HomeMy WebLinkAboutCC RESO 2013-188RESOLUTION NO. 2013 — 188
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
NATIONAL CITY ORDERING THE AFFIRMATIVE TERMINATION
BY AMORTIZATION OF THE NONCONFORMING LAND USE LOCATED
AT 108 WEST 18TH STREET, AND ORDERING A REASONABLE
AMOUNT OF TIME IN WHICH SUCH USE SHALL BE TERMINATED
(JOSE'S AUTO ELECTRIC)
WHEREAS, prior to March 10, 2010, the real property commonly known as 108
WEST 18th Street was located in the Light Manufacturing -Residential (MLR) zone, and was
devoted to automotive repair, specializing in tune-ups and brake repair, which was an allowed
use in said zone; and
WHEREAS, on March 10, 2010, the City Council of the City of National City
adopted Resolution No. 2010-44, approving a General Plan amendment to change the land use
designations for the Westside Specific Plan Area from Light Manufacturing Residential (MLR),
Civic Institutional — Open Space (IC -OS), Light Manufacturing — Planned Development (ML-PD),
Tourist Commercial — Planned Development (CT-PD), and Heavy Commercial (CH) to Open
Space Reserve (OSR), Residential — Single Family (RS-4), Mixed Use Commercial —
Residential (MCR-1), Mixed Use Commercial — Residential (MCR-2), Limited Commercial (CL),
and Civic Institutional (IC) within the Westside Specific Plan area east of 1-5, west of National
City Boulevard, north of Mile of Cars Way, and south of Plaza Boulevard; and
WHEREAS, also on March 10, 2010, the City Council adopted Resolution No.
2010-45, adopting the Westside Specific Plan for an area located east of 1-5, west of National
City Boulevard, north of Mile of Cars Way, and south of Plaza Boulevard; and
WHEREAS, on August 3, 2010, the City Council adopted Ordinance No. 2010-
2344, amending Chapters 18.10, 18.14, 18.16, 18.50, 18.58, 18.62, 18.88, 18.104, 18.108, and
18.140 of the National City Municipal Code to provide standards implementing the approved
Westside Specific Plan; and
WHEREAS, the real property commonly known as 108 West 18th Street is
located in the Westside Specific Plan area; and
WHEREAS, as a result of the City Council's adoption of Resolution No. 2010-44,
approving a General Plan amendment, and of Resolution No. 2010-45, approving the Westside
Specific Plan, and of Ordinance No. 2010-2344, amending the Municipal Code to provide
standards to implement the Westside Specific Plan, the real property commonly known as 108
West 18th Street was rezoned to the Limited Commercial (CL) zone; and
WHEREAS, pursuant to Section 18.11.010 of the National City Municipal Code, a
nonconforming land use occurs when the land use was lawful before a zoning regulation under
the Land Use Code was enacted or amended, but that land use becomes prohibited after the
regulation is enacted or amended; and
WHEREAS, because specialized automotive repair is not a permitted use in the
Limited Commercial zone, upon the effective date of Resolution No. 2010-44, Resolution 2010-
45, and Ordinance No. 2010-2344, said use became a nonconforming use on the real property
commonly known as 108 West 18th Street; and
Resolution No. 2013 — 188
Page Two
WHEREAS, Section 18.11.100 of the National City Municipal Code, titled
Affirmative Termination by Amortization, was enacted in 2006. Subsection (D)(1) of Section
18.11.100 provides, in relevant part, that the City Council may order a nonconforming use to be
terminated within a reasonable amount of time, upon recommendation of the Planning
Commission; that the Planning Commission shall conduct a public hearing after 10 days'
written notice to the nonconforming user; and that in making its recommendation to terminate a
nonconforming use and in recommending a reasonable amount of time in which such use shall
be terminated, the Planning Commission shall consider the following:
a) The total cost of the land and improvements;
b) The length of time the use has existed;
c) Adaptability of the land and improvements;
d) The cost of moving and reestablishing the use elsewhere;
e) Whether the use is significantly nonconforming;
f) Compatibility with the existing land use patterns and densities of the
surrounding neighborhood;
g) The possible threat to the public health, safety, or welfare;
h) Any other relevant factors; and
WHEREAS, in 2010, the City was awarded a technical assistance grant from the
United States Environmental Protection Agency (EPA). The grant allowed the EPA and its
consultant to develop a process to rank nonconforming uses in the Westside Specific Plan area
using a set of objective criteria that were applied to each property and land use within the
Specific Plan area. The ranking process was intended for the purpose of ranking properties with
nonconforming uses within the Specific Plan area, and as a means to prioritize those properties,
