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HomeMy WebLinkAbout75B - PH CONDOS CH 34 & CH 41REQUEST FOR COUNCIL ACTION CITY COUNCIL MEETING DATE: JUNE 18, 2007 TITLE: PUBLIC HEARING - GENERAL PLAN AMENDMENT NO. 2007-02, ZONING ORDINANCE AMENDMENT NO. 2007-03 AND ORDINANCE AMENDMENT NO. 2007-01 TO AMEND THE GENERAL PLAN OF THE CITY AND TO CREATE STANDARDS FOR NON- RESIDENTIAL CONDOMINIUM DEVELOPMENTS WITHIN CHAPTERS 34 AND 41 OF THE SANTA ANA MUNICIPA ODE CITY MANAGER RECOMMENDED ACTION CLERK OF COUNCIL USE ONLY: APPROVED ^ As Recommended ^ As Amended ^ Ordinance on 1s' Reading ^ Ordinance on Intl Reading ^ Implementing Resolution ^ Set Public Hearing For CONTINUED TO FILE NUMBER 1. Adopt a resolution approving General Plan Amendment No. 2007-02. 2. Adopt an ordinance approving Zoning Ordinance Amendment No. 2007-03. 3. Adopt an ordinance approving Ordinance Amendment No. 2007-01. PLANNING COMMISSION ACTION On June 11, 2007, the Planning Commission recommended that the City Council adopt a resolution approving General Plan Amendment No. 2007-02, adopt an ordinance approving Zoning Ordinance Amendment No. 2007-03, and adopt an ordinance approving Ordinance Amendment No. 2007-01 by a vote of 5:0 (Betancourt, De La Torre absent) to adopt standards for non- residential condominiums within Chapter 34 and Chapter 41 of the Santa Ana Municipal Code and to amend various elements of the General Plan. The Planning Commission made no changes to the modifications outlined in the attached staff report (Exhibit A). FISCAL IMPACT There is no fiscal impact associated with this action. u~ Jay Trevino E tive Director Planning & Building Agency CR:rb ci\repotto\gpa0v-02zoa09-03oa00-Ol.cc 75B-1 REQUEST FOR Planning Commission Action PLANNING COMMISSION MEETING DATE: JUNE 11, 2007 TITLE: PUBLIC HEARING - GENERAL PLAN AMENDMENT NO. 2007-02, ZONING ORDINANCE AMENDMENT NO. 2007-03 AND ORDINANCE AMENDMENT NO. 2007-01 TO AMEND THE GENERAL PLAN OF THE CITY AND TO CREATE STANDARDS FOR NON-RESIDENTIAL CONDOMINIUM DEVELOPMENTS WITHIN CHAPTERS 34 AND 41 OF THE SANTA ANA MUNICIPAL CODE Prepared by Carlos Rodriguez l Executive Director v RECOMMENDED ACTION Recommend that the City Council: PLANNING COMMISSION SECRETARY APPROVED ^ As Recommended ^ As Amended ^ Set Public Hearing For DENIED ^ Applicant's Request ^ Staff Recommendation CONTINUED TO ~.~iL( ¢--~'~ Planning Mana r 1. Adopt a resolution approving General Plan Amendment No. 2007-02. 2. Adopt an ordinance approving Zoning Ordinance Amendment No. 2007- 03. 3. Adopt an ordinance approving Ordinance Amendment No. 2007-01. DISCUSSION Background A recent real estate trend includes the subdivision of commercial and industrial centers into air space condominium units. Each condominium unit is owned by an individual owner instead of having one person or entity owning the entire property. Currently, the Santa Ana Municipal Code contains guidelines for residential condominiums but does not contain standards for commercial or industrial condominiums. The City is interested in implementing standards that adequately address items that result in quality projects and development. Additionally, these standards would reduce the potential for future site issues due to the complexity of numerous individuals owning units within a commercial or industrial project. EXHIBIT A 75B-2 General Plan Amendment No. 2007-02 Zoning Ordinance Amendment No. 2007-03 Ordinance Amendment No. 2007-01 June 11, 2007 Page 2 Analysis o£ the Issues Air space condominiums allow individual ownership of units created by a subdivision map. This type of development has given businesses opportunities to own their own unit instead of leasing a space and paying rent. A condominium unit is enticing to many businesses as it allows them to avoid continually paying rent while at the same time using the property as an investment. Currently, the subdivision of commercial and industrial sites into air-space condominiums is allowed by Chapter 34 of the Santa Ana Municipal Code (SANG); however, there are no standards in place for non-residential condominium development. Chapter 34 of the SAMC contains standards for residential condominium projects. Without any standards, the City is unable to adequately address issues that may arise from the subdivision of commercial and industrial sites into condominiums. Potential issues include the lack of landscape, building and site maintenance, and insufficient easements and reciprocal rights for access and parking. Without sufficient standards, once viable and attractive centers can fall into a deteriorated condition due to neglected maintenance and landscaping. A significant number of commercial and industrial projects were built many years ago and will not, therefore, comply with today's development standards. These properties do not meet the requirements of Chapter 41 of the SAMC and thus fall into a non-conforming status. The intent of the non-conforming section of the zoning code is to create a system that over time recycles and transforms non-conforming properties into new developments. Older and substandard commercial and industrial centers are typically the primary candidates for condominium conversions. Many of these older developments do not meet the current development standards for parking, landscaping or building setbacks. Once the property is divided into air-space condos, the opportunity to enhance the site and to meet the current development standards is lost. With numerous owners, the ability to consolidate the site is decreased as a developer would need to purchase each unit from an individual owner. This usually results in the site staying as is with no upgrades or enhancements unless there are City standards that require such improvements. 