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CONTINUED ADOPTION OF A RESOLUTION APPROVING AN ADDENDUM TO THE STOCKTON GENERAL PLAN ENVIRONMENTAL IMPACT REPORT AND AMENDMENTS TO THE GENERAL PLAN LAND USE MAP, AND AN ORDINANCE AMENDING THE STOCKTON CITYWIDE ZONING MAP AND TITLE 16 OF THE STOCKTON MUNICIPAL CODE TO COMPLY WITH THE STOCKTON 2040 GENERAL PLAN
recommended action
RECOMMENDATION
It is recommended that City Council:
1. Adopt a Resolution to Certify an Addendum to the General Plan Environmental Impact Report (SCH# 2017052062) consistent with the California Environmental Quality Act (CEQA) Section 15164 (Addendum); and
2. Adopt a Resolution to amend the Stockton General Plan Land Use Map; and
3. Adopt an Ordinance amending the Stockton Citywide Zoning Map to ensure consistency with the Envision Stockton 2040 General Plan; and
4. Adopt an Ordinance Amending Title 16 (Development Code) of the Stockton Municipal Code (SMC) Sections 16.08.020 (Rules of interpretation), 16.12.020 (Requirements for development and new land uses), 16.16.020 (Zoning districts established), 16.16.030 (Zoning Map adopted), 16.20.020 (Allowable land uses and permit requirements), 16.24.040 (RL (residential, low density) zoning district standards), 16.24.110 (CL (commercial-large-scale) zoning district standards), 16.24.200 (Table 2-3 Zoning District Development Standards), 16.28.040 (Channel area (-CHA) overlay district), 16.28.060 (Magnolia historic (-MHD) overlay district), 16.28.070 (Commercial-Industrial (-CI) overlay district), 16.36.080 (Hazardous materials), 16.36.110 (Setback regulations and exceptions), 16.40.030 (Definitions), 16.40.040 (Types of density bonuses), 16.40.050 (Concessions or incentives, waivers or reductions, and eligibility points), 16.52 (Infill Development Standards), 16.64.040 (Number of parking spaces required), 16.76.030 (Prohibited signs), 16.76.040 (Sign permits), 16.76.090 (Illegal signs), 16.80.020 (Accessory uses and structures), 16.80.165 (Funeral facilities and services), 16.80.210 (Mobilehome parks and subdivisions), 16.80.215 (Multi-unit Residential), 16.80.250 (Outdoor dining and seating areas), 16.80.310 (Accessory dwelling units (ADUs) and junior accessory dwelling units (JADUs)), 16.84.020 (Review Authority for land use and zoning decisions), 16.92.170 (Runs with the land), 16.120.040 (Applicable Review Authority), 16.162.030 (Applicability), 16.228.040 (Provisions for nonconforming uses, structures, and parcels), and 16.240.020 (Definitions of specialized terms and phrases).
It is also recommended that City Council authorize the City Manager to take necessary and appropriate actions to carry out the purpose and intent of these resolutions and ordinances.
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Summary
On April 5, 2022, the Stockton City Council received a presentation from City staff and heard testimony from various property owners on a variety of General Plan land use maps, zoning maps, and Development Code (i.e., zoning code) amendments to comply with the Stockton 2040 General Plan. After the discussion, the Council indicated concerns about the proposed amendments and the process of dealing with affected owners. Those concerns included:
• The methodology concerning how properties were selected, for the inconsistency effort, as well as sites transitioning from Industrial to Commercial zoning; and
• Ensuring Property Owners’ Development Rights and suggested amendments to Stockton Municipal Code (SMC) Chapter 16.228 Nonconforming Uses and Structures; and
• The effectiveness of public outreach and engagement with property owners and businesses within disadvantaged communities, particularly individuals with limited English proficiency.
City Council continued the item and directed City staff to invest additional effort in the areas of concern. raised. This report summarizes the actions taken since the April 5 hearing and responds to concerns raised by Council Members and the public.
