AGENDA ITEM 7.2 CITY OF LARKSPUR Staff Report June 17, 2015 City Council Meeting DATE: June 11, 2015 TO: Honorable Mayor Chu and Members of the City Council FROM: Neal Toft, Planning and Building Director RE: PD-PREC/DR 15-16: INTRODUCE AND WAIVE FIRST READING OF AN ORDINANCE AMENDING THE ROSE GARDEN PRECISE DEVELOPMENT PLAN AND ORDINANCE NO. 972 (DEVELOPMENT STANDARDS) FOR LOT 27 (55 ROSE LANE) OF THE ROSE GARDEN RESIDENTIAL DEVELOPMENT (APN #022-741-01 THRU #022-741-43); LARKSPUR LAND 8 OWNER, APPLICANTS AND PROPERTY OWNER ACTION/REQUEST Hold a public hearing to consider a Draft Ordinance amending the Development Standards of the Rose Garden Precise Development Plan (Ordinance No. 972; Exhibits B and C) to reduce the required 50-foot building and impervious setback requirement from the top-of-bank of the east-west reach of Larkspur Creek. The applicant is requesting a minimum of 48.8 feet for the main building with a 45-foot setback for a 13.5-foot wide portion of the building footprint. Specifically, the applicant requests approval to amend language of Sections 10 and 15 of the Development Standards (Exhibit B) of the Precise Development Plan to adjust the 50-foot building and impervious surface setback solely for Lot 27. The City Council is requested to conduct the public hearing, take public comment, and move to adopt amendment to Ordinance No. 972. ENVIRONMENTAL STATUS The Central Larkspur Specific Plan Environmental Impact Report (CLASP EIR) was certified by the City Council in 2006. An Initial Study (IS) was prepared and a Mitigated Negative Declaration (MND) was approved by the City Council in 2008 at the time the Preliminary Development Plan for Subarea 3 was approved. An Addendum to the CLASP EIR has been prepared per CEQA Guidelines Section 15164 (see attached). 1 Staff Report: 6/17/2015 Rose Garden Residential Development PD-Prec/DR 15-16 Amendment to the Precise Development Plan and Ordinance No. 972 AGENDA ITEM 7.2 BACKGROUND Project History In 2006, the City of Larkspur adopted Resolution 48/06 approving the Central Larkspur Specific Plan (CLASP) which proposed a mixture of residential, retail, recreation, cultural, and civic uses to contribute to the vitality of the Downtown area of the City. Three distinct planning units, or subareas, were identified as part of the CLASP. Subarea 3 encompasses what has been commonly referred to as the Niven Nursery site, a 16.8 acre site proposed for residential uses and community facilities, for which the overall Rose Garden Development was approved. On February 10, 2010, the Larkspur City Council approved the Rose Garden Precise Development Plan (PD-Prec/DR 08-54) for the development of the 42 senior housing condominium units, 8 senior cottage homes, 6 affordable cottage townhomes, and 29 single family detached dwelling on the 16-acre site located within Sub-Area 3 of the CLASP. The approval included the dedication of 0.84 acres for park and recreational uses and 1.59 acres for a ‘Communities Facilities’ site, the combination of which comprise Parcel A of the Rose Garden subdivision. The Precise Development Plan approval included both a 50-foot building impervious surface setback from the top-of- bank of Larkspur Creek (“50-Foot Building Setback”) as well as a 25-foot creek resource buffer from the top-of-bank, as prescribed by the CLASP. The resource buffer does not permit any intrusion of any development as the area would be required to undergo native plant restoration work as a mitigation measure for the project. Construction Permit Issued The initial construction phase of the project began when the City issued permits for site demolition and grading in late 2011. The site preparation phase, including surcharging and remediation of soils, proceeded for over a year before the first permits were issued for model homes in March 2013. Remaining permits for residential structures were then issued on a continuous basis beginning in October of 2013. A building permit to construct a single-family dwelling on Lot 27 of the development was issued September 9, 2014, as one of the few remaining permits to be issued at that point. As of the preparation of this report, all cottages, single-family dwellings and condominium structures are largely completed and occupied, except for a few remaining single-family dwellings that are near completion. Error in Location of Home on Lot 27 (55 Rose Lane). On February 9, 2015, the New Home Company informed the City of Larkspur that the foundation contractor inadvertently miscalculated the placement of the foundation for the home located on 55 Rose Lane (Lot 27). This would have occurred soon after issuance of the permit in September of 2014. They reported that this was not immediately recognized and they discovered this error on January 29, 2015, when the 2 Staff Report: 