Item Coversheet

Ordinances - R5  G




COMMISSION MEMORANDUM

TO:Honorable Mayor and Members of the City Commission 
FROM:Jimmy L. Morales, City Manager 
DATE:June  24, 2020
 

5:01 p.m. Second Reading Public Hearing

SUBJECT:

ADAPTIVE RE-USE AND ACCESSORY USES IN THE TATUM WATERWAY AREAS

AN ORDINANCE OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, AMENDING THE CODE OF THE CITY OF MIAMI BEACH, SUBPART B, ENTITLED "LAND DEVELOPMENT REGULATIONS," BY AMENDING CHAPTER 142 OF THE CITY CODE, ENTITLED "ZONING DISTRICTS AND REGULATIONS," ARTICLE II, ENTITLED "DISTRICT REGULATIONS," DIVISION 3, ENTITLED "RESIDENTIAL MULTIFAMILY DISTRICTS," SUBDIVISION II, ENTITLED "RM-1 RESIDENTIAL MULTIFAMILY LOW INTENSITY," SECTION 142-152, ENTITLED "MAIN PERMITTED AND PROHIBITED USES," AND SECTION 142-153, ENTITLED "CONDITIONAL USES," TO MODIFY USE REGULATIONS AND AMEND THE LIST OF CONDITIONAL USES FOR RM-1 PROPERTIES WITHIN THE NORTH SHORE NATIONAL REGISTER HISTORIC DISTRICT, TO INCLUDE ACCESSORY ALCOHOLIC BEVERAGE ESTABLISHMENTS AND HOTEL USES; BY AMENDING ARTICLE IV, ENTITLED "SUPPLEMENTARY DISTRICT REGULATIONS," DIVISION 2, ENTITLED "ACCESSORY USES," SECTION 142-902, ENTITLED "PERMITTED ACCESSORY USES," TO MODIFY THE ACCESSORY USES FOR HOTELS IN THE NORTH SHORE LOCAL HISTORIC DISTRICT AND EXPAND THE ALLOWABLE ACCESSORY USES FOR EXISTING APARTMENT BUILDINGS IN THE NORTH SHORE NATIONAL REGISTER DISTRICT TO ALLOW FOR ACCESSORY CAFÉ, OFFICE, RETAIL, PERSONAL SERVICE, AND NON-MOTORIZED WATERCRAFT RENTAL USES; AND BY AMENDING CHAPTER 130, ENTITLED "OFF-STREET PARKING," ARTICLE II, ENTITLED "DISTRICTS; REQUIREMENTS," SECTION 130-31, ENTITLED "PARKING DISTRICTS ESTABLISHED," TO PROVIDE FOR AN EXCEPTION TO OFF-STREET PARKING REQUIREMENTS FOR CERTAIN ACCESSORY AND CONDITIONAL USES ON RM-1 PROPERTIES IN THE NORTH SHORE NATIONAL REGISTER HISTORIC DISTRICT; AND PROVIDING FOR REPEALER, SEVERABILITY, CODIFICATION, AND AN EFFECTIVE DATE.


RECOMMENDATION

The administration recommends that the City Commission adopt the ordinance.

BACKGROUND/HISTORY

On April 26, 2017, at the request of Commissioner Ricky Arriola, the City Commission referred the subject item to the Land Use and Development Committee for discussion (item C4X). On May 10, 2017 the Land Use Committee deferred the item to June 14, 2017. On June 14, 2017 the Committee discussed the item and continued it to September 20, 2017.

The September 20, 2017 LUDC meeting was re-scheduled to October 11, 2017, due to Hurricane Irma. On October 11, 2017 the item was discussed and continued to a date certain of October 30, 2017. On October 30, 2017 the item was discussed and continued to a date certain of December 11, 2017.

On December 11, 2017 the Land Use and Development Committee discussed the item and continued it to a date certain of March 14, 2018. On March 14, 2018 the item was deferred to April 4, 2018. On April 4, 2018 the item was deferred to May 23, 2018. Prior to the May 23, 2018 meeting, the item was moved to the June 13, 2018 LUDC meeting, at the request of the sponsor; on June 13, 2018 the item was deferred to the July 31, 2018 LUDC meeting.

