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ORDINANCE 1675ORDINANCE NO. 1675 AN ORDINANCE AMENDING THE SMOKY HOLLOW SPECIFIC PLAN PERMITTED USES AND DEFINITIONS RELATED TO INCUBATOR AND INNOVATIVE START-UP USES. (Environmental Assessment No. EA-1374 and Specific Plan Amendment No. SPA 24-03). The City Council of the city of El Segundo does ordain as follows: SECTION 1: The City Council finds and declares as follows: A. On September 12, 2024, the City initiated an application for Environmental Assessment No. EA 1374 and Specific Plan Amendment No. SPA 24-03 to amend the Smoky Hollow Specific Plan updating the permitted uses, definitions, and development standards related to incubator and innovative start-up uses; B. On September 12, 2024, and May 22, 2025, the Planning Commission held study sessions to receive public testimony and provide direction to staff on the scope of the specific plan amendment; C. The City reviewed the project's environmental impacts under the California Environmental Quality Act (Public Resources Code §§ 21000, et seq., "CEQA") and the regulations promulgated thereunder (14 Cal. Code of Regulations §§15000, et seq., the "CEQA Guidelines"); D. On July 24, 2025, the Planning Commission held a public hearing to receive public testimony and other evidence regarding the Ordinance and adopted Resolution No. 2965 recommending that the City Council introduce and adopt the Ordinance. E. On August 19, 2025, the City Council held a duly noticed public hearing and considered the information provided by City staff and public testimony regarding the Ordinance; and F. This Ordinance and its findings are made based upon the entire administrative record including, without limitation, testimony and evidence presented to the City Council at its August 19, 2025, hearing and the staff report submitted by the Community Development Department. SECTION 2: Factual Findings and Conclusions. The City Council finds that introducing and adopting the Ordinance will amend the City's Smoky Hollow Specific Plan to establish the following: ORDINANCE NO. 1675 PAGE 1 of 9 A. Amend the Allowed Land Uses (Table 2-1) to add Incubator and Innovative Start-up uses to the uses permitted by -right and those permitted subject to an administrative use permit (AUP) in the Smoky Hollow West and Smoky Hollow East Zoning Districts; and B. Amend Appendix A (Glossary) to add a definition for Incubator and Innovative Start-up uses. SECTION 3: Specific Plan Amendment Findings. As required under Government Code § 65854 and ESMC § 15-27-3 and based on the findings set forth in Section 2, the City Council finds as follows: A. That the amendment is consistent with the General Plan, The Smoky Hollow Specific Plan serves as the General Plan document for the Smoky Hollow area. Therefore, if the proposed specific plan amendment is consistent with the Specific Plan's vision, goal and objectives, it is also consistent with the General Plan. The specific plan amendment is consistent with and implements the primary Smoky Hollow Specific Plan goal to facilitate the transformation of the Smoky Hollow district from an aging industrial area to a vigorous incubator district and major economic force in the City. Specifically, the amendments facilitate the establishment and growth of innovative start-up businesses in creative and advanced technology industries by: 1. Establishing a broad and flexible definition of innovative start-up uses; and 2. Establishing an efficient administrative process to permit these uses in the Specific Plan. Thus, the amendments are consistent with the Specific Plan vision of making Smoky Hollow an incubator hub and creative center in El Segundo and throughout the region. B. The amendment is necessary to serve the public health, safety, and general welfare. The specific plan amendments will help achieve the primary Smoky Hollow Specific Plan goal of transforming Smoky Hollow from an aging industrial area to a vigorous incubator district and major economic force in the City. The amendments allow new innovative start-up uses and reduce barriers to these uses that are complementary to the creative office and advanced technology incubator character of the district. Thus, the amendments will help transform Smoky Hollow into an economic force, which is consistent with and necessary to serve the public health, safety, and general welfare. In addition, there is no evidence indicating that any of the proposed amendments will have a detrimental impact on public health, safety, and general welfare. ORDINANCE NO. 1675 PAGE 2 of 9 SECTION 4: Environmental Assessment. Based on the facts set forth in