6/17/2015 Rose Garden Residential Development PD-Prec/DR 15-16 Amendment to the Precise Development Plan and Ordinance No. 972 AGENDA ITEM 7.2 exterior of the home was already completed and the permit was past drywall close- inspection. As a result of the error, a small portion of the rear wall and the entire kitchen “nook” area was located within the 50-foot building and impervious surface setback identified under CLASP and Development Standards of the Rose Garden Precise Development Plan. The New Home Company has since provided survey verification that no other homes along the creek are located within this 50-foot setback limit. After reviewing of the permit situation and discussing the matter with the City Attorney’s office, City staff formally responded to the applicants on February 25, 2015. At that time, staff informed New Home Company that the City could not issue final inspection and occupancy permit unless the encroachment into the setback was either corrected or the Precise Plan was amended to permit the location of the home by revising the required setback (there is no “variance” process prescribed by CLASP or the Precise Plan). On March 27, 2015, the applicants submitted an application to amend the Precise Plan, with additional supporting information, including a biological analysis of the area by WRA Associates and an annual monitoring report on the Native Plant Restoration Plan by LSDA Associates. Request Under the original Precise Development Plan application for the Rose Garden Project, development standards were established for setbacks which include a 50-foot building impervious surface setback from the top-of-bank of Larkspur Creek (“50-Foot Building Setback”). While building foundations and impervious development is prohibited within this setback, typical landscaping and flatwork (pervious pavers and pathways) are allowed contingent upon review and approval by the City of Larkspur Planning Director. The building and impervious surface setback overlaps with the 25-foot creek resource buffer from the top-of-bank. The resource buffer does not permit any intrusion of any development and includes native plant restoration work as a mitigation of the project. The proposed adjustment to the 50-foot setback would not occur within the natural resource buffer. A diagram that depicts both the 50-foot building and impervious surface setback and the 25-foot resource buffer is attached for the Commission’s consideration. The southern rear wall of the subject residence located at 55 Rose Lane (Lot 27) encroaches up to 1.2 feet into the 50-Foot Building Setback and jogs 5 feet into the setback for a span or 13.5 feet at the center of the rear wall (kitchen nook). The applicant is requesting approval to amend the Development standards of the Precise Development Plan (Ordinance No. 972; Exhibit B, Standards and Setbacks) to accommodate the proposed encroachment. A letter has been submitted by Matthew Gray of Perkins Coie, detailing the background on the matter and the applicants’ request. The applicants will present the proposal to the Commission and be available to answer any questions. 3 Staff Report: 6/17/2015 Rose Garden Residential Development PD-Prec/DR 15-16 Amendment to the Precise Development Plan and Ordinance No. 972 AGENDA ITEM 7.2 Proposed Amendments Staff has prepared a draft ordinance (attached) that would amend development standards 10 and 15 of the Precise Development Plan and would add the diagram of the revised setback for reference. The draft ordinance includes diagrams that depict the existing and proposed setback line. Staff is proposing to amend development standards 10 and 15 of the Precise Development Plan to read as follows (with additions in underlines and deletions in strikethrough): 1. New subsection d shall be added to read as follows: “10. Setbacks and Lot Coverage. Setbacks and lot coverage shall be as shown on the approved plans, and consistent with CLASP Policies d-52, 54, and 55, and 63 except as follows: d. Building and Impervious Surface Setback for Lot 27. The required building and impervious setback for the residence on Lot 27 shall be reduced to no less than 48.8 feet for the 56.5 width of the rear wall of the main residence and no less 45 feet for the 13.5-foot wide protrusion located at the center of the rear wall, as depicted on plan titled Exhibit B – Proposed; Rose Garden Lot 27; Precise Plan Amendment, dated May 4, 2015 and included herein in Exhibit C; Project Plans and Standards.” 2. The last sentence of “15. Creek and Buffer Areas” shall be amended to read as follows: “No building or impervious surface may be located closer than 50 feet to the top of the creek bank, except as provided in Section 10d. above.” Attachments include the following which would be incorporated to the amended Ordinance No.