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HomeMy WebLinkAboutCC MINUTES 2006 04 03MINUTES OF THE REGULAR MEETING OF THE CITY COUNCIL TUSTIN, CALIFORNIA APRIL 3, 2006 CALL TO ORDER - 5:30 P.M. ATTENDANCE Present: Mayor Doug Davert; Mayor Pro Tem Tracy Worley Hagen; Councilmembers Jerry Amante, Lou Bone, and Tony Kawashima Absent: None City Clerk: Pamela Stoker, City Clerk Others Present: William A. Huston, City Manager and Douglas C. Holland, City Attorney PUBLIC INPUT -None CLOSED SESSION ITEMS A CONFERENCE WITH LEGAL COUNSEL--EXISTING LITIGATION pursuant to Government Code Section 54956.9(a) AAE vs. City of Tustin B. CONFERENCE WITH REAL PROPERTY NEGOTIATOR pursuant to Government Code Section 54956.8 Property: 305 East Main Street Negotiators: Assistant City Manager Christine Shingleton (City) and Cathy Sipia of Cathy's Kids Club Under Negotiation: Acquisition C. CONFERENCE WITH REAL PROPERTY NEGOTIATOR pursuant to Government Code Section 54956.8 Property Property defined within the Master Developer footprint at Tustin Legacy (the former Marine Corps Air Station Tustin) including Reuse Plan Disposal Parcels 4, 5, 6, 7, 8, 13, 14, 15, 16, 17, 25, 26, 27, City Council Meeting April 3, 2006 Minutes Page 1 of 18 28, 29, 30, 31 and portions of Reuse Plan Disposal Parcel 40. City Negotiators: Christine Shingleton, Assistant City Manager and Clayton Gantz, Special Legal Counsel. Negotiators for Tustin Legacy Community Partners: Les Thomas, Richard Douglass, Simon Whitmey, and Jack Godard. Under Negotiation: Price and Terms of Payment. RECESS - At 5:31 p.m. City Council recessed to closed session to discuss matters listed under Closed Session. RECONVENE - At 7:01 p.m. City Council reconvened in public session. PUBLIC MEETING CALL TO ORDER - 7:01 P.M. INVOCATION -Dane Counts, Chaplain, Tustin American Legion Post 227 COLORS PRESENTATION & PLEDGE OF ALLEGIANCE -Tustin American Legion Post 227 ROLL CALL Present: Mayor Doug Davert; Mayor Pro Tem Tracy Worley Hagen; Councilmembers Jerry Amante, Lou Bone, and Tony Kawashima Absent: None City Clerk: Pamela Stoker Others Present: William A. Huston, City Manager and Douglas C. Holland, City Attorney CLOSED SESSION REPORT -Nothing to report. FIRST PUBLIC INPUT -Kimberly Parring and Jenna Loeser, representatives of Habitat for Humanity, addressed the council on the need for affordable housing City Council Meeting April 3, 2006 Minutes Page 2 of 18 PUBLIC HEARINGS 1. 2005 TUSTIN URBAN WATER MANAGEMENT PLAN UPDATE The California Urban Water Management Planning Act (Act) was established by State Assembly Bill No. 797 (AB-797). It requires urban water suppliers providing water for municipal services of more than 3,000 connections or 3,000 acre-feet of water production annually, to prepare, conduct a public hearing, and adopt a plan in accordance with the prescribed requirements of the Act. Presentation given by Fred Adjarian, Water Services Manager Public hearing opened at 7:12 p.m. There were no public speakers and the hearing closed at 7:12 p.m. Motion: It was moved by Mayor Pro Tem Hagen, seconded by Councilmember Bone, to adopt resolution. Motion carried 5-0. RESOLUTION NO. 06-32 - A resolution of the City Council of the City of Tustin adopting the City of Tustin's Urban Water Management Plan pursuant to California Water Code 10610 to 10657 2. JUSTICE ASSISTANCE GRANT (JAG) PROGRAM Congress established the Byrne Justice Assistance Grant (JAG) program in the 2005 Omnibus Appropriations Package. The JAG program blends the previous Edward Byrne Formula Grant (Byrne) and the Local Law Enforcement Block Grant (LLEBG) programs into one program, which is intended to provide agencies with the flexibility to prioritize and place justice funds where they are most needed. The Police Department proposes to use the 2006-2007 JAG funds to purchase communications equipment, specifically hand-held radios. Public hearing opened at 7:12 p.m. There were no public speakers and the hearing closed at 7:12 p.m. Motion: It was moved by Councilmember Amante, seconded by Councilmember Kawashima, to approve as follows: 2.a. Authorize usage