The URL can be used to link to this page

Home My WebLink About2025-05-20; City Council; 03; Amendments to Encourage Historic Preservation Benefits and IncentivesCA Review CKM Meeting Date: May 20, 2025 To: Mayor and City Council From: Geoff Patnoe, City Manager Staff Contact: Mike Strong, Assistant Director of Community Development mike.strong@carlsbadca.gov, 442-339-2721 Subject: Amendments to Encourage Historic Preservation Benefits and Incentives District: All Recommended Actions 1. Adopt a resolution of intention authorizing the processing of a Zoning Code amendment and Local Coastal Program amendment to encourage rehabilitation and re-use of historic buildings (Exhibit 1); and 2. Authorize staff to research and prepare a summary report on Historic Preservation Easements for consideration of the City Council at a future meeting date. Executive Summary One of the items listed in the Historic Preservation Commission’s FY 2024-25 Work Plan (Exhibit 2) is to develop recommendations for City Council consideration on possible policy and ordinance amendments that help support and encourage historic preservation activities. Over the past year, city staff and the Historic Preservation Commission studied different regulatory and non-regulatory approaches to encourage the rehabilitation and re-use of historic buildings and developed a list of possible recommendations, which are detailed in the attached resolution adopted by the Historic Preservation Commission. (Exhibit 3) The City Council is being asked to consider the recommendations of the Historic Preservation Commission and direct staff to initiate amendments to Carlsbad Municipal Code Title 21, the city’s Zoning Code, and to the Local Coastal Program, the planning program for the Coastal Zone, to implement the commission’s recommendations. City Council direction is needed to initiate these amendments under Carlsbad Municipal Code Section 21.52.020. Once they are drafted, the code amendments will be brought to the Planning Commission for recommendation before returning to the City Council for its consideration. The City Council is also being asked to direct staff to research and inquire whether there are opportunities to coordinate a local preservation easement program. This would allow for legal agreements that would protect a historic property by restricting future development and ensuring its preservation. May 20, 2025 Item #3 Page 1 of 8 Docusign Envelope ID: 5B9FACDA-EC6B-42A6-8055-B10792FD3E2F Explanation & Analysis Proposed code amendments City staff worked with the Historic Preservation Commission through a series of meetings over the past several months to discuss the latest best practices in historic preservation and assess current city codes to identify opportunities for possible implementation. The scope of the prospective code amendments is provided in Exhibit 1. Some of the more significant recommended amendments would: •Expand the city’s home occupation1 code to allow expanded commercial uses in historically designated structures such as a bed and breakfast, coffee shop or local craft store •Allow for reduced development standards when determined necessary to preserve historic resources and maintain integrity of the resource •Create uniform definitions and criteria so improvements to historic structures are consistent with the U.S. Secretary of the Interior’s Standards and California’s State Historical Building Code. Historic preservation easements A historic preservation easement is a voluntary legal agreement, typically in the form of a recorded deed restriction, which permanently protects significant historic property. Under the terms of a typical preservation easement, a property owner places restrictions on the development of, or changes to, the property and transfers these restrictions to a qualified organization whose mission includes environmental protection, land conservation, open space preservation or historic preservation. An owner who donates an historic preservation easement may be eligible for one or more forms of tax benefits. The Historic Preservation Commission recommends that the City Council direct staff to see if there are opportunities to coordinate local easement programs for areas that may include: •The front façade •The front façade along with an important interior space •The entire exterior The city’s role would be limited to coordinating interest and potentially pairing property owners with qualified non-profit organizations. This recommendation requires significant research because it is a relatively new approach to historic preservation and has not been fully discussed with community stakeholders or vetted from a legal or financial perspective. If directed by the City Council to explore the option, city staff would conduct the research necessary to fully understand the implications and opportunities of historic preservation easements, solicit information from qualified organizations and present a summary report to the City Council for its consideration of at a future meeting. (Refer to Exhibit 4 for a summarized schedule to complete this work effort.) 