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HomeMy WebLinkAboutOrdinance 495 CERTIFICATION 1, Marcia McClure Torgerson, C.M.C., City Clerk of the City of Atascadero, hereby certify that the foregoing is a true and correct copy of Ordinance No. 495, adopted by the Atascadero City Council at a regular meeting thereof held on May 9, 2006, and that it has been duly published pursuant to State Law. hzL DATED: _. c —J � y, 3 E Marcia McClure Torgerson,C.M.C. City Clerk City of Atascadero, California ORDINANCE NO. 495 vow AN URGENCY ORDINANCE OF THE CITY OF ATASCADERO ADOPTING A MORATORIUM ON CONDOMINIUM CONVERSIONS, AND DECLARING THE URGENCY THEREOF The City Council of the City of Atascadero DOES ORDAIN AS FOLLOWS: Section 1. Findings A. The City's Housing Element to its General Plan provides as one of its goals that there is an adequate amount of rental housing in the City. Policy 3.1 of the Housing Element requires that the Council "ensure that the proportion of low and moderate housing is not significantly reduced." B. In the last 18 months, the City has seen a significant increase in the number of multifamily projects requesting a condominium conversion. C. The City has received applications for the conversion of 60 rentals to condominiums; and inquiries have been made about the conversion of an additional 200 rental units. D. If all of these rental units were converted to condominiums, it would represent the loss of over 12 percent of the 2,100 rental units in the City. E. The City Council has retained Goldfarb Lipman LLP to review and study the City's condominium conversion ordinance regarding the preservation, acquisition of the City's multifamily rental units, and to examine the need for inclusionary housing and/or fees for the loss of low and moderate income housing. F. On March 28, 2006, the City Council adopted an urgency ordinance declaring a temporary condominium conversion moratorium on review and/or approval of condominium conversions for buildings, finding it was necessary in order to permit the City the time to conduct research and consider appropriate regulations, amendments and/or clarifications to protect the public health, safety, welfare and economic prosperity of the City. G. The temporary condominium conversion moratorium was for 45-days, and the Council has not had the opportunity to consider or enact any appropriate regulations, amendments and/or clarifications to the City's Condominium Conversion Ordinance. H. Due to the foregoing, the City intends to continue to study the extent to which the conversion of rental units to condominiums are affecting the affordability of rental units and the impacts of increasing rental prices on very low- and moderate-income residents in the City. In the meantime, if a temporary moratorium on condominium conversions is not extended for up to 10 months and 15 days, substantial rent increases are likely to occur. Such increases would defeat the intent and purpose of the City's General Plan policy of protecting the proportion of low and moderate housing in the City. I. A final report from Goldfarb Lipman, LLP has not been received; however, the consultant and the City Council have preliminarily concluded that the conversion of City of Atascadero Ordinance No.495 Page 2 of 5 a significant number of multifamily units to condominiums in the City will produce economic inequities which may be exacerbated by a lack of rental units. am Section 2. Imposition of Moratorium The City Council hereby declares that a temporary condominium conversion moratorium on the review and/or approval of the condominium conversions for buildings is necessary in order to permit the City the time to conduct research and consider appropriate regulations, amendments and/or clarifications to protect the public health, safety, welfare and economic prosperity of the City. Section 3. While this Ordinance remains in effect, no permit, other applicable entitlement, which entails in whole or in part the conversion of any existing rental housing or on residential structures to residential condominiums or community apartment projects within the City shall be issued, except as specified in Section 13 below. Section 4. While this Ordinance remains in effect, no person, firm, partnership, association, corporation, company or organization of any kind shall convert, in whole or in part, or attempt to convert, in whole or in part, any existing rental housing to residential condominium within the City, except as specified in Section 13 below. Section 5. Pursuant to the provisions of California Government Code section 65858, this Ordinance is adopted as an urgency interim zoning ordinance and shall take effect immediately. The facts demonstrating the urgency that forms the basis for this ordinance are as follows: A. According to the City's General Plan adopted in 2002, in 2001 there were approximately 9,663 total housing units in the City. Of this total, there were approximately, 3,062 units in multi-family structures (31.7% of all City housing) and 3,282 renters. According to the 2000 Census data, there were approximately 9,531 households, 3,282 or 34% of which were renters; B. The City has most recently experienced an unprecedented increase in applications seeking to convert existing rental housing to residential condominiums; C. The approval or adoption of additional such condominium conversions within the City of Atascadero would result in a threat to public health, safety and welfare in that they could alter, in a