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Home My WebLink About03 - Allow Homeowners' Associations to Opt Out of the Saturday Construction Noise Restrictions and Project Sign RequirementsTO: FROM CITY OF NEWPORT BEACH City Council Staff Report July 9, 2019 Agenda Item No. 3 HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL Seimone Jurjis, Community Development Director - 949-644-3232, sjurjis@newportbeachca.gov PREPARED BY: Samir Ghosn, Deputy Community Development Director/Chief Building Official, sghosn newportbeachca.gov PHONE: 949-644-3277 TITLE: Ordinance No. 2019-11: Amending the Newport Beach Municipal Code to Allow Homeowners' Associations to Opt Out of the Saturday Construction Noise Restrictions and Project Sign Requirements ABSTRACT: At the June 11, 2019 City Council meeting, the City Council adopted Ordinance No. 2019- 9 to amend the Newport Beach Municipal Code (NBMC) to restrict construction -related noise on Saturdays and to require posting of a project information sign for new projects in the designated high-density areas. The City Council directed staff to return with a new ordinance that will allow a community organized as a homeowners' association (HOA) the ability to opt out of the requirements established by Ordinance No. 2019-9. RECOMMENDATION: a) Determine this action is exempt from the California Environmental Quality Act (CEQA) pursuant to Sections 15060(c)(2) and 15060(c)(3) of the CEQA Guidelines because this action will not result in a physical change to the environment, directly or indirectly; and b) Introduce Ordinance No. 2019-11, An Ordinance of the City Council of the City of Newport Beach, California, Amending Sections 10.28.040 and 15.16.010 of the Newport Beach Municipal Code, to Provide a Process for Homeowners'Associations to Opt Out of Saturday Construction -Related Noise Regulations and Temporary Construction Project Signage Requirements, and pass to second reading on July 23, 2019. FUNDING REQUIREMENTS: There is no direct fiscal impact related to the adoption of the ordinance. 3-1 Ordinance No. 2019-11: Amending the Newport Beach Municipal Code to Allow Homeowner Associations to Opt Out of the Saturday Construction Noise Restrictions and Project Signage Requirements July 9, 2019 Page 2 DISCUSSION: On June 11, 2019, the City Council adopted Ordinance No. 2019-9 establishing restrictions on construction related noise generated on Saturdays and the requirement of a project information sign to be posted on the construction fence. Prior to adoption of the ordinance, the Newport Shores Community Association (NSCA) submitted a letter (Attachment B) requesting to opt out of the new ordinance requirements as they believed it would not benefit their community. Based on the request from NSCA to opt out, the City Council directed staff to return with a new ordinance that would allow a community organized as an HOA, the ability to opt out of the new requirements. Opt Out Provisions The proposed ordinance (Attachment A) amends the NBMC to allow a community organized as an HOA the ability to opt out of the requirements established in Ordinance No. 2019-9 by performing the following: a. For HOAs with thirty (30) units or more, the board of directors of the HOA shall pass a letter or resolution declaring their desire to be exempted from the designated high-density area; b. The HOA shall submit the passed decision to the City Clerk for consideration by the City Council; and C. The City Council may pass a resolution to amend the designated high-density area map based on findings that the removal of the requested area will not negatively affect surrounding neighborhoods' property owners. For the purpose of this ordinance, an HOA means an organization consisting of at least thirty (30) voting members whose properties connect in a contiguous manner and whose operation is governed by a board of directors. A list of homeowners' associations within the designated high-density area is attached (Exhibit C). Per the proposed draft ordinance, HOAs with less than 30 units are not eligible to opt out of the ordinance. This is to prevent a patch work of smaller communities that may generate construction noise on Saturday from disturbing adjacent communities that do not allow construction related noise. If an HOA chooses to opt out of the Saturday noise restriction but would like to keep the project information sign requirement, then the HOA can opt out of the high density area and amend the HOA's Covenants, Conditions & Restrictions (CCRs) to require a project information sign of their members that perform construction. If the introduction of the ordinance is approved, it will be placed on the July 23, 2019, City Council agenda for final adoption. The opt out ordinance will take effect 30 days after adoption. 