Joint Sand City Council and Successor Agency of the Redevelopment Agency

MINUTES

# JOINT SAND CITY COUNCIL AND SUCCESSOR AGENCY OF THE REDEVELOPMENT

AGENCY

Regular Meeting - Tuesday, June 20, 2023 5:30 PM As allowed by Assembly Bill AB2449, this meeting was conducted in person and by teleconference

Mayor Carbone called the meeting to order at 5:38pm.

## 1\. ROLL CALL

Present: Mayor Carbone Vice Mayor Blackwelder Councilmember Diaz Councilmember Hawthorne Councilmember Sofer

Staff: City Manager Vibeke Norgaard Sergeant Dan Charlton Interim City Attorney Adam Lindgren City Clerk Kerry Lindstrom Interim City Planner Zane Mortensen Finance Advisor Roberto Moreno

## 2\. PLEDGE OF ALLEGIANCE

Sergeant Dan Charlton led the pledge of allegiance.

## 3\. INVOCATION

No invocation was made.

## 4\. ANNOUNCEMENT BY MAYOR, CITY ATTORNEY, AND CITY MANAGER

Mayor Carbone announced the City hosted District 4, Monterey County Board Supervisor Wendy Root Askew’s Town Hall meeting on June 19, 2023.

City Manager Vibeke Norgaard announced Calabrese Park will be completed in August. The City has received a grant from the Department of Cannabis Control. The City one step closer in the grant process for the coastal trail. There have been discussions with CalAm Water regarding the conditions of the desal facility and removal of seawalls. The City has applied for grants for EV stations. Regarding the South of Tioga project, PG & E poles will be removed on July 17, 2023 and utilities will be moved underground. Regarding the FLOCK camera system, locations are being proposed on existing poles. EMC will be presenting on the parking plan at the July 18, 2023 City Council meeting. A new security camera system has been installed around the perimeter of City Hall. Granite Rock is taking measures to improve the cleanup of dust on City streets.

## 5\. COMMUNICATIONS

No public comment received.

## 6\. CONSENT CALENDAR

No public comment received.

* * *

Upon motion by Vice Mayor Blackwelder and seconded by Councilmember Hawthorne, Council voted to approve the Consent Calendar.

Motion carried 5-0, by the following vote:

AYES: Mayor Carbone, Vice Mayor Blackwelder, Councilmembers Diaz, Hawthorne, and Sofer. NOES: None. ABSENT: None. ABSTAIN: None.

6A. Approved the City Council Meeting Minutes for June 6, 2023

7. CONSIDERATION OF ITEMS PULLED FROM CONSENT CALENDAR No items were pulled.

## 8\. PUBLIC HEARING

8A. Approve Master Conditional Use Permit CUP 23-001 to Facilitate Various Use of Commercial Space in the Existing Mixed-Use Building at 400 Ortiz Avenue This item was continued from the June 6, 2023, Regular City Council Meeting.

Due to a financial conflict of interest, those residing within 500 feet of 400 Ortiz Avenue, Vice Mayor Blackwelder and Councilmember Hawthorne and Councilmember Sofer, a straw draw was conducted to establish a quorum by random selection. Vice Mayor Blackwelder’s name was selected. Councilmembers Hawthorne and Sofer recused themselves.

Public comment was received from Richard Garza.

Upon motion by Vice Mayor Blackwelder and seconded by Councilmember Diaz, Council voted to approve Resolution SC 23-29 approving a Master Conditional Use Permit CUP 23-001 to facilitate various use of commercial space in the existing mixed-use building at 400 Ortiz Avenue.

Motion carried 3-2, by the following vote:

AYES: Mayor Carbone, Vice Mayor Blackwelder, Councilmember Diaz NOES: None. ABSENT: None. ABSTAIN: Councilmembers Hawthorne and Sofer.

## 9\. NEW BUSINESS

9A. Authorizing the City Manager to Execute an Agreement with Talking Walls for Mural Curator Services for the 2023 Mural Festival

No public comment was received.

