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HomeMy WebLinkAboutLCPA 94-02; Affordable Housing; Local Coastal Program Amendment (LCPA) (17),- APPLIC"ION COMPLETE DATE: STAFFPLANNER: CHRTSDECERBO Jn STAFF REP0 RT DATE: MARCH 2, 1994 TO: PLANNING COMMISSION FROM: PLANNING DEPARTMENT SUBJECX: 2-9 2-04 - SECOND DWELLtN G UNITS ZONE CODE AMENDMENT - Request for approval of a Negative Declaration and an amendment to various chapters and sections of the Carlsbad Municipal Code (Title 21) to: (1) add a definition for Second Dwelling Unit, (2) allow the development of Second Dwelling Units through administrative permit in the R-A, R-E, R-1, R-2 and R-3 zones and areas designated by a master plan for single-family detached dwellings in the P-C zones of the City, and (3) amend the requirements for the creation of Second Dwelling Units in the R-A, R-E, R-1, R-2 and R-3 zones and areas designated by a master plan for single-family detached dwellings in the P-C zones of the City. I. RECOMMENDA TION That the Planning Commission ADOR Planning Commission Resolution No. 3542 recommending APPROVAL of the Negative Declaration issued by the Planning Director, and ADOPT Planning Commission Resolution No. 3543 recommending APPROVAI, of ZCA 92- 04, based on the findings contained therein, and recommending that the City Council direct staff to subsequently open up the six week public review period to amend the City's six Local Coastal Program segments accordingly. U. DESCRIPnON AND BACKGROUND California Govcrnmcnt Code Sections 65852.1 and 65852.2 allow local governments to adopt an ordinance stating the conditions (standards and regulations) under which Second Dwelling Units would be permitted. In the absence of a local ordinance, the law establishes State criteria which, if met by a Second Dwelling Unit applicant, require the locality to grant a permit for the unit. Consistent with Section 65852.1 and 65852.2 of the California Govemment Code, the City of Carlsbad currently has an ordinance (Section 21.42.010(11) of the Carlsbad Municipal Code) which allows the development of Second .- ZCA 92-04 SECOND DWELLING UNITS ZONE CODE AMENDMENT MARCH 2,1994 PAGE 2 Dwelling Units within the R-A, R-E, R-1 and P-C zones, subject to specific conditions, and requiring the approval of a Conditional Use Permit. While the City's existing second dwelling unit ordinance does satisfy the basic requirements of Government Code Sections 65852.1 and 65852.2, the ordinance was clearly not set up with the objective of promoting or encouraging the development of second dwelling units. Specifically, the existing second dwelling unit zoning standards which require a minimum lot size of 7500 square feet, that one additional paved off-street parking space be provided outside of the required setback areas, that the second dwelling unit be attached to the primary residence, and limits the floor area to 350 square feet and the occupancy to two people, at least one aged 60 or more, does not provide sufficient flexibility or incentive to facilitate the development of second dwelling units. Under the existing ordinance, only one permitted second dwelling unit has been developed within the City. A Second Dwelling Unit is a residential unit which is located on the same lot as a primary dwelling unit. It provides complete, independent living facilities for one or more persons, including permanent facilities for living, sleeping, eating, cooking and sanitation. Second Dwelling Units are also referred to as "granny flats", "accessory apartments", or "in-law apartments". Housing Program 3.7.b (Alternative Housing) states that the City will examine the existing Second Dwelling Unit section of it's Municipal Code (Section 21.42.010(11) to explore means of better encouraging and facilitating the development of affordable Second Dwelling Units. Second Dwelling Units provide many benefits to a community which include: allowing persons who require companionship or non-specialized assistance (Le.; the elderly or handicapped) to continue living independently in their homes; facilitating family ties between generations; making more efficient use of residentially zoned land; and enabling homeowners with declining or fixed incomes to supplement their income. However, Second Dwelling Units also offer an excellent means for achieving affordable housing without significantly impacting the character of predominantly single-family neighborhoods and communities. Potential concerns associated with the development of second dwelling units include: (1) (2) (3) The change in the character of single family naghbrhoods, resulting from the over-concentration of second dwelling units; An increase in parking and traffic problems; and An overload on