75B-3 General Plan Amendment No. 2007-02 Zoning Ordinance Amendment No. 2007-03 Ordinance Amendment No. 2007-01 June 11, 2007 Page 3 With appropriate standards condominium subdivision projects can give new life to older centers by infusing new investment into what are often marginally tenanted buildings. Without new standards required as a result of subdivision, the economic life of a substandard center will be extended and the project site will remain in an unimproved condition. As the economic life of the development is being extended, the City wants to ensure that the subdivision will maintain the economic vitality of the project site for many years to come. The intent of the municipal code is to create a high quality project that will increase the property value and the economic viability of site and adjoining properties. By upgrading a once neglected site to meet the current zoning standards, the developer will be able to maintain the project site at a higher property value and will allow for the successful resale of the property as it passes through different owners. By having several owners, maintenance issues also need to be addressed for the long term vitality and success of such centers. Landscaping, general building upkeep, and trash clean up need to be addressed to keep the exterior of the center in an appropriate condition. Generally, these items are taken care of by an Owners Association and by property managers who are in charge of the common tenant areas. Requirements for the maintenance of the site are typically found within the Covenants, Conditions and Restrictions (CC&RS) of the site. The CC&RS should be reviewed by the City to ensure that all items are adequately addressed and that the center will be properly maintained. Also, the CC&Rs ensure that each owner maintains access to common areas and is responsible for their share of the maintenance. Currently, the City has no requirements for such CC&Rs. Several life safety items also need to be addressed. The Police Department needs to ensure that the project site meets the City's requirements for building security as well as ensuring that site lighting is in full compliance with current standards. Additionally, the Fire Department needs to ensure that the site will maintain fire lanes and access to all areas of the site. Fire sprinkler systems will be maintained both within common areas as well as individual units. Lastly, as many of these centers can be older sites, the Building Department needs to ensure that the existing building is safe and accessible. 75B-4 General Plan Amendment No. 2007-02 Zoning Ordinance Amendment No. 2007-03 Ordinance Amendment No. 2007-O1 June 11, 2007 Page 4 General Plan Amendment The general plan amendment will amend the Land Use Element of the General Plan. The Land Use Element will contain a Policy Goal that will allow the City to support condominium subdivisions projects based on the site complying with the current development standards. Additionally, Policy 2.8 of the Land Use Element will be modified to encourage rehabilitation of both commercial and industrial properties. Zoning Ordinance Amendment In order to create development standards, staff will amend Chapter 41 of the SAMC. These standards will allow the City to require condominium projects to upgrade the project site in order to comply with the current City standards. This will help to address any life and safety issues, long term maintenance of the site, and to ensure that the project site maintains its economic vitality. Ordinance Amendment This will create the process for the approval of a non-residential condominium subdivision. As there are no current processes for this type of development, the City will create the requirement of a non- residential condominium development permit within Chapter 34 of the SAMC. This permit will be required prior to the approval of any subdivision maps for condominium purposes. Additionally, all non- residential condominium maps will require the review and approval of the Planning Commission and City Council. Policy 2.8 of the General Plan land use element indicates that the City should promote rehabilitation of commercial properties, and encourage increased levels of capital investment. The City should create standards that focus on what on-site improvements need to be completed with the subdivision in order to create a completely upgraded project site. Additionally, Policy 5.11 of the Land Use Element encourages developments that provide a clean and safe environment for the City's residents, workers and visitors. By creating standards that aid in the maintenance of the site, the City will create developments that minimize the potential for safety hazards. Therefore, staff recommends that the Planning Commission recommend that the City Council approve General Plan Amendment No. 2007-02, Zoning Ordinance Amendment No. 2007-03 and Ordinance Amendment No. 2007-O1. 