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10-10-2023 PC Agenda Packet Planning Commission REGULAR MEETING AGENDA Tuesday, October 10, 2023 | 7:30 PM City Hall Council Chamber – 70 N. First Street CALL TO ORDER / ROLL CALL This Planning Commission meeting will be conducted in person and virtually via video teleconferencing (Zoom) in compliance with the provisions of the Brown Act. Members of the public may attend this meeting in person at Campbell City Hall or virtually via Zoom at https://campbellca.gov/PCSignup. The meeting will also be live streamed on Channel 26, the City's website, and on YouTube at https://www.youtube.com/@CityofCampbell. Written correspondence will be accepted via email at planning@campbellca.gov until 5:00 PM on the day of the meeting, and thereafter may be delivered in-person at the public hearing. Written correspondence will be posted to the City’s website and distributed to the Planning Commission. If you choose to email your comments, please indicate in the subject line “FOR PUBLIC COMMENT” and indicate the item number. APPROVAL OF MINUTES 1. Approval of Minutes of September 26, 2023 ➢ Meeting Minutes, 9/26/2023 (Regular Meeting) COMMUNICATIONS AGENDA MODIFICATIONS OR POSTPONEMENTS ORAL COMMUNICATIONS This portion of the meeting is reserved for individuals wishing to address the Planning Commission on matters of community concern that are not listed on the agenda. In the interest of time, the Chair may limit speakers to five minutes. Please be aware that State law prohibits the Commission from acting on non-agendized items, however, the Chair may refer matters to staff for follow-up. PUBLIC HEARING Note: Members of the public may be allotted up to two (2) minutes to comment on any public hearing item. Applicants/Appellants and their representatives may be allotted up to a total of five (5) minutes for opening statements and up to a total of three (3) minutes maximum for closing statements. Items requested/recommended for continuance are subject to Planning Commission’s consent at the meeting. Planning Commission Agenda for October 10, 2023 Pg. 2 2. PLN-2023-155 – Study Session on Housing Overlay Districts and Related Amendments Study Session to review and provide feedback on the development of new Housing Overlay zoning districts and related amendments to the Campbell Municipal Code and Zoning Map. File No.: PLN-2023-155. Project Planner: Stephen Rose, Senior Planner. Recommended Action: That the Planning Commission receive the report and provide feedback to staff on the development of three new Housing Overlay zoning districts and related amendments to the Campbell Municipal Code and Zoning Map. OLD BUSINESS 3. Ad hoc Subcommittees Discussion(s) The assembled ad hoc Subcommittees may provide updates of their activities, as applicable, to the Planning Commission. REPORT OF THE COMMUNITY DEVELOPMENT DIRECTOR ADJOURNMENT Adjourn to the Planning Commission meeting of October 24, 2023, at 7:30 PM, in the City Hall Council Chambers, 70 North First Street, Campbell, California and via telecommunication. Americans with Disabilities Act (ADA) In compliance with the Americans with Disabilities Act, listening assistance devices are available for meetings held in the Council Chambers. If you require accommodation to participate in the meeting, please contact the City Clerk’s Office at ClerksOffice@campbellca.gov or 408-866-2117 in advance of the meeting. PLANNING COMMISSION REGULAR MEETING MINUTES Tuesday, September 26, 2023 I 7:30pm City Hall Council Chamber CALL TO ORDER The Regular Planning Commission meeting of September 26, 2023 was called to order at 7:30 pm by Chair Buchbinder, and the following proceedings were had to wit. ROLL CALL Members present: Rob Eastwood, Director Bill Seligmann, City Attorney Nishant Seoni, Contract Associate Planner Andrea Sanders, City Clerk APPROVAL OF MINUTES 1. Approval of Minutes of September 12, 2023 (Roll Call Vote) ➢ Meeting Minutes, 9/12/2023 (Regular Meeting) ➢ Commissioner Majewski absent. All other commissioners approved. COMMUNICATIONS None AGENDA MODIFICATIONS OR POSTPONEMENTS None Planning Commissioners Present: Adam Buchbinder, Chair Alan Zisser, Vice Chair Davis Fields Matt Kamkar Michael Krey Cori Majewski Planning Commission Absent Maggie Ostrowski Campbell Planning Commission Meeting Minutes – September 26, 2023 Page 2 ORAL COMMUNICATIONS This portion of the meeting is reserved for individuals wishing to address the Planning Commission on matters of community concern that are not listed on the agenda. In the interest of time, the Chair may limit speakers to five minutes. Please be aware that State law prohibits the Commission from acting on non-agendized items, however, the Chair may refer matters to staff for follow-up. Opened and Closed Public Comment, no public comments were received. PUBLIC HEARING Note: Members of the public may be allotted up to two (2) minutes to comment on any public hearing item. Applicants/Appellants and their representatives may be allotted up to a total of five (5) minutes for opening statements and up to a total of three (3) minutes maximum for closing statements. Items requested/recommended for continuance are subject to Planning Commission’s consent at the meeting. 2. PLN-2023-148 – 412 E. Campbell Avenue Public Hearing to consider the application of Paige Kepner to allow an existing 3,043 square-foot fitness studio (dba F45 Training) to operate with hours beginning at 5:00 AM on property located at 412 E. Campbell Avenue. The application under consideration is a Conditional Use Permit for an existing pedestrian-oriented activity with proposed late-night activities (early morning hours). File No.: PLN-2023-148. Staff is recommending that this item be deemed Categorically Exempt under CEQA. Planning Commission action is final unless appealed in writing to the City Clerk within 10 calendar days. Project Planner: Nishant Seoni, Contract Associate Planner. Contract Associate Planner Nishant Seoni presented Staff Report to allow an existing 3,043 square- foot fitness studio (dba F45 Training) to operate with hours beginning at 5:00 AM on property located at 412 E. Campbell Avenue. Commissioners received clarification that the change in the opening business hours will be for staff and customers to come in earlier. Staff clarified for the Planning Commission that earlier time for employees could be allowed with modified direction. The applicant assured the Planning Commission that thanks to the thick building walls no sound could be heard from the outside so there would be no impact from noise to the surrounding community. Planning Commission fully in support of the modification of business hours and applicant. Commission also discussed allowing the business to open at 4:45am from Monday through Friday and to allow business to open at 5:45am from Saturday through Sunday. Motion: Upon motion by Commissioner Krey, seconded by Commissioner Kamkar the Planning Commission motioned to grant approval of a Conditional Use Permit (PLN-2023-148) to allow an existing fitness studio (“Pedestrian-Oriented Activity”) to operate with hours beginning at 4:45 AM from Monday through Friday and 5:45 Campbell Planning Commission Meeting Minutes – September 26, 2023 Page 3 AM from Saturday through Sunday (“Late Night Activity) within an existing multi- tenant commercial building on property located at 412 E Campbell Avenue in the CB-MU (Central Business Mixed-Use) zoning district. AYES: Fields, Majewski, Buchbinder, Zisser, Kamkar, Krey NOES: None ABSENT: Ostrowski ABSTAIN: None OLD BUSINESS 3. Ad hoc Subcommittees Discussion Ad-hoc subcommittees will be presenting to the Planning Commission in the near future. PC Economic Development subcommittee will be presenting to the City Council in October/November. 5. Report of the Community Development Director Job offer was made to the Environmental Programs Specialist City Council authorized receipt of grant funds from Santa Clara County Housing Program Manager recruitment closed September 22, 2023. There were some strong applicants who applied. State Legislature has a new bill deadline. New Land Use Bills and staff has been tracking, SB 423 and SB 684 (like and enhanced SB9) specifically. Both of these bills will require Muni Code updates and may be incorporated into workplans. Chair Buchbinder closed the public hearing and adjourned to the next Regular Planning Commission meeting. ADJOURNMENT Adjourned meeting at 8:06 p.m. to the next Regular Planning Commission Meeting on Tuesday, October 10, 2023, in the City Hall Council Chambers, 70 North First Street, Campbell, California and via telecommunication. PREPARED BY: _______________________________ Ken Ramirez, Administrative Analyst APPROVED: ______________________________ Adam Buchbinder, Chair ATTEST: ________________________________ Rob Eastwood, Secretary CITY OF CAMPBELL ∙ PLANNING COMMISSION Staff Report ∙ October 10, 2023 File No(s): PLN-2023-155 Study Session to review and provide feedback on the development of new Housing Overlay zoning districts and related amendments to the Campbell Municipal Code and Zoning Map. RECOMMENDATION That the Planning Commission receive the report and provide feedback on the development of three new Housing Overlay zoning districts and related amendments to the Campbell Municipal Code and Zoning Map. PURPOSE This item solicits direction and feedback on the development of new Housing Overlay zoning districts implementing Housing Element programs serving to promote the production of affordable housing and comply with state law. This report also provides an overview of draft amendments to the Campbell Municipal Code that will be required to implement the new Housing Overlay zoning districts and related amendments to the Zoning Map that will be synchronized with their adoption. BACKGROUND On April 18, 2023, the City of Campbell adopted the 2040 General Plan, 2023-2031 Housing Element, and related amendments to the Zoning Ordinance and Zoning Map. The General Plan and Housing Element included implementation plans identifying a schedule for the completion of key programs to meet overall goals and objectives. The Housing Element included three programs, requiring amendments to the Zoning Map to implement, identified to be completed by the end of 2023. These programs are summarized as follows: • Program H-1c: Affordable Housing Overlay: Establish an Affordable Housing Overlay zoning district to incentivize the development of housing meeting priorities by: 1) allowing an increase in density over that otherwise allowed under state density bonus law; 2) allowing a reduction of parking standards consistent with those provided under state density bonus law; 3) providing for ministerial (i.e., by-right) permit processing; 4) providing for impact fee reductions or waivers; 5) City funding support for frontage improvements. • Program H-3e: Rezone for Lower Income Shortfall: Establish a By-Right Housing Overlay zoning district to provide for the ministerial (i.e., by-right) permit processing of at least 1,024 lower-income housing units on sites meeting a minimum density of 30 units per acre and which allow for the production of at Planning Commission Meeting of October 10, 2023 Page 2 of 13 PLN-2023-155 | Study Session on Housing Overlay Zoning Districts least 16 units per site, when at least 20% or more of the units of a proposed development are to be made are affordable to lower income households. • Program H-3f: Reuse Sites: Modify the Zoning Ordinance to allow for the ministerial (i.e., by-right) permit processing of projects on qualifying sites used in prior Housing Elements, when at least 20% or more of the units of a proposed development are to be made are affordable to lower income households. Given the similarities between these three Housing Element programs and the implementation timelines, staff is working on them concurrently. The following discussion presents a summary of key policy decisions that will need to be made in their development. DISCUSSION The following discussion is organized into four sections focused on the following topics areas: I) Affordable Housing Overlay; II) Reuse Sites Overlay; III) By-Right Housing Overlay; and IV) Zoning Code and Zoning Map Amendments. I. Affordable Housing Overlay An Affordable Housing Overlay zoning district, or “AHOZ”, is a zoning tool used to encourage the development of affordable housing projects in furtherance of Housing Element goals and objectives. The establishment of an AHOZ generally involves the identification of areas where it will apply, and