REPORT TO THE CITY COUNCIL
FROM: JENNIFER CLARK, Director
Planning and Development Department
THROUGH: ASHLEY ATKINSON, Assistant Director
Planning and Development Department
BY: ROB HOLT, Supervising Planner
Planning and Development Department
SUBJECT
Title
Consideration of Plan Amendment Application No. P23-03006, Rezone Application No. P23-03006 and related Environmental Assessment pertaining to approximately 55.31 acres of property bounded by East Annadale Avenue to the north, State Route 41 to the east, South Elm Avenue to the west, and East Chester/East Samson Avenue (alignment) to the south (Council District 3) - Planning and Development Department.
1. DENY - Addendum to Final Program EIR (SCH No. 2017031012) for the Southwest Fresno Specific Plan, dated February 20, 2025, for the proposed project pursuant to California Environmental Quality Act (CEQA) Guidelines Section 15164.
2. DENY - Plan Amendment Application No. P23-03006 proposing to amend the Fresno General Plan and the Southwest Fresno Specific Plan to change the planned land use designation for the subject properties from Neighborhood Mixed-Use to Employment - Light Industrial and amendment to Policy LU-8.1 of the Southwest Fresno Specific Plan. (Subject to Mayor’s Veto)
3. DENY - Rezone Application No. P23-03006 proposing to rezone the subject properties from the NMX (Neighborhood Mixed-Use) zone district to the IL/cz (Light Industrial/conditions of zoning) zone district. (Subject to Mayor’s Veto)
Body
RECOMMENDATIONS
The Planning Commission on April 16, 2025, recommended the City Council to take the following actions:
1. DENY the Addendum to Final Program EIR (SCH No. 2017031012) for the Southwest Fresno Specific Plan, dated February 10, 2025, for the proposed project pursuant to California Environmental Quality Act (CEQA) Guidelines Section 15164.
2. DENY Plan Amendment Application No. P23-03006 proposing to amend the Fresno General Plan and the Southwest Fresno Specific Plan to change the planned land use designation for the subject properties from Neighborhood Mixed-Use to Employment - Light Industrial and amendment to Policy LU-8.1 of the Southwest Fresno Specific Plan.
3. DENY Rezone Application No. P23-03006 proposing to rezone the subject properties from the NMX (Neighborhood Mixed-Use) zone district to the IL/cz (Light Industrial/conditions of zoning) zone district.
EXECUTIVE SUMMARY
Plan Amendment Application No. P23-03006 and Rezone Application No. P23-03006 were filed by Bonique Emerson of Precision Civil Engineering, on behalf of Ryan Lancer of Buzz Oates Management Services, pertaining to approximately 55.31 acres of property.
The subject properties are located within the boundaries of the Fresno General Plan and Southwest Fresno Specific Plan bounded by East Annadale Avenue to the north, State Route 41 to the east, South Elm Avenue to the west, and East Chester/East Samson Avenue (alignment) to the south.
Fresno City Planning Commission Action
On April 16, 2025, the Planning Commission considered the item, and all public testimony provided during the meeting. After a complete hearing, the Planning Commission voted and recommended the City Council deny the plan amendment, rezone, and related environmental assessment. The Planning Commission Resolutions (Exhibits K and L) are attached for further information.
BACKGROUND
The subject properties are located within an area that has been significantly developed with industrial uses. Some of the uses within the subject area include distribution and manufacturing businesses and other industrially related businesses.
The subject area was previously planned and zoned for Light Industrial uses prior to the adoption of the Southwest Fresno Specific Plan (SWFSP) in 2017. However, in response to the community’s desire to remove all industrial zoning in the SWFSP, the subject area was rezoned, and the planned land use designation was changed to Neighborhood Mixed-Use. This was addressed with Goal LU-8 of the SWFSP which aims to address and mitigate West Fresno’s top ranking as most burdened by multiple sources of pollution by protecting the health and wellness of Southwest Fresno residents through regulating and reducing the negative impacts of industrial businesses and other sources of pollution. Furthermore, Policy LU-8.1 of the SWFSP states that all Light Industrial, Heavy Industrial, Business Park, and Regional Business Park uses should be planned and zoned Office.
