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Home My WebLink About11 SECOND READING AND ADOPTION OF ORDINANCE NO. 1532Agenda Item Reviewed: City Manager Finance Director N/A MEETING DATE: FEBRUARY 7, 2023 TO: MATTHEW S. WEST, CITY MANAGER FROM: ERICA N. YASUDA, CITY CLERK SUBJECT: SECOND READING AND ADOPTION OF ORDINANCE NO. 1532 APPROVING DEVELOPMENT AGREEMENT (DA) 2022-0002 BETWEEN THE CITY OF TUSTIN AND INTRACORP SO CAL-1, LLC TO ACCEPT THE VOLUNTARY PROVISION OF COMMUNITY PUBLIC BENEFITS, BY INCLUDING TWO (2) AFFORDABLE HOUSING UNITS FOR VERY-LOW INCOME HOUSEHOLDS, EQUITY SHARING, AND PAYMENT OF AN AFFORDABLE HOUSING IN-LIEU FEE AND FOR A 40-UNIT RESIDENTIAL CONDOMINIUM PROJECT AT 17802 AND 17842 IRVINE BOULEVARD SUMMARY: Adoption of Ordinance No. 1532 approving Development Agreement 2022-0002 to accept the voluntary provision of community public benefits, by including two (2) affordable housing units for very-low income households, equity sharing, payment of affordable housing in-lieu fee. RECOMMENDATION: That the City Council have second reading by title only and adoption of Ordinance No. 1532. BACKGROUND: On January 17, 2023, the City Council had first reading by title only of Ordinance No. 1532. ORDINANCE NO. 1532 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF TUSTIN, CALIFORNIA APPROVING DEVELOPMENT AGREEMENT (DA) 2022-0002 BETWEEN THE CITY OF TUSTIN AND INTRACORP SO CAL-1, LLC TO ACCEPT THE VOLUNTARY PROVISION OF COMMUNITY PUBLIC BENEFITS, BY INCLUDING TWO (2) AFFORDABLE HOUSING UNITS FOR VERY-LOW INCOME HOUSEHOLDS, EQUITY SHARING, AND PAYMENT OF AN AFFORDABLE HOUSING IN-LIEU FEE AND FOR A 40-UNIT RESIDENTIAL CONDOMINIUM PROJECT AT 17802 AND 17842 IRVINE BOULEVARD Attachment: 1.Ordinance No. 1532 AGENDA REPORT 11 DocuSign Envelope ID: 1A2EB726-B254-4B6D-B0CA-5BB398CA5305 ORDINANCE NO.1532 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF TUSTIN, CALIFORNIA APPROVING DEVELOPMENT AGREEMENT (DA) 2022-0002 BETWEEN THE CITY OF TUSTIN AND INTRACORP SO CAL-1, LLC TO ACCEPT THE VOLUNTARY PROVISION OF COMMUNITY PUBLIC BENEFITS, BY INCLUDING TWO (2) AFFORDABLE HOUSING UNITS FOR VERY-LOW INCOME HOUSEHOLDS, EQUITY SHARING, AND PAYMENT OF AN AFFORDABLE HOUSING IN-LIEU FEE AND FOR A 40-UNIT RESIDENTIAL CONDOMINIUM PROJECT AT 17802 AND 17842 IRVINE BOULEVARD The City Council of the City of Tustin does hereby ordain as follows: SECTION 1. The City Council finds and determines as follows: A. That proper application has been submitted by Intracorp So Cal-1 for the development of forty (40) residential condominium units with common and private open space on an approximate 2.07-acre site and to provide for public benefits in the form of two (2) affordable housing units for very-low income households and affordable housing in-lieu of an affordable fee. B. That Section 65864 et seq. of the Government Code and Sections 9600 to 9619 of the Tustin City Code (TCC) authorize the Tustin City Council to enter into a Development Agreement. In compliance with TCC Section 9611, the Tustin Planning Commission must make a recommendation on the proposed Development Agreement (DA) 2022-0002 to the City Council. C. That a public hearing was duly called, noticed, and held on said application on December 13, 2022, by the Planning Commission. The Planning Commission adopted Resolution No. 4464 recommending that the City Council approve the DA. D. That the City prepared an Initial Study to evaluate the potential environmental impacts associated with the project that concluded, with mitigation measures, potential significant impacts can be reduced to a level of insignificance and a draft Mitigated Negative Declaration (MND) was prepared. E. That a public hearing was duly called, noticed, and held on said application on January 17, 2023, by the City Council. F. That the City Council has considered the Initial Study/MND and the MMRP (Resolution No. 4465) and comments received during the public review process and finds the Initial Study/MND adequate for the project. DocuSign Envelope ID: 1A2EB726-B254-4B6D-B0CA-5BB398CA5305 Ordinance 1532 Page 2 of 4 G. That the DA is supported by the following findings: 1. That the DA is consistent with GPA 2022-0001 and ZC 2022-0001 and the project will be consistent with the objectives, policies, general land uses and programs specified in the General Plan in that residential uses are permitted uses within the High Density Residential (HDR) land use designation and the Multi-Family Residential (R3) zoning district. 2. That the project is compatible with the uses authorized in the district in which the property is located. 3. That the project is in conformity with the public necessity, public convenience, general welfare and good land use practices in that the project would provide thirty-eight (38) market-rate for sale units and two (2) affordable housing units for very-low income households for new and existing Tustin residents thereby providing additional options of housing types to the City’s house stock. 