the development of incentives the City may offer in exchange for projects meeting specific policy objectives (“trade-offs”). Typically, AHOZ’s are used by local jurisdictions to compete with State Density Law by offering a list of identified (“on-menu”) incentives that may be found more attractive by developers than those offered by State Density Bonus Law. In exchange for one or more incentives offered by the City, the developer agrees to comply with requirements of local significance that projects pursuing a State Density Bonus would not be required to meet. Specific to Campbell, during development of the 2040 General Plan and 2023-2031 Housing Element, the establishment of an AHOZ was identified by staff, the Planning Commission, and Council as a potential tool to protect the City height limit of 75-feet (mainly in response to provisions of State Density Bonus Law) and incentivize the development of housing meeting the needs of special needs populations (i.e., Veterans, Unhoused, Female-Headed Households). While members of the Council acknowledged that it may not be essential to offer incentives to achieve compliance in all circumstances (i.e., maintaining max height within the Pruneyard), that an AHOZ should be developed to identify, and achieve, local priorities. Separately, during development of the City’s Multi-Family Development and Design Standards (MFDDS), staff, the Planning Commission, and Council prioritized standards that protect single-family neighborhoods, through the development of adjacency standards, and require mixed-use development, along key commercial corridors, and the Downtown. Further, the City’s Economic Development Consultant emphasized the importance of requiring the establishment of meaningful/functional tenant spaces, to Planning Commission Meeting of October 10, 2023 Page 3 of 13 PLN-2023-155 | Study Session on Housing Overlay Zoning Districts ensure that they can support a range of uses and activities, including objectives of the form-based approach to create walkable areas. To support the development of a local AHOZ, staff, with the support of summer intern Hannah Meeks, surveyed the use and effectiveness of AHOZs throughout the State of California. Results from research have been attached (reference Attachment A – Affordable Housing Overlay Zone Research) and incorporated into the following discussion which focuses on the three most important policy considerations identified: Policy Consideration #1: Should the AHOZ be designed to compete with, or complement, State Density Bonus Law? State Density Bonus Law (Government Code Sections 65915-65918) grants incentives (e.g., concessions, waivers, reduced parking standards, density) to developers who meet specified affordable and/or senior housing requirements. In developing an AHOZ, a key policy consideration is to decide whether to develop a program that is designed to compete with, or complement, the requirements and incentives of State Density Bonus Law. • Competitive AHOZ: An AHOZ designed to compete with State Density Bonus Law forces developers to “choose” between the requirements and incentives offered by the City and those provided by State Density Bonus Law. o Key Advantages: They main advantage of a developing a competing AHOZ is the ability to create a tailored set of incentives that achieve more predictable outcomes aligned with local priorities (i.e., staying under the City’s maximum height limit). o Key Disadvantages: As State Density Bonus Law already allows developers to deviate from any number of development standards (e.g., height, setbacks) as well as up to five (5) regulatory requirements (e.g., utility undergrounding), it will be challenging for the City to develop a program that would be favored by developers without offering significant incentives in exchange. Even if the City is successful in establishing a competitive program, as State Density Bonus law changes, the City’s AHOZ may become obsolete, and therefore require constant updates and maintenance to keep up. For these reasons, many of the cities that initially established a competitive AHOZ program are switching to a complementary model (reference Attachment A – Affordable Housing Overlay Zone Research). • Complementary AHOZ (Staff Recommended): An AHOZ that is designed to complement State Density Law provides additional benefits to developers, in exchange for meeting one or more local priorities. As an example, projects may qualify for benefits above and beyond those offered by State Density Bonus Law, in exchange for respecting the City maximum height limit. o Key Advantages: As complementary AHOZ programs seek to “add” benefits Planning Commission Meeting of October 10, 2023 Page 4 of 13 PLN-2023-155 | Study Session on Housing Overlay Zoning Districts to those granted by State Density Bonus Law, such programs automatically account for changes to state law and require little to no maintenance as a result. As developers still retain all the benefits offered by State Density Bonus Law, complementary programs are often the most attractive option for developers and successful in producing affordable housing. o Key Disadvantages: As State Density Bonus Law allows for broad deviation from local standards and requirements, a complementary AHOZ would have less control over project design (i.e., potentially allowing for cookie- cutter design or the development of tall and boxy buildings) that may be of community interest or significance to protect and/or preserve. ➢ Staff Recommendation: In consideration of the key benefits and drawbacks of each approach, staff would recommend establishing an AHOZ that complements State Density Bonus Law. By relying on the requirements and incentives offered by State Density Bonus Law as a base, but offering additional benefits for projects that meet one or more local priorities, the program may achieve key priorities (see Table 1 – AHOZ Type Summary). As projects are developed, the City may also adjust the list of local priorities, and incentives offered in exchange, to ensure that the program remains competitive and utilized by developers – allowing for updates to the program to occur on an “as needed” basis. Table 1 - AHOZ Type Summary Type Key Advantages Key Disadvantage(s) Competitive Most Predictable (Focus on Control) Requires Significant Incentives, Frequent Maintenance Complementary (Staff Recommended) Requires Least Incentives (Focus on Priorities) Requires Appropriate Incentives to Offset Focused Priorities Policy Consideration #2: Establishing Local Priorities and Incentives (“Tradeoffs”) In developing an AHOZ, the City must also establish a list of local priorities and identify appropriate incentives to be offered in exchange. From prior discussions and feedback from the Commission and Council, the following list of potential priorities was identified: • Potential Priorities: o Adherence to Maximum Height Limits; o Housing for Special Needs Populations (e.g., low-income, veterans); o Compliance with Single-Family Residential Adjacency Standards; and o Developing Mixed-Use Projects along Commercial Corridors and in the Downtown. In exchange for meeting one or more priorities, the City will need to establish an appropriate, and competitive, set of incentives. As State Law already allows for broad deviation from local development standards and requirements, the City will need to Planning Commission Meeting of October 10, 2023 Page 5 of 13 PLN-2023-155 | Study Session on Housing Overlay Zoning Districts provide financial incentives, or increases/reductions to standards beyond those already provided for the AHOZ program to be successful. Examples of such incentives may include, but are not limited to, the following: • Potential Incentives: o Increased residential density or commercial floor area (i.e., density bonus); o Reduced, waived, or deferred payment of permit and impact fees; o Priority use of supportive housing funds; o Permitting developers to select the location and type of BMR housing units in their projects (i.e., allowing developers to concentrate all of their BMR units in less desirable locations within a development project); o Allowing for ministerial (i.e., by-right) permit processing; o Waive utility undergrounding requirements; o City funding of frontage improvements; and o Other financial incentives (i.e., covering the cost of transit passes). To help illustrate how incentives may be used to achieve local priorities, and interface with State Density Bonus Law, the following case study has been prepared (differences shown in yellow highlight): Standard Developer Option #1 (Pursue State Density Bonus) Developer Option #2 (Pursue City AHOZ) Concessions (Requirements) 10% available to lower-income households 10% available to lower-income households Comply with max. height limit. (i.e., priority) Incentives (Benefits) 20% Density Bonus 20% Density Bonus Reduced Parking Standards Reduced Parking Standards Unlimited Waivers Unlimited Waivers* (Excepting Height) 1 incentive per State Law (i.e., waive undergrounding) 2 “on-menu” incentives (i.e., waive undergrounding, & ministerial review) As illustrated in the example above, a developer complying with City maximum height limit (a local priority) would receive the same density bonus (20%) and reduced parking standards granted under state law, but instead of being limited to one (1) concession, would receive two (2) “on-menu” incentives identified as an appropriate benefit. ➢ Staff Recommendation: Under a complementary program model, it is recommended to focus on achieving only one or two of the priorities identified to ensure that the incentives offered in exchange remain competitive. Staff further Planning Commission Meeting of October 10, 2023 Page 6 of 13 PLN-2023-155 | Study Session on Housing Overlay Zoning Districts recommends including all the potential incentives identified as options for a developer to consider and structuring the program to allow for the developer to select from the options available based on what best serves the needs of their project (i.e., some projects may benefit from waiving utility undergrounding requirements, where others may not). Further, staff recommend establishing incentives that account for the project size and affordable housing produced to ensure that incentives remain competitive while also avoiding being too generous (i.e., when 20 percent or more of the units in a project with 50 or more units are made affordable to lower-income households, up to two incentives may be selected – where under state density bonus law, only one such incentive may be granted for a similar project). Table 2 - AHOZ Incentives and Concessions Summary Potential Priorities Potential Incentives Max Height Increased Density / Intensity Special Needs Housing Reduced, Deferred, Waived Fees Protection of Single-Family Adjacencies Priority Use of Supportive Funds Mixed-Use Development Selection of BMR Units Ministerial (“By-Right”) Permit Processing Waive Utility Undergrounding Req. Funding Support of Frontage Improvements Other Financial Incentives (i.e., City funded transit passes) Policy Consideration #3: Identification of Policy Area In addition to identifying a specific set of priorities and incentives, the City must also decide where in the City the AHOZ should be applied. Consistent with State Density Bonus Law, the AHOZ could be applied to qualifying projects Citywide or, alternatively, used as a tool to target the production of housing meeting local priorities in select areas of the community. Examples of potential planning and/or policy areas, that may be used to establish the AHOZ boundary include: • Potential Overlay Boundaries: o Applying the AHOZ Citywide; o Aligning the AHOZ with existing planning boundaries (e.g.; area plans, Priority Development Areas, other Overlays); and o Applying the AHOZ to specific land use designations (i.e., higher density land uses). ➢ Staff Recommendation: To maximize the effectiveness and use of the AHOZ, staff would recommend applying the AHOZ Citywide, excepting single-family areas (which may be separately addressed by SB 10 and other Housing Element programs), Planning Commission Meeting of October 10, 2023 Page 7 of 13 PLN-2023-155 | Study Session on Housing Overlay Zoning Districts and establish appropriate priorities and incentives based on location, product type, and/or density (i.e., in multi-family areas a possible incentive may be to grant an additional accessory dwelling unit, whereas in transit-oriented areas, a possible incentive may include providing City funded transit