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Resolution 1998-07 ~ . . RESOLUTION NO. 98-7 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF GILROY APPROVING M97-12, AN APPLICATION FOR AN AFFORDABLE HOUSING EXEMPTION FROM THE RESIDENTIAL DEVELOPMENT ORDINANCE ON A PORTION OF APN 790-04-038 WHEREAS, Beverly Working and Gloria Bentinck, South County Housing Corporation ("Applicants") submitted M 97-12 requesting an affordable housing exemption from the Residential Development Ordinance ("RDO") for the purposes of constructing 21 low-income housing units; and WHEREAS, In accordance with the California Environmental Quality Act ("CEQA"), a Negative Declaration with eight mitigation measures and a MitigationIMonitoring program was prepared; and WHEREAS, the City Council may grant the requested RDO exemption only if it determines that it meets the criteria set forth in Zoning Ordinance section 50.62(b )(3), which criteria is fully discussed in the Staff Report dated October 30, 1997, which is attached hereto as Exhibit A and incorporated herein by this reference; and WHEREAS, the Planning Commission reviewed application M97-12 at a duly noticed public hearing on October 30, 1997, and recommended that the City Council approve the Negative Declaration and Application M97-12; and WHEREAS, the City Council reviewed Application M97-12 and all documents relating thereto and took oral and written testimony at its duly noticed public hearing of January 5, 1998, and adopted the Negative Declaration, finding that the Negative Declaration reflected the independent judgment of the City and that, on the basis of the initial study and any comments received thereon, there was no substantial evidence that the project will have a significant effect on the environment; and IKBA1400738.01 81-012604706002 -1- RESOLUTION NO. 98-7 . . WHEREAS, the location and custodian of the documents or other materials which constitute the record of proceedings upon which this project approval is based is the office of the City Clerk. NOW, THEREFORE, BE IT RESOLVED THAT A. The City Council hereby finds as required by Zoning Ordinance section 50.62(b )(3) that the project would substantially benefit the City, and would not create significant negative impacts to public facilities or to providers of public services in the community or to the Gilroy Unified School District, and makes these findings based on facts as set forth in the record, including the attached Staff Report. B. M 97-12 should be and hereby is approved subject to the following two conditions: 1. The Applicants must obtain the necessary right-of-way along the western side of Kern Avenue from Mantelli Drive to the northern boundary ofthe project site, and 2. The lease of a unit shall be held in the names of the qualifying residents of that apartment, not in the name of a living assistant. PASSED AND ADOPTED this 20th day of January, 1998 by the following vote: AYES: COUNCILMEMBERS: ARELLANO, GIFFORD, MORALES, ROWLISON, SPRINGER, SUDOL, GILROY COUNCILMEMBERS: NONE NOES: ABSENT: COUNCILMEMBERS: NONE APPROVED: (~.N~Q~ K. A. Mike Gilroy, Mayor '1 ATTES~ ' ~~ Rhon a Pellin, City Clerk IKBAI400738,01 81-012604706002 -2- RESOLUTION NO. 98-7 . . Exhibit A Com.munity Development Department Planning Division Staff Report October 30, 1997 LIe Number: ,M 97-12/ AHE 97-03 Applicant: Beverly Working and Gloria Bentinck [c/o South County Housing] Location: Property located west of Kern Avenue, between Mantelli Drive and Tatum Avenue, adjacent to the SCVWD drainage channel Staff Planner: Melissa Durkin REQUESTED ACTION: The applicant is requesting an Affordable Housing Exemption from the RDO competition for Villa Esperanza, a 21 unit low income apartment project that will house the developmentally disabled. DESCRIPTION OF PROPERTY: Parcel Number: Parcel Size: Flood Zone 790-04-038 (portion) 1.313 acres "B", Panel # 060 340 0001C Panel Date: 10/6/81 STATUS OFPRQPERTY: Existing T ,and Use Undevelop.ed General Plan Designation High Density Residential Zoning R1 ST A TTJS OF SURROUNDING PROPERTY: Existing Land Use N: Undeveloped S: Single Family Residence E: G.U.S.D. Farm W: Drainage Channel General Plan Designation High Density Residential Medium Density Residential Medium Density Residential ParkIPublic Facility Zoning R1 Rl County Ag. PF -sL,A.'I, . . M 97-12 / ARE 97-03 2 10/30/97 CONFORMANCE OF REQlffiST WITH GENERAl, PIJAN: The proposed project conforms to the land use designation for the property on the General Plan map, and is consistent with the intent of the text of the General Plan Document. This project conforms with the policies of Gilroy's General Plan. The following example demonstrates this compliance: IIrhan Development and Community Design (Section II): Policy 3: "Urban Development will only occur within the incorporated portion of the Planning Area. Land will therefore be annexed to the City before final development approval is given. " The proposed project