75B-5 General Plan Amendment No. 2007-02 Zoning Ordinance Amendment No. 2007-03 Ordinance Amendment No. 2007-01 June 11, 2007 Page 5 CEQA Compliance In accordance with the California Environmental Quality Act, the recommended action is exempt from further review per Section 15305. This Class 5 exemption allows for minor alterations in land use limitations which do not result in changes to density or land use. Categorical Exemption Environmental Review No. 2007-74 will be filed for this project. Carlos Rodriguez Assistant Planner II CR:jm cr\repor[e\gpa0]-02 zoa0]-03oa0]-Ol.pc ~_ Vince Freg so, AIC Senior Pla 75B-6 bk:6112/07 RESOLUTION NO. 2007-xx A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA ANA APPROVING GENERAL PLAN AMENDMENT NO. 2007-02 ADDING POLICIES TO THE LAND USE ELEMENT OF THE GENERAL PLAN BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SANTA ANA AS FOLLOWS: Section 1. The City Council of the City of Santa Ana hereby finds, determines and declares as follows: A. General Plan Amendment No. 2007-02 has been filed to amend various sections of the Land Use Elements of the General Plan to support the purpose of the nonresidential condominium ordinance considered concurrently herewith. B. The Planning Commission of the City of Santa Ana held a duly noticed public hearing on June 11, 2007, on General Plan Amendment No. 2007- 02, and recommended that the City Council adopt a resolution approving General Plan Amendment No. 2007-02. C. General Plan Amendment No. 2007-02 came before the City Council of the City of Santa Ana for a duly noticed public hearing on June 18, 2007. D. These amendments to the Land Use Elements of the General Plan are consistent with the balance of the General Plan, and the various elements thereof. E. Pursuant to CEQA, the City of Santa Ana has adopted Categorical Exemption No. 2007-74 for the adoption of this resolution. Section 2. Based upon the evidence submitted at the above said hearing which includes but not is not limited to: the staff report and exhibits attached thereto; and the public testimony; all of which are incorporated herein by this reference, the City Council of the City of Santa Ana hereby finds, determines and declares as follows: A. The City Council hereby, approves and adopts General Plan Amendment No. 2007-02 to add Policies 2.13 and 5.13 to the Land Use Element of the City of Santa Ana General Plan. B. The amended language of this element is attached hereto as Exhibit "A" and incorporated by this reference as though fully set forth herein. C. The Land Use Element is hereby amended to incorporate these added Policies, as set forth in the replacement pages to the Element attached 7 G ~_7 Resolution No. 2007-xx J / Page 1 of 6 hereto as Exhibit "B" and incorporated herein by this reference, and shall be made regularly available by the City's Planning and Building Agency. Section 3. This Resolution shall take effect thirty (30) days after its adoption by the City Council, and the Clerk of the Council shall attest to and certify the vote adopting this Resolution. ADOPTED this _ day of , 2007. Miguel A. Pulido Mayor APPROVED AS TO FORM: Benjamin Kaufman Chief Assistant City Attorney AYES: NOES: ABSTAIN: NOT PRESENT: Councilmembers Councilmembers Councilmembers Councilmembers CERTIFICATE OF ATTESTATION AND ORIGINALITY I, PATRICIA E. HEALY, Clerk of the Council, do hereby attest to and certify the attached Resolution No. 2007-XXX to be the original resolution adopted by the City Council of the City of Santa Ana on Date: Clerk of the Council City of Santa Ana 7 C ~_p Resolution No. 2007-xx J v Page 2 of 6 AMENDMENTS TO LAND USE ELEMENT OF THE CITY OF SANTA ANA GENERAL PLAN Added to the bottom of page 13: Policy 2.13. Support regulations to attract and retain large and growing commercial and industrial employers in Santa Ana Added to the bottom of page 15: Policy 5.13. Support economic reinvestment in blighted, non-residential properties through condominium ownership provided the property complies with the City's current standards for quality development. bi 7 E LAND USE ELEMENT SANTA ANA GENERAL PLAN City of Santa Ana Planning Division Adopted February 2, 1998 The following is a chronology of the approved general plan amendments that have been incorporated into this document since the comprehensive update of the General Plan Land Use Element adopted by Santa Ana City Council February 2, 1998 (GPA 1997-OS): GPA 2007-02 (June 18, 2007), GPA 2006-01 (October 2, 2006), GPA 2005-01 (December 5, 2005), GPA 2005-02 (October 17, 2005), GPA 