3-2 Ordinance No. 2019-11: Amending the Newport Beach Municipal Code to Allow Homeowner Associations to Opt Out of the Saturday Construction Noise Restrictions and Project Signage Requirements July 9, 2019 Page 3 ENVIRONMENTAL REVIEW: Staff recommends the City Council find this action not subject to the California Environmental Quality Act (CEQA) pursuant to Sections 15060(c)(2) (the activity will not result in a direct or reasonably foreseeable indirect physical change in the environment) and 15060(c)(3) (the activity is not a project as defined in Section 15378) of the CEQA Guidelines, California Code of Regulations, Title 14, Chapter 3, because it has no potential for resulting in physical change to the environment, directly or indirectly. The adoption of the amendment does not authorize new development or change the density or intensity of any potential future development. NOTICING: The agenda item has been noticed according to the Brown Act (72 hours in advance of the meeting at which the City Council considers the item). ATTACHMENTS: Attachment A — Ordinance No. 2019-11 Attachment B — Opt Out Request from Newport Shores Community Association Attachment C — List of Homeowners' Associations in Designated High -Density Areas 3-3 Attachment A Draft Ordinance M ORDINANCE NO. 2019- 11 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY NEWPORT BEACH, CALIFORNIA, AMENDING SECTIONS 10.28.040 AND 15.16.010 OF THE NEWPORT BEACH MUNICIPAL CODE, TO PROVIDE A PROCESS FOR HOMEOWNERS' ASSOCIATIONS TO OPT OUT OF SATURDAY CONSTRUCTION -RELATED NOISE REGULATIONS AND TEMPORARY CONSTRUCTION PROJECT SIGNAGE REQUIREMENTS WHEREAS, Section 200 of the Charter of the City of Newport Beach ("City") vests the City Council with the authority to make and enforce all laws, rules and regulations with respect to municipal affairs subject only to the restrictions and limitations contained in the Charter and the State Constitution, and the power to exercise, or act pursuant to any and all rights, powers, and privileges, or procedures granted or prescribed by any law of the State of California; WHEREAS, at the City Council meeting held on June 11, 2019, the City Council directed staff to submit for City Council consideration an ordinance providing a process for a homeowners' association located within a designated high-density area, as that term is defined in Newport Beach Municipal Code Sections 10.28.040(E) and 15.16.010, to opt out of the Saturday construction -related noise regulations and temporary construction project signage requirements; WHEREAS, the effect of construction related activities on residents is reduced in an area that has a homeowners' association because a homeowners' association has the ability to make and enforce its own rules related to construction activities within the homeowners' association's geographical boundaries; and WHEREAS, the City Council finds and declares that it is appropriate to allow for a homeowners' association to be excluded from the definition of a designated high-density area, if the board of directors takes formal action requesting to be excluded from the definition and the City Council finds exclusion from the definition will not negatively affect surrounding property owners. NOW, THEREFORE, the City Council of the City of Newport Beach ordains as follows: Section 1: Section 10.28.040(E) of Chapter 10.28 of Title 10 of the Newport Beach Municipal Code is hereby amended to read as follows: 3-5 Ordinance No. 2019 - Page 2 of 4 E. Designated High -Density Area. The term "designated high-density area" shall mean any shaded area on the following map. See Exhibit A. The geographical boundaries of a homeowners' association, as defined in Section 10.28.040(F), shall be excluded from the definition of a "designated high-density area" if the City Council adopts a resolution pursuant to Section 10.28.040(F). Section 2: Section 10.28.040(F) of Chapter 10.28 of Title 10 of the Newport Beach Municipal Code is hereby added to read as follows.