HomeMy WebLinkAbout2023-83 - Authorizing Submittal of a Local Coastal Program Amendment to the California Coastal Commission Amending Title 21 (Local Coastal Program Implementation Plan) of the Newport Beach Municipal Code Related to Short Term Lodging (PA2023-0116)RESOLUTION NO. 2023-83
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
NEWPORT BEACH, CALIFORNIA, AUTHORIZING
SUBMITTAL OF A LOCAL COASTAL PLAN AMENDMENT
TO THE CALIFORNIA COASTAL COMMISSION
AMENDING TITLE 21 (LOCAL COASTAL PROGRAM
IMPLEMENTATION PLAN) OF THE NEWPORT BEACH
MUNICIPAL CODE RELATED TO SHORT TERM LODGING
(PA2023-0116)
WHEREAS, Section 200 of the City of Newport Beach ("City") Charter 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, Section 30500 of the California Public Resources Code requires
each county and city to prepare a Local Coastal Program ("LCP") for that portion of the
coastal zone within its jurisdiction;
WHEREAS, in 2005, the City of Newport Beach adopted the City of Newport
Beach Local Coastal Program Coastal Land Use Plan as amended from time to time;
WHEREAS, the California Coastal Commission effectively certified the City's
Local Coastal Program Implementation Plan on January 13, 2017, and the City added
Title 21 (Local Coastal Program Implementation Plan) ("Title 21") to the City of Newport
Beach Municipal Code ("NBMC") whereby the City assumed coastal development
permit -issuing authority on January 30, 2017;
WHEREAS, City Council Policy K-1 (General Plan and Local Coastal Program)
of the NBMC requires amendments to the City of Newport Beach certified Local Coastal
Program codified in Title 21 to be initiated by the City Council;
WHEREAS, on May 23, 2023, the City Council directed the Planning
Commission to identify opportunities to modify Titles 20 and 21 of the NBMC, effectively
initiating amendments, to facilitate new visitor serving accommodation opportunities
within the Mixed -Use Water (MU-W2) and Mixed -Use Cannery Village and 15t" Street
(MU-CV/15th St.) zoning districts ("LCP Amendment");
Resolution No. 2023-83
Page 2 of 4
WHEREAS, on June 22, 2023, the Planning Commission discussed the
amendments to Titles 20 and 21 to facilitate new visitor serving accommodations;
WHEREAS, pursuant to Section 13515 (Public Participation and Agency
Coordination Procedures) of the California Code of Regulations Title 14, Division 5.5,
Chapter 8, Subchapter 2, Article 5 (Public Participation) ("Section 13515"), drafts of LCP
Amendment were made available and a Notice of Availability was distributed at least six
weeks prior to the anticipated final action date;
WHEREAS, the Planning Commission held a public hearing on October 19,
2023, in the City Council Chambers, located at 100 Civic Center Drive, Newport Beach,
California. A notice of time, place and purpose of the hearing was given in accordance
with California Government Code Section 54950 et seq. ("Ralph M. Brown Act") and
Chapter 21.62 (Public Hearings) of the NBMC. Evidence, both written and oral, was
presented to, and considered by, the Planning Commission at this hearing;
WHEREAS, at the conclusion of the hearing, the Planning Commission adopted
Resolution No. PC2023-038 by a majority vote (3 ayes,1 nay) recommending approval
of the LCP Amendment to the City Council; and
WHEREAS, the City Council held a public hearing on November 28, 2023, in the
City Council Chambers located at 100 Civic Center Drive, Newport Beach, California.
Notice of time, place and purpose of the public hearing was given in accordance with
the Ralph M. Brown Act, Section 13515, and Chapter 21.62 (Public Hearings) of the
NBMC. Evidence, both written and oral, was presented to, and considered by, the City
Council at this public hearing.
