REPORT TO THE CITY COUNCIL
FROM: SCOTT L. MOZIER, PE, Director
Public Works Department
SUBJECT
Title
***BILL B-2 (Intro’d January 18, 2024)(For Adoption) -Text Amendment Application No. P23-02443 adding Subsection U to Section 3804 of Chapter 15 of the Fresno Municipal Code relating to the deferral of certain sidewalk construction, driveway approaches and street trees in subdivisions until prior to occupancy of single-family homes (Subject to Mayor’s Veto).
Body
RECOMMENDATION
1. Approve Text Amendment Application No. P23-02443 adding Subsection U to Section 3804 of Chapter 15 of the Fresno Municipal Code.
EXECUTIVE SUMMARY
Municipal Code Section 15-3804, requires that subdividers improve, or execute a secured agreement to install all the public improvements within the development. Most developers enter into a Subdivision Agreement and post bonds to guarantee that they build all the public improvements including the sewer lines, water pipes, streets, sidewalks, street trees and landscaping. The Building Industry Association has requested that the Municipal Code be modified to allow the release of the bonds prior to the completion of certain sidewalk improvements, driveway approaches, and planting of street trees. Occupancy of a home would not be permitted until all the street improvements in front of the home have been installed and inspected. The Planning Commission conducted a Public Hearing to consider Text Amendment No. P23-02443 and Environment Assessment P23-02443 on August 2, 2023. The Commissioners voted unanimously to recommend approval to the City Council.
Fresno City Planning Commission Action
On August 2, 2023, the Planning Commission voted unanimously to recommend approval of Environmental Assessment No. P23-02443 and the addition of Subsection U to Section 3804 of Chapter 15 of the Fresno Municipal Code relating to the deferral of certain sidewalk construction, driveway approaches and street trees in subdivisions until prior to occupancy of single-family homes.
BACKGROUND
Most developers enter into a Subdivision Agreement and provide bonds and cash deposits to guarantee that the public improvements will be completed. The utilities and street improvements are generally completed quickly, and homes begin to be sold and occupied. The sidewalks in front of the homes usually get installed after the home is built, but before the homeowners move in. In 2008, the Council approved a resolution that allowed a one-time reduction in the amount of the bond when the improvements were substantially complete. Sales of all the homes in larger subdivisions can sometimes take several years. During much of that time all the public improvements are completed except for the sidewalks and driveway approaches in front of the unsold lots. The developers do not want to install those sidewalks until after the house is finished, because the equipment used to construct the home might damage the sidewalk. The Code requires that the Developer keeps the bonds active until the very last home is built and the sidewalk in front of every home is installed. On large subdivisions the cost of carrying these bonds for several years can be quite high.
The Building Industry Association and some of the active subdivision developers have requested that the City change the Municipal Code to allow the bonds to be released before completion of all of the sidewalks, driveway approaches and planting of the street trees. These improvements would be finished with the construction of the home, and if the work wasn’t completed or installed properly the City would deny occupancy of the home until the work was finished or corrected to a satisfactory level. Several cities in the area do allow the bonds to be released before the sidewalks and driveways are 100% complete.
City staff recommends adding the following new section to the Code:
U. Deferral of sidewalks to occupancy. At the request of the Subdivider, the Director may determine that it is appropriate to allow the deferral of sidewalk construction, including driveway approaches and planting of street trees, along the frontage of certain single-family residential lots until after the acceptance of the subdivision by the City. The Director may only accept the subdivision and defer sidewalk construction to occupancy of the homes provided that all of the following conditions have been satisfied:
1. The construction of the sidewalk along said single-family residential lots is made a condition upon the building permit for the particular home, with completion of the sidewalk required prior to occupancy.
2. All other conditions of approval have been satisfied by the subdivider and all other public improvements have been completed.
3. All sidewalks along residential side yards, or any side of the lot that does not have a planned driveway approach, have been constructed.
4. All sidewalks along the perimeter major streets have been constructed.
5. All sidewalks along the entry streets to the subdivision have been constructed, from the major street to the first local residential street intersection within the subdivision.
6. Either (a) all sidewalks have been constructed on the side of the street containing street lighting or underground streetlight conduit; or (b) all underground street light conduits have been protected by an alternative method to the satisfaction of the Director.
7. All sidewalks have been constructed along the complete frontage of any temporary ponding basins and any outlots being dedicated to the City, including but not limited to park sites and well sites.
Council District Plan Implementation Committees
The recommendations of the Council District Plan Implementation Committees are as noted below.
