REPORT TO COUNCIL
SUBJECT
Title
Public Hearing: Actions on the Mitigated Negative Declaration (MND) and the Mitigation Monitoring and Reporting Program (MMRP), General Plan Amendment from Community Commercial to High Density Residential, Rezone from General Office (OG) to Planned Development (PD), and density bonus agreement to allow a multifamily affordable housing development with 108 rental units at 1601 Civic Center Drive
Report
COUNCIL PILLAR
Promote and Enhance Economic, Housing and Transportation Development.
EXECUTIVE SUMMARY
Charities Housing, property owner, is proposing to construct a five-story 100% affordable housing development consisting of 108 apartments, 82 parking spaces, landscaping, and private and public amenities on a 1.4-acre parcel, along with public right-of-way improvements at 1601 Civic Center Drive. The site is developed with a 28,950 square foot two-story office building, that has been vacant since 2019, surface parking lot and site landscaping. The project involves demolition of the existing structure and site improvements with project development.
The proposed project includes a Mitigated Negative Declaration (MND) (SCH#2022060217) and Mitigation Monitoring and Reporting Program (MMRP); a General Plan Amendment from Community Commercial to High Density Residential, a Density Bonus, and a Rezone from General Office (OG) to Planned Development (PD) (PLN21-15206). These entitlements together would allow construction of 108 rental units at 76.6 dwelling units per acre (du/ac) with studio, one- two- and three- bedroom units, common and private open space, resident services and amenities, shared parking and associated on- and off-site improvements. The affordable housing units, with rents set to be affordable to 30 to 50 percent Annual Median Income (AMI) levels, would be secured with an Affordable Housing Agreement between Charities Housing and the City.
BACKGROUND
The project site is located adjacent to the El Camino Real Corridor. While it is not located in the El Camino Real Focus Area, it was included in the Draft El Camino Real Specific Plan initiated by the City Council in 2017. The Council initiated preparation of the Specific Plan to provide a more detailed level of policy and design guidance to support the successful transformation of the El Camino Real corridor and to refine the allowed land uses and density levels along the corridor. A Citizen Advisory Committee (CAC) was appointed to guide the Specific Plan planning process.
The Draft Specific Plan was presented to City Council for adoption at the June 15, 2021 City Council meeting. The Draft Specific Plan included three proposed land use designations, as recommended by the CAC, supporting residential and mixed-use development at low (Corridor Residential), medium (Corridor Mixed Use) and higher (Regional Mixed Use) densities. As identified by the CAC, the project site was designated Corridor Mixed Use which would allow four- to five-story residential development at 45 to 65 du/ac in the Draft Specific Plan.
At the conclusion of the City Council’s consideration of the item, the City Council directed staff to modify the proposed Specific Land Use designations to establish reduced height limits and densities as follows: no more than two-stories for Corridor Residential, no more than three stories for Corridor Mixed-Use, and no more than four stories for Regional Mixed-Use. On July 6, 2021, the City Council affirmed their direction for staff to prepare an alternative form of the Specific Plan that reduces densities from the prior draft. At their meeting of October 19, 2021. The City Council again directed staff to proceed with modification of the Specific Plan to include height limits; to continue consideration of the first Draft Specific Plan; and to prepare an analysis comparing the economic feasibility of the two different land use plans. At the time of this staff report, the additional Specific Plan work has been funded within the City’s budget, and staff is now initiating a work program to modify the Plan per City Council’s direction.
DISCUSSION
For analysis on the project’s proposed General Plan Amendment, rezoning, and use of the State of California’s Density Bonus Law, see the staff report prepared for the Planning Commission and provided here as Attachment 4.
The project was presented to the Planning Commission at a noticed public meeting on August 3, 2022. Joe Head and Hai Nguyen, representing Charities Housing were present at the meeting and 30 individuals that included community residents and interested organizations participated virtually by Zoom. All correspondence received prior to publication of the Planning Commission Staff Report was included as an attachment to the Staff Report; comments received after publication and before 5:00 p.m. the day of the Planning Commission meeting were distributed at the meeting to the Commissioners; and all e-comments received at the Planning Commission meeting were read into the record during public comment.
