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Ordinance 1992-01ORDINANCE NO. 92 - 1 AN ORDINANCE OF THE CITY OF GILROY UPDATING ITS RESIDENTIAL DEVELOPMENT ORDINANCE BY AMENDING SECTION 2.20 OF THE GILROY ZONING ORDINANCE, REPEALING SECTIONS 50.60 TO 50.67, AND REPLACING SECTIONS 50.60 TO 50.67 WITH SECTIONS 50.60 TO 50.68 WHEREAS' the City of Gilroy has determined that it is necessary to update the existing Residential Development Ordinance governing residential development in the city; and Whereas, in conjunction with updating the Residential Development Ordinance, the city has properly taken all actions required by the California Environmental Quality Act; and WHEREAS, the Planning Commission and City Council have extensively studied and taken public testimony on a series of draft proposals for updates to the residential development ordinance, and the Planning Commission did on December 5, 1991, recommend approval of an updated ordinance; and WHEREAS, the City Council hereby finds that the Residential Development Ordinance as updated will: 1. Encourage a rate of growth which will not exceed the City's ability to provide adequate and efficient public services, or the ability of the Gilroy Unified school District to Provide adequate schools, or the ability of the local economy to support such growth; 2. Maintain and improve the quality of the environment considering the City's natural setting, including hillsides, water courses, viable agricultural/open lands, recreational, historic and scenic areas. 3. Encourage and promote a balanced community with adequate housing to meet the needs of local employment and residents. -1- ORDINANCE NO. 92 - 1 ! : for housing. 4. Encourage and promote an appropriate share of the regional need 5. EnCourage and promote housing programs and activities to enable the City to meet the needs of all economic segments of the community. 6. Provide and maintain a sound economic base for the City. THE CITY COUNCIL OF THE CITY OF GILROY DOES HEREBY ORDAIN AS FOLLOWS: Section I. The following definitions in Section 2.20 of the Zoning ordinance of the City of Gilroy are hereby amended to read as follows, with the remainder of Section 2.20 to be unchanged: Build-out Schedule The maximum number of dwelling units assigned to each residential development project for which building permits may be issued each calendar year. The total of all assigned build-out schedules, for each year, shall not exceed the Numerical Limit set by City Council resolution for that calendar year. Numerical Limit The total number of dwelling units for residential development projects not exempted by Section 50.62(b) for which building permits may be issued within the City during a given calendar year. The Numerical Limit is set by resolution of the City Council. Section II. Sections 50.60 to 50.671 inclusive, of the Zoning Ordinance of the City of Gilroy are hereby repealed. Section III. The repealed sections are hereby replaced by Sections 50.60 to 50.68 as set forth in the attached Exhibit "A", incorporated herein by this reference. -2- ORDINANCE NO. 92 - 1 Section IV. This Ordinance shall take effect and be in full force thirty (30) days from and after its adoption and approval. PASSED AND ADOPTED this 2nd day of March, 1992 by the following vote: AYES: NOES: COUNCILMEMBERS: GILROY, HALE, NELSON, ROWLISON, VALDEZ and GAGE. COUNCILMEMBERS: KLOECKER ABSENT:COUNCILMEMBERS: None -3- ORDINANCE NO. 92 - 1 EXHIBIT "A" ZONING ORDINANCE - SECTION 50.60 RESIDENTIAL DEVI~I/)PMENT ORDINANCE Section 50.61 Statement of Intent (a) Encourage a rate of growth which will not exceed the CitY'S ability to provide adequate and efficient public services (including sewer, water, police, fire, streets, parks, general administration, etc.) or the ability of the Gilroy Unified School District to provide adequate schools, or the ability of the local economy to support such growth. (b) Maintain and improve the quality of the environment considering the City's natural setting, including hillsides, water courses, viable agricultural/open lands, recreational, historic and scenic areas. (c) Encourage and promote a balanced community with adequate housing to meet the needs of local employment and residents. (d) Encourage and promote the construction of an appropriate share of the regional need for housing. (e) Encourage and promote housing programs and activities to enable the City to meet the needs of all economic segments of the community. (f) Provide and maintain a sound economic base for the City. Section 50.62 Application of Ordinance (a) The provisions of this Residential Development Ordinance shall apply to all residential development projects proposed to be constructed within the City of Gilroy, except for those residential development projects specifically listed as exempt in Paragraph (b) following. (b) The following types of residential projects are exempted from the provisions of this Residential Development Ordinance, except that such projects shall be tabulated in housing goals as described in Sec. 50.63(a). A project may not qualify for more than one of the following exemptions: (1) Projects containing four (4) or fewer dwelling units, four (4) or fewer single family residential lots, or subdivisions of land into four (4) or fewer parcels are exempt, provided, however, that this exemption shall not apply to projects which, within any three (3) year period, when combined with any other projects exempted under this subsection and involving all or part of the same parcels of land, or contiguous parcels, would result in the development of greater than four (4) total dwelling units. (2) Replacement dwellings are exempt provided that the number of exempted new dwelling units shall not exceed by more than four (4) dwelling units, the number of dwelling units removed for such replacement on any parcel. Relocation of dwelling units existing within