2004-O1 (Apri15, 2005, as passed by the voters of Santa Ana), GPA 2004-04 (July 19, 2004), GPA 2004-06 (July 6, 2004), GPA 2003-02 (June 16, 2003), GPA 2003-01 (February 18, 2003), GPA 2002-01 (September 3, 2002), GPA 2002-03 (August 19, 2002), GPA 2001-03 (February 19, 2002), GPA 2001-02 (January 7, 2002), GPA 2000-09 (May 7, 2001), GPA 2000-08 (February 5, 2001), GPA 2000-03 (December 4, 2000), GPA 2000- 02 (November 20, 2000), GPA 1999-02 (October 18, 1999), GPA 1999-O1 (August 16, 1999), GPA 1998-04 (October 5, 1998), GPA 1998-05 (September 21, 1998), GPA 1998-O1 (May 4, 1998). EXHIBIT B 75B-10 LAND USE ELEMENT Goal 2.0 Promote land uses which enhance the City's economic and fiscal viability. Policy 2.1 Discourage the intrusion of commercial land uses in industrial areas. Policy 2.2 Support commercial land uses in adequate amounts to accommodate the Citys needs for goods and services. Policy 2.3 Encourage the location of child care facilities within employment centers. Policy 2.4 Support pedestrian access between commercial uses and residential neighborhoods which are in close proximity. Policy 2.5 Balance the economic and fiscal benefits of commercial development with its impacts on the quality of life in the City. Policy 2.6 Encourage the creation of new employment opportunities in developments which are compatible with surrounding land uses, and provide a net community benefit. Policy 2.7 Support Projects that contribute to the redevelopment and revitalization of the central city urban areas. Policy 2.8 Promote rehabilitation of commercial and industrial properties, and encourage increased levels of capital investment. Policy 2.9 Support developments that create a business environment that is safe and attractive. Policy 2.10 Support new development which is harmonious in scale and character with existing development in the area. Policy 2.11 Create Class A office space suitable for acquisition of major, high profile tenant in the Downtown Development Area. Policy 2.12 Encourage large-scale office development with ancillary retail in the proximity of the Civic Center Complex, Downtown and Midtown urban areas. Policy 2.13 Support regulations to attract and retain large and growing commercial and industrial employers in Santa Ana. Revised (June 18, 2007) 7 5 B~ 11 The corner of Fourth Street and Main Street was the first commercial lot sold in the city (the lot sold for $15.00). LAND USE ELEMENT Goal 5.0 Ensure that the impacts of development are mitigated. Policy 5.1 Promote development which has a net community benefit, and enhances the quality of life. Policy 5.2 Protect the community from incompatible land uses. Policy 5.3 Minimize the impact of future right-of-way expansion on existing development and neighborhoods through the use of transportation system management programs and traffic demand management to relieve traffic congestion. Policy 5.4 Support land uses which are consistent with the Land Use Plan of the Land Use Element. Policy 5.5 Encourage development which is compatible with, and supportive of surrounding land uses. Policy 5.6 Discourage access to commercial and industrial areas by way of residential streets. Policy 5.7 Anticipate that the intensity of new development will not exceed available infrastructure capacity. Policy 5.8 Encourage the placement of education facilities in close proximity to public parks. Policy 5.9 Encourage development which provides a clean and safe environment for the City's residents, workers, and visitors. Policy 5.10 Support a circulation system which is responsive to the needs of pedestrians and vehicular travel. Policy 5.11 Encourage development which does not generate obnoxious fumes, toxins, or hazardous materials. Policy 5.12 Provide appropriate permanent measures to reduce storm water pollutant loads in storm water from a development site. Policy 5.13 Support economic reinvestment in blighted, non-residential properties through condominium ownership provided the property complies with the City's current standards for quality development. Revised (June 18, 2007) 15 7 5 R~ 1 2 ORDINANCE NO. NS-XXX AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SANTA ANA AMENDING ARTICLE IX OF AND ADDING ARTICLE XII TO CHAPTER 34 AND ADDING ARTICLE XVIII TO CHAPTER 41 OF THE SANTA ANA MUNICIPAL CODE RELATING TO ESTABLISHMENT AND CONVERSION OF COMMERCIAL AND INDUSTRIAL COMMON INTEREST DEVELOPMENTS THE CITY COUNCIL OF THE CITY OF SANTA ANA DOES ORDAIN AS FOLLOWS: Section 1. The City Council of the City of Santa Ana hereby finds, determines and declares as follows: A. The City of Santa Ana has seen a large increase in the number of nonresidential (commercial and industrial) properties that are seeking to convert to condominiums (common interest developments). B. These applications being processed, in general, relate to properties that otherwise could not obtain a tentative parcel or subdivision map because in one or more instances they fail to comply with the provisions of a state statute or city ordinance. C. The unregulated division of large industrial and commercial