Prior to the July 31, 2018 meeting, the item was moved to the September 28, 2018 LUDC meeting, at the request of the sponsor; on September 28, 2018 the item was deferred to the October 31, 2018 LUDC meeting. On October 31, 2019, the item was deferred to the January 2019 LUDC meeting. The January 2019 LUDC meeting could not be scheduled, and the item was moved to the February 20, 2019 meeting.

On February 20, 2019, the item was discussed and continued to April 3, 2019, with direction given to staff to conduct a public workshop with property owners and nearby residents. On April 3, 2019 staff provided an update on the scheduling of the public workshop, and the item was continued to the May 22, 2019 LUDC meeting.

The public workshop to discuss the proposal for establishing adaptive re-uses within the North Shore and Tatum Waterway area took place on May 9, 2019, at the North Shore Park Youth Center; approximately 20 people, including area residents, property owners and affected stakeholders, attended. The following is a general summary of the items discussed at the workshop, including feedback from the participants:

• The types of uses that would be most appropriate for the low scale, residential character of the area was discussed at length. There was general support for introducing low impact, context sensitive neighborhood type uses within the area.

• Appropriate waterfront uses along Tatum Waterway were discussed. There was general consensus on the advantages of being able to access neighborhood type uses from small watercraft, as well as the ability to rent non-motorized watercraft.

• Parking was discussed and the general consensus was that these types of adaptive, neighborhood uses should not be the destination type that requires more parking. Instead they should consist of neighbor specific uses that serve the community and are within walking distance of residents.

• There was a discussion regarding a sufficient market to support these uses and the potential to increase taxes due to more uses being allowed. Since these types of neighborhood uses are a new concept, a proposal for temporary, or ‘pop-up’ uses was discussed, on GU sites owned by the City.

• Property owners suggested that this concept could assist in generating additional funds to offset increases in the cost of flood insurance and that commercial uses could allow them to address flood mitigation in different ways that would not be possible with residential uses.

• Biscayne Beach was discussed and it was mentioned that it is even further from the nearest commercial use and should be considered for commercial uses as well.

• The proposal for a 25% limit of the floor area for commercial uses may be insufficient for smaller buildings, such as 4-plexes.

• There was support for café uses along the Tatum Waterway with limited hours.

• Some property owners and residents expressed a desire to allow bed & breakfast, limited hotel or short term rentals, especially along the Tatum Waterway, in order to be able to generate additional funds to restore buildings.

• Concern was expressed for the cost and time involved for a Conditional Use Approval from the Planning Board for restaurant uses with alcohol. It was suggested to see what threshold could be reviewed and approved administratively.

• A review process should be built in to the ordinance to allow 'course corrections' in the future. Additionally, there should be a streamlined approval process, which is incentive based in order to minimize the need to go to Planning Board.

• Suggestions were made to keep a larger distance separation at the beginning of this process, as well as explore other areas for these types of adaptive uses west of the waterway.

• In addition to the proposed changes in allowable accessory uses, the areas need to be made more walkable with shade trees to encourage more people to walk to the accessory uses.

On May 22, 2019, the LUDC recommended that the City Commission refer a draft ordinance to the planning board, and that a preliminary discussion be conducted by the planning board on June 25, 2019 for recommendations and input. On July 17, 2019, the City Commission referred the subject Ordinance to the Planning Board.

ANALYSIS

PLANNING ANALYSIS
The RM-1 area that is north of 75th Street and east of Tatum Waterway is one of the few areas of the City not within walking distance of a low-medium intensity commercial district. This is important because most of the RM-1 and RM-2 districts in the City are within easy walking distance to neighborhood commercial districts and uses.