is in conformance with this policy, because this land has been within City limits for many years. Policy 4: "The City will phase development in an orderly, contiguous manner in order to maintain a compact development pattern to avoid premature investment for the extension of public facilities and services. New urban development will occur in areas where municipal services are available and capacity exists pn'or to the approval of development in areas which would require major new facility expansion. " The proposed project is in conformance with this policy, because this property is surrounded by developed property to the east and south, and municipal services are available near this site. ENVIRONMRNTAL IMPACTS: NEGATIVE DECLARATION An expanded initial study has been prepared for this project. The study identified potentially significan~ effects on the environment, however, the applicant has agreed to individual mitigation measures which Will avoid or mitigate the effects to a point where no significant impacts will occur. A Negative Declaration, with 8 mitigation measures, has been prepared for this project (see attachment). REIJA TED APPIJICA TIONS: Z 97-05: - A Zone Change request to change the zoning designation of this property from Rl (Single Family Residential) to R3-PUD (Medium Density Residential-Planned Unit Development) This application will be presented to the Planning Commission and City Council in November, 1997. A/S 97-55: Planned Unit Development Architectural and Site review for the construction of21 Low Income apartment units. This application will be presented to the Planning Commission and City Council in November, 1997. . . . . M 97.,12 / ARE 97-03 3 10/30/97 ANAT,YSIS OF REQUEST: The applicant is requesting approval of an Affordable Housing Exemption from the RDO under the provisions of Zoning Ordinance section 50.62 (b) (3). This section of the Zoning Ordinance governs affordable housing developments which are constructed by government fund.ed agencies. Under this section, the City Council may grant an RDO exemption only if it is determined to meet the following criteria: "The City Council shall grant an exemption under this subsection only if the City Council determines the project would substantially benefit the City, and would not create significant negative impacts to public facilities or to providers of public services in the community or to the Gilroy Unified School District. The City Council shall also consider the following elements in determining whether to grant this exemption: a. The number of exempt units which have already been granted during the current RDO cycle, and the number of years left in the cycle; b. The affordability of the project; c. The need for the types of units which are proposed; d. The number of affordable housing projects constructed or proposed within the project vicinity; e. The diversity of unit type and architectural styles which are proposed in the entire development; and f. The site design and proposed building elevations." The applicant has analyzed the project's ability to meet this criteria; it is attached to the staff report as Attachment A. Following is staffs determination of this project's consistency with the exemption criteria: .. The applicant has agreed to mitigate impacts to the Gilroy Unified School District. Staff believes this project is Consistent with this criteria .. The applicant will need to obtain the full right-of-way along the west side of Kern Avenue from Mantelli Drive to this project's northern boundary. Although no formal agre~ent has been signed, the applicant has begun negotiations with the property owners to the south to obtain the necessary land [see Attachment B]. The applicant will be required to obtain all necessary right-of-way as a condition of approval for this project. Staff believes this project is Consistent with this criteria. A. The City Council set aside 950 housing units to be exempted from the RDO competition in the ten year cycle between 1994 and 2003. Although there are no annual limits on the number of exempt units which can be awarded, the City Council has expressed a desire to ensure that the exempt units are not completely allocated in the first few years of the RDO cycle. So far, 458 units have been allocated through the exemption process, leaving a balance of 492 units available for the six years remaining irl the cycle. If this request is approved, 437 exempt units will be available to be allocated in the remaining 6 years of this RDO cycle, which is approximately 46% of the original .. , I , . . M 97-12 / ARE 97-03 4 10/30/97 number ofRDO exempt units. Staff does have some concerns about the prospects of exempt units being available at the end of this RDO cycle, however we believe that this request is marginally C.onsistent with this criterion. B. The developer will rent these apartment units only to developmentally disabled households. These households are in an income category