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Zoning amendment A-14-001 Emission Battery Electric Vehicles.�owx o DATE: TO: FROM: SUBJECT: MEETING DATE: 06/16/14 ITEM NO: 1 1 COUNCIL AGENDA REPORT JUNE 5, 2014 MAYOR AND TOWN COUNCIL GREG LARSON, TOWN MANAGER INTRODUCE ORDINANCE ADOPTING AMENDMENTS TO CHAPTER 29 (ZONING REGULATIONS) OF THE TOWN CODE REGARDING THE SALES, SERVICE, AND REPAIR OF ZERO EMISSION BATTERY ELECTRIC VEHICLES IN THE C -2 AND CH ZONES, AND THE DEFINITION OF SERVICE STATIONS. RECOMMENDATION: After opening and closing the public hearing, and asking the Clerk Administrator to read the title of the proposed ordinance, it is recommended that the Town Council: I. Accept the Planning Commission's findings and recommendations in the form of meeting minutes for the Zoning Code amendments (Attachment 1) (no motion required). 2. Make the required finding that there is no possibility that this project will have a significant impact on the environment; therefore, the project is not subject to the California Environmental Quality Act (Section 15061 (b)(3)) (Attachment 2) (motion required). 3. Make the required finding that the proposed Ordinance amendments are consistent with the Redevelopment Plan for the Central Los Gatos Redevelopment Project Area (Section IV.B) (Attachment 2) (motion required). 4. Make the required finding that the proposed Ordinance amendments are consistent with the General Plan and its Elements (Attachment 2) (motion required). 5. Accept the recommendation of the Planning Commission and move to adopt Zoning Code Amendment A -14 -001 (motion required). 6. Move to waive the reading of the Ordinance (motion required). 7. Move to introduce the Ordinance of the Town of Los Gatos effecting the Zoning Code amendments of the Town Code (Attachment 3) (motion required). PREPARED BY: LAUREL R. PREVETTI P Director of Community Development Reviewed by: Assistant Town Manager Mown Attorney Finance N:\DEV\TC REPORTS\2014\EVSalmndSmice A- 14- 001.docx Reformatted: 5/30/02 PAGE 2 MAYOR AND TOWN COUNCIL SUBJECT: Zero Emission Battery Electric Vehicles /A -14 -001 June 5, 2014 BACKGROUND: Purpose In response to the growing consumer interest and incentives for electric vehicles, staff is proposing to amend the Town Code to specify where the sales, service, and /or repair of electric vehicles may be permitted. For the purposes of this amendment, electric vehicles (EVs) are those vehicles powered exclusively by electricity through a battery. Also for the purposes of this amendment, EVs have zero emissions, no internal combustion, and limited fluids or oils. Please see the discussion section later in the report for the proposed definition of EVs. EVs do not have the same maintenance requirements that internal combustion engine vehicles do (i.e., no emissions checks, no motor oil, limited fluid changes). Rather, the majority of service and repair of EVs consist of connecting the electric engine to a computer and allowing the computer to repair a problem. EVs do use limited amounts of fluids — gear oil, brake fluid, and coolant. Town Code These amendments consider where vehicle sales, service, and repairs are currently permitted, and consider where the sales, service, and/or repair of EVs may be appropriate. New vehicle sales are allowed with a Conditional Use Permit (CUP) in the Central Business District (C -2) and Restricted Highway Commercial (CH) zones. Vehicle repair and service (garage) is allowed with a CUP in the CH and Commercial Industrial (LM) zones. Town Code defines repair garage as "a structure or any part thereof, used for the commercial repair or painting of vehicles." This Town Code amendment proposes the sales, service, and/or repair of EVs in the C -2 and CH zones. Please see the discussion section later in this report for further analysis. These amendments also consider where service stations are currently permitted, and where EV service stations may be appropriate. The Town Code currently permits service stations in the C- 1, C -2, CH, and LM zones with a CUP. A service station, as defined by Town Code, is a gas station or fueling station. A service station is not to be confused with vehicle service and repair. EVs require a different fueling network than that required for gasoline combustion engines. Gasoline combustion engines require quick in -and -out fueling stations and EVs require strategically placed clusters of charging stations. EV fueling stations, or charging stations, may include battery charging stations, battery exchange stations, and/or rapid charging stations. These amendments would permit, but not require, the charging