DISCUSSION
Background
The Envision Stockton 2040 General Plan is one of the most important policy documents for the City, establishing how residents, business owners, property owners, and other stakeholders would like to see the City develop and grow. Zoning is a tool used to implement the General Plan by applying standards to each property based on the established General Plan Land Use ("GPLU") Designation, such as Commercial or Residential. State law (California Government Code Section 65860) requires that these two documents be consistent with realizing the community vision. General Plan Action LU-6.6C also requires this by directing staff to “Review and update the Development Code to ensure consistency with the updated General Plan.”
In 2020, staff identified thousands of properties that had an inconsistency in their General Plan or Zoning designation and dozens of areas of the Development Code that required updates to align with changes in State Law, best practices, or the adopted General Plan policies. Since then, the City has pursued incremental amendments to the Zoning and General Plan maps (Series) and Development Code (Phases) to ensure consistency.
Due to the number of inconsistent parcels and code sections that needed updating, amendment efforts were broken into three Series (map) and three Phases (code). As of 2022, the City Council has approved two sets of Series and Phased amendments. The current proposal brings the two efforts together for the third and final set of amendments.
The current request includes amendments to either the GPLU Designation, Zoning Map, or both, for 2,114 properties (approximately 2.5% of all properties in the City limits). Many of the properties included in Series 3 are in more historic and urban areas of the City. Due to decades of irregular growth patterns created by inconsistencies, they often require more complex changes. The combined map and code amendments intend to create predictability with development regulations and to implement the vision of the 2040 General Plan, while also supporting development opportunities. Development Code updates are designed to address Map inconsistencies and incorporate selective updates for permit streamlining clarity and compliance with State law. Development Code updates that implement map changes will result in flexibility for property owners and thoughtful land-use transitions by allowing innovative uses that are more compatible with the community and comply with General Plan policies.
On April 5, 2022, the City Council considered staff’s recommendation and expressed some concerns with the methodology used for the proposed changes, potential impacts on property owner rights, and the level of outreach that occurred to the public. The item was continued with direction for staff to conduct additional outreach with potentially affected property owners and consider additional amendment options to lessen the effects of changes on property owners. Attachment A includes April 5, 2022, City Council hearing materials from the original presentation on the proposed amendments.
Present Situation
This report summarizes the response to the issues raised at the April 5, 2022, City Council meeting and highlights the additional outreach and code changes that have been made since. The current request for amendments to the GPLU Map, Zoning Map, and Development Code remains the same except for two minor code changes that include:
• 16.228.060.C Loss of Nonconforming Status: an increase in time before legal nonconforming use is terminated for discontinuance. The current requirement of 180-days (6 months) of discontinuance will be increased to one year, with the possibility of another one-year extension should the owner require more time to find a tenant.
• 16.28.040.D Channel Area Overlay District: six additional light-industrial land uses are now permitted for the new Marine north shore sub-area of the Channel Overlay. These uses require a Commission Use Permit (CUP) before operation and are allowed in addition to land uses permitted in the proposed Commercial-Downtown (CD) zone.
The change to 16.228.060 Nonconforming standards responds to the direction given by the City Council. The change to 16.28.040.D responds directly to additional outreach to property owners in the recently created Channel Area Overlay Sub-Area, located on the North Shore of the City’s Downtown Core. The Channel Overlay changes provide other light-industrial land uses to ease the area’s transition from Heavy Industrial (IG) zoning to the Commercial Downtown (CD) zoning intended to implement the City’s vision for a vibrant downtown and marina area. Attachment B shows the track-change amendments for the two new proposed code changes.
STAFF ANALYSIS
The following analysis responds to the main issues raised at the April 5, 2022, City Council meeting.
Issue #1: The methodology concerning how properties were selected, for the inconsistency effort as well as sites transitioning from Industrial to Commercial zoning.
Consistency with the adopted General Plan
The General Plan is the vision and policy document that directs development in the City and zoning (code and map) are the tools that implement the General Plan. State Law and the General Plan require the vision and implementing tools to be consistent.
