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O 570 '. ORDINANCE NO. 570 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF ARROYO GRANDE AMENDING ARROYO GRANDE MUNICIPAL CODE CHAPTERS 16.04 AND 16.36 OF TITLE 16 TO DEFINE FORMULA BUSINESSES AND RESTRICT FORMULA BUSINESSES IN THE VILLAGE CORE DOWNTOWN AND VILLAGE MIXED USE/HISTORIC CHARACTER OVERLAY DISTRICTS (DEVELOPMENT CODE AMENDMENT 05-009) WHEREAS, the City Council adopted the updated General Plan which became effective October 9, 2001 and requires preservation of the City's unique identity and rural character; and WHEREAS, the City Council amended Title 16 of the Municipal Code (Development Code) in 2003 and 2004 for Mixed Use and Commercial districts to implement policies in the General Plan and establish regulations to encourage the specific character of each zoning district, including the Village Core Downtown (VCD) and Village Mixed Use (VMU) districts that are within the City's Historic Character Overlay District 0-2.4 (HCO). WHEREAS, the HCO is intended to "identify, promote, preserve and protect the historic, cultural, and/or architectural resource values and encourage compatible uses and architectural design". WHEREAS, the VCD and VMU districts have historical architecture and small individualized shops and restaurants, that provides an important destination for both tourists and members of the community; and WHEREAS, the continued vitality of the City's economy is dependent upon tourism and upon the ability of the City's historic district to attract both residents and visitors; and WHEREAS, the City has a responsibility to assure adherence to the General Plan and Development Code in meeting the needs and desires of the residents and the community and preserve the characteristics which make the City unique and desirable as a place in which to live and which to visit,' and prevent the loss of the rural and historical character that is a particular resource of the VCD and VMU districts; and WHEREAS, the potential proliferation of "formula" businesses may diminish the unique character of the VCD and VMU districts by offering standardization of architecture, interior design and decor, uniforms and the like, and which are required to be virtually identical to other such business in other communities; and WHEREAS, the Planning Commission of the City of Arroyo Grande considered Development Code Amendment 05-009 at a duly noticed public hearing on July 5, 2005 in accordance with the Development Code of the City of Arroyo Grande, made revisions, and recommended approval to the City Council; and WHEREAS, the City Council has reviewed and considered the information and public testimony presented at the public hearing of July 26, 2005, Planning Commission ORDINANCE NO. 570 PAGE 2 recommendations, staff reports, and all other information and documents that are part of the public record; and WHEREAS, the City Council finds, after due study, deliberation and public hearing, the following circumstances exist: A. The proposed amendments to Title 16 of the Municipal Code are consistent with the goals, objectives, policies and programs of the General Plan since the goal of the Land Use Element and Economic Development Element is to promote the development of a well balanced and functional mix of land uses and to ensure that. development in the City is consistent with the City's character and image. The . proposed amendment is necessary and desirable to implement the provisions of the General Plan by maintaining the development and identity of the City's small-town rural character specifically in the historical and agricultural setting of the Village Downtown Core and Village Mixed Use districts that are within the City's Historic Character Overlay district. B. The proposed amendments to Title 16 of the Municipal Code would include a new land use category, "formula businesses". and specify which districts such businesses are permitted and the level of permit review required. "Formula businesses" are proposed to be prohibited in the VCD and VMU/HCO (0-2.4) combining district in order to preserve the historic character of the downtown portion of the Village. C. The proposed amendments to Title 16 will not adversely affect the public health, safety, and welfare or result in an illogical land use pattern since the development of retail establishments that conflict with the character of the City's historic district, and. that are out of scale in relation to the current pattern of development in such districts creates a threat to the public health, safety, and general welfare by threatening the character. D. The proposed amendments to Title 16 of the Municipal Code are consistent with the purpose and intent of Title 16, specifically, Sections 16.36.020(C), 16.36.020(0) and 16.36.020(J) pertaining to the VCD, VMU and Historic Overlay Districts. E. The City has conducted environmental review for adoption of an ordinance amend Chapters 16.04 and 16.36 of the Municipal Code, and has found that it can be seen with certainty that there is no possibility that the proposed amendments will have an effect on the environment and therefore this p'roject is exempt from the provisions of CEOA, pursuant to CEOA Guidelines Sections 15378, 15061 (b)(3), 15183,15305, and Public Resources Code section 21 083.3(e) for the following reasons: 1. Under CEOA Guidelines Section 15061 (b)(3), CEOA review is not required because there is no possibility that this Ordinance may have a significant effect upon the environment. ORDINANCE NO. 570 PAGE 3 2. Under CEOA Guidelines Section 15378, the proposed amendments are not a project under CEOA because they will not cause a "direct physical change in the environment" and will not authorize any specific development activity. 