Council District 1
On November 4, 2021, the Council District 1 Plan Implementation Committee recommend approval of the proposed text amendment.
Council District 2
On December 13, 2021, the Council District 2 Plan Implementation Committee voted 5-1 to recommend approval of the proposed text amendment.
Council District 3
On January 25, 2022, the Council District 3 Plan Implementation Committee voted 2-1 to recommend approval of the proposed text amendment.
Council District 4
There is no Council District 4 Plan Implementation Committee at this time.
Council District 5
On March 7, 2022, the Council District 5 Plan Implementation Committee voted 1-4 to recommend denial of the proposed text amendment.
Council District 6
On February 7, 2022, the Council District 6 Plan Implementation Committee voted 4-1 to recommend approval of the proposed text amendment.
Council District 7
There is no Council District 7 Plan Implementation Committee at this time.
Airport Land Use Commission
The Airport Land Use Commission recommended approval of the subject Text Amendment application on April 4, 2022.
Development Code Text Amendment Findings
Pursuant to Section 15-5811 of the Fresno Municipal Code, the City Council shall not approve an application unless the proposed amendment meets the following criteria:
1. The Code text amendment is consistent with the General Plan and any applicable operative plans; and
The text amendment that is being proposed to 15-3804 is consistent with the General Plan because it does not remove the requirement to install sidewalks, driveway approaches, and street trees. The text amendment just provides for a change in the security that the City requires to guarantee completion of the improvements. The text amendment will change the security from the requirement to submit a bond. Instead of a bond, occupancy of the home will not be authorized until the sidewalk, drive approach, and street trees are installed and inspected.
2. The amendment is consistent with the purpose of the Development Code to promote the growth of the city in an orderly and sustainable manner and to promote and protect the public health, safety, peace, comfort, and general welfare.
The proposed text amendment is consistent with the purpose of the Development Code. It will promote the growth of the city in an orderly and sustainable manner. On most subdivisions the sidewalks, driveway approaches and street trees are installed soon after the home is completed, but before it is occupied. The proposed text amendment will not change the timing or sequence of the work. The text amendment will only allow the bonds to be released prior to the installation of all sidewalks, drive approaches and the planting of the street trees and provide that occupancy of the home will not be authorized until the improvements are installed and inspected.
ENVIRONMENTAL FINDINGS
An environmental assessment was prepared for this project in accordance with the requirements of the CEQA Guidelines. This process included the distribution of the project proposal for comment from other responsible or affected agencies.
The State Guidelines for the implementation of the California Environmental Quality Act provide for the exemption of projects which will have no potential for causing a significant effect on the environment. More specifically, Section 15061 (b) (3) of the CEQA Guidelines states: “…CEQA applies only to projects which have the potential for causing a significant effect on the environment. Where it can be seen with certainty that there is no possibility that the activity in question may have a significant effect on the environment, the activity is not subject to CEQA.”
The City of Fresno has determined that a Finding of No Possibility that the project will have impacts on the environment pursuant to Section 15061(b) (3) of the CEQA Guidelines is appropriate for the proposed text amendment. Given that the proposed text amendment will simply allow the developer to defer sidewalk construction to occupancy of the homes provided that all of the required conditions have been satisfied but does not change the scope of work that will need to be completed, the proposed amendment does not have the potential for causing a significant effect on the environment.
Notice of City Council Hearing
Pursuant to the requirements of Fresno Municipal Code section 15-5806 (and 15-5007.D), notice of this public hearing was published in the Fresno Business Journal on December 20, 2023. Section 15-5007.D allows the posting of a public hearing notice, in at least one newspaper of general circulation, as an alternative noticing method for large mailings.
CONCLUSION
The appropriateness of the proposed text amendment has been examined with respect to its consistency with stated goals of the Fresno General Plan; compatibility with surrounding existing and proposed uses; and avoidance or mitigation of potentially significant adverse environmental impacts. These factors have been evaluated as described above and by the accompanying environmental assessment. Upon completion of this evaluation, it can be concluded that Text Amendment Application No. TA-17-002, is appropriate.
LOCAL PREFERENCE
Local preference was not considered because this project does not involve a bid or award of a construction or service contract.
FISCAL IMPACT
Text Amendment No. P23-02443 will not result in additional costs for the City. Developers and contractors pay fees for all inspections. The approval of the Text Amendment will not obligate the City to install sidewalks, drive approaches, or street trees. The homebuilders will remain responsible for the installation of all improvements.
Attachment(s):
Environmental Assessment No. P23-02443
Ordinance