structures within the city into small, individual condominiums is contrary to the goals and policies of the city's general plan, because the city needs to preserve and enhance the ability of large and growing commercial and industrial employers to remain in Santa Ana. D. The unregulated division of large industrial and commercial developments within the city into small, individual condominiums is contrary to the goals and policies of the city's general plan because it replaces a single party responsible to prevent neglect and blight of the common spaces of such developments with an association. E. Pursuant to CEQA, the City of Santa Ana has adopted Categorical Exemption No. 2007-74 for the adoption of this ordinance. F. All provisions of the Santa Ana Municipal Code which are repeated herein are repeated solely in order to comply with the provisions of section 418 of the Charter of the City of Santa Ana. Any such restatement of existing provisions Ordinance No. NS-xxxx Page 1 of 11 75B-13 of the Code is not intended, nor shall it be interpreted, as constituting a new action or decision of the City Council, but rather such provisions are repeated for tracking purposes only in conformance with the Charter. Section 2. Pursuant to Government Code section 66474.2, the terms and provisions of this ordinance shall not apply to any proposed subdivision for which a complete application was received by the City prior to the effective date of this ordinance. Section 3. Article XII is added to Chapter 34 of the Santa Ana Municipal Code to read in full as follows: ARTICLE XII -COMMERCIAL AND INDUSTRIAL COMMON INTEREST DEVELOPMENT REGULATIONS Sec. 34-180. Purpose. This Article is enacted to establish requirements and procedures for the evaluation of commercial and industrial common interest development projects. Such regulation is necessary to provide for the adequate maintenance of common areas, facilities and amenities, such as buildings, parking, ingress and egress, subjacent support, utilities and the like, in commercial and industrial common area interest development projects in order to support the continuing viability of such common interest projects and avoid conditions of neglect and blight. Additionally, such regulation is necessary to the support of a healthy local economy by preserving opportunities for large-scale commercial and industrial uses to avoid the conversion, fragmentation and diminution of large commercial and industrial buildings and lands within the city. Sec. 34-181. Application. The provisions of this Article apply to all commercial and industrial common interest development projects. Sec. 34-182. Tentative Map Requirement. All commercial and industrial common interest development projects shall require application for and issuance of a tentative map. Sec. 34-183. Conditions of approval. No tentative map for a commercial or industrial common interest development shall be issued unless all of the following conditions have been met and the applicant has agreed in writing to comply with all of these conditions: Ordinance No. NS-xxxx Page 2 of 11 75B-14 (a) The applicant, at its sole cost, shall prepare, submit for prior review and approval by the city, and record concurrently with the final map, governing documents for the common interest development that include sufficient provisions for governance, funding and capitalization, and enforcement mechanisms, including enforcement by the city, to ensure that the common areas shall be adequately and safely maintained and repaired for the life of the common interest development and that such common area shall be retained for the use of all owners within the development. Prior to approval of the final map by the city, the applicant shall submit the proposed governing documents to the city for review, and approval as to form by the City Attorney, for compliance with the requirements of this section. (b) The applicant shall, at its sole cost, prepare grant deeds or reservations for all mutual or reciprocal easement rights, which shall be reviewed by the city for compliance with the terms of this Chapter, and shall upon city approval be recorded concurrently with the approved parcel or final map. (c) Any other condition imposed by the planning commission or city council to accomplish the purposes of this Chapter or for the preservation of public health, safety or welfare. Sec. 34-184. Management plan. An application for a tentative map for a commercial or industrial common interest development shall be accompanied by a management plan which sets forth a comprehensive representation of the project governance process, including but not limited to the following components: (a) A maintenance plan which includes a long-term project maintenance schedule and operations standards to ensure maintenance of the site to a high standard. (b) Proposed CC&R provisions setting forth the rules of project governance and management, including the establishment of a board of directors (duties, powers, election and replacement). (c) A statement of the means of governing the