Gilroy to another site shall be exempt. (3) A residential development project sponsored by any agency that is funded by federal, state or local government is exempt if the project is: (i) approved by a vote of electors of the City of Gilroy pursuant to Cal. Const. Art. XXXIV, Sec. 1 or (ii) the project is specifically approved for exemption by the City Council and consists of forty-five (45) units or less. EXHIBIT A -2 - (4) If the City Council adopts by resolution specific standards setting criteria for long-term affordability of residential development projects, then a project which meets such standards is exempt if the project consists of forty-five (45) units or less and the project is specifically approved for exemption by the City Council. Section 50.63 Goals and Annual Numerical Limits (a) Criteria and Procedure for Setting Long-range Housing Goals Commencing in 1992 and once every ten (lO).years thereafter, the City Council, after considering economic, public service, environmental, housing, and other information it may deem relevant to the residential development program, and the City's regional share of housing as established by the State of California, shall determine the maximum total number of dwelling units (including projects exempted by SeC. 50.62(b)) which should be built during the subsequent ten (10) years, consistent with the purpose and intent of Section 50.61. This ten-year goal may be revised at five (5) year intervals, at which time another goal may be set for a ten-year period starting the following calendar year. Whenever the Council sets a ten-year goal, it shall also set a five-year goal, which shall not exceed sixty percent (60%) of the ten-year goal which encompasses it. (b) Criteria and Procedure for Setting Numerical Limits At the first regular m~eting of the City Council in April of each year, except 1992, the City Council, shall hold a public hearing, which may be continued from time to time, and shall adopt a resolution reaffirming, readjusting, and resetting the Numerical Limits for each of the subsequent calendar years remaining in the ten-year goal period. In setting the Numerical Limits, the City Council shall consider the adopted five- and ten-year housing goals, the number of units previously issued permits under assigned build-out schedules, units for which build-out schedules have been assigned, and units previously determined to be exempt from this Ordinance under Section 50.62(b). The Numerical Limit for a given, calendar year shall be expressed as the total number of dwelling units, for projects not exempted by Section 50.62(b), for which building permits may be issued in that calendar year. The Numerical Limit for any one year may not exceed one hundred and thirty percent (130%) of the average of the Numerical Limits for the remaining years in the ten-year goal period, or thirteen percent (13%) of the ten-year goal, whichever is less. (c) Special Exceptions At any time during the year, the City Council may permit a special exception to the assigned build-out schedule or to the Numerical Limit for that calendar year only, provided, however, such special exception shall be approved only when the City Council finds and determines: EXHIBIT A -3- (i) that a major industry has a firm commitment to locate within the City of Gilroy and that this major industry would not be able to locate in Gilroy because the current limit on residential dwellings would be clearly insufficient for its employees' housing needs; and (ii) that the special exception will not adversely affect the City's ability to provide services. Section 50.64 Residential Development Application Procedures (a) Ail applications for Residential Development Review of projects under this ordinance shall be submitted to the City of Gilroy, Department of Planning from the first day of May through the first day of July each year. The Department of Planning shall not accept applications for residential development of land that is not within the Gilroy Urban Service Area, or is not immediately contiguous to the Urban Service Area. (b) Each request for Residential Development Review shall contain all information and fees requested on the Residential Development Review application forms. Only applications deemed complete by the Planning Director shall be considered. (c) Application fees for Residential Development Review shall be established from time to time by resolution of the City Council. (d) Applicants may withdraw their application for Residential Development Review at any time during the process. Application fees will not be refunded, except that if an application is withdrawn within ten (10) days after the filing deadline, all fees submitted with such application will be refunded to the applicant. (e) Tentative Maps for residential subdivisions and residential Planned Unit Development (PUD) applications will not be accepted by the Department of Planning concurrently with the Residential Development application unless the developer signs a valid waiver acceptable to the City Attorney of all processing time limits established by the Subdivision Map Act and any other state or local law. No tentative maps can be approved until a project has been assigned a build-out schedule by the City Council. Section 50.65 Project Rating Scale The City Council shall adopt from time to time by resolution a Project Rating Scale for use by the Planning Commission in its competitive evaluation and ranking of projects hereunder. Section 50.66 Competitive Evaluation and Assignment of Build-out Schedules (a) The Planning Commission shall hold a public hearing and shall assign a point score in accordance with the Project Rating Scale to each residential development project for which the application has been deemed complete by the Director of Planning. (b) The Planning Commission shall also competitively evaluate each residential development project