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HomeMy WebLinkAboutReso 2001-387 RESOLUTION NO. 2001-387 (/IGENCY RESOLUTION NO. 17.57) RESOLUTION OF THE CITY COUNCIL AND THE REDEVELOPMENT AGENCY OF THE CITY OF CHULA VISTA SUPPORTING THE CONCEPT OF RE-SITING THE DUKE ENERGY SOUTH BAY POWER PLANT TO THE LNG SITE; AND DIRECTING STAFF TO EXPLORE ALL ASSOCIATED DEVELOPMENT OPPORTUNITIES IN COOPERATION WITH THE SAN DIEGO UNIFIED PORT DISTRICT AND DUKE ENERGY OF NORTH AMERICA WHEREAS, in April, 1999, the San Diego Unified Port District ("Port") completed the purchase of the South Bay Power Plant located in the Bayfront Redevelopment Project Area in the City of Chula Vista from San Diego Gas & Electric and concurrently leased the facility to Duke Energy of North America ("Duke"); and WHEREAS, by the terms of the Lease Agreement between the Port and Duke, Duke is to use reasonable efforts to site and develop a replacement plant and decommission the existing plant prior to the expiration of the Lease Agreement on November 1, 2009; and WHEREAS, the agreements have set the stage for the aging existing 706 MW plant to be replaced by a modem state-of-the-art combined cycle facility designed to increase generation capacity, reduce emissions, increase fuel efficiency on a smaller development footprint; and WHEREAS, the Port, Duke and the City of Chula Vista have been working in cooperation to determine the most feasible site for the replacement power plant in the general South Bay area; and WHEREAS, after some exploratory analysis of various potential sites, the Port, Duke and the City all support the concept of re-siting the plant on the LNG parcel immediately to the south of the existing location just north of the Bayside Commerce Center in the Southwest Redevelopment Project Area; and WHEREAS, the LNG site offers for the replacement plant to be built in an area already impacted by nearby power plant uses on a smaller development footprint thereby freeing up substantial property on the existing plant site to the north for highest and best use development; and WHEREAS, it is important for the Port, Duke, and the City to perform more focused analysis and studies on the feasibility of re-siting the new plant on the LNG site; and WHEREAS, this action does not constitute formal City/Agency approval of a new plant on the LNG site which would be the subject of future actions by the Port, the California Energy Commission and the City/Agency; and any other goveming regulatory agencies. NOW, THEREFORE, BE IT RESOLVED the City Council of the City of Chula Vista and the Redevelopment Agency of the City of Chula Vista do hereby (1) support the concept of re-siting the Duke Energy South Bay Power Plant to the LNG site; and (2) direct staff to explore all associated development opportunities in cooperation with the Port and Duke. Resolution 2001-387 Page 2 Presented by Approved as to form by Chris Salomone Jol, f/i/!~i. Kaheny / /~ Community Development Director (ht~ Attorney and Agency(L>6~unsel PASSED, APPROVED, and ADOPTED by the City Council of the City of Chula Vista, California, this 13th day of November, 2001, by the following vote: AYES: Councilmembers: Davis, Padilla, Rindone, and Horton NAYS: Councilmembers: None ABSENT: Councilmembers: None ABSTAIN: Councilmembers: Salas Shirley Hort~, Mayor ATTEST: Susan Bigelow, City Clerk STATE OF CALIFORNIA ) COUNTY OF SAN DIEGO ) CITY OF CHULA VISTA ) I, Susan Bigelow, City Clerk of Chula Vista, California, do hereby certify that the foregoing Resolution No. 2001-387 was duly passed, approved, and adopted by the City Council at a regular meeting of the Chula Vista City Council held on the 13th day of November, 2001. Executed this 13th day of November, 2001. Susan Bigelow, City Clc~rk