The applicant is requesting that this area be changed back to its previous zone district with conditions of zoning and a planned land use designation of Employment - Light Industrial due to the subject area being developed with a majority of the existing uses within the industrial use classification.
Existing Development & Land Use
The subject area is currently developed with (primarily) industrial uses and buildings. Properties directly east of the subject area and Highway 41 are planned and designated for Heavy Industrial uses. Properties to the west of the subject area and along the Elm Avenue corridor are designated for Neighborhood Mixed-Use and Commercial - Community planned land uses. These uses are intended to provide a diversity of opportunities to facilitate an active mixed-use corridor; as well as a development interface and transition between a thriving corridor and the residential and public facility (school) planned land use areas further to the west.
The IL (Light Industrial) zone district is intended to provide areas, as identified by the General Plan, for a diverse range of light industrial uses, including limited manufacturing and processing, research and development, fabrication, utility equipment and service yards, wholesaling, warehousing, and distribution activities. Small-scale retail and ancillary office uses are also permitted. Light Industrial areas may serve as buffers between Heavy Industrial districts and other planned land uses and otherwise are generally located in areas with good transportation access, such as along railroads and freeways.
Previous Approval
The proposed subject area was included within a previous plan amendment and rezone application that also included properties north of East Annadale Avenue and south of East Vine Avenue. The Fresno City Council, on October 13, 2022, approved the plan amendment and rezone for only the properties north of East Annadale Avenue and south of East Vine Avenue to change the planned land use from Neighborhood Mixed-Use to Employment - Light Industrial and rezone those properties from the NMX zone district to the IL zone district, which included conditions of zoning that restrict the types of uses that are permitted, conditionally permitted, and not permitted. Additionally, Policy LU-8.1 of the Southwest Fresno Specific was amended to state:
“Plan and zone employment areas in Southwest Fresno for non-industrial businesses. All previously designated Light Industrial, Heavy Industrial, Business Park, and Regional Business Park land uses should be planned and zoned Office, except for the area bounded by Vine Avenue on the north, State Route 41 on the east, Elm Avenue on the west, and Annadale Avenue on the south, in order to allow the continuation of legally established and non-polluting uses established and operating as of February 18, 2021.”
Southwest Fresno Specific Plan Policy LU-8.1
In addition to the request to change the planned land use for the subject properties south of East Annadale Avenue from Neighborhood Mixed-Use to Employment - Light Industrial, the applicant is also requesting an amendment to the current Policy LU-8.1 of the Southwest Fresno Specific Plan. The amendment proposes to amend the policy to state:
“Plan and zone employment areas in Southwest Fresno for non-industrial businesses. All previously designated Light Industrial, Heavy Industrial, Business Park, and Regional Business Park land uses should be planned and zoned Office, except for the area bounded by Vine Avenue on the north, State Route 41 on the east, Elm Avenue on the west, and the East Chester/Samson Avenue alignment on the south, in order to allow the continuation of legally established and non-polluting uses established and operating uses as of February 18, 2021.”
Conditions of Zoning
To address concerns raised by the community about the rezone request, the applicant is requesting to add conditions of zoning that will restrict the types of future uses that are permitted, conditionally permitted, and not permitted on the site. The property owners have agreed to add conditions of zoning which can be found within Exhibit J.
Housing Crisis Act of 2019 (SB 330)
On October 9, 2019, Governor Newsom signed Senate Bill (SB) 330 enacting the “Housing Crisis Act of 2019.” This housing bill was effective starting January 1, 2020, and will remain in effect through January 1, 2025. One of the applicable provisions of this legislation, as it relates to Plan Amendments and Rezoning, includes limitations wherein an affected City (which includes the City of Fresno) cannot change the general plan land use designation, specific plan designation, or zoning to a less intensive use, or reduce the intensity of an existing land use designation or zone district, below the density/intensity that was in effect January 1, 2018; unless, the City concurrently increases density within its plans elsewhere within the City (i.e. corresponding up-zone) to ensure the total number of available residential units remain the same, resulting in no net loss of residential development capacity.