1 A home occupation is a business that is conducted within a home that does not affect the residential character of the property or neighborhood. Some examples are professional services, such as an accountant, consultant or architect, and internet sales and catering. May 20, 2025 Item #3 Page 2 of 8 Docusign Envelope ID: 5B9FACDA-EC6B-42A6-8055-B10792FD3E2F Fiscal Analysis There are no significant fiscal impacts that would result from adopting the recommended resolution. Researching local easement programs and completing the prospective code amendments would be conducted using existing staff resources and existing budget. Next Steps Following the City Council’s authorization, staff will draft the ordinance amendments to encourage rehabilitation and re-use of historic buildings and prepare a future summary report on historic preservation easements. Staff anticipate that the code amendments, following a recommendation from Planning Commission, could be returned to City Council for consideration and possible action by spring 2026. The code changes would not be effective within the Coastal Zone until they are approved by the California Coastal Commission, which typically takes an additional 18 to 24 months to process such changes. (Exhibit 4 provides a summarized schedule of the process of completing the amendments.) Environmental Evaluation The request to initiate a General Plan amendment and Zoning Code amendment are statutorily exempt from the California Environmental Quality Act, or CEQA, in accordance with CEQA Guidelines Section 15262, Feasibility and Planning Studies, which states that, “A Project involving only feasibility or planning studies for possible future actions which the agency, board, or commission has not approved, adopted, or funded does not require the preparation of an EIR [environmental impact report] or Negative Declaration.” Because the request involves only the consideration of whether to process an application for an amendment, and not the amendment itself, action taken by the City Council on this item provides only general direction and does not have a legally binding effect on any possible future discretionary action. In accordance with CEQA, all project requests that are defined as a “project” under CEQA are required to have an environmental assessment to determine potential environmental impact, if any, prior to taking any action or to carry out the project. The proposed amendments, if initiated, would be subject to environmental assessment to determine potential environmental impacts in accordance with CEQA at that time. Exhibits 1.City Council resolution 2.Resolution No. 2024-109 Historic Preservation Commission Work Plan FY 2024-2025 (on file in the Office of the City Clerk) 3.Historic Preservation Commission Resolution No. 2024-003 (on file in the Office of the City Clerk) 4.Estimated schedule May 20, 2025 Item #3 Page 3 of 8 Docusign Envelope ID: 5B9FACDA-EC6B-42A6-8055-B10792FD3E2F Exhibit 1 RESOLUTION NO. 2025-109 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CARLSBAD, CALIFORNIA, ADOPTING A RESOLUTION OF INTENTION AUTHORIZING THE PROCESSING OF A ZONING CODE AMENDMENT AND LOCAL COASTAL PROGRAM AMENDMENT TO ENCOURAGE REHABILITATION AND RE-USE OF HISTORIC BUILDINGS WHEREAS, studying additional historic benefits and incentives is a work program activity included in the City Council adopted 2024-2025 Historic Preservation Commission Work Plan; and WHEREAS, the Historic Preservation Commission adopted Resolution No. 2024-003, which recommends that the City Council consider initiating code amendments to encourage rehabilitation and re-use of historic buildings; and WHEREAS, the City Council has determined that it is necessary to undertake an update to ordinances to provide for additional historic preservation benefits and incentives; and WHEREAS, pursuant to Section 21.52.020 of the Carlsbad Municipal Code, amendments to the Zoning Code or Local Coastal Program may be initiated by a resolution of intention of the City Council. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Carlsbad, California, as follows: 1.That the above recitations are true and correct. 2. That the City Manager or designee is authorized to begin working on amendments to Carlsbad Municipal Code Chapter 21.04 (Definitions), Chapter 21.10 (R-1 One Family Zone), Chapter 21.44 (Parking), Chapter 21.50 (Variances), and/or other applicable sections of the Zoning Code or specific plans, to incentivize historic preservation in residential and commercial buildings and structures and allow more home-based business activities and to provide zoning relief as necessary to facilitate the appropriate use of an existing designated historic resource. 3.That the request to initiate a General Plan amendment and Zoning Code amendment are statutorily exempt from the California Environmental Quality Act, or CEQA, in accordance with CEQA Guidelines Section 15262, Feasibility and Planning Studies, which states that, “A Project involving only feasibility or planning studies for possible future actions which the agency, board, or commission has not approved, adopted, or May 20, 2025 Item #3 Page 4 of 8 Docusign Envelope ID: 5B9FACDA-EC6B-42A6-8055-B10792FD3E2F funded does not require the preparation of an EIR [environmental impact report] or Negative Declaration.” 4.That, because the request involves only the consideration of whether to process an application for an amendment, and not the amendment itself, action taken by the City Council on this item provides only general direction and does not have a legally binding effect on any possible future discretionary action. In accordance with CEQA, all project requests that are defined as a “project” under CEQA are required to have an environmental assessment to determine potential environmental impact, if any, prior to taking any action or to carry out the project. The proposed amendments, if initiated, would be subject to environmental assessment to determine potential environmental impacts in accordance with CEQA at that time. PASSED, APPROVED AND ADOPTED at a Regular Meeting of the City Council of the City of Carlsbad on the 20th day of May, 2025, by the following vote, to wit: AYES: Blackburn, Bhat-Patel, Acosta, Burkholder, Shin. NAYS: None. ABSTAIN: None. ABSENT: None. ______________________________________ KEITH BLACKBURN, Mayor ______________________________________ SHERRY FREISINGER, City Clerk (SEAL) May 20, 2025 Item #3 Page 5 of 8 Docusign Envelope ID: 5B9FACDA-EC6B-42A6-8055-B10792FD3E2F Exhibit 2 Resolution No. 2024-109 Historic Preservation Commission Work Plan FY 2024-2025 (on file in the Office of the City Clerk) May 20, 2025 Item #3 Page 6 of 8 Docusign Envelope ID: 5B9FACDA-EC6B-42A6-8055-B10792FD3E2F Exhibit 3 Historic Preservation Commission Resolution No. 2024-003 (on file in the Office of the City Clerk) May 20, 2025 Item #3 Page 7 of 8 Docusign Envelope ID: 5B9FACDA-EC6B-42A6-8055-B10792FD3E2F Exhibit 4 WORK PROGRAM SCHEDULES ZONING CODE AMENDMENT AND LOCAL COASTAL PLAN AMENDMENT ACTIVITY ESTIMATED DATE Finalize draft code amendments based on City Council comments and legal review May/June 2025 Send notice of availability for Local Coastal Plan amendment to Coastal Commission and initiate public outreach July 2025 Conclude Local Coastal Plan amendment comment period (6 weeks) Aug. 2025 Present draft ordinance and public comments to the Historic Preservation Commission Sep. 2025 Prepare response to comments and/or revise code amendments Oct. 2025 Prepare public hearing notices and staff report Nov./Dec. 2025 Planning Commission public hearing on code amendments Jan./Feb. 2026 City Council public hearing on code amendments March/April 2026 Transmittal of Local Coastal Plan amendment to Coastal Commission (to seek approval/certification of code amendments) Approx 18 to 24 months SUMMARY REPORT - HISTORIC EASEMENT PROGRAM ACTIVITY ESTIMATED DATE Initiate the exploratory research process to learn more about the use of Historic Preservation Easements July/Aug. 2025 Present draft summary report to the Historic Preservation Commission Sep. 2025 Prepare response to comments and/or revise summary report Oct. 2025 Prepare staff report Nov./Dec. 2025 Present summary staff report to City Council Dec. 2025 May 20, 2025 Item #3 Page 8 of 8 Docusign Envelope ID: 5B9FACDA-EC6B-42A6-8055-B10792FD3E2F