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Ordinance 1981-21ORDINANCE NOo 81-21 AN ORDINANCE OF THE CITY OF GILROY PROVIDING REGU- LATION TO DIRECT AND MANAGE THE RATE AND LOCATION OF NEW INDUSTRIAL DEVELOPMENT WITHIN THE CITY. THE CITY COUNCIL OF THE CITY OF GILROY DOES ORDAIN AS FOLLOWS: Section Findinss A. The historically slow rate of new industrial development in Gilroy relative to housing development requires that employment be generated in order to attain a balanced community. However, due to the large supply of industri- ally zoned land, this employment generation cannot go unrestrained if a balanced community is to be maintained. B. Unrestrained industrial growth may seriously impair the City's ability to accomplish the goals of the General Plan and the General Plan Elements. C. The City's ability to provide continued and adequate services and amenities such as, water supply, storm drainage, police protection, fire protection, recreational areas, and streets will be seriously impaired if the City grows too rapidly. D. Gilroy has a surplus of housing for' the number of people currently employed in Gilroy. These homes are occupied by residents who work in areas outside Gilroy, primarily in the San Jose area. The resulting commute pattern yields traffic congestion, air pollution and wasted time and energy. E. The City has a large supply of industrially-designated land which has been off the market and has remained vacant for substantial periods of time. F. Most of Gilroy's economic base is local-serving (as opposed to basic pro- duction for larger market areas). However, the demand is currently grow- ing for site locations for basic industries. G. The public welfare requires the establishment of industrial development re- view to direct and manage the rate and location of new industrial develop- ment within the City of Gilroy. H. The City of Gilroy has a long history and tradition since its founding in 1870, during which the City has gradually grown in population. Throughout most o~ its history, Gilroy has had primarily a local agricultural econo- mic base. In the last several decades, related manufacturing and ware- housing uses have developed, as well. I. Any increase in the Gilroy population of school age children will strain the ability of the Gilroy Unified School District to provide adequate edu- cation. J. The City's capability to provide adequate sewage capacity for industrial uses is currently limited and will continue to be limited for the fore- seeable future. The Zoning Ordinance alone cannot provide comprehensive review procedures which would ensure efficient use of City services and protection of the en- vironment of the City. Section 2 Statement of Intent Implement the City of Gilroy's General Plan Urban Growth and Development policies that a balanced community of industrial, commercial and residen- tial development is desired and will be actively pursued. ORDINANCE NO. 81-21 -1- B. Provide a sound, steady economic base for the City and encourage a regular 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 Gilroy's housing sup- ply to house new workers. C. 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. D. Provide local employment alternatives for Gilroy residents skilled in basic production industries who are unable to find work locally, thereby reducing unnecessary commutes and preserving energy and air quality. E. Provide alternatives for unskilled Gilroy residents in order to reduce the unemployment level. Section 3 Ao Application The provisions of this ordinance shall apply to all industrial development proposed to be constructed within industrially-zoned districts in the City of Gilroy, except for those industrial developments specifically listed as exempt in Paragraph B following. The following types of industrial projects are exempted from the provisions of this ordinance. Such projects, however, shall be processed in accor- dance with all other applicable ordinances and regulations. 1. Replacement buildings for substandard industrial buildings. 2. Industrial buildings, existing in Gilroy City limits, being relocated to another location. 3. Any expansion of existing industrial development or new industrial de- velopment which occupies, or may be expanded to occupy, no more than 3 acres. 4. Buildings for Federal, State or local governmental agencies. 5. Industrial projects exempt from Architectural and Site Approval Com- mittee review. 6. Existing industries in Gilroy relocating facilities and employment to new facilities in Gilroy. Section 4 Annual Jobs/Housing Balance Evaluation A. Criteria for Setting New Employment Limits Once each year, (in conjunction with the setting of the three-year Numerical Limits for housing) the City Council shall consider economic conditions, avail- ability of public services, environmental constraints, available housing, unem- ployment levels, traffic patterns, and other studies relevant to the industrial development program. Based on these studies, the Council shall establish the amount of new employment in the subsequent three years which the City can sus- tain without creating a jobs/housing imbalance. Industrial development approv- als issued by the City in any given year shall not allow more new employment than the employment limit adopted as a maximum for that year. B. Procedure for Setting New Employment Limits 1. At the first regular meeting of the City Council in April of each year, con- current with the establishing of a Numerical Limit for the Residential Devel- opment Ordinance, the City Council shall adopt a resolution setting the New Employment Limits for Industrial Development for the following three calendar years. Consideration of and adoption of the New Employment Limits for indus- trial development shall be done at a duly noticed public hearing. If neces- sary, due to lack of time, the City Council may continue the public hearing to the subsequent meeting. Said resolution shall set forth the findings sup- porting the determination of the New Employment Limits for industrial develop- ment. ORDINANCE NO. 81-21 -2- 2. The New Employment Limits for industrial development adopted each year shall cover the succeeding three (3) years. At each subsequent yearly setting of New Employment Limits, the following two (2) year limits may be adjusted and set, and a new third year limit shall be established. 3. At any time during the year, the City Council may adopt a resolution permit- ting a special exception to the New Employment Limits for that calendar year only. Such a special exception to the New Employment Limits for any calen- dar year shall be approved only when the City Council finds and determines that such an exception is necessary to maintain a balance of jobs to housing in Gilroy, and that the special exception will not adversely affect the City's ability to provide services. C. Monitoring of New Employment Levels All {ndustrial developments, subject to this ordinance, shall be required to submit an accurate estimate of total permanent and temporary employment gen- erated by the development. Estimates shall be required on all applications for architectural and site review. In addition, all industrial businesses, except those exempted by Section 3.B. of this ordinance, shall submit an ac- curate count of all permanent and temporary employees during the previous year with each annual business license application or renewal. D. Implementation of New Employment Limits All industrial development projects which are subject to this ordinance shall be processed in accordance with the provisions of the zoning ordinance until the New Employment Limit is reached in any calendar year. The New Employment Limit shall be reached when the total of the employee estimates for new in- dustrial and manufacturing facilities is equal to or greater than the New Em- ployment Limit. The City Council may assign a build-out schedule for up to three (3) years for any industrial development approved under the provisions of this ordinance. No architectural review or building permits shall be is- sued for industrial projects, during the calendar year, once industrial ap- plications exceeding the New Employment Limit have been received, except those which are exempt under the provisions of Section 3.B. of this ordinance. Ap- plications for splitting, consolidating or rezoning industrial parcels shall not be affected by the provisions of this ordinance. PASSED AND ADOPTED THIS 6th day of July, 1981, by the following vote: AYES: NOES: ABSENT: COUNCILMEMBERS: ALBERT, HUGHAN, LINK, PATE, TAYLOR and GOODRICH COUNCILMEMBERS: NONE COUNCILMEMBERS: CUNNINGHAM APPROVED: / / City~k ORDINANCE NO. 81-21 -3- I, SUSANNE Eo STEINMETZ, City Clerk of the City of Gilroy, do hereby certify that the attached Ordinance NOo' 81-21. is an original ordinance, duly adopted by the Council of the City of Gilroy at a regular meeting of said Council held on the~ 6th day of .. . July ., 19 81 , at which meeting a quorum was pres ent o IN WITNESS WHEREOF, I have hereunto set my hand and affixed the Official Seal of the City of Gilroy, this 17th · day of ~, July , 19 81 . /City Cie~k of the Cfty o Gilroy ~--