Laguna planners favor state rules instead of local letter ratings for historic preservation

One of the city of Laguna Beach’s goals in revising its historic preservation ordinance has been bringing rules more in line with state and federal standards.

The Planning Commission on Wednesday moved a step closer in that direction by suggesting Laguna’s letter-rating system of E, K and C that applies to houses be replaced with California Historical Resource Status Codes.

Commissioners reached this decision after more than three hours of public testimony and going section-by-section through the draft ordinance in recommending edits. Commissioners want to see the draft ordinance once more — scheduled for Oct. 18 — before it heads to the City Council.

Commissioners said the city’s letter-rating system, while familiar to some, has caused confusion among other property owners, creating an overlay of local rules that may or may not jibe with state guidelines.

“I support the Secretary of the Interior’s Standards,” commission chairwoman Susan Whitin said. “It’s cleaner and simpler.”

The city has spent four years revising the ordinance, hiring consultant Jan Ostashay to re-survey 852 pre-1940s properties deemed historic for a variety of factors such as association with important historical events or significant people and architectural style.

The original inventory was created in 1981 and adopted a year later by the council. Ostashay developed a revised inventory that included 213 structures with a K-rating, 68 with an E-rating and 138 with a C-rating, the Daily Pilot previously reported.

Property owners have repeatedly said they have been prevented from making changes to their houses, such as room additions or remodels, because of a house’s historic status. Some were not aware of their house’s historic rating until they sought permits from the city to do work on their homes.

A handful of speakers Wednesday referenced council decisions in the 1980s as proof that inclusion on the inventory would not place restrictions on homeowners.

On Dec. 21, 1982, the council adopted a resolution that recognized the historic inventory as a list of the “best representative examples of historically significant architecture within the city,” according to minutes from that meeting.

“Inclusion in the inventory will not, in itself, impose any special obligations or requirements upon the property owner, nor will the city be required to extend any special privileges to the property owner,” the minutes said.

Supporters of keeping the inventory said downgrading the list would violate Laguna’s general plan, and force amendments to the historic resources element of the plan, according to a Sept. 3 letter from Village Laguna, a nonprofit established in 1971 to oppose high-rise development along Laguna’s coast.

One of the element’s policies is expanding the Mills Act program to include K- and C-rated buildings as “qualified structures,” according to a copy of the resources element on the city’s website.

The Mills Act is a state law that grants authority for cities and counties to enter into contracts with property owners who agree to restore and maintain their properties.

Even if a house is not on the inventory, state law still requires the city to evaluate possible impacts to historic resources with a development proposal under the California Environmental Quality Act, Community Development director Greg Pfost told the commission.

Whitin said incentives, such as waived building and permit fees, and greater setback flexibility for projects, should be promoted as much as possible.

Commissioners affirmed their July suggestion that houses be at least 70 years old to fall under preservation rules, instead of a stagnant date.

The draft ordinance includes a process for property owners to request a re-evaluation of their home’s rating.

Under the ordinance, property owners could also request the city assess their property for a rating, even if they are not proposing a development project.

No fee for an assessment is mentioned in the current draft ordinance, Pfost said in a phone interview Thursday, adding that the city would hold on to the inventories for background information.

bryce.alderton@latimes.com

Twitter: @AldertonBryce