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HomeMy WebLinkAbout1995-09-05; City Council; 13291; Second Dwelling Ordinancev”w OF CARLSBAD - AGEVA BILL .- I DEPT. HD. @kt UPDATE ON THE CllY’S SECOND DWELLING ORDINANCE CITY ATTY 68 CITY MGR.S RECOMMENDED ACTION: That the City Council review the Second Dwelling Unit Ordinance Update. In June of 1994, the City Council adopted an amendment to the Second Dwelling Unit (SDU) provisions of the City’s Zoning Ordinance (ZCA 92-04), for the purpose of encouraging and enabling the development of second dwelling units within the City. This ZCA implemented Housing Element Program 3.7.b. of the General Plan and provides residential developers a relatively inexpensive alternative for satisfying Citywide inclusionary housing requirements. Upon adopting the Second Dwelling Unit ordinance amendment, the City Council requested that staff provide a periodic update on the status and operation of the ordinance. This is the first such update. The specific details of this ordinance update are included in the attached Memorandum to the City Manager, dated June 19, 1995. As discussed in this memorandum, during the first year of the amended Second Dwelling Unit ordinance, the City has issued a total of 5 Second Dwelling Unit permits. On average, SDU permits have been issued within 50 days of application submittal. Typical’ permit costs per SDU have ranged from $4600 to $5450. All of the approved SDUs meet Carlsbad’s high standards of design and community value and no specific issues with respect to the existing SDU development standards, administrative permit processing requirements, public review procedures or other miscellaneous requirements (i.e.; occupancy and rental rate restrictions) have arisen. u-4’; u-I .s In summary, the City’s amended Second Dwelling Unit ordinance has accomplished zc what was intended - the construction of new affordable SDUs within the City without v)al significantly affecting the character of Carlsbad’s single family neighborhoods or creating ;: other major community impacts. Accordingly, staff recommends no revision to the 4J- tib ordinance at this time and that another ordinance update to the City Council be kW provided in August, 1996. F1 G$ 7lQ) 9-l k EXHIBITS 2 2 5 1. Exhibit “A” Uk - Memorandum to the City Manager titled, “Update on the City’s Second Dwelling Unit Ordinance”, dated, June 19, 1995. June 19, 1995 EXHBIT “A” TO: CITY MANAGER FROM: PLANNING DIRECTOR UPDATE ON THE CITY’S SECOND DWELLING UNIT ORDINANCE On June 21,1994, the Carlsbad City Council adopted an amendment to the second dwelling unit (SDU) provisions of the City’s Zoning Ordinance (ZCA 92-04), for the purpose of encouraging and facilitating the development of second dwelling units. The primary reason for encouraging the development of second dwelling units is that they provide a relatively inexpensive affordable housing alternative which can be integrated into existing or new single family neighborhoods and evenly distributed throughout the City. Upon approving ZCA 92-04, the City Council requested a periodic update on the status and operation of the Second Dwelling Unit ordinance. This memorandum provides the first such update of this ordinance and includes: (1) The number, location, brief description and status of all second dwelling unit applications processed and approved since June 21, 1994; (2) An overview of the SDU public review procedures; (3) Miscellaneous requirements for second dwelling units; and (4) Application fees. SECOND DWELLING UNIT APPLICATIONS A total of 5 second dwelling unit applications (listed below) have been submitted since the adoption of the City’s Second Dwelling Unit ordinance. All of the second dwelling units are proposed within existing single family neighborhoods, with four of the five sites being located within the northwest quadrant of the City (the other SDU is located in the southwest quadrant). Of the 5 SDU proposals, two have been built and occupied, one is under construction, one has been issued building permits and one is a new application. On average, second dwelling unit applications have been processed and approved within 50 days of application submittal. All of the approved SDU’s meet all required development standards, are architecturally compatible with the main dwelling unit, appear as single family dwelling units along adjacent streets, have been designed to include porches and/or balconies to provide additional amenities for prospective tenants and have satisfied the single space parking requirement through the tandem parking alternative. Ladwig SDU 94-01,181l McCauley Lane, Local Facilities Management Zone (LFMZ) 1 - 639 sq. ft. SDU constructed above a new 2 car