passes). II. Reuse Sites Housing Overlay In accordance with State Law (Government Code Section 65583.2(c)), nonvacant parcels included in the prior Housing Element planning period (i.e., 5th cycle), and vacant sites included in two or more consecutive planning periods (e.g., 5th and 4th cycle), are eligible for ministerial (i.e., by-right) permit processing when at least 20 percent of the units in the project are made affordable to lower-income households. For Campbell, the Housing Opportunity Site Inventory included 59 non-vacant reuse sites, and one (1) vacant reuse site that was included in two or more consecutive planning periods. These reuse sites primarily consist of a series of smaller properties, located south of E. Campbell Avenue, between the Downtown and the Pruneyard. To identify sites meeting these criteria, Housing Element Program H3-f, directs the establishment of a “Reuse Sites Overlay” (reference Attachment B – Reuse Sites Overlay) as follows: Exhibit A: Reuse Sites Overlay (Excerpt) ➢ Staff Recommendation: As a requirement of state law, there is no discretion in the selection of sites included in the Reuse Overlay, thus staff will proceed with the associated mapping and code amendments accordingly. Separately, however, staff recommend including sites subject to the Reuse Overlay, in the Affordable Housing Overlay and/or By-Right Housing Overlay, to maximize their effectiveness and utility in meeting the City’s housing needs and state requirements. Planning Commission Meeting of October 10, 2023 Page 8 of 13 PLN-2023-155 | Study Session on Housing Overlay Zoning Districts III. By-Right Housing Overlay As a consequence of adopting the 2023-2031 Housing Element and associated land use changes after the compliance deadline (January 31, 2023), Campbell was required to include a Program H-3e (Rezone for Lower-Income Shortfall) as part of its Housing Element to address the City’s lower-income housing “shortfall”. The City’s “shortfall”, is determined by adding all lower-income housing units assigned to the City under the 6th Regional Housing Needs Allocation (RHNA) cycle (i.e., 742 very- low & 434 low-income units) and subtracting any pipeline projects, baseline ADU production estimates, and existing capacity to build housing on sites at a densities greater than 30-units per acre (i.e., the minimum density presumed by state law to support the production of affordable housing). As the City’s prior General Plan did not include any sites with a density of 30-units per acre, the City’s lower-income housing “shortfall” was calculated as follows: Table 3 – Lower Income Housing Shortfall Lower-Income Unit Obligation (6th Cycle RHNA | 742 very-low + 434 low-income) 1,186 units Accessory Dwelling Production (8-year estimate based on past trends) -129 units Pipeline Projects (Low-Income Units of Pending Projects) -33 units Sites Supporting Low-Income Housing (No sites over 30/du acre; prior to January 31, 2023) -0 units Unit Shortfall 1,024 units To address the lower-income housing shortfall, cities typically have up to three years, following the adoption of the Housing Element, to establish a “By-Right Housing” Overlay meeting the requirements of state law (Gov. Code 65583.2(h) and 65583.2(i). However, as HCD encouraged the City to establish a schedule for the required rezoning to be completed “as early as possible”, Program H-3e committed the City to adoption of a “By- Right” Housing Overlay by the end of 2023. To comply with the requirements of Program H-3e and state law, the “By-Right Housing” Overlay must meet all of the following requirements. • Allow for ministerial (“by-right”) permit processing of projects within the Overlay when at least 20% or more of the units of a proposed development are to be made are affordable to lower income households; • Permit the development of exclusively residential uses (i.e., no mixed-use requirement) for sites included within the Overlay; • Provide sufficient sites to demonstrate a combined housing capacity equivalent to the City’s lower-income housing shortfall (i.e., 1,024 units); and • Only select sites that meet the following requirements: o Allow for the production of at least 16 dwelling units; o Have a density of at least 30 units per acre; Planning Commission Meeting of October 10, 2023 Page 9 of 13 PLN-2023-155 | Study Session on Housing Overlay Zoning Districts o Include a requirement to least 50% of the floor area of a mixed-use project to residential uses. As the “By-Right Housing” Overlay provides greater discretion to decide which sites to include (unlike the Reuse Overlay), the City needs to decide where the City is most comfortable allowing for ministerial review over affordable housing projects (no public hearings) and residential only development (eliminating mixed-use requirements). As a starting point, since sites included in the “Reuse Sites” Overlay will separately be required to provide for ministerial review and may be combined/overlapped with sites to be identified for inclusion in the “By-Right Housing” Overlay, staff recommends including “Reuse Sites” Overlay sites in the “By-Right Housing” Overlay. The following discussion focuses on three approaches/options that may be considered as the basis for site selections, with a focus on maximizing reuse sites, minimizing impact to public input, and preserving mixed-use requirements. In addition to identifying potential benefits and drawbacks of each approach, maps identifying affected properties have also been included for reference (for full size copies of the maps, please refer to Attachment C – Reuse Housing Overlay Options). By-Right Overlay Option #1: Reuse Sites + Highest Density (1,067 units / 29 sites) Under this approach, all of the reuse sites that are already subject to ministerial review (discussed under II. above) would be also included in the By-Right Overlay. Under Option 1, the By-Right Housing Overlay would include all eligible sites included in the Reuse Housing Overlay and the minimum number of high-density sites (e.g., sites starting at 34-units per gross acre and higher; Lloyd Square on E. Campbell Avenue) necessary to meet the City’s lower-income housing shortfall of 1,024 units. In total, Option 1 would provide for the ministerial review of 1,067 units on 29 sites. o Key Advantages: By maximizing Reuse Sites, the total number of properties subject to ministerial review is minimized. o Key Disadvantages: The higher density sites of community significance, such as former Fry’s Electronics, will be eligible for ministerial permit processing. Additionally, Option 1 would allow for a significant number of mixed-use sites to be developed exclusively as residential uses. Planning Commission Meeting of October 10, 2023 Page 10 of 13 PLN-2023-155 | Study Session on Housing Overlay Zoning Districts Figure 1: By-Right Housing Overlay - Option 1 By-Right Overlay Option #2: Reuse Sites + Lowest Density (1,039 units / 27 sites) Similar to Option 1, Option 2 would include all eligible sites in the Reuse Housing Overlay, but instead of targeting high-density sites, include the minimum number of low-density sites (sites starting at 26-33 units per gross acre; First Congressional Church on Hamilton) necessary to meet the City’s lower-income housing shortfall of 1,024 units. In total, Option 2 would provide for the ministerial review of 1,039 units on 27 sites. o Key Advantages: Similar to Option 1, by maximizing Reuse Sites, the total number of properties subject to ministerial review is minimized. o Key Disadvantages: By including lower-density sites, projects located closer to single-family neighborhoods would be subject to ministerial review. Similar to Option 1, Option 2 would also allow for a significant number of mixed-use sites to be developed exclusively as residential uses. Planning Commission Meeting of October 10, 2023 Page 11 of 13 PLN-2023-155 | Study Session on Housing Overlay Zoning Districts Figure 2: By-Right Housing Overlay Option 2 – Reuse Sites + Lowest Density By-Right Overlay Option #3 (Staff Rec.): Protect Mixed-Use (1,029 units/ 17 sites) Option 3 aims to protect mixed-use sites. Under this option, only one mixed-use site (located in the Campbell Plaza Shopping Center – Safeway Site on Winchester Blvd.) would be impacted. o Key Advantages: Protects nearly all sites with a mixed-use requirement. o Key Disadvantages: Results in a greater number of properties subject to ministerial review, as it does not overlap to the same degree as sites included in the Reuse Sites Overlay (only one reuse site is included in this option; located in the Campbell Plaza Shopping Center). Planning Commission Meeting of October 10, 2023 Page 12 of 13 PLN-2023-155 | Study Session on Housing Overlay Zoning Districts Figure 4: By-Right Housing Overlay Option 3 – Reuse Sites + Greatest Capacity ➢ Staff Recommendation: In consideration of the three options presented, staff recommends Option 3, as it best protects the City’s interest in mixed-use development. While this option would result in a greater number of sites being subject to ministerial review, staff’s recommendation recognizes that ministerial review is already possible under separate provisions of state law (i.e., SB 35). By protecting mixed-use development, the City can also better achieve the desired form and character for the community while also enhancing its ability to support essential City services through the collection of sales tax. Table 4 – By-Right Housing Overlay Option Summary Option # Description Key Advantages Key Disadvantage(s) 1 Reuse Sites + Highest Density Preserves Greater Discretion of Projects in Low-Density Residential Neighborhoods Loss of Discretionary Review of Projects in Higher Density Areas; Does not Protect Mixed-Use 2 Reuse Sites + Lowest Density Preserves Greater Discretion of Higher Density Areas Loss of Discretionary Review of Projects in Residential Neighborhoods; Does not Protect Mixed-Use 3 Preserve Mixed-Use Protects Mixed-Use Greater Number of Sites Allowing Ministerial Review IV. Zoning Code and Zoning Map Amendments To effectuate the new Housing Overlay zoning districts, the following amendments to the Zoning Code and Zoning Map will be required: Zoning Code Amendments: Chapter 21.14 (Overlay/Combining Districts) of the Zoning Code will be updated to include three new sections outlining the purpose and scope of each Housing Overlay zoning district (reference Attachment D – Draft Zoning Code Amendments). Initial drafts of proposed text amendments have been included for Planning Commission Meeting of October 10, 2023 Page 13 of 13 PLN-2023-155 | Study Session on Housing Overlay Zoning Districts reference. Direction on key policy considerations, outlined in this report, will be reflected in a final draft of the code for review and consideration later this year (see “Next Steps”). Zoning Map Amendments: To identify the specific sites and/or areas subject to the new Housing Overlay zoning districts, a new Zoning Map will need to be adopted. As part of the update, staff intends to address inconsistencies between the General Plan and Zoning Map, which occurred as part of the April 18, 2023, updates (see “Background). Specifically, the map will be updated to correct mismatches between the land use designation and zoning of properties where renaming occurred (i.e., “High-Density Residential” was renamed “Medium-High Density Residential” to provide for the new density ranges established with the update). NEXT STEPS Following the subject meeting, staff will hold a study session with the City Council on October 17, 2023. Based on the feedback and direction provided on the AHOZ, staff will develop a refined list of potential priorities and concessions and solicit feedback on their effectiveness from developers (including affordable housing developers). Further, staff will solicit feedback from property owners of sites identified for potential inclusion in a Housing Overlay. Accounting for this feedback, staff will return with completed Ordinances and Overlay Zones for review and adoption later this year. FISCAL IMPACTS There are no direct fiscal impacts associated with this item. Prepared by: _________________________________ Stephen Rose, Senior Planner Approved by: _________________________________ Rob Eastwood, AICP, Community Development Director ATTACHMENTS A. Affordable Housing Overlay Zone Research B. Reuse Sites Overlay Map C. By-Right Housing Overlay Options D. Draft Zoning Code Amendments (Chapter 21.14) To: Planning Division Date: September 15, 2023 From: Hannah Meeks, Planning Intern Subject: Affordable