In order to address this mobility issue, as well as provide an economic tool for renovating and restoring historic structures, accessory uses in the area have been developed as part of a draft ordinance. The following is the summary of the types of adaptive uses that were included in the draft ordinance considered at first reading, and based upon feedback from the public workshop and direction from the Land Use and Development Committee:

Accessory Uses

As it pertains to allowable ‘Accessory Uses’ (those allowed as of right), existing apartment buildings located along Tatum Waterway Drive, Byron Avenue, and Crespi Boulevard, which are also located within the North Shore National Register Historic District and which are classified as ‘contributing’, may have accessory office uses and the rental of non-motorized watercraft, subject to the following:
1. The accessory use areas shall not exceed 25 percent of the floor area of the existing structure;
2. The hours of operation for which the use is open to the public may be from 12:00 pm to 8:00 p.m.
3. No exterior speakers shall be permitted, except as may be required under the Florida Life Safety Code.

Additionally, apartment buildings located within the North Shore National Register Historic District, which are classified as ‘contributing’ would be permitted to have accessory café, retail, office or personal service uses, subject to the following:
1. Conditional Use approval shall be required.
2. The minimum distance separation between accessory uses shall be 500 feet. There shall be no variances from this distance separation requirement.
3. The accessory use areas shall not exceed 25 percent of the floor area of the structure.
4. The hours of operation for which the use is open to the public may be from 7:00 am to 7:00 p.m. Subject to planning board approval, the hours of operation for any of the above noted uses may be extended to 10:00 pm
5. No exterior speakers shall be permitted.
6. A hall for hire, dance hall, open-air entertainment establishment, outdoor entertainment establishment, entertainment establishment or special event permits shall be prohibited.

Based upon feedback from the public workshop and direction from the Land Use and Development Committee, staff revised the ordinance for first reading to allow accessory restaurants serving alcohol to be approved as a conditional use, provided certain conditions are met, as follows:

For existing apartment buildings located within the North Shore National Register Historic District and which are classified as “Contributing”, accessory restaurants serving alcoholic beverages shall be permitted in accordance with the following:

(1) Conditional use approval from the planning board shall be required.
(2) The interior restaurant area, inclusive of all seating and back of house, shall be located at the first level of the building and shall not exceed 25 percent of the floor area of the existing structure.
(3) The maximum number of seats shall not exceed 40. Subject to planning board approval this may be increased to 60.
(4) Outdoor seating and outdoor dining shall only be permitted in buildings with internal courtyards, which are part of a unified site under common ownership. All such outdoor seating and dining areas shall be located within the internal courtyard. The maximum number of exterior seats shall not exceed 20. Subject to planning board approval, this may be increased to 40.
(5) Pass thru windows shall not be permitted.
(6) Only Beer and wine may be served. Full liquor shall not be permitted.
(7) A fully enclosed, air conditioned trash room shall be required.
(8) The hours of operation may be from 11:00 am to 10:00 pm (no orders to be taken after 9:00 p.m.)
(9) A plan for loading operations shall be provided for the review and approval of the Planning Department and Parking Department. Loading shall only take place between the hours of 10:00 am and 3:00 pm.
(10) Exterior speakers shall be prohibited, except as may be required under the Florida Life Safety Code.
(11) A hall for hire, dance hall, open-air entertainment establishment, outdoor entertainment establishment, entertainment establishment or special event permits shall be prohibited.
(12) There shall only be one restaurant on the subject property.
(13) The minimum distance separation between accessory restaurants serving alcoholic beverages shall be 1,000 feet. However, the planning board may allow a lesser distance than 1,000 feet, but in no event shall such use be located at a distance less than 500 feet from another accessory restaurant serving alcoholic beverages. There shall be no variances from this distance separation requirement.

As it pertains to minimum parking requirements, staff is concerned with the impact of requiring off-street parking for a couple of reasons. First, since the proposed accessory uses would be within existing structures, there would be no physical way to locate parking spaces within a property. Also, by requiring a parking impact fee, even if it were the less expensive annual fee in lieu, this added cost could be a deterrent to potential operators. Finally, even if parking could be provided on site, the availability of parking storage would be more of an incentive to drive. As demonstrated in the square footage limitations in the draft ordinance, these proposed adaptive accessory uses are intended to serve the area neighborhood, and not be destination establishments.