public facilities. -. ZCA 92-04 SECOND DWELLING UNITS ZONE CODE AMENDMENT MARCH 2,1994 PAGE 3 -. These concern, which have been addressed in the proposed ordinance revision, are discussed later in this report. The primary objective of promoting the development of Second Dwelling Units is the provision of an inexpensive affordable housing alternative. Second Dwelling Units are relatively inexpensive to develop (in comparison to conventional rental units) because they do not require additional land and infrasmrcture costs. Experience has demonstrated that Second Dwelling Units can provide affordable housing with little or no subsidy. Because of this, the second dwelling unit provides an affordable housing alternative which can be fully integrated into a market-rate development, and evenly distributed throughout the City. This affordable housing alternative will help the City to achieve it's lower-income housing objectives and could be extremely attractive to infill residential builders with limited inclusionary requirements (in-lieu fees or 1 or 2 affordable units). Consistent with Housing Program 3.7.b., this project is a Zone Code Amendment (ZCA 92- 04) to the Carlsbad Municipal Code (Title 21, Zoning) to: (1) add a definition of a Second Dwelling Unit, (2) amend the existing requirements for the creation of Second Dwelling Units and (3) to allow the development of Second Dwelling Units through administrative permit in the R-A, R-E, R-1, R-2, and R-3 zones and areas designated by a master plan for single-family detached dwellings in the P-C zones of the City. III. ANALYSTS Included below is an analysis of the major planning issues associated with each proposed revision to the City's Zoning Ordinance relating to the development of Second Dwelling Units. Reference can be made to Exhibit 'X' to review in detail all text revisions. 1) What is the definition of a Second Dwelling Unit? 2) What revisions to the City's Second Dwelling Unit requirements are recommended to encourage the development of Second Dwelling Units? 3) Can Second Dwelling Units be counted towards meeting the City's lower-income Regional Housing Needs? 4) Are Second Dwelling Units considered a dwelling unit under Growth Management? 5) Is the proposed Zone Code Amendment consistent with the General Plan? ZCA 92-04 SECOND DWELLING UNITS ZONE CODE AMENDMENT MARCH 2,1994 PAGE 4 Discussion Definition of Second Dwellinn Unit Although the tern "Second Dwelling Unit" is included in Section 21.42.010( 11) (A) of the Carlsbad Municipal Code, it is currently undefined. Accordingly, this term and definition is proposed to be added to Chapter 21.04 (Definitions) of the Zoning Ordinance. As proposed, a "Second Dwelling Unit" is defined as a residential dwelling unit which is attached or detached from the primary dwelling unit on a lot and which provides complete independent living facilities for one or more persons. It shall include permanent provisions for living, sleeping, eating, cooking, and sanitation on the same parcel as the single-family or primary dwelling is situated. This definition is consistent with the "second dwelling unit" definition of State Law (Section 65852.2). PrQd Revisions to Second Dwellinn Unit Remuran ' at$ Table "A" provides a summary of the City's existing Second Dwelling Unit requirements and revisions which are recommended to encourage/enable the development of affordable Second Dwelling Units. Each revision proposed is discussed below. processing. Subsection 21.42.010(11)(A) currently allows the development of Second Dwelling Units subject to the approval of a Conditional Use Permit (CUP). The CUP requirement provides the City with considerable review authority regarding Second Dwelling Unit proposals. However, the CUP process, which requires a full public hearing, may discourage homeowners from pursuing CUPS for Second Dwelling Units within the City. This is evidenced by the fact that there exists only one legal Second Dwelling Unit in the City which has been approved through Conditional Use Permit. Additionally, the Civs existing development standards do not encourage the development of second dwelling units. The City's Building Department does however estimate that there exists up to 100 other non- permitted accessory residential structures within the City which either exist as or could be converted to Second Dwelling Units. In view of this dsthg situation, staff is recommending that Title 21 be amended to allow Second Dwelling Units through administrative pennit instead of Conditional Use Permit. This administrative permit process would provide the City with adequate oversight without unduly restricting the ability of homeowners to obtain permits. The proposed admkistrative permit process