AGENDA ITEM
TO: HONORABLE MAYOR
AND MEMBERS OF THE CITY COUNCIL
FROM: CARLO TOMAINO
CITY MANAGER
BY: COLLEEN T. DOAN
COMMUNITY DEVELOPMENT DIRECTOR
BAILEY A. SULLIVAN
CONTRACT PLANNER
SUBJECT:
title
2023 ANNUAL REVIEW OF PROPERTIES WITH A CONDITIONAL USE PERMIT
summary
Summary:
The Community Development Department conducts an annual review of properties with active Conditional Use Permits (CUPs). The CUP Annual Review is a tool to confirm compliance with CUP conditions of approval by performing site inspections to verify compliance, observe site maintenance, and oversee operations. Staff will present the findings of the 2023 CUP Annual Review.
Strategic Plan Goal(s):
Goal No. 5 High Functioning Government: Strengthen internal communication, recruitment, retention, systems, and processes to increase the effectiveness and efficiency of City services.
recommendation
Recommendation:
Provide direction as deemed appropriate or receive and file.
body
Fiscal Impact:
The City’s cost to conduct annual inspections primarily includes staff and limited consultant time.
Background:
The City Council approved one new CUP in 2022, which was added to the 2023 CUP Annual Review inspection list for the following use:
• CUP 22-01 - Three Chiefs Brewing, 2698 Saint Louis Avenue, consists of a warehouse of approximately 2,300 square feet, of which 1,400 square feet is the brewery/manufacturing area and approximately 100 square feet is designated as a tasting area. Three Chiefs Brewing operates as a Contract Brewer in which most of the manufacturing is outsourced from other vendors off-site.
City Council approved one new CUP in 2023:
• CUP 23-01 - The Long Beach Firefighters Association, 2201 Cherry Avenue, allows limited large events and use of the adjacent lower City parking lot along with a designated portion of the City Library and Community Center parking lot. Use of the adjacent upper City parking lot is prohibited pursuant to an executed License Agreement with the City and the CUP conditions of approval.
City Council approved one CUP amendment in 2023:
• CUP 00-05 - Signal Hill Self Storage, 2901 East Pacific Coast Highway, was amended to address operational and maintenance concerns.
One CUP has been removed from the 2023 inspection list:
• CUP 95-03 - Fish-O-Licious, 2594 Cherry Avenue, consisted of a restaurant with alcoholic beverage sales for on-site consumption.
o Fish-O-Licious ceased operations at this location. The new tenant is Panda Express, which will not be selling alcoholic beverages and therefore not subject to a CUP.
On December 19, 2023, staff presented the CUP Annual Report to the Planning Commission. At the conclusion of the presentation, the Planning Commission, by voice vote, unanimously voted to receive and file the report and provided the following direction on the following CUPs for City Council consideration:
• CUP 00-05 Signal Hill Self Storage - The Planning Commission’s recommendation is to establish a three-month timeline for Signal Hill Self Storage to provide and maintain full compliance with all conditions of approval and corrective actions noted in the two observation letters from November and December 2023; and that if the self-storage facility is not in full compliance within this timeframe, the City should consider issuing administrative citations to the business pursuant to the newly adopted Ordinance. Commissioners also recommended Signal Hill Self Storage propose proactive outreach measures, such as meeting with the neighboring residents, or their homeowners’ association, to address issues of concern, provide operational updates, and provide their contact information.
Analysis:
Pursuant to Signal Hill Municipal Code Section 20.64.120, the City Council has the authority to revoke any CUP for noncompliance with the conditions set forth in the approved permit. In addition, Signal Hill Municipal Code Section 8.13.030 authorizes the City to issue administrative citations and fine business owners for noncompliance with the City’s CUP conditions of approval.