management of vacant and/or unsold units. (d) All ingress and egress easements, drainage easements, and reciprocal parking agreements, if necessary, between owners of the units, shall be included in the proposed CC&R's. Ordinance No. NS-xxxx Page 3 of 11 75B-15 Sec. 34-185. Conversion Project -Special Use Permit Required. No tentative map or final map for a commercial or industrial conversion project (as that term is defined in this Chapter) shall be approved unless a special use permit has been issued by the city in accordance with the procedures and provisions of this Article and the procedures and provisions of Chapter 41 of this Code. Section 4. Article XVIII is added to Chapter 41 of the Santa Ana Municipal Code to read in full as follows: ARTICLE XVIII -CONVERSION OF EXISTING BUILDINGS TO COMMERCIAL AND INDUSTRIAL COMMON INTEREST DEVELOPMENT Sec. 41-1800. Purpose. This Article is enacted, pursuant to the city's authority as a charter city and section 66427(d) of the Government Code, to establish requirements and procedures for the evaluation of commercial and industrial condominium conversion projects. Such regulation is necessary to provide for the adequate maintenance of common areas, facilities and amenities, such as buildings, ingress and egress, subjacent support, utilities and the like, in commercial and industrial common area interest development projects in order to support the continuing viability of such common interest projects, avoid conditions of neglect, to protect the public from the potential blighting effects of deteriorated or undercapitalized commercial and industrial conversion projects and provide adequate off-street parking. Additionally, such regulation is necessary to the support of a healthy local economy by preserving opportunities for large-scale commercial and industrial uses to avoid the conversion, fragmentation and diminution of large commercial and industrial buildings and lands within the city. Sec. 41-1801. Definitions. The definitions set forth in this Section shall govern the application and interpretation of this Chapter: A. "Common interest development" has the meaning given to that term in Civil Code Section 1351(c). B. "Common area" means the entire area within the common interest development except the separate interests therein, and also includes any mutual or reciprocal easement rights appurtenant to the separate interests. Ordinance No. NS-xxxx Page 4 of 11 75B-16 C. "Conversion project" means a subdivision which consists of conversion of existing buildings into a common interest development. D. "Unit" means a legal parcel, including a common area parcel. Sec. 41-1802. Special use permit. In addition to complying with the requirements of Chapter 34 of this Code, no conversion project for a commercial or industrial common interest development may be issued a tentative map unless it obtains a special use permit in compliance with the requirements of this article. Sec. 41-1803. General standards for preexisting buildings. Buildings which are the subject of a proposed conversion project must not be, prior to application, in violation of Chapter 8 of this Code; they must currently be in compliance with all requirements of Chapter 8 of this Code and all requirements of state laws and regulations pertaining to building structure and safety under the standards therein made applicable to such preexisting buildings. Buildings which do not meet this standard must be brought into compliance before issuance of a special use permit, unless otherwise conditioned in said permit. Sec. 41-1804. Conversion plan. An application for a conversion project for a commercial or industrial common interest development shall be accompanied by a conversion plan which sets forth a comprehensive representation and scheduling of the conversion process including but not limited to the following components: (a) An improvement plan shall be submitted to the city providing for upgrading the complex to the standards then in effect for construction of new buildings with regard to the following matters: (1) sound transmission, (2) energy efficiency, (3) open space, (4) setbacks, (5) adopted design guidelines, and Ordinance No. NS-xxxx Page 5 of 11 75B-17 (Ei) landscaping. If the applicant contends that compliance with one or more of such standards is financially or practically infeasible, it shall bear the burden of proof of such claim to the city; and the city shall adopt written findings following a noticed public hearing relating to any such claim as part of its consideration of the application for special use permit. The improvement plan shall also demonstrate that all existing onsite facilities which are to be retained to be brought into reasonably sound and attractive condition. (b) At a minimum, the improvement plan shall include (1) A site plan showing all existing and proposed structures, including walls and fences, landscaping, irrigation systems and driveways and parking areas. (2) A statement of the current and proposed ownership of the subject property and its current and proposed use. (3) A