* * *

Upon motion by Vice Mayor Blackwelder and seconded by Councilmember Hawthorne, Council voted to approve Resolution SC 23-30 authorizing the City Manager to execute an agreement with Talking Walls for Mural Curator Services for the 2023 Mural Festival.

Motion carried 5-0, by the vote:

AYES: Mayor Carbone, Vice Mayor Blackwelder, Councilmembers Diaz, Hawthorne, and Sofer. NOES: None. ABSENT: None. ABSTAIN: None.

## 9B. Adopt the Proposed City Budget for Fiscal Year 2023-2024

REGULAR MEETING JOINT SAND CITY COUNCIL AND SUCCESSOR AGENCY OF THE REDEVELOPMENT AGENCY TUESDAY, JUNE 20, 2023 5:30 PM 1

AGENDA JOINT SAND CITY COUNCIL AND SUCCESSOR AGENCY OF THE REDEVELOPMENT AGENCY Regular Meeting - Tuesday, June 20, 2023 5:30 PM THIS MEETING WILL BE HELD VIRTUALLY AND IN PERSON, IS COMPLIANT WITH ASSEMBLY BILL (“AB”) 2449, SIGNED INTO LAW ON SEPTEMBER 13, 2022, WHICH AMENDS GOVERNMENT CODE SECTION 54953 TO PROVIDE AUTHORITY FOR PUBLIC AGENCIES TO CONTINUE TO HOLD VIRTUAL MEETINGS AND REMAIN IN COMPLIANCE WITH THE BROWN ACT (GOV. CODE §§ 54950 ET SEQ.). TO PARTICIPATE IN THE ZOOM COUNCIL MEETING LIVE: https://us02web.zoom.us/j/4614728829 Meeting ID: 461 472 8829 To participate telephonically by calling the number below: (669) 900-6833 Meeting ID: 461 472 8829# If prompted to enter a participant ID, press # TO PARTICIPATE IN PERSON: City Hall Council Chambers 1 Pendergrass Way Sand City, CA How to submit written Public Comments: If any member of the public would like to provide written comments at the meeting, please do as set forth below. Written: All comments received before 8:00 am the day of the meeting will be posted on the City’s website as “Correspondence” under the relevant agenda item and provided to the City Council members at the meeting. Please email your comments to: cityclerk@sandcityca.org. Read Aloud During the Meeting: Email your comments to cityclerk@sandcityca.org. When the Mayor opens the public comment period for the relevant agenda item; please indicate the agenda item and title in your email subject line. If you want your comment read aloud, prominently write “Read Aloud at Meeting” at the top of the email and your comments will be read into the record (not to exceed three minutes at staff’s cadence). DURING EACH MEETING, members of the public may participate by calling and speaking live during the designated time(s), subject to time limits that may be imposed pursuant to the Brown Act at the number provided above. Please use the "raise your hand" option on Zoom, 2

1. ROLL CALL 2. PLEDGE OF ALLEGIANCE 3. INVOCATION 4. ANNOUNCEMENT BY MAYOR, CITY ATTORNEY, AND CITY MANAGER 5. COMMUNICATIONS Members of the public may address the City Council/Successor Agency on matters not appearing on the City Council/Successor Agency Agenda at this time for up to three minutes. In order that the City Clerk may later identify the speaker in the minutes of the meeting, it is helpful if speakers state their names. Public comments regarding items on the scheduled agenda will be heard at the time the item is being considered by the City Council/Successor Agency. The City Council Chambers podium is equipped with a portable microphone for anyone unable to come to the podium. If you need assistance, please advise the City Clerk as to which item you would like to comment on and the microphone will be brought to you. 6. CONSENT CALENDAR The Consent Agenda consists of routine items for which City Council approval can be taken with a single motion and vote. A Council member may request that any item be placed on the Regular Agenda for separate consideration. 6A. Approve the City Council Meeting Minutes for June 6, 2023 Draft Minutes 7. CONSIDERATION OF ITEMS PULLED FROM CONSENT CALENDAR 8. PUBLIC HEARING 8A. Approve Master Conditional Use Permit CUP 23-001 to Facilitate Various Use of Commercial Space in the Existing Mixed-Use Building at 400 Ortiz Avenue This item was continued from the June 6, 2023, Regular City Council Meeting. Staff Report Resolution Findings of Approval Conditions of Approval Exhibits D-H 9. NEW BUSINESS 9A. Authorizing the City Manager to Execute an Agreement with Talking Walls for Mural Curator Services for the 2023 Mural Festival Staff Report Resolution Talking Walls Proposal and the City Clerk will call on your name. 3