In 2018, the City Council adopted the General Plan, which is the basis for the Series and Phased amendments. The following activities were conducted over several years-long efforts to establish the General Plan land use map and policies.
• Three City Council study sessions.
• Four Planning Commission study sessions.
• Ten community workshops.
• A General Plan Subcommittee composed of three members of the Stockton Planning Commission.
• Numerous other meetings targeting various stakeholders.
• Extensive public comment periods.
• Dedicated website and community e-blasts.
The proposed amendments align the General Plan with zoning requirements to implement the adopted vision and policies following the General Plan effort. Attachment C illustrates the General Plan land uses and the proposed Series 3 properties.
Due to the volume of properties requiring amendments and the complexity of solutions, staff crafted a list of Guiding Principles for the overall effort based on adopted General Plan policies and established urban planning solutions. These principles include sustainable growth, strengthening property rights, and streamlining development. Attachment D consists of an outline of the Guiding Principles with corresponding General Plan policies and solutions. The Guiding Principles also include a list of resources used by staff to review past growth patterns, vested rights, and community preferences provided through General Plan outreach.
Environmental Justice
A significant component of the adopted General Plan includes various changes to address Equity and Environmental Justice. The 2018 General Plan land use map changes in South and East Stockton communities shifted many properties from Industrial to Commercial, including policies to improve and protect disadvantaged communities.
Many of the land use map changes were discussed as part of the City’s 2016 Infill Opportunities Report, which was the basis for the adopted General Plan land use map. General Plan policies specific to this topic include:
• Policy LU-1.1 Encourage retail businesses and housing development in mixed-use developments along the region.
• Policy LU-6.2 Prioritize development and redevelopment of vacant, underutilized, and blighted infill areas.
o Action LU-6.2C Ensure prioritization of development and redevelopment of vacant, underutilized, and blighted infill areas be considered through strategies such as zoning changes and strategies to avoid gentrification.
• Policy LU-6.3 Ensure that all neighborhoods have access to well-maintained public facilities and utilities that meet community service needs.
• Policy CH-3.2 Encourage neighborhood-serving commercial uses in areas where frequently needed goods and services are not widely available, especially for those areas with no availability within a 2-mile radius.
o Action CH-3.2A Work with property owners to develop corridor-specific strategies for attracting and retaining businesses that will provide synergistic opportunities and improve the availability of goods and services adjacent to residential areas.
• Action CH-1.2D Prioritize pedestrian and active transportation improvement projects in low-income/disadvantaged communities that connect residential areas to retail locations that sell healthy food.
City staff acknowledges there is much work to be done on this topic; however, the current request focuses on implementing the General Plan land-use changes for the neighborhoods to provide more amenities to those communities, ensure property owners’ rights, and transition heavy industrial uses away from existing residential and preferred downtown commercial uses.
Attachment E illustrates changes made to the Channel Overlay area and properties within the new Commercial-Industrial Overlay. While efforts were made to retain light-industrial uses within these areas, the attachment highlights the potential heavy industrial uses removed from those areas with the proposed transition from heavy industrial to commercial-light industrial zoning.
Planning Commission Direction on Methodology
On September 9, 2021, Staff held a Planning Commission Study Session on the proposed effort to present the methodology for the proposed Series and Phase 3 changes. Topics discussed at that meeting include:
• The areas containing most Series 3 inconsistencies. This includes the Midtown, Downtown, East, and South Stockton communities.
• Outline growth patterns and General Plan policies for those communities.
• Possible solutions for addressing changes in those communities.
• Use of the Guiding Principles (Attachment D) when determining changes that are not straightforward.
• Outline potential code changes needed to retain property rights of Series 3 properties and other changes that would improve the Development Code.
After discussions with staff, the Commissioners generally supported the Phase 3/Series 3 methodology and directed staff to proceed. Following the Study Session, staff proposed amendments based on the methodology and feedback received from the Planning Commission.