In order to incentivize and encourage the types of accessory uses proposed in the draft ordinance, staff has included the following modification to Sec. 130-31, pertaining to off-street parking requirements:

There shall be no off-street parking requirement for accessory uses associated with buildings in the RM-1 zoning district that existed prior to December 31, 2009, which are located in the North Shore National Register Historic District.

PLANNING BOARD REVIEW
As requested by the LUDC, the Planning Board, at their June 25, 2019 meeting, discussed the proposal and provided preliminary comments and feedback. Specifically, the Planning Board recommended that the following be considered for inclusion in the legislation:

1. Hotels be permitted as a conditional use within ‘contributing’ buildings in the North Shore local historic district, along with typical accessory uses.

2. Café, retail, office and personal services be allowed as an accessory use, and not require mandatory conditional use approval, subject to additional conditions for safeguarding surrounding properties.

These recommendations of the Planning Board were included in the draft ordinance that was referred by the City Commission on July 17, 2019.

On September 24, 2019, the Planning Board held a public hearing and transmitted the ordinance to the City Commission with a favorable recommendation by a vote of 6-0. Additionally, the Planning Board recommended the following minor revisions to the proposed ordinance:

1. The closing times for accessory uses should be standardized at 8:00 pm.

2. Nuisance uses such as vaping, occult science establishments and package stores should be prohibited as an accessory use.

The administration is supportive of these modifications, and they have been incorporated into the attached draft of the ordinance for first reading.

UPDATE
On October 16, 2019, the City Commission approved the subject ordinance at first reading, in accordance with the following:

1. The applicable area for non-residential accessory uses shall be limited to properties along the Tatum Waterway.

2. Hotel uses must include compliance with minimum seawall requirements and a specific timeline for allowing hotel uses shall be included.

3. The uses not requiring conditional use approval shall be clearly delineated.

The City Commission also waived the application fees for the legislation. Second reading of the ordinance was set for December 11, 2019 and the item was referred to the October 30, 2019 Land Use and Development Committee meeting to discuss the expanded areas beyond Tatum Waterway, including conditional use for hotels.

On October 30, 2019, the Land Use and Development Committee discussed the item and continued it to the December 2, 2019 LUDC, with the following direction:

1. Include a map of eligible buildings for hotels along the Tatum Waterway.

2. Further modify the benchmarks and timeframes for required seawalls on eligible hotel sites.

3. Provide available data on the number of residential to hotel conversions that have taken place over the last 10 years.

4. Provide available data on the number of new hotel units over the last 10 years.

The December 2, 2019 LUDC meeting was cancelled, and all agenda items were moved to January 2020. On December 11, 2019 the City Commission continued second reading of the ordinance to January 15, 2020.  The item was placed on the January 21, 2020 agenda of the newly created Land Use and Sustainability Committee (LUSC). Additionally, on January 15, 2020 the City Commission continued second reading of the ordinance to the February 12, 2020 City Commission meeting.

On January 21, 2020 the LUSC discussed the item and continued it to the February 18, 2020 LUSC meeting, with the following direction:

1. Establish a cap of no more than 100 hotel units, with periodic status reviews.

2. Develop additional criteria for hotel restoration, including resiliency and restoration benchmarks, as well as criteria for locking in a hotel unit reservation.

3. Work with the Communications Department to provide additional outreach to the neighborhood.

4. Recommend that the 2nd Reading of the ordinance pending before City Commission be deferred to March.

On February 12, 2020 the City Commission continued second reading of the ordinance to March 18, 2020.

On February 18, 2020 the LUSC discussed the item and recommended that the City Commission adopt the ordinance at second reading with no hotel uses. The attached ordinance for second reading has been modified in accordance with the approval at first reading on October 16, 2019, as well as the recommendation of the Land Use and Sustainability Committee on February 18, 2020.