Professional Service Agreement Agreement for Public Art 9B. Adopt the Proposed City Budget for Fiscal Year 2023-2024 Staff Report Resolution FY 2023-24 Proposed Budget 9C. Establish an Appropriations Limit for Fiscal year 2023-2024 Pursuant to Article XIIIB of the California Constitution Staff Report Resolution 9D. Approving the First Amendment to the City Manager Employment Agreement Between the City of Sand City and Vibeke Norgaard Staff Report Resolution Employment Agreement 9E. Authorize the City Manager to Execute a Professional Service Agreement With California Consulting Not to Exceed $55,000 to Perform Grant Related Services Staff Report Resolution Professional Services Agreement Proposal 9F. Comments by Councilmembers on Items of Interest to Sand City 10. ADJOURNMENT The current agenda is available in PDF format on our website at: www.sandcity.org If you have a request for a disability-related modification or accommodation, including auxiliary aids or services, which will allow you to participate in a Sand City public meeting, please call the City Clerk at (831) 394-3054 extension 220, or give your written request to the City Clerk at 1 Pendergrass Way, Sand City, CA 93955 at least 48 hours prior to the scheduled meeting to allow the City Clerk time to arrange for the requested modification or accommodation. 4

REGULAR MEETING JOINT SAND CITY COUNCIL AND SUCCESSOR AGENCY OF THE REDEVELOPMENT AGENCY TUESDAY, JUNE 20, 2023 5:30 PM 1

AGENDA JOINT SAND CITY COUNCIL AND SUCCESSOR AGENCY OF THE REDEVELOPMENT AGENCY Regular Meeting - Tuesday, June 20, 2023 5:30 PM THIS MEETING WILL BE HELD VIRTUALLY AND IN PERSON, IS COMPLIANT WITH ASSEMBLY BILL (“AB”) 2449, SIGNED INTO LAW ON SEPTEMBER 13, 2022, WHICH AMENDS GOVERNMENT CODE SECTION 54953 TO PROVIDE AUTHORITY FOR PUBLIC AGENCIES TO CONTINUE TO HOLD VIRTUAL MEETINGS AND REMAIN IN COMPLIANCE WITH THE BROWN ACT (GOV. CODE §§ 54950 ET SEQ.). TO PARTICIPATE IN THE ZOOM COUNCIL MEETING LIVE: https://us02web.zoom.us/j/4614728829 Meeting ID: 461 472 8829 To participate telephonically by calling the number below: (669) 900-6833 Meeting ID: 461 472 8829# If prompted to enter a participant ID, press # TO PARTICIPATE IN PERSON: City Hall Council Chambers 1 Pendergrass Way Sand City, CA How to submit written Public Comments: If any member of the public would like to provide written comments at the meeting, please do as set forth below. Written: All comments received before 8:00 am the day of the meeting will be posted on the City’s website as “Correspondence” under the relevant agenda item and provided to the City Council members at the meeting. Please email your comments to: cityclerk@sandcityca.org. Read Aloud During the Meeting: Email your comments to cityclerk@sandcityca.org. When the Mayor opens the public comment period for the relevant agenda item; please indicate the agenda item and title in your email subject line. If you want your comment read aloud, prominently write “Read Aloud at Meeting” at the top of the email and your comments will be read into the record (not to exceed three minutes at staff’s cadence). DURING EACH MEETING, members of the public may participate by calling and speaking live during the designated time(s), subject to time limits that may be imposed pursuant to the Brown Act at the number provided above. Please use the "raise your hand" option on Zoom, 2