for Second Dwelling Units would be very similar to the City's established procedures for Administrative Variances (Chapter 21.51 of the Carlsbad Municipal Code) and would: (1) provide a mechanism for creating new Second Dwelling Units subject to the approval of the Planning Director, and (2) require that adequate public notice (Le.; direct mailing to property owners within 300 feet of the proposed Second Dwelling Unit) be given for any administrative pennit for a Second Dwelling Unit. ZCA 92-04 SECOND DWELLING UNITS ZONE CODE AMENDMENT MARCH 2, 1994 PAGE 5 Staff is also recommending that a new subsection (21.45.090(p)) be added to the Planned Unit Development Chapter of the Municipal Code to allow second dwelling units within single family planned unit developments (PUD’s). Second dwelling units proposed within existing single family PUD’s shall be required to process an amendment to the existing PUD. AU second dwelling units approved within single family PUD’s processed and approved on or after the effective date of this subsection, shall be required to either be approved as part of the PUD application, or shall be approved subsequently through amendment to the PUD application. In order to mitigate the concern regarding the change in character of single family neighborhoods associated with the over concentration of second dwelling units within these neighborhoods, a provision has been incorporated into the administrative permit section (21.10.020(~)(3)(M)) which requires the Planning Director to find that such use will not be materially detrimental to the public welfare or injurious to the property or improvements in such vicinity and zone in which the property is located. Permitted Zones. Subsection 21.42.010(11) currently allows the development of Second Dwelling Units within the R-A, R-E, R-1, and areas designated by a master plan for single-family detached dwellings in P-C zones. However, Section 65852.2(c) of State Law, relating to Local Second Unit Ordinances, specifies that no local agency shall adopt a Second Unit ordinance which totally precludes second units within single-family and multi-family zoned areas unless the ordinance contains findings acknowledging that the ordinance may limit housing opportunities of the region and further contains findings that specific adverse impacts on the public health, safety, and welfare would result from allowing second units within single-family and multi-family zoned areas. In order to comply with this provision of State Law, Title 21 is recommended to be amended to allow the development of Second Dwelling Units on lots within the R-2 and R-3 multi-family zones which are developed with detached single family residences. Minimum Lnt size Subsection 21.42.010(11)(A)(2) currently stipulates that the minimum lot size required for the development of a Second Dwelling Unit is 7,500 square feet. In order to enable Second Dwelling Units to be developed on smaller residential lots (Le. small lot planned unit developments or undersized lots in the redevelopment area) it is recommended that the minimum lot size for the development of a Second Dwelling Unit must be the minimum lot size required by the zone. For small lot planned unit developments (PUD’s), the minimum lot size would be the lots as approved in the original application for the project. The concern associated with the potential overdevelopment of smaller residential lots with Second Dwelling Units will be adequately mitigated by the overall requirement that Second Dwelling Units must comply with the height, setback, lot coverage and other development standards applicable to the underlying zone. ZCA 92-04 SECOND DWELLING UNITS ZONE CODE AMENDMENT MARCH 2,1994 Attached or Dccached/Den 'gn. Subsection 21.42.010(1 l)(A)(tO) currently stipulates that a Second Dwelling Unit must be attached to the main single-family residence. To provide additional options for the development of Second Dwelling Units, this subsection is recommended to be amended to allow an attached or detached Second Dwelling Unit. However, an attached or detached Second Dwelling Unit must still meet the height, setback, lot coverage, and other development standards of the applicable residential zone and on sides adjacent to streets, maintain the appearance of a single family detached dwelling unit. Floor Area. Subsection 21.42.010(11)(A)(3) currently stipulates that a Second Dwelling Unit may add no more than 350 square feet of floor area to the main unit. For reference, the floor area of a typical two car garage is 400 square feet. A typical studio unit could be accommodated in 400 square feet. tt is recommended that this maximum floor area standard be increased to 640 square feet. The objective of