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HomeMy WebLinkAbout02 INTERIM ORDINANCE NO. 1402AGENDA REPORT Agenda Item 2 Reviewed: City Manager Finance Director N/A MEETING DATE: JULY 5, 2011 TO: WILLIAM A. HUSTON, INTERIM CITY MANAGER FROM: COMMUNITY DEVELOPMENT DEPARTMENT SUBJECT: INTERIM URGENCY ORDINANCE NO. 1402 EXTENDING THE REQUIREMENT FOR THE EXECUTION OF A DEVELOPMENT AGREEMENT PRIOR TO OR CONCURRENT WITH CITY APPROVAL OF ANY DEVELOPMENT PROJECT AT TUSTIN LEGACY FOR A PERIOD OF TEN MONTHS AND FIFTEEN DAYS PENDING A STUDY OF LAND USE REGULATIONS PURSUANT TO GOVERNMENT CODE SECTION 65858. (4/5ths Vote Required) SUMMARY: On June 7, 2011, the Tustin City Council approved Urgency Ordinance No. 1401 to require the execution of a Development Agreement prior to or concurrent with City approval of any development project at Tustin Legacy for a period of 45 days. Proposed Urgency Ordinance No. 1402 is an interim urgency measure that would extend the effective term of Interim Urgency Ordinance No. 1401. The proposed extension ordinance would require that, in addition to the current entitlement requirements imposed by the MCAS Tustin Specific Plan and the Tustin City Code, each applicant for any discretionary entitlement and/or grading or building permit for which an entitlement or permit shall not have been issued by the City prior to June 7, 2011 shall apply for and obtain a Development Agreement with the City of Tustin in accordance with Section 65864 et seq. of the Government Code and Sections 9600 to 9619 of the Tustin City Code. The provisions of this ordinance would not apply to any public agency developing public uses. If adopted, Ordinance No. 1402 would ensure that the issuance or approval of any general plan amendment, specific plan, specific plan amendment, building permit, conditional use permit, variance, design review, subdivision map, or parcel map, or other land use entitlement for private development of any property within the MCAS Tustin Specific Plan area shall not be approved until a development agreement has been approved as provided in this Urgency Ordinance. A development agreement will provide for the orderly implementation of development within the Specific Plan area in accordance with the General Plan and Specific Plan and ensure infrastructure obligations required for private development within the Final EIS/EIR and the phasing requirements more particularly described in Section 4.4 of the MCAS Tustin Specific Urgency Ordinance No. 1402 July 5, 2011 Page 2 Plan. It should be noted that the provisions of this urgency ordinance do not apply to any action for which the City of Tustin is the applicant, or to any public agency developing public uses, including without limitation any school district developing schools or related public uses. If adopted by four-fifths vote, Urgency Ordinance No. 1402 would be effective for a period of ten months and fifteen days pursuant to Government Code Section 65858. RECOMMENDATION: That the City Council adopt Urgency Ordinance No. 1402 by at least afour-fifths vote. FISCAL IMPACT: Urgency Ordinance No. 1402 is aCity-initiated project. There is no direct fiscal impact associated with the proposed ordinance. ENVIRONMENTAL: Urgency Ordinance No. 1402 is not subject to the California Environmental Quality Act (CEQA) pursuant to Title 14 California Code of Regulations, Section 15060(c)(2) (the activity will not result in a direct or reasonably foreseeable indirect physical change in the environment) and 15060(c)(3) (the activity is not a project as defined in 15378) because it has no potential for resulting in physical change to the environment, directly or indirectly. BACKGROUND AND DISCUSSION: The MCAS Tustin Specific Plan/Reuse Plan ("Specific Plan") was approved and adopted on February 3, 2003 by Ordinance No. 1257 setting forth the zoning and entitlement framework for future development of former Marine Corps Air Station (MCAS) Tustin. The MCAS Tustin Specific Plan, as subsequently amended, does not currently contain regulations governing the establishment and execution of Development Agreements between the City and private developers prior to development occurring at the former MCAS-Tustin (the portion of the former MCAS Tustin located within the City of Tustin is referred as "Tustin Legacy"). To strengthen the public planning process, encourage private participation in comprehensive planning, and reduce the economic risk of development, the Legislature of the State of California adopted the "Development Agreement Statute," Section 65864, et seq. of the Government Code. The Development Agreement Statute authorizes cities to enter into an agreement with any person having a legal or equitable interest in real property and to provide for development of such property and to establish certain development rights therein. Pursuant to the authorization set forth in the Development Agreement Statute, the City of Tustin is authorized and has enacted procedures for entering into development agreements that are contained in Tustin City Code Section 9600 to 9619. Urgency Ordinance No. 1402 July 5, 2011 Page 3 All proposed development projects on undeveloped property at Tustin Legacy are required under the MCAS Tustin Specific Plan and Final EIS/EIR to install backbone and local infrastructure or make a fair share contribution to the development of backbone infrastructure (the "Tustin Legacy Backbone Infrastructure Program"), and make public dedications as determined necessary to support proposed land uses within the project and the specific developments. Prior to construction of improvements by private owners, the City has entered into agreements with each private