1. ROLL CALL 2. PLEDGE OF ALLEGIANCE 3. INVOCATION 4. ANNOUNCEMENT BY MAYOR, CITY ATTORNEY, AND CITY MANAGER 5. COMMUNICATIONS Members of the public may address the City Council/Successor Agency on matters not appearing on the City Council/Successor Agency Agenda at this time for up to three minutes. In order that the City Clerk may later identify the speaker in the minutes of the meeting, it is helpful if speakers state their names. Public comments regarding items on the scheduled agenda will be heard at the time the item is being considered by the City Council/Successor Agency. The City Council Chambers podium is equipped with a portable microphone for anyone unable to come to the podium. If you need assistance, please advise the City Clerk as to which item you would like to comment on and the microphone will be brought to you. 6. CONSENT CALENDAR The Consent Agenda consists of routine items for which City Council approval can be taken with a single motion and vote. A Council member may request that any item be placed on the Regular Agenda for separate consideration. 6A. Approve the City Council Meeting Minutes for June 6, 2023 Draft Minutes 7. CONSIDERATION OF ITEMS PULLED FROM CONSENT CALENDAR 8. PUBLIC HEARING 8A. Approve Master Conditional Use Permit CUP 23-001 to Facilitate Various Use of Commercial Space in the Existing Mixed-Use Building at 400 Ortiz Avenue This item was continued from the June 6, 2023, Regular City Council Meeting. Staff Report Resolution Findings of Approval Conditions of Approval Exhibits D-H 9. NEW BUSINESS 9A. Authorizing the City Manager to Execute an Agreement with Talking Walls for Mural Curator Services for the 2023 Mural Festival Staff Report Resolution Talking Walls Proposal and the City Clerk will call on your name. 3

Professional Service Agreement Agreement for Public Art 9B. Adopt the Proposed City Budget for Fiscal Year 2023-2024 Staff Report Resolution FY 2023-24 Proposed Budget 9C. Establish an Appropriations Limit for Fiscal year 2023-2024 Pursuant to Article XIIIB of the California Constitution Staff Report Resolution 9D. Approving the First Amendment to the City Manager Employment Agreement Between the City of Sand City and Vibeke Norgaard Staff Report Resolution Employment Agreement 9E. Authorize the City Manager to Execute a Professional Service Agreement With California Consulting Not to Exceed $55,000 to Perform Grant Related Services Staff Report Resolution Professional Services Agreement Proposal 9D. Comments by Councilmembers on Items of Interest to Sand City 10. ADJOURNMENT The current agenda is available in PDF format on our website at: www.sandcity.org If you have a request for a disability-related modification or accommodation, including auxiliary aids or services, which will allow you to participate in a Sand City public meeting, please call the City Clerk at (831) 394-3054 extension 220, or give your written request to the City Clerk at 1 Pendergrass Way, Sand City, CA 93955 at least 48 hours prior to the scheduled meeting to allow the City Clerk time to arrange for the requested modification or accommodation. 4

AGENDA ITEM 6A. Approve the City Council Meeting Minutes for June 6, 2023 5

1 MINUTES JOINT SAND CITY COUNCIL AND SUCCESSOR AGENCY OF THE REDEVELOPMENT AGENCY Regular Meeting - Tuesday, June 6, 2023, 5:30 PM As allowed by Assembly Bill AB2449, this meeting was conducted in person and by teleconference Mayor Carbone called the meeting to order at 5:30pm. 1. ROLL CALL Present: Mayor Carbone Vice Mayor Blackwelder Councilmember Diaz Councilmember Hawthorne, participated in the meeting, via teleconference, pursuant to the California Brown Act rules for “Just Cause” attendance, due to illness. Councilmember Sofer Staff: City Manager Vibeke Norgaard Sergeant Dan Charlton Interim City Attorney Adam Lindgren City Clerk Kerry Lindstrom Public Works Manager Mark Parker 2. PLEDGE OF ALLEGIANCE Sergeant Dan Charlton led the pledge of allegiance. 3. INVOCATION Reverend Hellam led the invocation. 4. ANNOUNCEMENT BY MAYOR, CITY ATTORNEY, AND CITY MANAGER Mayor Carbone announced she is organizing a volunteer clean up for the community garden. Mayor Carbone stated the lunch on June 2, 2023, celebrating Public Works Week, was well attended. Upcoming events, Chief Ferrante’s retirement lunch on June 14, 2023, and Supervisor Wendy Root Askew will have a town hall meeting in Sand City Council Chamber on June 19, 2023 at 5:30pm. Councilmember Hawthorne announced his participation in the meeting pursuant to the California Brown Act rules for “Just Cause” due to illness. City Manager Vibeke Norgaard announced West Bay Platform Project is on hold due to the discovery of 2 snowy plover nests. Construction will continue in September and MPE has agreed to lock in their rate. Construction will start on Calabrese Park and completion is expected in August. Granite Rock will increase sweeping, cleaning in an effort to decrease the amount of debris carried out onto California Avenue. The budget will be brought to council on June 20, 2023. Jennifer Pope the new Finance Manage will start on June 19, 2023 and David Honda the new Chief of Police will start on July 1, 2023. League of 6