of EVs at sales, service, and/or repair locations. These amendments also propose permitting alternative fuel, which may include electricity, at service stations in the zones that currently permit service stations (i.e., gas stations). Please see the discussion section later in this report for further analysis. PAGE 3 MAYOR AND TOWN COUNCIL SUBJECT: Zero Emission Battery Electric Vehicles /A -14 -001 June 5, 2014 State Actions The Governor has signed a number of bills that provide incentives to purchase electric vehicles and to create a wide network of electric vehicle charging stations. The bills include: ■ Assembly Bill AB266 (Vehicles: high - occupancy vehicle lanes): Extends the HOV lane sticker program for battery electric vehicles. State Bill SB454 (The Electric Vehicle Charging Stations Open Access Act): Simplifies access to EV charging stations. The law allows anybody to use any charging station with or without membership. Fees need to be disclosed at the charging stations, including additional fees for nonmembers. AB1092 (Building standards: electric vehicle charging infrastructure): Requires that the California Building Standards Commission and the Department of Housing and Community Development update the California Building Standards Code to require infrastructure for electric vehicle charging in multi - family dwellings and non - residential places like businesses and shopping centers. ■ SB359 (Vehicles: retirement and replacement): Funds four programs that encourage purchasing clean vehicles including zero - emissions vehicles. This year the State Legislature is considering State Bill SB1275, the Charge Ahead California Initiative, which would extend existing rebate programs to purchase electric cars, trucks, and busses. SB 1275's goal is to have one million electric cars, trucks, and busses on California roads in ten years. The intent of the proposed Town Code amendments is to establish and encourage the sales and use of EVs as a means to support the reduction of greenhouse gas emissions and the growing demand for electric vehicles. These amendments would also support the above- mentioned programs. In addition, permitting sales, service, and/or repair of EVs, which include charging stations, would encourage the use of EVs by making charging more convenient and accessible in more locations in Los Gatos. Town Strategic Goals On February 18, 2014, the Town Council adopted strategic goals for the 2014 -2016 two -year period. The proposed amendments are consistent with the following strategic goals: Develop a policy to ensure the continued diversity of independent and national businesses in the downtown. Increase the availability of electric vehicle charging stations to meet the growing demand. PAGE 4 MAYOR AND TOWN COUNCIL SUBJECT: Zero Emission Battery Electric Vehicles /A -14 -001 June 5, 2014 DISCUSSION: A. Town Code The intent of the proposed amendments is to: 1) designate a zoning district(s) where sales, service, and repair of electric vehicles is permitted with approval of a CUP, (2) define sales, service, and repair of electric vehicles, and (3) redefine service stations to include electricity and other alternative fuels. Please note that the new wording below appears in italicized bold type; deletions appear in strikethrough type. 1. Zoning District — Vehicle sales are currently permitted in the C -2 (Central Business District) and CH (Restricted Highway Commercial) zones. Vehicle service and repair (garage) is currently permitted in the CH (Restricted Highway Commercial) and LM (Commercial - Industrial) zones. Of the three zones reviewed, staff first determined that the C -2 and CH zones were the best zones to allow the proposed EV use since both currently permit the sales of vehicles. Staff then analyzed the scope of service and repair of electrical vehicles and, given the nature of EV service (no emissions and limited fluids), determined the use could be appropriate in the C -2 zone. Service and repair is already permitted in the CH zone with a CUP. Staff recommends the sales, service, and/or repair of electric vehicles be permitted with a CUP in the C -2 and CH zones. Therefore, it is recommended that an X be placed under the C -2 and CH zoning designations in the CUP Table under Commercial for item n listed below (See Attachment 4). Section 29.20.185. Table of conditional uses (Exhibit 2). (7) Automotive (Vehicle sales, service and related activities) n. Sales, service, and/or repair of electric vehicles a. Permitted Uses — Staff recommends subsection (b) below be modified under the permitted uses in the C -2 zone. This section provides examples of uses that are proper and not proper in the C -2 zone. PAGE 5 MAYOR AND TOWN COUNCIL SUBJECT: Zero Emission Battery Electric Vehicles /A -14 -001 June 5, 2014 Section 29.60.320. - Permitted uses. (b) Examples of proper C -2 activities are apparel stores, antique stores, artist studios, craft studios, auto part sales, and -artist supply shops, and EV sales, service, and/or repair. Examples of activities which are not proper in the C- 2 zone are vehicle sales or service, manufacturing, warehousing, laundry or dry cleaning plants. 