In this case, the subject area of approximately 55.31 acres is proposing a land use change from Neighborhood Mixed-Use to Employment - Light Industrial. The maximum density allowed in the Neighborhood Mixed-Use planned land use designation is 64 dwelling units per acre (du/ac). Therefore, the proposed plan amendment and rezone applications would result in a reduction of a residential development capacity of 3,540 dwelling units; unless a separate action by the City that would increase the total number of residential units elsewhere in the City is concurrently approved by the City Council on the same day as the subject application (resulting in no net loss of residential capacity).
Neighborhood Meeting
The applicant held a neighborhood meeting on November 6, 2023, at West Fresno Elementary School. The applicant mailed the neighborhood meeting notice to all property owners within 2,000 feet of the subject property, and additionally all tenants and residents within 1,000 feet of the subject property.
There were approximately 40 participants during the meeting. The concerns of the neighborhood included the following:
• What changes are coming with the rezoning?
• The location is not supported.
• What type of pollution might be produced?
• What’s the difference between light and heavy industrial?
• Size of the project and its significance to the surrounding area.
• What is the point if the existing businesses can operate now?
• What about noise, odor, waste, and traffic?
• Give a counterplan for brownfield.
• Owners did not ask the community what they wanted for the space.
• Why don’t landowners see what they can do with the existing zoning?
Ultimately the residents in attendance were not in support of the proposed plan amendment and rezone. A summary of the neighborhood can be found as Exhibit I to the staff report.
Council District Project Review Committee
On October 22, 2024, the Council District 3 Project Review Committee (Committee) reviewed the project. The Committee had the following questions, comments, and concerns of the project:
• The presentation mentioned voluntary restrictions for “future” owners, but what about “existing” owners? Would the existing or future tenants be subject to those restrictions, including the landscape buffers?
Applicant Response: All of the conditions of zoning that will apply to the project will be subject to both the existing and future property owners.
• Is the current NMX zone district preventing the existing businesses on the site from operating?
Applicant Response: NMX zoning makes it difficult to market the land for light industrial uses and certain tenants will not move in when the zoning does not permit light industrial uses. Existing businesses are subject to Legal Non-Conforming regulations. An example that occurred was a Zone Clearance for a business moving into an existing tenant suite where the same business type had left and the process took between four and six months, almost losing the tenant for a simple “business swap.”
• The health of the nearby residents and community supersedes the number of jobs created from industrial business.
• If no changes are needed to the actual development of the site, then why is this plan amendment and rezone needed?
Applicant Response: The existing tenants have leases and are considered Legal Non-Conforming uses that make it difficult to retain or change if the business leaves. The competitive environment of other nearby properties with industrial zoning makes it even more difficult to attract businesses for the subject area.
• After adoption of the Southwest Fresno Specific Plan (SWFSP), it seems the industrial community is trying to find loopholes to retain industrial development, which goes against the wants of the community.
• Is the existing development fully occupied now and has there been any reassessment of property values?
Applicant Response: The development is currently fully occupied, and we are not aware if there has been any reassessment of property values.
Four (4) members of the public spoke in opposition to the project with the following comments and concerns:
• Industrial development has elevated the infant mortality rate of the area with pollution increased over time.
• The applicants need to look for new tenants that match the existing NMX zoning.
• The Southwest Fresno community was redlined.
• Since moving from Denver, Colorado, I have developed primarily asthma problems, amongst other issues, because of the pollution and effects as a result of industrial development.
• Land use designations in the SWFSP would promote businesses allowed consistent with what it is currently planned for.
• Although not against businesses, the primary concern is for the health of the Southwest Fresno residents.
