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HomeMy WebLinkAboutOrd 1104 ZOA 5-3 Exceptions Based on Unconstitutional TakingsCITY OF PALM DESERT DEPARTMENT OF COMMUNITY DEVELOPMENT STAFF REPORT REQUEST: Consideration of a Zoning Ordinance Amendment adding Section 25.112 regarding "Exceptions Based on Unconstitutional Takings". SUBMITTED BY: Phil Joy, Associate Transportation Planner APPLICANT: City of Palm Desert CASE NO: ZOA 5-3 DATE: November 10, 2005 CONTENTS: Staff Recommendation Background Report from City Attorney Draft Ordinance No. 1104 Draft Planning Commission Minutes Planning Commission Staff Report Recommendation: Waive further reading and pass Ordinance No. 1104 to second reading approving Zoning Ordinance Amendment No. 5-3. I. BACKGROUND: On October 18th, 2005 the Planning Commission voted 4-0 (Commissioner Finnerty absent), recommending approval to the City Council of the proposed zoning ordinance amendment to the Zoning Ordinance to establish criteria an applicant must present if a "takings claim" may be pursued, in order for the city to consider exceptions to the zoning ordinance. The City Attorney has prepared ordinance further, and since the language to include "takings" as a reflected in the draft ordinance. Submitted By: /*%-� A - Phil Joy Associate Transp rtation Planner an attached report explaining the proposed planning commission meeting, he has added result of a CEQA action. The new language is Department Head: P ilip r Director of Community Development Staff Report City of Palm Desert, ZOA 5-3 Page 2 November 10, 2005 Approva . Homer Croy, A i nt City Manager for Development Services Carlos L. Orte , City Manager LAW OFFICES OF BEST BEST & KRIEGER LLP October 7, 2005 MEMORANDUM TO: Honorable Chairman and Members of the Planning Commission FROM: Robert W. Hargreaves, Assistant City Attorney RE: Proposed Ordinance Regarding Exceptions Based on Unconstitutional Takings RECOMMENDATION That the Planning Commission recommend to the City Council the adoption of the proposed Chapter 25.112 regarding Exceptions Based on Unconstitutional Takings. DISCUSSION The strict application of the city's zoning standards to particular parcels may, in unusual circumstances, almost entirely eliminate economically viable use of the property. The severe impairment of reasonable, investment backed expectations may constitute a "regulatory taking" of property without just compensation in violation of federal and state constitutions. A court determination of a "regulatory taking" would likely result in the invalidation of the offending land -use decision and potentially a damages award against the City. The proposed ordinance has two functions: (1) alert the City to potential taking claims in time to make necessary adjustments in project approvals; and (2) set up a defense to taking claims where an applicant fails to provide sufficient information to substantiate that claim. The proposed ordinance is intended to provide a safety valve to ensure that the City's strict application of Title 25 zoning standards does not run afoul of constitutional prohibitions. In essence, the proposed ordinance requires that an applicant alert the City to a potential taking claim by providing the City, during the land -use process, with any information the applicant believes substantiates that claim. Based on the information provided, the City can evaluate its potential vulnerability to a takings claim. If the City concludes that the strict application of the zoning standards would cause a constitutional violation, the ordinance empowers the City to grant an exception to any problematic zoning standards. Additionally, if an applicant fails to avail itself of the protections of the ordinance, the applicant would "fail to exhaust administrative remedies" and would likely be precluded from pursuing a takings claim in court. Consequently, the City Attorney recommends that the Planning Commission recommend adoption of Chapter 25.112 to the City Council. RWH:krg cc: David J. Erwin, City Attorney CITY OF PALM DESERT DEPARTMENT OF COMMUNITY DEVELOPMENT STAFF REPORT TO: Planning Commission DATE: October 18, 2005 CASE NO: ZOA 05-03 REQUEST: Recommend to the City Council approval of a Zoning Ordinance Amendment to add Section 25.112 APPLICANT: City of Palm Desert I. BACKGROUND: The city attorney has prepared a new section of the zoning ordinance along with a report to set a procedure for instances where enforcement of the zoning almost entirely eliminates economically viable use of