2 California Cities Conference will be on September 20-22, 2023. South of Tioga, PG & E has started their pole work and started work on the parklets on Morgan’s Way. The Arts Committee chose Talking Walls as the curator for the 2023 we. Mural Festival and their contract will be brought to council on June 20, 2023. 5. COMMUNICATIONS Public comment received from Brian Clark. 6. CONSENT CALENDAR Upon motion by Councilmember Sofer and seconded by Councilmember Hawthorne, Council voted to approve the Consent Calendar. Motion carried 5-0, by the following vote: AYES: Mayor Carbone, Vice Mayor Blackwelder, Councilmembers Diaz, Hawthorne, and Sofer. NOES: None. ABSENT: None. ABSTAIN: None. 6A. Approved the City Council Special Meeting Minutes for May 30, 2023. 6B. Approved the Cancellation of the July 4, 2023, Regular City Council Meeting. 6C. Approved Resolution SC 23-24 authorizing an amendment to the Memorandum of Understanding between ReGen Monterey and its member agencies regarding assistance with compliance with California Senate Bill 1383. 6D. Approved Resolution SC 23-25 authorizing the Monterey County Health Department to apply for state block grant funding on behalf of Sand City towards the Countywide Used Oil Recycling Program. 7. CONSIDERATION OF ITEMS PULLED FROM CONSENT CALENDAR No items were pulled. 8. PRESENTATION 8A. Council received West Bay Lift Station presentation from Tom Kouretas, Monterey One Water. Public Comment received from Brian Clark. 8B. Council received Central Coast Community Energy Annual Update by SophiaSchwirzke. Public comment received from Brian Clark. 9. PUBLIC HEARING 7

3 9A. Approve Conditional Use Permit CUP 23-001 to Facilitate Various Use of Commercial Space in the Existing Mix-Use Building 400 Ortiz Avenue This item was continued to the June 20, 2023, Regular City Council Meeting. Upon motion by Councilmember Sofer and seconded by Councilmember Hawthorne, Council voted to Continue Item 9A to the June 20, 2023, Regular City Council Meeting. Motion carried 5-0, by the following vote: AYES: Mayor Carbone, Vice Mayor Blackwelder, Councilmembers Diaz, Hawthorne, and Sofer. NOES: None. ABSENT: None. ABSTAIN: None. 10. NEW BUSINESS 10A. Approve a Resolution Adopting a Salary Schedule Amendment for Police Officers for the Fiscal Year 2022-2024 City Manager Vibeke Norgaard presented Item 10A to Council noting the Police Chief salary has been removed from the salary schedule and has become a Council negotiated position. Public comment received from Brian Clark. Upon motion by Vice Mayor Blackwelder and seconded by Councilmember Sofer, Council voted to approve Resolution SC 23-26 adopting a salary schedule amendment for Police Officers for the Fiscal Year 2022-2024. Motion carried 5-0, by the following vote: AYES: Mayor Carbone, Vice Mayor Blackwelder, Councilmembers Diaz, Hawthorne, and Sofer. NOES: None. ABSENT: None. ABSTAIN: None. 10B. Approve a Resolution Approving a Service Agreement with EMC Planning Group, INC. for Professional Planning Services Within Fiscal Year 2023-2024 at a Cost Not to Exceed $197,000 City Manager Vibeke Norgaard, presented item 10B, EMC was contracted with the City after the retirement of the City Planner. EMC has broad expert knowledge in planning services and the City Manager proposed not filling the City Planner position for the Fiscal Year 2023-2024 and continuing services with 8