• We want Southwest Fresno to be productive and we want types of development such as grocery stores.
The Committee recommended opposition to moving forward with the plan amendment and rezone applications and prefer to keep the property as it is currently planned for (Neighborhood Mixed-Use) and zoned (NMX).
Notice of City Council Hearing
The Planning and Development Department mailed notices of this City Council hearing to all surrounding property owners within 1,000 feet of the subject property on March 21, 2025, pursuant to Section 15-5007 of the FMC (Exhibit G) and Assembly Bill (AB) 2904.
ENVIRONMENTAL FINDINGS
An environmental assessment was prepared for this project in accordance with the requirements of the California Environmental Quality Act (CEQA) Guidelines.
Preparation of the environmental assessment necessitated a thorough review of the proposed project and relevant environmental issues and considered previously prepared environmental and technical studies, specifically the Final Program Environmental Impact Report State Clearinghouse (SCH) No. 2017031012 (EIR).
Pursuant to CEQA Guidelines Section 15164(a), a Lead Agency shall prepare an addendum to a previously certified EIR if some changes or additions are necessary but none of the conditions described in Section 15162 calling for preparation of a subsequent EIR have occurred. An analysis has been performed pursuant to CEQA Guidelines Section 15162 to determine whether a subsequent environmental review is required for the project. Based upon this analysis, the following findings need to be made to support the determination that no subsequent environmental review is required:
1. No substantial changes are proposed in the project which will require major revisions to the EIR due to the involvement of new significant environmental effects or a substantial increase in the severity of previously identified significant effects because the project is being implemented as planned.
2. No substantial changes occurred with respect to the circumstances under which the project is undertaken which will require major revisions to the EIR due to the involvement of new significant environmental effects or a substantial increase in the severity of previously identified significant effects.
3. There is no new information, which was not known and could not have been known at the time of the previous EIR showing that:
a. The project will have one or more significant effects not discussed in the previous EIR.
b. Significant effects previously examined will be substantially more severe than shown in the previous EIR.
c. Mitigation measures or alternatives previously found to be not feasible are now feasible and would substantially reduce one or more significant effects of the project.
Staff has provided environmental findings (Exhibit H) for this staff report. If the Council chooses to approve under the alternatives below, the Council may either approve subject to the findings included as Exhibit H to the staff report; or adopt its own alternative findings pursuant to CEQA Section 15164.
FRESNO MUNICIPAL CODE FINDINGS
Pursuant to FMC Section 15-5812, the Planning Commission shall not recommend, and the City Council shall not approve, an application unless the proposed Rezone or Plan Amendment meets the following criteria:
A. The change is consistent with the General Plan goals and policies, any operative plan, or adopted policy.
B. The change 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; and,
C. The change is necessary to achieve the balance of land uses desired by the City and to provide sites for needed housing or employment-generating uses, consistent with the General Plan, any applicable operative plan, or adopted policy; and to increase the inventory of land within a given zoning district to meet market demand.
Staff has provided potential findings (Exhibit F) for this staff report. If the Council chooses to approve under the alternatives presented below, the Council may either approve subject to the findings included as Exhibit F to the staff report; or adopt its own alternative findings pursuant to FMC Section 15-5812.
CONCLUSION
The appropriateness of the proposed project has been examined with respect to its consistency with goals and policies of the Fresno General Plan and the Southwest Fresno Specific Plan; compliance with the provisions of the FMC; its compatibility with surrounding existing or proposed uses; and its avoidance or mitigation of potentially significant adverse environmental impacts. These factors have been evaluated as described above and by the accompanying findings, environmental assessment, and exhibits. Based upon this evaluation, the City Council has alternatives for the appropriate action in which to take should they decide to deny to the Planning Commission’s recommendation:
Alternatives:
Option 1
1. Approve making the following motion:
a. ADOPT the Addendum to Final Program EIR (SCH No. 2017031012) for the Southwest Fresno Specific Plan, dated February 10, 2025, for the proposed project pursuant to California Environmental Quality Act (CEQA) Guidelines Section 15164.