2. Definitions — The following definitions are recommended to be added to the Zoning Ordinance or modified, and are intended to be consistent with industry standards while limiting the breadth of business that may fall into this category. Section 29.10.020. Definitions. Electric Vehicle (EIS means any vehicle that is licensed and registered for operation on public and private highways, roads, and streets exclusively powered by electricity from an off -board source that is stored in the vehicle's batteries, includes no internal combustion and only limited fluids or oils, and produces zero tailpipe emissions or pollution when stationary or operating. EV includes a battery electric vehicle (BEV) but does not include a plug -in hybrid electric vehicle (PREi9. Sales, Service, and/or Repair of Electric Vehicles means any business engaged in the selling, service, and repair of electric vehicles as defined by means of traditional retail sales, the service and/or repair of electric vehicles with the use of computers and with limited use of fluids, and the charging of electric vehicles Body repair is not permitted; fire changing is permitted Service station means a place where vehicles are serviced, when the services are limited to (1) the selling of petroleum products, electricity or other alternative fuel, tires, batteries and accessories, servicing automobiles, trucks and similar vehicles, including minor automotive repair, but excluding auto body, fender, major engine repair or rebuilding, and outside repairs of any kind, and excluding outside display of goods, except for petroleum products, electricity or other alternative fuel; and (2) in the square footage defined for such use in its conditional use permit or architecture and site approval, the selling of food, PAGE MAYOR AND TOWN COUNCIL SUBJECT: Zero Emission Battery Electric Vehicles /A -14 -001 June 5, 2014 beverages excluding distilled spirits, and small personal convenience items, primarily for off - premises consumption. 3. Findings —The standard findings to approve a CUP are required to be made pursuant to the Zoning Ordinance. 4. Review of Conditional Use Permit — Certain aspects of vehicle service and repair may not have been considered appropriate for the C -2 zone because of emissions and noise concerns. The specific type of electric vehicles proposed to be permitted for sales, service, and repair may be appropriate given the nature of the service and repair discussed earlier in this report. Staff recommends each CUP application for the sales, service, and repair of EVs be considered on its own merits. B. Planning Commission On May 28, 2014, the Planning Commission. considered the proposed Zoning Ordinance amendments and recommended approval of the amendments, with modifications. See Attachment 3 for the Commission's full discussion. The Planning Commission recommended modifications to include the sales of EVs and non -EVs in the LM zone. If the Council finds merit with the recommendation, staff recommends that an X be placed under the LM zoning designation in the CUP Table under Commercial for items a, b, and n listed below (See Attachment 4). Section 29.20.185. Table of conditional uses (Exhibit 2). (7) Automotive (Vehicle sales, service and related activities) a. New vehicle sales and rental b. Used vehicle sales only incidental to new vehicle sales and rental n. Sales, service, and/or repair of electric vehicles a. Permitted Uses — If Council finds merit with the Commission's recommendation, staff recommends subsection (b) below be modified under the permitted uses in the LM zone. This section provides examples of uses that are proper and not proper in the LM zone. PAGE 7 MAYOR AND TOWN COUNCIL SUBJECT: Zero Emission Battery Electric Vehicles /A -14 -001 June 5, 2014 Section 29.70.100. -Permitted uses. (b) Examples of proper LM activities are plumbing, heating and electrical contracting, equipment repair, laundry and dry- cleaning plants, paint supplies, janitorial services, and towing businesses. Examples of activities which are not proper in the LM zone are veMele— sales, large