owner within the Specific Plan area regarding funding for the infrastructure improvements. The City must be able to ensure that a proposed private development project is supported by backbone and local infrastructure, meets the requirements of the Final EIS/EIR, and that it implements Specific Plan requirements. Without the protections provided by requiring Development Agreements to establish the timing, sequencing, financing and development of infrastructure, including the Tustin Legacy Backbone Infrastructure Program, the City could not assure that the infrastructure will be developed in an appropriate and timely manner to serve Tustin Legacy resulting in a waste or excess expenditure of public resources, escalation in the cost of local infrastructure and Tustin Legacy Backbone Infrastructure Program improvements, and a failure to complete comprehensive traffic, drainage, and other Tustin Legacy Backbone Infrastructure Program improvements required by the Specific Plan, the Final EIS/EIR, and Tustin City Codes. The processing and approval of Development Agreements is intended to augment and further the purposes and intent of the General Plan, Specific Plan and Final EIS/EIR. The processing and approval of Development Agreements will eliminate uncertainty in planning for and securing the orderly development of Tustin Legacy, ensure a desirable and functional community environment, provide for effective and efficient development of public facilities, infrastructure, and services appropriate and necessary for the development of Tustin Legacy, assure attainment of the maximum effective utilization of resources within the City, and provide other significant and required public benefits to the City and its residents by otherwise achieving the goals and purposes of the Development Agreement Statute. Further, Development Agreements with private developers will establish a schedule of performance for future development including obligations and phasing triggering mechanisms that ensure that adequate local and Tustin Legacy Backbone Infrastructure Program improvements are in place to support anticipated development in accordance with the Phasing Plan identified in the MCAS Tustin Specific Plan and Final EIS/EIR and Addendum, and any Tustin City Code requirements. California Government Code Section 65858 authorizes a city to adopt an interim urgency ordinance to establish temporary regulations while it studies related land use regulations. Specifically, Government Code Section 65858(a) provides as follows: Urgency Ordinance No. 1402 July 5, 2011 Page 4 "Without following the procedures otherwise required prior to the adoption of a zoning ordinance, the legislative body of a county, city, including a charter city, or city and county, to protect the public safety, health, and welfare, may adopt as an urgency measure an interim ordinance prohibiting any uses that may be in conflict with a contemplated general plan, specific plan, or zoning proposal that the legislative body, planning commission or the planning department is considering or studying or intends to study within a reasonable time. That urgency measure shall require afour-fifths vote of the legislative body for adoption. The interim ordinance shall be of no further force and effect 45 days from its date of adoption. After notice pursuant to Section 65090 and public hearing, the legislative body may extend the interim ordinance for 10 months and 15 days and subsequently extend the interim ordinance for one year. Any extension shall also require afour-fifths vote for adoption. Not more than two extensions may be adopted." Pursuant to Government Code Section 65858(c),the adoption of such an interim ordinance requires the City Council must make findings that there is~ a current and immediate threat to the public health, safety, or welfare, and that the approval of private development permits or land use entitlements without a Development Agreement at Tustin Legacy would result in the identified threat. Proposed Ordinance No. 1402 contains the required findings. The provisions of this urgency ordinance do not apply to any action for which the City of Tustin is the applicant, or to any public agency developing public uses, including without limitation any school district developing schools or related public uses. `~a--~•- ~ e~-__ Dana L. Ogdon Assistant Director Elizabeth A. Binsack Community Development Director Attachment: Proposed Interim Urgency Ordinance No. 1402 S:~Ctld~CCREPORTDevelopmentAgmementUigenq.doc ORDINANCE NO. 1402 AN INTERIM URGENCY ORDINANCE OF THE CITY COUNCIL OF THE CITY OF TUSTIN, CALIFORNIA, EXTENDING THE REQUIREMENT FOR THE EXECUTION OF A DEVELOPMENT AGREEMENT PRIOR TO OR CONCURRENT WITH CITY APPROVAL OF ANY DEVELOPMENT PROJECT AT TUSTIN LEGACY FOR A PERIOD OF TEN MONTHS AND FIFTEEN DAYS PENDING A STUDY OF LAND USE REGULATIONS PURSUANT TO GOVERNMENT CODE SECTION 65858. (4/5ths Vote Required) The City Council of the City of Tustin does hereby ordain as follows: SECTION 1. This interim urgency ordinance is adopted pursuant to Government Code Section 36937 and 65858, to protect the public safety, health, and welfare. SECTION 2. Interim Urgency Ordinance No. 1401 requiring the execution of a Development Agreement prior to or concurrent with City Approval of any development project at Tustin Legacy is hereby extended for an additional period of ten (10) months and fifteen (15) days. SECTION 3. The City Council hereby finds, determines and declares that this urgency ordinance is necessary because: A. The MCAS Tustin Specific Plan/Reuse Plan ("Specific Plan") was approved and adopted on February 3, 2003 by Ordinance No. 1257 setting forth the zoning and