Staff inspected all 55 active CUP sites and found all but one to be in substantial compliance with the City’s conditions of approval. Although staff is not recommending revocations at this time, a summary of ongoing concerns for oversight of operations and maintenance for the Signal Hill Self Storage facility at 2901 East Pacific Coast Highway is provided below. The attached CUP inspection report describes the status of each corrective action required, observations by staff during the 2023 annual inspection, and includes notes for inspections of all 55 properties with an active CUP (Attachment A).
Inspection Results
The annual review includes a total of 55 CUPs as follows:
The results of the site inspections are stratified into two categories:
1. Compliance with conditions of approval; and
2. Overall property maintenance and operations including, but not limited to:
• landscaping
• building exterior paint, stucco, or siding
• parking
• signage
• graffiti
• trash
• cleanliness
• noise
• operational oversight
• other nuisances
Except for the Signal Hill Self-Storage facility on Pacific Coast Highway, which has a newly amended CUP with new conditions added in September 2023, there were no significant violations of the conditions of approval or property maintenance requirements, as noted in the inspection report matrix. The following updates are provided for City Council information on four specific CUPs:
Long Beach Firefighters Association Club - 2201 Cherry Avenue (CUP 23-01)
Since the July 2023 approval of CUP 23-01, staff continued to monitor and inspect the Long Beach Firefighters Association event activities (both large and small). The Association provided notice for five smaller events (less than 55 attendees), and two larger events (55 attendees or more). During two of the smaller events, staff observed, and a resident reported, several vehicles parked in unpermitted spaces in both the lower and upper City lots. The two larger events complied with the City Parking License Agreement and CUP conditions of approval. Staff continues to remind the LBFFA to verbally inform attendees of all events about where they are allowed to park and to inform them they could be cited if they choose to park in the adjacent City lots. No further amendments to the conditions of approval or the executed License Agreement are recommended at this time. Staff notes the CUP conditions of approval require LBFFA to replenish the Developer Deposit account as needed to keep a positive balance from which to draw from during staff review and oversight of larger events. The account is running a deficit and must be replenished prior to any further larger event reviews. Staff notified the LBFFA of this condition, the state of the deposit account, and staff have requested a replenishment of funds, in writing.
Signal Hill Self-Storage - 2901 E PCH (CUP 00-05)
On August 15, 2023, the Planning Commission considered an amendment request from Signal Hill Self Storage to modify its existing Conditional Use Permit. The amendment consisted of modifying 12 existing conditions of approval and adding 29 new conditions of approval. The City added new conditions to address operational concerns, including but not limited to:
• Unmonitored facility access
• On-street parking
• Loading and unloading violations
• Outdoor storage
• Overall property maintenance
• Vehicle storage
At the conclusion of the public hearing, the Planning Commission recommended the City Council approval of the amended conditions.
On September 26, 2023, the City Council considered the Planning Commission’s recommendation, comments from Signal Hill Self Storage and public testimony. At the conclusion of the public hearing, the City Council modified the conditions of approval to allow the business operators to maintain pin code access from the rear of the property adjacent to Ellis Avenue. The City Council also allowed the new secondary, rear office on Ellis Avenue to remain (Attachment B).
Since obtaining approval, Signal Hill Self Storage has been inspected twice as part of the CUP Annual Review process. During the first inspection, on November 20, 2023, several conditions of approval relating to the operation of the business were observed to be noncompliant. In addition, staff observed various property maintenance issues that required corrective actions. Staff provided a letter to Signal Hill Self Storage representatives detailing observations and the respective corrective actions required (Attachment C). Corrective actions included:
• Property maintenance - overgrown vegetation, trash, debris, and graffiti
• Storage - outdoor storage, vehicle storage in the parking garage
• Restroom with shower facilities - not yet removed
• Submittal of supplemental documentation relating to business operations
During the second inspection, on December 5, 2023, staff observed that none of the corrective actions previously noted had been completed. A second observation letter was prepared and provided to Signal Hill Self Storage detailing the continued observations and its respective corrective actions (Attachment D).