the property. II. ENVIRONMENTAL REVIEW: The application is a Class 5 categorical exemption per Section 15305 (Minor Alterations in Land Use Limitations) of CEQA Guidelines and no further documentation is necessary. III. RECOMMENDATION: That the Planning Commission recommend to the City Council approval of ZOA 5-3. IV. ATTACHMENTS: A. Draft resolution B. Legal notice C. Chapter 25.112, Exceptions Based on Unconstitutional Takings D. Memorandum from Robert W. Hargreaves, Assistant City Attorney Prepared by: Phil Joy Associate Transportation Planner Reviewed and Ap ov d: Revie d and A r ed: ilip Drell Homer Croy Director of Community Development ACM for Development Services ORDINANCE NO. 1104 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF PALM DESERT, CALIFORNIA, ADDING CHAPTER 25.112 TO TITLE 25 OF THE CITY OF PALM DESERT MUNICIPAL CODE REGARDING EXCEPTIONS BASED ON UNCONSTITUTIONAL TAKINGS THE CITY COUNCIL OF THE CITY OF PALM DESERT, CALIFORNIA DOES HEREBY ORDAIN AS FOLLOWS: SECTION 1. Section 25.112 "Exceptions Based on Unconstitutional Takings" be added to the Palm Desert Municipal Code as follows: "Chapter 25.112 Exceptions Based on Unconstitutional Takings. 25.112.1 Purpose The purpose of this Chapter is to ensure that the application of the standards contained in Title 25 ZoninR, including the environmental review and mitigation process required by the California Environmental Ouality Act as implemented by Chapter 25.88(Environmental Review), to parcels within the City do not create a taking of private property prohibited by Federal or State Constitutions. 25.112.2 Application and Hearing (a) Any applicant that contends that the application of the standards of Title 25, including the environmental review and mitigation process required by the California Environmental Oualitv Act as implemented by Chapter 25.88(Environmental Review), will result in a taking of property without just compensation in violation of the Federal or State Constitutions may apply for an exception to these standards pursuant to this Section. (b) The applicant shall provide information that sets forth the basis upon which the applicant believes that the exception is necessary to provide the property with economically viable use. This information shall include each of the following: (1) Basis for application. A. Date of acquisition of the property; B. Purchase price of the property; and C. An explanation of how the exception is necessary to provide the property with an economically viable use. C: Documents and Settings Robert.Hargreaves',My Documents\PALM DESERT -Ordinance Re Takings.doc ORDINANCE NO. 1104 (2) property; Economic data. C. public improvements; D. E. F. G. granted; and H. Current market value of the property; Dates and amounts of invested capital following acquisition of the Description and amount of each assessment imposed upon the property for Existing activities for the property; Planned activities for the property, including the timing for development; Market value claimed if the exception is denied; Portion of the property retaining economic use if the exception is not Reduced profits if the exception is not granted, including the assumptions underlying the estimates. (3) Additional information. Such additional information as the City may request in order to take action on the request. The applicant shall cooperate with City requests for financial information regarding the property. Confidential business information provided by an applicant to the city shall remain confidential consistent with the requirements of the Public Records Act (Government Code §6250 et seq.). (4) Consultants and Experts. The name, address and occupation of each consultant and expert providing information or in any way assisting in the preparation of the application. In acting upon an application, the Planning Commission shall consider, among other matters, each of the following: (a) Present use of the property and duration of that use, including: and (1) Each general plan designation and zoning classification applied to the property; (2) Each use to which the property was put. (b) Fair market value of the property before the restriction that is the subject of the exception application imposed; (c) Alternate uses that are available for the property; and C:,Documents and Settings, Robert.Hargreave-s`My Documents' PALM DESERT -Ordinance Re Takings. doc2 ORDINANCE NO. 1104 (d) The fair market value of the property if the exception is denied. The Planning Commission shall make its decision