with those properties with the highest priority being the first to be considered for affirmative
termination through amortization, subject to consideration of the factors set forth in Section
18.11.100 (D)(1) of the Municipal Code; and
WHEREAS, on July 17, 2013, pursuant to Section 18.11.100 (D)(1) of the
Municipal Code, the City served a written notice of public hearing upon the owners of Jose's
Auto Electric, the owners of the nonconforming specialized automotive repair business at 108
West 18'h Street. Also on July 17, 2013, said notice was served upon the owners of the real
property upon which the nonconforming automotive repair business is located. The notice
advised the owners that the Planning Commission would hold a public hearing on August 19,
2013, after the hour of 6:00 p.m., in the City Council Chambers at 1243 National City Boulevard,
to consider a recommendation to the City Council on the affirmative termination by amortization
of the nonconforming specialized automotive repair business at 108 West 18th Street; and
WHEREAS, at the regular meeting of the Planning Commission on August 19,
2013, after the hour of 6:00 p.m., the Planning Commission held a hearing in the City Council
Chambers at 1243 National City Boulevard, at which time the Commission considered
recommendations on the affirmative termination by amortization, and on the reasonable amount
of time in which such amortization should occur, concerning the specialized automotive repair
business known as Jose's Auto Electric, located at 108 West 18th Street. At said hearing, the
Commission considered the Staff Report and other oral and documentary evidence, including
the testimony of Brian P. Brinig, a business valuation consultant; the testimony of Raymond Pe,
Principal Planner for the City; and the testimony of Michael Garcia, a land use consultant; and
Resolution No. 2013 — 188
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WHEREAS, at the regular meeting of the Planning Commission on September
16, 2013, the Planning Commission adopted Resolution No. 23-2013, Resolution of the
Planning Commission of the City of National City Recommending that the City Council Order the
Affirmative Termination by Amortization of the Nonconforming Land Use Located at 108 West
18'h Street, and Recommending a Reasonable Amount of Time in which Such Use Shall Be
Terminated. Pursuant to Resolution No. 23-2013, the Planning Commission recommended to
the City Council that the City Council order the termination of the nonconforming specialized
automotive repair use located at 108 West 18th Street, and further recommended to the City
Council that the City Council order the nonconforming specialized automotive repair use located
at 108 West 18'h Street to cease its nonconforming operations no later than 1.64 years (1 year
and 234 days) from the date of final action by the City Council; and
WHEREAS, on September 23, 2013, the City served written notice upon the
owners of Jose's Auto Electric, the owners of the nonconforming specialized automotive repair
business located at 108 West 18th Street, and upon the owners of the real property upon which
the nonconforming automotive repair business is located. The notice advised the owners that
the City Council would consider the recommendation of the Planning Commission on the
affirmative termination by amortization of said nonconforming specialized automotive repair
business at the regular meeting of the City Council on November 5, 2013, after the hour of 6:00
p.m. in the City Council Chambers at 1243 National City Boulevard; and
WHEREAS, on November 5, 2013, after the hour of 6:00 p.m., at a regular
meeting of the City Council, the City Council did in open session consider the recommendation
of the Planning Commission on the affirmative termination by amortization, and on the
reasonable amount of time in which such amortization should occur, concerning the
nonconforming specialized automotive repair business known as Jose's Auto Electric, located at
108 West 18th Street. During said meeting, the City Council considered the Administrative
Record of the August 19, 2013 hearing before the Planning Commission, including the Staff
Report for the hearing, the hearing transcript, and Planning Commission Resolution No. 23-
2013, and considered additional oral and documentary evidence, including the Staff Report for
the November 5, 2013 meeting of the City Council; the testimony of Brian Brinig, a business
valuation consultant; the testimony of Raymond Pe, Principal Planner for the City; and the
testimony of Michael Garcia, a land use consultant.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of
National City as follows:
1. That based upon the Administrative Record of the August 19, 2013 hearing
before the Planning Commission, and upon Planning Commission Resolution No.