and establish a ranking for each residential project based upon its assigned point score. EXHIBIT A -4- (c) The Planning Commission shall recommend to the City Council a build-out schedule only for those projects for which the Planning Commission determines that building permits can be issued within the applicable Numerical Limits. If the Planning Commission finds that, due to environmental or other reasons that a given project is detrimental to the public health, safety, and general welfare, the Commission may recommend to the City Council that the project not be granted a build-out schedule regardless of its score on the Project Rating Scale or whether or not the applicable Numerical Limits are fully allocated. The CitY Council shall hold a public hearing and shall reView the point scores, rankings and build-out schedules recommended by the Planning Commission and may affirm or modify the recommendation of the Planning Commission; in whole or in part. In making its decision, the Council shall give priority to accommodating subsequent phasing and build-out of previously approved projects for which substantial public infrastructure improvements have been constructed to serve such future phases. (e) The maximum Numerical Limit for any' year need not be fully allocated. (f) (g) No individual project shall be assigned more than twenty-five percent (25%) of the ten-year housing goal, or fifty percent (50%) of the Numerical Limit for any year of the build-out schedule. Build-out schedules may, on occasion, extend up to five years beyond the expiration of the ten-year goal period, provided that no single residential development project may be given a build-out schedule extending more than ten years. No individual project shall be assigned a build-oUt schedule in any year beyond the ten-year goal period greater than fifty percent (50%) of the average of the Numerical Limits for the years in the existing ten-year goal period. The total number of dwelling units for all projects scheduled beyond the ten-year goal period may not represent more than twenty-five percent (25%) of the ten-year goal. (h) No building permits may be issued for a residential development project pursuant to a build-out schedule granted under the Residential Development Ordinance unless the project is to be built on the same physical site as was originally evaluated. Build-out schedules shall not be transferable independently of the project for which they were assigned. (i) When a building permit is requested for any residential development assigned a build-out schedule hereunder, the Planning Director shall review such project for conformance with the project as it was proposed when assigned a build-out schedule by the Council. If the Planning Director determines that there have been significant modifications to the project (including, without limitation, modifications that would have significantly affected its point rating or competitive evaluation hereunder), then no building permits for the project shall be issued unless approved by the City Council. To approve the issuance of such permits, the City Council must find that the proposed modifications result in a substantial improvement over the project for which a build-out schedule had been assigned. EXHIBIT A - 5 - Section 50.67 Applicant's Agreement to Perform The applicant l or successor in interest~ for any residential development project that receives a build-out schedule from the City Council shall agree in writing on a form provided by. the City Administrator to a set of performance standards (including, without limitation, times by which applications for development approvals and/or permits must be made) and a fee payment schedule. Said agreement shall be entered into prior to February 28th of the year following the assignment of a build-out schedule, at which time the applicant shall also pay a non-refundable deposit, the amount of which shall be established from time to time by resolution of the City Council. This deposit will be fully credited to subsequent development fees for the project if the applicant complies fully with the terms of the agreement. If the applicant fails to so agree in writing or fails to pay the deposit by the date specified above l the build-out schedules for the project shall without further action become null and void. If the applicant fails to comply fully with any or all terms of the agreement, the City Council may, following a public hearing, revoke or modify any build-out schedules for the project and declare a forfeiture of any or all fees. Extensions of any performance schedules contained in the agreement for up to two (2) years may be granted by the City Administrator with City Council approval and may require additional payment of additional deposits. Section 50.68 No Vested Rights No action taken hereunder with respect to any residential development project by the Planning Commission, City Council, or any City official, including, without limitation, the rating of a residential development project, the setting of any Numerical Limits and the granting of any build-out schedule), and no action taken by any applicant or developer hereunder (including, without limitation, the payment of fees or deposits) shall result in the creation or vesting of any rights whatever by any applicant or developer with respect to said project to receive any necessary city approvals or permits or to construct any dwelling units or other improvements. I, SUSANNE E. STEINMETZ~ City Clerk of the City of Gilroy' do hereby certify that the attached Ordinance No. 92-1 is an original ordinance~ duly adopted by the Council of the City of Gilroy at a regular meeting of said Council held on the 2nd day of March , 19 92 , at which meeting a quorum was present. IN WITNESS WHEREOF, I have hereunto set my hand and affixed the Official Seal of the City of Gilroy this 19 92. (Seal) 3rd day of March