4 EMC. Mayor Carbone noted a type on page 80 of the agenda packet, the payment amount stated $238,000 and should be corrected to $197,000. Public comment received from Brian Clark. Upon motion by Councilmember Hawthorne and seconded by Councilmember Sofer, Council voted to approve Resolution SC 23-27 approving service agreement with EMC Planning Group, INC. for Professional Planning Services within Fiscal Year 2023-2024 at a cost not to exceed $197,000. Motion carried 5-0, by the following vote: AYES: Mayor Carbone, Vice Mayor Blackwelder, Councilmembers Diaz, Hawthorne, and Sofer. NOES: None. ABSENT: None. ABSTAIN: None. 10C. Approve a Resolution Authorizing the Renewal of a Maintenance Services Agreement with Hope Rehabilitation Services for Fiscal Year 2023-2024 Public Works Manager Mark Parker presented item 10C, The City entered into agreement with Hope Services in 1998. The group from Hope Services assists the Public Works Department with litter and other tasks 5 days a week. The renewal increase is due to the minimum wage increase. Councilmember Sofer stated it is fun to have the Hope Services group in the City, they are always courteous and excited, and they do a really good job. Upon motion by Councilmember Sofer and seconded by Councilmember Hawthorne, Council voted to approve Resolution SC 23-28 authorizing the renewal of a maintenance services agreement with Hope Rehabilitation Services for Fiscal Year 2023-2024. Motion carried 5-0, by the following vote: AYES: Mayor Carbone, Vice Mayor Blackwelder, Councilmembers Diaz, Hawthorne, and Sofer. NOES: None. ABSENT: None. ABSTAIN: None. 10D. Comments by Councilmembers on Items of Interest to Sand City 9

5 Mayor Carbone and Councilmember Sofer attending the Monterey Business Council lunch on June 16, 2023, guest speaker Sheriff-Coroner Tina Nieto 11. CLOSED SESSION 11A. City Council/Successor Agency Board to adjourn to Closed Session Regarding: Conference with Labor Negotiator Pursuant to Government Code §54957.6. Negotiator: Adam Lindgren, Interim City Attorney. Employee: City Manager 11B. Re-adjourn to Open Session to report any action taken at the conclusion of Closed Session in accordance with California Government Code §54957.1. Interim City Attorney Adam Lindgren reported Council received updates from Labor Negotiator and provided direction. 12. ADJOURNMENT Council adjourned the meeting at approximately 7:45pm. ___________________________ Kerry Lindstrom, City Clerk 10

AGENDA ITEM 8A. Approve Master Conditional Use Permit CUP 23-001 to Facilitate Various Use of Commercial Space in the Existing Mixed- Use Building at 400 Ortiz Avenue This item was continued from the June 6, 2023, Regular City Council Meeting. 11