Section 2, the City Council finds that the zone text amendment is exempt from further review under the California Environmental Quality Act ("CEQA") pursuant to CEQA Guidelines § 15061(b)(3)), because it consists only of minor revisions to existing zoning regulations and related procedures and does not have the potential for causing a significant effect on the environment. SECTION 5: Action. The City Council hereby approves and adopts the updated Smoky Hollow Specific Plan as set forth in attached Exhibit "A," which is incorporated into this Ordinance by reference. SECTION 6: Electronic Signatures. This Ordinance may be executed with electronic signatures in accordance with Government Code § 16.5. Such electronic signatures will be treated in all respects as having the same effect as an original signature. SECTION 7: Construction. This Ordinance must be broadly construed to achieve the purposes stated in this Ordinance. It is the City Council's intent that the provisions of this Ordinance be interpreted or implemented by the City and others in a manner that facilitates the purposes set forth in this Ordinance. SECTION 8: Enforceability. Repeal of any provision of the ESMC does not affect any penalty, forfeiture, or liability incurred before, or preclude prosecution and imposition of penalties for any violation occurring before this Ordinance's effective date. Any such repealed part will remain in full force and effect for sustaining action or prosecuting violations occurring before the effective date of this Ordinance. SECTION 9: Validity of Previous Code Sections. If this entire Ordinance or its application is deemed invalid by a court of competent jurisdiction, any repeal or amendment of the ESMC or other city ordinance by this Ordinance will be rendered void and cause such previous ESMC provision or other the city ordinance to remain in full force and effect for all purposes. SECTION 1 : Severability. If any part of this Ordinance or its application is deemed invalid by a court of competent jurisdiction, the City Council intends that such invalidity will not affect the effectiveness of the remaining provisions or applications and, to this end, the provisions of this Ordinance are severable. ORDINANCE NO. 1675 PAGE 3 of 9 SECTION 11: Recordation. The City Clerk, or designee, is directed to certify the passage and adoption of this Ordinance; cause it to be entered into the City of El Segundo's book of original ordinances; make a note of the passage and adoption in the records of this meeting; and, within 15 days after the passage and adoption of this Ordinance, cause it to be published or posted in accordance with California law. SECTION 12: Effective Date, This Ordinance will go into effect and be in full force and effect 30 days after its passage and adoption. PASSED AND ADOPTED this 2"d day of September, 2025. ATTEST: SLI ruax, City CI r APPROVED AS TO FORM: Mark D. Hensley, City Attorney ris Pimentel, Mayor ORDINANCE NO. 1675 PAGE 4 of 9 CERTIFICATION STATE OF CALIFORNIA ) COUNTY OF LOS ANGELES ) SS CITY OF EL SEGUNDO I, Susan Truax, City Clerk of the City of El Segundo, California, do hereby certify that the whole number of members of the City Council of said City is five; that the foregoing Ordinance No. 1675 was duly introduced by said City Council at a regular meeting held on the 19t" day of August, 2025, and was duly passed, and adopted by said City Council, approved and signed by the Mayor, and attested to by the City Clerk, all at a regular meeting of said Council held on the 2"d day of September, 2025, and the same was so passed and adopted by the following vote: AYES: Mayor Pimentel, Mayor Pro Tern Baldino, Council Member Boyles, Council Member Giroux and Council Member Keldorf NOES: None ABSENT: None ABSTAIN: None WITNESS MY HAND THE OFFICIAL SEAL OF SAID CITY this 2"day of September, 2025. Slsafi TTaax, City Clerk of the City of El Segundo, California ORDINANCE NO. 1675 PAGE 5 of 9 ORDINANCE 1675 EXHIBIT "A" Excerpts of the Smoky Hollow Specific Plan as Amended in and Underline Format ORDINANCE NO. 1675 PAGE 6 of 9 Smoky Hollow Specific Plan Section 2.2.3 (Allowable Uses by Zoning District) is amended to read as follows: 2.2.3 Allowable Uses by Zoning District Allowed land uses within each zoning district are listed in Table 2-1. Certain uses may be subject to special conditions regarding the location, operation, design, or special permitting requirements. Following an application submittal, the g 4afetyCommunity Development Director (Director) or his or her designee shall make a determination as to whether the proposed use is permitted, conditionally permitted, prohibited, or