of the funds as recommended by the Police Department; and 2.b. Authorize reimbursement from the County of Orange to the City of Tustin for the purchase of Motorola radios, and authorize the Chief of Police to sign any grant related paperwork on behalf of the City. Motion carried 5-0. City Council Meeting April 3, 2006 Minutes Page 3 of 18 3. MCAS TUSTIN SPECIFIC PLAN AMENDMENT (ZONE CHANGE 05-002) Zone Change 05-002 is an amendment to the MCAS Tustin Specific Plan to adjust Planning Area boundaries and redistribute and/or eliminate planned land uses within the Specific Plan area. Zone Change 05-002 would not increase the overall development potential or residential capacity currently allowed by the MCAS Tustin Specific Plan. On March 27, 2006, the Planning Commission recommended that the City Council approve an Addendum to the FEIS/EIR for Disposal and Reuse of MCAS Tustin and that the City Council approve MCAS Tustin Specific Plan Amendment (Zone Change) 05-002. Applicants: City of Tustin and Tustin Legacy Community Partners, LLC Presentation given by Elizabeth Binsack, Community Development Director Master Developer Selection • Tustin Legacy Community Partners LLC selected to be Master Developer in October 2003. • TLCP LLC members include Centex Homes, Shea Homes, and Shea Properties. • Master Developer Footprint is about 820 acres, or about % of the former MCAS Tustin property. Zone Change 05-02 • MCAS Tustin Specific Plan Amendment • Based on Policy Direction provided by the City Council on November 1, 2004. • Accommodates the Refined Master Development Plan for Tustin Legacy. • Based on Several Guiding Principles. Guiding Principles The Community Core is the Heart...the Linear Park is the Soul • Linear Park - A Tustin landmark, the project's identity, and the plan's dominant organizing element • Connectivity - All roads lead to the park, all districts connect to the park • The Grid Pattern - A primary organizing street element, emphasizing pedestrian- friendty, walkable blocks • Community Core - A vibrant mixed-use district with a variety of land uses that will be market responsive • Open Community Plan - No gates, minimal barriers, community amenities accessible to all of Tustin • No Change - In overall Specific Plan capacity limits and overall EIR capacity limits Proposed Amendments • No increase in residential dwelling count. • No increase in non-residential square footage. • No significant change in open space. City Council Meeting April 3, 2006 Minutes Page 4 of 18 • Some shifts in locations of future development. Proposed Amendments -Summarized • Remove Golf Course as land use in PA 15. • Increase park acreages, including Linear Park. • Change Neighborhood D and E boundaries. • Modify permitted land uses and development standards within the Community Core. • Modify land use and trip budget tables. • Provide consolidated development standards for Planning Areas 9-12. • Amend Neighborhood G (PA 15) as follows: ^ Add MHDR for transfer of unused units from PA 20 and PA 21. ^ Add office uses, congregate care. ^ Expand Commercial Uses. ^ Eliminate hotel use in PA 15. • Amend Neighborhood B as follows: ^ Reduce development square footage. ^ Allow for transfer of square footage to Neighborhood G (PA 15). • Amend Planning Areas 7-15 as follows: ^ Add parks as permitted use. ^ Make daycare limits match State requirements. ^ Update adult use terminology. ^ Consolidate uses within general categories. f Amend the definitions to address new uses or make clarifications. • Amend the General Development Regulations to include standards for alcoholic beverage sales. • Modify parking standards for mixed uses in the Community Core. • Modify administrative procedures in Chapter 4 for development processing. Preparation of Addendum for MCAS Tustin FEIS/EIR • Extensive environmental review of the proposed project. • Updated physical and regulatory conditions. • Analyzed revised project based on updated conditions. • No new significant impacts or substantially more severe impacts were identified beyond those previously identified in the FEIS/EIR. Councilmember Bone thanked