At this meeting, staff provided an overview of the proposal and the applicant, representatives of Charities Housing, gave a presentation of the proposed project. The representatives then responded to questions by the Planning Commissioners regarding site selection, changes made to the project, rents assigned to the affordability levels, tenancy, shade and shadow effects on neighboring properties, allocation of on-site parking, provision of transit passes, exploration of shared parking opportunities, and on-site management and security. Public discussion followed with neighboring residents expressing their opposition to the project and management by Charities Housing. The issues raised throughout the planning process for the project include density, shade and shadow impacts, tenancy, site access, parking on- and off-site, construction impacts, noise, security, crime, and site management and are conveyed in Attachment 9. Individuals representing environmental organizations and housing advocacy groups expressed support of the project for site location, transit accessibility, provision of needed affordable housing, integration of the development into the community, provision of on-site resident services and amenities, and connectivity to neighborhood and commercial uses, services, schools and employment.
Following the close of public hearing, the Planning Commission discussed the project and expressed their concerns with the level of public opposition, displeasure with the initial management of the property, reduced parking count and critical need for affordable housing. The Commissioners proposed additional measures to the Charites Housing representatives to address parking, site management and security, and post construction engagement with the neighbors. The representatives were receptive to the measures proposed by the Commission and agreed to the added conditions iterated below.
The Planning Commission then concluded their deliberation with the following motions:
1. Adopt a resolution recommending that Council adopt the Mitigated Negative Declaration and the Mitigation Monitoring and Reporting Program for the Civic Center Family Housing Project (5-0-2-0).
2. Adopt a resolution recommending Council approve a General Plan Amendment from Community Commercial to High Density Residential (5-0-2-0).
3. Adopt a resolution to approve a Rezone from General Office (OG) to Planned Development (PD) to allow a five-story affordable housing development with 108 rental units, on-site parking and amenities, landscaping, and off-site improvements, with the following recommended added conditions (4-1-2-0):
• Charities Housing to provide a transit pass upon request for each tenant.
• Continue community outreach with neighbors through an oversight program provided by the Applicant to the satisfaction of Director of Community Development.
• Designate a ride share area within the project site to the satisfaction of Director of Community Development.
• Include a venue for the display of public art with consideration towards Native American artists.
• Give serious consideration to establishing a shared parking arrangement with commercial and City buildings in area.
• Failure by the developer or any contractor to comply with mitigation measures or other conditions (including, but not limited to, emissions, noise, street cleaning, and dust control) will subject the developer to code enforcement under the City Code.
• Charities shall install a security system approved by the Director of Community Development, with security to be recorded and monitored with approximately 50 cameras. At the Director’s discretion, monitoring may be required to be conducted in real-time by security personnel.
An excerpt of the Planning Commission meeting minutes is provided as Attachment 3 for review. The added conditions of approval recommended by the Planning Commission are incorporated as Conditions P13 through P19 in Attachment 8.
Conclusion
The Project would redevelop an underutilized and currently unoccupied parcel to construct 108 affordable housing units and provide housing opportunities for individuals and families with income levels between 30 to 50 percent AMI; which support the City’s Housing Goals and assist the City in achieving RHNA targets for production of affordable housing units as mandated by the State. The General Plan Amendment to allow residential development along with a density bonus would facilitate affordable housing development on the Project Site through an increase in residential density and building height to make the Project economically feasible to construct. As required by Santa Clara City Code Section 18.78.060, a Density Bonus Housing Agreement must be approved prior to the issuance of building permits. The building footprint and height allow the project to maximize open space and private use by the residents, while providing housing at a higher density, and includes common space that is available to the community.
A detailed discussion of the projects’ conformance with the City’s 2010 - 2035 General
Plan policies, site design and architecture, circulation and parking, and landscaping and
open space is provided for review in Attachment 4 - Planning Commission Staff Report and Attachment 10 - Development Plans.
ENVIRONMENTAL REVIEW
A Mitigated Negative Declaration (MND) was prepared for the project by the environmental consultant firm David J. Powers & Associate, Inc., in accordance with the California Environmental Quality Act (CEQA). The MND and Notice of Availability were posted on the City’s website at <https://www.santaclaraca.gov/our-city/departments-a-f/community-development/planning-division/environmental-review-ceqa> and circulated for 30-day review on June 13, 2022 and ending on July 12, 2022, in accordance with CEQA requirements. The Planning Department received agency comments on the MND from Valley Water, Santa Clara Valley Transportation Authority, Department of Toxic Substances Control and public comments from Jamie Lau, Keyhan Sinai, Jean Song, and David Bayto which are provided as Attachment 3 to this report, along with responses to comments for review.