Housing Overlay Zones (AHOZs) – Research & Recommendations This memorandum serves to summarize research on the use of Affordable Housing Overlay (AHOZ) programs in California and provide recommendations for implementation of an AHOZ program in Campbell. The research summarized in this memorandum was compiled between June 26th and July 25th, 2023, and included eleven cities (reference Attachment A). Out of the eleven cities surveyed, the programs implemented by Menlo Park, Tiberon, and Milpitas, were found to be the most comprehensive, and as a result, were solicited for feedback on the successes/challenges implementing their programs as part of this study (reference Attachment B). A Google Survey was also distributed to HCD Listserv to gather additional information and feedback about other AHOZ programs, in which seven cities responded (reference Attachment C). In addition to the research on AHOZ programs, this memo also provides a summary of a recent relevant court case.1 PURPOSE The City of Campbell’s 2023-2031 Housing Element included Program H-1c which outlines a schedule for the creation of an Affordable Housing Overlay Zone (AHOZ) with the goal of improving housing affordability. Consistent with the implementation timeline, this memo was prepared to research the use of AHOZs in the Bay Area by mid-2023 (see Table 1; Timeframe). Goal/Policy/Program Timeframe Program H-1c: Affordable Housing Overlay Zone Establish an Affordable Housing Overlay Zone to incentivize the development of housing meeting priorities. Incentives to be incorporated into the AHOZ may include: •Allowing an increase in density over that otherwise allowed under State Density Bonus Law. •Allowing a reduction in parking standards consistent with those provided under State Density Bonus Law. •Providing for Ministerial Review. Other incentives to be evaluated in developing the AHOZ include providing for a)building, planning, and/or impact fee reductions or waivers b)City funding support for frontage improvements. Research other AHOZs in the Bay Area and conduct developer interviews on meaningful incentives (mid 2023); Develop draft AHOZ and conduct public hearings (Fall 2023); Adopt AHOZ (Spring 2024) Table 1 – Program H-1c from Campbell’s 2023-2031 Housing Element 1 Martinez vs City of Clovis - reference Attachment D Community Development Department Planning Division MEMORANDUM Attachment A Memorandum – Affordable Housing Overlay Zones (AHOZs) Page 2 of 7 WHAT IS AN AHOZ An Affordable Housing Overlay Zone, or AHOZ, is a zoning tool used by local governments in California to encourage the development of affordable housing projects. The establishment of an AHOZ involves the identification of areas where it will apply, and the development of policies and requirements that overlay existing zoning. Within a defined geographical or policy area, an AHOZ provides regulations for qualification that typically focus on achieving local policy objectives and lays out incentives for developers to choose from in exchange for meeting those policy objectives. Common features in AHOZ are listed below. 1. Designation: Local governments identify specific areas or zones within their jurisdiction where the Affordable Housing Overlay Zone will be applied. These areas are typically chosen based on various criteria such as proximity to public transportation, existing infrastructure, and potential for affordable housing development. 2. Incentives: The Affordable Housing Overlay Zone often offers developers certain incentives to encourage them to build affordable housing projects. These incentives may include density bonuses, reduced parking requirements, streamlined permitting processes, and potential fee waivers. 3. Affordability Requirements: Developers seeking to take advantage of the incentives within the overlay zone are usually required to allocate a certain percentage of the units in their projects as affordable housing. The level of affordability (e.g., low-income, moderate-income) may vary depending on local regulations. 4. Affordable Housing Funds: In some cases, local governments may establish affordable housing funds generated from fees collected from developers who choose not to include affordable units in their projects. These funds can be used to support affordable housing initiatives within the city or region, including projects within the AHOZ. KEY POLICY DECISIONS The following discussion serves to identify the most common, and important, policy decisions that need to be made when establishing an AHOZ. Policy Consideration 1: Should the AHOZ be structured to compete with, or complement incentives and requirements provided by State Density Bonus Law? The State Density Bonus Law (Government Code Sections 65915-65918) is a statewide policy that grants certain incentives to developers who include affordable housing units of a certain percentage and/or senior housing in their projects. As the law is implemented at a statewide level, local governments may find the law inadequate in addressing their unique housing needs or preferences. Table 2 below compares the key differences between an AHOZ and the provisions of State Density Bonus Law. The City of Agoura Hills, Navato, Chino, Alameda, Menlo Park, Boyle Heights, and Foster City have implemented their AHOZ programs to complement the density bonus law. This means allowing developers to receive additional incentives when they exceed the requirements of the state density bonus law. The cities of Buellton, Tiberon, San Diego, Capitola, Corte Madera, Milpitas, Fremont, Los Gatos, and Palo Alto chose to have their AHOZ programs compete with the state density bonus law. This means developers have the option to choose either the density bonus program or the AHOZ program independently. Table 3 displays a chart describing the key pros and cons of each option. Memorandum – Affordable Housing Overlay Zones (AHOZs) Page 3 of 7 Provision AHOZ Density Bonus Law Tailored Zoning Designation: Allows local authorities to target efforts and areas where affordable housing is in the greatest demand. X Customized Incentives: Local governments can customize the package of benefits to better suit the needs and priorities of their community. X Customized Affordability Thresholds: The city can set its own affordability criteria, potentially accommodating a broader range of income levels, and making the housing even more accessible to a diverse population. X Streamlined Process: AHOZs can speed up the permit process to incentivize developers. X Community Input: AHOZs are established at the local level, allowing for greater community input, and tailors the program to the unique needs and preferences of the residents. X Local Funding: AHOZs can create dedicated local funding mechanisms to support affordable housing initiatives. This could involve leveraging local funds, grants, or other financial resources to complement the state’s funding efforts. X Mandated by State Law: Density Bonus Law mandates a density increase at a designated percentage, and a set list of incentives and waivers to encourage developers to build more affordable and senior housing in all areas. Given that State Density Bonus law is mandated at a state level, requirements are also consistent across jurisdictions and more commonly applied and understood by developers. X Table 2 – AHOZ vs State Density Bonus Law Pros of Complementing Density Bonus Law Cons of Complementing Density Bonus Law Developers may have an increased number of incentives. Having both regulations may be confusing for the developer in understanding what their options are. There may be increased affordable housing development because only one overall program will be utilized and worked more closely with city staff. Planners may need extra time to make sure all incentives and programs are internally consistent. The AHOZ incentives and tradeoffs may be tailored towards the city priorities, therefore the developments could line up with the city’s character and long-term goals more closely. Pros of Competing with Density Bonus Law Cons of Competing with Density Bonus Law The developer may have one clear incentive path to follow. Developers may have fewer options for incentives. It could be easier to alter the AHOZ when it is a singular entity. There may be a lack of incentives to offer that the density bonus law does not already offer. Memorandum – Affordable Housing Overlay Zones (AHOZs) Page 4 of 7 Table 3 - Complementing vs Competing State Density Bonus Law PC 1: City Feedback/Observations It appears there is a division among cities, with some choosing to complement (7) and others opting to compete (9) with the density bonus law. However, cities like Menlo Park have indicated that they have transitioned their AHOZ program to complement the law. Menlo Park was a city who was solicited for feedback, and they noted that will clarify that their AHO program can be combined with the state density program, allowing for developments of 100 units or more.  Recommendation on PC 1: For Campbell, the complementary option is recommended because it could ensure greater adaptability over time, especially as new housing laws come to fruition. It could also have the potential to keep the development process in the hands of the city’s control longer and the incentives and tradeoffs could be tailored to the city priorities therefore potentially lining up with the cities long term goals and community characteristics more closely.  Menlo Park exemplifies aspects of this policy consideration and has their program thoroughly outlined and could be referenced as a model ordinance. Policy Consideration 2: Establishing Local Priorities and Incentives (Tradeoffs) Priorities/Criteria to Qualify One of the most significant policy decisions, in the development of an AHOZ, is to determine the specific local priorities required to qualify (i.e., provide housing for a special needs population, compliance with a specific development standard) and suite of incentives that will be offered in exchange (i.e., reduced impact fees, expedited permit processing). For instance, Menlo Park requires that 25% of units be allocated to low/extremely low-income individuals, while Milpitas allocates 15% of units to extremely low- income residents for residential projects with 10 or more units. Foster City stood out in that their AHOZ focused on providing affordable housing for seniors. Additionally, most cities have defined qualifying conditions, or priorities, to be eligible for incentives offered by their AHOZ program. For example, Tiburon includes a provision specifying that a percentage of units must be reserved for special needs populations. The qualifications for the three contacted cities are listed in Attachment B for reference. PC 2: Priorities City Feedback/Observations Milpitas updates involve reducing the commercial floor area ratio and increasing the maximum residential density to support the development of below-market-rate housing, thus indirectly increasing affordable housing. Additionally, they are considering incentivizing only 100% affordable housing and limiting the affordable incentives related to relaxed development standards, freeing developers to request waivers or concessions on other development standards.  Recommendation on PC 2 (Priorities/Criteria to Qualify): For Campbell, priorities may include a max height of 75 feet, the protection of trees, ensuring commercial uses on the ground floor of affordable housing projects, and keeping a minimum percentage of open space even if a reduction is allowed. Qualifications for the AHOZ program may include developers agreeing to produce a certain percentage of affordable units. Memorandum – Affordable Housing Overlay Zones (AHOZs) Page 5 of 7  The following qualifications for the AHOZ program may be considered. Require affordable housing to be constructed in a single phase, rather than multiple phases, and allow the transfer of square footage within units. These approaches could help expedite the development process, reduce regulatory burdens, and increase the number of affordable units built. To ensure fair access to amenities and services, affordable units could be evenly distributed within the development project. It is recommended for Campbell to also define the maximum number of incentives developers can use, taking cues from Milpitas (up to two waivers) and Los Gatos (up to four concessions) as examples. Campbell may also require a certain percentage of affordable units per project. These policies could offer clarity for developers and assurance that these units will be constructed.  