b. APPROVE Plan Amendment Application No. P23-03006 proposing to amend the Fresno General Plan and Southwest Fresno Specific Plan to change the planned land use designation for the subject properties from Neighborhood Mixed-Use to Employment - Light Industrial, as well as amendment of Policy LU-8.1 of the Southwest Fresno Specific Plan.
c. APPROVE Rezone Application No. P23-03006 proposing to rezone the subject properties from the NMX (Neighborhood Mixed-Use) zone district to the IL/cz (Light Industrial/conditions of zoning) zone district.
The City Council may make this motion subject to the findings included as Exhibit F to the staff report; or adopt its own alternative findings pursuant to FMC Section 15-5812. Should the City Council make the required findings, approval of the plan amendment and rezone applications shall be subject to compliance with Senate Bill (SB) 8 and SB 330.
2. Approve with conditions making the following motion:
a. ADOPT the Addendum to Final Program EIR (SCH No. 2017031012) for the Southwest Fresno Specific Plan, dated February 10, 2025, for the proposed project pursuant to California Environmental Quality Act (CEQA) Guidelines Section 15164.
b. APPROVE Plan Amendment Application No. P23-03006 proposing to amend the Fresno General Plan and Southwest Fresno Specific Plan to change the planned land use designation for the subject properties from Neighborhood Mixed-Use to Employment - Light Industrial, as well as amendment of Policy LU-8.1 of the Southwest Fresno Specific Plan.
c. APPROVE Rezone Application No. P23-03006 proposing to rezone the subject properties from the NMX (Neighborhood Mixed-Use) zone district to the IL/cz (Light Industrial/conditions of zoning) zone district.
The City Council will need to include any conditions within its motion. The City Council may make this motion subject to the findings included as Exhibit F to the staff report; or adopt its own alternative findings pursuant to FMC Section 15-5812. Should the City Council make the required findings, approval of the plan amendment and rezone applications shall be subject to compliance with Senate Bill (SB) 8 and SB 330.
PROPOSED CONDITIONS OF ZONING (PROJECT APPLICANT)
The project applicant provided staff with proposed conditions of zoning on February 3, 2025 (Exhibit J).
LOCAL PREFERENCE
Local preference was not considered because this project does not include a bid or award of a construction or service contract.
FISCAL IMPACT
Affirmative action by the Council will result in timely deliverance of the review and processing of the applications as is reasonably expected by the applicant. Prudent financial management is demonstrated by the expeditious completion of this land use application inasmuch as the applicant has paid to the City a fee for the processing of this application and that fee is, in turn, funding the respective operations of the Planning and Development Department.
Attachments:
Exhibit A - Aerial Map
Exhibit B - Vicinity Map
Exhibit C - Fresno General Plan Land Use & Zoning Map
Exhibit D - Proposed Planned Land Use Map
Exhibit E - Proposed Rezone Exhibit
Exhibit F - Fresno Municipal Code Findings
Exhibit G - Public Hearing Notice Radius Map (1,000 feet)
Exhibit H - Addendum to Final PEIR of the Southwest Fresno Specific Plan [4-2-2025]
Exhibit I - Neighborhood Meeting Summary
Exhibit J - Operational Statement & Conditions of Zoning
Exhibit K - Planning Commission Resolution No. 13894 (Plan Amendment)
Exhibit L - Planning Commission Resolution No. 13895 (Rezone)
Exhibit M - City Council Resolution for Plan Amendment Application P23-03006
Exhibit N - City Council Ordinance Bill for Rezone Application P23-03006
Exhibit O - Southwest Fresno Specific Plan Flyer Mailers & Fresno Bee Notices
Exhibit P - City Council Hearing PowerPoint Presentation
Exhibit Q - Opposition Letter [4-15-2025]
Exhibit R - Opposition Letter [4-16-2025]