Castilleja Avenue Chimalus Drive Hale Street College Avenue Amherst Street Lane 66Bowdoin Street Stockton Place Harker Avenue Deer Creek Road Embarcadero Road Ames Avenue El Dorado Avenue La Para Avenue Clark Way Grant Avenue Birch Street Hawthorne Avenue Coyote Hill Road Clara Drive Columbia Street Georgia Avenue Rhodes Drive Cambridge Avenue Olive Avenue El Verano Avenue La Donna Street El Camino Way Parkinson Avenue Kipling Street Pasteur Drive Heather Lane Kellogg Avenue Alger Drive Florales Drive Oxford Avenue Forest Avenue Monroe Drive Greenwood Avenue Cornell Street Boyce Avenue Sherman Avenue Oberlin Street Amaranta Avenue Nathan Way West Charleston Road Urban Lane Harvard Street Iris Way Hopkins Avenue Wilton Avenue Dana Avenue Fife Avenue Fulton Street Sutherland Drive Lambert Avenue Vineyard Lane Josina Avenue Marshall Drive (none) Williams Street David Avenue Old Adobe Road Geng Road Orme Street El Carmelo Avenue Parkside Drive Walnut Drive Princeton Street Maddux Drive Sheridan Avenue Curtner Avenue Wildwood Lane Elsinore Drive Morris DriveMariposa Avenue Stanley Way Fernando Avenue Miller Avenue Moreno Avenue Barbara Drive Sutter Avenue Margarita Avenue Edlee Avenue Ventura Avenue Arbutus Avenue Chaucer Street Shopping Center Way Walter Hays Drive Jackson Drive Kenneth Drive Martin Avenue Patricia Lane Whitclem Drive Cereza Drive Paul Avenue Towle Way Guinda Street Transport Street Old Trace Road Ilima Way Santa Ana Street Encina Grande Drive Briarwood Way Bruce Drive Los Palos Avenue Ruthven Avenue Lois Lane Gailen Avenue Laguna Way Whitsell Street Janice Way Southampton Drive Madrono Avenue Yale Street Evergreen Drive Ivy Lane Rorke Way Stelling Drive Ashton Avenue Military Way McKellar Lane Robb Road Jefferson Drive Arboretum Road Santa Rita Avenue Addison Avenue Saint Claire Drive Rinconada Avenue Second Street Encina Avenue Seminole Way Silva Avenue Manuela Court Christine Drive Kings Lane Bryson Avenue Oak Hill Avenue Deodar Street Nevada Avenue Madison Way Southwood Drive Vista Avenue Lupine Avenue Campesino Avenue Portola Avenue Park Avenue Poe Street La Calle Suzanne Drive Chestnut Avenue Kendall Avenue Sycamore Drive Thain Way Vernon Terrace Celia Drive Washington Avenue Dennis Drive Manzana Lane Ortega Court Ash Street De Soto Drive Rambow Drive Portage Avenue Elwell Court Torreya Court Manuela Way Cork Oak Way Wellsbury Way Stern Avenue Fallen Leaf Street Pepper Avenue Wells Avenue Tulip Lane Acacia Avenue Tasso Street Stone Lane Lane B East Coulombe Drive Lytton Avenue Lane D East Lane 8 West Mark Twain Street Maple Street El Cerrito Road Whitman Court Lane B West Laura Lane Lane D West Dinah's Court Primrose Way Tanland Drive Irven Court May Court Murray Way Melville Avenue Corina Way Greenmeadow Way Palm Street Wellesley Street Wright Place Pistache Place Sandra Place Peral Lane Ensign Way Ben Lomond Drive Dartmouth Street Bret Harte Street Arcadia Place Varian Way Saint Francis Drive Layne Court Timlott Lane Drake Way Marlowe Street Shauna Lane Dixon Place Maybell Way Corporation Way Keats Court Scripps Court Staunton Court Higgins Place Plum Lane Randers Court Nevada Avenue South Court High Street Melville Avenue South Court Fulton Street Kipling Street Page Mill Road Colorado Avenue Bryant Street Emerson Street Arastradero Road Fulton Street Ramona Street Sheridan Avenue Dana Avenue Hy 101 North Guinda Street Oregon Avenue Byron Street Tasso Street Park Boulevard Wilkie Way North California Avenue Park Boulevard San Antonio Road Emerson Street Emerson Street Ramona Street Byron Street Stanford University Menlo Park Los Altos Los Altos Hills East Palo Alto Mountain View Atherton This map is a product of City of Palo Alto GIS [ 0 0.4 0.80.2 Miles AB 2097 - Half Mile from Major Transit Stops AB 2097 Major Transit StopsAB 2097 Half-Mile AreaCity Limit Rev. 8/1/2024 Palo Alto Station Cal Ave Station San Antonio Station Presentation: Albert Yang and Amy French www.cityofpaloalto.org Ordinance to Implement State Laws Plus Clarifications of Existing Regulations City Council August 12, 2024 2 Staff Recommendation Staff and the Planning and Transportation Commission recommend the City Council: •Adopt an ordinance amending the Palo Alto Municipal Code Titles 18 (Zoning) and 21 (Subdivisions and Other Divisions of Land) to clarify existing regulations and to implement recent State land use laws: •Amend Chapters 18.14 (Housing Incentives), 18.18 (Downtown Commercial District), 18.30(F) (Automobile Dealership (AD) Combining District Regulations), 18.42 (Standard for Special Uses), 18.52 (Parking Regulations) and 18.77 (Processing of Permits and Approvals), and •Amend Chapter 21.12 (Tentative Maps and Preliminary Parcel Maps) •Add Chapter 21.11 (Streamlined Subdivisions Resulting in Ten or Fewer Parcels) •Exclude proposed amendments to Section 18.52.040. 3 Recent State Land Use Laws for Implementation SB 684 effective 7-1-24 –ministerial approval of up to 10 homes –18.42.185, 18.77.074, and 21.111 3 2 4 6 5 SB 4 effective 1-1-24 –housing by right on higher ed and religious lands –18.14.060 and 18.77.074 AB 2162 effective 1-1-19 –supportive housing by right –18.14.060 and 18.77.074 AB 894 effective 1-1-24 –shared parking –18.52.050 AB 2097 effective 1-1-23 –reduce parking near transit –18.52.030 and TBD AB 970 effective 1-1-23 –ministerial review of EVSE installations –18.52.045 and 18.52.070 Draft Ordinance Clean-Up (Non-State Law) Items 4 Non-substantive clarifications to existing regulations in Titles 18 and 21 include: •Fixes Footnote 3, Table 3, PAMC 18.18.060 (CD District Development Standards) •Clarifies permitted/conditionally permitted uses PAMC 18.30(F).040, 18.20(F).045 •Adds the new NVCAP zone districts NV-MXM and NV-MXH to PAMC 18.42.040 •Amends PAMC 21.12.090 -tentative maps on the Council's consent agenda 5 AB 2097 Consideration •Staff recommends removing all provisions related to AB 2097 •PAMC 18.52.030: related to TDM plans •18.52.040(a): implements state law •18.52.040(d): on-site loading space •Staff to return tentatively in October with more information to support policy direction on AB 2097