increasing the maximurn permitted floor area to 640 square feet is to enable the development of 1 bedroom Second Dwelling Units. The flexibility to produce a larger Second Dwelling Unit (which would need to comply with all of the development standards of the applicable underlying zone) would provide additional housing opportunities to other special needs groups such as single parents with children. Parking. Subsection 21.42.010(11)(A)(5) currentlyrequires one additional paved off-street (covered or uncovered) parking space per Second Dwelling Unit. This parking space is not permitted to be located within the front, rear or sideyard setback areas required of the underlying zone. This standard has &ectively prohibited the development of legal second dwelling units upon most single family residential lots within the City. The revision proposed would allow the required Second Dwelling Unit parking space to be satisfied through tandem parking in the driveway of the primary residence, provided that the garage is setback a minimum of twenty feet from the front property line, or in the front yard setback. This parking alternative would enable the development of Second Dwelling Units within the City and provides an important economic incentive to homeowners pursuing the development of a Second Wedling Unit. While this parking altemative may be unsightly, Second Dwelling Units would not create parking and tfaffic congestion problems any worse than what can occur in the legal circumstance of a large family with several cars (more than 2) or a communal living arrangement in which three or more unrelated individuals share a house and each has a Car. occupxy ~~. Subsection 21.42.010(11)(A)(11) currently stipulates that the occupancy of a Second Dwelling Unit is limited to two persons, at least one person of which is sixty years of age or older. This provision is consistent with Section 65852.1 of State law. Clearly, the Citfs existing Second Dwelling Unit ordinance is primarily a "Grannf housing ordinance. To h ZCA 92-04 SECOND DWELLING UNITS ZONE CODE AMENDMENT MARCH 2,1994 provide housing opportunities for others (including lower-income or handicapped households), this subsection is recommended to be amended to delete any occupancy requirements. Staff is not recommending that the occupancy of Second Dwelling Units be limited exclusively to lower-income households because this requirement would resmct the ability of this product type to serve other special needs groups. However, the requirement that Second Dwelling Units not exceed 640 square feet in floor area and comply with the development standards of the underlying zone will effectively limit the ability to achieve more than one bedroom in a Second Dwelling Unit. Currently, the average monthly rental rate for a one bedroom apartment in Carlsbad would be affordable to a two-person low- income household. Garage ConversionS. Second Dwelling Units can be created by a number of different ways (Le. adding a detached accessory structure, adding to an existing residential structure, or partitioning floor space within an existing structure). One of the most common and least expensive ways to create a Second Dwelling Unit is through the conversion of an existing garage. In fact, many of the existing non-permitted accessory residential units within the City are converted garages. With reference to this existing problem, a provision is recommended to be added to the proposed Second Dwelling Unit standards to prohibit garage conversions unless replacement garage parking is provided. Guest Living/Accesso~ Living Quarters. A provision is recommended to be added to the Second Dwelling Unit standards to prohibit the development of Second Dwelling Units on a lot or parcel which has an existing guest or accessory living quarter or residential care facility. The intent of this provision is to ensure that residential lots cannot be developed with multiple accessory residential structures. However, an existing guest or accessory living quarter may be converted to a Second Dwelling Unit, subject to compliance with all Second Unit standards. second Dwmunits 8s Irmnr-w He The City's Housing Element concludes that there exists a considerable demand for housing affordable to lower-income households. The City's Housing Element specifies that the City's actual Rcgkmal Share need between July 1991 and June 1996 is 2,509 new lower- income units. As discussed earlier in this report, Second Dwelling Units are cost effective to produce and provide affordable housing with little or no subsidy. Discussions with the State Department of Housing and Community Development (HCD) confirmed that new Second Dwelling Units can be counted towards meeting the Ciws Regional share