Title
Public Hearing to Consider Introduction of Ordinance Amending Chapter 30 of the Alameda Municipal Code (Zoning Ordinance) to Streamline Permitting for Second Units. [The Proposed Amendments Regarding Second Units are also Statutorily Exempt from CEQA Pursuant to CEQA Guidelines Section 15282(h), for the Adoption of Ordinances Implementing Assembly Bill 1866 - Second Unit Law (Government Code Section 65852.2) and Categorically Exempt pursuant to CEQA Section 15305 Minor Alterations to Land Use Limitations]. (Community Development 481005)
Body
To: Honorable Mayor and Members of the City Council
From: Elizabeth D. Warmerdam, Interim City Manager
Re: Public Hearing to Consider Introduction of Ordinance Amending Chapter 30 of the Alameda Municipal Code (Zoning Ordinance) to Streamline Permitting for Second Units. [The Proposed Amendments Regarding Second Units are Statutorily Exempt from CEQA Pursuant to CEQA Guidelines Section 15282(h), for the Adoption of Ordinances Implementing Assembly Bill 1866 - Second Unit Law (Government Code Section 65852.2) and Categorically Exempt pursuant to CEQA Section 15305 Minor Alterations to Land Use Limitations]
BACKGROUND
The proposed zoning text amendments are intended to streamline planning review and facilitate the creation of small second units to help address the current housing crisis facing small, middle income households and seniors in Alameda. The Planning Board held public hearings to review these amendments as part of the recent Housing Element Annual Review and on November 23, 2015. The proposed amendments that are described below and included in the draft ordinance, were recommended unanimously by the Planning Board at their November 23 regular meeting.
The proposed amendments to the Second Unit Ordinance are part of a larger package of zoning amendments recommended for approval by the Planning Board. However, staff believes it is prudent to bring this item forward at this time given the City Council’s current efforts to address the rental housing crisis in Alameda. The remaining zoning amendments will be presented to the City Council in early 2016.
DISCUSSION
The proposed amendments to the Second Unit Ordinance and Accessory Building Regulations are recommended to address Alameda’s current housing crisis. Second units (sometimes called “granny units” or “in-law units”) are small studio or one-bedroom rental units (less than 700 square-foot) that are located on a property with a single-family home.
Allowing second units in existing neighborhood is an important strategy for cities like Alameda to add small affordable units for small families and seniors whose income levels exceed limits to qualify for affordable housing yet their earnings are not enough to afford market rate homes.
The provision of second units is facilitated by State legislation, which requires cities to adopt processes to allow second units in single-family and multi-family zoning districts. In passing the Second Unit Law, the State Legislature established a specific CEQA Statutory Exemption for local ordinances implementing the Second Unit Law to preclude CEQA challenges by NIMBY (“Not in My Back Yard”) opposition in local communities (CEQA Guidelines Section 15282(h)). As a result, local ordinances implementing Second Unit Law do not require environmental impact analysis.
Shortcomings of the Current Ordinance
Given the City of Alameda’s current housing crises, the City Council has been exploring ways to address the recent crises in housing costs which is resulting in displacement of Alameda residents and families. Providing opportunities for small, affordable rental units in existing neighborhoods should be one of the City’s many strategies to deal with this difficult regional and local crisis.
Although the City does have a second unit ordinance, that ordinance has produced less than one second unit per year. Requirements in the current ordinance that make the production of second units difficult in Alameda include:
• Large Lot Size Requirement - The current ordinance allows second units only on lots that are 7,500 square feet or larger in size. Based on County Assessor’s data, it is estimated there are fewer than 350 lots in the R-1 zoning that currently qualify.
• Parking Requirement - The current ordinance requires one independent parking space to be created for the second unit. This parking space is in addition to the standard two spaces required for the main dwelling. Tandem parking is prohibited for the second unit parking space, which means property owners wishing to create a second unit must pave over their backyard for more parking.
• Second Units Not Recognized as Accessory Buildings - The current ordinance explicitly states that second units are not accessory buildings, and hence, they default to being regulated under the development standards as main residential structures. In effect, this means a detached second unit must maintain a twenty-foot setback from the main dwelling and provide another twenty-foot setback from the rear property line. Few single-family properties in Alameda can satisfy these development standards.
Summary of the Major Proposed Revisions
The proposed amendments to the Second Unit Ordinance include the following:
• Reduce Lot Size Requirement: The proposed amendment reduces the minimum lot size requirement from 7,500 square feet to 4,000 square feet in size. The 4,000 square foot minimum requirement reflects the maximum density allowed under “Measure A” of one unit per 2,000 square feet of lot area.
• Adjust Parking Requirement: The proposed amendment would require eligible properties to have two parking spaces, one for the main dwelling and one for the second unit. These parking spaces may be in tandem configuration. In Alameda, single-family rectangular lots are often configured with a driveway on one side leading to a garage or accessory building in the rear. The existing long driveways provide opportunities for parking without requiring additional pavement in the backyard.
• Allow Second Units in Accessory Buildings: The proposed amendment eliminates conflicts between the Second Unit Ordinance and the Accessory Building Regulations. Specifically, it would remove regulations that preclude property owners from using existing accessory buildings as living space or building small backyard cottages for second units. Existing requirements that the detached second unit match the architectural style of the main dwelling would remain unchanged. Accessory buildings converted for living space are subject to applicable building and safety codes.
Conclusion and Next Steps
The Planning Board and staff believe that the proposed revisions will make it easier for Alameda homeowners to add small, 700-square-foot second units to address the need for affordable rental housing in Alameda. While the ordinance amendments should increase the number of second unit applications, staff does not believe there will be a major increase in the number of applications submitted as the result of these changes. Although it is difficult to estimate how many new units might be produced annually by these changes, staff would expect that the changes might increase the annual number of applications from less than one to 10 or 15 per year. Staff will be monitoring the progress of the second unit program annually through the Housing Element Annual Reporting process. The Housing Element report provides the City Council an annual opportunity to monitor and adjust the requirements for permitting second units to address new issues that may arise each year.
FINANCIAL IMPACT
There is no financial impact to the General Fund to adopt an ordinance amending Chapter 30 of the Alameda Municipal Code (Zoning Ordinance) to streamline permitting for second units.
MUNICIPAL CODE/POLICY DOCUMENT CROSS REFERENCE
The Zoning Ordinance is proposed to be amended consistent with the General Plan, Alameda Municipal Code, and State law.
ENVIRONMENTAL REVIEW
The proposed amendments specifically related to second units are Statutorily Exempt from the requirements of CEQA pursuant to Section 15282(h) of the CEQA Guidelines, which exempts the adoption of ordinance revisions to comply with Government Code Section 65852.2 (AB 1866 - Second Unit Law) and Categorically Exempt pursuant to CEQA Section 15305 Minor Alterations to Land Use Limitations.
RECOMMENDATION
Conduct a public hearing to consider introduction of an ordinance amending Chapter 30 of the Alameda Municipal Code (Zoning Ordinance) to streamline permitting for second units.
Respectfully submitted,
Debbie Potter, Community Development Director
By:
Allen Tai, Planning Services Manager
Financial Impact section reviewed,
Elena Adair, Finance Director