garage (25.7 ft. tall). Project was the first SDU application submitted (6/24/94). Project has been completed and is currently occupied. Casler SDU 94-02, 3843 Highland Drive, LFMZ 1 - 640 sq. ft. SDU constructed as a detached single story unit (16 ft. tall). Project required a Coastal Development Permit. Project has been completed and is currently occupied. UPDATE ON SDU ORDINANCE JUNE 19, 1995 PAGE 2 Osburn SDU 94-03,3456 Adams Street, LPMZ 1 - 640 sq. ft. SDU constructed above a new 3 car garage (22.5 ft. tall). Project has been issued a building permit and is under construction. Dunning SI)U 9541, 7031 Manzanita Street, LFMZ 6 - 640 sq. ft. SDU constructed as a detached single story unit (13.75 ft. tall). Project has been issued a Coastal Development Permit and a building permit but construction has not begun. Burt SDU 95-02, 3605 Santa Clara Way, LFMZ 1 - 639 sq. ft. SDU constructed as a detached single story unit (12.75 ft. tall). Project was submitted on 6/2/95 and is currently under review. SECOND DWELLING UNIT PUBLIC REVIEW PROCEDURES Pursuant to Section 21.10.015(c) of the Carlsbad Municipal Code, an administrative permit (Planning Director approval) is required for all second dwelling units. Similar to Administrative Variance procedures, all SDU applications are required to undergo a 10 day public review (public notices are mailed to all property owners within 300 feet of the project site). Any person so notified may file written objections or a written request to be heard at an informal hearing with City staff. A minimum of 15 days after the date of the public notice, the Planning Director shall announce the decision on the SDU application by letter to the applicant. The letter is also sent to any person who submitted written objections or a request to be heard. Any decision of the Planning Director may be appealed by any person to the Planning Commission. This required public review process for SDU’s has allowed for adequate public input (i.e., letters of comment, telephone calls and informal hearings) from surrounding neighbors. The adequacy of this public review process is demonstrated by the fact that none of the four SDU approvals which have been granted have been appealed to the Planning Commission. MISCELLANEOUS REOUIREMENTS There are several miscellaneous requirements (not dealing with site design or development standards) which must be satisfied in order to be granted an administrative permit for a SDU. These miscellaneous requirements include: owner occupancy, rental rate restrictions, and verification that the SDU is not in conflict with existing CC&R%. In order to ensure that these miscellaneous SDU requirements are clearly understood and agreed to by project applicants, all SDU applicants are required to sign an Affidavit of Compliance for a Second Dwelling Unit (see Attached) whereby the owner: 3 UPDATE ON SDU ORDINANCE JUNE 19, 1995 PAGE 3 (1) Agrees to continually occupy either the primary or second dwelling unit (owner may include a lessee if the leasehold includes both the primary and second dwelling unit); (2) Agrees to rent the second dwelling unit at an affordable monthly rate; and (3) Certifies that there are no CC&R’s on the property which prohibit a second dwelling unit. With respect to owner occupancy, each of the project applicants (owners) have indicated that the proposed second dwelling units or primary residences would be occupied by family members. The City’s Second Dwelling Unit ordinance requires the owner of the property to continually occupy either the main dwelling unit or the second dwelling unit. In order to provide some flexibility regarding owner occupancy, the City’s Second Dwelling Unit ordinance allows a second dwelling unit owner the option of fulfilling this occupancy requirement by leasing both the main dwelling unit and the second dwelling unit to a lessee (renter). Under this scenario, the lessee could decide to sublet the second dwelling unit. However, the original lessee (of both units) would be responsible for managing, and maintaining both units on the given property. State law pertaining to Second Dwelling Units (Section 65852.2(b)(3)), however allows the City to require that all second dwelling units be owner-occupied. The potential benefit of mandating that second dwelling units be owner occupied is that tenant nuisance impacts (noise, unit/property damage) could be reduced. It is however important to consider that no other residential units within the City are required to be owner occupied, and that it would likely be an onerous City burden to monitor and enforce occupancy restrictions for second dwelling units. In comparison, the benefits associated with allowing flexible occupancy for