Milpitas and Tiberon exemplify aspects of this policy consideration and have their programs thoroughly outlined and could be referenced as a model ordinance. Incentives Offered in Exchange Beyond establishing priorities, cities have outlined incentives they are willing to offer in exchange for more housing. One common incentive listed by 4 of the 11 cities is increasing the height limit for buildings. The specific incentives used by each city are detailed in Attachment A. When deliberating potential incentives, it is imperative to acknowledge that this roster of incentives does not constitute an all-or-nothing proposition. Instead, it may entail a partial reduction, such as a reduction of 25% from the standard, rather than a complete elimination. PC 2: Incentives City Feedback/Observations Milpitas mentioned that providing additional incentives beyond those already outlined in the Density Bonus Program is challenging. They highlighted that if they were to offer supplemental density bonuses for exceeding AHO requirements, the added density would need to be significantly higher to effectively incentivize developers. Moreover, the relaxed development standards they implemented seemed to be ineffective, as developers could opt for requesting waivers and concessions through the Density Bonus Program instead.  Recommendation on PC 2 (Potential Incentives): Incentives may include increasing floor area ratio, parking reductions, setback reductions, reductions of common/private open space (can include reduced landscaping requirements - Milpitas, Palo Alto), fee waivers such as planning and engineering application fees, building plan check and inspection fees, construction mitigation fees), increased max building coverage/allowable paving, reduced restrictions on building types, clustering of affordable units within a project, and waiving development standards in exchange for meeting local priorities.  Milpitas and Menlo Park serve as noteworthy examples illustrating key facets of this policy deliberation. Their meticulously detailed programs could be cited as examples of a model ordinance. Policy Consideration 3: Location Through an AHOZ, a local jurisdiction may promote housing production in specific areas of the community. The cities surveyed, target the production of housing in various ways, described below. Previous Designation Memorandum – Affordable Housing Overlay Zones (AHOZs) Page 6 of 7 Buellton and Foster City have elected to designate their affordable housing sites in advance. This implies that, within the framework of their AHOZ program, the affordable housing locations have already been predetermined, and potentially no other prospective housing sites can be included in the program without prior discussion and approval. Geospatially Located Geospatially situating the AHOZ program offers a range of strategic possibilities. One such possibility involves aligning the program with distinct area plan boundaries, as exemplified by Menlo Park, which applies the program within their El Camino Real and Downtown specific plan areas. Alternatively, this spatial approach could be applied to target specific areas within the city, including those in close proximity to transit hubs or falling within predefined land use designations. In the case of Menlo Park, their program is specifically tailored to properties zoned as R-4-S (AHO high-density residential, special—affordable housing overlay). Policy Locations The selection of AHOZ housing sites may also be determined through the utilization of TCAC (Tax Credit Allocation Committee) eligibility criteria or demographic data, with a focus on prioritizing underserved communities and individuals. PC 3: City Feedback/Observations Menlo Park is in the process of extending its overlay to encompass opportunity sites and R-3 sites located in proximity to Downtown and within high resource areas. Meanwhile, Milpitas is actively engaged in the revision and enhancement of their mixed-use zoning districts.  Recommendation on PC 3 (Location): Due to the small size of Campbell, it is recommended to geospatially map the where the AHOZ program will be applied. It is recommended to consider properties within a commercial-corridor mixed-use zone, transit-oriented mixed-use designation, medium/high density development zones, and/or areas within priority development zones. These zones, including areas designated for multi-family development, planned development zones, or special project areas (e.g., East Campbell Master Plan, Hamilton Area Precise Plan or Winchester Boulevard Master Plan), could offer promising opportunities to accommodate a larger population. Importantly, these choices align with the strategies adopted by the cities examined in this research.  In the event the City of Campbell opts for precise site selection for the AHOZ, it is advisable to incorporate explicit design guidelines within the program. This could become especially pertinent if these guidelines deviate from the regulations inherent to the underlying zoning framework. Such an approach could mitigate potential confusion in regulatory interpretation and ensure a streamlined implementation of the AHOZ program.  Menlo Park exemplifies aspects of this policy consideration and has their program thoroughly outlined and could be referenced as a model ordinance. 1. Attachment A – Review of Adopted Affordable Housing Overlay Zones Memorandum – Affordable Housing Overlay Zones (AHOZs) Page 7 of 7 2. Attachment B – Qualifications from Menlo Park, Tiberon, and Milpitas 3. Attachment C – Survey Results 4. Attachment D – Martinez vs City of Clovis Attachment A Review of Adopted Affordable Housing Overlay Zones Incentive Menlo Park Tiberon Los Gatos Milpitas Corte Madera San Diego Capitola Boyle Heights Foster City – Senior Housing Fremont Palo Alto Floor Area Ratio Increase Increase by amount of density increase as well as additional 5% Not to exceed 50% of the max FAR for commercial space in mixed use zoning Averaging But no specifics Max of 2.4 FAR Height & Number of Stories Project = 45% density bonus gets max 4 stories + no more than 48’ Project = > 45% density bonus gets 5 stories + no more than 60’ Waivers not exceed 20% of max zoning height limits and not exceed general plan height limits No minimum bu ilding site area requirement Increased maximum building height and /or stories. Height up to 50 feet except within 50 feet of residential zone Parking Reduction Studio = 0.8 space 1Bed = 1 space 2 Bed or more = 1.5 space Senior housing = 0.8 or less Near Station = minus 0.2 spaces Reduced within reason (shared parking, joint use, off-site parking) Reduction to one space per unit = seniors disabilities. Reduction to one (1) space per unit for development s within one- quarter (¼) mile to the proposed Max 20% Averaging but no specifics Off-street parking Reduce ratio to 0.75 spaces per unit except where precluded by state law Attachment A Review of Adopted Affordable Housing Overlay Zones Incentive Menlo Park Tiberon Los Gatos Milpitas Corte Madera San Diego Capitola Boyle Heights Foster City – Senior Housing Fremont Palo Alto Long Term Biking – no more than 0.5 per unit Electric Vehicle = reduced by 50% Vasona Light Rail Station. Setback Reduction Required setbacks reduced to 5’ Exception: When an AHO project parcel is next to a parcel zoned for single- family residential the underlying zoning requirement still applies Any two property setbacks may be reduced by up to 50% Not to exceed 50% of minimum required setback The minimum se tbacks from property lines shall be determined by the city through the design permit process Reduced minimum lot setback Reduction of common/ private open space Open Space may be reduced up to 50% Also said minimum open space reduced 10% Reduced landscaping requirement s Reduced minimum outdoor and/or private outdoor living area. Landscape and open space areas may be located on or above the ground level, and Attachment A Review of Adopted Affordable Housing Overlay Zones Incentive Menlo Park Tiberon Los Gatos Milpitas Corte Madera San Diego Capitola Boyle Heights Foster City – Senior Housing Fremont Palo Alto may include balconies, terraces, and rooftop gardens Fee Waivers Project = 50% low income or 20% very low gets all processing fee waiver Waive or reduce town application and developme nt fees Also: Constructi on subsidies Assistance in securing public financing – bonds/tax credits Processing Fee reduction A. Planning and engineering application fees (but not Town consultant fees). b. Building plan check and inspection fees. c. Construction mitigation fee. Developmen t Processing Fees Developmen t Impact Fees Administrativ e Fees Traffic Impact Mitigation fees Town council may waive, reduce, or rebate fees for processing the various applications for development in the AHO Waives expedite fees Did not directly say fees Yes but no specifics Increased Max building coverage/ allowable paving Coverage Increased by 5% Increased lot coverage increased up to 50% The city shall determine the maximum b uilding coverage for Up to a 25% increase in Building Coverage limits Increased maximum lot coverage Attachment A Review of Adopted Affordable Housing Overlay Zones Incentive Menlo Park Tiberon Los Gatos Milpitas Corte Madera San Diego Capitola Boyle Heights Foster City – Senior Housing Fremont Palo Alto the proposed project through the design permit process Priority Processin g Give qualifying projects highest priority processing Projects the highest processing priority for planning entitlements, building plan check and building inspection. Yes but no specifics Yes but no specifics Architectu ral Design Variation Affordable units allowed to vary in design and square footage. Also encourage d shared common spaces Attachment A Review of Adopted Affordable Housing Overlay Zones Incentive Menlo Park Tiberon Los Gatos Milpitas Corte Madera San Diego Capitola Boyle Heights Foster City – Senior Housing Fremont Palo Alto Flexibility in Developm ent Standards Higher density and relaxation and/or flexibility in the developme nt standards in RMP/AHO Max height 38ft Reduction in dwelling unit size In a residential project which contains attached multi-story living units, affordable units may contain only one story. Remove max dwelling unit density Interior Amenity May be reduced within reason to reduce costs Reduced interior or exterior amenities Affordable units may have different interior finishes and features than market- rate units in the same residential project Attachment A Review of Adopted Affordable Housing Overlay Zones Incentive Menlo Park Tiberon Los Gatos Milpitas Corte Madera San Diego Capitola Boyle Heights Foster City – Senior Housing Fremont Palo Alto Density Averaging Permit higher densi ty levels in certain project portions in exchange for advantageo us project design features Yes but no specifics Dwelling unit density bonus Lot Width Reduction Up to 25% decrease Reduced minimum l ot size and/or dimension Reduced Minimum Building Separatio n Yes but no specifics Reduced street standard, such as reduced minimum street width. Yes but no specifics # of Incentives 7 6 5 8 1 1 5 5 5 9 4 Additional Cities Researched & Surveyed No AHO: Gilroy, Larkspur AHO or In Progress: Concord, Novato, Chino, Alameda, Agoura Hills, Buellton Attachment B Qualifications from Menlo Park, Tiberon, and Milpitas Attachment B Menlo Park Apply to the Menlo Park El Camino Real and Downtown specific plan area and those properties zoned R-4-S (AHO) (high density residential, special—affordable housing overlay) Tiberon Milpitas Must Comply with All Below Accommodate full range of incomes Minimum of 5% very-low-income, 10% low-income, and 10% moderate-income housing units Moderate-income rental units shall be counted only if they are below ninety percent of the median income. On smaller sites that would yield ten or fewer total units at the minimum allowable density, the affordable component shall be reduced from 25% to 20% of total units. At least 50% of the required affordable units shall be low income or very low income. The AHO requires all new residential projects with ten or more units to develop 15% of the total number of units as affordable units At least 25% affordable units for low and/or extremely low income OR At least 15% affordable units for extremely low income Ensure that affordable units are deed- restricted for a period of not less than 55 years, and in perpetuity, if possible, to ensure affordable resale and rents If an applicant provides affordable units in excess of 20% of the total number of units in the project the city provides the incentives Qualification for AHO + Density Bonus + Incentives Those projects located in the Menlo Park El Camino Real + Downtown specific plan area that qualify for the AHO shall be eligible for the density bonus and incentives identified in this chapter. The density bonus applies only to the residential component of a project in the Menlo Park El Camino Real and Downtown specific plan Provide a percentage of units for special needs populations in compliance with section 16-70.030 (general inclusionary requirements). Attachment B Qualifications from Menlo Park, Tiberon, and Milpitas area and does not act to entitle a project to more office, retail or other nonresidential density. 