Issue #2: Ensuring Property Owners’ Development Rights and amendment to Stockton Municipal Code (SMC) Chapter 16.228 Nonconforming Uses and Structures.
To ensure the proposed solutions support property rights, while also incentivizing owners to transition potentially conflicting land uses (e.g., industrial businesses in residential neighborhoods), staff proposes an amendment to Title 16 of the Stockton Municipal Code (Development Code). Changes to the code include a new Commercial-Industrial Overlay, additional allowable uses, performance standards, and enhanced definitions to allow future land use and development proposals more flexibility, especially for Series 3 properties.
Attachment D highlights specific policies used to ensure owners’ rights, while the list below summarizes the effort to ensure development use.
• Property Owners within the Commercial-Industrial overlay will see their allowable uses increase on average from 74 allowable industrial uses to 117 allowable commercial and light industrial uses.
• Property Owners within the Channel Overlay Marine Sub-Area will see their allowable uses increase on average from 63 allowable industrial uses to 129 allowable commercial and light industrial uses. As mentioned in this report, staff proposes seven additional allowable uses for the North Shore area.
• Alignment of the General Plan and zoning will assist owners in obtaining funding and address potential insurance issues arising from inconsistent standards.
• Many of the changes increase the developability of the property by increasing the intensity of the property’s designation to match the surrounding uses or region (i.e., downtown core).
• Some of the proposed changes are due to property owner requests to increase the marketability and usability of the site. This includes upzoning and conversions to commercial zones that permit a variety of uses.
• Alignment of the General Plan and zoning will help staff and property owners process entitlements and permits because the Development Code requires findings of consistency for staff to recommend approval.
• The Development Code updates align with State Law, implement industry best practices, and provide clarifications to better assist residents with understanding City policies and standards. Many of these changes will streamline reviews and clarify entitlement and permit processes.
The proposed amendments will not impact a property’s current use, nor will they remove any legally established use or structure (i.e., nonconforming uses). In most cases, it will add value to private properties by increasing the site's usability by allowing additional permitted land uses and increased development intensities consistent with anticipated General Plan growth projections. Moreover, the two proposed code amendments will add allowable uses in the new Channel Overlay Marine Sub-Area and extend the nonconforming discontinuance requirement from 180-days to up to two years with the approval of a time extension.
Other Development Code changes not included in this Phase 3 effort will be included in the City's Development Code Overhaul. This separate effort has recently begun and is expected to conclude in fall 2023.
Issue #3: The level of Public Outreach, including owners and businesses within disadvantaged communities and individuals speaking primarily non-English languages.
During the April 5, 2022, hearing, concerns were raised about the amount and type of outreach conducted. Specifically, regarding business owners leasing property, minority owners with inconsistent parcels, and efforts to reach individuals where English is not their primary language. The following clarifies the outreach efforts conducted leading up to the April 5th Council meeting. These items were completed prior to the meeting but intend to provide additional information on efforts that have been completed with the Series and Phase 3 changes.
• Since the effort focused chiefly on properties with inconsistencies, a total citywide outreach effort was not conducted like what occurred during the General Plan. This was due to the possibility of neighbors and/or land speculators recommending land-use changes to property not owned by them. While some of the methodologies for the proposed changes involved public feedback on broad topics (i.e., development code changes), individual property changes were discussed primarily with the property owners.
• Multiple notifications were sent to all affected owners and business addresses. Flyers were emailed and mailed.
• Initial community workshop flyers were in Spanish and English, and the meetings included a Spanish interpreter. Power Point presentations were also drafted in English and Spanish and have been on the City’s website since 2020.
• Over 400 phone calls and hundreds of emails were received from owners and interested individuals via the dedicated email and phone lines set up specifically for this effort.
• Dozens of neighborhood-based organizations received “cold call” notifications of the effort and were included in the group email notifications for the effort.
• A dedicated website was created with all meeting information posted with an interactive map for owners to view proposed changes. The website also included a Frequently Asked Questions section and links for individuals to stay involved.
• Many of the contacts included in the General Plan Update effort were sent notifications as part of the effort’s outreach.