entitlement framework for future development of former Marine Corps Air Station (MCAS) Tustin. The MCAS Tustin Specific Plan, as subsequently amended, does not currently contain regulations governing the establishment and execution of Development Agreements between the City and private developers prior to development occurring at the former MCAS-Tustin (the portion of the former MCAS Tustin located within the City of Tustin is referred as "Tustin Legacy"). All references to the "Specific Plan" shall be deemed to refer to the MCAS Tustin Specific Plan, as the same may be amended from time to time. The Specific Plan conforms to and implements the City's General Plan. Tustin Legacy is also located within the MCAS Tustin Redevelopment Project Area. B. A Final Joint Environmental Impact Statement/Environmental Impact Report for the Disposal and Reuse of MCAS Tustin (the "Final EIS/EIR") and Mitigation and Reporting Program for the Final EIS/EIR was adopted by the City on January 16, 2001. In March 2001, a Record of Decision was issued by the United States Department of the Navy approving the Final EIS/EIR and Reuse Plan. C. To strengthen the public planning process, encourage private participation in comprehensive planning, and reduce the economic risk of development, the Legislature of the State of California adopted the "Development Agreement Statute," Section 65864, et seq. of the Government Code. The Development Agreement Statute authorizes cities to enter into an agreement with any person having a legal or equitable interest in real property and to provide for development of such property and to establish certain development rights therein. Pursuant to the authorization set forth in the Development Agreement Statute, the City of Tustin is authorized and has enacted procedures for entering into development agreements that are contained in Tustin City Code Section 9600 to 9619. Requiring a development agreement for development of undeveloped property within the Specific Plan area will ensure the orderly implementation of infrastructure and additional development in accordance with the General Plan, MCAS Tustin Specific Plan, and Final Program EIR/EIS for the Reuse and Disposal of the Former MCAS Tustin and Addendum (the "Final EIS/EIR"). D. All proposed private development projects on undeveloped property at Tustin Legacy are required under the MCAS Tustin Specific Plan and Final EIS/EIR to install backbone and local infrastructure or make a fair share contribution to the development of backbone infrastructure (the "Tustin Legacy Backbone Infrastructure Program"), and make public dedications as determined necessary to support proposed land uses within the project and the specific developments; prior to construction of improvements by private owners, the City has entered into agreements with each private owner within the Specific Plan area regarding funding for the infrastructure improvements. E. The City must be able to ensure that a proposed private development project is supported by backbone and local infrastructure, meets the requirements of the Final EIS/EIR, and that it implements Specific Plan requirements. Without the protections provided by requiring Development Agreements to establish the timing, sequencing, financing and development of infrastructure, including the Tustin Legacy Backbone Infrastructure Program, the City could not assure that the infrastructure will be developed in an appropriate and timely manner to serve Tustin Legacy resulting in a waste or excess expenditure of public resources, escalation in the cost of local infrastructure and Tustin Legacy Backbone Infrastructure Program improvements, and a failure to complete comprehensive traffic, drainage, and other Tustin Legacy Backbone Infrastructure Program improvements required by the Specific Plan, the Final EIS/EIR, and Tustin City Codes F. The processing and approval of Development Agreements is intended to augment and further the purposes and intent of the General Plan, Specific Plan and Final EIS/EIR. The processing and approval of Development Agreements will eliminate uncertainty in planning for and securing the orderly development of Tustin Legacy, ensure a desirable and functional community environment, provide for effective and efficient development of public facilities, infrastructure, and services appropriate and necessary for the development of Tustin Legacy, assure attainment of the maximum effective utilization of resources within the City, and provide other significant and required public benefits to the City and its residents by otherwise achieving the goals and purposes of the Development Agreement Statute. Further, Development Agreements will establish a schedule of performance for future development including obligations and phasing triggering mechanisms that ensure that adequate local and Tustin Legacy Backbone Infrastructure Program improvements are in place to support anticipated development in accordance with the Phasing Plan identified in the MCAS Tustin Specific Plan and Final EIS/EIR and Addendum, and any Tustin City Code requirements. G. This Urgency Ordinance has been prepared to provide the necessary interim amendments consistent with the objectives, policies, and general plan elements of the City of Tustin while the Community Development Department is considering or studying a contemplated permanent proposed ordinance implementing Development Agreement regulations at Tustin Legacy. H. The provisions of this Urgency Ordinance are necessary to preserve the orderly development of Tustin Legacy and will not be detrimental to the public convenience, health, safety and general welfare of the City and its residents and will