3. Any potential indirect secondary impacts of the proposed amendments on the physical environment are speculative and are not reasonably foreseeable, and are, therefore, not subject to review under CEOA. 4. There is no substantial evidence that the proposed amendments will have the potential to cause a significant impact upon the environment. 5. There is no substantiated opinion or reasonable argument to determine that the proposed amendments will cause impacts that are subject to review under CEOA. 6. The proposed text amendments constitute a minor alteration in a land use limitation under CEOA Guidelines Section 15305, and such a land use limitation is a permissible exercise of the city's zoning powers. 7. There are no unusual circumstances that would necessitate CEOA review. 8. Under CEOA Guidelines Section 15183 and Public Resources Code section 21083.3(e), the proposed regulations are consistent with the City of Arroyo Grande General Plan. The following General Plan policies support adoption of the ordinance: Objective LU6- The Historic Village Core (VC) area shall be sustained, enhanced and expanded as the symbolic, functional and unique business center of the City, with diverse mixed uses emphasizing pedestrian-oriented activities and providing for the needs of residents and tourists. Policy LU6-1 - Designate the historic downtown area as Village Core (VC). The primary purpose of the area designated VC is to provide for the continuation and development of commercial, office, residential, recreational and community facility land use types that reflect and are compatible with the historic, small town nature of the original Arroyo Grande Village area. Policy ED2-4 - Continue to balance economic goals with strong policies and programs that promote and maintain the community's environment, quality of life, and rural character. Policy ED4-4 - Maintain and enhance the Village Core as a focal point for civic and tourist activities Implementation Policy ED4-1.5 - Work with the Village Improvement Association to preserve its historic function as theCity's commercial and cultural center. Implementation Policy ED7-1.2 - Establish clear City standards and thresholds of . acceptability for new developments. NOW, THEREFORE, BE IT ORDAINED by the City Council of the City of Arroyo Grande, as follows: ORDINANCE NO. 570 PAGE 4 SECTION 1: The above recitals and findings are true and correct. SECTION 2: Arroyo Grande Municipal Code Section 16.04 is hereby amended by adding the following definition to Section 16.04.070(C): ' -F- "Formula business". Shall mean a business, limited to retail trade uses and restaurants, that is required by contractual or other arrangement to maintain standardized services and the same or similar name, tradename, or trademark which causes it to be substantially identical to six (6) or more other establishments, regardless of ownership or location, and which satisfies one of the following two criteria: a. It has exterior design or architecture, signs, decor or similar features in a style which is distinctive to and standardized among the chain or group: b. It is a fast food restaurant. SECTION 3: Arroyo Grande Municipal Code Table 16.36.030(A), subsection D. Retail Trade is hereby added to include the following land use categories: Table 16.36.030iA) D. RETAIL TRADE Land Use IMU TMU VCO VMU GMU FOMU HMU OMU RC Specific 0-2.11 (02.20) Use HCO 0-2.4) Standards Formula Permit NP NP Permit required as identified bv business required as For D - underlvinq land use identified 2.4 .!lY underlvinll land use SECTION 4: If any section, subsection, subdivision, paragraph, sentence, or clause 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 deqlares that.it would. have passed each section, subsection, subdivision, paragraph, sentence, or clause thereof, irrespective of the fact that anyone or more section, subsection, subdivision, paragraph, sentence, or clause be declared unconstitutional. SECTION 5: 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 text of the proposed Ordinance shall be posted in the office of the Director of Administrative Services/City Clerk. 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/City Clerk shall post a certified copy of the full text of such adopted Ordinance. SECTION 6: This Ordinance shall take effect thirty (30) days after its adoption. ORDINANCE NO. 570 PAGE 5 On motion by Council Member Costello, seconded by Council Member Dickens, and by the following roll call vote to wit: AYES: Council Members Costello, Dickens, Guthrie, Arnold, and Mayor Ferrara NOES: None ABSENT: None the foregoing Ordinance was adopted this 23rd day of August 2005. ORDINANCE NO. 570 PAGE 6 T6NY~ ATTEST: 'IW.- RE, CITY CLERK APPROVED AS TO CONTENT: ~~~? , - _,;;Y--::',~_,/ ." STEVEN ADAMS, CITY MANAGER APPROVED AS TO FORM: '-" OFFICIAL CERTIFICATION I, KELLY WETMORE, City Clerk of the City of Arroyo Grande, County of San Luis Obispo, State of California, do hereby certify under penalty of perjury, that the attached is a true, full, and correct copy of Ordinance No. 570 which was introduced at a regular meeting of the City Council on August 9, 2005; was passed and adopted at a regular meeting of the City Council of the City of Arroyo Grande on the 23rd day of August 2005; and was duly published in accordance: with State law (G.C. 40806). WITNESS my hand and the Seal of the City of Arroyo Grande affixed this 24th day of August 2005.