23-2013, the Staff Report for the November 5, 2013 meeting of the City Council,
and other oral and documentary evidence received at the time of the November
5, 2013 meeting of the City Council, the City Council makes the following findings
pursuant to Section 18.11.100 (D)(1)(a)-(h) of the Municipal Code:
a) The total cost of the land and improvements.
(1) The term of the business owners' existing lease ends on
November 30, 2018, with a current rent of $2,200 per month. The
business owners have an option to extend the lease term for two
additional years at the same monthly rent.
Resolution No. 2013 — 188
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(2) The assessed value of the land and improvements was obtained
from the San Diego County Assessor's Office, and was
considered as being potentially relevant to the analysis. However,
a business enterprise that operates under a real property lease
does not own the land or real property improvements from which it
operates. Consequently, the historical cost of the land and
improvements are not relevant to the analysis in this case.
b) The length of time the use has existed.
(1) According to the City's business license records, the current
specialized automotive repair use has existed at this location
since October 30, 2008.
(2) The business relocated from 140 West 18th Street, where it had
been located since 2006.
(3) Because the owners of Jose's Auto Electric have operated at this
location since October 30, 2008, the owners have operated longer
than the period necessary to recover their investment.
c) Adaptability of the land and improvements to a currently permitted use.
(1) The land area exceeds the minimum required by the Limited
Commercial zone.
(2) The building size exceeds the minimum required by the Limited
Commercial zone.
(3) The building does not meet the minimum setbacks required by the
Limited Commercial zone.
(4) The building floor area meets the Floor Area Ratio requirements of
the Limited Commercial zone.
(5) The building does not exceed the maximum height allowed by the
Limited Commercial zone.
(6) The property does not meet the parking requirements of the
Limited Commercial zone.
(7) The building would require major, costly rehabilitation to convert it
to a type suitable for use in the Limited Commercial zone.
(8) The site frequently experiences flooding from November through
February, due to its location immediately adjacent to Paradise
Creek, which would make conversion of the use to retail or office
use difficult.
d) The cost of moving and reestablishing the use elsewhere.
(1) In addition to cars, various materials, tools, and office equipment
used by this type of automotive repair business have been
observed on this site.
(2) Based on an analysis of this use, its relocation would require labor
for packing, moving, and unpacking, rental of a forklift, and the
towing of cars.
(3) To reestablish this use elsewhere would require searching for the
new location; securing the new site (e.g., security deposit);
reestablishing phone, Internet, business cards, and letterhead;
Resolution No. 2013 — 188
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marketing; and making tenant improvements (e.g., flooring,
storage, shelving, lifts, electrical upgrades).
(4) The estimated relocation cost for this use is $7,200.
(5) The estimated cost to reestablish this use is $5,900.
e) Whether the use is significantly nonconforming.
(1) This automotive repair use is a significantly nonconforming use in
the Limited Commercial zone.
(2) The specialized automotive repair use could be converted to a
retail or office use as allowed in the Limited Commercial zone
after significant investment in building rehabilitation.
f) Compatibility with the existing land use patterns and densities of the
surrounding neighborhood.
(1) The specialized automotive repair use is compatible with some of
the adjacent, existing land use patterns, namely, other automotive
repair uses; however, these other uses are not in conformance
with the land uses allowed by the Westside Specific Plan.
(2) The use is not in close proximity to residential uses.
g)
The possible threat to the public health, safety, or welfare.
(1) Notices of violation have been issued and have been resolved.
(2) The use does not have all required permits.
(3) No open violations of unlawful discharges into the stormwater
system are on record.
(4) Hazardous materials are stored on the site.
(5) No open storage of hazardous materials occurs on the site.
(6) Security measures such as fencing are in place on the site.