description of the property, including acreage, number of existing tenant spaces and the proposed units, showing the size of each proposed unit. Each unit shall be physically separated from each other unit by walls, floors, ceilings and the like. (4) A statement of the current and proposed management program, including structural maintenance, landscape maintenance, and parking allocation for each unit. (5) A statement of proposed assessments and fees to be charged to owners of units after conversion. (6) Notice of submission of application for public report which includes the improvement plan and capital reserves. (7) The results of a preliminary inspection requested by the applicant and pertormed by city's building official or authorized representative, identifying whether the building in its current condition (i.e., presuming no special use permit is sought) is in compliance with Chapter 8 of this Code. Applicant shall be responsible for paying the then current fee assessed by the city for such inspection. (8) Compliance of the water delivery system capable of meeting the city's fire flow requirements as applicable to new construction and related fire department access per currently adopted fire code. Ordinance No. NS-xxxx Page 6 of 11 75B-18 (g) Compliance with the building security regulations set forth in Chapter 8, Article II, Division 3 of this Code as applicable to new buildings. (10) Compliance with section 18.165.1 through 18.165.4 of this Code relating to the National Pollution Discharge Elimination System (NPDES), and compliance with Chapter 8 of this Code as it relates to the Americans with Disabilities Act. (ADA). (11) A statement that all exterior appurtenances, such as ladders, down spouts, conduits and piping will be removed. (12) Compliance with Article XI of Chapter 41 of this Code (signs). (13) A current structural pest control inspection report issued by a licensed structural pest control operator, showing the subject premises to be free of evidence of termite, dry-rot, fungi and/or damage therefrom. Such a report shall be deemed current for a period of not more than ninety (90) days following the date of inspection. Sec. 41-1805. Utility requirements for the approval of special use permit. No special use permit shall be approved unless the project complies with the following requirements: (a) Electric power, gas and water services must be separately metered for each unit, unless such separate metering is found to be practically or financially infeasible as set forth in section 41-1804(a). (b) Signal transmitting and receiving equipment, including cables, for individual units shall be screened. (c) Common area utilities must be metered separately from unit utilities. Meters providing such separation may be either municipally owned or, subject to the written approval of the director of public works as to type, owned by the associated owners in common. (d) Compliance with sections 34-82 et seq. and 41-626 of the Code, applying to installation of underground utility service lines, as though it were new construction. Sec. 41-1806. Off-street parking requirement for conversion projects. (a) All conversion projects for commercial and industrial common interest developments must provide off-street parking spaces in accordance with the current standards in this chapter, except as specified in this section. Ordinance No. NS-xxxx Page 7 of 11 75B-19 (b) A parking waiver may only be considered if a finding can be made that strict compliance with the parking requirement will not benefit the site and its surrounding area. The applicant must indicate how the project will operate adequately without complying with the parking requirement. This assessment must be based on a fully occupied project. (c) Parking waivers shall be granted by the planning commission and accompanied by written findings, subject to appeal by any interested person to the city council and subject to review and modification by the council on its own initiative. The procedural, public hearing and administrative fee requirements for a parking waiver shall be the same as those for a variance as set forth in this chapter. (d) Any application for a parking waiver shall be filed and decided prior to the filing of the tentative map. Sec. 41-1807. Processing special use permits. An application for a special use permit pursuant to this article shall be considered by the city's planning commission and city council in concurrence with the applicant's tentative map application. Sec. 41-1808. Findings. In addition to the findings required by Chapter 34 of this Code and other provisions of this article, no special use permit may issue for a commercial or industrial common interest development unless and until all of the following additional findings are first made: (a) The proposed common interest development will not adversely impact the economic viability of large-scale commercial and industrial uses in the vicinity of the development, or in the city as a whole; (b) The proposed common interest development includes sufficient provisions