which falls below "Very Low," since they are dependent upon the federal SSI program as the primary source of their income. Atthis time, those incomes are approximately $621 per month. The provisions of the Housing and Urban Development (BUD) funds that will be used to construct this project state that the renters can pay a maximum of 30% of their income toward rent. Given these provisions, the average monthly rent for these units would be $186 for a one bedroom unit up to about $559 for a three bedroom unit ($186 from each ofthree tenants). Staff believes this project is Consistent with this criterion. c. According to the City's Consolidated Plan, which was adopted on May 1, 1995, Gilroy has a demand for 846 new affordable rental units. Since that document was adopted, there have been three affordable rental projects approved within the City: the 34 unit Monterra Village, located south of Mantelli Drive and west ofKem Avenue; the 74 unit Gilroy Park Apartments, located south of Farrell Avenue, east of Wren Avenue; and the 74 unit Gilroy Garden Apartments, located along Wren Avenue, south of Farrell Avenue. The proposed project will build 21 ap'artment units that will be rented to developmentally disabled citizens, which is a historically underserved population. Currently there are no rental units within City limits that are rented exclusively to developmentally disabled citizens. The proposed project would be a significant effort toward addressing this need. 'Staffbelieves this project is Consistent with this criterion. D. The following affordable housing developments are near this site: .. The Redwoods: 30 Low Income apartment units, 500 feet south of the proposed project .. Monterra Village: 34 Low Income and Very Low Income apartment units, 800 feet south of. the proposed project .' . . .. Glenbrook: 46 Low Income and MedianlModerate Income owner-occupied homes, 800 feet southwest of the proposed project ... Summerhill: 65 Low Income and MedianlModerate Income owner-occupied homes, 1200 feet northwest of the proposed project Therefore, there are 175 affordable housing units within 1/4 mile of this site. Although there could be concerns about over-concentration of affordable hO,using units in this location, these concerns are mitigated by four factors: 1. There are two distinct types of units constructed in this area (rental apartment units and owner- occupied single family homes). 2. Taken as a whole, the affordable housing projects in this 1/4 mile area are affordable to Very Low, Low, Median, and Moderate income groups. Because these projects are affordable to a ,mixture of incomes, people of various incomes and backgrounds are living together. . In the long term, this creates more sustainable neighborhoods, and better planned communities. ' ., l . . . . . . M 97-12 / AHE 97-03 5 10/30/97 3. The proposed project will be rented exclusively to developmentally disabled households. There are no facilities of this type in this area. 4. The property which is proposed to be developed in this application has a General Plan designation, of High Density Residential, which could correspond to a maximum zoning designation of R4, and would most likely be developed with apartment units, regardless of whether they are affordable. Staffbelieves this project is Consistent with this criterion. E. The proposed apartment units will be rented to developmentally disabled individuals, and all of the units will be accessible to disabled people. There are no other projects in the city which are similar to this project. Staff believes this project is Consistent with this criterion. F. The applicant has proposed a site design which meets City standards, and has proposed elevations and exterior materials which are different from other projects in this area. Staff believes this project is Consistent with this criterion. STAFF ACTION: S.taf[.recmnm.ends APPROVAL oftl1is request, for the following reasons: 1. The request is generally consistent with criteria set forth to exempt affordable housing units. 2. There is a need for the type of units which are proposed. 3. The applicant has agreed to mitigate all impacts to public facilities and services, and to the Gilroy Unified School District. Staff further recommends that the following condition he applied to the...approvaLof..tb.li.project: 1. The applicant will be required to obtain the necessary right-of-way along the western side ofKem Avenue from Mantelli Drive to the northern boundary of the project site. , Respectfully, ~ ~~ William Faus Planning Division Manager '" J .,. .. , . . I, RHONDA PELLIN, City Clerk of the City of Gilroy, do hereby certify that the attached Resolution No. 98-7 is an original resolution, duly adopted by the Council of the City of Gilroy at a regular meeting of said Council held on the 20th day of January, 1998, 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 30th day of January, 1998. ~~. City Clerk of the City of Gilroy (Seal)