NOW, THEREFORE, the City Council of the City of Newport Beach resolves as
follows:
Section 1: The City Council of the City of Newport Beach does hereby
authorize City staff to submit Local Coastal Program Amendment No. PA2023-0116 to
the California Coastal Commission to amend Title 21 (Local Coastal Program
Implementation Plan) of the Newport Beach Municipal Code as set forth in Exhibit "A,"
and supported by the findings set forth in Exhibit "B," both of which are attached hereto
and incorporated herein by reference.
Resolution No. 2023-83
Page 3 of 4
Section 2: Local Coastal Program Amendment No. PA2023-0116 shall not
become effective until approval by the California Coastal Commission and adoption,
including any modifications suggested by the California Coastal Commission, by
resolution and/or ordinance of the City Council of the City of Newport Beach.
Section 3: The LCP, including this Local Coastal Program Amendment No.
PA2023-0116, will be carried out in full conformity with the California Coastal Act.
Section 4: The recitals provided in this resolution are true and correct and are
incorporated into the operative part of this resolution.
Section 5: If any section, subsection, sentence, clause or phrase of this
resolution 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 resolution. The City
Council hereby declares that it would have passed this resolution, and each section,
subsection, sentence, clause or phrase hereof, irrespective of the fact that any one or
more sections, subsections, sentences, clauses or phrases may be declared invalid or
unconstitutional.
Section 6: The City Council of the City of Newport Beach finds the Local
Costal Program Amendment PA2023-0116 is exempt from environmental review under
the California Environmental Quality Act ("CEQA") pursuant to Section 15060(c)(2) of
the CEQA Guidelines, California Code of Regulations, Title 14, Division 6, Chapter 3,
which states that an activity is not subject to CEQA if "[t]he activity will not result in a
direct or reasonably foreseeable indirect physical change in the environment." The LCP
Amendment would allow existing residential dwelling units in mixed use zones to be
used as short term lodging. The LCP Amendment would not authorize new
development that would result in a physical change in the environment.
Resolution No. 2023-83
Page 4 of 4
Section 7: This resolution shall take effect immediately upon its adoption by
the City Council, and the City Clerk shall certify the vote adopting the resolution.
ADOPTED this 28th day of November 2023.
NOAH BLOM
Mayor
ATTEST:
Leilani I. Brown
City Clerk
APPROVED AS TO FORM:
CITY ATTORNEY'S OFFICE
�✓ C.
Aaron C. Harp
City Attorney
Attachments: Exhibit A - Local Coastal Plan Amendment No. PA2023-0116
Exhibit B - Findings in Support of LCP Amendment No. PA2023-0116
EXHIBIT "A"
LOCAL COSTAL PLAN AMENDMENT NO. PA2023-0116
Section 1: Rows entitled "Visitor Accommodations, Residential" and "Short Term
Lodging" are hereby added to the "Residential Uses" section of Table 21.22-1 (Allowed
Uses) of Section 21.22.020(C) of the Newport Beach Municipal Code to read as follows:
TABLE 21.22-1
ALLOWED USES
Mixed -Use Zoning Districts
A
—
Allowed
Not Allowed
Land Use
See Part 7 of this Implementation Plan for
land use definitions.
See Chapter 21.12 for unlisted uses.
MU-V (6)
MU-MM (4)
MU-CV/15th St.
(5)(6)
Specific Use
Regulations
Residential Uses
Single -Unit Dwellings
Located on 1 st floor
—
—
A (3)
Located above 1st floor
A (1)
—
A (3)
Multi -Unit Dwellings
Located on 1 st floor
—
A (1)(2)
A (3)
Located above 1 st floor
A (1)
A (1)(2)
A (3)
Two -Unit Dwellings
Located on 1 st floor
—
—
A (3)
Located above 1 st floor
A (1)
—
A (3)
Home Occupations
A
A (1)
A
Live -Work Units
A
A (1)(2)
A (3)
Accessory Dwelling Units and Junior Accessory
Dwelling Units
A
A
A
Section 21.48.200
Visitor Accommodations, Residential
Short Term Lodging
—
—
A
Chapter 5.95 and
Section 21.48.115
Section 2: Rows entitled "Visitor Accommodations, Residential" and "Short Term
Lodging" are hereby added to the "Residential Uses" section of Table 21.22-2 (Allowed
Uses) of Section 21.22.020(C) of the Newport Beach Municipal Code to read as follows:
TABLE 21.22-2
ALLOWED USES
Mixed -Use Coastal Zoning Districts
A
Allowed
Not Allowed
Land Use
See Part 7 of this Implementation Plan for land use
definitions.