Staff informed the operators of the facility that they must provide the requested documentation by December 8, 2023, and begin to address all corrections documented in both observation letters. Requested documents were not provided by December 8, 2023, and staff informed the Planning Commission of items still pending.
On January 4, 2024, staff met with Signal Hill Self Storage to review the observation letters and address compliance of the outstanding items. During the meeting, staff answered questions clarifying the requirements of the observation letter and conditions of approval. Staff also discussed the possible outcomes if the conditions of approval and requirements noted in the observation letters were not complied with, including issuance of administrative citations and fines. Staff set a deadline of the end of business day on Wednesday January 10, 2024, for submittal of responses to all corrective actions.
On January 10, 2024, Signal Hill Self Storage submitted copies of requested information along with written responses to the observation letters (Attachment E). While the business complied with some of the items and conditions, Signal Hill Self Storage Facility is requesting additional time to comply with the following conditions:
• Submittal of facility walk through logs
• Removal of vehicles stored in required parking spaces
• Removal of outdoor storage (boat)
• Removal of the shower
Although the Planning Commission recommendation was to allow Signal Hill Self Storage no more than three months to comply with all conditions of approval and all corrective actions noted in the observation letters, the business operators requested a modification to the condition regarding the frequency of staff site walk throughs. The request is to decrease the frequency from what was initially proposed by the business operators of once every hour to once every three hours, or up to twice per day. Staff informed the self-storage owners that any modification of existing conditions of approval would require an additional public hearing.
Since the September CUP amendment and CUP Annual Review presentation to Planning Commission, staff received approximately 16 additional reports of concern, for a total of 38, from two residents of the surrounding neighborhood. Reported issues of concern include:
• Unauthorized access to the facility from Ellis Avenue
• Parking violations on Ellis Avenue
• Illicit activities in and around the Ellis Avenue side of the self-storage facility
• Police response protocol
• Operation of the facility beyond the hours stipulated by the CUP
• Facility left unsecured during non-operating hours (rear door unlocked and open)
Responses to all of the reports of concern have been provided by the operators of Signal Hill Self Storage LP (Attachment F). As noted in the responses, there are differing views as to whether all resident reports are accurate; however, staff has observed that the self-storage operators have not been as rigorous in their record keeping; nor kept contact with persons entering the facility as recommended; nor kept up with property maintenance as required. While conditions overall have improved, there is a need for additional oversight and follow-up with persons entering the facility from the Ellis Avenue pin code access door. In addition, during the most recent inspection, the facility had no employees posted at the rear office for the entire inspection time frame (approximately 30 minutes).
Staff will continue to work with the operators to achieve compliance with the conditions of approval. If compliance is not reached within a time frame determined by the City Council or if the business operations create a public nuisance, the City may exercise its authority to issue citations in accordance with the newly adopted Ordinance for each noncompliant condition of approval. The Conditional Use Permit may also be scheduled for a public hearing to reconsider further amendments or revocation.
Staff recommends all compliance items be achieved within three months of the City Council CUP annual review held on January 23, 2024 meeting. Compliance would be required by April 22, 2024.
Ten Mile Brewing Company - 1136 East Willow Street (CUP 16-02)
The City inspected Ten Mile Brewing Company and found the business to be in substantial compliance with all property maintenance requirements; however, the handicap parking stalls need to be restriped.
In response to COVID, the City allowed temporary outdoor dining and business activities and the County of Los Angeles Department of Health initiated a temporary outdoor dining program. This program is reported to have been terminated on January 1, 2024. The Los Angeles County Health Department is the City’s Health Department, and the City therefore follows County Health regulations. The County is in the process of developing a Permanent Outdoor Dining Program. The City will monitor progress by the County on this item.
Ten Mile expressed a desire to permanently extend the outdoor customer seating established under COVID allowances. In addition, the brewery would like to use the previously approved food truck parking space as an extended outdoor seating area.
