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HomeMy WebLinkAbout2017-07-31 Nossaman Memo56102271.v2 TO:Kim Brandt, Community Development Director cc:Michael Torres, Assistant City Attorney FROM:John P. Erskine Steven H. Kaufmann DATE:July 31, 2017 RE:Newport Dunes Settlement Agreement and Processing of Family Inn Applications Within PC-48 400244-0001 Background This memorandum provides our final legal analysis of the City of Newport Beach (“City”) Title 20, Chapter 20.56 Planned Community District Procedures, as applied to the processing of pending entitlement applications for the Newport Dunes Resort (“Newport Dunes” or “Dunes”) Family Inn site, and replaces our prior memorandum on the subject dated July 5, 2017.. As discussed with you and your staff, Newport Dunes is essentially built out. Except for the Family Inn site and an additional restaurant parcel (Parcel B-2), both the Company1 and the City concur that the allowable land use parameters and development standards or limitations for the Dunes must be consistent with the Settlement Agreement, as amended, particularly including the Second Amendment to the Amended Newport Dunes Settlement Agreement (“Settlement Agreement”). The California Coastal Commission certified the City’s Local Coastal Program (“LCP”) effective January 30, 2017, following approval in 2016 of the City’s submitted Coastal Zoning or Implementation Plan (“IP”; Zoning Code section 21.65.065). The IP included a Planned Community Development Plan for PC-48 that incorporates the land uses and development limits established pursuant to the Settlement Agreement. The IP is consistent with the land use designations set forth in the City’s General Plan. We have previously discussed the fact that Title 20, the City’s Planning and Zoning Code, in Chapter 20.56 Planned Community District Procedures (“PC Procedures”) requires that new uses be “in compliance with a valid PC Development Plan” (Zoning Code section 20.56.030.B.1.). 1 In 1983 the City and the predecessors to the current long-term County lessees of the Dunes tidelands area entered into a Settlement Agreement to resolve litigation challenging the validity of a prior EIR for redevelopment of the area prepared by the County. The City formally approved the initial 1983 Agreement, an amended version of same, and two subsequent amendments of the Amended Agreement. The current lessees are Waterfront Resort Properties, L.P. and Newport Dunes Marina, LLC (the “Company”). Memorandum July 31, 2017 Page 2 56102271.v2 However, an alternative approach sanctioned by the PC Procedures allows other approved uses established pursuant to a conditional use permit (“CUP”) to constitute the required PC Development Plan (Zoning Code section 20.56.050.B.2.). This alternative approach, recognized by the PC Procedures and the PC Procedures as a whole set forth in Title 20, was adopted prior to the City receiving Coastal Commission’s approval of the City’s Coastal Zoning in the IP component certified by the Commission in January 2017. The Certified IP Now Prevails Over Conflicting Provisions In Any Other City Code or Regulation Title 21, Local Coastal Program Implementation Plan, was added to the City’s Municipal (Zoning) Code through the City Council’s adoption of Ordinance 2016-19 on November 22, 2016. Chapter 21.12 “Interpretation of Implementation Plan Provisions” within Title 21, sets forth rules for resolving questions regarding the applicability of any part of the IP (Section 21.12.010). The paramount authority of the LCP and the IP over any contrary zoning or municipal code provision is set forth in Section 21.12.020 Rules of Interpretation, subsection D. Conflicting Requirements: Where conflict occurs between the provisions of this Implementation Plan and any other City Code, title, chapter, resolution, guideline or regulation, the Coastal Land Use Plan and this Implementation Plan shall control. The IP adopted by the Coastal Commission in January of 2017 specifies land uses and development limits for the Newport Dunes (PC-48) in Section 21.26.065.B. (Planned Communities Without Development Plans). Furthermore, the land uses and development limits are consistent with the Newport Dunes Settlement Agreement. This “coastal zoning” includes both the broader Dunes area and the Family Inn site. Therefore, Section 21.26.065.B. serves as the “functional equivalent” of the CUP-established existing uses described in the Title 20 PC Procedures. It is well established that where policies set forth in any element of the (City’s) Plan, Zoning, or any other ordinance conflict with those of a certified LCP, including the certified Implementation Plan, the LCP’s policies provisions and Coastal Act (to the extent its policies are incorporated in the LCP), take precedence. (McAllister v. County of Monterey (2007) 147 Cal.App.4th 253; see also Hagopian v. State (2014) 223 Cal.App.4th 349, 369 [an ordinance adopted pursuant to the authority set forth in Coastal Act section 30600.5(i) is to have no effect once a local government’s LCP has been certified and taken effect].) Moreover, the City’s provision governing interpretation when conflicts arise (Section 21.12.020) is consistent with other similar precedence provisions which the Coastal Commission has incorporated in other LCPs to ensure that the LCP controls. (E.g., City of Malibu Implementation Plan section 1.3.1.) While the Coastal Act does provide that a local government may adopt and enforce additional regulations not in conflict with the Coastal Act, it may not authorize a use not designated in the LCP. (Pub. Resources Code section 30005(a);Conway v. City of Imperial Beach (1997) 52 Cal.App.3d 78.) Here, the alternative approach in PC Procedures allowing other uses that those expressly set forth in the certified Implementation Plan and associated procedures would conflict with the Coastal Act, and therefore would consequently not be permitted. Accordingly, the City’s coastal zoning reflected in the adopted IP obviates the need for a PCDP either for the Family Inn site or for the Dunes as a whole. JPE:dlf