See Chapter 21.12 for unlisted uses.
MU-W1 (3)
MU-W2 (5)
Specific Use
Regulations
Residential Uses
Single -Unit Dwellings
Located on 1 st floor
—
—
Located above 1st floor
A (1)
A (2)
Multi -Unit Dwellings
Located on 1 st floor
—
—
Located above 1 st floor
A (1)
A (2)
Two -Unit Dwellings
Located on 1st floor
—
—
Located above 1st floor
A (1)
A (2)
Home Occupations
A
A (2)
Accessory Dwelling Units and Junior Accessory Dwelling
Units
A
A
Section 21.48.200
Visitor Accommodations, Residential
Short Term Lodging
—
A
Chapter 5.95 and
Section 21.48.115
Section 3: The title and content of Section 21.48.115 (Short -Term Lodging) of
the Newport Beach Municipal Code are hereby amended to read as follows:
21.48.115 Short Term Lodging.
A. Purpose. This section provides standards for the operation of short term lodging
units to prevent overburdening City services and adverse impacts on residential
neighborhoods, multi -use areas, and on coastal access and resources.
B. Permits within a Residential District.
1. No owner of a short term lodging unit shall advertise for rent, or rent a lodging
unit located within a residential district for a short term, without a valid short term
lodging permit for that unit, issued pursuant to Chapter 5.95.
2. An owner shall be permitted to renew, reinstate, or transfer a valid permit in
accordance with the provisions of Chapter 5.95.
3. As set forth in Section 5.95.042 of Chapter 5.95, the maximum number of short
term lodging permits shall be limited to one thousand four hundred seventy-five
(1,475) permits within a residential district at any time. If there are more than one
thousand four hundred seventy-five (1,475) valid permits that have been issued
within a residential district as of the effective date of Ordinance No. 2023- , no
new permit shall be issued to any person on the waiting list, as described in Section
5.95.042(D), until the total number of permits does not exceed the one thousand
four hundred seventy-five (1,475) limit. To avoid wholesale conversion of existing
and new housing complexes into short term lodgings, multi -unit developments within
a residential district with five (5) or more units may permit a maximum of twenty (20)
percent of the total number of units to be short term lodgings (rounded down to the
nearest whole number).
4. No short term lodging unit shall be permitted on any lot in the R-1 (Single -Unit
Residential) Coastal Zoning District or any lot designated for single -unit dwelling
land use as part of a planned community development plan, unless the short term
lodging unit was legally established on or before June 1, 2004.
C. Permits within Mixed -Use Water Zoning District (MU-W2) and Mixed -Use Cannery
Village and 15th Street Zoning District (MU-CV/15th St.).
1. No owner of a short term lodging unit shall advertise for rent, or rent a lodging
unit located within the Mixed -Use Water (MU-W2) or Mixed -Use Cannery Village
and 15th Street (MU-CV/15th St.) zoning districts for a short term, without a valid
short term lodging permit for that unit, issued pursuant to Chapter 5.95.
2. An owner shall be permitted to renew, reinstate, or transfer a valid permit in
accordance with the provisions of Chapter 5.95.