The MND examined potential environmental impacts associated with project development and identified air quality biological, cultural resources, geology and soils, hazards and hazardous materials, and noise impacts that with incorporation of mitigation measures into the project would reduce all potential impacts to less than significant. A detailed discussion of the potential impacts and mitigation measures to be applied to the project are specified in the MND and would be implemented through the MMRP (available on the above web link) and project conditions of approval (Attachment 8).
FISCAL IMPACT
There is no fiscal impact to the City for processing the requested application other than administrative time and expense typically covered by processing fees paid by the applicant.
COORDINATION
This report has been coordinated with the City Attorney’s Office.
PUBLIC CONTACT
Public contact was made by posting the Council agenda on the City’s official-notice bulletin board outside City Hall Council Chambers. A complete agenda packet is available on the City’s website and in the City Clerk’s Office at least 72 hours prior to a Regular Meeting and 24 hours prior to a Special Meeting. A hard copy of any agenda report may be requested by contacting the City Clerk’s Office at (408) 615-2220, email clerk@santaclaraca.gov <mailto:clerk@santaclaraca.gov> or at the public information desk at any City of Santa Clara public library.
On June 22, 2022, the notice of public hearing for this item was posted in three conspicuous places within 300 feet of the project site and was mailed to property owners within 1,000 feet of the project site boundaries. A notice of public hearing was also published in the Weekly, a newspaper of general circulation in the City on July 20, 2022. The Planning Department has received comments on the project and are provided in Attachment 9 to this report for review.
Virtual public outreach meetings were conducted by Charities Housing on November 10, 2021, June 29, 2022, and July 27, 2022 to engage the neighborhood community in the planning process. Notices of the meeting were mailed by the applicant to property owners within 500 feet of the project boundaries and interested parties and was also posted on the City’s website. These meetings provided the community the opportunity to convey their concerns to Charities Housing regarding their property management (both past and future); the type and density of housing proposed for the site; five-story building height and shade/shadow effects on neighboring residential properties; driveway access on Civic Center Drive; impacts of reduced parking and off-site parking on Civic Center Drive; construction related impacts and enforcement of mitigation measures to reduce potential impacts; noise from construction; and type of tenants, crime and security with occupancy.
ALTERNATIVES
1. Adopt a resolution to adopt the Mitigated Negative Declaration (MND) and the Mitigation Monitoring and Reporting Program (MMRP) for the Civic Center Family Housing Project.
2. Adopt a resolution to approve a General Plan Amendment from Community Commercial to High Density Residential.
3. Adopt a resolution to approve a Rezone from General Office (OG) to Planned Development (PD) to allow a five-story affordable housing development with 108 rental units, on-site parking and amenities, landscaping, and off-site improvements.
4. Authorize the City Manager to negotiate and execute a density bonus agreement in a form approved by the City Attorney.
5. Deny a General Plan Amendment from Community Commercial to High Density Residential.
6. Deny a rezone from General Office (OG) to Planned Development (PD) to allow a five-story affordable housing development with 108 rental units, on-site parking and amenities, landscaping, and off-site improvements.
RECOMMENDATION
Recommendation
Alternative: 1, 2, 3 and 4
1. Adopt a resolution to adopt the Mitigated Negative Declaration (MND) and the Mitigation Monitoring and Reporting Program (MMRP) for the Civic Center Family Housing Project.
2. Adopt a resolution to approve a General Plan Amendment from Community Commercial to High Density Residential.
3. Adopt a resolution to approve a Rezone from General Office (OG) to Planned Development (PD) to allow a five-story affordable housing development with 108 rental units, on-site parking and amenities, landscaping, and off-site improvements.
4. Authorize the City Manager to negotiate and execute a density bonus agreement in a form approved by the City Attorney.
Staff
Reviewed by: Andrew Crabtree, Community Development Director
Approved by: Rajeev, City Manager
ATTACHMENTS
1. Mitigated Negative Declaration and Mitigation Monitoring and Reporting Program (Web Link)
2. Responses to Comments received on the Mitigated Negative Declaration
3. Excerpt Planning Commission meeting minutes of August 3, 2022
4. Planning Commission Staff Report of August 3, 2022.
5. Resolution Recommending Council Adopt the Mitigated Negative Declaration and Mitigation Monitoring and Reporting Program
6. Resolution Recommending Council Approve the General Plan Amendment
7. Resolution Recommending the Council Approve the Rezone
8. Conditions of Rezoning Approval
9. Correspondence
10. Petition
11. Development Plans