REPORT TO COUNCIL
SUBJECT
Title
Amend Resolution No. 1075-21 Directing the City Manager to Temporarily Allow Outdoor Dining on Private Parking Lots and Close the 100 Block of South Murphy Avenue until September 30, 2022
Report
BACKGROUND
On March 4, 2020, California Governor Gavin Newsom declared a State of Emergency (State Emergency) due to the threat of Coronavirus (COVID-19). The City of Sunnyvale and County of Santa Clara issued respective emergency declarations shortly thereafter. On June 1, 2020, the County of Santa Clara amended their Public Health Order (Order) to allow outdoor dining while at the same time prohibiting indoor dining. On June 10, 2020, the City Manager/Director of Emergency Services issued an emergency order temporarily allowing outdoor dining on private parking lots.
The City, as the applicant under the Sunnyvale Municipal Code and the general enabling authority pursuant to California Vehicle Code Section 21101 (e), temporarily closed the 100 Block of South Murphy Avenue to vehicles by issuing a Special Event Permit (Permit). The Permit's expiration date was set for June 30, 2021; however, the City reserved the right to extend the permit term as warranted by the COVID-19 pandemic restrictions and extended the closure through July 31, 2021 or until extended by City Council action.
On July 27, 2021, Council adopted Resolution No. 1075-21 directing the City Manager to temporarily allow outdoor dining on private parking lots and close the 100 Block of South Murphy Avenue until December 31, 2021. Council asked staff to return to Council for closure extension if COVID-19 restrictions were still in place by December 31, 2021.
EXISTING POLICY
Council Policy 2.4.1, Policy 1 - Emergency Planning and Coordination: Provide an integrated approach to planning and management for emergencies and disasters.
General Plan Chapter 3: Land Use and Transportation
GOAL LT-11 SUPPORTIVE ECONOMIC DEVELOPMENT ENVIRONMENT - Facilitate an economic development environment that supports a wide variety of businesses and promotes a strong economy within existing environmental, social, fiscal, and land use constraints.
GOAL LT-12 A BALANCED ECONOMIC BASE - Develop a balanced economic base that can resist downturns of any one industry and provides revenue for City services.
Policy LT-12.6 Create a strong, identifiable Downtown that offers regional and citywide shopping opportunities and entertainment.
Sunnyvale Municipal Code Chapter 2.16 Emergency Organization and Functions, which provide for the preparation and carrying out of plans for the protection of persons and property within this city in the event of an emergency; the direction of the emergency organization; and the coordination of the emergency functions of this city with all other public agencies, corporations, organizations, and affected private persons.
ENVIRONMENTAL REVIEW
The action being considered does not constitute a "project" within the meaning of the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines Section 15378 (b) (4) in that it is a governmental fiscal activity that does not involve any commitment to any specific project which may result in a potential significant impact on the environment. Furthermore, this action is exempt from CEQA pursuant to CEQA Guidelines Section 15304 as it involves a minor temporary use of land having negligible or no permanent effects on the environment.
DISCUSSION
The State Emergency is still in place and allows ongoing programs and recovery efforts to continue uninterrupted. Governor Newsom encouraged cities to continue with outdoor dining programs through the end of the State Emergency.
On June 10, 2020, the City Manager/Director of Emergency Services issued an emergency order temporarily allowing outdoor dining on private property parking lots (Attachment 3). The order suspended a portion of the Sunnyvale Municipal Code (“SMC”) prohibiting temporary outdoor dining areas on private property, including but not limited to:
• SMC Chapter 19.61, which provides additional permit requirements for outdoor dining, including but not limited to the provisions relating to miscellaneous plan permits
• SMC Chapter 19.46.110, which provides regulations related to parking requirements for restaurants with outdoor seating
• SMC Chapter 9.66.010, which relates to consumption of alcohol from private property viewable from the public right of way.
The order allows businesses to temporarily operate outdoors on private properties by submitting the required “Operational Certification for Temporary Outdoor Dining Areas on Private Property.” The self-certification allows businesses to safely operate outdoors with minimum City permitting or approvals while still protecting customer’s health and safety. The order states that temporary outdoor dining on private property may be allowed until such a time as the local emergency has ended, or until a subsequent order is issued by the City’s Director of Emergency Services or the Sunnyvale City Council, whichever is sooner.
The City also temporarily closed the 100 block of South Murphy Avenue to vehicles by issuing a Permit with the City as the applicant based on its authority under Sunnyvale Municipal Code Chapter 9.45 and the general enabling authority pursuant to Vehicle sec. 21101 (e). About 15 businesses have submitted self-certifications for outdoor dining on private property to the Community Development Department and 20 businesses on Murphy Avenue have expanded outdoor operations.
On October 8, 2021, Governor Newsom signed SB 314 Alcoholic beverages. SB 314 allows current licensees with expanded outdoor dining premises under ABC’s emergency relief order to expand outdoor restaurant/bar seating with alcohol service, on streets, parking lots, alleys, or sidewalks.
The Sunnyvale Downtown Association also requested that the City temporarily keep the street closed until September 30, 2022. The proposed resolution will allow the City to continue allowing outdoor dining on private property and keep the 100 Block of South Murphy Avenue closed to vehicular traffic until September 30, 2022. The Community Development Director has the ability to revoke a self-certification and not allow outdoor dining on private parking lots if the City receives any complaints about a specific business and /or determines that the business is not complying with the regulations established for temporary outdoor dining areas on private property. The proposed resolution will continue to allow activities on private property to facilitate outdoor dining as City businesses continue to recover from the COVID-19 pandemic.
Staff has received numerous emails asking the City to permanently close the 100 block of South Murphy Avenue to vehicular traffic. Staff also heard from some businesses that their customers need vehicular access to their location for pick up or drop off for customers unable to walk long distances from the parking lots. Businesses not located on Murphy Avenue have commented that Murphy Avenue businesses have free outdoor dining space while they need to pay for the use of parking lots/patios. Businesses not located on Murphy Avenue see an equity issue and have asked that equity with citywide businesses be addressed in the study being proposed for the permanent closure of Murphy Avenue.
Consideration of a permanent closure of Murphy Avenue will require additional engagement from businesses and residents. The City should understand the needs of both businesses and residents and the impacts the street closure may have on the community. To address these items, staff has prepared a study issue for Council’s consideration and action at the 2022 Council Study Issue Workshop. If Council ranks the proposed study issue, staff will be able to complete the study prior to the planned reopening date of September 30, 2022.
Overall, the closure of the 100 South Murphy Avenue and outdoor dining on private property programs have been working well, with minimal complaints from the public. The Sunnyvale Downtown Association (SDA) (Attachment 4) and many businesses have requested that the City’s outdoor dining program be extended into 2022. Staff and businesses see a continued demand for outdoor dining activity as people have expressed that they feel more comfortable outdoors.
FISCAL IMPACT
Adoption of this resolution will have no direct fiscal impact on the City. Staff time will be required to implement minor changes to the self-certification forms and to inform and answer questions from the community about the resolution. Also, staff overtime resources are being used for the street cleaning at a cost of about $10,000. This cost can be absorbed this year, but a long-term solution will be needed if the street is permanently closed.
PUBLIC CONTACT
Public contact was made by posting the Council agenda on the City's official-notice bulletin board outside City Hall, Sunnyvale Public Library and Department of Public Safety. In addition, the agenda and report are available at the Office of the City Clerk and on the City's website.
ALTERNATIVES
1. Amend Resolution No. 1075-21 Directing the City Manager to Temporarily Allow Outdoor Dining on Private Parking Lots and Close the 100 Block of South Murphy Avenue until September 30, 2022.
2. Amend Resolution No. 1075-21 to Temporarily Allow Outdoor Dining on Private Parking Lots and Close the 100 Block of South Murphy Avenue until September 30, 2022 with modifications.
3. Other Direction Provided by Council.
STAFF RECOMMENDATION
Recommendation
Alternative 1: Amend Resolution No. 1075-21 Directing the City Manager to Temporarily Allow Outdoor Dining on Private Parking Lots and Close the 100 Block of South Murphy Avenue until September 30, 2022.
Staff recommends continuing allowing businesses the ability to operate outdoors by amending the proposed resolution to provide certainty to the businesses and the public regarding outdoor activities.
Staff
Prepared by: Connie Verceles, Assistant to the City Manager/Economic Development
Reviewed by: Teri Silva, Assistant City Manager
Approved by: Kent Steffens, City Manager
ATTACHMENTS
1. Draft Resolution
2. Resolution No 1075-21
3. City Manager/Director of Emergency Services Emergency Order June 10, 2020
4. SDA Request Letter