second dwelling units include: (1) Increasing affordable housing opportunities for a greater variety of income qualified families (including unrelated individuals); (2) Enabling homeowners with declining or fixed incomes to supplement their incomes; and (3) Aallowing homeowners who require companionship or non-specialized assistance (i.e., the elderly or handicapped) to continue living independently in their homes. APPLICATION FEES The first applicant for a second dwelling unit administrative permit appealed that charging 100% of dwelling unit impact fees was excessive. Accordingly, water and sewer impact fees were reduced to 55% of the rate for a new single family dwelling, the same rate paid by * . . . UPDATE ON SDU ORDINANCE JUNE 19, 1995 PAGE 4 multi-unit developers. ‘Typical permit costs for second dwelling units have ranged from $4600 to $5450. The variation is due to the different building sizes. Applicants for second dwelling units must also pay school fees of approximately $1.72 per square foot if the dwelling unit exceeds 500 square feet in area. Overall, the existing Second Dwelling Unit ordinance is accomplishing what was intended - that is, the construction of additional affordable housing within the City. The second dwelling units which have been approved meet Carlsbad’s high standards of design and community value. A potential concern regarding the change in character of single family neighborhoods associated with the over concentration of second dwelling units within these neighborhoods has not occurred. In fact, the 5 SDU’s processed within the City during the first year of this ordinance is less than half of the number of SDU’s anticipated to be constructed during this period. MICHAEL J. HOLZMILLER Attachment MJH:CD:kr CITY OF CAIUBAD - AFFIDAvlT OF COh+lPLJANCE FOR A SECOND DWELLING UNIT Instructions to ProDertv Owner (Affiant): Please type or print complete and accurate answers in all blank spaces in Section I. Please read carefully, par&ularly Section B. Please read, sign and date Section LB indicating that you understand and agree with the conditions of compliance. SECTION I - INFORMATION Property owner(s) : Name(s) .; > Property address: Street Address City State Zip Code Assessor Parcel No: Subdivision: Name / OK Lot/Block Parcel No. Project Number: SECTION II - CONDITIONS FOR COMPLIANCE Please read careful& 1. A second dwelling unit is an attached or detached dwelling unit which is located on the same lot as an existing owner-occupied single family detached dwelling unit and is: a. Suitable for use as a complete living facility with provisions within the facility for cooking, eating, sanitation and sleeping; b. Occupied by one or more persons; and C. Subordinate to the main dwelling unit. 2. The Property Owner(s) listed above hereby certities that he/she owns the above referenced property, as of the date of this affidavit, and to his/her belief and knowledge, there are no conditions, covenants or restictions on the property prohibiting a second dwelling unit apartment. 4 K:\counta’2ndappl I. ,- .- 3. The Property Owner(s) agrees to the following terms and conditions: a. The property and residence referenced above must not contain a second residential dwelling unit unless it is in compliance with the second dwelling unit administrative permit provisions of the Zoning Ordinance of the City of Carlsbad. b. The Property Owner(s) shall reside in either the main dwelling unit or second dwelling unit described above, now, and for the life of this agreement. “Owner” shall include a lessee if the leasehold includes both the main dwelling unit and the second dwelling unit. C. The Second Dwelling Unit may only be rented and shall not be sold separately from the main dwelling unit, unless the lot on which such units are located is subdivided. d. The Property Owner(s) agree to rent the Second Dwelling Unit at a monthly rental rate which shah not exceed an amount equal to 30% of the gross monthly income of a low-income household, adjusted for household size, at 80% of the San Diego County median income. e. A copy of this agreement and Affidavit must be given by the Property Owner(s) to prospective purchasers of the property prior to entering into a sales contract for said property. SECTION III - AFFIRMATION AND AGREEMENT I HEREBY DECLARE AND AFFIRM, under penalty of perjury, that all matters and facts set forth in this agreement are true and correct to the best of my knowledge, information and belief, and that I (we) understand, accept and will abide by the regulations, requirements, and standards governing the Second Dwelling Unit. BY: Property Owner Date BY: Property Owner Date Owners Telephone Numbers: I 1 /( 1 Home Office 1 K:\counMappl