At the request of the item sponsor, the following amendment has been proposed, in order to allow for a very limited use of hotels along the Tatum Waterway, within existing structures that have legally established hotel units. Specifically, conditional use approval from the planning board would be required for hotel use within a building classified as ‘contributing’, as well as located in the North Shore Local Historic District. Additionally, the following criteria must be met:

1. Only those buildings containing at least three legally established hotel units are eligible.

2. Only that portion of the existing building that is retained may contain hotel units.

3. The entire building shall be substantially renovated, rehabilitated and restored in a manner to be approved by the planning director or designee and in full accordance with the Secretary of the Interior’s Guidelines and Standards for the Rehabilitation of Historic Buildings.

4. The entire property shall be required to make all necessary improvements to comply with minimum applicable seawall standards, as specified in this Code or in the public works manual. At a minimum, seawalls shall be raised to a minimum elevation of 4.0 feet NAVD with the ability to raise it to 5.7 feet NAVD, prior to the issuance of a business tax receipt (BTR) for a hotel.

5. A completed application to comply with the minimum applicable seawall standards, shall be filed prior to a request for conditional use approval from the planning board. Such application shall include, but not be limited to, all seawall permit documents required by the City and all outside agencies, as well as proof of submittal of such documents to all outside agencies. Failure to meet this deadline shall result in the subject property not being eligible to make application for conditional use approval.

6. In the event that the permit for seawall improvements is issued and construction of the seawall improvements commences, but encounters unforeseen delays in the completion of the seawall, the planning board may allow for the issuance of a BTR for a hotel use prior to the completion of the seawall improvements, provided the property owner can show good cause. However, if the property owner fails to diligently complete the seawall, the City reserves the right to not renew the hotel BTR.

The administration is supportive of this modest inclusion of hotel uses, as it would allow for the uniform use of existing buildings that already contain hotel units.

CONCLUSION

The administration recommends that the City Commission adopt the subject ordinance with the following modification:

Sec. 142-153. - Conditional uses.

* * *
(e) For existing buildings on lots fronting the Tatum Waterway and classified as ‘contributing’ within the North Shore Local Historic District, hotels may be permitted as a conditional use, in accordance with the following provisions:
(1) Only those buildings containing at least three legally established hotel units are eligible.
(2) Only that portion of the existing building that is retained may contain hotel units.
(3) The entire building shall be substantially renovated, rehabilitated and restored in a manner to be approved by the planning director or designee and in full accordance with the Secretary of the Interior’s Guidelines and Standards for the Rehabilitation of Historic Buildings.
(4) The entire property shall be required to make all necessary improvements to comply with minimum applicable seawall standards, as specified in this Code or in the public works manual. At a minimum, seawalls shall be raised to a minimum elevation of 4.0 feet NAVD with the ability to raise it to 5.7 feet NAVD, prior to the issuance of a business tax receipt (BTR) for a hotel.
(5) A completed application to comply with the minimum applicable seawall standards, as specified in this Code or in the public works manual, shall be filed prior to a request for conditional use approval from the planning board. Such application shall include, but not be limited to, all seawall permit documents required by the City and all outside agencies, as well as proof of submittal of such documents to all outside agencies. Failure to meet this deadline shall result in the subject property not being eligible to make application for conditional use approval.
(6) In the event that the permit for seawall improvements is issued and construction of the seawall improvements commences, but encounters unforeseen delays in the completion of the seawall, the planning board may allow for the issuance of a BTR for a hotel use prior to the completion of the seawall improvements, provided the property owner can show good cause. However, in the event that the property owner fails to diligently complete the seawall, the City reserves the right to not renew the hotel BTR.

Applicable Area

North Beach
Is this a "Residents Right to Know" item, pursuant to City Code Section 2-14? Does this item utilize G.O. Bond Funds?
Yes No 
Legislative Tracking
Planning
Sponsor
Commissioner Ricky Arriola

ATTACHMENTS:
Description
Maps
Ordinance
Ad