City of Sand City STAFF REPORT TO: Honorable Mayor and City Council FROM: Zane Mortensen, Interim City Planner SUBJECT: Application for a Master Conditional Use Permit (CUP23-001) for Richard Garza for the Catalina Lofts DATE: June 13, 2023 _______________________________________________________________________ BACKGROUND/DISCUSSION: An application for a Master Conditional Use Permit (CUP23-001) was submitted by Richard Garza (the “Applicant”) to facilitate the use of four commercial spaces, averaging 553 square-feet each, in the existing mixed-use building at 400-Ortiz Avenue (APN 011- 231-001, 011-231-002, 011-231-016, 011-231-017) under the pseudo name “Catalina Lofts” (the “Applicant Property”). Intended use type for each space (the “Applicant Use”) include: light manufacturing, storage and/or warehouse, office, retail, wholesale, or service commercial. The Applicant Property has a non-coastal Planned-Mixed Use (MU- P) zoning designation of Mixed-Use (MU-D). A conditional use permit is required for all new commercial uses within the MUP-zoning district. The request by the applicant is for a Master Use Permit, to include four commercial spaces, with a variety of allowed uses, as stated above. Site Description: The subject property is 100-feet wide along the Ortiz Avenue (north) and Elder Avenue (south) frontages and 150-feet wide along the Catalina Street (west) frontage, for a total land area of 15,000 square-feet. The existing structure on the property consists of a mixed-use project of residential dwellings and commercial units within a single three-story structure. Abutting properties are the Hawthorne mixed-use development project along Ortiz Avenue, and a small 2,700 square foot commercial building along Elder Avenue. Curb, gutter, sidewalk, and driveway apron exist in good condition along the property's street frontages. Utilities (gas, elect., water, sewer, etc.) are available to the property and are in good condition. There is a 24-foot wide 2-way gated access from Catalina Street to the interior courtyard parking area, where a total of seventeen (17) on-site parking spaces are provided (including 1 handicap stall). Each commercial unit has a corresponding entry located on either Ortiz Avenue or Elder Avenue. Project Description: 12

The proposed project would facilitate use of four (4) future commercial spaces, totaling 2,212 square-feet, in the existing mixed-use building to account for a range of intended uses for each space. These intended uses included:  Light manufacturing;  Storage and/or warehouse;  Office;  Retail;  Wholesale; and  Service commercial Land Use: The Subject Property has a Zoning Map designation of “Planned Mixed Use” and a General Plan designation of Mixed-Use Development (MU-D). Section 18.13.040 of the City’s Zoning Ordinance lists ‘Live/work units’ as an allowable use subject to the issuance of a conditional use permit, pending review of potential impacts upon a mixed residential/commercial neighborhood. The Applicant’s Use satisfies this zoning definition. Therefore, staff finds the Applicant’s Use consistent and compatible with the intent of the General Plan and Zoning Code. Hours of Operation: Intended hours of operation at the Subject Property will be 7:00 a.m. to 6:00p.m. Monday through Saturday. Staff typically recommends, as a permit condition, commercial activities between 7:00 a.m. to 6:00 p.m. Monday through Friday and 10:00 a.m. to 5:00 p.m. on Saturdays to minimize impacts upon residential dwellings. Staff recommends the permit specify these standard hours for consistency with other use permit requirements. Any product shipments to/from the site with loading/unloading activities should also only occur within those times. On-site office and janitorial activities beyond permit specified hours of operation are acceptable, provided such activities do not pose a nuisance to surrounding properties. Parking: The property provides a total of seventeen (17) parking stalls (including one (1) handicapped space). All of the parking is accessed from the gated 24-foot wide 2- way drive entrance fronting Catalina Street that leads to the centralized parking courtyard surrounded by the building. Occupants for the commercial units are unknown at this time. The commercial units have roll-up doors and open floors that can accommodate manufacturing, showrooms, or service commercial contractors; which the City applies a 1/700 parking ratio. The cumulative area of these four (4) units is 2,212 square-feet, which requires four spaces (rounded up from 3.16 spaces) for a cumulative total of three (3) parking spaces to accommodate zoning requirements of the commercial units. One (1) parking space has been designated for each of the four (4) commercial units in compliance with the zoning requirement for all indicated intended use types. Loading/Unloading: On-site loading/unloading activities for the commercial units can be accommodated for small trucks from those parking spaces in front of the 13

