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STAFF RECOMMENDATION Staff recommends the Planning Commission: 1 . Find that the proposed project would not have a significant effect on the environment; 2. Find that the proposed PUD rezoning (P18-0334) and PUD Development Plan (PUD-134) are consistent with the General Plan and the purposes of the PUD Ordinance; 3. Make the PUD and Conditional Use Permit (P18-0332) findings as listed in Exhibit A; and 4. Adopt a resolution recommending approval of the draft Negative Declaration, and of Cases PUD-134, P18-0332, and P18-0334, subject to the draft conditions of approval listed in Exhibit A and forward the applications to the City Council for public hearing and review. EXECUTIVE SUMMARY Brad Hirst (applicant), on behalf of the property owner, Anabi Real Estate Development LLC, is proposing to demolish the existing 7-Eleven convenience store, auto service/smog check building, and Shell service station canopy located at 3760 and 3790 Hopyard Road and construct a new 7-Eleven convenience store, drive-through carwash, and Shell service station canopy. The proposal also includes related site improvements, including elimination of an existing drive aisle between the project site and the adjoining site to the south. The existing fuel station and convenience store are currently located on two separate but adjoining parcels, which the applicant intends to merge into a single parcel if the applications are approved. The applications were previously reviewed by the Planning Commission as a work session item on April 10, 2019. The applications presented have been revised to reflect the comments received at the work session. The application is now before the Planning Commission for a recommendation to the City Council to approve, approve with conditions, or deny the application BACKGROUND The site contains an existing Shell fuel station and the 7-Eleven convenience store that have been in operation for several decades. The Shell service station originally included auto service/repair inside a stand-alone building adjacent to the westerly property line. This auto service/repair portion of the Shell station closed around 2010 and was replaced with a separately-operated smog check business, which is still in operation. The auto service/smog check building also contains the Shell station cashier/snack shop. The subject properties are zoned Neighborhood Commercial (C-N) District. The C-N District does not allow service stations that are combined with a drive-through carwash or with a convenience market. Furthermore, the non-PUD zoning districts where a gas station with convenience store is allowed (the Freeway Commercial and Service Commercial Districts) do not allow the sales of alcoholic beverages. With the intent to merge the two existing separate parcels into a single parcel containing a self-service station, a drive-through carwash, and a convenience market that would include the sale of alcoholic beverages, the applicant requests the current zoning of the site be changed in order to allow the proposed project. The proposed Planned Unit Development-Commercial (PUD-C) zoning would require a Conditional Use Permit (CUP) for the service station with convenience market with the sale of Case Nos. PUD-134/P18-0334/P18-0332 Planning Commission Page 2 of 24