ensure completion of infrastructure obligations required for private development within the Final EIS/EIR and the phasing requirements more particularly described in Section 4.4 of the MCAS Tustin Specific Plan document. That it is reasonable to conclude that approval of additional entitlements would be a current and immediate threat to public health, safety, and welfare in the absence of regulations imposing and allocating necessary infrastructure development requirements. SECTION 4. For the period of this Urgency Ordinance, or any extension thereof, the following requirement for Development Agreement(s) shall apply to all development at Tustin Legacy: Development Agreement(s) The Development Agreement Statute, Section 65864, authorizes the City to enter into an agreement with any person having a legal or equitable interest in real property and to provide for development of such property and to establish certain development rights therein. Pursuant to the authorization set forth in the Development Agreement Statute, the City has enacted procedures for entering into development agreements which are contained in Tustin City Code Sections 9600 to 9619. For private development projects within the Specific Plan area, the City hereby requires that in addition to the current entitlement requirements imposed by the Specific Plan and the Tustin City Code, each applicant for any discretionary entitlement and/or grading or building permit for which an entitlement or permit shall not have been issued by the City prior to June 7, 2011 shall apply for and obtain a Development Agreement with the City of Tustin in accordance with Section 65864 et seq. of the Government Code and Sections 9600 to 9619 of the Tustin City Code. The issuance or approval of any general plan amendment, specific plan, specific plan amendment, building permit, conditional use permit, variance, design review, subdivision map, or parcel map, or other land use entitlement for development of any property within the Specific Plan shall not be approved until a development agreement has been approved as provided in this Urgency Ordinance. A development agreement will provide for the orderly implementation of development within the Specific Plan area in accordance with the General Plan and Specific Plan and ensure that infrastructure obligations required for private development within the Final EIS/EIR and the phasing requirements more particularly described in Section 4.4 of the MCAS Tustin Specific Plan. SECTION 4.5.The provisions of this urgency ordinance shall not apply to any action for which the City of Tustin is the applicant, or to any public agency developing public uses, including without limitation any school district developing schools or related public uses. SECTION 5. The City Council finds that this ordinance is not subject to the California Environmental Quality Act ("CEQA") pursuant to CEQA Guidelines Sections 15060(c)(2) (the activity will not result in a direct or reasonably foreseeable indirect physical change in the environment) and 15060(c)(3) (the activity is not a project as defined in Section 15378) (Title 14, of the California Code of Regulations) because it has no potential for resulting in physical change to the environment, directly or indirectly. SECTION 4. Ten (10) days prior to the expiration of this interim urgency ordinance, or an extension thereof, the City Council shall issue a written report describing the measures which the City has taken to address the conditions which led to the adoption of this ordinance. SECTION 5. This interim urgency ordinance shall take effect immediately upon its adoption by afour-fifths (4/5) vote of the City Council. This interim urgency ordinance shall continue in effect for ten (10) months and fifteen (15) days from the date of its adoption and shall thereafter be of no further force and effect unless, after notice pursuant to California Government .Code Section 65090 and a public hearing, the City Council extends this interim urgency ordinance for an additional period of time pursuant to California Government Code Section 65858. SECTION 6. The City Council hereby initiates a code amendment to include the provisions of Interim Urgency Ordinance No. 1402 within the MCAS Tustin Specific Plan and directs the Planning Commission to consider said code amendment for recommendation to the City Council. SECTION 7. If any section, subsection, subdivision, paragraph, sentence, clause or phrase in this ordinance or any part thereof is for any reason, held to be unconstitutional or invalid, or ineffective by any court of competent jurisdiction such decision shall not affect the validity or effectiveness of the remaining portions of this ordinance or any part thereof. The City Council hereby declares that it would have passed this ordinance and each section, subsection, subdivision, sentence, clause and phrase thereof, irrespective of the fact that any one or more sections, subsections, subdivisions, sentences, clauses or phrases be declared unconstitutional. PASSED, APPROVED, AND ADOPTED, at a regular meeting of the City Council for the City of Tustin on this 5th day of July, 2011. JERRY AMANTE, MAYOR PAMELA STOKER, CITY CLERK STATE OF CALIFORNIA ) COUNTY OF ORANGE ) ss. CITY OF TUSTIN ) ORDINANCE NO. 1402 PAMELA STOKER, City Clerk of the City of Tustin, California, does hereby certify that the foregoing Ordinance No. 1402 was duly introduced, adopted, and passed as an urgency ordinance at a regular meeting of the City Council held on the 5th day of July 2011, by the following vote: COUNCILPERSONS AYES: COUNCILPERSONS NOES: COUNCILPERSONS ABSTAINED: COUNCILPERSONS ABSENT: PAMELA STOKER, City Clerk Published: