REPORT TO COUNCIL
SUBJECT
Title
Proposed Project: Consider actions related to implementation of the 2023-2031 Housing Element to create a By-Right Approval process for certain parcels within the City:
A. Adopt Urgency Ordinance to:
a. Add By-Right Approvals (Chapter 19.73) to the Sunnyvale Municipal Code, Designate Parcels Subject to By-Right Approval, and Make Related Amendments to Chapters 19.12 (Definitions), Zoning Districts and Specific Plan Districts - Residential (19.18), Commercial (19.20), Office and Public Facilities (19.24), Downtown Specific Plan (19.28), Moffett Park Specific Plan (19.29), Lawrence Station Area Plan (19.35), El Camino Real Specific Plan (19.36), Inclusionary Below Market Rate Ownership Housing Program (19.67), Miscellaneous Plan Permit (19.82); and
B. Introduce an Ordinance to:
a. Add By-Right Approvals (Chapter 19.73) to the Sunnyvale Municipal Code, Designate Parcels Subject to By-Right Approval, and Make Related Amendments to Chapters 19.12 (Definitions), Zoning Districts and Specific Plan Districts - Residential (19.18), Commercial (19.20), Office and Public Facilities (19.24), Downtown Specific Plan (19.28), Moffett Park Specific Plan (19.29), Lawrence Station Area Plan (19.35), El Camino Real Specific Plan (19.36), Inclusionary Below Market Rate Ownership Housing Program (19.67), and Miscellaneous Plan Permit (19.82)
File #: PLNG-2023-0881
Location: Citywide
Applicant: City of Sunnyvale
Environmental Review: Non-discretionary project (Public Resources Code Section 21080(b)(1), CEQA Guidelines Sections 15268, 15357)
Project Planner: Julia Klein, (408) 730-7463, jklein@sunnyvale.ca.gov
Report
SUMMARY OF COMMISSION ACTION
The Planning Commission considered this item on January 22, 2024. No members of the public spoke on the item or provided written comments before the hearing.
The Planning Commission voted in accordance with the staff recommendation to recommend approval of Alternative 1 to adopt the urgency and formal ordinances related to the by-right approval process and found the action exempt from the California Environmental Quality Act (CEQA). The vote was 7-0.
The Planning Commission provided the following clarifying comments/questions:
• Whether sites within the Moffett Park Specific Plan (MPSP) that were selected to meet the low-income unit shortfall may be changed later. Staff clarified that change is possible with City Council approval and HCD approval as it relates to the Housing Element.
• Confirmed that public notification was provided prior to the meeting which included mailing to properties within 300 feet, email to Housing Element interested parties list, posting at facilities and newspaper publication.
• Confirmed the proposed ordinance provides a streamlined ministerial review process and potential time savings for housing projects meeting the by-right approval criteria.
• Confirmed that all standard requirements and fees, including the park in-lieu fee, would still apply.
• Inquired about opportunity for public input. Staff clarified that input from community members during the ministerial review can be relayed to applicants and encouraged; but cannot be required.
• Confirmed staff’s role and responsibility to help applicants understand the requirements.
• Inquired about staff resources. Staff clarified that adjustments to resources can be made to accommodate an influx of these types of applications, if that should occur.
• Clarified that applicants of housing projects not meeting by-right approval criteria or seek deviations from objective standards could instead go through the regular review and public hearing process.
See Attachment 8 for an excerpt of the draft Planning Commission minutes.
PUBLIC CONTACT
Public contact was made by posting the Council meeting agenda on the City's official-notice bulletin board at City Hall, at the Sunnyvale Public Library and in the Department of Public Safety Lobby. In addition, the agenda and this report are available at the NOVA Workforce Services reception desk located on the first floor of City Hall at 456 W. Olive Avenue (during normal business hours), and on the City's website. Email notifications were sent to interested parties, including housing advocacy organizations and neighborhood groups. Notices were mailed to property owners and tenants within 300 feet of the subject sites.
ALTERNATIVES
1. Take the following actions:
a. Find that the Action is Exempt from the California Environmental Quality Act subject to (CEQA) pursuant to Public Resources Code Section 21080(b)(1) and CEQA Guidelines Section 15268 and 15357; and
b. Adopt an Urgency Ordinance in Attachment 2 to add By-Right Approvals (Chapter 19.73) to the Sunnyvale Municipal Code, Designate Parcels Subject to By-Right Approval, and Make Related Amendments to Chapters 19.12 (Definitions), Zoning Districts and Specific Plan Districts - Residential (19.18), Commercial (19.20), Office and Public Facilities (19.24), Downtown Specific Plan (19.28), Moffett Park Specific Plan (19.29), Lawrence Station Area Plan (19.35), El Camino Real Specific Plan (19.36), Inclusionary Below Market Rate Ownership Housing Program (19.67), and Miscellaneous Plan Permit (19.82).
c. Introduce an Ordinance in Attachment 3 to add By-Right Approvals (Chapter 19.73) to the Sunnyvale Municipal Code, Designate Parcels Subject to By-Right Approval, and Make Related Amendments to Chapters 19.12 (Definitions), Zoning Districts and Specific Plan Districts - Residential (19.18), Commercial (19.20), Office and Public Facilities (19.24), Downtown Specific Plan (19.28), Moffett Park Specific Plan (19.29), Lawrence Station Area Plan (19.35), El Camino Real Specific Plan (19.36), Inclusionary Below Market Rate Ownership Housing Program (19.67), and Miscellaneous Plan Permit (19.82).
2. Take the actions in Alternative 1 with modifications.
3. Do not Adopt an Ordinance.
STAFF RECOMMENDATION
Recommendation
Alternative 1: Take the following actions:
a. Find that the Action is Exempt from the California Environmental Quality Act (CEQA) pursuant to Public Resources Code Section 21080(b)(1) and CEQA Guidelines Section 15268 and 15357; and
b. Adopt an Urgency Ordinance to add By-Right Approvals (Chapter 19.73) to the Sunnyvale Municipal Code, Designate Parcels Subject to By-Right Approval, and Make Related Amendments to Chapters 19.12 (Definitions), Zoning Districts and Specific Plan Districts - Residential (19.18), Commercial (19.20), Office and Public Facilities (19.24), Downtown Specific Plan (19.28), Moffett Park Specific Plan (19.29), Lawrence Station Area Plan (19.35), El Camino Real Specific Plan (19.36), Inclusionary Below Market Rate Ownership Housing Program (19.67), and Miscellaneous Plan Permit (19.82).
c. Introduce an Ordinance in Attachment 3 to add By-Right Approvals (Chapter 19.73) to the Sunnyvale Municipal Code, Designate Parcels Subject to By-Right Approval, and Make Related Amendments to Chapters 19.12 (Definitions), Zoning Districts and Specific Plan Districts - Areas, Residential (19.18), Commercial (19.20), Office and Public Facilities (19.24), Downtown Specific Plan (19.28), Moffett Park Specific Plan (19.29), Lawrence Station Area Plan (19.35), El Camino Real Specific Plan (19.36), Inclusionary Below Market Rate Ownership Housing Program (19.67), and Miscellaneous Plan Permit (19.82).
Justification
The proposed amendments to the Zoning Code implement the 2023-2031 Housing Element Program H2 (Rezone Program) by establishing a new By-Right Approval process for various sites throughout the City. Sites identified in the 5th Cycle (2015-2023) Housing Element must be allowed a By-Right review process since the 6th Cycle (2023-2031) Housing Element was not adopted by January 31, 2023. Sites within the MPSP have been selected from a pool of identified sites based on proximity to the VTA light rail, different property ownership and in accordance with state law requirements. The new process outlined in Chapter 19.73 (By-Right Approvals) provides a ministerial review process for those sites identified in Attachment 4 which allows review at the Director of Community Development level, does not require notification or public hearing and exempts the projects from the provisions of CEQA. Additional changes proposed provide clarification consistency within the Zoning Code.
Staff
Prepared by: Julia Klein, Principal Planner
Reviewed by: George Schroeder, Principal Planner
Reviewed by: Shaunn Mendrin, Planning Officer
Reviewed by: Trudi Ryan, Director of Community Development
Reviewed by: Connie Verceles, Deputy City Manager
Approved by: Kent Steffens, City Manager
ATTACHMENTS
1. Report to Planning Commission [24-0208, January 22, 2024] (without attachments)
2. Draft Urgency Ordinance
3. Draft Ordinance
4. Table of Selected Parcels - By-Right Zoning
5. Sites Inventory Map, North Part of Sunnyvale
6. Sites Inventory Map, South Part of Sunnyvale
7. Full List of Relevant Goals, Policies and Programs
Additional Attachments for Report to Council
8. Excerpt of Draft Minutes of the Planning Commission Meeting of January 22, 2024