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O 506 C.S. ORDINANCE NO. 506 C.S. AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF ARROYO GRANDE, AMENDING TITLE 9 OF THE ARROYO GRANDE MUNICIPAL CODE BY ADDING THERETO SECTION 9-11.210 ENTITLED "LIMITATIONS ON RETAIL STORES IN EXCESS OF 90,000 SQUARE FEET" WHEREAS, the City of Arroyo Grande has conducted an environmental review for adoption of an ordinance establishing procedures to provide for the limitation of development of retail stores in the City of Arroyo Grande, and has found that it can be seen with certainty that there is no possibility that the proposed ordinance will have an effect on the environment and therefore is exempt from the provisions of the California Environmental Quality Act, Public Resources Code Section 21000, et seq.; and WHEREAS, the City Council adopted the City of Arroyo Grande Development Code, which became effective June 13, 1991, and indicated that modifications to the Development Code may occur to refine the document; and WHEREAS, the City of Arroyo Grande has a responsibility to assure adherence to the General Plan in meeting the needs and desires of the residents and the community; and WHEREAS, the Land Use Element of the General Plan of the City of Arroyo Grande - adopted on May 22, 1990, identifies as an objective the maintenance of the existing rural, small town character of the City, and to maintain existing land use patterns in support thereof; and WHEREAS, the Planning Commission of the City of Arroyo Grande considered this proposed amendment to the Development Code at a duly noticed meeting on May 4, 1999 and recommends the City Council adopt the requested amendment; and - WHEREAS, the City Council has properly considered and made findings which are described in the ordinance in support of adoption of the ordinance; and WHEREAS, the City Council has reviewed and considered the information in the staff report, as well as public testimony presented at the hearing. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF ARROYO GRANDE DOES ORDAIN AS FOLLOWS: SECTION 1: Arroyo Grande Municipal Code, Title 9, Chapter 11, is hereby amended to add the following: ORDINANCE NO. 506 C.S. PAGE 2 Section 9-11.210 Limitations on Retail Stores in Excess of 90,000 Square Feet A. Purpose To limit the development of large retail stores by restricting their ability to sell non- taxable items to such an extent that they negatively impact the rural, small town character of the City and change existing land use patterns. B. Findings 1. The City of Arroyo Grande, through its General Plan, has identified protection of its rural, small town character and existing land use patterns as a primary goal. 2. Large retail stores that sell non-taxable items compete with existing retail centers in a manner that may have potential adverse impacts on.the rural, small town character of the City of Arroyo Grande. 3. Such large retail stores would also negatively impact existing smaller stores and their workforces making the existing rural, small town shopping centers less viable; thus degrading the continued existence of existing retail stores and existing land use patterns. 4. The burdens on the public of large new stores can only be ameliorated by ensuring that they provide sufficient sales tax revenue to the City. C. Applicability No new store may be constructed in excess of 90,000 square feet, nor an existing store expanded, if the resulting total square footage will exceed 90,000 square feet, unless it meets the standards for the sale of non~taxable merchandise set forth below. - D. Limits on Non-Taxable Sales 1. If total square footage for sales is to exceed 250,000 square feet, no more than one percent (1 %) of total square footage may be devoted to non- taxable merchandise. 2. If total square footage for sales is to exceed 140,000 square feet, no more than two percent (2%) of total square footage may be devoted to non- taxable merchandise. ORDINANCE NO. 506 C.S. PAGE 3 3. If total square footage for sales is to exceed 90,000 square feet, no more than three percent (3%) of total square footage may be devoted to non- taxable merchandise. For purposes of the above calculations, only enclosed sales area will be considered. "Enclosed sales area" does not include restrooms, office space, breakrooms, . backrooms, storage space, open-air garden sales space, etc. Conversions of such space to enclosed retail sales space shall bring the project under the restrictions of the above-described limits. The total square footage and percentage for non-taxable sales shall include subleased and subcontracted departments. E. Enforcement 1. The applicant, owner and tenant shall be jointly and severally liable to the City and all other affected government agencies for all sales taxes lost as a result of a violation. In addition, they shall be liable for liquidated damages of $1,000 per day for each day a violation occurs, which reflects the City's estimate of its likely damages in addition to lost taxes. 2. In addition to subparagraph 1, the City Attorney may seek injunctive relief to stop the continued violation of this ordinance. 3. . The City may recover its full costs, including attorney. fees, in any action to enforce the provisions of this ordinance. 4. Any taxpayer or resident of the City shall have standing to enforce the provisions of this ordinance including recovery of all costs and reasonable attorney fees. SECTION 2: The City Council hereby directs the Director of Administrative Services to file a "Notice of I;xemption" with the County Recorder. SECTION 3: If any section, subsection, subdivision, paragraph, sentence, clause or phrase of this Ordinance or any part thereof is for any reason held to be unlawful, such decision shall not affect the validity of the remaining portion of this Ordinance or any part thereof. The City Council hereby declares that it would have passed each section, subsection, subdivision, paragraph, sentence, clause or phrase thereof, irrespective of the fact that anyone or more section, subsection, subdivision, paragraph, sentence, clause or phrases be declared unlawful. SECTION 4: A summary of this Ordinance shall be published in a newspaper published and circulated in the City of Arroyo Grande at least five (5) days prior to the City Council meeting at which the proposed Ordinance is to be adopted. A certified copy of the full -.---.......-----..- ~- ORDINANCE NO. 506 C.S. PAGE 4 text of the proposed Ordinance shall be posted in the office of the Director of Administrative Services. Within fifteen (15) days after adoption of the Ordinance, the summary with the names of those City Council members voting for and against the Ordinance shall be published again, and the Director of Administrative Services shall post a certified copy of the full text of such adopted Ordinance. On motion of Council Member Ferrara, seconded by Council Member Dickens, and on the following roll call vote, to-wit: AYES: Council Members Ferrara, Dickens, Runels, and Mayor Lady NOES: Council Member Tolley ABSENT: None the foregoing Ordinance was adopted this 13th day of July 13, 1999. - - ---- ---...--..-..,-------,-,-- ORDINANCE NO. 506 C.S. PAGE 5 MICHAE~~~~ ATTEST: ! /?tutfit- E, DIRECTOR OF ADMINISTRATIVE SERVICESI DEPUTY CITY CLERK APPROVED AS TO CONTENT: ~h1L. ~ ROBERT L. HUNT, CITY MANAGER APPROVED AS TO FORM: . RNEY - -~~ - . ._-".. ---.-...-..--' '--'-'--~ - ORDINANCE 506 C.S. PAGE 6 OFFICIAL CERTIFICATION I, KELLY WETMORE, Director of Administrative Services of the City of Arroyo Grande, County of San Luis Obispo, State of California, do hereby certify under penalty of perjury, that the attached Ordinance No. 506 C.S. is a true, full, and correct copy of said Ordinance passed and adopted at a regular meeting of the City Council of the City of Arroyo Grande on the 13th day of July, 1999. WITNESS my hand and the Seal of the City of Arroyo Grande affixed this 14th day of July, 1999. /tUtYLR-. , ADMINISTRATIVE SERVICES DIRECTOR DEPUTY CITY CLERK - - . ---_..~ --..-