5 to 100 residential dwelling units: = a minimum of 21% low-income units or 12% very low-income units Comply with Overlay Development Standards If smaller project proposes to provide both low and very low-income units: the minimum percentage of units to qualify for the AHO shall be more than the additive amount necessary to achieve 35% density bonus 100 Residential and Above: provide a minimum of 21% low-income units or 12% very low-income units. If a larger project proposes to provide both low and very low-income units, the minimum percentage of units to qualify for the AHO shall be the additive amount necessary to achieve more than 35% density bonus. The low or very low income percentage to qualify for the AHO shall not include the below market rate units required to be provided by for-sale residential development projects and commercial development projects pursuant to the city’s below market rate housing program, Chapter 16.96. Attachment C Survey Results Attachment C Survey Results Email Jurisdictio n Jurisdiction Size Tell us about your AHO - Is your AHO designed to compete with (as an alternative to) or complement (add to) state density bonus law? Does your AHO have specific criteria that must be met to qualify? Which of the following incentives are offered by your AHO? How many projects have utilized your AHO (including pending)? Which of the following incentives have developers preferred? Please share your experiences and any lessons learned. What would you improve about your AHO? scott.watkins@cityof concord.org City of Concord 100,000 or greater Our AHO is under development, and this is one of the questions for our City Attorney. Must be identified in our housing element Ministerial approval (may add other incentives) 0 Our AHO is under development. Please share the responses of your survey We have scanned 28 jurisdictions AHO throughout California for their AHO policies and found a wide variety of approaches. Would be great to see a model AHO policy developed, and a toolkit written to discuss how jurisdictions could adapt and implement AHOs. rnesovic@agourahills city.org City of Agoura Hills 25,000 to 49,999 Complements state density bonus law (i.e., state density bonus law benefits + more). • Must be located within a specific area (i.e., proximity to transit, within a specific area plan or land use designation). • Must exceed • Expedited permit processing. • Permit fee waivers or reductions. • Reduced 6 to 10 • Expedited permit processing. • Housing density or unit count bonus. • Height and floor area ratio bonuses. One lesson learned is that during the public review phase of the housing element and/or overlay zone, it is very important to communicate loudly and often about Attachment C Survey Results Email Jurisdictio n Jurisdiction Size Tell us about your AHO - Is your AHO designed to compete with (as an alternative to) or complement (add to) state density bonus law? Does your AHO have specific criteria that must be met to qualify? Which of the following incentives are offered by your AHO? How many projects have utilized your AHO (including pending)? Which of the following incentives have developers preferred? Please share your experiences and any lessons learned. What would you improve about your AHO? local inclusionary ordinance and/or state density bonus law affordability requirements. • Must satisfy one or more specific development standards or policy objectives. • Must satisfy specific environmental and sustainability requirements. • Must include specific tenant protection parking requirements. • Housing density or unit count bonus. • Height and floor area ratio bonuses State Density Bonus Law. If the overlay requires a maximum of three story buildings and a handful of developers waive the three-story height requirements, elected officials and the public will likely be very upset when they see applications for 4 or 5 story buildings and can't do much about it. Additionally, in my experience, always expect that the developer will opt for a 50% density bonus. This means that they will have to provide at least 24% low-income or Attachment C Survey Results Email Jurisdictio n Jurisdiction Size Tell us about your AHO - Is your AHO designed to compete with (as an alternative to) or complement (add to) state density bonus law? Does your AHO have specific criteria that must be met to qualify? Which of the following incentives are offered by your AHO? How many projects have utilized your AHO (including pending)? Which of the following incentives have developers preferred? Please share your experiences and any lessons learned. What would you improve about your AHO? measures (i.e., tenant relocation assistance, rent control measures). • Other: Our affordable housing overlay gives an increase in allowable density and a ministerial permit pathway, so long as the developer provides at least 10% VLI and 10% LI units. 15% very low- income. It may be beneficial to create development standards that can be reasonably met with a 50% increase to the allowable base density, that way the public and elected officials know that their development standards will be met the majority of the time. cindy.mccormick@cit yofgilroy.org Gilroy 50,000 to 99,999 No AFO. Exploring incentives beyond state law (complement + more) Will likely be tied to ELI housing, maybe farmworker housing Exploring. Will be interested in your findings 0 N/A We are only exploring at this time. I am interested in your results. Thanks Stephen! Attachment C Survey Results Email Jurisdictio n Jurisdiction Size Tell us about your AHO - Is your AHO designed to compete with (as an alternative to) or complement (add to) state density bonus law? Does your AHO have specific criteria that must be met to qualify? Which of the following incentives are offered by your AHO? How many projects have utilized your AHO (including pending)? Which of the following incentives have developers preferred? Please share your experiences and any lessons learned. What would you improve about your AHO? esemonian@cityoflar kspur.org City of Larkspur 10,000 to 24,999 We have no adopted one yet but plan to adopt one none yet • Housing density or unit count bonus. • By right approval 0 not adopted yet Please share your survey results. smarshall@novato.or g City of Novato 50,000 to 99,999 Complements state density bonus law (i.e., state density bonus law benefits + more). Must satisfy one or more specific development standards or policy objectives. • Reduced parking requirement s • Housing density or unit count bonus. 1 to 5 • Reduced parking requiremen ts. • Housing density or unit count bonus. I cannot recommend AHOs based on current housing law, particularly state density bonus law. While I think its commendable that agencies offer their own incentives to construct affordable housing through AHOs, the reality is these overlays raise the base density level against which a density bonus is calculated, and the Attachment C Survey Results Email Jurisdictio n Jurisdiction Size Tell us about your AHO - Is your AHO designed to compete with (as an alternative to) or complement (add to) state density bonus law? Does your AHO have specific criteria that must be met to qualify? Which of the following incentives are offered by your AHO? How many projects have utilized your AHO (including pending)? Which of the following incentives have developers preferred? Please share your experiences and any lessons learned. What would you improve about your AHO? accompanying standards are easily overcome by concessions/incentiv es and waivers/reductions. That is to say, an AHO is likely as effective as the assignment of a traditional residential land use classification when factoring for application of a density bonus. I believe agencies are better off retaining their traditional land use/density assignments, developing robust objective development standards, and Attachment C Survey Results Email Jurisdictio n Jurisdiction Size Tell us about your AHO - Is your AHO designed to compete with (as an alternative to) or complement (add to) state density bonus law? Does your AHO have specific criteria that must be met to qualify? Which of the following incentives are offered by your AHO? How many projects have utilized your AHO (including pending)? Which of the following incentives have developers preferred? Please share your experiences and any lessons learned. What would you improve about your AHO? letting the development community decided whether to increase affordability to achieve a higher percentage bonus. mhitz@cityofchino.o rg City of Chino 50,000 to 99,999 Complements state density bonus law (i.e., state density bonus law benefits + more). • Must exceed local inclusionary ordinance and/or state density bonus law affordability requirement s. • Must satisfy one or more specific developmen t standards • Housing density or unit count bonus. • Height and floor area ratio bonuses. 1 to 5 • Housing density or unit count bonus. • Height and floor area ratio bonuses. • Relaxed use requiremen ts (i.e., allowing conditional uses as We have both a Mixed Use Overlay (MUO and an AHO), both require a certain density range and inclusionary percentage. Until we have a few projects in practice, it is difficult to know how well the Objective Development standards will be implemented. Attachment C Survey Results Email Jurisdictio n Jurisdiction Size Tell us about your AHO - Is your AHO designed to compete with (as an alternative to) or complement (add to) state density bonus law? Does your AHO have specific criteria that must be met to qualify? Which of the following incentives are offered by your AHO? How many projects have utilized your AHO (including pending)? Which of the following incentives have developers preferred? Please share your experiences and any lessons learned. What would you improve about your AHO? or policy objectives. permitted uses). atai@alamedaca.gov City of Alameda 50,000 to 99,999 Complements state density bonus law (i.e., state density bonus law benefits + more). • Must be located within a specific area (i.e., proximity to transit, within a specific area plan or land use designation. • Must satisfy one or more specific developmen t standards or policy objectives. • Must include • Reduced parking requirement s. • Housing density or unit count bonus. • Height and floor area ratio bonuses. 