HomeMy WebLinkAbout1999-10-12 - AGENDA REPORTS - FEE SUBSIDY FOR SIGNS (2)AGENDA REPORT
City Manager Approval
Item to be presented by-jConal McNamara
UNFINISHED BUSINESS
DATE: October 12, 1999
SUBJECT: AUTHORIZATION OF FEE SUBSIDY FOR ADMINISTRATIVE
VARIANCE FOR BUSINESSES AND PROPERTIES WITH PRE-
EXISTING, LEGAL NON -CONFORMING SIGNS THAT DO NOT
COMPLY WITH THE SIGN ORDINANCE AS WELL AS APPEALS OF
ADMINISTRATIVE VARIANCE DECISIONS
DEPARTMENT: Planning and Building Services Department
RECOMMENDED ACTION
Authorize City subsidy of Administrative Variance application fees for businesses and
properties with pre-existing, legal non -conforming signs at a rate of $415 per application.
Transfer $20,750 from City Council contingency account 1240-7401 to 3120-8110.
Authorize City subsidy of appeal fees for Administrative Variance hearing officer decisions
affecting businesses and properties with pre-existing, legal non -conforming signs at a rate of
$465 per application (50% of Planning Commission appeal fee). Transfer $9,300 from City
Council contingency account 1240-7401 to 3120-8110.
BACKGROUND
On September 14, 1999, the City Council directed staff to return to the September 28, 1999,
meeting with a mechanism to subsidize application and appeal fees associated with
Administrative Variance applications for pre-existing, legal non -conforming signs that do not
comply with the Sign Ordinance. Concerned that waiving 100% of application and appeal fees
would not provide any incentive for business and property owners to work with staff and reach
compromises for non -complying signs, the Council requested that staff return on October 12,
1999, with possible subsidy options.
ANALYSIS
Recently established by the City Council, an Administrative Variance is an application that
allows a business or property owner with a hardship situation to seek relief from the
requirements of the Sign Ordinance through a staff -level hearing officer. The cost associated
with the application is $415. Decisions of the hearing officer may be appealed to the Planning
Commission, whose decision may be appealed to the City Council. The cost of an appeal to the
Planning Commission is $930, while the cost of an appeal to the City Council is $1,150. Staff
cannot predict the number of business or property owners that will apply for the Administrative
Variance; however, a 100% subsidy does not provide any incentive to applicants to work with
staff to reach a compromise. Recognizing this situation, the following three options for
subsidies are proposed:
Option 1-100% Subsidies of Application and Anneal Fees
This option would involve the City subsidizing 100% of the Administrative Variance fee,
Planning Commission and City Council appeal fees. If taken through City Council appeal, this
option would cost the City $2,495 per applicant. Should 50 property or business owners elect
to pursue appeals through City Council, the ultimate cost to the City would be $124,750. Staff
believes that this option does not provide an incentive for business or property owners to work
with Planning staff or the Planning Commission to find potential compromises. Additionally,
this option would potentially place a large number of variance applications before the City
Council, reducing the Council's available time to address other matters.
Option 2 — 50% Subsidy of Application Fee and 25% Subsidy of Planning Commission Fee
This option would involve the City subsidizing 50% of the Administrative Variance Fee as well
as subsidizing 25% of the Planning Commission appeal fee. No subsidy of City Council appeals
would be provided. This option would potentially cost the City $440 per applicant. Staff
believes that this option provides a clear benefit to business or property owners seeking relief
from hardship situations without funding the entire application and appeal fees.
Option 3 — Full Subsidy of Application Fee and Partial Subsidy of Planning Commission Fee
This option would involve the City subsidizing 100% of the Administrative Variance fee as well
as subsidizing 50% of the Planning Commission appeal fee. No subsidy of City Council appeals
would be provided. This option would potentially cost the City $880 per applicant. Staff
believes that this option provides a clear benefit to business or property owners seeking relief
from hardship situations without funding the City Council appeal fee. As staff believes most
Administrative Variance applications will be resolved successfully at the hearing officer level,
we believe this compromise best serves the business community by waiving the initial
application fee and providing a 50% subsidy for the businesses that might disagree with the
hearing officer's decision.
For the purposes of setting aside funds, staff has estimated 50 applications for Administrative
Variances and 20 appeals to the Planning Commission and City Council. Staff is proposing that
the Council choose Option 3 and transfer $30,050 from City Council contingency account 1240-
7401 to subsidize these application fees.
ALTERNATIVE ACTION
The City Council may elect not to adopt the recommended fee subsidies.
FISCAL IMPACT
Depending on the alternative chosen, impacts could potentially be $124,750 from City Council
contingency account 1240-7401.
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