Title
Consider a First Reading of an Ordinance Amending Sections 5.08.136 and 5.12.132 of the San Leandro Zoning Code to Extend by Two Years the Entitlements for Qualified Housing Projects
Staffreport
SUMMARY AND RECOMMENDATION
The Planning Commission and Staff recommend the City Council adopt an Ordinance amending the Zoning Code to automatically extend residential project entitlements issued after January 1, 2019 for two (2) years in order to grant additional time for construction to proceed and to prevent the expiration of entitlements for critically needed housing units.
BACKGROUND
Over the last few years, the City has approved entitlements for numerous residential development projects that, when combined, add up to over 2,000 potential new dwelling units. The entitlements for these residential projects include Conditional Use Permits and Site Plan Review. However, the ongoing economic impacts caused by the COVID-19 Pandemic and other economic factors have made it difficult for many of these projects to begin construction. While the strict health orders that halted constructed early in the pandemic are no longer in place, the COVID-19 Pandemic continues to impact the global supply chain. Various other factors, including labor shortages and rising interest rates, have also made it difficult for developers to obtain necessary financing.
The San Leandro Zoning Code establishes various deadlines, typically two years after issuance, for applicants to obtain building permits for their approved entitlements, otherwise the entitlements will expire. Allowing the entitlements for the recently approved housing projects to expire will result in these projects ceasing and necessary residential units not being constructed. This will negatively impact San Leandro’s efforts to combat the ongoing housing crisis. The housing crisis has made it difficult for households across the income spectrum to find affordable housing to buy or rent.
The proposed amendments to the Zoning Code will provide an automatic two-year extension to Conditional Use Permits and Site Plan Review entitlements for residential projects issued between January 1, 2019 and June 30, 2022. This extension will apply to all single-family, multi-family, and mixed-use residential projects approved during this time frame. The extension will be in addition to other discretionary extensions currently available under other sections of the Zoning Code. The proposed amendments are consistent with the City’s General Plan and Housing Element including various goals and policies focused on increasing the supply of residential units within San Leandro, including both market-rate and affordable units.
DETAILS OF THE PROPOSAL
A copy of the proposed Zoning Code amendment has been attached to this report.
GENERAL PLAN CONFORMANCE
The proposed Zoning Code amendments are consistent with the General Plan and further the following General Plan goals and policies:
GOAL LU-3: Provide housing opportunities and improve economic access to housing for all segments of the community.
Policy LU-3.4: Promotion of Infill. Encourage infill development on vacant or underused sites within residential and commercial areas.
Policy LU-3.10: Market-Rate Housing. Encourage the provision of a significant amount of market-rate ownership and rental housing as part of an effort to maintain and diversify the City’s economic base.
GOAL LU-6: Foster the development of Downtown San Leandro as a vibrant pedestrian-oriented destination that is the civic and social heart of the City.
Policy LU-6.6: Downtown Housing Diversity. Encourage a mix of market-rate and affordable housing in the Downtown area, including ownership and rental housing at a variety of price points. Recognize the opportunity to make future Downtown housing more affordable by reducing accompanying transportation costs and making it more feasible to use transit, bicycles, car-sharing, and other innovative modes of transportation as these become viable.
ENVIRONMENTAL REVIEW
The proposed amendments are exempt from the California Environmental Quality Act (“CEQA”) based on the rule set forth in CEQA Guidelines section 15061(b)(3) that CEQA applies only to projects that have the potential for causing a significant effect on the environment. As an extension of zoning permits for previously approved projects, each of which has already individually been subject to any applicable environmental review, it can be seen with certainty that there is no possibility that the Ordinance will have a significant effect on the environment.
PUBLIC OUTREACH
The proposed Zoning Code amendments were noticed in the East Bay Times Daily Review with a display advertisement and identified on the meeting agenda posted in advance of tonight’s hearing. This item was also advertised in advance of the Planning Commission’s hearing on July 7, 2022. Staff notified parties holding eligible existing residential entitlements who may benefit from the proposed amendments in advance of this hearing.
BOARD/COMMISSION REVIEW AND ACTIONS
At its public hearing held on July 7, 2022, the Planning Commission adopted Resolution No. 2022-006 by a 5-0 decision, with Commissioners Tejada and Santos absent, recommending the City Council amend the Zoning Code to automatically extend residential project entitlements issued after January 1, 2019 for two (2) years. No members of the public in attendance at the hearing spoke on the proposal and no public comments were received in advance of the hearing.
ATTACHMENTS
Attachment A: Ordinance Amending Zoning Code Sections 5.18.136 and 5.12.132
Attachment B: Exhibits A and B
PREPARED BY:
Andrew Mogensen, AICP, Planning Manager, Community Development Department