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HomeMy WebLinkAbout8.2 Ord Temp Suspend PublicArtReq for Residential ProjectsG~?? OF DpB?? 19t 82 ??ttrot??`x° AGENDA STATEMENT HERITAGE AND CULTURAL ARTS COMMISSION MEETING DATE: March 10, 2011 SUBJECT: Ordinance Temporarily Suspending Public Art Requirement for Residential Projects Prepared by John Hartnett, Heritage & Cultural Arts Manager ATTACHMENTS: 1. Ordinance of the City of Dublin Temporarily Suspending the Provisions of Sections 8.58.050.A and 8.58.050.D of the Dublin Municipal Code Relating to Public Art Contribution Requirements for Residential Projects in Excess of 20 Units (Adopted April 21, 2009) 2. Proposed Ordinance of the City of Dublin Temporarily Suspending the Provisions of Sections 8.58.050.A and 8.58.050.D of the Dublin Municipal Code Relating to Public Art Contribution Requirements for Residential Projects in Excess of 20 Units 3. Development Projects List RECOMMENDATION: 1. Receive Staff Report 2. Receive Public Comment 3. Provide Recommendation to Council Regarding Proposed Ordinance FINANCIAL STATEMENT: None BACKGROUND: At the City Council meetings of April 7 and 21, 2009, the Council introduced and adopted an ordinance "Temporarily Suspending the Public Art Requirement for Residential Projects" (Attachment 1). The ordinance was for a two-year term and will expire on May 21, 2011. The ordinance was suggested as an economic stimulus in light of the numerous impacts the economic crisis was having on Dublin, especially regarding the notable slowdown in the pace of residential development in the City. Staff concluded that it would be worthwhile to consider implementing a temporary suspension of the City's Public Art Ordinance, codified in Chapter 8.58 of the Dublin Municipal Code, as it applies to residential developments. Staff was directed by the City Council to review the state of residential development in the City towards the end of the two year suspension, and to make a recommendation regarding the possibility of extending the suspension for an additional period of time. COPIES TO: ITEM NO: 8.2 C\HERITAGE COMMISSION\AGENDA STMTS\2011\3-10-1 ]-Suspension of Public Art Requirement Item 8 2 DOC (2).DOC DESCRIPTION: Given the fact that the economic downturn is continuing to affect Dublin and a turn around in development isn't expected for the next three to four years, Staff is recommending that the current ordinance suspending the public art requirement for residential projects be extended for two more years. Proposed Ordinance Suspending Public Art Requirement For Residential Developments Chapter 8.58 of the Dublin Municipal Code (the "Public Art Ordinance") requires most commercial development projects and residential development projects with more than twenty units to either acquire and construct a piece of public art on or near the development site, or make a monetary contribution to the City in-lieu of constructing a piece of public art. Developers may choose which option they wish to take. The Public Art Ordinance contains an exemption for certain development projects, such as day care centers and low-income housing projects. Chapter 8.58 requires the developers of any project subject to its provisions to submit a Public Art Compliance Report-indicating whether the developer will acquire and install public art or make a monetary contribution to the City-to the Community Development Director at the time they apply for Site Development Review ("SDR") approval for the project. Section 8.104.070 of the Municipal Code, lists the required findings that must be made in order to approve an SDR application, and includes a requirement that the application comply with Chapter 8.58. Thus, in order to approve an SDR application by a project covered by the Public Art Ordinance, the approved SDR will contain a condition of approval requiring the developer to comply with either Section 8.58.070.D or Section 8.58.070.D, depending on which approach the developer has identified in its Public Art Compliance Report. The conditions of approval also make reference to the "trigger," the time at which the developer must take action on this requirement. Section 8.58.070.D of the Dublin Municipal Code provides that any developer electing to acquire and install public art at the development site must both secure completion of the public art project in a manner deemed satisfactory to the City Manager and execute an agreement with the City setting forth the ownership, maintenance responsibilities, and insurance coverage for the public art project prior to granting of occupancy by the City of the first structure in the project. Thus, the successful completion of a final inspection of the first structure in the project by the City Building Department is the "trigger" for developers that will acquire and install public art to satisfy their obligation under the Public Art Ordinance. Section 8.58.070.C provides that any developer electing to make a contribution in-lieu of installing public art must make the payment prior to issuance of the first building permit in the project. Thus, the issuance of the first building permit is the "trigger" for developers that will make a contribution in-lieu of installing public art to satisfy their obligation under the Public Art Ordinance. The ordinance adopted in April of 2009 was intended to ensure that the suspension of the public art requirement occurs only if, during the suspension period, a developer of a residential project reaches one of the two trigger points in the development process. (At the successful completion of a final inspection of the first structure for art providers and upon issuance of the first building permit for in-lieu fee payers.) Until that point in time, the provisions of Chapter 8.58, including the requirement to submit a Public Art Compliance Report in conjunction with site development review of the project, will still be applicable. If a developer does reach the trigger point during the effective term of the proposed ordinance, then its responsibility to comply with the Public Art Ordinance will be extinguished as to the project covered by the SDR. 2 of 3 Note that, by tying the suspension to the SDR, the City ensures that, in the case of larger projects which may be proceeding in separate phases with separate SDRs, the extinguishment of the public art requirement will apply, not to the entire project at one time, but only to the portion of the overall project that is covered by the triggering SDR. Once again, the intent of this ordinance is to encourage residential construction during the current economic downturn. Thus, the City wishes to grant a waiver of the public art requirement only to developers whose projects are actually under construction during the current economic downturn and who may be deterred from commencing constructing due to the requirements of the Public Art Ordinance. This is why the ordinance applies only if a project is at the trigger point. The City does not wish to waive the requirement for development projects that will not begin construction for many years, when the economy may in better shape than it is now. The City also wants to ensure that development projects take the necessary steps so that the developers can easily comply with the Public Art Ordinance once the provisions of the draft ordinance expire in two years. Thus, if a developer of a residential project applies for a building permit or final inspection shortly after the term of this ordinance has expired, the developer will have a completed Compliance Report, and should be prepared to comply with the requirements of Chapter 8.58 by either installing a piece of public art at the development site or making an in-lieu payment to the City. The proposed ordinance in Attachment 2 has the same scope of applicability as the suspension ordinance adopted in April of 2009. Thus, the only change that would occur if the proposed ordinance is adopted is that the suspension for covered residential projects would be effective for approximately two more years. Attachment 3 is a report that indicates the development projects that have benefitted in the past two years from the current Ordinance. Additionally, current residential projects that have been identified as having an obligation to comply with the Public Art Ordinance are included in the report. These projects, or a portion thereof, may benefit from the ordinance if it is extended for two more years, and if the developer reaches the trigger point for the project or portion thereof, during the new two-year term of the ordinance. RECOMMENDATION: It is recommended that the Heritage and Cultural Arts Commission take the following action: 1) Receive Staff report; 2) Receive public comments; and 3) Provide recommendation to Council regarding proposed ordinance. 3 of 3