3. As set forth in Section 5.95.042 of Chapter 5.95, the maximum number of short-
term lodging permits shall be limited to a total of seventy-five (75) permits within the
Mixed -Use Water (MU-W2) and Mixed -Use Cannery Village and 15th Street (MU-
CV/15th St.) districts at any time. No new permit shall be issued to anyone on the
waiting list, as described in Section 5.95.042(F), until the total number of permits is
less than seventy-five (75). Notwithstanding the foregoing, the seventy-five (75)
permit maximum shall not apply to a short term lodging unit that was legally
established as of November 25, 2010, on a lot within a Mixed -Use Coastal Zoning
District provided the owner maintains a valid short term lodging permit that is not
subsequently revoked or abandoned.
4. Only a property owner that owns twenty (20) or more units under common
ownership within the same Statistical Area as defined by the Land Use Element of
the General Plan shall be eligible to obtain a short term lodging permit(s) in the MU-
W2 and/or MU-CV/15th St. districts. The eligible units may be located upon one (1)
or more separate parcels or properties provided they cumulatively add up to twenty
(20) or more units, and all units are located within the MU-W2 and/or MU-CV/15th
St. districts. Common ownership means the same person, entity or managing
partner holds legal and/or equitable title to no less than fifty percent (50%) of each
property or entity.
D. Operational Standards. The owner, or any other person(s) or entity(ies) that hold(s)
legal and/or equitable title to the lodging unit, shall comply with all federal, State, and
local laws, rules, regulations and conditions of approval including, but not limited to, all
short term lodging permit conditions, as set forth in Chapter 5.95. In addition, the owner,
or any other person(s) or entity(ies) that hold(s) legal and/or equitable title to the lodging
unit, shall:
1. By written agreement, limit overnight occupancy of the short term lodging unit to
the maximum permitted by the Building Code and Fire Code.
2. Use best efforts to ensure that the transient user, occupants and/or guests of
the short term lodging unit do not create unreasonable noise or disturbances,
engage in disorderly conduct, or violate provisions of this Code or any State or
federal law pertaining to noise, disorderly conduct, the consumption of alcohol, or
the use of illegal drugs.
3. Upon notification that any transient user, occupant and/or guest of his or her
short term lodging unit has created unreasonable noise or disturbances, engaged in
disorderly conduct or committed violations of this Code or any State or federal law
pertaining to noise, disorderly conduct, the consumption of alcohol or the use of
illegal drugs, promptly use best efforts to prevent a recurrence of such conduct by
any transient user, occupant or guest.
4. Use best efforts to ensure compliance with applicable health and sanitation
regulations relating to waste disposal.
5. Post a copy of any applicable permits and conditions in a conspicuous place
within the unit.
6. Not rent, let, advertise for rent, or enter into an agreement for the rental of any
lodging unit, for less than two (2) consecutive nights.
7. The City Manager shall have the authority to impose additional standard
conditions, applicable to all short term lodging units, as necessary to achieve the
objectives of this section.
E. Additional Requirements for Newport Island (Map A-16). To the extent there is any
conflict between this subsection and other provisions of the Code related to short term
rentals on Newport Island (Map A-16), this subsection shall govern and control.
1. In addition to the restriction set forth in Section 5.95.042 and subsection (B)(3)
of this section, the maximum number of short term lodging permits issued for units
located on Newport Island shall be limited to twenty (20) short term lodging permits
at any one time. If there are more than twenty (20) valid short term lodging permits
that have been issued as of January 13, 2022, an owner shall be permitted to
renew, reinstate, or transfer a valid permit in accordance with the provisions of
Chapter 5.95; however, no new permit shall be issued unless: (a) permits are
available for issuance pursuant to Section 5.95.042 and subsection (13)(3) of this
section; and (b) the total number of permits for units located on Newport Island does
not exceed twenty (20). If the City has issued the maximum number of permits
available for units on Newport Island, the City shall maintain a waiting list and follow
the same procedures as set forth in Section 5.95.042(D). For purposes of this
subsection, the maximum number of permits available will be calculated in the same
manner as set forth in Chapter 5.95.