0 • Permit fee waivers or reductions. • Impact fee waivers or reductions. • Housing density or unit count bonus. Our AHO came into effect this year (2023). It is part of Alameda's Backyard Infill strategy to induce additional units beyond ADUs. Due to slowdown in the housing market we have not seen development interest in this opportunity. Hoping things will change in the near future. Attachment C Survey Results Email Jurisdictio n Jurisdiction Size Tell us about your AHO - Is your AHO designed to compete with (as an alternative to) or complement (add to) state density bonus law? Does your AHO have specific criteria that must be met to qualify? Which of the following incentives are offered by your AHO? How many projects have utilized your AHO (including pending)? Which of the following incentives have developers preferred? Please share your experiences and any lessons learned. What would you improve about your AHO? specific tenant protection measures (i.e., tenant relocation assistance, rent control measures. Attachment D Martinez vs City of Clovis Attachment D MARTINEZ v. CITY OF CLOVIS When the City of Clovis implemented their AHOZ, Martinez raised an argument stating that the new zoning overlay did not align with the requirements of the Housing Element Law, specifically concerning the minimum density stipulation. The contention was that the overlay retained the lower base densities associated with single-family and multi-family zoning. This, in turn, permitted developers to opt for the lower density alternative. On April 7th, 2023, the courts concurred with this perspective, finding that the city had not replaced their existing base density with the mandated 20 units per acre density. Consequently, the city neglected to take actions that would promote the availability of affordable housing for its residents, leading to a failure in meeting the obligation to "affirmatively further fair housing." Campbell has effectively addressed this matter by formally codifying their rezoning densities to accommodate for the increase in mandatory housing densities. Additionally, they have included the required Regional Housing Needs Allocation (RHNA) density targets directly within their zoning ordinances. Æb Æb Æb Æb Æb §¨¦17 §¨¦17 V A NDUSE N LN ARCRDS WINCHESTER BLVDCAPRI DRCAMBRIANDR DELL AVEEL P ATIO DR UNION AVESAN TO M AS EXPYMARILYNDRCARLYN AVEW HACIENDA AVE PAYNE AVE LLEWELLYN AVECENTRAL PARK D R SWINCHESTERBLVDALMARIDA DRCREEK SIDEWA YHAZEL AVE N MIDWAY STLOT TIELNB EDA LP A R KC T CURTNERA VE BURROWS RDEMOZARTAVE UNION AVEAINSLEY PARK DRVIRGINIA AVEE RINCONAVE CYPRESS LN SMIDWAYSTSUNNYSIDE AVE ECAMPBELL AVE GRACE AVEW CAMPBELLAVE SONUCACTSSANTOMASAQUINORD PENNY LN SHARPAVESUNBERR Y DRPEACHTREECTW LATIMER AVE E HAMILTONAVE ORCHARDCITYDR HARRIETAVEPHANTOM AVEN 3RD STHARRIET AVEDILLON AVEREDDING RDNSANTOMASAQUINORD SHEFFIELD CTWRINCONAVE MONTEMAR WAY GALE DR CA L A D O A V E S1STSTUNNAMED ST LACO RONACTBOISE DR ROBWAY AVE SHAMR O CK DR C IVIC CENTERDR CA M D E N A V E W ESTMONT AVE E HAMILTONAVE NLEIGHAVEWALNUT DRSOBRATO CT SMITHAVE E M C G L INCYLNEDEN AVEMARAVIL LACTW CAMPBELL AVE POPE CT SOBRATO WAY FRIA R WAY HE DEGARDAVE BEDAL LN TIMBERCOVEDRMILLICHD REVERETT AVEAPPLEBLOSSOMLNWHITWOOD LN PAYMANPLWHITEOAKSRDCOLLEEN WAYW HAMILTON AVE PEGGY CTDELLACTBUCKNAM CTHOLMESAVESOBRATODRSTONEHURSTWAYSAINTANTHONYS PLPAMLAR AVE U N IO N PL ELWO O D D R HEDEGARD AVE ESUNNYOAK S A V EERIE WAYFAIRLANDS AVE RAILWAYAVETHERESA AVECAMEODR ROSE CT MAGGIOCTCHALETWOODSCIR STOKES ST AUDREY AVEVILLARITA DRCA S T R O C T KIM CT VIRGINIA CT GILMAN AVEE LATIMERAVE DELLOMA DR W SUNNYOAKS AVE HARRISONAVEKIM LOUISE DRGINDENDRC AMDENAVESPRINGFIELDDR N 2ND STDARRYL DRS IL A C C I DR INSKIP DR CAMDEN AVE N PETERDRINWOOD DRKENNEDY AVEDELPRADODR HYDEDRELWOOD DRBUDD CTGWEN DRCENTURYDR FLAMINGO DRSALMARAVELONGFELLOWAVEW LATIMER AVE SHELLEY AVE PATIO DR GAYAVEBETH WAY ADRIEN DR BUCKNAM AVE VIA RANCHEROSAFFLE CTNELL ODRLAWNDALE AVEDUNCANVILLE CT DRY CREE KRDENSENADADR WALDO RD DUNSTER DRKENNETHSTKIL M E R A V E OLY M PIA AVECHRISTOPHERAVEBUDD AVE HAZELWOOD AVE LINDA DR NCENTRALAVEBISMARCK DR N1STSTMANCHESTER AVENIDO DRBENT DR SPETERDRPEGGY AVEPAGE STDOVERWAYPAULA DR ST PAUL DREHAMILTONAVE POPLARAVEADLERAVE BARBANO AVEDALLAS DR SUNNYARBORCT S 4TH STCHAPMANDR W P ARRAVETRAILBLAZER PLMCBAIN AVE ERIN WAYSALMARTERGRANT ST MORRIS LN MOREAVEYORKAVES WINCHESTER BLVDMITCHELLCTVICTORAVEGRAHAM DRFAWN CT HERBERT LNDECORAH LNSUPERIORDREHAMILTONAVE VAN D E L L W A YHICKORYCT SALICEWAYEBBE T S DR REGASDR FILBERTWAYABBOTTAVEELAM AVE K E ITHDR WELKER CTPECAN WAYDECARLI CT ARNOTTWAYHARRISONAVE KENNETHAVEJOHNKIRKCTFAIRBANKSAVE CONNIE DR NADINE DR ALICE AVE CAMP IS IWAY SALERNO DRBROWNINGAVE LORETTALNRIDGELEY DR OLD ORCHARD RDWRENWAYLUCOT WAYCROCKETTAVE SHARMON PALMS LNLOST LAKE LNMARGARETLN ROBNICK CT WILTON DR ABBOTTAVEW HAMILTON AVE W RINCONAVE NMILTONAVESTEINWAY AVE B RACEBRID GECT HOLLISAVE CRONWELL DR WHAMILTON A V E WATSON DR HACKAVELOVELLAVE MONTEVILLA CT WENDELL DRCROCKETT AVECOVENTRYDR SMILTONAVETURNER WAY MUNRO AVE WA RWICK DR DENVER DR WESTVALLEYDRABBEY LNDOT AVE DIVISION S TWESTON DREHACIENDAAVEPALO SANTO DREL SOLYOAVE ECHO AVECHAMBERLIN CT HUNT WAYJANEANNWAYSBASCOMAVE S UM MERFIELDDRL OYALTONDRLLEWELLYNAVEROBIN LNAPRICOT AVE NORMANDY DRKUEHNIS DRRICHLEE DREMORY AVEAPRIL WAYSBASCOMAVEJEFFREY AV E ESTHER AVESBASCOMAVESHADY DALEAVE ELCAMINITOAVE LENOR WAYMCBAIN AVE HARDY AVEMONICA LNW ROSEMARYLN FEWTRELLDRMONICA LNCATALPA LN S ANTOMASEXPYCAMPBE LLTECHN O LOGYPKWYSANTOMASEXPYSANTOMASEXPYS AN T O M A S E X P Y . July 28, 2023 General Plan 2040 LegendResidential Uses Low Density Residential (<4.5 Units/Gr. Acre) Low Density Residential (<5.5 Units/Gr. Acre) Low Density Residential (<7.5 Units/Gr. Acre) Low-Medium Density Residential (8-16 Units/Gr. Acre) Medium Density Residential (18-25 Units/Gr. Acre) Medium-High Density Residential (26-33 Units/Gr. Acre) Mobile Home Park (8-16 Units/Gr. Acre) Commercial/Office Uses Neighborhood Commercial General Commercial Professional OfficeIndustrial Uses Light Industrial Research DevelopmentMixed Uses General Commercial/Light Industrial Professional Office Mixed-Use (8-16 Units/Gr. Acre) Neighborhood Commercial Mixed-Use (18-25 Units/Gr. Acre) Medium-High Density Mixed-Use (26-33 Units/Gr. Acre) Central Business Mixed-Use (26-33 Units/Gr. Acre) General Commercial Mixed-Use (26-33 Units/Gr. Acre) High Density Mixed-Use (34-45 Units/Gr. Acre) Commercial Corridor Mixed-Use (45-60 Units/Gr. Acre) Transit-Oriented Mixed-Use (57-75 Units/Gr. Acre)Public/Recreational Uses Public Facilities Open Space *: Includes all non-vacant sites used in prior housing element and one vacant site included in two consecutive prior housingelements (136 Gilman Avenue). Housing Element Reuse Sites Reuse Overlay Æb Æb Æb Æb Æb §¨¦17 §¨¦17 V A NDUSE N LN ARCRDS WINCHESTER BLVDCAPRI DRCAMBRIANDR DELL AVEELPATI O DR UNION AVESAN TO MAS EXPYMARILYNDRCARLYN AVEW HACIENDA AVE PAYNE AVE LLEWELLYN AVECENTRAL PARK D R SWINCHESTERBLVDALMARIDA DRCREEK SIDEWA YHAZEL AVE N MIDWAY STLOT TIELNB ED A LP A R KC T CURTNERA VE BURROWS RDEMOZARTAVE UNION AVEAINSLEY PARK DRVIRGINIA AVEE RINCONAVE CYPRESS LN SMIDWAYSTSUNNYSIDE AVE ECAMPBELL AVE GRACE AVEW CAMPBELLAVE SONUCACTSSANTOMASAQUINORD PENNY LN SHARPAVESUNBERR Y DRPEACHTREECTW LATIMER AVE E HAMILTONAVE ORCHARDCITYDR HARRIETAVEPHANTOM AVEN 3RD STHARRIET AVEDILLON AVEREDDING RDNSANTOMASAQUINORD SHEFFIELD CTWRINCONAVE MONTEMAR WAY GALE DR CA L A D O A V E S1STSTUNNAMED ST LACO RONACTBOISE DR ROBWAY AVE SHAMR O CK DR C IVIC CENTERDR CA M D E N A V E W ESTMONT AVE E HAMILTONAVE NLEIGHAVEWALNUT DRSOBRATO CT SMITHAVE E M C G L INCYLNEDEN AVEMARAVIL LACTW CAMPBELLAVE POPE CT SOBRATO WAY FRIA R WAY HE DEGARDAVE BEDAL LN TIMBERCOVEDRMILLICHD REVERETT AVEAPPLEBLOSSOMLNWHITWOOD LN PAYMANPLWHITEOAKSRDCOLLEEN WAYW HAMILTON AVE PEGGY CTDELLACTBUCKNAM CTHOLMESAVESOBRATODRSTONEHURSTWAYSAINTANTHONYS PLPAMLAR AVE U N IO N PL ELWO O D D R HEDEGARD AVE ESUNNYOAK S A V EERIE WAYFAIRLANDS AVE RAILWAYAVETHERESA AVECAMEODR ROSE CT MAGGIOCTCHALETWOODSCIR STOKES ST AUDREY AVEVILLARITA DRCA S T R O C T KIM CT VIRGINIA CT GILMAN AVEE LATIMERAVE DELLOMA DR W SUNNYOAKS AVE HARRISONAVEKIM LOUISE DRGINDENDRC AMDENAVESPRINGFIELDDR N 2ND STDARRYL DRS IL A C C I DR INSKIP DR CAMDEN AVE N PETERDRINWOOD DRKENNEDY AVEDELPRADODR HYDEDRELWOOD DRBUDD CTGWEN DRCENTURYDR FLAMINGO DRSALMARAVELONGFELLOWAVEW LATIMER AVE SHELLEY AVE PATIO DR GAYAVEBETH WAY ADRIEN DR BUCKNAM AVE VIA RANCHEROSAFFLE CTNELL ODRLAWNDALE AVEDUNCANVILLE CT DRY CREE KRDENSENADADR WALDO RD DUNSTER DRKENNETHSTKIL M E R A V E OLY M PIA AVECHRISTOPHERAVEBUDD AVE HAZELWOOD AVE LINDA DR NCENTRALAVEBISMARCK DR N1STSTMANCHESTER AVENIDO DRBENT DR SPETERDRPEGGY AVEPAGE STDOVERWAYPAULA DR ST PAUL DREHAMILTONAVE POPLARAVEADLERAVE BARBANO AVEDALLAS DR SUNNYARBORCT S 4TH STCHAPMANDR WPARRAVETRAILBLAZER PLMCBAIN AVE ERIN WAYSALMARTERGRANT ST MORRIS LN MOREAVEYORKAVES WINCHESTER BLVDMITCHELLCTVICTORAVEGRAHAM DRFAWN CT HERBERT LNDECORAH LNSUPERIORDREHAMILTONAVE VAN D E L L W A YHICKORYCT SALICEWAYEBBE T S DR REGASDR FILBERTWAYABBOTTAVEELAM AVE K E ITHDR WELKER CTPECAN WAYDECARLI CT ARNOTTWAYHARRISONAVE KENNETHAVEJOHNKIRKCTFAIRBANKSAVE CONNIE DR NADINE DR ALICE AVE CAMP IS IWAY SALERNO DRBROWNINGAVE LORETTALNRIDGELEY DR OLD ORCHARD RDWRENWAYLUCOT WAYCROCKETTAVE SHARMON PALMS LNLOST LAKE LNMARGARETLN ROBNICK CT WILTON DR ABBOTTAVEW HAMILTON AVE W RINCONAVE NMILTONAVESTEINWAY AVE B RACEBRID GECT HOLLISAVE CRONWELL DR WHAMILTON A V E WATSON DR HACKAVELOVELLAVE MONTEVILLA CT WENDELL DRCROCKETT AVECOVENTRYDR SMILTONAVETURNER WAY MUNRO AVE WA RWICK DR DENVER DR WESTVALLEYDRABBEY LNDOT AVE DIVISION S TWESTON DREHACIENDAAVEPALO SANTO DRELSOLYOAVE ECHO AVECHAMBERLIN CT HUNT WAYJANEANNWAYSBASCOMAVE S UM MERFIELDDRL OYALTONDRLLEWELLYNAVEROBIN LNAPRICOT AVE NORMANDY DRKUEHNIS DRRICHLEE DREMORY AVEAPRIL WAYSBASCOMAVEJEFFREY AV E ESTHER AVESBASCOMAVESHADY DALEAVE ELCAMINITOAVE LENOR WAYMCBAIN AVE HARDY AVEMONICA LNW ROSEMARYLN FEWTRELLDRMONICA LNCATALPA LN S ANTOMASEXPYCAMPBE LLTECHN O LOGYPKWYSANTOMASEXPYSANTOMASEXPYS AN T O M A S EX P Y . August 4, 2023 General Plan 2040 LegendResidential Uses Low Density Residential (<4.5 Units/Gr. Acre) Low Density Residential (<5.5 Units/Gr. Acre) Low Density Residential (<7.5 Units/Gr. Acre) Low-Medium Density Residential (8-16 Units/Gr. Acre) Medium Density Residential (18-25 Units/Gr. Acre) Medium-High Density Residential (26-33 Units/Gr. Acre) Mobile Home Park (8-16 Units/Gr. Acre) Commercial/Office Uses Neighborhood Commercial General Commercial Professional OfficeIndustrial Uses Light Industrial Research DevelopmentMixed Uses General Commercial/Light Industrial Professional Office Mixed-Use (8-16 Units/Gr. Acre) Neighborhood Commercial Mixed-Use (18-25 Units/Gr. Acre) Medium-High Density Mixed-Use (26-33 Units/Gr. Acre) Central Business Mixed-Use (26-33 Units/Gr. Acre) General Commercial Mixed-Use (26-33 Units/Gr. Acre) High Density Mixed-Use (34-45 Units/Gr. Acre) Commercial Corridor Mixed-Use (45-60 Units/Gr. Acre) Transit-Oriented Mixed-Use (57-75 Units/Gr. Acre)Public/Recreational Uses Public Facilities Open Space Reuse Overlay Reuse Sites + Highest Density (1067 Low-Income Units / 29 Sites) Option 1 Nonresidential Ground Floor RequirementTier 1Tier 2 Æb Æb Æb Æb Æb §¨¦17 §¨¦17 V A NDUSE N LN ARCRDS WINCHESTER BLVDCAPRI DRCAMBRIANDR DELL AVEELPATIO DR UNION AVESAN TO M AS EXPYMARILYNDRCARLYN AVEW HACIENDA AVE PAYNE AVE LLEWELLYN AVECENTRAL PARK D R SWINCHESTERBLVDALMARIDA DRCREEK SIDEWA YHAZEL AVE N MIDWAY STLOT TIELNB EDA LP A R KC T CURTNERA VE BURROWS RDEMOZARTAVE UNI ON AVEAINSLEY PARK DRVIRGINIA AVEE RINCONAVE CYPRESS LN SMIDWAYSTSUNNYSIDE AVE ECAMPBELL AVE GRACE AVEW CAMPBELLAVE SONUCACTSSANTOMASAQUINORD PENNY LN SHARPAVESUNBERR Y DRPEACHTREECTW LATIMER AVE E HAMILTONAVE ORCHARDCITYDR HARRIETAVEPHANTOM AVEN 3RD STHARRI ET AVEDILLON AVEREDDING RDNSANTOMASAQUINORD SHEFFIELD CTWRINCONAVE MONTEMAR WAY GALE DR CALA DO AVE S1STSTUNNAMED ST LACO RONACTBOISE DR ROBWAY AVE SHAMR O CK DR C IVIC CENTERDR CA M DE N AVE W ESTMONT AVE E HAMILTONAVE NLEIGHAVEWALNUT DRSOBR AT O CT SMITHAVE E M C G L INCYLNEDEN AVEMARAVIL LACTW CAMPBELL AVE POPE CT SOBRATO WAY FRIA R WAY HE DEGARDAVE BEDAL LN ECAMPBELLAVE TIMBERCOVEDRMILLICHD REVERETT AVEAPPLEBLOSSOMLNWHITWOOD LN PAYMANPLWHITEOAKSRDCOLLEEN WAYW HAMILTON AVE PEGGY CTDELLACTBUCKNAM CTHOLMESAVESOBRATODRSTONEHURSTWAYSAINTANTHONYS PLPAMLAR AVE U N IO N PL ELWO O D D R HEDEGARD AVE ESUNNYOAK S A V EERIE WAYFAIRLANDS AVE RAILWAYAVETHERESA AVECAMEODR ROSE CT MAGGIOCTCHALETWOODSCIR STOKESST AUDREY AVEVILLARITA DRCASTRO CT KIM CT VIRGINIA CT GILMAN AVEE LATIMERAVE DELLOMA DRW SUNNYOAKS AVE HARRISONAVEKIM LOUISE DRGINDENDRC AMDENAVESPRINGFIELDDR N 2ND STDARRYL DRS IL A C C I DR INSKIP DR CAMDEN AVE N PETERDRINWOOD DRKENNEDY AVEDELPRADODR HYDEDRELWOOD DRBUDD CTGWEN DRCENTURYDR FLAMINGO DRSALMARAVELONGFELLOWAVEW LATIMER AVE SHELLEY AVE PATIO DR GAYAVEBETH WAY ADRIEN DR BUCKNAM AVE VIA RANCHEROSAFFLE CTNELL ODRLAWNDALE AVEDUNCANVILLECT DRY CREE KRDENSENADADR WALDO RD DUNSTER DRKENNETHSTKILMER AVE OLY M PIA AVECHRISTOPHERAVEBUDD AVE HAZELWOOD AVE LINDA DR NCENTRALAVEBISMARCK DR N1STSTMANCHESTER AVENIDO DRBENT DR SPETERDRPEGGY AVEPAGE STDOVERWAYPAULA DR ST PAUL DRS 4TH STEHAMILTONAVE POPLARAVEADLERAVE BARBANO AVEDALLAS DR SUNNYARBORCT CHAPMANDR WPARRAVETRAILBLAZER PLMCBAIN AVE ERIN WAYSALMARTERGRANT ST MORRIS LN MOREAVEYORKAVES WINCHESTER BLVDMITCHELLCTVICTORAVEGRAHAM DRFAW N CT HERBERT LNDECORAH LNSUPERIORDREHAMILTONAVE VANDELL WAYHICKORYCT SALICEWAYEBBE T S DR REGASDR FILBERTWAYABBOTTAVEELAM AVE K E ITHDR WELKER CTPECAN WAYDECARLI CT ARNOTTWAYHARRISONAVE KENNETHAVEJOHNKIRKCTFAIRBANKSAVE CONNIE DR NADINE DR ALICE AVE CAMP IS IWAY SALERNO DRBROWNINGAVE LORETTALNRIDGELEY DR OLD ORCHARD RDWRENWAYLUCOT WAYCROCKETTAVE SHARMON PALMS LNLOST LAKE LNMARGARETLN ROBNICK CT WILTON DR ABBOTTAVEW HAMILTON AVE W RINCONAVE NMILTONAVESTEINWAY AVE B RACEBRID GECT HOLLISAVE CRONWELL DR WHAMILTON A V E WATSON DR HACKAVELOVELLAVE MONTEVILLA CT WENDELL DRCROCKETT AVECOVENTRYDR SMILTONAVETURNER WAY MUNRO AVE WA RWICKDRDENVER DR WESTVALLEYDRABBEY LNDOT