staff on hotel issue and commented on conference facility needed with dinner and banquet services Mayor Davert reported on the elimination of golf course and non-gated open community being built at Tustin Legacy. Public hearing opened at 7:25 p.m. There were no public speakers and the hearing closed at 7:25 p.m. Motion: It was moved by Councilmember Bone, seconded by Councilmember City Council Meeting April 3, 2006 Minutes Page 5 of 18 Amante, to approve as follows: 3.a. Adopt resolution; and RESOLUTION NO. 06-43 - A resolution of the City Council of the City of Tustin, California approving an Addendum to the Final Environmental Impact Statement /Environmental Impact Report for the disposal and reuse of MCAS Tustin (UFEIS/EIR") for MCAS Tustin Specific Plan Amendment (Zone Change) 05-002 and Disposition and Development Agreement 06-01; and adopting a revised mitigation monitoring and reporting program 3.b. Introduce and have first reading by title only of the following ordinance: ORDINANCE NO. 1311 - An ordinance of the City Council of the City of Tustin, adopting MCAS Tustin Specific Plan Amendment (Zone Change) 05- 002 to amend various sections of the MCAS Tustin Speck Plan Motion carried 5-0. CONSENT CALENDAR -Pulled Items 8, 10 and 15 for separate discussion. It was moved by Councilmember Bone, seconded by Mayor Pro Tem Hagen, to approve Consent Calendar items 4 through 7, 9, and 11 through 14 as recommended by staff. Motion carried 5-0. 4. APPROVAL OF MINUTES -REGULAR MEETINGS OF MARCH 20, 2006 Motion: Approve the Regular City Council Meeting Minutes of March 20, 2006. 5. APPROVAL OF DEMANDS AND RATIFICATION OF PAYROLL Motion: Approve Demands in the amounts of $1,938,999.92 and 3,228,822.23; Reversals in the amount of $129,649.59; and Payroll in the amount of $544,834.48. 6. CONSIDERATION OF CLAIM OF MRS. A. M. KAAS, CLAIM NO. 06-07 Motion: That the City Council deny Claim Number 06-07, Mrs. A. M. Kaas, and direct Staff to send notice thereof to the Claimant. 7. PLANNING ACTION AGENDA -MARCH 27, 2006 All actions of the Planning Commission become final unless appealed by the City Council or member of the public. Motion: Ratify the Planning Commission Action Agenda of March 27 2006. City Council Meeting April 3, 2006 Minutes Page 6 of 18 8. APPROVAL OF A CONSULTANT SERVICES AGREEMENT WITH ECONOMICS, INC. TO PREPARE A SOLID WASTE BASE YEAR STUDY FOR SUBMISSION TO THE CALIFORNIA INTEGRATED WASTE MANAGEMENT BOARD In order to more accurately measure City compliance with the AB-939 diversion requirements, up-to-date solid waste data is essential. The City's annual report currently utilizes 2001 as the base year. Councilmember Amante requested clarification on base year study and recycling efforts. Motion: It was moved by Councilmember Amante, seconded by Mayor Pro Tem Hagen, to approve a Consultant Services Agreement with EcoNomics, Inc. in the amount of $43,450 to prepare a new base year study, which will establish 2005 as the new base year for submittal to the California Integrated Waste Management Board (CIWMB). Motion carried 5-0. 9. BOYS & GIRLS CLUB BUS DONATION FOR THE SENIOR TRANSPORTATION PROGRAM The Boys and Girls Club of Tustin is offering to donate a 16-passenger bus with "' wheelchair lift to the City. Its primary use would be for the Senior Transportation Program and would replace the current back-up 1994 Ford 16A/2W (16 ambulatory / 2 wheelchairs) passenger bus. Motion: Accept donation of a bus from the Boys and Girls Club of Tustin. 10. APPROVAL OF AMENDMENT NO. 1 TO CONSULTANT SERVICES AGREEMENT WITH RJM DESIGN GROUP FOR ADDITIONAL PROFESSIONAL SERVICES FOR CITRUS RANCH PARK CIP NO. 2046 Councilmember Amante requested construction start date and expected opening. Motion: It was moved by Councilmember Amante, seconded by Mayor Pro Tem Hagen, to approve a change order in the amount of $59,100 for the first amendment to the Consultant Services Agreement between RJM Design Group, Inc. and the City for additional design services for the Citrus Ranch Park Project (CIP NO. 2046) and authorize the City Manager and the Director of Parks and Recreation to execute the amended Consultant Services Agreement on behalf of the City, subject to City Attorney approval. Motion carried 5-0. 