(7) One of the parcels on which the business is located is within 100
feet of Paradise Creek Park, which is considered a sensitive area.
(8) The use is located more than 100 feet from Kimball Elementary
School.
(9) The use is not located in close proximity to residential uses.
(10) The use performs no work off -site or in the public right of way.
(11) Testimony from four physicians with experience providing health
care services in various programs in National City established that
automotive -related businesses are notorious for their use of
volatile organic compounds, which are known to cause a variety of
health problems from headaches to damage to the central
nervous system; that automotive -related business are one of the
most significant sources of toxins in the Westside area of National
City; that children are particularly susceptible to the effects of
environmental toxins; that automotive -related businesses use
products containing toxic metals and organic solvents that
become air pollutants; that although everyone exposed to
environmental toxics is at risk, infants and children, pregnant
women, the elderly and people with chronic health problems are
especially vulnerable; that the negative health impacts linked to
the use of chemical products commonly used in these commercial
Resolution No. 2013 — 188
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activities include diminished lung function in children, infertility,
miscarriages, birth defects, nervous system problems, cancer, and
heart and lung disease; that there are incidents of children in this
area of the City who are hospitalized with asthma, and suffer
multiple asthma attacks month after month, which is caused by
the toxic chemicals, inhalants, and carcinogens that are produced
by some of the businesses in the area; that the residents suffer
from the noise generated, sometimes after hours, by the
automotive -related businesses in this area of the City.
h) Any other relevant factors.
(1) The Price/Earnings Ratio (P/E Ratio) was determined by the City's
business valuation consultant, because the P/E Ratio indicates
the number of years of earnings that it takes to recover the value
of the business. Using the nationally recognized standard
business valuation sources, Pratt Stats Business Comps, and The
Institute of Business Appraisers database, P/E Ratio was
determined to be in the range of 1.64 to 2.77. By converting the
P/E Ratio into years, the business owners are allowed to earn the
business's net income for that number of years, thereby
recovering the fair market value of their investment. Accordingly,
the reasonable amortization period that would allow for the
recovery of the business owners' investment, based upon the
analysis of the City's business valuation consultant, is in the range
of 1.64 to 2.77 years.
(2) Underlying information about the business was collected through
meetings with the business owners, and by observation of
equipment and furniture, machinery, and other types of
implements used in the operation of the business.
2. That based upon the above findings, and in particular, the findings that the
historical cost of the land and improvements is irrelevant in determining a
reasonable amortization period for the business at that location, that the
automotive repair business has been operated at this location longer than the
period necessary for the owners to recover their investment, that the use is
significantly nonconforming with the uses allowed in the Limited Commercial
zone, that the use is not compatible with the uses allowed in the Limited
Commercial zone, and that the specialized automotive repair use at this location
presents a threat to the public health, safety, and welfare, the City Council further
finds and determines that the specialized automotive repair use at 108 West 18th
Street should be terminated.
3. That based upon the above findings, and in particular, the findings that the
historical cost of the land and improvements at 108 West 18th Street is irrelevant
in determining a reasonable amortization period for the business at this location,
that the specialized automotive repair business has been operated at this
location longer than the period necessary for the owners to recover their
investment, that the use is significantly nonconforming with the uses allowed in
Resolution No. 2013 — 188
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the Limited Commercial zone, that the use is not compatible with the uses
allowed in the Limited Commercial zone, and that the specialized automotive
repair use at this location presents a threat to the public health, safety, and
welfare, the City Council further finds and determines that the reasonable time
within which the nonconforming specialized automotive repair use at 108 West
18th Street should be terminated is 1.64 years (1 year and 234 days) from the
date of this Resolution.
BE IT FURTHER RESOLVED that the City Council hereby orders the termination
of the nonconforming specialized automotive repair use located at 108 West 18th Street.
BE IT FURTHER RESOLVED that the City Council hereby orders that the time
period within which the nonconforming automotive repair use located at 108 West 18th Street
shall cease its current operations is 1.64 years (1 year and 234 days) from the date of this
Resolution.
BE IT FURTHER RESOLVED that the nonconforming specialized automotive
repair use known as Jose's Auto Electric, located at 108 West 18th Street, shall terminate its
current nonconforming use no later than 1.64 years (1 year and 234 days) from the date of this
Resolution, as set forth in the Order attached hereto as Exhibit "A" and incorporated herein by
reference.
BE IT FURTHER RESOLVED that the City Council hereby authorizes the Mayor
to execute the Order attached hereto as Exhibit "A".
BE IT FURTHER RESOLVED that this action is not considered a project as
defined in the California Environmental Quality Act since it does not have the potential to result
in either a direct or a reasonably foreseeable indirect physical change in the environment, and
is thereby not subject to the California Environmental Quality Act.
PASSED and ADOPTED this 3rd day of Dece , 2013.
ATTEST:
toR• Michael ' Dalla, City Clerk
PROVED AS TO FORM:
itua Silva
City Attor
Morrison, Mayor
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CITY COUNCIL
FOR THE CITY OF NATIONAL CITY
In re: 108 West 181' Street — Jose's Auto
Electric
ORDER AFTER AMORTIZATION
HEARING TO TERMINATE THE
NONCONFORMING USE, TO WIT:
AUTOMOTOVE REPAIR LOCATED AT
108 WEST 18TH STREET, CURRENTLY
BEING OPERATED AS JOSE'S AUTO
ELECTRIC
Date: December 3, 2013
The City Council of the City of National City heard and considered the above -entitled
matter on November 5, 2013. After having read and considered the Administrative Record of the
August 19, 2013 Planning Commission hearing, Planning Commission Resolution No. 23-2013,
the Staff Report for the November 5, 2013 meeting of the City Council, and other oral and
documentary evidence received at the time of the November 5, 2013 meeting of the City
Council, the City Council orders as follows:
1. The nonconforming use of automotive repair located at 108 West 18th Street,
currently operated as Jose's Auto Electric, shall cease 1.64 years (1 year and 234
days) from the date of this order.
IT IS SO ORDERED.
DATED: December 3, 2013
Mayor Ron Morrison
EXHIBIT "A"
1
ORDER TERMINATING NON -CONFORMING USE -108 WEST 18'" S1'REI~:I
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CITY COUNCIL
FOR THE CITY OF NATIONAL CITY
)
)
)
In re: 108 West 18th Street — Jose's Auto )
Electric
)
)
)
)
)
)
)
)
)
ORDER AFTER AMORTIZATION
HEARING TO TERMINATE THE
NONCONFORMING USE, TO WIT:
AUTOMOTOVE REPAIR LOCATED AT
108 WEST 18TH STREET, CURRENTLY
BEING OPERATED AS JOSE'S AUTO
ELECTRIC
Date: December 3, 2013
The City Council of the City of National City heard and considered the above -entitled
matter on November 5, 2013. After having read and considered the Administrative Record of the
August 19, 2013 Planning Commission hearing, Planning Commission Resolution No. 23-2013,
the Staff Report for the November 5, 2013 meeting of the City Council, and other oral and
documentary evidence received at the time of the November 5, 2013 meeting of the City
Council, the City Council orders as follows:
1. The nonconforming use of automotive repair located at 108 West 18th Street,
currently operated as Jose's Auto Electric, shall cease 1.64 years (1 year and 234
days) from the date of this order.
IT IS SO ORDERED.
DATED: December 3, 2013
1
ayor Ron Morrison
ORDER TERMINATING NON -CONFORMING USE - 108 WEST 18TH STREET
Passed and adopted by the Council of the City of National City, California, on
December 3, 2013 by the following vote, to -wit:
Ayes: Councilmembers Cano, Morrison, Natividad, Rios, Sotelo-Solis.
Nays: None.
Absent: None.
Abstain: None.
AUTHENTICATED BY: RON MORRISON
Mayor of the City of National City, California
City Clerk of the City of National City, California
By:
I HEREBY CERTIFY that the above and foregoing is a full, true and correct copy of
RESOLUTION NO. 2013-188 of the City of National City, California, passed and
adopted by the Council of said City on December 3, 2013.
City Clerk of the City of National City, California
By:
Deputy