2. An owner, agent, or other person shall only be allowed to rent a dwelling unit on
Newport Island for a short term if the dwelling unit is located on a lot with an owner -
occupied dwelling unit that is managed by the owner of the owner -occupied dwelling
unit. For purposes of this subsection, the term "owner -occupied" means the owner
occupies and lives at the property and the property is used as the owner's primary
residence no less than one hundred eighty-three (183) days of each year and
provides at least two (2) of the following documentation: motor vehicle registration,
driver's license, California State Identification card, voter registration, income tax
return, property tax bill, or a utility bill showing the dwelling unit is the owner's
primary residence. For purposes of this subsection, "managed by the owner" means
that the owner is occupying and living at the property while it is being rented for a
short term use.
3. The owner and/or agent shall limit the overnight occupancy of the short term
lodging unit on Newport Island to the lesser of: (a) the number of occupants that can
be accommodated consistent with the on -site parking requirement set forth in
subsection (E)(4) of this section, or (b) two (2) persons per bedroom plus two (2)
additional persons, up to a maximum of ten (10) persons. Additional daytime guests
are allowed between the hours of 7:00 a.m. and 10:00 p.m. with the maximum
daytime occupancy limited to a number equal to the maximum overnight occupancy
plus six (6) additional persons. The occupancy restrictions set forth in this
subsection shall be set forth in a written rental agreement.
4. Each short term lodging unit on Newport Island shall provide a minimum of one
(1) parking space in an existing garage or carport. Occupancy shall be limited to a
maximum of five overnight guests for a short term lodging unit providing only one (1)
parking space. The parking required by this subsection shall be free of obstructions
and available for use by the short term lodging user.
5. No owner, agent, or other person shall rent or let a short term lodging unit on
Newport Island more than once in any seven -consecutive -day period.
F. Additional Requirements for the Mixed -Use Water Zoning District (MU-W2) and
Mixed -Use Cannery Village and 15th Street Zoning District (MU-CV/15th St.). To the
extent there is any conflict between this subsection and other provisions of the Code
related to short term lodging within the Mixed -Use Water (MU-W2) district or Mixed -Use
Cannery Village and 15th Street (MU-CV/15th St.) district, this subsection shall govern
and control.
1. Prior to issuance of a short term lodging permit, a management plan shall be
submitted for review and approval by the Community Development Director. The
management plan shall include the following:
a. Acknowledgement and method of compliance with all operational
standards identified in Subsection 21.48.115(D) for all short term lodging units
on the property or properties;
b. Identification of professional management responsible for administering
the permit;
c. Evidence of eligibility and compliance with ownership requirements of
Subsection 21.48.115(C)(4) above;
d. Demonstration that on -site amenities are provided to guests; and
e. Parking management plan ensuring all available on -site parking remain
free of obstructions and available for use by the short term lodging user. For
short term lodging units that are non -conforming due to number of parking
spaces provided, sufficient data to indicate that parking demand will be less
than the required number of spaces or that other parking is available (e.g.,
City parking lot located nearby, on -street parking available, greater than
normal walk in trade, alternative transportation, etc.) such that use or
operation of the short term lodging permit will not reduce availability of
parking in nearby residential neighborhoods.
2. No deed -restricted affordable housing units shall be used for short term lodging.
Section 4: The definition of "Bed and breakfast inn" of Section 21.70.020
(Definitions of Specialized Terms and Phrases) of the Newport Beach Municipal Code is
hereby amended to read as follows:
"Bed and breakfast inn" means a dwelling unit that offers guest rooms or suites for a fee
for thirty (30) days or less, with incidental eating and drinking service provided from a
single kitchen for guests only.
Section 5: The title and definition of "Short-term lodging" of Section 21.70.020
(Definitions of Specialized Terms and Phrases) of the Newport Beach Municipal Code is
hereby amended to read as follows:
"Short term lodging" means a dwelling unit that is rented or leased as a single
housekeeping unit (see "Single housekeeping unit") for a period of thirty (30) days or
less.