4. The project will not be detrimental to the health, safety and general welfare. The project will comply with the TCC, mitigation measures and conditions of approval and other regulations to ensure that the project will not be detrimental to the community. 5. The project will not adversely affect the orderly development of property in that the proposed project is orderly, well designed and equipped with the necessary infrastructure and amenities to support existing and future residents and businesses in the City. 6. That the approval of the DA will provide for payment of affordable housing in-lieu fee. 7. A Fiscal Impact Analysis was prepared and submitted along with the DA which verifies that the project would have a positive fiscal impact on the City over and above that of the current commercial and office uses. H. That the provisions of DA 2022-0002 are consistent with GPA 2022-0001 and the policies of the General Plan, as evidenced by the following findings: 1. That the project is adjacent to other residential uses, particularly multi-family dwellings immediately adjacent to the project site. 2. That residential uses are more beneficial to adjacent multi-family dwellings than the current commercial uses. DocuSign Envelope ID: 1A2EB726-B254-4B6D-B0CA-5BB398CA5305 Ordinance 1532 Page 3 of 4 I. That the proposed project is consistent with the General Plan Housing Element Goal 1 in that the project would facilitate the provision of an adequate supply of housing to meet the need for a variety of housing types and the diverse socio-economic needs of all community residents and supports State Housing Law as implemented by the Regional Housing Needs Assessment (RHNA). The project provides for thirty-eight (38) market-rate for sale units and two (2) affordable units. In furtherance of Goal 1 of the Tustin General Plan Housing Element, the applicant will pay an in-lieu affordable housing fee which will be used for development of affordable housing in another location within the City. J. That an Initial Study was prepared to evaluate the potential e nvironmental impacts associated with DA 2022-0002 that concluded, with mitigation measures, potential significant impacts can be reduced to a level of insignificance and a draft MND was prepared. SECTION 2. The City Council hereby approves DA 2022-0002 attached hereto as Exhibit A and subject to final approval of the City Attorney. SECTION 3: The City Manager is hereby authorized to take such actions, and execute such documents and instruments as deemed necessary or desirable to implement the terms of the DA and other documents as necessary. SECTION 4. Severability. If any section, subsection, sentence, clause, phrase, or portion of this ordinance is, for any reason, held to be invalid or unconstitutional by the decision of any court of competent jurisdiction, such decision shall not affect the validity of the remaining portions of this ordinance. The City Council of the City of Tustin hereby declares that it would have adopted this ordinance and each section, subsection, sentence, clause, phrase, or portion thereof irrespective of the fact that any one or more sections, subsections, sentences, clauses, phrases, or portions be declared invalid or unconstitutional. DocuSign Envelope ID: 1A2EB726-B254-4B6D-B0CA-5BB398CA5305 Ordinance 1532 Page 4 of 4 PASSED AND ADOPTED, at a regular meeting of the City Council for the City of Tustin on this 7th day of February, 2023. ___________________________________ AUSTIN LUMBARD Mayor _________________________ ERICA N. YASUDA City Clerk APPROVED AS TO FORM: ________________________ DAVID E. KENDIG City Attorney STATE OF CALIFORNIA ) COUNTY OF ORANGE ) ss. CITY OF TUSTIN ) I, Erica N. Yasuda, City Clerk and ex-officio Clerk of the City Council of the City of Tustin, California, does hereby certify that the whole number of the members of the City Council of the City of Tustin is five; that the above and foregoing Ordinance No. 1532 was duly and regularly introduced and read by title only at the regular meeting of the City Council held on the 17th day of January, 2023, and was given its second reading, passed and adopted at a regular meeting of the City Council held on the 7th day of February, 2023, by the following vote: COUNCILMEMBER AYES: __________________________________________ COUNCILMEMBER NOES: __________________________________________ COUNCILMEMBER ABSTAINED:__________________________________________ COUNCILMEMBER ABSENT: __________________________________________ ERICA N. YASUDA City Clerk DocuSign Envelope ID: 1A2EB726-B254-4B6D-B0CA-5BB398CA5305 Ordinance 1532 Page 5 of 4 Exhibit A - DA 2022-0002 DocuSign Envelope ID: 1A2EB726-B254-4B6D-B0CA-5BB398CA5305