AVEDIVISION STWESTON DREHACIENDAAVEPALO SANTO DREL SOLYOAVE ECHO AVECHAMBERLIN CT HUNT WAYJANEANNWAYSBASCOMAVE S UM MERFIELDDRL OYALTONDRLLEWELLYNAVEROBIN LNAPRICOT AVE NORMANDY DRKUEHNIS DRRICHLEE DREMORY AVEAPRIL WAYSBASCOMAVEJEFFREY AV E ESTHER AVESBASCOMAVESHADY DALEAVE ELCAMINITOAVE LENOR WAYMCBAIN AVE HARDY AVEMONICA LNW ROSEMARYLN FEWTRELLDRMONICA LNCATALPA LN S ANTOMASEXPYCAMPBE LLTECHN O LOGYPKWYSANTOMASEXPYSANTOMASEXPYS AN T O M A S E X P Y . September 26, 2023 General Plan 2040 LegendResidential Uses Low Density Residential (<4.5 Units/Gr. Acre) Low Density Residential (<5.5 Units/Gr. Acre) Low Density Residential (<7.5 Units/Gr. Acre) Low-Medium Density Residential (8-16 Units/Gr. Acre) Medium Density Residential (18-25 Units/Gr. Acre) Medium-High Density Residential (26-33 Units/Gr. Acre) Mobile Home Park (8-16 Units/Gr. Acre) Commercial/Office Uses Neighborhood Commercial General Commercial Professional OfficeIndustrial Uses Light Industrial Research DevelopmentMixed Uses General Commercial/Light Industrial Professional Office Mixed-Use (8-16 Units/Gr. Acre) Neighborhood Commercial Mixed-Use (18-25 Units/Gr. Acre) Medium-High Density Mixed-Use (26-33 Units/Gr. Acre) Central Business Mixed-Use (26-33 Units/Gr. Acre) General Commercial Mixed-Use (26-33 Units/Gr. Acre) High Density Mixed-Use (34-45 Units/Gr. Acre) Commercial Corridor Mixed-Use (45-60 Units/Gr. Acre) Transit-Oriented Mixed-Use (57-75 Units/Gr. Acre)Public/Recreational Uses Public Facilities Open Space Reuse Overlay Nonresidential Ground Floor RequirementTier 1Tier 2 Option 2 Reuse Sites + Lowest Density (1039 Low-Income Units / 27 Sites) Æb Æb Æb Æb Æb §¨¦17 §¨¦17 V A NDUSE N LN ARCRDS WINCHESTER BLVDCAPRI DRCAMBRIANDR DELL AVEELPATI O DR UNION AVESAN TO MAS EXPYMARILYNDRCARLYN AVEW HACIENDA AVE PAYNE AVE LLEWELLYN AVECENTRAL PARK D R SWINCHESTERBLVDALMARIDA DRCREEK SIDEWA YHAZEL AVE N MIDWAY STLOT TIELNB ED A LP A R KC T CURTNERA VE BURROWS RDEMOZARTAVE UNION AVEAINSLEY PARK DRVIRGINIA AVEE RINCONAVE CYPRESS LN SMIDWAYSTSUNNYSIDE AVE ECAMPBELL AVE GRACE AVEW CAMPBELLAVE SONUCACTSSANTOMASAQUINORD PENNY LN SHARPAVESUNBERR Y DRPEACHTREECTW LATIMER AVE E HAMILTONAVE ORCHARDCITYDR HARRIETAVEPHANTOM AVEN 3RD STHARRIET AVEDILLON AVEREDDING RDNSANTOMASAQUINORD SHEFFIELD CTWRINCONAVE MONTEMAR WAY GALE DR CA L A D O A V E S1STSTUNNAMED ST LACO RONACTBOISE DR ROBWAY AVE SHAMR O CK DR C IVIC CENTERDR CA M D E N A V E W ESTMONT AVE E HAMILTONAVE NLEIGHAVEWALNUT DRSOBRATO CT SMITHAVE E M C G L INCYLNEDEN AVEMARAVIL LACTW CAMPBELLAVE POPE CT SOBRATO WAY FRIA R WAY HE DEGARDAVE BEDAL LN TIMBERCOVEDRMILLICHD REVERETT AVEAPPLEBLOSSOMLNWHITWOOD LN PAYMANPLWHITEOAKSRDCOLLEEN WAYW HAMILTON AVE PEGGY CTDELLACTBUCKNAM CTHOLMESAVESOBRATODRSTONEHURSTWAYSAINTANTHONYS PLPAMLAR AVE U N IO N PL ELWO O D D R HEDEGARD AVE ESUNNYOAK S A V EERIE WAYFAIRLANDS AVE RAILWAYAVETHERESA AVECAMEODR ROSE CT MAGGIOCTCHALETWOODSCIR STOKES ST AUDREY AVEVILLARITA DRCA S T R O C T KIM CT VIRGINIA CT GILMAN AVEE LATIMERAVE DELLOMA DR W SUNNYOAKS AVE HARRISONAVEKIM LOUISE DRGINDENDRC AMDENAVESPRINGFIELDDR N 2ND STDARRYL DRS IL A C C I DR INSKIP DR CAMDEN AVE N PETERDRINWOOD DRKENNEDY AVEDELPRADODR HYDEDRELWOOD DRBUDD CTGWEN DRCENTURYDR FLAMINGO DRSALMARAVELONGFELLOWAVEW LATIMER AVE SHELLEY AVE PATIO DR GAYAVEBETH WAY ADRIEN DR BUCKNAM AVE VIA RANCHEROSAFFLE CTNELL ODRLAWNDALE AVEDUNCANVILLE CT DRY CREE KRDENSENADADR WALDO RD DUNSTER DRKENNETHSTKIL M E R A V E OLY M PIA AVECHRISTOPHERAVEBUDD AVE HAZELWOOD AVE LINDA DR NCENTRALAVEBISMARCK DR N1STSTMANCHESTER AVENIDO DRBENT DR SPETERDRPEGGY AVEPAGE STDOVERWAYPAULA DR ST PAUL DREHAMILTONAVE POPLARAVEADLERAVE BARBANO AVEDALLAS DR SUNNYARBORCT S 4TH STCHAPMANDR WPARRAVETRAILBLAZER PLMCBAIN AVE ERIN WAYSALMARTERGRANT ST MORRIS LN MOREAVEYORKAVES WINCHESTER BLVDMITCHELLCTVICTORAVEGRAHAM DRFAWN CT HERBERT LNDECORAH LNSUPERIORDREHAMILTONAVE VAN D E L L W A YHICKORYCT SALICEWAYEBBE T S DR REGASDR FILBERTWAYABBOTTAVEELAM AVE K E ITHDR WELKER CTPECAN WAYDECARLI CT ARNOTTWAYHARRISONAVE KENNETHAVEJOHNKIRKCTFAIRBANKSAVE CONNIE DR NADINE DR ALICE AVE CAMP IS IWAY SALERNO DRBROWNINGAVE LORETTALNRIDGELEY DR OLD ORCHARD RDWRENWAYLUCOT WAYCROCKETTAVE SHARMON PALMS LNLOST LAKE LNMARGARETLN ROBNICK CT WILTON DR ABBOTTAVEW HAMILTON AVE W RINCONAVE NMILTONAVESTEINWAY AVE B RACEBRID GECT HOLLISAVE CRONWELL DR WHAMILTON A V E WATSON DR HACKAVELOVELLAVE MONTEVILLA CT WENDELL DRCROCKETT AVECOVENTRYDR SMILTONAVETURNER WAY MUNRO AVE WA RWICK DR DENVER DR WESTVALLEYDRABBEY LNDOT AVE DIVISION S TWESTON DREHACIENDAAVEPALO SANTO DRELSOLYOAVE ECHO AVECHAMBERLIN CT HUNT WAYJANEANNWAYSBASCOMAVE S UM MERFIELDDRL OYALTONDRLLEWELLYNAVEROBIN LNAPRICOT AVE NORMANDY DRKUEHNIS DRRICHLEE DREMORY AVEAPRIL WAYSBASCOMAVEJEFFREY AV E ESTHER AVESBASCOMAVESHADY DALEAVE ELCAMINITOAVE LENOR WAYMCBAIN AVE HARDY AVEMONICA LNW ROSEMARYLN FEWTRELLDRMONICA LNCATALPA LN S ANTOMASEXPYCAMPBE LLTECHN O LOGYPKWYSANTOMASEXPYSANTOMASEXPYS AN T O M A S EX P Y . August 4, 2023 General Plan 2040 LegendResidential Uses Low Density Residential (<4.5 Units/Gr. Acre) Low Density Residential (<5.5 Units/Gr. Acre) Low Density Residential (<7.5 Units/Gr. Acre) Low-Medium Density Residential (8-16 Units/Gr. Acre) Medium Density Residential (18-25 Units/Gr. Acre) Medium-High Density Residential (26-33 Units/Gr. Acre) Mobile Home Park (8-16 Units/Gr. Acre) Commercial/Office Uses Neighborhood Commercial General Commercial Professional OfficeIndustrial Uses Light Industrial Research DevelopmentMixed Uses General Commercial/Light Industrial Professional Office Mixed-Use (8-16 Units/Gr. Acre) Neighborhood Commercial Mixed-Use (18-25 Units/Gr. Acre) Medium-High Density Mixed-Use (26-33 Units/Gr. Acre) Central Business Mixed-Use (26-33 Units/Gr. Acre) General Commercial Mixed-Use (26-33 Units/Gr. Acre) High Density Mixed-Use (34-45 Units/Gr. Acre) Commercial Corridor Mixed-Use (45-60 Units/Gr. Acre) Transit-Oriented Mixed-Use (57-75 Units/Gr. Acre)Public/Recreational Uses Public Facilities Open Space Reuse Overlay Nonresidential Ground Floor RequirementTier 1Tier 2 Option 3 Reuse Sites + Lowest Impact to Nonresidential Req (1029 Low-Income Units / 17 Sites) Title 21 - ZONING Chapter 21.14 OVERLAY/COMBINING DISTRICTS Page 1 of 2 21.14.050 BRH (By-Right Housing) overlay/combining zoning district. A.Purpose. The purpose of the By-Right Housing (“BRH”) overlay/combining district is to promote the development of housing on sites locally identified to satisfy the City’s lower-income Regional Housing Needs Allocation (RHNA) shortfall pursuant to State statues (Gov. Code 65583.2(h) and 65583.2(i)). B.Eligibility. Sites included in the BRH overlay/combining district shall satisfy the following criteria: 1.Density. Permit a minimum density of 20 units per acre. 2.Minimum Unit Count. Permit a minimum of 16 units per site. C.Development standards. The following development standards shall apply to sites where the BRH overlay/combining district is applied. 1.Residential projects. Sites shall be permitted to develop exclusively as residential uses. 2.Mixed-Use projects. Mixed-use projects shall be required to allocate a minimum of 50% of the total gross floor area to residential uses. D.Permit process. Housing development projects with at least 20 percent of the units affordable to lower- income households shall be processed in accordance with Chapter 21.39 (Ministerial Approvals). E.Establishment of district. The BRH overlay/combining district shall be established by ordinance. In addition to the procedures and findings set forth in Chapter 21.60 (Amendments – General Plan, Zoning Code, and Zoning Map Amendments) the decision-making body must also find that the project meets the eligibility requirements set forth in Section 21.14.050.B. (Eligibility) and specify the characteristics of the project that were used to make such determination. 21.14.060 RS (Reuse Sites) overlay/combining zoning district. A.Purpose. The purpose of the Reuse Sites (“RS”) overlay/combining district is to promote housing development on Housing Opportunity Sites used in one or more previously adopted Housing Elements consistent with the objectives of the General Plan, Housing Element, and State statues. B.Eligibility. Sites included in the RS overlay/combining district shall consist of the following: 1.Non-vacant Housing Opportunity Sites used in the previously adopted and current Housing Element; and 2.Vacant Housing Opportunity Sites used in the two previously adopted and current Housing Element. C.Permit process. Housing development projects with at least 20 percent of the units affordable to lower- income households shall be processed in accordance with Chapter 21.39 (Ministerial Approvals). D.Establishment of district. The RS overlay/combining district shall be established by ordinance. In addition to the procedures and findings set forth in Chapter 21.60 (Amendments – General Plan, Zoning Code, and Zoning Map Amendments) the decision-making body must also find that the project meets the eligibility requirements set forth in Section 21.14.060.B. (Eligibility) and specify the characteristics of the project that were used to make such determination. Attachment D Page 2 of 2 21.14.070 AH (Affordable Housing) overlay/combining zoning district. A. Purpose. The purpose of the Affordable Housing (“AH”) overlay/combining district is to promote the development of affordable housing, by providing incentives to projects that voluntarily elect to comply with all of the requirements of this Section. The incentives granted by the AH overlay may be combined with incentives granted by State Density Bonus Law pursuant to Sections 65915 to 65918 of the California Government Code. B. Eligibility. Sites included in the AH overlay/combining district shall satisfy one or more of the following criteria: 1. [Placeholder]; and 2. [Placeholder]; C. Requirements. Housing development projects pursuing one or more incentives set forth in Section 21.14.070.D. (Incentives) shall abide with all of the following requirements: 1. Shall not use State Density Bonus Law, and/or similar State or Federal law, to alleviate the project from any of the requirements of the AH overlay/combining district; annd 2. [Placeholder]; D. Incentives. The following incentives shall be provided to qualifying projects: 1. [Placeholder]; and 2. [Placeholder]; E. Establishment of district. The AH overlay/combining district shall be established by ordinance. In addition to the procedures and findings set forth in Chapter 21.60 (Amendments – General Plan, Zoning Code, and Zoning Map Amendments) the decision-making body must also find that the project meets the eligibility requirements set forth in Section 21.14.070.B. (Eligibility) and specify the characteristics of the project that were used to make such determination. ITEM NO. xx City of Campbell -- Community Development Department 70 N. First Street, Campbell, CA 95008 MEMORANDUM To: Members of the Planning Commission Date: October 10, 2023 From: Rob Eastwood, Community Development Director Subject: Community Development Director’s Report I. Recent City Council Meetings At the October 3, 2023 City Council meeting, the Council considered the following items of interest to the Planning Commission: Public Hearing to Consider an Appeal of the Planning Commission’s Denial of a Conditional Use Permit with Site and Architectural Review to Allow Reconstruction of a Shell Gasoline Service Station with an Expanded Convenience Store Including Off-Site Alcohol Beverage Sales, a Drive Through Carwash, and 24-Hour Operational Hours; and a Tree Removal Permit Removal of All On-Site Trees, for Property Located at 570 E. Hamilton Avenue. File No.: PLN-2022-44 (Resolution/Roll Call Vote) Recommended Action: The City Council continued the public hearing to November 7, 2023 at the request of the applicant. Other Related Activities – • Downtown Campbell Semi-Permanent Parklet Program – Parklets for four downtown restaurants are expected to complete construction in the next month– Flights, Aquis, Katie Blooms, Trattoria 360. • Environmental Programs Specialist Recruitment – The City has hired Tiffany Hudson to fill the position. Tiffany will start on Monday, October 16th. • Housing Manager Recruitment– The City is recruiting for a Housing Manager to support implementation of its 6th Cycle Housing Element and the City’s Housing Programs. Oral Board interviews of candidates was completed on October 5, 2023. • Hamilton Avenue Precise Plan – The City published a Request for Proposals to hire a Consultant to support preparation of the Plan, the deadline to submit is October 25, 2023.