• Various nonprofits and groups were contacted during the initial outreach effort. This includes meetings with the Downtown Stockton Alliance, Reinvent South Stockton Coalition (multiple), Reinvent Stockton, Little Manila Rising, STAND, Miracle Mile Improvement District (multiple), San Joaquin Regional Rail Commission, Union Pacific Railroad, Gospel Center Rescue Mission, Catholic Charities, Cal Water, Port of Stockton, Community Medical Centers, University of the Pacific, and others.
• Each study session and public hearing for each step of the Series or Phased amendments before both Planning Commission and City Council were publicly noticed in The Record, with direct mailers sent to relevant parties, email blasts sent to the contact list, and posted to social media, and the dedicated webpage.
• While many of the changes occur in areas with higher concentrations of minorities, the outreach and proposed changes did not distinguish between minority or non-minority. While some funding programs may encourage the emphasis on selecting minority groups for compliance with land use law and General Plan policies, staff was careful to focus on improvements to the community and development potential regardless of ownership.
After the April 5th Council meeting, staff conducted two additional in-person workshops for property owners, on June 6th at the Civic Auditorium and the second on June 7th at Stribley Community Center. Notifications were posted on the website, sent via group email notification, posted on social media, posted in The Record, and mailed to property owners (2,144 owners). Notification for the meetings and the effort, in general, were translated into Spanish, Tagalog, Punjabi, and Chinese. Notifications were sent via email, mail, and posted on the City’s website for the effort.
The purpose of these workshops was to gather feedback on the proposed changes, provide responses to questions from community members, and inform residents and business owners about the effort to date. About eight people attended the June 6th Civic Auditorium and about six people attended the June 7th Stribley Community Center meeting. Attendees included a mix of property owners, real estate agents, local nonprofit representatives, and citizens wanting to know more. Some workshop attendees had questions about the overall effort and what it could mean for their property. Multiple owners expressed support for the effort and were supportive of the additional outreach. Some community members stated changes they would like to see, such as more grocery stores in underserved areas and financial incentives for historic building rehabilitation.
Environmental Analysis
An Addendum to the General Plan Environmental Impact Report SCH# 2017052062 (“GPEIR”) is proposed under the CEQA Guidelines Section 15164 to address the proposed amendments to the GPLU Map Zoning Map and Development Code (See Proposed Addendum Resolution, Exhibit 1). The addendum concluded that none of the potential changes being considered by the City Council would impact the analysis or conclusions of the GPEIR or the Housing Element Negative Declaration (ND) as to the extent of the potential impacts and allowed density considered. For properties with amended designations, future development proposals will be reviewed on a case-by-case basis for consistency with this analysis and will be subject to the appropriate Mitigation Measures contained in the GPEIR.
Planning Commission
On September 9, 2021, Staff held a Planning Commission Study Session on the proposed effort to present the methodology for the proposed changes. After discussions with Staff, the Commissioners generally supported the Phase 3/Series 3 methodology and directed Staff to proceed. Following the Study Session, staff proposed amendments based on the methodology and feedback received by the Planning Commission.
On January 27, 2022, a Planning Commission hearing was held on Phase 3 and Series 3 updates. After four public comments and a robust discussion on the proposed changes and methodology utilized by staff, the Planning Commission voted 6-0 (Commissioner Jones Absent) to approve the modified motion.
Public Notice
Notice for the City Council public hearing for this request was published in The Record on June 30, 2022. At least ten days before the hearing, the mailed notice was sent to all property owners potentially affected by the proposed amendments. As of the publication of this report, no written comments have been received.
FINANCIAL SUMMARY
The requested action will have no immediate financial impact.
Attachment A - April 5, 2022, City Council Hearing Materials (Item 16.3)
Attachment B - Additional Track-Change Code Amendments
Attachment C - General Plan Land Use Map with Effected parcels
Attachment D - Guiding Principles
Attachment E - Summary of Overlay Areas and Industrial Uses Removed