11. AWARD OF BID FOR ONE RIDING LAWNMOWER City Council Meeting April 3, 2006 Minutes Page 7 of 18 Motion: Award a bid for the purchase of one riding lawn mower to Bob Hicks Turf Equipment, in the amount of $66,284.57. 12. EXTENSION OF WEST COAST ARBORIST, INC. TREE TRIMMING CONTRACT The proposed extension will increase the existing fee schedule by 15%, with no further increase for the duration of the five (5) year extension. The contract amendment will also provide for an option of additional five (5) one-year extensions based upon future Consumer Price Index adjustments. Motion: Approve a contract amendment to provide a five (5) year extension to the existing Tree Trimming Contract with West Coast Arborists, Inc. from July 1, 2006 through June 30, 2011 and authorize the Mayor to execute the contract amendment, subject to the City Attorney's approval. 13. CONTRACT AMENDMENT FOR LANDSCAPE MAINTENANCE SERVICES FOR THE GENERAL FUND AREAS WITH TRUGREEN LANDCARE Approval of the second contract amendment with TruGreen LandCare will extend the agreement for landscape maintenance services for the General Fund Areas for the period from July 1, 2006 to June 30, 2007, with no increase in cost requested by the contractor. The amendment also provides for the addition of landscape maintenance services for additional City water facilities. Motion: Approve the second amendment to the contract agreement between TruGreen LandCare and the City of Tustin for landscape maintenance services for the General Fund Areas, subject to City Attomey approval. 14. CONTRACT AMENDMENT FOR LANDSCAPE MAINTENANCE SERVICES FOR THE ASSESSMENT DISTRICT AREAS WITH TRUGREEN LANDCARE Approval of the second contract amendment with TruGreen LandCare will extend the agreement for landscape maintenance services for the Assessment District areas for the period from July 1, 2006 to June 30, 2007. This amendment also provides for the addition of landscape maintenance services for the Peters Canyon Trail -Phase V. Motion: Approve the second amendment to the contract agreement between TruGreen LandCare and the City of Tustin for landscape maintenance services for the Assessment District areas, subject to City Attomey approval. 15. CITY.. OF TUSTIN RESPONSE TO CITY OF SANTA ANA NOTICE OF PREPARATION (NQP) FOR THE .METRO EAST MIXED USE .OVERLAY ZONE DRAFT EIR City Council Meeting April 3, 2006 Minutes Page 8 of 18 City Council authorization is requested for the City of Tustin's response to the Notice of Preparation (NOP) of a Draft Environmental Impact Report (DEIR) prepared for a General Plan Amendment and Zoning Code Amendment to allow for the development of higher density mixed-use and/or residential land uses within an overlay zone of 200 acres. The proposed Overlay Zone is located directly adjacent to the City of Tustin, west of Tustin Avenue, south of East Sixth Street, and between Interstate 5 and State Route 55 in the City of Santa Ana. Motion: It was moved by Mayor Davert, seconded by Councilmember Amante, to authorize staff to add traffic diversion and historic resources in the draft response letter and send to the City of Santa Ana. Motion carried 5-0. REGULAR BUSINESS 16. TUSTIN LEGACY BACKBONE INFRASTRUCTURE PROGRAM FAIR SHARE ANALYSIS An analysis has been completed of the fair share contributions required of each development area at the former MCAS Tustin as necessary to finance public facilities needed to serve new development. Presentation by Christine Shingleton, Assistant City Manager Basis for Program • Need for infrastructure • Requirement for a fair share or pro-rated distribution of costs • Estimates originally created in 2001, with updates needed to reflect changes in land use plan, new flood control and water quality requirements, and other environmental mitigation requirements • Report completed that has under gone intensive review and comment from major developers at Tustin Legacy including TLCP and Lennar Cost Allocations • LennarSquare $28.4 M • Lennar-Grove 18.9 M • Lennar-Irvine 13.1 M • WL Homes 9.7 M • Vestar 36.3m • TLCP 228.Om • Other Contributions 13.9m Motion: It was moved by Councilmember Bone, seconded by Mayor Pro Tem Hagen, to review and approve the Tustin Legacy Backbone Infrastructure Program Fair Share Analysis and instruct City Staff to utilize the fair share allocations identified for specific development areas pursuant to contractual agreements with developers at City Council Meeting April 3, 2006 Minutes Page 9 of 18 Tustin Legacy, conditions of entitlement approval for specific development projects at the former base in both Tustin and Irvine and in any and all property negotiations for disposition by the City of property at Tustin Legacy. Motion carried 5-0. 17. GRAD NIGHT FUNDING Tustin High School and Foothill High School are requesting a $2,500 donation each from the City to support Grad Nite Activities. Representatives from Foothill and Tustin High requested donation from City for Grad Nite events. Motion: It was moved by Councilmember Kawashima, seconded by Mayor Pro Tem Hagen, to approve funding as requested. Motion carried 4-1 (Bone opposed). RECESSED TO JOINT SESSION BETWEEN THE CITY COUNCIL AND THE TUSTIN PUBLIC FINANCING AUTHORITY AT 7:40 P.M. 18. TUSTIN LEGACY DISPOSITION AND DEVELOPMENT AGREEMENT 06-01 (MASTER DEVELOPMENT SITE) Approval is requested of a Disposition and Development Agreement (DDA) for the Master Development site between the City of Tustin, Tustin Public Financing Authority, and Tustin Legacy Community Partners, LLC ("TLCP" or the "Developer") for the sale and development of certain property at Tustin legacy ("Project"). Presentation by Christine Shingleton, Assistant City Manager Parties to the Agreement • TLCP (Tustin Legacy Community Partners, LLC) • Centex Homes • Shea Homes • Shea Properties • Tustin • City of Tustin • Tustin Public Financing Authority Negotiating Objectives • Business and Financial • Maximize Land Value • Reinvest Project Proceeds for Long Term Value Creation • Minimize the City's Risk • City Participation in Profits based on Value Added from development • Risk Management • Completion Guarantee City Council Meeting April 3, 2006 Minutes Page 10 of 18 • Completion of Public Improvements • Environmental Indemnification • Fiscal Objectives • Protection and Enhancement of the General Fund • City Cost Recovery • Property Maintenance and Security Responsibility • Judicious Use of Public Funding • Planning and Community Objectives • Establish a New Center of Activity in the City and Region • Create a "unique Sense of Place" • Establish a complimentary relationship with the surrounding community • Create livable communities • Urban Design Objectives • Sociable neighborhoods • Integration with Public Uses • Mixed Use Core • Interconnected Open Spaces • Human Scale • Sustainable Design Performance Based Transaction • Prevent "Cherry Picking" • Land takedown by Phase based on Performance in previous phase • Requirements before proceeding to next phase ^ Sufficient progress in the construction of Backbone Infrastructure and Local Backbone ^ Sufficient sales of land to Vertical Builders ^ Sufficient construction of vertical improvements Phases -Developable Acreage Phase 1 160 acres Residential - 111 acres Mixed Use - 39 acres Office - 10 acres Phase 2 190 acres Residential - 74 acres Retail - 26 acres Office - 84 acres Industrial - 6 acres Phase 3 54 acres Office - 35 acres Retail - 2 acres Industrial - 16 acres Phase 4 15 acres Closing Dates Phase 1 Sept 15, 2006 City Council Meeting April 3, 2006 Minutes Page 11 of 18 Phase 2 Sept 15, 2009 Phase 3 July 1, 2011 Phase 4 will be contingent upon City's ability to convey Hangar 29 * All property will be conveyed to TLCP in an "as is, where is" condition Administrative and Performance Obligations of TLCP • TLCP pays all City costs related to negotiating and documenting DDA • TLCP to fund all City costs associated with administering DDA not to exceed $4,048,270 • Performance Deposit - $500,000 to secure obligations of TLCP under DDA • Development Costs -TLCP to fund all project development costs including all direct and indirect costs associated with acquisition, construction, and normal entitlement fees. Base Purchase Price • Phase 1: no cash payment • Phase 2: $150M (Sept 2009) • Phase 3: $86M (July 2011) • Phase 4: future appraisal • TOTAL: $236M* * does not include Phase 4 or Participation; amounts are in 2006 dollars (non- discounted) Participation • City to receive 50% of profit once TLCP has reached agreed upon minimum [ profit threshold • Minimum Threshold: the greater of 20% IRR or 15% of estimated gross revenue up to $114.5M TLCP Infrastructure Obligations • Backbone Infrastructure - $228M ^ Total Backbone Infrastructure for Tustin Legacy is $348M... TLCP responsible for $228M... minus any third party construction and/or reimbursements ^ A portion of Backbone costs will be recaptured by TLCP through the establishment of Community Facility Districts (assessment districts) ^ All Backbone and Local Backbone Infrastructure is to be constructed in Phases 1 and 2 • Local Infrastructure - $204M Overview -Scope of Development • Residential Ownership and Rental 185 ac • Non-Residential Office, retail, industrial, hotel, congregate care, other 234 ac • Non-Saleable Uses Public and Private Parks, Open Space, Schools and Infrastructure 403 ac City Council Meeting April 3, 2006 Minutes Page 12 of 18 • TOTAL: 822 ac Residential Products Density Units Acres ~:. Low-Density 533 104 ac Medium-Density 489 48 ac Medium/High Density 1,083 33 ac TOTAL* 2,105 185 ac * Affordable units are included in the "Total Units" Non-Residential Uses Uses Sauare Feet Acres Retail 494,604 31 ac Office (General & Office Park) 4,724,324 145 ac Industrial 627,046 32 ac Congregate Care 158,994 7 ac Hotel (<500 rooms) 380,000 6 ac Theatre and Other 55,001 2 ac Hangar 29 Parcel 299,074 15 ac TOTAL 6,739,042 234 ac Non-Salable Uses Schools 50 acres ^ High School (40 acres) ^ Elementary School (10 acres; can be expanded to 15 acres) Parklands 170 acres ^ Public Parks (86 acres) • 10.4 acre sports field and water detention area • 46 acre Community Park including tennis and aquatic facilities • 15.7 acres in linear parks • 14.1 acres in Neighborhood Parks ^ Private Parks (84 acres) Infrastructure 182 acres ^ Backbone Infrastructure (101 acres) ^ Local Infrastructure (81 acres) TOTAL: 403 acres Design Features • Lineal Park System ^ All neighborhoods and districts lead to the park ^ Community organizing element ^ Active and passive areas • Open Community Plan ^ No gated neighborhoods or districts • Multi-Functional Circulation System ^ Pedestrian environment... walkable ^ Drivable environment • Architectural framework City Council Meeting April 3, 2006 Minutes Page 13 of 18 ^ Creation of focal points • Attention will be given to appropriate massing, scale, color and quality of exteriors • Landscape network ^ Create continuity between properties ^ Attention streetscape design, pedestrian and bikeway linkages, signage, screening, and placement of view corridors Master Block/Community Core • Centerpiece of Tustin Legacy • "new urban activity zone" • Vertically and horizontally integrated uses • Grid pattern street system emphasizing walkable blocks • Mixed-Use Environment comparable in Quality and Amenities to: • Santana Row (San Jose) • Valencia Town Center (Valencia) • Pearl District (Portland, Oregon) • King Street Corridor (Mission Bay, SF) Residential Design • Consistent with Specific Plan • 15% of Detached product to be Single Story • High Architectural Quality & Character • Four-sided Architecture • Material, Quality and Amenities comparable to: ^ Tustin Field I & II ^ Master Planned Communities of Ladera and Talega Non-Residential Design -Comparable in Quality and Amenities to: • New Office and Industrial ^ Irvine Business Center ^ Irvine Spectrum • Neighborhood Retail Centers ^ Oak Creek Village Center (Irvine) ^ Northpark Plaza (Irvine) ^ Newport Center North (Newport Beach) • Bluffs (Newport Beach) TLCP's Conditions Precedent to Closing Phase 1 • Closing costs • Sector `A' map recordation • Hydrology Study approved • Implementation Strategy for Master Block within Community Core