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Commission weighs integrated PDR rules, monitoring, and lower PDR-share option for small businesses
Summary
After presentations and market data, the Planning Commission directed staff to keep a 33% PDR floor for most integrated PDR uses but agreed to an exception of 20% for spaces under 2,000 sq ft, added a 5-year monitoring/sunset and discussed tiered fee discounts tied to hiring from enterprise zone pools.
Commissioners debated how to craft rules for integrated production-distribution-repair (PDR) uses as part of the Eastern Neighborhoods package, balancing preservation of industrial jobs with the changing nature of local manufacturers.
Staff said the integrated PDR approach is experimental: it would allow hybrid buildings where a portion of space is reserved for active PDR while the remainder can host office or retail supports. Staff recommended a 33% minimum PDR share for integrated PDR uses and proposed monitoring with a five-year sunset that would revert the use to conditional if district-wide hiring goals were not met.
Kate (Pacific Community Ventures) presented survey data showing many newer businesses operate with 20–25% active production on small sites; commissioners seized on the data. By consensus the commission directed staff to add a sizing carve-out: for spaces of 2,000 square feet or less, the PDR requirement may be reduced (commission discussion settled on 20% for small spaces while larger spaces would retain a 33% floor). Commissioners also asked for explicit monitoring language and the tiered hiring-based fee discount schedule to be included in the resolution; staff read into the record proposed tiers (25–50% discount tied to increasing shares of enterprise-zone-eligible hiring). Michael Yarny of the Mayor—s Office described how the discounts and monitoring would be structured at building and district levels and reiterated the 25% hiring goal for integrated PDR spaces.
Commissioners emphasized they want to re-evaluate the approach after the five-year monitoring period and preserve enforcement/administrative clarity for staff.