based on the evidence presented to it. The decision shall be in writing with specific findings on the economic impact of the application of the restriction for which the exception is requested." SECTION 2. If any section, subsection, sentence, clause phrase or word of this Ordinance is for any reason held to be invalid or unconstitutional by a decision of any court of competent jurisdiction or preempted by state legislation, such decision or legislation shall not affect the validity of the remaining portions of this Ordinance. The City Council of the City of Palm Desert hereby declares that it would have passed this Ordinance and each and every section, subsection, sentence, clause or phrase not declared invalid or unconstitutional without regard to any such decision or preemptive legislation. SECTION 3. The Mayor shall sign this Ordinance and the City Clerk shall cause the same to be published within fifteen (15) days after its passage at least once, in a newspaper of general circulation, published and circulated in the City of Palm Desert, California. This Ordinance of the City of Palm Desert shall be effective thirty (30) days after the date of its passage. PASSED, APPROVED and ADOPTED this day of , 2005, by the City Council of the City of Palm Desert, California by the following vote, to wit: AYES: NOES: ABSENT: ABSTAIN: , Mayor City of Palm Desert, California ATTEST: Rachelle Klassen, City Clerk C:\Documents and Settings\.Robert.Hargrtaves\My Documents.PALM DESERT - Ordinance Re Takings. doc3 ORDINANCE NO. 1104 City of Palm Desert, California APPROVED AS TO FORM: David J. Erwin, City Attorney City of Palm Desert C:,Documents and Settings'. Robert. Hargreaves' My Documents\PALM DESERT - Ordinance Re Takings. doc4 MINUTES PALM DESERT PLANNING COMMISSION _ OCTOBER 18. 2005 Campbell concurred. Commissioner Jonathan said his second to the motion did as well. Action: It was moved by Commissioner Campbell, seconded by Commissioner Jonathan, approving the findings as presented by staff. Motion carried 4-0 (Commissioner Finerty was absent). It was moved by Commissioner Campbell, seconded by Commissioner Jonathan, adopting Planning Commission Resolution No. 2361, recommending to City Council approval of Case Nos. GPA 05-02, C2 05-02, PP 05-12 and PM 33837, subject to conditions as amended. Motion carried 4-0 (Commissioner Finerty was absent). m=Oo E. Case No. ZOA 05-03 - CITY OF PALM DESERT, Applicant Request for a recommendation to the City Council to approve a zoning ordinance amendment to add Section 25.112 regarding exceptions based on unconstitutional takings. Mr. Drell said that basically this ordinance provides an administrative procedure an applicant would have to follow if they intend to pursue what they call a "takings" as a result of one of our land use decisions. Chairperson Tschopp indicated that it seemed to basically be the procedure on how to do it. Mr. Drell said it forces the applicant to come out front during the administrative process and make the case that our decision is removing them of the economic use of their property. Mr. Hargreaves was in concurrence with the amendment to the ordinance. Action: Chairperson Tschopp opened the public hearing and asked for any testimony in FAVOR or OPPOSITION. There was none and the public hearing was closed. It was moved by Commissioner Campbell, seconded by Commissioner Lopez, approving the findings as presented by staff. Motion carried 4-0 (Commissioner Finerty was absent). 21 MINUTES PALM DESERT PLANNING _COMMISSION_ OCTOBER 18.2005 It was moved by Commissioner Campbell, seconded by Commissioner Lopez, adopting Planning Commission Resolution No. 2362, recommending to City Council approval of Case No. ZOA 05-03. Motion carried 4-0 (Commissioner Finerty was absent). IX. MISCELLANEOUS A. Case No. TT 30706 Amendment #1 - PALM DESERT PARTNERS, L.P., Applicant Per Planning Commission direction, presentation of a resolution denying a request to approve an amendment to Condition No. 9 of Planning Commission Resolution No. 2207 to allow a height exception for 16 model homes with roof elements at a maximum height of 20 feet for property located on the west side of Shepherd Lane west of Portola Pointe Drive. The applicant submitted a letter withdrawing his request. Action: None. Letter of withdrawal received and filed. X. COMMITTEE MEETING UPDATES A. ART IN PUBLIC PLACES Commissioner Campbell reported that the next meeting would be October 19, 2005. B. LANDSCAPE COMMITTEE None. C. PROJECT AREA 4 COMMITTEE None. 22