scale light industrial activity, professional or medical offices and general business offices. C. Staff Remarks The Planning Commission discussed but did not include in its recommended modifications the inclusion of sales, service, and/or repair of EVs in the C -1 (Neighborhood Commercial) zone. As discussed above, staff analyzed the scope of service and repair of electrical vehicles and, given the nature of EV service (no emissions and limited fluids), the use could be appropriate in the C -1 zone. If the Town Council finds merit with this recommendation, staff recommends the sales, service, and /or repair of electric vehicles be permitted with a CUP in the C -1 zone and recommends that an X be placed under the C -1 zoning designation in the CUP Table under Commercial for item n listed below (See Attachment 4). Section 29.20.185. Table of conditional uses (Exhibit 2). (7) Automotive (Vehicle sales, service and related activities) n. Sales, service, and repair of electric vehicles b. Permitted Uses —Staff recommends subsection (b) below be modified under the permitted uses in the C -1 zone. This section provides examples of uses that are proper and not proper in the C -1 zone. Section 29.60.210. - Permitted uses. (b) Examples of proper C -1 activities are grocery stores, launderettes, or dry cleaning agencies, drugstores, barbershops, appliance repair shops, and offices, —and EV sales, service, andlor repair. Examples of activities which are not proper in the C -1 zone are vehicle service and sales, palmists and soothsayers, manufacturing, wholesaling, or laundry. PAGE 8 MAYOR AND TOWN COUNCIL SUBJECT: Zero Emission Battery Electric Vehicles /A -14 -001 June 5, 2014 CONCLUSION: Adoption of the proposed amendments would support the reduction of greenhouse gas emissions, the growing demand for electric vehicles, state programs, and Town strategic goals. It is therefore recommended that Town Council approve the recommended amendments. ENVIRONMENTAL ASSESSMENT: It has been determined that there is no possibility that this project will have a significant impact on the environment; therefore, the project is not subject to the California Environmental Quality Act (Section 15061 (b)(3)). FISCAL IMPACT: None. ATTACHMENTS: 1. Excerpt of the Planning Commission verbatim meeting minutes of May 28, 2014 2. Required Findings 3. Amended Draft Zoning Ordinance 4. 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APPLICANT: Town of Los Gatos FINDINGS: Required finding for CEQA: ■ The project is Exempt pursuant to Section 15061 of the State Environmental Guidelines as adopted by the Town in that the project could not possibly have a significant impact on the environment. Required finding for the Redevelopment Plan for the Central Los Gatos Redevelopment Project Area: ■ The proposed Ordinance amendments are consistent with the Redevelopment Plan for the Central Los Gatos Redevelopment Project Area (Section N.B) in that the proposed use falls under general commercial uses. Required findings for Town Code Amendments: ■ The proposed Ordinance amendments are consistent with the General Plan. N OEV�WGS@ NTV A- 14 -Wl.&o . ATTACHMENT 2 This Page Intentionally Left Blank ORDINANCE ORDINANCE OF THE TOWN OF LOS GATOS AMENDING SECTION 29.60.210 OF THE TOWN CODE REGARDING PERMITTED USES IN THE C -1 ZONE; AMENDING SECTION 29.60.320 OF THE TOWN CODE REGARDING PERMITTED USES IN THE C -2 ZONE; AMENDING SECTION 29.70.100 OF THE TOWN CODE REGARDING PERMITTED USES IN THE LM ZONE; AMENDING SECTION 29.10.020 REGARDING DEFINITIONS OF THE SALES, SERVICE, AND /OR REPAIR OF ELECTRIC VEHICLES AND SERVICE STATIONS; AND SECTION 29.20.185 REGARDING USES PEMITTED WITH A CONDITIONAL USE PERMIT THE TOWN COUNCIL OF THE TOWN OF LOS GATOS DOES ORDAIN AS FOLLOWS: WHEREAS, this matter was introduced by the Town Council for public hearing on June 16, 2014, and was regularly noticed in conformance with State and Town law. WHEREAS, the Town seeks to amend Section 29.60.210, Section 29.60.320, Section 29.70.100, Section 29.10.020, and Section 29.20.185 of the Town Code regarding permitted uses within the C -1, C -2, CH, and LM zones, the sales, service, and/or repair of electric vehicles, and service stations. WHEREAS, the restrictions placed on the C -1 zoning (Los Gatos Town Code Section 29.60.210) were intended for areas of the Town which are easily accessible and useful for retail, service and administrative activities which are oriented to the day -to -day needs of the residents of the Town. WHEREAS, the restrictions placed on the C -2 zoning (Los Gatos Town Code Section 29.60.320) were intended to encourage and allow a