EXHIBIT "B"
FINDINGS IN SUPPORT OF LOCAL COASTAL PLAN AMENDMENT NO. PA2023-
0116
1. The LCP Amendment (PA2023-0116) is consistent with the City's General Plan. It
would serve to implement the following goals and policies of the General Plan:
Land Use Element Policy LU 2.6 (Visitor Serving Uses), which states, "Provide uses
that serve visitors to Newport Beach's ocean, harbor, open spaces, and other
recreational assets, while integrating them to protect neighborhoods and residents."
The proposed amendment would allocate and allow 75 short term lodging permits
within the MU-W2 and MU-CV/15th St. coastal zoning districts, subject to specific
regulations that would require the operation of short term lodging would be subject to a
permit issued by the City, managed by professional management, and not impact
parking in the neighborhood. The amendment would also maintain the existing
Citywide maximum cap of 1,550 permits by establishing a maximum cap of 1,475
permit with residential coastal zoning districts and a maximum cap of 75 permit within
the MU-W2 and MU-CV/15th St. coastal zoning districts. This would maintain the
existing allowance for this type of visitor accommodations in the City without altering
existing provisions and regulations on short term lodging previously adopted to protect
residential neighborhoods.
Land Use Element Goal LU 4, which states, "Management of growth and change to
protect and enhance the livability of neighborhoods and achieve distinct and
economically vital business and employment districts, which are correlated with
supporting infrastructure and public services and sustain Newport Beach's natural
setting." In specific mixed -use zones larger scale (twenty (20) or more units) permit
holders would be permitted to operate. This provides additional opportunities for
properties in the mixed -use zones to achieve and maintain economic viability and
minimizes impacts on residential neighborhoods.
2. The LCP Amendment serves to implement Coastal Land Use Plan (CLUP) Table
2.1.1-1 (Land Use Plan Categories) of the LCP, which establishes the type, density,
and intensity of land uses within the coastal zone. The amendment would allow the
operation of short term lodging in certain mixed -use coastal zoning districts where
the commercialization of existing residential dwellings as visitor accommodations is
more appropriate. This is consistent with allowing visitor serving accommodations in
the mixed -use zones while maintaining the adopted regulations to protect residential
zones.
3. CLUP Policy 2.3.3-6 authorizes the short term rental of dwelling units as a means of
providing lower -cost overnight visitor accommodations. The City currently limits the
maximum number of short term rentals at a cap of 1,550 permits to prevent adverse
impacts to residential areas and preserve housing stock within the coastal zone. To
allow for the small expansion of short term lodging in the more appropriate mixed
4. use coastal zoning districts, but maintain and protect existing maximum cap of 1,550
permits, this amendment establishes two separate caps: 1) a maximum cap of 1,475
permit with residential coastal zoning districts; and, 2) a maximum cap of 75 permit
within the MU-W2 and MU-CV/15th St. coastal zoning districts.
STATE OF CALIFORNIA }
COUNTY OF ORANGE } ss.
CITY OF NEWPORT BEACH If
I, Leilani I. Brown, City Clerk of the City of Newport Beach, California, do hereby certify that the
whole number of members of the City Council is seven; the foregoing resolution, being Resolution
No. 2023-83 was duly introduced before and adopted by the City Council of said City at a regular meeting
of said Council held on the 281h day of November, 2023; and the same was so passed and adopted by the
following vote, to wit:
AYES: Mayor Pro Tern Will O'Neill, Councilmember Brad Avery, Councilmember
Robyn Grant, Councilmember Lauren Kleiman, Councilmember Joe Stapleton,
Councilmember Erik Weigand
NAYS: None
RECUSED: Mayor Noah Blom
IN WITNESS WHEREOF, I have hereunto subscribed my name and affixed the official seal of
said City this 29th day of November, 2023.
Leilani I. rown
City Clerk
Newport Beach, California