South San Francisco Planning Commission Meeting - June 20, 2019

The South San Francisco Planning Commission held its regular meeting on Thursday, June 20, 2019, at 7:00 PM in the Council Chambers of the Municipal Services Building. The commission approved the consent calendar, recommended approval of a commercial condominium conversion, recommended approval of a major mixed-use development near the Caltrain station, and found the Fiscal Year 2019-20 Capital Improvement Program consistent with the General Plan. Key actions included modifying a community benefits condition to ensure payment even if a proposed CFD is not formed, and removing the parking reduction request for the 200 Airport Boulevard project while retaining the TDM plan.

Consent Calendar

• Minutes of May 16, 2019: Approved unanimously, with a minor correction noted by Chair Murphy (a reference to her role as Vice Chair).

Capital Improvement Program (CIP) Consistency (Item 4)

• Presentation by Matt Ruble (Principal Engineer): The proposed FY 2019-20 CIP has a total budget of $101.2 million, including $53.8 million in new appropriations and $47.4 million in remaining appropriations from prior years. Projects include street resurfacing, sewer rehabilitation, and improvements to the Oyster Point Marina (including removing underground fuel tanks), pedestrian crossing improvements on West Orange Avenue and Hillside Boulevard, and storm drain repairs.
• Commissioner Questions: In response to questions, Mr. Ruble clarified that the pedestrian crossing project is grant-funded and that parks projects are included in the CIP (though no new parks projects are proposed this year). He also confirmed that a contingency is included for the underground storage tank removal.
• Vote: Unanimous approval (7-0).

2400 Westborough Boulevard – Commercial Condominium Conversion (Item 2)

• Recusal: Commissioner Zhang recused himself, stating he lives within 500 feet of the project.
• Staff Report (Billy Gross): The project proposes converting an existing 31,000-square-foot office building (built in 1976) into 23 individual commercial condominium units. The property is a 1.7-acre parcel in the Community Commercial (CC) zone. The conversion requires a Tentative Parcel Map and a parking reduction because current zoning requires 155 parking spaces for medical office uses, while only 122 spaces exist. Staff found the project categorically exempt under CEQA (Existing Facilities exemption) and recommended approval with conditions.
• Public Comments: None.
• Commission Discussion: Commissioners asked about signage and potential future uses (e.g., retail or restaurant). The applicant, Ian Bayside, explained that any new use would have to comply with zoning and undergo the same approval process. Parking would remain unassigned and first-come-first-served. The building's infrastructure is unchanged; an HOA would manage common areas and shared services.
• Vote: Approved unanimously (6-0, Commissioner Zhang recused) with conditions.

200 Airport Boulevard – Seven-Story Mixed-Use Project (Item 3)

• Staff Report (Tony Rozzi): The project proposes 94 residential units (28% studios, 41% one-bedrooms, 31% two-bedrooms) with 3,600 sq ft of ground-floor retail, on properties 200-214 Airport Boulevard. The site is adjacent to the future Caltrain station. The applicant initially requested a parking reduction (to 114 spaces) but later updated the plan to provide the full required 114 spaces, eliminating the need for a reduction. The project is exempt from CEQA under a prior EIR for the Downtown Station Area Plan.
• Applicant Presentation (Trevor Boucher, Fairfield Development; Claudia Escala, Carrier Johnson Architects) : The project will be operated together with the adjacent 150 Airport Boulevard development as one community. They presented detailed architectural designs, including a "DNA mapping wall" on the freeway-facing elevation, enhanced canopies, and public art. Community benefits include:
  • Nine moderate-income affordable units (at 110% AMI), deed-restricted for 55 years.
  • $0.25 per sq ft (about $500,000) for traffic and circulation improvements.
  • Activation of the Caltrain Plaza with new retail space and $50,000 toward design changes to the plaza.
  • $75,000 for public art.
  • Maintenance of the plaza hardscape in perpetuity.
• Public Comment: Steven Berkey, attorney for Action Signs (owner of an adjacent billboard), expressed concern that the new building might block the billboard from view. He noted that no study has been done to confirm the impact. Fairfield's representative, Ed McCoy, stated they believe the building will not block the sign and will handle it as a private matter.
• Commission Discussion:
  • Commissioner Zhang questioned the change of language from "shall provide" to "shall consider" in conditions A22-A25. Staff explained that this allows flexibility while balancing right-of-way needs.
  • Commissioner Evans asked about income levels; staff clarified the affordable units are at 110% AMI (approx. $130,000 for a family of 4), allowing a broader range of eligibility. Commissioner Faria and others debated the depth of affordability; the applicant explained the moderate-income choice was based on input from the Housing Standing Committee and the need to retain first responders and city staff.
  • Commissioner Shahadeh asked about the retail space as a community benefit; staff (including ECD Director Alex Greenwood) explained that the city requires retail activation at this important transit node, and the applicant agreed to subsidize rent to attract tenants. An independent EPS analysis accounted for rental revenue, but still showed a gap of over $1 million.
  • Commissioner Shahadeh asked about the CFD (Community Facilities District) benefit; staff noted that if the CFD is not formed, the applicant would not pay the fee unless a condition was added. After discussion, the applicant agreed to a modification ensuring payment even if the CFD is not formed.
  • Commissioner Zhang raised concerns about Union Pacific Railroad's drainage conditions; staff confirmed they will revise the condition to explicitly prevent stormwater discharge onto railroad property.
  • Commissioner Faria asked about the "urban grocer"; the applicant explained it would be a small grocery store with hot food, citing examples like Green Zebra.
  • Commissioner Evans requested that the CFD payment condition include language allowing for a lump-sum prepayment if mutually agreed.
  • The commission also agreed to modify a police condition to give the police chief flexibility on camera placement.
• Vote: Approved unanimously (7-0) with conditions as revised on the record.

Staff Introductions and Announcements

• The July 4, 2019 Planning Commission meeting was canceled.
• General Plan 2040 process continues; Chair Murphy and Vice Chair Wong serve on the advisory committee.
• Assistant City Attorney Claire Lye will serve as legal counsel during staff attorney's maternity leave.

Key Outcomes

• CIP Consistency: Unanimously found FY 2019-20 CIP consistent with the General Plan.
• 2400 Westborough: Unanimously recommended approval of the tentative parcel map and parking reduction (Commissioner Zhang recused).
• 200 Airport: Unanimously recommended approval of the use permit, design review, TDM plan, and vesting tentative parcel map, with conditions as modified (including revised CFD benefit condition and removal of parking reduction).
• CFD Condition (A38): Modified to require an annual community benefit fee of $0.25 per gross sq ft (or prepaid lump sum) for 30 years if the CFD is not formed.
• Parking Reduction: Removed from the resolution, but the TDM plan retained.
• Union Pacific Conditions: A condition will be added to explicitly prevent stormwater discharge onto railroad property.