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Home My WebLink AboutRESPONSE TO CHAIR PRO TEM HIGUCHI'S QUESTIONS_ITEM NO. 3 From: Willkom.Justina To: Willkom.Justina Cc: Eastman.Jav;Barraaan.Raymond;Hurtado.Vera;Michael S.Daudt Subject: October loth PC Packet-Response to Commissioner Higuchi"s Questions-City Ventures Project Date: Tuesday,October 10,2023 4:35:26 PM Hello Commissioners, Please see below in Blue for responses to Commissioner Higuchi's questions. Let me know if you have any further questions. Thank you, Justina Justina Willkom Community Development Director 300 Centennial Way,Tustin,CA 92780 P: V7 71 115 1 F:714-573-3113 Willkom((Mustinaorg Itostinca. ora STAY CONNECTED VUTH US: •Download our app—Apple Store•G000le Plav •Follow us—Facebook•Twitter •Join our newsletter Policy Questions: • What is the status on the third-party review of the Red Hill and Downtown Specific Plans? The City's consultant has completed their review the specific plans and a presentation to the City Council on the final report is expected to occur in the coming months. Staff will let the Commission know of the City Council presentation date once it has been determined. • Is the Residential Allocation Reservation system prohibited as a"growth control measure" pursuant to SB 330? No. The Residential Allocation Reservation (RAR)process allows applicants to place a hold ("reservation")on an allotment of housing units that were environmentally cleared when the Redhill Avenue Specific Plan and Downtown Commercial Core Specific Plan were updated,and allows the City to review the quality of development projects if they are to be assigned set aside units. In fact,in many ways the RAR streamlines the review and approval of projects,as it allows applicants to avoid preparing their own CEQA documents. In contrast,a growth control measure would be a regulatory framework that caps growth. In the case of the RAR,a developer could propose and be approved more units than are available in the RAR, but in doing so they would need to prepare their own environmental assessment. • What is the estimated park fee?What would it take to simplify the park fee to a per unit fee? Developers of a residential subdivision are required to dedicate land to the City for park use. The City standard for parks is 3 acres of useable recreation land per 1,000 persons. Because the ratio is based on population,the City Code identifies a person-per-household factor for determining the actual acreage required per unit,which for City Ventures equates to 12,258 square feet(0.2814 acres). In lieu of dedicating land the applicant can paying a park fee,which allows the City to acquire the park land elsewhere. The park fee is based on the fair market of similar property at the time the subdivision's final map is recorded,and the fair market value is determined by an appraiser. The City does not currently have an estimate of City Venture's park fee because we don't know what property will appraise for when the map is recorded. Park fees are adopted by the City Council,and state law requires the fee be based on the value of acquiring park properties. A change in the park fees would require an analysis and consideration by the Council. A cost per unit fee is feasible,but it would need to be based on assumptions regarding the cost of land,and would likely require regular appraisals to ensure the fee is up to date. Project Questions: • Why isn't it a requirement to underground the existing overhead lines on El Camino Real? As a general rule,it is not a requirement to underground overhead powerlines that are located outside of the project boundary and in the public right of way,unless the utilities are located in an "Underground Utilities District"adopted by the City Council. The proposed project is not located in such a district. However,it is a requirement of the Tustin City Code Section 8107 that whenever any property in any zone is developed with new or relocated buildings or structures,all electrical,telephone,community antenna,television and similar service wires or cables which provide direct service to the property being developed,shall be installed underground within the exterior boundary lines of such property.The applicant is proposing,and the City is requiring as a condition of approval,that onsite utilities be placed underground. • Does the park easement dedication and Park Fee Credit trigger prevailing wage requirements for the construction of the park? The parkland dedication and payment of in-lieu fees does not trigger prevailing wages for the developer,as the payment of the dedication or fees is not a construction project. However,prevailing wage would be required for the City to develop a park. • Why was a development agreement requested by the Developer? The development agreement was not requested by the developer.Section 6.1.3.1 of DCCSP requires that approval of a Development Agreement is required for approval of a Subdivision Map. Pursuant to TCC Section 9607,the Planning Commission shall consider the DA and forward its recommendation to the City Council. • Which units will be designated very low income?What is the contemplated sales price of the very low income units? The applicant proposes 2 units designated for very low-income households. One unit is located in Building 6(Plan 1;3 bedroom/3 bathroom)and Building 4(Plan 2; (4 bedroom/3.5 bathroom). Per TCC Section B9923c, the Housing Incentive Program Agreement shall be executed and recorded between the City of Tustin and the Developer prior to the issuance of building permits. The price of the units will be determined as a percentage of annual income for the household income level. 2023 annual income levels published by HCD are as follows: Number of Persons in Household:I i 1 2 3 4 6 fi 1 7 8 ncutelyLow 13400 15300 17250 19150 2D70D 2220D 23750 25300 Median Income: Extremely Low 30150 34450 33750 43050 46500 49950 53400 56850 Area Median Llr County very Low Income 50250 57400 64600 71750 7 S 7500 33250 �1C00 94750 5127 840 Low income S0400 1'1850 103350 11�'8D0 12400b 133240 141.4C0 1$1550 Median Income 894`_O 1D2250 1113000 127800 138004) 148250 ':58450 168700 Moderate Income 107350 12.2700 1 138000 1 15335CJ 16560•D 177;CO 190150 202400 • How is net density defined (e.g.,gross acres minus streets(?);dedications(?))? The project included dedication of a portion of Newport Avenue. Prior to dedication,the acreage is 2.151.After dedication,the resulting net acreage is 1.961. Therefore,the net density is 19.53,which is 42 units divided by 1.961 acres. • Why did it take longer to process the entitlements for this Project relative to the Intracorp project,which required a GPA and ZC? The City Ventures project was initially submitted in 2021 and included live/work units,which at that time were not an allowable use for this property,per the DCCSP. The DCCSP also did not allow 100%residential uses. This resulted in various rounds of City review and consultation with the City Attorney and the Department of Housing and Community Development. In July 2022 the City processed a specific plan amendment to allow the project.As described in the staff report,the following timeline occurred after Council approval of the specific plan amendment: • In July 2022,the Community Development Director approved the First Phase RAR allocation of thirty- five(35)base units subject to the submittal and approval of the Second Phase RAR within 180 days. • In August 2022,a development application was submitted for review for Phase Two of the RAR process and was subsequently deemed incomplete. A resubmittal of the project to address the comments was not received;therefore, RAR-2021-0001 Phase Two expired and the allocation of thirty-five(35)base units were returned to the general pool of units available in the DCCSP. • In May 2023,the applicant reapplied for a RAR application (RAR 2023-0001),requesting the allocation of thirty-five(35) base residential units for the proposed project. • In June 2023,the Community Development Director approved the allocation of thirty-five(35)base units subject to the submittal and approval of the required project entitlements(Exhibit D to Planning Commission Resolution No.4478—Attachment D). In July 2023,the required entitlement applications,described in this report,were received. Per the DCCSP,the RAR preliminary allocation of thirty-five(35)housing units in the first phase shall not be considered final until approval of the requested entitlement(s)in the second phase.