need for lower-income housing provided that: (1) the dwelling unit provides complete independent living facilities including provisions for living, sleeping, eating, cooking and sanitation, and ZCA 92-04 SECOND DWELLING UNITS ZONE CODE AMENDMENT MARCH 2,1994 PAGE 8 (2) the City can demonstrate that the rent charged is affordabl households. to lower-inc me The proposed definition of a Second Dwelling Unit would meet the State criteria for a dwelling unit listed in (1) above. In addition, implementation of a proposed Rental Stock Monitoring Program (Program 1.4 of the Housing Element) by the City will provide the necessary rental rate information to enable a determination of unit affordability. Growth Management Ronram. California Government Code Section 65852.2 states that "a Second Dwelling Unit shall not be considered to exceed the allowable density for the lot upon which it is located, and shall be deemed to be a residential use which is consistent with the existing General Plan and. zoning designations for the lot. Second Dwelling Units shall also not be considered in the application of any local ordinance, policy or program to limit residential growth." Consistent with these provisions, Second Dwelling Units would be allowed to exceed the Growth Control Point of the applicable General Plan designation. In order to comply with the Citywide and quadrant dwelling unit caps under Proposition E, all Second Dwelling Units would have to come out of the City's excess unit bank. The requirement that adequate water and sewer capacity and facilities for the second dwelling unit must be available or made available (Subsection 21.10.020(c)(3)(G)) should prevent any overburdening of facilities after a second unit is approved. Consistencv with the General Plan. The Housing Element of the General Plan sets forth a goal, objective and program which are supported by the amendments of the Second Dwelling Unit section of the City's Zone Code, including the following: GOAL 3 - (Groups with Special Needs, Including Low and Moderate Income Households) Sufficient new, affordable housing opportunities in all quadrants of the City to meet the needs of groups, with special requirements, and, in particular, the needs of current lower and moderate income households and a fair share pmportion of future lower and moderate income households. 0BJEm 3 .7 - (Lower Income Development and Incentives) Provide incentives, housing type alternatives, and City initiated developments and programs for the assistance of lower-income households. PROGRAM 3 .7.b - (Alternative Housing) Consider deveiopment standards for altemative housing types, such as hotels, managed living units, homeless shelters, and farm worker housing alternatives which would assist in meeting the City's share of housing for low A ZCA 92-04 SECOND DWELLING UNITS ZONE CODE AMENDMENT MARCH 2, 1994 PAGE 9 and very low income households. Authorize alternative housing projects through a Conditional Use Pennit or Special Use Pennit. The City will also examine the existing Second Dwelling Unit Section of its Municipal Code (Section 21.42.010(11)(A)) to explore means of better encouraging and facilitating the development of affordable second units. Consistent with the intent of this goal, objective, and program, the proposed amendments to the Second Dwelling Unit section of the Citfs Municipal Code would: 1) provide for affordable housing opportunities for a wide variety of households, including, lower-income, handicapped and senior; 2) provide affordable housing incentives and alternatives; and 3) encourage and facilitate the development of Second Dwelling Units. In that this zone code amendment implements this goal, objective and program of the Ciry's Housing Element, it is consistent with the General Plan. The Planning Director has determined that this zone code amendment, to modify the development standards and processing requirements for Second Dwelling Units, will not have a significant impact on the environment and therefore has issued a negative declaration. The environmental analysis concluded that since: (1) this zone code amendment is not associated with any specific development project; (2) will not directly result in any significant physical, biological, or human environmental impacts and (3) Second Dwelling Units are categorically exempt from CEQA pursuant to Sections 15302(a) and 15303 (a) of the CEQA guidelines, no project specific impacts are anticipated. There were no letters of comment received during the public review period for this Negative Declaration. ATTACHMENTS 1. 2. 3. Phmhg Commission Resolution No. 3542 Planning Cornmission Resolution No. 3543 Table "A" Summary of Second Dwelling Unit Revisions. CDD:lh AUGUST 17,1993