for governance, funding and capitalization, and enforcement mechanisms to insure that the common area continues to be adequately and safely maintained and repaired for the life of the common interest development; (c) The proposed common interest development includes sufficient provisions for the retention of such common areas for the use of all owners of separate interests therein; and (d) The proposed common interest development complies with the goals, policies and objectives of the city's general plan. Ordinance No. NS-xxxx Page 8 of 11 75B-20 Sec. 41-1809. Completion of improvements. All improvements required pursuant to the conditions of an approved special use permit shall be completed prior to issuance of a final map for the project. Sec. 41-1810. Expiration of special use permit. A special use permit shall expire after two years, unless a final map for the project is recorded in that time. The Executive Director of the Planning and Building Agency may in writing extend the permit for not more than one year, upon written request by the permit holder made prior to the expiration date. Section 5. Sections 34-301 and 34-302 of the Santa Ana Municipal Code are hereby amended to ensure that they only apply to both residential and nonresidential condominium conversions, such that they read as follows (new language in bold and underline, deleted language in strikeout for tracking purposes only): Sec. 34-301. Purpose. The purpose of these provisions is to establish standards for the development of ~°°',~t;a: common interest developments; to establish standards for the conversion of ~ea# buildings, including rental apartment buildings, into common interest developments; to protect the public from the potential blighting effects of deteriorated or undercapitalized res;Q~;ts,: conversion projects; to provide adequate off-street parking; and to mitigate the hardships caused by the mass displacement of tenants attendant to ~°°',~aa; conversion projects. Sec. 34-302. Applicability. (a) This article applies only to common ownership projects ' for which a final map is required by the State Subdivision Map Act. As used herein, "final map" includes any parcel map required by Section 66426 of the said act. (b) This article does not apply to investment apartments. (c) Except as otherwise provided, the provisions of Division 1 of this article apply to all common interest developments, including conversion projects. Ordinance No. NS-xxxx Page 9 of 11 75B-21 Section 6. The title to Division 2 of Article IX of Chapter 34 and section 34-331 of the Santa Ana Municipal Code are hereby amended to ensure that they only apply to residential condominium conversions, such that they read as follows (new language in bold and underline, deleted language in strikeout for tracking purposes only): DIVISION 2. RESIDENTIAL CONVERSION PROJECTS Sec. 34-331. Applicability. In addition to complying with the requirements of Division 1, all residential conversion projects must comply with the requirements of this division in order for the final map to be approved. Section 6. Section 34-29 is added to Chapter 34 of the Santa Ana Municipal Code to read in full as follows: Sec. 34-29. Common area. "Common area" means the entire area within the common interest development except the separate interests therein, and also includes any mutual or reciprocal easement rights appurtenant to the separate interests. Section 7. The City Council, may adopt by resolution, from time to time, a fee for application for a special use permit. Until such resolution is adopted, the application fee for a special use permit as set forth by this ordinance shall be the then current application fee charged by the city to process a conditional use permit. Section 8. If any section, subsection, sentence, clause, phrase or portion of this ordinance is for any reason held to be invalid or unconstitutional by the decision of any court of competent jurisdiction, such decision shall not affect the validity of the remaining portions of this ordinance. The City Council of the City of Santa Ana hereby declares that it would have adopted this ordinance and each section, subsection, sentence, clause, phrase or portion thereof irrespective of the fact that any one or more sections, subsections, sentences, clauses, phrases, or portions be declared invalid or unconstitutional. 75B-22 Ordinance No. NS-xxxx Page 10 of 11 ADOPTED this day of , 2007. Miguel A. Pulido Mayor APPROVED AS TO FORM: Joseph W. Fletcher, City Attorney By: Benjamin Kaufman Chief Assistant City Attorney AYES: Councilmembers NOES: Councilmembers ABSTAIN: Councilmembers NOT PRESENT: Councilmembers CERTIFICATE OF ATTESTATION AND ORIGINALITY I, PATRICIA E. HEALY, Clerk of the Council, do hereby attest to and certify that the attached Ordinance No. NS-XXX to be the original ordinance adopted by the City Council of the City of Santa Ana on ,and that said ordinance was published in accordance with the Charter of the City of Santa Ana. Date: Clerk of the Council City of Santa Ana Ordinance No. NS-xxxx Page 11 of 11 75B-23 75B-24