- F. ollows: F. A homeowners' association located within a designated high-density area may exclude the geographical boundaries of the homeowners' association from the definition of a designated high-density area if: 1. The board of directors of the homeowners' association passes a resolution declaring its desire to exempt its geographical boundaries from the definition of a designated high-density area; 2. The board of directors submits the resolution to the City Clerk for consideration by the City Council; and 3. The City Council finds that exempting the geographical boundaries of the homeowners' association from the definition of a designated high-density area will not negatively affect surrounding property owners. For the purpose of this Section 10.28.040(F), a homeowners' association means an organization consisting of at least thirty (30) voting members whose properties connect in a contiguous manner and whose operation is governed by a board of directors. Section 3: The definition of "Designated High -Density Area" in Section 15.16.010 of Chapter 15.16 of the Newport Beach Municipal Code is hereby amended to read as follows: Designated High -Density Area. The term "designated high-density area" shall mean any shaded area on the following map. See Exhibit A. The geographical boundaries of a homeowners' association, as defined in Section 10.28.040(F), shall be excluded from the definition of a "designated high-density area" if the City Council adopts a resolution pursuant to Section 10.28.040(F). Section 4: The recitals provided in this ordinance are true and correct and are incorporated into the substantive portion of this ordinance. 3-6 Ordinance No. 2019 - Page 3 of 4 Section 5: If any section, subsection, sentence, clause or phrase of this ordinance is for any reason held to be invalid or unconstitutional, such decision shall not affect the validity or constitutionality of the remaining portions of this ordinance. The City Council hereby declares that it would have passed this ordinance and each section, subsection, sentence, clause or phrase hereof, irrespective of the fact that any one or more sections, subsections, sentences, clauses or phrases be declared invalid or unconstitutional. Section 6: The City Council finds and determines that the introduction and adoption of this ordinance is not subject to the California Environmental Quality Act ("CEQA") pursuant to Sections 15060(c)(2) (the activity will not result in a direct or reasonably foreseeable indirect physical change in the environment) and 15060(c)(3) (the activity is not a project as defined in Section 15378) of the CEQA Guidelines, California Code of Regulations, Title 14, Division 6, Chapter 3, because it has no potential for resulting in physical change to the environment, directly or indirectly. Section 7: Except as expressly modified in this ordinance, all other titles, chapters, sections, subsections, terms, sentences, clauses and phrases set forth in the Newport Beach Municipal Code shall remain unchanged and shall be in full force and effect. 3-7 Ordinance No. 2019 - Page 4 of 4 Section 8: The Mayor shall sign and the City Clerk shall attest to the passage of this ordinance. The City Clerk shall cause the ordinance, or a summary thereof, to be published pursuant to City Charter Section 414. This ordinance shall be effective thirty (30) calendar days after its adoption. This ordinance was introduced at a regular meeting of the City Council of the City of Newport Beach held on the 9th day of July, 2019, and adopted on the 23rd day of July, 2019, by the following vote, to -wit: AYES: NAYS: ABSENT: DIANE B. DIXON, MAYOR ATTEST: LEILANI I. BROWN, CITY CLERK APPROVED AS TO FORM: CITY ATTORNEY'S OFFICE AARON C. HARP, CITY ATTORNEY UM 0 Balboa Island ` 0 Balboa Peninsula 0 Bay Island - 0 Bayshores ........ ,. :. ; 0 Collins Island 0 Corona del Mar Village 0 Harbor Island. Linda Isle .. . 0 Lida Isl ` AD West Newport Newport High Density Areas � P O NEG ES City of Newport Beach GIS DMA— May 13, 2019 3-9 Attachment 6 Opt Out Request from Newport Shores Community Association 3-10 June 9, 2019 City of Newport Beach Attention Mayor Diane Dixon 100 Civic Center Drive Newport Beach, CA 92660 Re: Opposition to Ordinance 2019-9 — Restricting Saturday Residential Building Construction Dear Mayor Dixon, The Newport Shores Community Association (NSCA) is comprised of approximately 450 homes in the West Newport Beach area of the City of Newport Beach. Our Association is responsible for maintaining a one -acre clubhouse community area that is for the membership that includes a college size pool, tennis court, basketball court, volleyball court, tot lot and sand beach BBQ area. The NSCA Board of Directors consists of eleven elected members from the community. Normally the Board of Directors shy's away from political issues and is simply a conduit of information to the community, when necessary. However, we have just been made aware of the proposed ordinance change to restrict residential building construction in our neighborhood. No notice was provided to our Board regarding this change. Though no input was able to be obtained from our Community, we are confident that the membership would strongly oppose this change. Please note, the Board voted unanimously this last week to send this letter in opposition. Restricting Saturday work in our neighborhood is not necessary, as we don't have an overabundance of residential construction at any one time, even in this peak economy. The lack of Saturday work will only delay construction projects and raise cost as reducing options for sub -contractor work. Every board member has done some sort of remodeling and everyone has utilized Saturday work hours to complete our projects. We respectfully request the City Council remove Newport Shores from this Ordinance. For future ordinance changes that impact our community, we would request notice to our HOA so we can appropriately inform our membership and provide you input. 511 CANAL STREET NEWPORT BEACH, CALIFORNIA 92663 3-11 Letter to Mayor Diane Dixon Opposition to Ordinance 2019-9 — Restricting Saturday Construction, Page 2 of 2 Thank you and the other Council Members for your tireless service to the City. And, thank you for your consideration removing Newport Shores from this Ordinance. Should you have any questions, please do not hesitate to contact me at (714) 342-3289. Best regards, Rene Rimlinger, President Newport Shores Community Association Cc: City Council Grace Leung, City Manager Leilani Brown, City Clerk 3-12 Attachment C List of Homeowners' Associations within High -Density Areas 3-13 ATTACHMENT C LIST OF HOMEOWNERS' ASSOCIATIONS WITHIN HIGH-DENSITY AREAS REFERENCE CA 039 O. COLLINS ISLAND - NO OFFICIAL HOA ON RECORD UNITS 8 CA 037 CHINA COVE CONDOS ASSOCIATION 11 CA 192 SEASHORE TOWNEHOME OWNERS ASSOC. 15 CA 007 BAY ISLAND CLUB, INC 23 CA 100 RENDEZVOUS CONDOMINIUM ASSN. 24 CA 084 NEWPORT MARINA VILLAS OWNERS ASSN. 28 CA 055 HARBOR ISLAND COMMUNITY ASSN. 29 CA 129 CANNERY VILLAGE MOBILE HOME PARK ASSN. 34 CA 022 BREAKERS DRIVE ASSN. 39 BA 090 NEWPORT PIER ASSOC. 42 CA 036 CHANNEL REEF COMMUNITY ASSOC. 47 CA -002 BALBOA COVES COMMUNITY ASSOC. 68 CA 076 LIDO SANDS COMMUNITY ASSOCIATION 82 CA 003 BALBOA VILLAGE MERCHANT ASSOCIATION - MIXED USE - POSSIBLY ONLY FOR BUSINESS OWNERS NOT RES UNITS 102 CA -050 FAR WEST NEWPORT RESIDENTS ASSOC. 106 CA 077 LINDA ISLE COMMUNITY ASSOC. 106 CA -088 NEWPORT ISLAND INCORPORATED 150 CA 123 LIDO PENINSULA RESORT 205 CA -009 BAYSHORES COMMUNITY ASSN. 286 CA 078 LITTLE BALBOA ISLAND P.O. ASSOC. 322 CA -091 NEWPORT SHORES COMMUNITY ASSOC. 478 CA 072 LIDO ISLE COMMUNITY ASSOC. 944 CA -006 BALBOA PENINSULA POINT ASSOCIATION 947 CA 005 BALBOA ISLAND IMPROVEMENT ASSOC. 1714 CA -035 CENTRAL NEWPORT BEACH COMMUNITY ASSOC. 1946 CA 113 WEST NEWPORT BEACH ASSN. 2430 CA 198 CORONA DEL MAR VILLAGE COMMUNITY ASSOCIATION 3253 3-14