approved • Design Guidelines approved TLCP's Conditions Precedent to Closing Phase 2 • Sector `B' maps for Phase 1 and 2 recorded City Council Meeting April 3, 2006 Minutes Page 14 of 18 • Substantial Progress in Phase 1 toward: ^ Completing all Backbone Infrastructure ^ Completing all Local Infrastructure ^ At least 75% of non-residential and mixed-use parcels in Phase 1 sold to Vertical Builders ^ 100% of residential parcels in Phase 1 (Neighborhood G) sold to Vertical Builders TLCP's Conditions Precedent to Closing Phase 3 • Sector `B' maps for all TLCP Parcels recorded • Substantial Progress: ^ Phase 1 • 100% of non-residential and mixed-use parcels in Phase 1 sold tc Vertical Builders • Substantial progress towards the Completion of Phase 1 Vertical Development ^ Phase 2 • 100% of Backbone and Local Backbone Infrastructure in Phase 2 completed • At least 75% of non-residential parcels in Phase 2 sold to Vertical Builders • Substantial progress towards the Completion of Phase 2 Vertical Development • 100% of residential parcels in Phase 2 (Neighborhood G) sold to Vertical Builders • Sector `C' maps for all parcels located in Neighborhood G completed Other Provisions • Insurance • Indemnity • Control of Transfer Issues • Reversion Councilmember Bone thanked staff and developer for job well done. Inquired on water well ownership and operation. Shingleton indicated that it would be granted by easement to IRWD. Also would like no fences around public school/park sites. Staff indicated that joint use task force would address those issues. Mayor Pro Tem Hagen thanked Shingleton and staff for job well done. Asked when the final built out would be. Staff indicated that it would be approximately 2016. Councilmember Kawashima commented on aquatic park and tennis complex center. Councilmember Amante mentioned that backbone infrastructure of Phase I (Tustin Ranch Road north & south arterials) are needed for relief on Red Hill. Public 1, _ Works Director Serlet indicated that timing of road improvements would be priority. City Council Meeting April 3, 2006 Minutes Page 15 of 18 Mayor Davert requested periodic updates to Planning Commission and City Council. Acknowledged receipt of letter received from TUSD on school financing. Richard Douglas, Les Thomas, Jack Godard commented on the creative process thus far and looking forward to development process. Simon Whitmey, General Manager of TLCP thanked staff. City Council Action Motion: It was moved by Councilmember Bone, seconded by Mayor Pro Tem Hagen, to approve the following: 18.a. Adopt Resolution No. 06-42 approving Tustin Legacy DDA 06-01 subject to any non-substantive modifications as may be determined necessary as may be approved by the City Manager, or as recommended by the City's special counselor the City Attorney and authorize the City Manager and/or Assistant City Manager to execute the document and to take all actions necessary or desirable to implement the DDA including the execution of all related documents and instruments including the Memorandum of DDA, Ground leases, Bill of Sales, Quitclaim Deeds, any necessary Subordination Agreements, any Assignment and Assumption Agreements, any Certificates of Compliance, any City Estoppels, any Special Restrictions and, upon satisfaction of all conditions and obligations of Developer thereto and pursuant to the DDA, to transfer the subject site in phases to the Developer RESOLUTION NO. 06-42 - A resolution of the City Council of the City of Tustin, California, approving the Tustin Legacy Disposition and Development Agreement for the Master Development Site Motion carried 5-0. Tustin Public Financing Authority Action Motion: It was moved by Boardmember Amante, seconded by Boardmember Bone, to approve the following: TPFA.2.a. Adopt TPFA Resolution No. 06-01 approving an Addendum to the Final EIS/EIR for the Disposal and Reuse Of MCAS Tustin (" FEIS/EIR") for DDA 06-01; and adopting a revised Mitigation Monitoring Report. TPFA RESOLUTION NO. 06-01 - A resolution of the Tustin Public Financing Authority of the City of Tustin, California approving an Addendum to the Final Environmental Impact Statement / Environmental Impact Report for the disposal and reuse of MCAS Tustin (UFEIS/EIR") for the Tustin Legacy Disposition and Development Agreement 06-01 (Master Development Site); and adopting a Revised Mitigation, Monitoring and Reporting Program City Council Meeting April 3, 2006 Minutes Page 16 of 18 TPFA 2.b. Adopt Resolution No. 06-02 approving DDA 06-01 subject to any non- substantive modifications as may be determined necessary as may be approved by the City Manager, or as recommended by the City's special counselor the City Attorney and authorize the City Manager and/or Assistant City Manager to execute the document and to take all actions necessary or desirable to implement the DDA including the execution of all related documents and instruments including the Memorandum of DDA, Ground Leases, Bill of Sales, Quitclaim Deeds, any necessary Subordination Agreements, any Assignment and Assumption Agreements, any Certificates of Compliance, any City Estoppels, any Special Restrictions and, upon satisfaction of all conditions and obligations of Developer thereto and pursuant to the DDA, to transfer the subject site in phases to the Developer. TPFA RESOLUTION NO. 06-02 - A resolution of the Tustin Public Financing Authority, California approving the Tustin Legacy Disposition and Development Agreement 06-01 (Master Development Site) Motion carried 5-0. RECONVENED TO THE REGULAR MEETING OF THE CITY COUNCIL AT 8:16 P.M. 19. CITY COUNCIL -LEGISLATIVE UPDATES • Discuss Proposed Ballot Measure A on the June 6, 2006 Election Hagen, Amante, Kawashima and Davert support, Bone not supporting Motion: It was moved by Councilmember Kawashima, seconded by Mayor Davert to support Ballot Measure A. Motion carried 4-1 (Bone opposed) SECOND PUBLIC INPUT -Billy Hall reported that American Legion selected 3 outstanding boys for Boys State; Girls State program underway; would like to bring boys to council meeting in July to report to Council. OTHER BUSINESS /COMMITTEE REPORTS Councilmember Amante: • Commended staff on their professionalism and hard work especially on development of Tustin Legacy. City Council Meeting April 3, 2006 Minutes Page 17 of 18 Councilmember Kawashima: Commented on actions taken at tonight's meeting and milestone for Tustin Legacy; Attended Senior Center Fund Board meeting, current focus is on modernizing and expanding kitchen to provide healthier meals for seniors; and Invited everyone to Casino and Karaoke Night on April 22"x. Councilmember Bone: • Thanked everyone who has participated in Base development; • Along with Public Works Director Tim Serlet, met with CalTrans District 12 representative to discuss recent OCTA presentation, Measure M widening of 55 and 5 freeways, funds are available to study extension of 57 Freeway and South County Tunnel projects, and would be working with staff on signal coordination at 5 freeway/Red Hill Avenue and 55 freeway/17~' Street; and • Attended State League's Policy Committee on Transportation, Communication and Public Works; requested staff agendize SB 1627 for future discussion. Mayor Pro Tem Hagen: • Reflected on past 12 years since closure of Base, Council did not give in to pressures for high-rise buildings, always considered best interests of City and residents, and commended staff and Council on great team-work. Mayor Davert: • Thanked Mayor Pro Tem Hagen for thousands of hours of work on Base development; • Tustin Police Department's Baker to Vegas run was successful; • Attended Public Safety League Committee meeting; • Thanked staff for hard work now and in future development of Base; • Announced Public Hearing on water rate increase at May 1St Council meeting; and • Adjourned in memory of former Santa Ana Mayor Lorin Griset. ADJOURNED - 8:37 P.M. -Next meeting scheduled for April 17, 2006 at 5:30 p.m. for Closed Session and 7:00 p.m. for Regular Session in the Council Chamber, 300 Centennial Way, Tustin, California. Adjourn in memory of former Santa Ana Mayor Lorin Griset DOUG AVERT, PAMELA STOKE Mayor City Clerk City Council Meeting April 3, 2006 Minutes Page 18 of 18