wide variety of retail, service, entertainment and administrative activities which are necessary to serve a large trading area. WHEREAS, the restrictions placed on the CH zoning (Los Gatos Town Code Section 29.60.420) were intended for vehicular oriented activities and sales along highway frontages (e.g., streets), intermingled with compatible retail, service and administrative activities. ATTACHMENT 3 WHEREAS, the restrictions placed on the LM zoning (Los Gatos Town Code Section 29.70.100) were intended for small scale light industrial, repair and service - oriented activities that provide services to Town residents in addition to retailing, service and administrative activities. WHEREAS, the market for electric vehicles in the United States, including Los Gatos, has steadily increased since the introduction of commercially available models in 2011, and with new industry standards that ensure universal compatibility between vehicle manufacturers, more residents and businesses have purchased or have started to consider the purchase of an electric vehicle as a means of transportation. WHEREAS, the proposed amendments address the demand for all electric battery powered vehicles with non - combustible engines and with zero emissions, and the limited use of fluids and oils. WHEREAS, a substantial percentage of all air pollution and greenhouse gas emissions in Los Gatos is derived from emissions in the transportation sector. WHEREAS, air pollution, in high levels, has been shown to cause premature death and to aggravate lung illnesses such as acute respiratory infections, asthma, chronic bronchitis, emphysema, and lung cancer, all of which children and the elderly are more susceptible. WHEREAS, the Town's General Plan contains goals and policies to maintain a balanced, economically stable community within environmental goals; conserve the air resources of the Town and maintain and improve acceptable air quality in Los Gatos; attract and retain businesses that produce goods or services that contribute to sustainability; and foster development that reduces the use of non - renewable energy resources and expand the use of alternative fuels. WHEREAS, the Town Council adopted strategic goals for 2104 to 2016 to develop a policy to ensure the continued diversity of independent and national businesses in the downtown and to increase the availability of electric vehicle charging stations to meet the growing demand. WHEREAS, the Planning Commission considered the request to amend Sections 29.60.320, 29.10.020, 29.20.185 of the Town Code and recommended to the Town Council adoption of the draft Ordinance with modifications. WHEREAS, based on the information presented at the hearing, the Planning Commission considered the request to amend Section 29.60.320, Section 29.10.020, and Section 29.20.185 of the Town Code regarding permitted uses within the C -2 and CH zones. WHEREAS, the amendment is consistent with the General Plan and the intent of the Town Code regulating uses within the C -1, C -2, CH, and LM zones, the sales, service, and/or repair of electric vehicles, and service stations. WHEREAS, the amendment is consistent with the Redevelopment Plan for the Central Los Gatos Redevelopment Project Area (Section IV.B). SECTION I Town Code Chapter 29 is hereby amended to read as set forth in Exhibit A attached hereto and made a part thereof. SECTION II ENVIRONMENTAL ANALYSIS With respect to compliance with the California Environmental Quality Act ( "CEQA "), the Town Council finds as follows: A. This ordinance is not subject to review under CEQA pursuant to sections and 15061(b)(3) because the project could not possibly have a significant impact on the environment. This ordinance does not, in itself, allow the operation of any use; therefore, there is no potential for resulting in physical change in the environment, directly or ultimately. B. This ordinance is covered by the general rule that CEQA applies only to projects that have the potential for causing a significant effect on the environment. For the reasons set forth in subparagraph (A) and this paragraph, it can be seen with certainty that there is no possibility that this ordinance will have a significant effect on the environment and, therefore, the ordinance is not subject to CEQA. SECTION III This Ordinance was introduced at a regular meeting of the Town Council of the Town of Los Gatos on June 16, 2014, and adopted by the following vote as an ordinance of the Town of Los Gatos at a meeting of the Town Council of the Town of Los Gatos on August 4, 2014. This Ordinance takes effect 30 days after it is adopted. COUNCIL MEMBERS: AYES: NAYS: ABSENT: ABSTAIN SIGNED: MAYOR OF THE TOWN OF LOS GATOS LOS GATOS, CALIFORNIA ATTEST: CLERK ADMINISTRATOR OF THE TOWN OF LOS GATOS LOS GATOS, CALIFORNIA N:\DEV\ORDS\2014\EVSaie dSmice.dacx This Page Intentionally Left Blank Sec. 29.20.185. — Table of Conditional Uses. (7) Automotive (Vehicle sales, service and related activities) a. New vehicle sales and rental b. Used vehicle sales only incidental to new vehicle sales and rental n. Sales, service, and repair of electric vehicles as set forth in Section 29.10.020. Put an X under the LM in the Conditional Use Permit Table for items a and b listed above. Put an X under the C -1, C -2, CH, and LM in the Conditional Use Permit Table for item n listed above. Sec. 29.60.210. - Permitted uses. (b) Examples of proper C -1 activities are grocery stores, launderettes, or dry cleaning agencies, drugstores, barbershops, appliance repair shops, offices, and EV sales, service, and/or repair. Examples of activities which are not proper in the C -1 zone are vehicle service and sales, palmists and soothsayers, manufacturing, wholesaling, or laundry. Sec. 29.60.320. - Permitted uses. (b) Examples of proper C -2 activities are apparel stores, antique stores, artist studios, craft studios, auto part sales, artist supply shops, and EV sales, service, and repair. Examples of activities which are not proper in the C -2 zone are vehicle sales or service, manufacturing, warehousing, laundry or dry cleaning plants. EMBIT A of Attachment 3 Section 29.70.100. - Permitted uses. (b) Examples of proper LM activities are plumbing, heating and electrical contracting, equipment repair, laundry and dry- cleaning plants, paint supplies, janitorial services, and towing businesses. Examples of activities which are not proper in the LM zone are large scale light industrial activity, professional or medical offices and general business offices. Sec. 29.10.020. - Definitions. Electric Vehicle (EV) means any vehicle that is licensed and registered for operation on public and private highways, roads, and streets exclusively powered by electricity from an off -board source that is stored in the vehicle's batteries, includes no internal combustion and only limited fluids or oils, and produces zero tailpipe emissions or pollution when stationary or operating. EV includes a battery electric vehicle (BEV) but does not include a plug -in hybrid electric vehicle (PHEV). Sales, Service, and/or Repair of Electric Vehicles means any business engaged in the selling, service, and/or repair of electric vehicles as defined by means of traditional retail sales, the service and/or repair of electric vehicles with the use of computers and with limited use of fluids, and the charging of electric vehicles. Body repair is not permitted; tire changing is permitted. Service station means a place where vehicles are serviced, when the services are limited to (1) the selling of petroleum products, electricity or other alternative fuel, tires, batteries and accessories, servicing automobiles, trucks and similar vehicles, including minor automotive repair, but excluding auto body, fender, major engine repair or rebuilding, and outside repairs of any kind, and excluding outside display of goods, except for petroleum products, electricity or other alternative fuel; and (2) in the square footage defined for such use in its conditional use permit or architecture and site approval, the selling of food, beverages excluding distilled spirits, and small personal convenience items, primarily for off - premises consumption. N:\DEV\ORDS\2014\EVSatesandServiceExhibitA.docx TABLE OF CONDITIONAL RC HR R1 RD R -M R -1D RMH 0 C -1 C -2 CH LM CM USES (7) Automotive (Vehicle sales, service and related activities) a. New vehicle sales and rental X X X J. Used vehicle sales only X X X incidental to new vehicle sales and rental c. Vehicle tires and accessories, sales, servicing, recaping Mx d. Vehicle body repair and painting 14 e. Vehicle repair and service X X (garage) f. Service station ix X X ix g. Parking lots or storage X X garages, not accessory to another use h. Car wash X i. Truck terminal X X Alternating use of offstreet X X X X X X X X X X X parking spaces k. Recreational vehicle and X X X equipment storage yard 1. Temporary auto storage for X X X X X X X X X X X X automobile dealers m. Parking lots that serve a X nearby commercial use located on a previously unimproved property in the R -1:12 zone on Ian arterial street n. sales, service, and /or repair X X X X of electric vehicles N: \DEV \PC REPO RTS\2014\EVTable of Conditional Uses. docx ATTACHMENT 4 This Page Intentionally Left Blank