In 2024, staff will work with the applicant on a CUP amendment to address these requests, continue to monitor progress by the County on their permanent outdoor dining program, and will bring a CUP amendment to the Planning Commission and the City Council.
Signal Hill Petroleum (SHP) Drill Sites - (CUP 97-03)
The City inspected all seven drill sites on December 1, 2023. Inspections have been conducted, on average, on a monthly schedule throughout the year by the City’s Oil Services Coordinator. All State, Federal, and local permits and licensing are current and compliant for the 28 reporting agencies with monitoring and oversight of operations. No reports of nuisance, noise, or odors were received from residents, and no Notices of Violation were received from any of the agencies in 2023 (Attachment G).
Landscaping, fencing, equipment, and stormwater protection measures were found to be in generally good condition with a few minor maintenance items which have been accomplished.
SHP has been consistently requesting a long-term extension of its CUP for many years, but the City was reluctant to approve a long-term extension until priority items such as the 2015 amendment to the Oil and Gas Code, long range economic development planning, and a detailed environmental analysis of the Drill Site operations, could be completed. As a result, the City issue a number of short-term extensions.
In 2021, the City Council extended the CUP for a 2-year term until July 30, 2023, and directed SHP and staff to prioritize preparation of a thorough and detailed environmental analysis for the desired long-term extension. Since that time, the following progress has been made:
Long-term Extension of the 7 Drill Sites CUP:
• Signal Hill Petroleum (SHP) requested a 20-year extension of their 7 Drill Sites CUP.
• A Request for Proposal was circulated, and the City executed a contract with their chosen environmental consultant, Catalyst Environmental Solutions (Catalyst) who has been meeting regularly with City staff and representatives from SHP to prepare the required technical reports and conduct the detailed environmental analysis.
• A project description compliant with the California Environmental Quality Act (CEQA), and all environmental technical studies have been completed and/or peer reviewed by Catalyst, and a draft Initial Study recommending a Project Environmental Impact Report (PEIR) was completed.
• A Scoping meeting for the PEIR was conducted on January 30, 2023.
• An initial timeline was prepared to complete the environmental analysis, prepare the PEIR document, and bring an amended CUP for a long-term extension to the City Council for consideration by the end of fiscal year 2023. Although the timeline was delayed by more than 6 months, progress has been steady and the Draft PEIR was prepared and is under staff review. The final draft document is anticipated to be ready for public review and comment in the first quarter of 2024. During that time, SHP also plans to offer one or more public tours of its drill sites to share operational and environmental information with interested parties or individuals.
Conclusion
The CUP annual review ensures businesses and properties continue maintenance and operations in compliance with previously approved conditions of approval. Since CUPs run with the land, annual inspections are imperative to maintain compliance with required conditions, especially if ownership or management changes. Annual inspections also provide staff with an opportunity to address issues of concern and recommend amendments or revocation of the CUPs to the Planning Commission and City Council. Staff will continue to monitor all CUP sites on an annual basis and on an as-needed basis if concerns or complaints are reported. The Planning Commission recommendation to the City Council was to establish a three-month timeline for Signal Hill Self Storage to provide and maintain full compliance with all conditions of approval and corrective actions noted in the two observation letters from November and December 2023; or issue citations for each noncompliant item, prior to consideration of revocation of the permit. Amendments to the conditions of approval of any CUP require a separate public hearing.
Reviewed for Fiscal Impact:
Sharon del Rosario
______________________
Attachments:
A. CUP Inspection Report Matrix
B. City Council Resolution No. 2023-09-6766
C. Observation Letter CUP 00-05 Inspection 11-20-23
D. Observation Letter CUP 00-05 Inspection 12-05-23
E. Signal Hill Self Storage Responses - 01-10-24
F. Resident Concerns and Applicant Responses to Concerns
G. SHP Drill Sites CUP Regulatory Agencies List