commercial unit roll-up doors in the parking courtyard. However, larger truck deliveries cannot access the parking courtyard. The site design preserves and enhances curbside parking opportunities along the Ortiz Avenue and Elder Avenue frontages, which can accommodate loading/unloading. Each of the identified commercial units have very small floor areas, so large deliveries would be unlikely. Trash: Two 16' x 6' (96 square feet) trash enclosures are provided at the far easterly end of the parking courtyard; each with a 5-foot-wide service gate for dumpster access and a 3-foot-wide access door. These enclosures are sufficient to accommodate dumpsters and bins of various sizes. These enclosures will consist of western red cedar (or equivalent) horizontal wood planks, the same material used upon segments of the building sustaining design consistency throughout the project. Due to the limited 10-foot-high clearance for the parking court entry, a standard garbage truck will not be able to access the trash enclosures. Therefore, trash containers will have to be physically moved on collection days to the curb by building occupants/manager for service. Otherwise, the waste hauler driver will have to move the bins out or use a smaller pick-up sized truck with a hydraulic lift. It should be the property owner’s responsibility to make arrangements with the City's waste hauler. Relocation of the trash enclosures for the project would require a significant site redesign that is not warranted. Hazardous Materials: According to the Monterey County Hazardous Material Questionnaire completed and submitted by the Applicant (see Exhibit H), no hazardous materials or products will be stored or used on-site. This Questionnaire form was provided to the Monterey County Health Department by City staff in the processing of this application. Signs: The applicant indicated that future commercial tenants will have signs on the building. However, no information pertaining to sign designs or placement were identified. A random application of individual signs of various sizes and designs would detract from and contrast with the building's architecture. The project must submit a Uniform Sign Program, outlining the appropriate sizes, placement, and materials for the consistent application of tenant signs on the property. A uniform sign program would ensure sign size and placement are consistent, thus integrating signs into the building's architecture instead of contrasting it. Review and approval of commercial signs is the purview of the Design Review Committee, and must be completed prior to the placement of any signs on the property. The Design Review Committee will provide review and comment regarding the proposed signage dimension, color, content, and placement for City Staff consideration and approval. Water: Staff at the Monterey Peninsula Water Management District determined that the project requires a total allocation of water 0.245 acre-feet for the commercial units. Even if the individual commercial units were combined into fewer units, the overall commercial floor area remains constant and therefore the water estimate would remain unchanged. The subject property has an existing on-site water credit of 1.426 acre-feet, of which 0.245 14

acre-feet will be allocated to facilitate this project. No new water allocation of water is required. Consistency of Determination: To ensure consistency with the approved use type outlined in the Master Conditional Use Permit (CUP23-001), each commercial space is required to obtain a business license indicating the intended use type prior to the start of operation. Approval of each individual business license is dependent on conformance with the permitted use types indicated in the Master Use Permit (CUP23-001). This is to ensure the proposed use type will not cause excessive noise, water use, waste, and/or does not exceed the number of allocated parking spaces designated for each commercial space. Amendment of Master Use Permit: Any changes to the proposed use type as described in the Master Conditional Use Permit CUP23-001 would require the submission and approval of a Planning Permit Amendment Application. The application would require a detailed description of intended amendment to the permit use type, as well as the following additional submission information;  Letter of intent describing the details of the proposed amendment;  Floor plan illustrating any before and after changes;  Public notifications to property owners within a 300-foot radius of the project site; and  All applicable fees and applicable reimbursement costs to the City of Sand City at the time of the Planning Permit Amendment Application submission. CEQA: The intended use on a development property qualifies for a categorical exemption, under California Environmental Quality Act (CEQA) guidelines section 15301, Existing Facilities, consisting of the operation of existing public or private structures or facilities involving negligible expansion of existing or former use. RECOMMENDATION: Staff recommends APPROVAL of the Master Conditional Use Permit CUP23-001 for the Applicant. ATTACHMENTS: 1. Exhibit A: Resolution 2. Exhibit B: Findings of Approval 3. Exhibit C: Conditions of Approval 4. Exhibit D: Location Map 5. Exhibit E: Arial Map 6. Exhibit F: Floor Plan 7. Exhibit G: Site Photos 8. Exhibit H: Hazardous Material Questionnaire 15

EXHIBIT A CITY OF SAND CITY RESOLUTION SC 23-__, 2023 RESOLUTION OF THE CITY COUNCIL OF SAND CITY TO APPROVE MASTER CONDITIONAL USE PERMIT CUP23-001 TO FACILITATE VAR