radical and fundamental manner, the current way of life for the City's residents. By their unique characteristics and requirements, conversion projects tend to magnify the effects associated with higher urban densities to the point where public health, safety, welfare, and economic prosperity of the City are significantly affected. Such projects may conflict with the City's policy, set forth in the General Plan, to provide a reasonable balance of rental and ownership housing within the City, to provide a variety of individual choices of tenure, type, price and location of housing and to maintain the supply of rental housing for low and "" moderate income persons and families. It is thus necessary to establish a temporary moratorium City of Atascadero Ordinance No.495 Page 3 of 5 to allow for: (1) research and study to determine how to address this use, the type of regulation that may be imposed on this use, and the potential impact this use may have on the City's neighborhoods; and (2) the preparation and presentation of any proposed ordinance, amendments or regulations to address this use. D. It is necessary that this Ordinance go into effect immediately in order to maintain the City's environment pending the outcome of the above-referenced research, study, and analysis, which may dictate the need to further regulate such condominium conversions and which, in turn, will help the City Council better understand the detrimental effects, if any, should such condominium conversions be allowed to proceed at a pace which, based on past experience, conversions will continue to occur but for the adoption of this interim ordinance; E. It is necessary that this interim Ordinance remain in effect until the afore- referenced research, study and analysis have been completed and the recommendations of Planning Department staff and the Planning Commission can be received and considered by the City Council and the City Council, in turn, can consider amendment of the City's Condominium Conversions Ordinance or otherwise regulate future conversions. Section 6. The City Council therefore finds that there is a current and immediate threat to the public health, welfare, and that the approval of additional condominium conversions through the issuance of permits authorizing such activities would result in a threat to, or breach of, that public health and welfare. Section 7. The City Council hereby finds that adoption of this Ordinance will not have the effect of denying approvals needed for the development of projects with a significant component of multifamily housing. Section 8. Pursuant to Government Code Section 36937(b), this interim urgency Ordinance shall take effect immediately upon its passage and adoption. Section 9. Pursuant to Government Code Section 65858, this Ordinance shall expire on a date 10 months and 15 days following the date of its passage and adoption, unless its term is extended by action of the City Council in accordance with the procedures set forth in Section 65858, or at such earlier time as the City Council acts to repeal this Ordinance and replace it with a successor Ordinance. Section 10. At least ten days prior to the expiration period provided for in Section 9, the City Council shall issue a written report describing any measures taken to alleviate those conditions herein referenced which lead to the adoption of this Ordinance. City of Atascadero Ordinance No.495 Page 4 of 5 Section 11. This Ordinance or a comprehensive summary thereof shall be published once in a newspaper of general circulation in the City of Atascadero within 15 days after its adoption. Section 12. The adoption of this interim ordinance is exempt from the California Environmental Quality Act ("CEQA") pursuant to sections 15061(b)(3), 15262 and 15306 of the State CEQA Guidelines because it can be seen with certainty that there is no possibility that such adoption may have significant effect on the environment; such adoption involves only feasibility and planning studies for possible future adoption of an ordinance that has not yet been prepared or adopted. In addition, the adoption of this interim ordinance is partially exempt from CEQA pursuant to Section 15303 of the CEQA Guidelines in that it primarily pertains to the conversion of existing small structures from one use to another where only minor modifications are made in the exterior of the structure. Section 13. This Ordinance shall apply to all applications filed on or after March 1, 2006. Section 14. This Ordinance shall be liberally construed to accomplish its intended purposes. Nothing contained in this Ordinance is intended to limit the continuation of lawful nonconforming uses or structures. Section 15. Severability. The City Council hereby declares that should any section, paragraph, sentence, phrase, term, or word of this Ordinance hereby adopted be declared for any reason to be invalid, it is the intent of the City Council that it would have adopted all other portions of this Ordinance irrespective of any such portion declared invalid. City of Atascadero Ordinance No.495 Page 5 of 5 INTRODUCED, PASSED and ADOPTED at a regular meeting by the City Council of the City of Atascadero, State of California, on May 9, 2006 by the following roll call vote: AYES: Council Members Clay, Luna, Pacas, Scalise and Mayor O'Malley NOES: None ABSTAIN: None ABSENT: None CIKY OF ATASCADERO Tom O'Malley, ayor! ATTEST: Marcia McClure Torgerson, C.M.C., C#Clerk APPROVFD AS TO`F'ORM: Patric L. , City Attorney moo