allowed as a temporary or accessory use to a permitted use. Any use not specifically listed in Table 2-1 shall be interpreted as not allowed in Smoky Hollow. ➢ A Permitted Use (P) is allowed without discretionary approval and subject to all applicable provisions of this Specific Plan. ➢ An Administrative Use Permit (AUP) requires discretionary approval authorized by the Director and subject to the requirements outlined in ESMC Chapter 15-22. ➢ A Conditionally Permitted Use (CUP) requires discretionary approval in the neI rat authorized by the Planning Commission and subject to the requirements outlined in ESMC Chapter 15-23.15-24. ➢ An Accessory Use (A) refers to a use that is incidental and subordinate to a primary use of the land or building and located on the same lot with the primary use or building. ➢ Uses specifically not allowed in a zoning district are indicated by (—). ➢ Similar Use - Use not listed It is not possible to anticipate every land use that might be proposed and suitable in the future. Primary uses not listed in Table 2- 1, unless determined by the Director or designee to be substantially similar to a listed use, are not permitted. In making a determination of similarity, the Director or designee shall follow the provisions of ESMC Section 15-22-2 (Administrative Determinations for Uses Not Listed). ftsees- Fe4 below.-�e-l�d 'l it ' 4s Seetkmi-AqaWbe-&ubjeet4o4he-pfGGedwes-ot44ned-..io-SeGtiGn-.4:4 nfGFmi Detailed definitions for uses are listed in Appendix A: Glossary, ORDINANCE NO. 1675 PAGE 7 of 9 Smoky Hollow Specific Plan Table 2-1 (Allowable Uses by Zoning District) is amended to read as follows: Table 2-1: Allowed Land Uses Brewery and Alcohol Production P Incubator and Innovative Start-uo P Incubator and Innovative Start-uo AUP Industrial, Heavy CUP Industrial, Light P Outdoor Storage A Personal Storage, Collection AUP Research and Development P Warehousing P General Offices P P — Subject to applicable State ABC regulations, e P Involving no use of raw materials. AUP Involving limited use of raw materials. CUP p a Shall be screened from view from public right-of-way and all A A screening shall be architecturally integrated with the building design. See ESMC Section 15-2-8. AUP — P — P — — P P Alcohol Sales —Off -Site and On -Site with Food AUP AUP G Includes instructional tasting that is accessory to off -site Service sales. Business and Consumer Support Services P P — A Note(s): 'In the P zone, a parking structure may include ground floor uses (as an accessory use) that activate the street frontage. ORDINANCE NO. 1675 PAf;F R of Q Smoky Hollow Specific Plan Appendix A — Glossary is amended as follows: Incidental: See "Accessory." Incubator and Innovative Start-up uses: General definition A facility specifically designed to facilitate the development and growth of innovative, early -stage (start-up) businesses. These facilities provide flexible space to support small visionary start-ups with large aspirations, fostering an environment where innovation thrives and supporting growth during their initial stages. These establishments facilitate a variety of activities aimed at generating new and improved products and services. Permitted activities/functions Activities/functions of incubator and innovative start-up uses include design, research, development, testing, prototyping and/or scaling up, and light industrial/manufacturing; and the outcomes can range from products, inventions, patents, and/or knowledge. The facilities and/or functions involved may include labs, offices, research and development, warehousing, and manufacturing as part of the overall use. Permitted INdustr Types Incubator and innovative start-up uses may encompass businesses in sectors such as aerospace and defense, energy, national security -related, software and hardware technology, and other fields focused on research, development, and innovation, such as life sciences (biotechnology, pharmaceutical, food, agriculture, and environmental). Operational characteristics These uses initially have low employee counts and workspace needs but have the potential to expand quickly and affect the availability of on -street parking. These uses generally do not contribute significantly to nuisance factors, such as noise, vibration, glare, heat, dust, humidity, odor or any type of potential air or waste pollution that may potentially be hazardous beyond the site's property lines. Incubator and innovative start-up uses are not intended to: a) manufacture mass quantities of physical products, or b) use large quantities of raw and/or hazardous materials. ORDINANCE NO. 1675 PAGE 9 of 9